RAND MINING LIMITED — Interim / Quarterly Report 2011

Jul 26, 2011

Appendix 5B Mining exploration entity quarterly report

Rule 5.3

Appendix 5B

Mining exploration entity quarterly report

Introduced 1/7/96. Origin: Appendix 8. Amended 1/7/97, 1/7/98, 30/9/2001, 01/06/10.

Name of entity

Rand Mining Ltd

	ABN 41 004 669 658 Consolidated statement of cash flows		Quarter ended (“current quarter”) 30 June 2011	Quarter ended (“current quarter”) 30 June 2011
			30 June 2011
Cash flows related to operating activities 1.1 Receipts from product sales and related debtors 1.2 Payments for (a) exploration & evaluation (b) development (c) production (d) administration 1.3 Dividends received 1.4 Interest and other items of a similar nature received 1.5 Interest and other costs of finance paid 1.6 Income taxes paid 1.7 Other (provide details if material) Net Operating Cash Flows			Current quarter $A’000	Year to date (12 months) $A’000
			1,480 (65) (819) (2,138) (313) ‐ 43 (48) 148 ‐	13,056 (381) (1,183) (10,621) (1,171) ‐ 140 (244) (627) ‐
			(1,712)	(1,031)
Cash flows related to investing activities 1.8 Payment for purchases of: (a) prospects (b) equity investments (c) other fixed assets 1.9 Proceeds from sale of: (a) prospects (b) equity investments (c) other fixed assets 1.10 Loans to other entities 1.11 Cash out on deconsolidation of Onslow Resources 1.12 Loans from other entities Net investing cash flows 1.13 Total operating and investing cash flows (carried forward)			‐ (25) (556) ‐ ‐ 890 (247) ‐	‐ (76) (1,483) ‐ ‐ 890 (496) (57) 96
			62	(1,126)
			(1,650)	(2,157)

• See chapter 19 for defined terms.

Appendix 5B Page 1

30/9/2001

Appendix 5B Mining exploration entity quarterly report

1.13 Total operating and investing cash flows (brought forward)	(1,650)	(2,157)
Cash flows related to financing activities 1.14 Proceeds from issues of shares, options, etc. 1.15 Proceeds from sale of forfeited shares 1.16 Proceeds from borrowings 1.17 Repayment of borrowings 1.18 Dividends paid 1.19 Other (provide details if material) Net financing cash flows	‐ ‐ ‐ ‐ ‐ ‐	‐ ‐ 1,276 ‐ ‐ ‐
	‐	1,276
Net increase (decrease) in cash held 1.20 Cash at beginning of quarter/year to date 1.21 Exchange rate adjustments to item 1.20 1.22 Cash at end ofquarter	(1,650) 4,276 ‐	(881) 3,507 ‐
	2,626	2,626

Payments to directors of the entity and associates of the directors

Payments to related entities of the entity and associates of the related entities

1.23 1.24	Aggregate amount of payments to the parties included in item 1.2 Aggregate amount of loans to the parties included in item 1.10	Current quarter $A'000
		(46)
		(225)
1.25	Explanation necessaryfor an understandingof the transactions
	Directors fees and superannuation (included in administration 1.2(d)) (38) Royalty payment (included in production 1.2(c)) (8) Included in the aggregate amount of loans to other entities (item 1.10) is the following:  Iron Resources (Liberia) – (247)

Non‐cash financing and investing activities

2.1	Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows
	Not applicable

2.2	Details of outlays made by other entities to establish or increase their share in projects in which the reportingentityhas an interest
	Not applicable

Financing facilities available

Add notes as necessary for an understanding of the position.

• See chapter 19 for defined terms.

Appendix 5B Page 2

30/9/2001

Appendix 5B Mining exploration entity quarterly report

3.1 Loan facilities 3.2 Credit standby arrangements	Amount available $A’000	Amount used $A’000
	3,725	1,276
	‐	‐

Estimated cash outflows for next quarter

4.1 Exploration and evaluation 4.2 Development 4.3 Production 4.4 Administration	$A’000
	100
	1,150
	1,000
	350
Total	2,600

Reconciliation of cash

Reconciliation of cash
Reconciliation of cash at the end of the quarter (as	Current quarter	Previous quarter
shown in the consolidated statement of cash flows) to	$A’000	$A’000
the related items in the accounts is as follows.
5.1 Cash on hand and at bank	2,441	4,143
5.2 Deposits at call	185	133
5.3 Bank overdraft	‐	‐
5.4 Other (provide details)	‐	‐
Total: cash at end of quarter(item 1.22)	2,626	4,276

Changes in interests in mining tenements

6.1 Interests in mining tenements relinquished, reduced or lapsed 6.2 Interests in mining tenements acquired or increased	Tenement reference	Nature of interest (note (2))	Interest at beginning ofquarter	Interest at end of quarter

• See chapter 19 for defined terms.

Appendix 5B Page 3

30/9/2001

Appendix 5B Mining exploration entity quarterly report

Issued and quoted securities at end of current quarter

Description includes rate of interest and any redemption or conversion rights together with prices and dates.

	Total number	Number quoted	Issue price per security (see note 3) (cents)	Amount paid up per security (see note 3) (cents)
7.1 Preference +securities (description) 7.2 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy‐ backs, redemptions
7.3 +Ordinary securities 7.4 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy‐ backs	60,841,209	60,841,209
7.5 +Convertible debt securities (description) 7.6 Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted
7.7 Options (description and conversion factor) 7.8 Issued during quarter 7.9 Exercised during quarter 7.10 Expired during quarter	4,000,000		Exercise price $0.60	Expiry date 26 October 2012
			Exercise price	Expiry date
7.11 Debentures (totals only)

• See chapter 19 for defined terms.

Appendix 5B Page 4

30/9/2001

Appendix 5B Mining exploration entity quarterly report

1. 1 2 Unsecured notes ( totals only)

Compliance statement

• 1 This statement h as been prepared unde r accounting policies which comply w ith acc o unting stan d ards as defined in the Corporations Act or othe r standards acc e ptable to A S X (see note 4 ).

• 2 This statement d oes give a t r ue and fair v iew of the m atters disc l osed.

==> picture [47 x 38] intentionally omitted <==

==> picture [33 x 38] intentionally omitted <==

Si g n here: .............................. . ............................. Date: 27 July 20 1 1 (Director/Compan y secretary)

P r int name: Antho n y Billis

Notes

• 1 The quarterly re p ort provid e s a basis for informing t h e market h o w the entit y ’s acti v ities have b e en finance d for the pas t quarter an d the effect o n its cash p osition. An e ntity wanting to disclos e additional i nformation is encourag e d to do so, i n a note or n o tes attached to this re p ort.

• 2 The “Nature of i n terest” (ite m s 6.1 and 6 .2) includes options in r e spect of in t erests in mining tenements acquired, exercised o r lapsed during the repo r ting period. If the enti t y is involve d in a joint v e nture agre e ment and t h ere are con d itions prec e dent whi c h will change its percen t age interes t in a mining tenement, i t should dis c lose the cha n ge of perce n tage intere s t and conditions prece d ent in the li s t required for items 6.1 a nd 6.2.

• 3 Issued and quoted securities The issue p rice and amount paid u p is not required in ite m s 7.1 and 7. 3 for fully paid securities .

• 4 The definitions i n , and provi s ions of, AA S B 1022: Acc o unting for E xtractive In d ustries and A ASB 1026: Statement of Cash Flow s apply to th i s report.

• 5 Accounting Standards ASX w ill accept, f o r example, t he use of International Acc o unting Stan d ards for fo r eign entitie s . If the sta n dards used d o not addr e ss a topi c , the Austr a lian standard on that to p ic (if any) m ust be com p lied with. == == == = = ==

• S ee chapter 1 9 for defined t e rms.

Appendix 5B Page 5

3 0 /9/2001