RAND MINING LIMITED — Interim / Quarterly Report 2015

Jul 26, 2015

ASX ANNOUNCEMENT

27 July 2015

Australian Securities Exchange Code: RND

Board of Directors:

Mr Otakar Demis Chairman and Joint Company Secretary

Mr Anton Billis Managing Director

Mr Gordon Sklenka Non-Executive Director

Mr Roland Berzins Joint Company Secretary

Suite G1, 49 Melville Parade South Perth WA 6151 T: +61 8 9474 2113 F: +61 8 9367 9386 E: info@randmining.com.au W: www.randmining.com.au

ABN: 41 004 669 658

Quarterly Report for June 2015

Highlights

• During the quarter, 194,815 tonnes of EKJV ore were processed at the Kanowna Plant.
• 25,753.169 oz of gold and 4,846.524 oz of silver were credited to Rand and Tribune Bullion Accounts.

(Rand's share is 25%)

At the end of the quarter the EKJV Stockpiles are:

EKJVSTOCKPILES
ROMpad	OreSource	Ore	Grade	Rand's
				Entitlement
		t	g/t Au	%
Raleigh	Raleigh	10,014	5.7	12.50
Rubicon	Rubicon & Hornet	12,993	11.4	12.25
Pegasus	Pegasus	5,519	4.7	12.25
Kanowna Belle	Raleigh	0	0.0	12.50
Kanowna Belle	Rubicon & Hornet	30,200	9.6	12.25
Kanowna Belle	Pegasus	36,575	7.5	12.25

GEOLOGY AND MINING

EAST KUNDANA JOINT VENTURE

Raleigh Underground Mine Production

Stope production from the Raleigh 5778, 5722, 5654 and 5631 levels continued during the quarter. Rehabilitation of the levels damaged in the February earthquake is proceeding.

Contained gold in stope development and stope ore mined during the quarter, estimated by grade control face chip sampling, is tabulated below:

RALEIGHUNDERGROUNDGRADECONTROLESTIMATES
Month	Tonnes	Grade	Ounces
	t	g/t	troyoz
April	5,125	15.03	2,476
May	8,834	13.12	3,726
June	5,578	9.89	1,773
June15Q	19,537	12.7	7,976
March 15 Q	15,342	8.0	3,965

Rand's Entitlements (12.5%)

June15Q	2,442	12.7	997
March 15 Q	1,918	8.0	496

Raleigh Underground Mine Development

At the end of the quarter, the bottom of the Raleigh Decline is at 5618 m RL, 727 m from the surface.

Development of the Skinners structure, which started in December 2014, progressed on the 5932, 5915, 5898, 5881, 5864, 5847,5812 and 5795 levels.

RALEIGHUNDERGROUNDDEVELOPMENT
Month	Capital			Operating
	DeclineSecondary		Waste	Ore	PasteFill
	(m)	(m)	(m)	(m)	(m)
April	0.0	0.0	0.0	67.6	0.0
May	0.0	0.0	0.0	54.2	6.0
June	0.0	0.0	0.0	86.7	6.0
June15Q	0.0	0.0	0.0	208.5	12.0
March 15 Q	0.0	0.0	0.0	73.5	18.0

The diagrams below show the status of the mine at the end of each month of the quarter.

Mine operating costs, incurred by the EKJV during the June 2015 Quarter were $194 per tonne mined or $474 per ounce mined compared with the March 2015 Quarter costs of $150 and $581 respectively.

Rubicon Underground Mine Production

Development progressed on the 5995 level at Rubicon, the 5905, 5885 and 5865 levels at Hornet and the 6170, 6150, 6130, 6110 and 6090 at Pegasus. Stope production from the Rubicon 6055, 6035 and 6015 levels, the Hornet 6225, 6065, 6045, 6025, 6005, 5985, 5965, 5945, 5925 and 5905 levels and the Pegasus 6127 level continued during the quarter. Again the production schedule at Rubicon and Hornet was re‐optimized, using some of the resources from Raleigh, to minimize the production shortfall at Raleigh.

Contained gold in stope development mined during the quarter, estimated by grade control face chip sampling, is tabulated below:

UNDERGROUNDGRADECONTROLESTIMATES
OREBODY	RUBICON&HORNET				PEGASUS
Month	TonnesGradeOunces		Tonnes	Grade	Ounces
	t	g/t	troyoz	t	g/t	troyoz
April	42,298	9.30	12,642	19,009	5.06	3,091
May	36,896	8.37	9,934	17,319	10.19	5,674
June	47,346	11.89	18,092	9,743	7.83	2,454
June15Q	126,540	10.0	40,668	46,071	7.5	11,219
March 15 Q	116,327	8.3	31,201	40,294	5.7	7,436

Rand's Entitlements (12.25%)

June15Q	15,501	10.0	4,982	5,644	7.5	1,374
March 15 Q	14,250	8.3	3,822	4,936	5.7	911

Rubicon Underground Mine Development

During the quarter, decline development at Rubicon, Hornet and Pegasus continued. At the end of the quarter, the bottom of the Rubicon Decline is at 5987 m RL, 356 m from the surface, the bottom of the Hornet Decline is at 5839 m RL, 504 m from the surface, the top of the Pegasus Incline is at 6183 m RL, 160 m from the surface and the bottom of the Pegasus Decline is at 6055 m RL, 288 m from the surface.

UNDERGROUNDDEVELOPMENT
OREBODY		RUBICON	&	HORNET				PEGASUS
Month	Capital			Operating		Capital			Operating
	Decline	Other	Waste	Ore	Paste	Decline	Other	Waste	Ore	Paste
	(m)	(m)	(m)	(m)	(m)	(m)	(m)	(m)	(m)	(m)
April	109.4	100.4	11.0	182.7	42.0	114.3	107.5	0.0	307.9	0.0
May	50.0	150.4	5.5	257.0	54.0	96.2	181.3	0.0	206.9	0.0
June	50.5	110.5	0.0	249.9	24.0	64.9	197.5	0.0	114.3	0.0
June15Q	210	361	16	690	120	275	486	0	629	0
Mar 15 Q	241	191	0	719	126	372	494	0	444	0

The diagrams below show the status of the mine at the end of each month of the quarter.

Mine operating costs, for Rubicon & Hornet, incurred by the EKJV during June 2015 Quarter were $79 per tonne mined or $247 per ounce mined compared with the March 2015 Quarter costs of $97 and $362 respectively.

Mine operating costs, for Pegasus, incurred by the EKJV during June 2015 Quarter were $81 per tonne mined or $331 per ounce mined compared with the March 2015 costs of $46 and $248 respectively.

Toll Processing

EKJVOrehauledtoKanownaBelle(tonnes‐wet)
Quarter	Raleigh	Rubicon	Pegasus
June15	29,365	128,491	49,928
March 15	13,795	115,534	33,542

During the quarter, 194,815 tonnes of EKJV ore were processed.

BullionaccreditedtoRANDandTRIBUNEfromKanownaBelle
Quarter	Gold(oz)	Rand'ssharegold
June15	25,753.169	4,846.524	6,438.292
March 15	18,975.399	3,789.234	4,743.848

EKJV Exploration

The Quarterly Report of the EKJV exploration activities is expected shortly and will be released to the ASX when received.

OTHER EXPLORATION

Seven Mile Hill Joint Venture (Rand's Interest 50%)

An RC drilling programme has commenced. Results will be announced when available.

Tapeta Iron Ore Project, Liberia, West Africa

Maintenance staff are onsite. Drilling will recommence at the end of the wet season.

INTERESTS IN MINING TENEMENTS

Project/Tenements	Location	Heldatend	Acquiredduring	Disposedduring
		ofquarter	thequarter	thequarter
Kundana	WA, Australia
M15/1413		12.25%
M15/993		12.25%
M16/181		12.25%
M16/182		12.25%
M16/308		12.25%
M16/309		12.25%
M16/325		12.25%
M16/326		12.25%
M16/421		12.25%
M16/428		12.25%
M24/924		12.25%
SevenMileHill	WA, Australia
M15/1291		50.00%
M15/1388		50.00%
M15/1394		50.00%
M15/1409		50.00%
M15/1743		50.00%
M26/563		50.00%
P15/5182		50.00%
P15/5183		50.00%
P15/5184		50.00%
P26/3617		50.00%
TapetaIronOre	Liberia, West	100% (under
Project (currently	Africa	option)
under option to
acquire issued
capital of Iron
Resources Ltd, the
owner of the project)

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
--	-----------------	--

41 004 669 658 30 June 2015

ABN Quarter ended ("current quarter")

Consolidated statement of cash flows

		Current quarter	Year to date
	Cash flows related to operating activities	$A'000	(12 months)
			$A'000
1.1	Receipts from product sales and related debtors	6,723	24,313
1.2	Payments for(a) exploration & evaluation	(1,118)	(2,829)
	(b) development	(847)	(3,423)
	(c) production	(2,825)	(12,706)
	(d) administration	(24)	(688)
1.3	Dividends received	‐	‐
1.4	Interest and other items of a similar nature
	received	20	46
1.5	Interest and other costs of finance paid	‐	(2)
1.6	Income taxes paid	469	(2,269)
1.7	Other (provide details if material)	‐	‐
	Net Operating Cash Flows	2,398	2,442
	Cash flows related to investing activities
1.8	Payment for purchases of:(a) prospects	‐	‐
	(b) equity investments	(100)	(353)
	(c) other fixed assets	(318)	(1,677)
1.9	Proceeds from sale of:(a) prospects	‐	‐
	(b) equity investments	‐	‐
	(c) other fixed assets	‐	‐
1.10	Loans to other entities	‐	(250)
1.11	Loans repaid to other entities	‐	‐
1.12	Loans repaid by other entities	‐	250
	Net investing cash flows	(418)	(2,030)
1.13	Total operating and investing cash flows (carried
	forward)	1,980	412

+ See chapter 19 for defined terms.

Appendix 5B Mining exploration entity quarterly report

1.13	Total operating and investing cash flows (brought
	forward)	1,980	412
	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 – Share buy‐back	‐	(227)
	Net financing cash flows	‐	(227)
	Net increase (decrease) in cash held	1,980	185
1.20	Cash at beginning of quarter/year to date	1,084	2,879
1.21	Exchange rate adjustments to item 1.20	‐	‐
		3,064	3,064
1.22	Cash at end of quarter

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

		Current quarter$A'000
1.23	Aggregate amount of payments to the parties included in item 1.2	(32)
1.24	Aggregate amount of loans to the parties included in item 1.10	‐

• 1.25 Explanation necessary for an understanding of the transactions
  • (1) Directors fees and superannuation (included in administration 1.2(d)) (32)
  • (2) Repayment of loan by Tribune Resources Ltd (included in loan to other entities 1.12) 250
  • (3) Expenditure incurred re settlement of share buy‐back transactions (included in 1.19) (227)
  • (4) Expenditure incurred re settlement of share buy‐back transactions of (652) on 2nd June 2015, is not included in the cash flow movements for the period, as payment has not been cashed by the seller.

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 reporting entity has an interest

Not applicable

+ See chapter 19 for defined terms.

Financing facilities available

Add notes as necessary for an understanding of the position.

		Amount available$A'000	Amount used$A'000
3.1	Loan facilities	‐	‐
3.2	Credit standby arrangements	‐	‐

Estimated cash outflows for next quarter

		$A'000
4.1	Exploration and evaluation	1,000
4.2	Development	700
4.3	Production	3,000
4.4	Administration	150
	Total	4,850

Reconciliation of cash

	Reconciliation of cash at the end of the quarter (asshown in the consolidated statement of cash flows) tothe related items in the accounts is as follows.	Current quarter$A'000	Previous quarter$A'000
5.1	Cash on hand and at bank	3,064	1,084
5.2	Deposits at call	‐	‐
5.3	Bank overdraft	‐	‐
5.4	Other (provide details)	‐	‐
	Total: cash at end of quarter (item 1.22)	3,064	1,084

Changes in interests in mining tenements

		Tenementreference	Nature of interest(note (2))	Interest atbeginningof quarter	Interest atend ofquarter
6.1	Interests in miningtenements relinquished,reduced or lapsed

+ See chapter 19 for defined terms.

6.2 Interests in mining tenements acquired or increased

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 persecurity (see note3) (cents)	Amount paid up persecurity (see note 3)(cents)
7.1	Preference+securities(description)
7.2	Changes duringquarter(a) Increasesthrough issues(b) Decreasesthrough returnsof capital, buy‐backs,redemptions
7.3	+Ordinarysecurities	60,148,475	60,148,475
7.4	Changes duringquarter(a) Increasesthrough issues(b) Decreasesthrough returnsof capital, buy‐backs	(372,500)	(372,500)
7.5	+Convertibledebt securities(description)
7.6	Changes duringquarter(a) Increasesthrough issues(b) Decreasesthroughsecuritiesmatured,converted
7.7	Options(description andconversionfactor)
7.8	Issued duringquarter
7.9	Exercised duringquarter

+ See chapter 19 for defined terms.

7.10	Expired duringquarter
7.11	Debentures(totals only)
7.12	Unsecurednotes (totalsonly)

Compliance statement

• 1 This statement has been prepared under accounting policies which comply with accounting standards as defined in the Corporations Act or other standards acceptable to ASX (see note 4).
• 2 This statement does give a true and fair view of the matters disclosed.

Sign here: ............................................................ Date: 27 July 2015 (Director/Company secretary)

Print name: Anthony Billis

Notes

• 1 The quarterly report provides a basis for informing the market how the entity's activities have been financed for the past quarter and the effect on its cash position. An entity wanting to disclose additional information is encouraged to do so, in a note or notes attached to this report.
• 2 The "Nature of interest" (items 6.1 and 6.2) includes options in respect of interests in mining tenements acquired, exercised or lapsed during the reporting period. If the entity is involved in a joint venture agreement and there are conditions precedent which will change its percentage interest in a mining tenement, it should disclose the change of percentage interest and conditions precedent in the list required for items 6.1 and 6.2.
• 3 Issued and quoted securities The issue price and amount paid up is not required in items 7.1 and 7.3 for fully paid securities*.*
• 4 The definitions in, and provisions of, AASB 1022: Accounting for Extractive Industries and AASB 1026: Statement of Cash Flows apply to this report.
• 5 Accounting Standards ASX will accept, for example, the use of International Accounting Standards for foreign entities. If the standards used do not address a topic, the Australian standard on that topic (if any) must be complied with.

== == == == ==

+ See chapter 19 for defined terms.