RAND MINING LIMITED - Annual Report 2016

==> picture [38 x 35] intentionally omitted <==

Rand Mining Limited ABN 41 004 669 658

Annual Report - 30 June 2016

Rand Mining Limited
Contents
30 June 2016
Corporate directory	2
Directors' report	3
Auditor's independence declaration	23
Statement of profit or loss and other comprehensive income	24
Statement of financial position	25
Statement of changes in equity	26
Statement of cash flows	27
Notes to the financial statements	28
Directors' declaration	61
Independent auditor's report to the members of Rand Mining Limited	62
Shareholder information	65

Rand Mining Limited Corporate directory 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Rand Mining Limited Corporate directory 30 June 2016
Directors	Otakar Demis - Chairman
	Anthony Billis
	Gordon Sklenka
Company secretaries	Otakar Demis
	Roland Berzins
Notice of annual general meeting	The annual general meeting of Rand Mining Limited will be held at:
	IBIS Styles Hotel
	45 Egan Street
	Kalgoorlie WA 6430
	on 25 November 2016 at 9.00am.
Registered office	Suite G1, 49 Melville Parade
	South Perth WA 6151
	Tel: +61 (8) 9474 2113
	Fax: +61 (8) 9367 9386
Principal place of business	Suite G1, 49 Melville Parade
	South Perth WA 6151
	Correspondence address:
	PO Box 307
	West Perth WA 6872
Share register	Advanced Share Registry Services Limited
	110 Stirling Highway
	Nedlands WA 6009
	Tel: +61 (8) 9389 8033
	Fax: +61 (8) 9262 3723
Auditor	Grant Thornton Audit Pty Ltd
	Level 1
	10 Kings Park Road
	WEST PERTH WA 6005
Bankers	ANZ Bank
	77 St George's Terrace
	Perth WA 6000
Stock exchange listing	Rand Mining Limited shares are listed on the Australian Securities Exchange (ASX
	code: RND)
Website	www.randmining.com.au
Corporate Governance Statement	The Company’s directors and management are committed to conducting the Group’s
	business in an ethical manner and in accordance with the highest standards of
	corporate governance. The Company has adopted and substantially complies with
	the ASX Corporate Governance Principles and Recommendations (3rd Edition)
	(‘Recommendations’) to the extent appropriate to the size and nature of the Group’s
	operations.
	The Company has prepared a Corporate Governance Statement which sets out the
	corporate governance practices that were in operation throughout the financial year
	for the Company, identifies any Recommendations that have not been followed, and
	provides reasons for not following such Recommendations.
	The Company’s Corporate Governance Statement and policies, which will be
	approved at the same time as the Annual Report, can be found on our website:
	www.randmining.com.au/Corporate-Governance

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

The directors present their report, together with the financial statements, on the consolidated entity (referred to hereafter as the 'Group') consisting of Rand Mining Limited (referred to hereafter as the 'Company', 'parent entity' or 'Rand') and the entities it controlled at the end of, or during, the year ended 30 June 2016.

Directors

The following persons were directors of Rand Mining Limited during the whole of the financial year and up to the date of this report, unless otherwise stated:

Otakar Demis - Chairman Anthony Billis Gordon Sklenka

Principal activities

The principal activities of the Group during the year were exploration, development and production activities at the Group’s East Kundana Joint Venture tenements.

Dividends

There were no dividends paid, recommended or declared during the current or previous financial year.

Review of operations

The profit for the Group after providing for income tax amounted to $15,287,209 (30 June 2015: $7,302,215).

East Kundana Joint Venture

The East Kundana Joint Venture ('EKJV') is located 25km west north west of Kalgoorlie and 47km north east of Coolgardie.

The EKJV is between Rand Mining Limited. (12.25%), Tribune Resources Ltd. (36.75%) and Gilt-Edged Mining NL (51%). On 1 March 2014, Gilt-Edged Mining NL became a wholly owned subsidiary of Northern Star Resources Ltd.

==> picture [308 x 156] intentionally omitted <==

KUNDANA PROJECT Location Map

Note: The Joint Venture deposits are located within the blue shaded area. Other deposits indicated on this map do not belong to either Rand Mining or the Joint Venture.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

==> picture [299 x 162] intentionally omitted <==

EAST KUNDANA JOINT VENTURE Deposit Locations

Note: The Joint Venture deposits are located within the blue shaded area. Other deposits indicated on this map do not belong to either Rand Mining or the Joint Venture.

Mining

Raleigh

During the year ending 30 June 2016, 155,560 tonnes of ore were extracted from stopes on 5864, 5847, 5795, 5761, 5722, 5705, 5654, 5631 and 5614 levels and from development headings on the 5949, 5932, 5915, 5898, 5881 and 5830 levels of the Skinners structure at the Raleigh Underground mine. Development associated with the extraction of the Crown Pillar continues on the 6212 level. The grade was 9.5 g/t.

Rand’s entitlement to the ore extracted was 19,445 tonnes, compared to 7,295 tonnes the previous year.

Mine claimed production


Mine claimed production	Raleigh Production
	Mined	Grade	Gold
Year	(t)	(g/t)	(oz)
2006/2007	239,700	16.6	127,700
2007/2008	234,400	11.9	89,800
2008/2009	308,512	12.6	124,962
2009/2010	339,660	13.4	146,670
2010/2011	323,182	13.4	139,060
2011/2012	244,799	14.8	116,921
2012/2013	179,553	14.2	81,930
2013/2014	87,948	15.7	44,313
2014/2015	58,362	11.5	21,706
2015/2016	155,560	9.5	47,302
Rand’s entitlement of 2015/2016	19,445	9.5	5,913

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

The sequence of stoping and mine development in the current LOM plan is shown below, where grey represents all stoping and development completed at 30 June 2016, green expected to be completed by mid 2017, blue expected to be completed by mid 2018 and red expected to be completed by mid 2019. The extension of mining beyond mid 2019 depends on the results of the current exploration programme.

==> picture [453 x 234] intentionally omitted <==

Rubicon/Hornet/Pegasus

During the year ending 30 June 2016, 761,483 tonnes of ore were extracted from stopes on the 6055 to 5975 levels and development headings on the 5995 to 5935 levels of the Rubicon ore body; from stopes on the 6005 to 5865 levels and development headings on the 5885 to 5785 levels of the Hornet ore body and from stopes on the 6170 to 6030 levels and development headings on the 6210 to 6170 and 6090 to 5970 levels of the Pegasus ore body. The grade was 7.3 g/t.

Rand’s entitlement to the ore extracted was 93,282 tonnes, compared to 74,233 tonnes the previous year.

Mine claimed production	Rubicon/Hornet/Pegasus	Rubicon/Hornet/Pegasus	Production
	Mined	Grade	Gold
Year	(t)	(g/t)	(oz)
2011/2012	78,229	9.6	24,103
2012/2013	266,113	10.3	88,666
2013/2014	314,685	11.3	114,454
2014/2015	605,988	9.5	184,302
2015/2016	761,483	7.3	178,931
Rand’s entitlement of 2015/2016	93,282	7.3	21,919

The sequence of stoping and mine development in the current LOM plan is shown below, where grey represents all stoping and development completed at 30 June 2016, green expected to be completed by mid 2017, blue expected to be completed by mid 2018, red expected to be completed by mid 2019, orange expected to be completed by mid 2020 and light blue beyond mid 2020. Further extension of mining depends on the results of the current exploration programme.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

==> picture [435 x 129] intentionally omitted <==

Processing

Since January 2013, all EKJV ore has been processed in mainly monthly campaigns at the Kanowna Plant located near Kalgoorlie.

Campaign 29 30 31 32 33 34 35 36 37 38 39 40	EKJV Processing at Kanowna Date from Date to 01 Jul 2015 21 Jul 2015 04 Aug 2015 19 Aug 2015 01 Sep 2015 10 Sep 2015 02 Oct 2015 23 Oct 2015 06 Nov 2015 24 Nov 2015 04 Dec 2015 17 Dec 2015 05 Jan 2016 22 Jan 2016 05 Feb 2016 19 Feb 2016 04 Mar 2016 21 Mar 2016 04 Apr 2016 27 Apr 2016 06 May 2016 24 May 2016 07Jun 2016 22Jun 2016	EKJV Processing at Kanowna Date from Date to 01 Jul 2015 21 Jul 2015 04 Aug 2015 19 Aug 2015 01 Sep 2015 10 Sep 2015 02 Oct 2015 23 Oct 2015 06 Nov 2015 24 Nov 2015 04 Dec 2015 17 Dec 2015 05 Jan 2016 22 Jan 2016 05 Feb 2016 19 Feb 2016 04 Mar 2016 21 Mar 2016 04 Apr 2016 27 Apr 2016 06 May 2016 24 May 2016 07Jun 2016 22Jun 2016	Processed (t) 82,022 60,891 37,425 94,936 81,840 59,986 74,492 68,495 78,155 89,749 93,830 72,654
	01 Jul 2015 01 Jul 2014 01 Jul 2013 01 Jul 2012 01 Jul 2011	30 Jun 2016 30 Jun 2015 30 Jun 2014 30 Jun 2013 30 Jun 2012	894,474 620,719 423,334 * 214,255 -

During the year ending 30 June 2013, 144,230 tonnes of Rand and Tribune Group’s share of EKJV ore was processed at the Greenfields Plant located near Coolgardie.

During the year ending 30 June 2016, 103,747.291 ounces of gold and 20,647.428 ounces of silver were credited to the Rand and Tribune Group Bullion Account.

Rand’s share of the gold bullion was 25,936.821 ounces compared to 24,355.057 ounces the previous year.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

	Rand and Tribune	Rand and Tribune	Group Bullion		Rand’s share
	Date	Date	Gold	Silver	Gold
	from	to	(oz)	(oz)	(oz)
01	Jul 2015	30 Jun 2016	103,747	20,647	25,937
01	Jul 2014	30 Jun 2015	97,420	21,027	24,355
01	Jul 2013	30 Jun 2014	79,907	18,854	19,976
01	Jul 2012	30 Jun 2013	95,554	17,248	23,888
01	Jul 2011	30 Jun 2012	61,864	15,841	15,466
01	Jul 2010	30 Jun 2011	64,716	8,639	16,179
01	Jul 2009	30 Jun 2010	77,624	12,019	19,406
01	Jul 2008	30 Jun 2009	32,478	4,649	8,119
01	Jul 2007	30 Jun 2008	59,638	8,048	14,909
01	Jul 2006	30 Jun 2007	49,335	6,640	12,333
01	Jul 2005	30 Jun 2006	25,599	3,951	6,399

Gold on Hand

At 30 June 2016, Rand Mining Ltd held 40,895,528 ounces of gold including 234.066 ounces which was the final transfer of gold for the June campaign and was transferred in July 2016.

Exploration

During the year ending 30 June 2016, a number of drilling programmes were conducted along the K2 Line of Lode on the EKJV mining leases.

==> picture [453 x 178] intentionally omitted <==

----- Start of picture text -----

Long Section of the K2 Line of Lode
Drake Pegasus Rubicon Hornet
----- End of picture text -----

Although most of the effort was focused on the Pegasus, Rubicon and Hornet deposits, there was a significant focus at Raleigh. This resulted in revised JORC compliant reserve and resource estimates.

==> picture [314 x 10] intentionally omitted <==

----- Start of picture text -----

Plan of the Pegasus, Rubicon and Hornet Deposits showing drill holes
----- End of picture text -----

==> picture [429 x 35] intentionally omitted <==

==> picture [429 x 34] intentionally omitted <==

==> picture [429 x 35] intentionally omitted <==

==> picture [429 x 34] intentionally omitted <==

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Sections of the Pegasus, Rubicon and Hornet Deposits showing drill holes

==> picture [545 x 28] intentionally omitted <==

==> picture [545 x 29] intentionally omitted <==

==> picture [545 x 28] intentionally omitted <==

==> picture [545 x 29] intentionally omitted <==

==> picture [545 x 28] intentionally omitted <==

==> picture [545 x 27] intentionally omitted <==

==> picture [543 x 28] intentionally omitted <==

==> picture [543 x 29] intentionally omitted <==

==> picture [543 x 28] intentionally omitted <==

==> picture [543 x 29] intentionally omitted <==

==> picture [543 x 28] intentionally omitted <==

==> picture [543 x 29] intentionally omitted <==

==> picture [543 x 28] intentionally omitted <==

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Plan of the Raleigh and Skinners Vein Deposits showing drill holes

==> picture [436 x 32] intentionally omitted <==

==> picture [436 x 31] intentionally omitted <==

==> picture [436 x 32] intentionally omitted <==

==> picture [436 x 31] intentionally omitted <==

Sections of the Raleigh and Skinners Vein Deposits showing drill holes

==> picture [531 x 29] intentionally omitted <==

==> picture [531 x 30] intentionally omitted <==

==> picture [531 x 29] intentionally omitted <==

==> picture [531 x 30] intentionally omitted <==

==> picture [531 x 29] intentionally omitted <==

Details have been reported in the EKJV Quarterly Exploration Reports released to ASX on 2 November 2015, 29 January 2016, 28 April 2016 and 20 July 2016 and Northern Star Resources ASX Announcements on 7 April 2016 and 28 July 2016.

Two major drilling programmes have been proposed recently for the Pegasus, Rubicon and Hornet deposits. The first will search, at depth, for extensions to mineralisation along strike using the recently approved drill drive from Hornet under the current Rubicon and Pegasus and beyond and the link drive from Rubicon to Pegasus. The second will increase confidence in the grades of regions to be mine in the next 18 months.

==> picture [369 x 155] intentionally omitted <==

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

A number of smaller drilling programmes have been proposed for identified targets along the K2 and associated structures and at Raleigh.

Seven Mile Hill (50%)

During the year, the company participated in a regional seismic survey which included the Seven Mile Hill Leases. A new drilling programme is being planned based on previous drilling data and interpretation of the seismic results.

Tapeta Iron Ore Project, Liberia, West Africa

Rand has been granted an Option to acquire all of the issued share capital in Iron Resources Limited (IRL), a wholly owned subsidiary of Resource Capital Ltd (RCL), from RCL. IRL is the registered holder of a mineral exploration license over a 599.82km² area located in Northern-Central Liberia, West Africa, (Tapeta Iron Ore Project).

Work completed on the Tapeta Iron Ore Project to date suggests that the total area of iron formation outcrop within the project could exceed 9km[2] . Based on the possible outcrop sizes and the disposition of the iron formations, the Tapeta Iron Ore Project has the potential to host a deposit of “moderate” size on a world scale. Supplementary to the original granting of the option to acquire, IRL has agreed to grant Rand a licence to access the Tapeta Iron Ore Project Area during the period of the Option to conduct a drilling programme and all activities associated with the programme including construction of roads and structures.

==> picture [429 x 412] intentionally omitted <==

----- Start of picture text -----

Location of Tapeta Iron Ore Project (shown over SRTM terrain model of Liberia)
----- End of picture text -----

Rand completed 2,732 metres of RC drilling. The drilling has been directed at two prominent iron formations, the Bwee Ridge and the Giant Main Outcrop. Both areas encompass outcrops of haematitic itabirite grading + 60% Fe, with good potential for the discovery of deposits of high grade direct shipping ore, located within 70 km of working rail and port infrastructure.

The site is currently on care and maintenance.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Resources and Reserves

At 30 June 2016, the EKJV’s reported Mineral Resource Estimate (excluding Stockpiles but including other Reserves) is 5.26 million tonnes at 10.8 g/t Au for 1.83 million ounces (details in Table 1) and the EKJV’s reported Ore Reserve Estimate (excluding Stockpiles) is 3.45 million tonnes at 7.5 g/t Au for 0.83 million ounces (details in Table 2)

Comparison with the Mineral Resource Statement for the year ended 30 June 2015, in the table below, shows a decrease of approximately 20,000 ounces representing the following variations:

mining depletions at Raleigh, Pegasus, Rubicon and Hornet
● substantial extensions defined by drilling at Raleigh.

● substantial exten	sions defined b	y drilling at R	aleigh.	aleigh.
	Rand’s		30 June 2016				30 June	2015
Deposit	entitlement		from Table 2			from the Annual Report			2015
		(t)	Au	(g/t)	Au (oz)	(t)	Au (g/t)		Au (oz)
Raleigh
Underground	12.50%	180,495		42.6	247,371	98,890	58.9		187,374
Rubicon
Underground	12.25%	474,274		13.2	201,711	613,024		9.2	180,587
Hornet
Open Pit	12.25%	684,600		2.9	64,396	171,708		3.7	20,173
Hornet
Underground	12.25%	642,175		10.5	217,790	732,147		9.8	231,851
Pegasus
Underground	12.25%	3,282,552		10.4	1,093,799	3,400,502	11.2		1,225,096
EKJV Mineral Resources
(excluding Stockpiles)		5,264,096		10.8	1,825,067	5,016,271	11.4		1,845,081

Comparison with the Ore Reserve Statement for the year ended 30 June 2015, in the table below, shows a decrease of approximately 13,000 ounces representing the following variations:

mining depletions at Raleigh, Pegasus, Rubicon and Hornet
increase in Ore Reserve at Raleigh following in mine drilling success
increase in Ore Reserves at Rubicon and Hornet following in mine drilling success.

● increase in Ore R	eserves at Rub	icon and Hor	net following in	net following in	mine drilling s	uccess.
	Rand’s		30 June 2016				30 June 2015
Deposit	entitlement		from Table 2			from the Annual Report		2015
		(t)	Au	(g/t)	Au (oz)	(t)	Au (g/t)	Au (oz)
Raleigh
Underground	12.50%	285,367		11.9	109,105	212,304	12.7	86,726
Hornet Rubicon
Underground	12.25%	992,643		6.9	219,778	558,230	8.4	150,353
Hornet
Open Pit	12.25%	132,000		5.9	25,000	-	-	-
Pegasus
Underground	12.25%	2,041,998		7.3	479,102	2,395,800	7.9	608,555
EKJV Ore Reserves
(excluding Stockpiles)		3,452,008		7.5	832,985	3,166,334	8.3	845,634

Mineral Resource and Ore Reserve Governance and Internal Controls

The Manager of the EKJV prepares the EKJV Mineral Resources and Ore Reserves on an annual basis in accordance with the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ (the JORC Code) 2012 Edition. Competent Persons named by the EKJV Manager are Members or Fellows of the Australasian Institute of Mining and Metallurgy and/or the Australian Institute of Geoscientists, and qualify as Competent Persons as defined in the JORC Code.

The Company is represented on the EKJV Technical Committee which reviews the Mineral Resource and Ore Reserve estimates and procedures undertaken on no less than a quarterly basis. The Company’s Competent Persons and consultants audit internal reviews by the EKJV Manager and external reviews by independent consultants of Mineral Resource and Ore Reserve estimates and procedures. These audits have not identified any material issues.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Resources and Reserves

TABLE 1

TABLE 1
	EKJV	Mineral Resources including		Ore Reserves	at 30 June	2016 (subject	to rounding	errors)
	Entitlement	Measured		Indicated		Inferred		Total Resources
	(%)	(t)	Au (g/t)	(t)	Au (g/t)	(t)	Au (g/t)	(t)	Au (g/t)	Au (oz)
Raleigh Underground	12.50	60,636	66.2	64,749	26.6	55,110	35.6	180,495	42.6	247,371
Rubicon Underground	12.25	50,149	12.5	255,071	13.5	169,054	13.0	474,274	13.2	201,711
Hornet Open Pit	12.25	-	-	289,800	4.8	394,800	1.6	684,600	2.9	64,396
Hornet Underground	12.25	204,999	15.6	174,461	8.9	262,716	7.7	642,175	10.5	217,790
Pegasus Underground	12.25	-	-	2,524,336	10.1	758,216	11.1	3,282,552	10.4	1,093,799
EKJV Mineral Resources
(excluding Stockpiles)		315,784	24.8	3,308,417	10.2	1,639,896	9.3	5,264,096	10.8	1,825,067
Raleigh Ore Stockpile	12.50	10,555	9.6	-	-	-	-	10,555	9.6	3,265
Other EKJV Stockpiles	12.25	101,447	7.5	-	-	-	-	101,447	7.5	24,468
Total EKJV Mineral Resources		427,786	20.3	3,308,417	10.2	1,639,896	9.3	5,376,098	10.7	1,852,799
		Rand	Mineral Resources including		Ore Reserves at 30 June		2016
Mineral Resources	Entitlement	Measured		Indicated		Inferred		Total Resources
	(%)	(t)	Au (g/t)	(t)	Au (g/t)	(t)	Au (g/t)	(t)	Au (g/t)	Au (oz)
Rand	100.00	52,582	20.5	405,443	10.2	201,025	9.3	659,050	10.7	227,594

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

TABLE 2

TABLE 2
	EKJV Ore Reserves	at 30 June 2016	(subject to rounding		errors)
	Entitlement	Proved		Probable		Proved + Probable
	(%)	(t) Au (g/t)		(t)	Au (g/t)	(t)	Au (g/t)	Au (oz)
Raleigh Underground	12.50	190,599	12.9	94,767	9.9	285,367	11.9	109,105
Hornet Rubicon Underground	12.25	430,416	8.0	562,227	6.1	992,643	6.9	219,778
Hornet Open Pit	12.25	-	-	132,000	5.9	132,000	5.9	25,000
Pegasus Underground	12.25	304,775	9.9	1,737,223	6.8	2,041,998	7.3	479,102
EKJV Mineral Resources
(excluding Stockpiles)		925,790	9.6	2,526,217	6.7	3,452,008	7.5	832,985
Raleigh Ore Stockpile	12.50	10,555	9.6	-	-	10,555	9.6	3,265
Other EKJV Stockpiles	12.25	101,447	7.5	-	-	101,447	7.5	24,468
Total EKJV Mineral Resources		1,037,792	9.4	2,526,217	6.7	3,564,010	7.5	860,718
	Rand	Ore Reserves at 30 June 2016
Ore Reserves	Entitlement	Measured		Indicated		Total Resources
	(%)	(t) Au (g/t)		(t)	Au (g/t)	(t)	Au (g/t)	Au (oz)
Rand	100.00	127,632	9.4	309,699	6.7	437,331	7.5	105,719

Notes to tables:

The gold price used for the Resource calculations was AUD$1,700/oz.
The gold price used for the Reserve calculations was AUD$1,500/oz.
These tables are based on the Mineral Resources and Ore Reserves Statements for year ended 30 June 2016 in the NST Announcement lodged with ASX on 28 July 2016.
Raleigh Ore mined from M15/993 is subject to an Ore Division Agreement whereby the Raleigh Ore is divided equally between Gilt Edge Mining NL and the R&T Group.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Competent Person Statements

The information in the Company’s 2016 Annual Report that relates to Mineral Resource and Ore Reserve estimates for the Company’s EKJV Project Areas is based on information and supporting documentation prepared by the Competent Persons referred to in the ASX announcement detailed in the footnotes to the Minerals Resources and Ore Reserves Tables (Tables) and fairly represents that information.

The Mineral Resources and Ore Reserves statement as a whole, as well as the information provided by the Competent Persons referred to in the ASX announcement detailed in the footnotes to the Tables, has been approved by Dr John Andrews, a full-time employee of the Company. Dr Andrews is a Fellow of the Australasian Institute of Mining and Metallurgy and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Dr Andrews consents to the inclusion in the Company’s 2016 Annual Report announcement of the matters based on this information in the form and context in which it appears.

Significant changes in the state of affairs

There were no significant changes in the state of affairs of the Group during the financial year.

Matters subsequent to the end of the financial year

Extension to term of Liberia Project

On 2 September 2016, by a further Deed of Variation, Rand Mining Limited and Resources Capital Ltd agreed to extend the Option relating to the proposed acquisition of the Tapeta Iron Ore Project, located in Liberia.

The option was extended to 23 September 2017, in exchange for Rand paying a non-refundable option fee of USD $5,000.

No other matter or circumstance has arisen since 30 June 2016 that has significantly affected, or may significantly affect the Group's operations, the results of those operations, or the Group's state of affairs in future financial years.

Likely developments and expected results of operations

The Group intends to continue its exploration, development and production activities on its existing projects and to acquire further suitable projects for exploration as opportunities arise.

Environmental regulation

The Group is subject to and compliant with all aspects of environmental regulation of its exploration and mining activities. The directors are not aware of any environmental law that is not being complied with.

Greenhouse gas and energy data reporting requirements

The Group is subject to the reporting requirements of both the Energy Efficiency Opportunities Act 2006 and the National Greenhouse and Energy Reporting Act 2007.

The Energy Efficiency Opportunities Act 2006 requires the Group to assess its energy usages, including the identification, investigation and evaluation of energy saving opportunities, and to report publicly on the assessments undertaken, including what action the Group intends to take as a result. Due to this Act, the Group, via its participation in the East Kundana Joint Venture ('EKJV') has registered with the Department of Resources, Energy and Tourism as a participant entity and reports the results from its assessments.

The National Greenhouse and Energy Reporting Act 2007 require the Group, via its participation in the EKJV, to report its annual greenhouse gas emissions and energy use. The Group has previously implemented systems and processes for the collection and calculation of data.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Information on directors

Information on directors
Name:	Otakar Demis
Title:	Executive Chairman and Joint Company Secretary
Experience and expertise:	Otakar is a private investor and businessman with several years experience as a
	director of the Company.
Other current directorships:	Executive Chairman and Company Secretary of Tribune Resources Limited (ASX:
	TBR)
Former directorships (last 3 years): None
Interests in shares:	26,581,564 ordinary shares (4,800 directly and 26,576,764 due to position as Director
	of Tribune Resources Limited)
Name:	Anthony Billis
Title:	Executive Director, Managing Director and Chief Executive Officer
Experience and expertise:	Anthony has over 30 years' experience in gold exploration within the mining industry
	in Western Australia. He has been involved in the exploration and development of the
	Kundana project for over 25 years.
Other current directorships:	Executive Director of Tribune Resources Limited (ASX: TBR)
Former directorships (last 3 years): None
Interests in shares:	39,714,148 ordinary shares (14,000 directly and 13,123,384 indirectly and 26,576,764
	due to position as Director of Tribune Resources Limited)
Name:	Gordon Sklenka
Title:	Non-Executive Director
Qualifications:	B.Comm
Experience and expertise:	Gordon has worked in Chartered Accounting, Stockbroking and Corporate Advisory in
	both Perth and Sydney and has in excess of 15 years' experience in corporate
	finance in the resources and technology industries predominantly focusing on capital
	raisings, IPOs, acquisitions and project finance.
Other current directorships:	Non-Executive Director of Tribune Resources Limited (ASX: TBR)
Former directorships (last 3 years): Non-Executive Director of Mount Ridley Mines Limited (ASX: MRD) (formerly AXG
	Mining Ltd (ASX: AXC)) (From 16 February 2005 to 8 September 2014)
Interests in shares:	26,576,764 ordinary shares due to position as a Director of Tribune Resources
	Limited

'Other current directorships' quoted above are current directorships for listed entities only and excludes directorships in all other types of entities, unless otherwise stated.

'Former directorships (in the last 3 years)' quoted above are directorships held in the last 3 years for listed entities only and excludes directorships in all other types of entities, unless otherwise stated.

Company secretaries

Roland Berzins (B.Comm, ACPA, FFIN, TA) as joint company secretary has over 20 years' experience in the mining industry. He was previously chief accountant for 6 years at Kalgoorlie Consolidated Gold Mines Pty Ltd ('Kalgoorlie Super Pit'). In addition, Roland has worked as a Senior Mining Analyst for the former BHP iron ore division and has worked for the Mt Newman, Koolan and Cockatoo iron ore project. Since 1996 Roland has been company secretary for a variety of ASX listed companies, and has also had experience in retail, merchant banking, venture capital and SME business advisory. Details of Mr Otakar Demis as joint company secretary can be found in the 'Information of directors' section above.

Meetings of directors

The number of meetings of the Company's Board of Directors ('the Board') held during the year ended 30 June 2016, and the number of meetings attended by each director were:

	Full Board	Full Board
	Attended	Held
O Demis		2	2
A Billis		2	2
G Sklenka		2	2

Held: represents the number of meetings held during the time the director held office.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Whilst only 2 Board meetings were held during the year, it should be noted that 4 circular resolutions were signed.

The function of the Nomination and Remuneration Committee was undertaken by the full Board.

Remuneration report (audited)

The remuneration report, which has been audited, outlines the director and key management personnel remuneration arrangements for the Group and the Company, in accordance with the requirements of the Corporations Act 2001 and its Regulations.

Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the entity, directly or indirectly, including all directors.

The remuneration report is set out under the following main headings:

Principles used to determine the nature and amount of remuneration
Details of remuneration
Service agreements
Share-based compensation
Additional information
Additional disclosures relating to key management personnel

Principles used to determine the nature and amount of remuneration

The objective of the Group and Company's executive reward framework is to ensure reward for performance is competitive and appropriate for the results delivered. The framework aligns executive reward with the achievement of strategic objectives and the creation of value for shareholders, and conforms with the market best practice for delivery of reward. The Board of Directors ('the Board') ensures that executive reward satisfies the following key criteria for good reward governance practices:

competitiveness and reasonableness
acceptability to shareholders
performance linkage / alignment of executive compensation
transparency

The Board is responsible for determining and reviewing remuneration arrangements for its directors and executives. The performance of the Group and Company depends on the quality of its directors and executives. The remuneration philosophy is to attract, motivate and retain high performance and high quality personnel.

The Board has structured an executive remuneration framework that is market competitive and complementary to the reward strategy of the Group and Company.

The reward framework is designed to align executive reward to shareholders' interests. The Board have considered that it should seek to enhance shareholders' interests by:

having economic profit as a core component of plan design
attracting and retaining high calibre executives

Additionally, the reward framework should seek to enhance executives' interests by:

rewarding capability and experience
reflecting competitive reward for contribution to growth in shareholder wealth
providing a clear structure for earning rewards

In accordance with best practice corporate governance, the structure of non-executive director and executive director remuneration is separate.

Non-executive directors remuneration

Fees and payments to non-executive directors reflect the demands which are made on, and the responsibilities of, the directors. Non-executive directors' fees and payments are reviewed annually by the Board. The Board may seek the advice of independent remuneration consultants to ensure non-executive directors' fees and payments are appropriate and in line with the market (refer 'use of remuneration consultants' below). There are no termination or retirement benefits for nonexecutive directors other than statutory superannuation.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

ASX listing rules requires that the aggregate non-executive directors remuneration shall be determined periodically by a general meeting. The most recent determination was at the Annual General Meeting held on 30 November 2005, where the shareholders approved an aggregate remuneration of $160,000.

Executive remuneration

The Group and Company aims to reward executives with a level and mix of remuneration based on their position and responsibility, which is both fixed and variable.

The executive remuneration and reward framework has four components:
base pay and non-monetary benefits
short-term performance incentives
share-based payments
other remuneration such as superannuation and long service leave

The combination of these comprises the executive's total remuneration.

Fixed remuneration, consisting of base salary, superannuation and non-monetary benefits, are reviewed annually by the Board, based on individual and business unit performance, the overall performance of the Group and comparable market remunerations.

Executives can receive their fixed remuneration in the form of cash or other fringe benefits (for example motor vehicle benefits) where it does not create any additional costs to the Group and adds additional value for the executive.

The short-term incentives ('STI') program is designed to align the targets of the business units with the targets of those executives in charge of meeting those targets. STI payments are granted to executives based on specific annual targets and key performance indicators ('KPI') being achieved. KPI’s include profit contribution, customer satisfaction, leadership contribution and product management.

The long-term incentives ('LTI') currently consists of long service leave.

Group performance and link to remuneration

The directors' remuneration levels are not directly dependent upon the Group and Company's performance or any other performance conditions. However, practically, whether shareholders vote for or against an increase in the aggregate director remuneration will depend upon, amongst other things, how the Group and Company have performed.

Use of remuneration consultants

During the financial year ended 30 June 2016, the Company did not engage remuneration consultants, to review its existing remuneration policies and provide recommendations on how to improve both the short-term incentives ('STI') program and long-term incentives ('LTI') program.

Voting and comments made at the Company's 2015 Annual General Meeting ('AGM')

At the last AGM 93.73% of the shareholders voted to adopt the remuneration report for the year ended 30 June 2015. The Company did not receive any specific feedback at the AGM regarding its remuneration practices.

Details of remuneration

Amounts of remuneration

The key management personnel of the Group consisted of the directors of Rand Mining Limited and the following persons:

Roland Berzins - Joint Company Secretary
John Andrews - Manager of Kalgoorlie Operations

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Short-term benefits Cash salary Non- and fees Bonus monetary * $ $ $ 30,000 - - 40,000 - - 99,491 - 116,408 60,000 - - 92,638 5,000 -	Short-term benefits Cash salary Non- and fees Bonus monetary * $ $ $ 30,000 - - 40,000 - - 99,491 - 116,408 60,000 - - 92,638 5,000 -	Short-term benefits Cash salary Non- and fees Bonus monetary * $ $ $ 30,000 - - 40,000 - - 99,491 - 116,408 60,000 - - 92,638 5,000 -	Post- employment benefits Super- annuation $ - 3,800 17,500 - 17,500	Long-term benefits Employee leave $ - - - - -	Share-based payments Equity- settled $ - - - - -	Total $ 30,000 43,800 233,399 60,000 115,138
322,129	5,000	116,408	38,800	-	-	482,337
and housing plus applicable fringe benefits tax payable on benefits Short-term benefits Post- employment benefits Long-term benefits Cash salary Non- Super- Employee and fees Bonus monetary * annuation leave $ $ $ $ $ 20,000 - - - - 40,000 - - 3,800 - 82,500 - 61,208 17,500 - 60,000 - - - - 82,500 10,000 - 17,500 -					Share-based payments Equity- settled $ - - - - -	Total $ 20,000 43,800 161,208 60,000 110,000
285,000	10,000	61,208	38,800	-	-	395,008

Includes car and housing plus applicable fringe benefits tax payable on benefits

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

The proportion of remuneration linked to performance and the fixed proportion are as follows:

	Fixed remuneration	Fixed remuneration	STI	STI	LTI	LTI
Name	30 Jun 2016	30 Jun 2015	30 Jun 2016	30 Jun 2015	30 Jun 2016	30 Jun 2015
Non-Executive Directors:
G Sklenka	100%	100%	-	-	-	-
Executive Directors:
O Demis	100%	100%	-	-	-	-
A Billis	100%	100%	-	-	-	-
Other Key Management
Personnel:
R Berzins	100%	100%	-	-	-	-
J Andrews	96%	91%	4%	9%	-	-
The proportion of the cash bonus paid and forfeited is as follows:
			Cash bonus	paid/payable	Cash bonus forfeited
Name			30 Jun 2016	30 Jun 2015	30 Jun 2016	30 Jun 2015
Other Key Management Personnel:
J Andrews			100%	100%	-	-

The proportion of the cash bonus paid and forfeited is as follows:

Service agreements

Remuneration and other terms of employment for key management personnel are formalised in service agreements. Details of these agreements are as follows:

Name: Otakar Demis Title: Executive Chairman and Joint Company Secretary Term of agreement: Ongoing subject to re-election at Annual General Meetings every 2 years Details: Base salary, inclusive of superannuation, for the year ending 30 June 2016 of $43,800. Name: Anthony Billis Title: Executive Director and Managing Director Term of agreement: Ongoing Details: Base salary, inclusive of superannuation, for the year ended 30 June 2016 of $116,991 to be reviewed annually by the board of directors. The Company also provides housing and motor vehicle benefits to Mr Billis. Name: Roland Berzins Title: Joint Company Secretary Term of agreement: Ongoing Details: Base fees, for the year ended 30 June 2016 of $60,000. Name: John Andrews Title: Manager of Kalgoorlie Operations Term of agreement: Ongoing Details: Base salary, inclusive of superannuation for the year ended 30 June 2016 of $110,138 plus motor vehicle benefit, through the use of a pooled company car. Mr Andrews is entitled to a discretionary bonus.

Key management personnel have no entitlement to termination payments in the event of removal for misconduct.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Share-based compensation

Issue of shares

There were no shares issued to directors and other key management personnel as part of compensation during the year ended 30 June 2016.

Options

There were no options over ordinary shares issued to directors and other key management personnel as part of compensation that were outstanding as at 30 June 2016.

There were no options over ordinary shares granted to or vested by directors and other key management personnel as part of compensation during the year ended 30 June 2016.

Additional information

The earnings of the Group for the five years to 30 June 2016 are summarised below:

	2016	2015	2014	2013	2012
	$	$	$	$	$
Sales revenue	32,090,300	24,313,606	28,627,023	26,853,793	15,285,272
EBITDA	26,361,814	17,269,293	8,372,645	17,680,090	8,832,361
EBIT	22,404,640	10,857,428	5,455,111	11,898,724	5,138,233
Profit after income tax	15,287,209	7,302,215	2,940,224	7,555,945	3,153,278

The factors that are considered to affect total shareholders return ('TSR') are summarised below:

	2016	2015	2014	2013	2012
Share price at financial year end ($)	2.20	2.00	0.56	0.35	0.39
Basic earnings per share (cents per share)	25.42	12.04	4.83	12.42	5.18
Diluted earnings per share (cents per share)	25.42	12.04	4.83	12.42	5.18
Share buy-back ($)	-	879,241	-	-	-

Additional disclosures relating to key management personnel

Shareholding

The number of shares in the Company held during the financial year by each director and other members of key management personnel of the Group, including their personally related parties, is set out below:

Ordinary shares O Demis A Billis *	Balance at the start of the year 4,800 13,137,384	Received as part of remuneration - -	Additions - -	Disposals/ other - -	Balance at the end of the year 4,800 13,137,384
	13,142,184	-	-	-	13,142,184

The above amounts contain a direct shareholding in the Company of 14,000 shares and an indirect shareholding of 13,123,384.

O Demis, A Billis and G Sklenka are all common Directors of Tribune Resources Limited ('TBR'). At the reporting date TBR held 26,576,764 (2015: 26,576,764) shares in the Company. These have not been included in the above.

Loans to key management personnel and their related parties

There were no loans to or from key management personnel and their related parties at the current reporting date.

Other transactions with key management personnel and their related parties

Payment of royalties to Lake Grace Exploration Pty Ltd, a company related to the director Anthony Billis, totalling $15,117.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Payment for executive accommodation fees to Lake Grace Exploration Pty Ltd, a company related to the director Anthony Billis, totalling $22,173.

Payment for consulting fees and administration expenses to Lake Grace Exploration Pty Ltd, a company related to the director Anthony Billis, totalling $18,175.

Option fees paid to Resource Capital Limited, a director related entity, totalling $14,310.

This concludes the remuneration report, which has been audited.

Shares under option

There were no unissued ordinary shares of Rand Mining Limited under option outstanding at the date of this report.

Shares issued on the exercise of options

There were no ordinary shares of Rand Mining Limited issued on the exercise of options during the year ended 30 June 2016 and up to the date of this report.

Indemnity and insurance of officers

The Company has indemnified the directors and executives of the Company for costs incurred, in their capacity as a director or executive, for which they may be held personally liable, except where there is a lack of good faith.

During the financial year, the Company paid a premium in respect of a contract to insure the directors and executives of the Company against liabilities that may arise from an officers’ position with the exception of insolvency, conduct involving a wilful breach in relation to the Company, or a contravention of section 182 or 183 of the Corporations Act 2001, an entity that is involved in any joint venture or, partnership or enterprise carried on in common with the Company, outside directorships, any outside entity or non-profit outside entity or any vehicle or entity established to conduct such joint venture partnership or enterprise. The contract of insurance prohibits disclosure of the nature of liability and the amount of the premium.

Indemnity and insurance of auditor

The Company has not, during or since the end of the financial year, indemnified or agreed to indemnify the auditor of the Company or any related entity against a liability incurred by the auditor.

During the financial year, the Company has not paid a premium in respect of a contract to insure the auditor of the Company or any related entity.

Proceedings on behalf of the Company

No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of the Company, or to intervene in any proceedings to which the Company is a party for the purpose of taking responsibility on behalf of the Company for all or part of those proceedings.

Non-audit services

Details of the amounts paid or payable to the auditor for non-audit services provided during the financial year by the auditor are outlined in note 35 to the financial statements.

The directors are satisfied that the provision of non-audit services during the financial year, by the auditor (or by another person or firm on the auditor's behalf), is compatible with the general standard of independence for auditors imposed by the Corporations Act 2001.

The directors are of the opinion that the services as disclosed in note 35 to the financial statements do not compromise the external auditor's independence requirements of the Corporations Act 2001 for the following reasons:

all non-audit services have been reviewed and approved to ensure that they do not impact the integrity and objectivity of the auditor; and
none of the services undermine the general principles relating to auditor independence as set out in APES 110 Code of Ethics for Professional Accountants issued by the Accounting Professional and Ethical Standards Board, including reviewing or auditing the auditor's own work, acting in a management or decision-making capacity for the Company, acting as advocate for the Company or jointly sharing economic risks and rewards.

Officers of the Company who are former partners of Grant Thornton Audit Pty Ltd

There are no officers of the Company who are former partners of Grant Thornton Audit Pty Ltd.

Rand Mining Limited Directors' report 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Auditor's independence declaration

A copy of the auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out immediately after this directors' report.

Auditor

Grant Thornton Audit Pty Ltd continues in office in accordance with section 327 of the Corporations Act 2001.

This report is made in accordance with a resolution of directors, pursuant to section 298(2)(a) of the Corporations Act 2001.

On behalf of the directors

==> picture [120 x 57] intentionally omitted <==

_________ Anthony Billis Director

29 September 2016 Perth

==> picture [466 x 65] intentionally omitted <==

Level 1 10 Kings Park Road West Perth WA 6005

Auditor’s Independence Declaration To the Directors of Rand Mining Limited

Correspondence to: PO Box 570 West Perth WA 6872 T +61 8 9480 2000 F +61 8 9322 7787 E [email protected] W www.grantthornton.com.au

In accordance with the requirements of section 307C of the Corporations Act 2001, as lead auditor for the audit of Rand Mining Limited for the year ended 30 June 2016, I declare that, to the best of my knowledge and belief, there have been:

a no contraventions of the auditor independence requirements of the Corporations Act 2001 in relation to the audit; and
b no contraventions of any applicable code of professional conduct in relation to the audit.

==> picture [100 x 36] intentionally omitted <==

GRANT THORNTON AUDIT PTY LTD Chartered Accountants

==> picture [86 x 65] intentionally omitted <==

C A Becker Partner - Audit & Assurance

Perth, 29 September 2016

Grant Thornton Audit Pty Ltd ACN 130 913 594

a subsidiary or related entity of Grant Thornton Australia Ltd ABN 41 127 556 389

‘Grant Thornton’ refers to the brand under which the Grant Thornton member firms provide assurance, tax and advisory services to their clients and/or refers to one or more member firms, as the context requires. Grant Thornton Australia Ltd is a member firm of Grant Thornton International Ltd (GTIL). GTIL and the member firms are not a worldwide partnership. GTIL and each member firm is a separate legal entity. Services are delivered by the member firms. GTIL does not provide services to clients. GTIL and its member firms are not agents of, and do not obligate one another and are not liable for one another’s acts or omissions. In the Australian context only, the use of the term ‘Grant Thornton’ may refer to Grant Thornton Australia Limited ABN 41 127 556 389 and its Australian subsidiaries and related entities. GTIL is not an Australian related entity to Grant Thornton Australia Limited.

Liability limited by a scheme approved under Professional Standards Legislation. Liability is limited in those States where a current scheme applies.

Rand Mining Limited Statement of profit or loss and other comprehensive income For the year ended 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note Revenue 6 Share of profits of associates accounted for using the equity method 7 Other income 8 Expenses Changes in inventories Employee benefits expense Management fees Depreciation and amortisation expense 9 Impairment of available-for-sale assets Impairment of exploration and evaluation Administration expenses Mining expenses Processing expenses Royalty expenses Loss on disposal of non-current assets Foreign currency losses Finance costs 9 Profit before income tax expense Income tax expense 10 Profit after income tax expense for the year attributable to the owners of Rand Mining Limited 30 Other comprehensive income Items that will not be reclassified subsequently to profit or loss Share of other comprehensive income from associate Tax on revaluation adjustment in associate Items that may be reclassified subsequently to profit or loss Available-for-sale financial assets - current year revaluation gain Other comprehensive income for the year, net of tax Total comprehensive income for the year attributable to the owners of Rand Mining Limited Basic earnings per share 45 Diluted earnings per share 45 Refer to note 4 for detailed information on restatement of comparatives.	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 32,114,556 24,359,986 7,725,647 3,238,714 1,438 3,666 7,363,340 6,272,068 (618,319) (580,198) (467,862) (386,459) (3,957,174) (6,411,865) (1,917) (24,622) (1,527,035) (1,895,060) (1,051,611) (859,856) (11,497,179) (8,633,747) (4,562,349) (3,233,731) (1,070,393) (890,275) 1,532 (47,928) (23,778) (6,885) (27,601) (1,829)	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 32,114,556 24,359,986 7,725,647 3,238,714 1,438 3,666 7,363,340 6,272,068 (618,319) (580,198) (467,862) (386,459) (3,957,174) (6,411,865) (1,917) (24,622) (1,527,035) (1,895,060) (1,051,611) (859,856) (11,497,179) (8,633,747) (4,562,349) (3,233,731) (1,070,393) (890,275) 1,532 (47,928) (23,778) (6,885) (27,601) (1,829)
	22,401,295 (7,114,086)	10,901,979 (3,599,764)
	15,287,209 307,550 (92,265) 108,018	7,302,215 561,224 (171,689) 114,043
	323,303	503,578
	15,610,512	7,805,793
	Cents 25.42 25.42	Cents 12.04 12.04

The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes

Rand Mining Limited Statement of financial position As at 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note Assets Current assets Cash and cash equivalents 11 Trade and other receivables 12 Inventories 13 Income tax refund due 14 Total current assets Non-current assets Investments accounted for using the equity method 15 Available-for-sale financial assets 16 Property, plant and equipment 17 Exploration and evaluation 18 Mine development 19 Deferred tax 20 Total non-current assets Total assets Liabilities Current liabilities Trade and other payables 21 Borrowings 22 Income tax 23 Provisions 24 Total current liabilities Non-current liabilities Borrowings 25 Deferred tax 26 Provisions 27 Total non-current liabilities Total liabilities Net assets Equity Issued capital 28 Reserves 29 Retained profits 30 Total equity	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 3,751,530 2,412,176 264,219 203,560 34,272,531 26,878,572 - 204,679	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 3,751,530 2,412,176 264,219 203,560 34,272,531 26,878,572 - 204,679
	38,288,280	29,698,987
	31,059,340 510,167 5,714,691 812,350 3,894,316 1,550,775	22,826,969 404,066 3,417,689 304,375 3,067,691 1,417,775
	43,541,639	31,438,565
	81,829,919	61,137,552
	3,445,973 350,771 1,827,857 44,195	3,598,998 - - 39,838
	5,668,796	3,638,836
	429,428 7,262,362 228,537	- 4,446,978 421,454
	7,920,327	4,868,432
	13,589,123	8,507,268
	68,240,796	52,630,284
	16,694,186 1,225,382 50,321,228	16,694,186 902,079 35,034,019
	68,240,796	52,630,284

Refer to note 4 for detailed information on restatement of comparatives.

The above statement of financial position should be read in conjunction with the accompanying notes

Rand Mining Limited Statement of changes in equity For the year ended 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Rand Mining Limited Statement of changes in equity For the year ended 30 June 2016
Issued capital Consolidated $ Balance at 1 July 2014 17,573,427 Profit after income tax expense for the year - Other comprehensive income for the year, net of tax - Total comprehensive income for the year - Transactions with owners in their capacity as owners: Share buy-back (879,241) Transfers to retained earnings - Balance at 30 June 2015 16,694,186 Refer to note 4 for detailed information on restatement of comparatives. Issued capital Consolidated $ Balance at 1 July 2015 16,694,186 Profit after income tax expense for the year - Other comprehensive income for the year, net of tax - Total comprehensive income for the year - Balance at 30 June 2016 16,694,186	Issued capital $ 17,573,427 - -	Reserves $ 2,260,554 - 503,578	Retained profits $ 25,869,751 7,302,215 -	Total equity $ 45,703,732 7,302,215 503,578
	- (879,241) -	503,578 - (1,862,053)	7,302,215 - 1,862,053	7,805,793 (879,241) -
	16,694,186	902,079	35,034,019	52,630,284
		Reserves $ 902,079 - 323,303	Retained profits $ 35,034,019 15,287,209 -	Total equity $ 52,630,284 15,287,209 323,303
	-	323,303	15,287,209	15,610,512
	16,694,186	1,225,382	50,321,228	68,240,796

The above statement of changes in equity should be read in conjunction with the accompanying notes

Rand Mining Limited Statement of cash flows For the year ended 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note Cash flows from operating activities Receipts from customers (inclusive of GST) Payments to suppliers and employees (inclusive of GST) Interest received Interest and other finance costs paid Income taxes paid Net cash from operating activities 43 Cash flows from investing activities Payments for investments Payments for property, plant and equipment Payments for exploration and evaluation Payments for mine development Proceeds from disposal of property, plant and equipment Net cash used in investing activities Cash flows from financing activities Proceeds from borrowings Repayment of borrowings Cash advances to Tribune Resources Limited Cash advances from Tribune Resources Limited Payments for share buy-backs Net cash used in financing activities Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at the beginning of the financial year Cash and cash equivalents at the end of the financial year 11	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 32,091,738 24,313,600 (19,276,608) (13,566,523)	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 32,091,738 24,313,600 (19,276,608) (13,566,523)
	12,815,130 24,256 (20,093) (2,928,442)	10,747,077 46,380 (1,829) (2,268,470)
	9,890,851	8,523,158
	(199,174) (2,232,190) (2,051,722) (3,829,913) -	(353,000) (2,087,299) (2,234,815) (3,454,430) 18,375
	(8,312,999)	(8,111,169)
	- (238,498) 3,650,000 (3,650,000) -	2,350,000 (2,350,000) - - (879,241)
	(238,498)	(879,241)
	1,339,354 2,412,176	(467,252) 2,879,428
	3,751,530	2,412,176

The above statement of cash flows should be read in conjunction with the accompanying notes

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 1. General information

The financial statements cover Rand Mining Limited as a Group consisting of Rand Mining Limited and the entities it controlled at the end of, or during, the year. The financial statements are presented in Australian dollars, which is Rand Mining Limited's functional and presentation currency.

Rand Mining Limited is a listed public company limited by shares, incorporated and domiciled in Australia. Its registered office and principal place of business is:

Suite G1, 49 Melville Parade South Perth WA 6151

A description of the nature of the Group's operations and its principal activities are included in the directors' report, which is not part of the financial statements.

The financial statements were authorised for issue, in accordance with a resolution of directors, on 29 September 2016. The directors have the power to amend and reissue the financial statements.

Note 2. Significant accounting policies

The principal accounting policies adopted in the preparation of the financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

New, revised or amending Accounting Standards and Interpretations adopted

The Group has adopted all of the new, revised or amending Accounting Standards and Interpretations issued by the Australian Accounting Standards Board ('AASB') that are mandatory for the current reporting period.

Any new, revised or amending Accounting Standards or Interpretations that are not yet mandatory have not been early adopted.

Basis of preparation

These general purpose financial statements have been prepared in accordance with Australian Accounting Standards and Interpretations issued by the Australian Accounting Standards Board ('AASB') and the Corporations Act 2001, as appropriate for for-profit oriented entities. These financial statements also comply with International Financial Reporting Standards as issued by the International Accounting Standards Board ('IASB').

Historical cost convention

The financial statements have been prepared under the historical cost convention, except for, where applicable, the revaluation of available-for-sale financial assets.

Critical accounting estimates

The preparation of the financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the Group's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements, are disclosed in note 3.

Parent entity information

In accordance with the Corporations Act 2001, these financial statements present the results of the Group only. Supplementary information about the parent entity is disclosed in note 39.

Principles of consolidation

The consolidated financial statements incorporate the assets and liabilities of all subsidiaries of Rand Mining Limited ('Company' or 'parent entity') as at 30 June 2016 and the results of all subsidiaries for the year then ended. Rand Mining Limited and its subsidiaries together are referred to in these financial statements as the 'Group'.

Subsidiaries are all those entities over which the Group has control. The Group controls an entity when the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity. Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are de-consolidated from the date that control ceases.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 2. Significant accounting policies (continued)

Intercompany transactions, balances and unrealised gains on transactions between entities in the Group are eliminated. Unrealised losses are also eliminated unless the transaction provides evidence of the impairment of the asset transferred. Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the Group.

The acquisition of subsidiaries is accounted for using the acquisition method of accounting. A change in ownership interest, without the loss of control, is accounted for as an equity transaction, where the difference between the consideration transferred and the book value of the share of the non-controlling interest acquired is recognised directly in equity attributable to the parent.

Where the Group loses control over a subsidiary, it derecognises the assets including goodwill, liabilities and noncontrolling interest in the subsidiary together with any cumulative translation differences recognised in equity. The Group recognises the fair value of the consideration received and the fair value of any investment retained together with any gain or loss in profit or loss.

Operating segments

Operating segments are presented using the 'management approach', where the information presented is on the same basis as the internal reports provided to the Chief Operating Decision Makers ('CODM'). The CODM is responsible for the allocation of resources to operating segments and assessing their performance.

Revenue recognition

Revenue is recognised when it is probable that the economic benefit will flow to the Group and the revenue can be reliably measured. Revenue is measured at the fair value of the consideration received or receivable.

Sale of gold

Sale of gold revenue is recognised at the point of sale, which is where the customer has taken delivery of the goods, the risks and rewards are transferred to the customer and there is a valid sales contract. Amounts disclosed as revenue are net of sales returns and trade discounts.

Interest

Interest revenue is recognised as interest accrues using the effective interest method. This is a method of calculating the amortised cost of a financial asset and allocating the interest income over the relevant period using the effective interest rate, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to the net carrying amount of the financial asset.

Other revenue

Other revenue is recognised when it is received or when the right to receive payment is established.

Income tax

The income tax expense or benefit for the period is the tax payable on that period's taxable income based on the applicable income tax rate for each jurisdiction, adjusted by the changes in deferred tax assets and liabilities attributable to temporary differences, unused tax losses and the adjustment recognised for prior periods, where applicable.

Deferred tax assets and liabilities are recognised for temporary differences at the tax rates expected to be applied when the assets are recovered or liabilities are settled, based on those tax rates that are enacted or substantively enacted, except for:

When the deferred income tax asset or liability arises from the initial recognition of goodwill or an asset or liability in a transaction that is not a business combination and that, at the time of the transaction, affects neither the accounting nor taxable profits; or
When the taxable temporary difference is associated with interests in subsidiaries, associates or joint ventures, and the timing of the reversal can be controlled and it is probable that the temporary difference will not reverse in the foreseeable future.

Deferred tax assets are recognised for deductible temporary differences and unused tax losses only if it is probable that future taxable amounts will be available to utilise those temporary differences and losses.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 2. Significant accounting policies (continued)

The carrying amount of recognised and unrecognised deferred tax assets are reviewed at each reporting date. Deferred tax assets recognised are reduced to the extent that it is no longer probable that future taxable profits will be available for the carrying amount to be recovered. Previously unrecognised deferred tax assets are recognised to the extent that it is probable that there are future taxable profits available to recover the asset.

Deferred tax assets and liabilities are offset only where there is a legally enforceable right to offset current tax assets against current tax liabilities and deferred tax assets against deferred tax liabilities; and they relate to the same taxable authority on either the same taxable entity or different taxable entities which intend to settle simultaneously.

Current and non-current classification

Assets and liabilities are presented in the statement of financial position based on current and non-current classification.

An asset is classified as current when: it is either expected to be realised or intended to be sold or consumed in the Group's normal operating cycle; it is held primarily for the purpose of trading; it is expected to be realised within 12 months after the reporting period; or the asset is cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least 12 months after the reporting period. All other assets are classified as non-current.

A liability is classified as current when: it is either expected to be settled in the Group's normal operating cycle; it is held primarily for the purpose of trading; it is due to be settled within 12 months after the reporting period; or there is no unconditional right to defer the settlement of the liability for at least 12 months after the reporting period. All other liabilities are classified as non-current.

Deferred tax assets and liabilities are always classified as non-current.

Cash and cash equivalents

Cash and cash equivalents includes cash on hand, deposits held at call with financial institutions, other short-term, highly liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.

Trade and other receivables

Other receivables are recognised at amortised cost, less any provision for impairment.

Inventories

Inventories are stated at the lower of cost and net realisable value on a 'first in first out' basis. Cost comprises direct materials and delivery costs, direct labour, import duties and other taxes, an appropriate proportion of variable and fixed overhead expenditure based on normal operating capacity, and, where applicable, transfers from cash flow hedging reserves in equity. Costs of purchased inventory are determined after deducting rebates and discounts received or receivable.

Associates

Associates are entities over which the Group has significant influence but not control or joint control. Investments in associates are accounted for using the equity method. Under the equity method, the share of the profits or losses of the associate is recognised in profit or loss and the share of the movements in equity is recognised in other comprehensive income. Investments in associates are carried in the statement of financial position at cost plus post-acquisition changes in the Group's share of net assets of the associate. Goodwill relating to the associate is included in the carrying amount of the investment and is neither amortised nor individually tested for impairment. Dividends received or receivable from associates reduce the carrying amount of the investment.

When the Group's share of losses in an associate equals or exceeds its interest in the associate, including any unsecured long-term receivables, the Group does not recognise further losses, unless it has incurred obligations or made payments on behalf of the associate.

The Group discontinues the use of the equity method upon the loss of significant influence over the associate and recognises any retained investment at its fair value. Any difference between the associate's carrying amount, fair value of the retained investment and proceeds from disposal is recognised in profit or loss.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 2. Significant accounting policies (continued)

Joint operations

A joint operation is a joint arrangement whereby the parties that have joint control of the arrangement have rights to the assets, and obligations for the liabilities, relating to the arrangement. The Group has recognised its share of jointly held assets, liabilities, revenues and expenses of joint operations. These have been incorporated in the financial statements under the appropriate classifications.

Investments and other financial assets

Investments and other financial assets are initially measured at fair value. Transaction costs are included as part of the initial measurement, except for financial assets at fair value through profit or loss. They are subsequently measured at either amortised cost or fair value depending on their classification. Classification is determined based on the purpose of the acquisition and subsequent reclassification to other categories is restricted.

Financial assets are derecognised when the rights to receive cash flows from the financial assets have expired or have been transferred and the Group has transferred substantially all the risks and rewards of ownership.

Loans and receivables

Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. They are carried at amortised cost using the effective interest rate method. Gains and losses are recognised in profit or loss when the asset is derecognised or impaired.

Available-for-sale financial assets

Available-for-sale financial assets are non-derivative financial assets, principally equity securities, that are either designated as available-for-sale or not classified as any other category. After initial recognition, fair value movements are recognised in other comprehensive income through the available-for-sale reserve in equity. Cumulative gain or loss previously reported in the available-for-sale reserve is recognised in profit or loss when the asset is derecognised or impaired.

Impairment of financial assets

The Group assesses at the end of each reporting period whether there is any objective evidence that a financial asset or group of financial assets is impaired. Objective evidence includes significant financial difficulty of the issuer or obligor; a breach of contract such as default or delinquency in payments; the lender granting to a borrower concessions due to economic or legal reasons that the lender would not otherwise do; it becomes probable that the borrower will enter bankruptcy or other financial reorganisation; the disappearance of an active market for the financial asset; or observable data indicating that there is a measurable decrease in estimated future cash flows.

The amount of the impairment allowance for loans and receivables carried at amortised cost is the difference between the asset's carrying amount and the present value of estimated future cash flows, discounted at the original effective interest rate. If there is a reversal of impairment, the reversal cannot exceed the amortised cost that would have been recognised had the impairment not been made and is reversed to profit or loss.

Available-for-sale financial assets are considered impaired when there has been a significant or prolonged decline in value below initial cost. Subsequent increments in value are recognised in other comprehensive income through the availablefor-sale reserve.

Property, plant and equipment

Plant and equipment is stated at historical cost less accumulated depreciation and impairment. Historical cost includes expenditure that is directly attributable to the acquisition of the items.

Depreciation is calculated on a straight-line basis to write off the net cost of each item of property, plant and equipment over their expected useful lives as follows:

Plant and equipment 2.7-6.7 years Mining plant and equipment 2.7-6.7 years

The residual values, useful lives and depreciation methods are reviewed, and adjusted if appropriate, at each reporting date.

Leasehold improvements and plant and equipment under lease are depreciated over the unexpired period of the lease or the estimated useful life of the assets, whichever is shorter.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 2. Significant accounting policies (continued)

An item of property, plant and equipment is derecognised upon disposal or when there is no future economic benefit to the Group. Gains and losses between the carrying amount and the disposal proceeds are taken to profit or loss. Any revaluation surplus reserve relating to the item disposed of is transferred directly to retained profits.

Mining plant and equipment and capital work in progress

Mining plant and equipment and capital work in progress is carried at cost which includes acquisition, transportation, installation, and commissioning costs. Costs also include present value of decommissioning costs and finance charges capitalised during the construction period where such expenditure is financed by borrowings. Costs are not depreciated until such time as the asset has been completed ready for use.

Subsequent costs are included in the asset’s carrying amount only when it is probable that future economic benefits associated with the item will flow to the Group, and the cost of the item can be measured reliably. All other repairs and maintenance are charged to profit or loss during the financial period in which they are incurred.

Leases

The determination of whether an arrangement is or contains a lease is based on the substance of the arrangement and requires an assessment of whether the fulfilment of the arrangement is dependent on the use of a specific asset or assets and the arrangement conveys a right to use the asset.

A distinction is made between finance leases, which effectively transfer from the lessor to the lessee substantially all the risks and benefits incidental to the ownership of leased assets, and operating leases, under which the lessor effectively retains substantially all such risks and benefits.

Finance leases are capitalised. A lease asset and liability are established at the fair value of the leased assets, or if lower, the present value of minimum lease payments. Lease payments are allocated between the principal component of the lease liability and the finance costs, so as to achieve a constant rate of interest on the remaining balance of the liability.

Leased assets acquired under a finance lease are depreciated over the asset's useful life or over the shorter of the asset's useful life and the lease term if there is no reasonable certainty that the Group will obtain ownership at the end of the lease term.

Operating lease payments, net of any incentives received from the lessor, are charged to profit or loss on a straight-line basis over the term of the lease.

Exploration and evaluation

Exploration and evaluation expenditures are typically expenses, unless it can be demonstrated that the related expenditures will generate a future economic benefit, in which case these costs are capitalised.

Examples of common exploration and evaluation activities

Exploration activities which primarily consist of expenditures relating to drilling programs and include, but are not limited to:

Researching and analysing existing exploration data;
Conducting geological mapping studies; and
Exploratory drilling and sampling including:
Taking core samples for analysis (assay work);
Sinking exploratory shafts;
Opening shallow pits; and
Drilling to determine volume and grade of deposits in an area known to contain mineral resources, or for the purpose of converting mineral resources into proven and probable reserves.

Exploration and evaluation assets are assessed for impairment when facts and circumstances suggest that the carrying amount the asset exceeds its recoverable amount. Where the carrying amount is assessed as exceeding recoverable amount, the excess is recognised as an impairment expense in the profit or loss.

Mine development assets

Capitalised mine development costs include expenditures incurred to develop new ore bodies to define further mineralisation in existing ore bodies, to expand the capacity of a mine and to maintain production. Mine development also includes costs transferred from exploration and evaluation phase once production commences in the area of interest.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 2. Significant accounting policies (continued)

Amortisation of mine development is computed by the units of production basis over the estimated proved and probable reserves. Proved and probable mineral reserves reflect estimated quantities of economically recoverable reserves which can be recovered in the future from known mineral deposits. These reserves are amortised from the date on which production commences. The amortisation is calculated from recoverable proven and probable reserves and a predetermined percentage of the recoverable measured, indicated and inferred resource. This percentage is reviewed annually.

Restoration costs expected to be incurred are provided for as part of development phase that give rise to the need for restoration.

Impairment of non-financial assets

Goodwill and other intangible assets that have an indefinite useful life are not subject to amortisation and are tested annually for impairment, or more frequently if events or changes in circumstances indicate that they might be impaired. Other non-financial assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount.

Recoverable amount is the higher of an asset's fair value less costs of disposal and value-in-use. The value-in-use is the present value of the estimated future cash flows relating to the asset using a pre-tax discount rate specific to the asset or cash-generating unit to which the asset belongs. Assets that do not have independent cash flows are grouped together to form a cash-generating unit.

Trade and other payables

These amounts represent liabilities for goods and services provided to the Group prior to the end of the financial year and which are unpaid. Due to their short-term nature they are measured at amortised cost and are not discounted. The amounts are unsecured and are usually paid within 30 days of recognition.

Borrowings

Loans and borrowings are initially recognised at the fair value of the consideration received, net of transaction costs. They are subsequently measured at amortised cost using the effective interest method.

Where there is an unconditional right to defer settlement of the liability for at least 12 months after the reporting date, the loans or borrowings are classified as non-current.

Finance costs

Finance costs attributable to qualifying assets are capitalised as part of the asset. All other finance costs are expensed in the period in which they are incurred.

Provisions

Provisions are recognised when the Group has a present (legal or constructive) obligation as a result of a past event, it is probable the Group will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation. The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting date, taking into account the risks and uncertainties surrounding the obligation. If the time value of money is material, provisions are discounted using a current pre-tax rate specific to the liability. The increase in the provision resulting from the passage of time is recognised as a finance cost.

Employee benefits

Short-term employee benefits

Liabilities for wages and salaries, including non-monetary benefits, annual leave and long service leave expected to be settled wholly within 12 months of the reporting date are recognised in current liabilities in respect of employees' services up to the reporting date and are measured at the amounts expected to be paid when the liabilities are settled.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 2. Significant accounting policies (continued)

Other long-term employee benefits

The liability for long service leave not expected to be settled within 12 months of the reporting date are recognised in noncurrent liabilities, provided there is an unconditional right to defer settlement of the liability. The liability is measured as the present value of expected future payments to be made in respect of services provided by employees up to the reporting date using the projected unit credit method. Consideration is given to expected future wage and salary levels, experience of employee departures and periods of service. Expected future payments are discounted using market yields at the reporting date on bonds with terms to maturity and currency that match, as closely as possible, the estimated future cash outflows.

Defined contribution superannuation expense

Contributions to defined contribution superannuation plans are expensed in the period in which they are incurred.

Fair value measurement

When an asset or liability, financial or non-financial, is measured at fair value for recognition or disclosure purposes, the fair value is based on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date; and assumes that the transaction will take place either: in the principal market; or in the absence of a principal market, in the most advantageous market.

Fair value is measured using the assumptions that market participants would use when pricing the asset or liability, assuming they act in their economic best interests. For non-financial assets, the fair value measurement is based on its highest and best use. Valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, are used, maximising the use of relevant observable inputs and minimising the use of unobservable inputs.

Assets and liabilities measured at fair value are classified, into three levels, using a fair value hierarchy that reflects the significance of the inputs used in making the measurements. Classifications are reviewed at each reporting date and transfers between levels are determined based on a reassessment of the lowest level of input that is significant to the fair value measurement.

For recurring and non-recurring fair value measurements, external valuers may be used when internal expertise is either not available or when the valuation is deemed to be significant. External valuers are selected based on market knowledge and reputation. Where there is a significant change in fair value of an asset or liability from one period to another, an analysis is undertaken, which includes a verification of the major inputs applied in the latest valuation and a comparison, where applicable, with external sources of data.

Issued capital

Ordinary shares are classified as equity.

Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction, net of tax, from the proceeds.

Business combinations

The acquisition method of accounting is used to account for business combinations regardless of whether equity instruments or other assets are acquired.

The consideration transferred is the sum of the acquisition-date fair values of the assets transferred, equity instruments issued or liabilities incurred by the acquirer to former owners of the acquiree and the amount of any non-controlling interest in the acquiree. For each business combination, the non-controlling interest in the acquiree is measured at either fair value or at the proportionate share of the acquiree's identifiable net assets. All acquisition costs are expensed as incurred to profit or loss.

On the acquisition of a business, the Group assesses the financial assets acquired and liabilities assumed for appropriate classification and designation in accordance with the contractual terms, economic conditions, the Group's operating or accounting policies and other pertinent conditions in existence at the acquisition-date.

Where the business combination is achieved in stages, the Group remeasures its previously held equity interest in the acquiree at the acquisition-date fair value and the difference between the fair value and the previous carrying amount is recognised in profit or loss.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 2. Significant accounting policies (continued)

Contingent consideration to be transferred by the acquirer is recognised at the acquisition-date fair value. Subsequent changes in the fair value of the contingent consideration classified as an asset or liability is recognised in profit or loss. Contingent consideration classified as equity is not remeasured and its subsequent settlement is accounted for within equity.

The difference between the acquisition-date fair value of assets acquired, liabilities assumed and any non-controlling interest in the acquiree and the fair value of the consideration transferred and the fair value of any pre-existing investment in the acquiree is recognised as goodwill. If the consideration transferred and the pre-existing fair value is less than the fair value of the identifiable net assets acquired, being a bargain purchase to the acquirer, the difference is recognised as a gain directly in profit or loss by the acquirer on the acquisition-date, but only after a reassessment of the identification and measurement of the net assets acquired, the non-controlling interest in the acquiree, if any, the consideration transferred and the acquirer's previously held equity interest in the acquirer.

Business combinations are initially accounted for on a provisional basis. The acquirer retrospectively adjusts the provisional amounts recognised and also recognises additional assets or liabilities during the measurement period, based on new information obtained about the facts and circumstances that existed at the acquisition-date. The measurement period ends on either the earlier of (i) 12 months from the date of the acquisition or (ii) when the acquirer receives all the information possible to determine fair value.

Earnings per share

Basic earnings per share

Basic earnings per share is calculated by dividing the profit attributable to the owners of Rand Mining Limited, excluding any costs of servicing equity other than ordinary shares, by the weighted average number of ordinary shares outstanding during the financial year, adjusted for bonus elements in ordinary shares issued during the financial year.

Diluted earnings per share

Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account the after income tax effect of interest and other financing costs associated with dilutive potential ordinary shares and the weighted average number of shares assumed to have been issued for no consideration in relation to dilutive potential ordinary shares.

Goods and Services Tax ('GST') and other similar taxes

Revenues, expenses and assets are recognised net of the amount of associated GST, unless the GST incurred is not recoverable from the tax authority. In this case it is recognised as part of the cost of the acquisition of the asset or as part of the expense.

Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST recoverable from, or payable to, the tax authority is included in other receivables or other payables in the statement of financial position.

Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing activities which are recoverable from, or payable to the tax authority, are presented as operating cash flows.

Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the tax authority.

New Accounting Standards and Interpretations not yet mandatory or early adopted

Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet mandatory, have not been early adopted by the Group for the annual reporting period ended 30 June 2016. The Group's assessment of the impact of these new or amended Accounting Standards and Interpretations, most relevant to the Group, are set out below.

AASB 9 Financial Instruments

This standard is applicable to annual reporting periods beginning on or after 1 January 2018. The standard replaces all previous versions of AASB 9 and completes the project to replace IAS 39 ‘Financial Instruments: Recognition and Measurement’. AASB 9 introduces new classification and measurement models for financial assets. New simpler hedge accounting requirements are intended to more closely align the accounting treatment with the risk management activities of the entity. New impairment requirements will use an ‘expected credit loss’ (‘ECL’) model to recognise an allowance. The Group will adopt this standard from 1 July 2018 but the impact of its adoption is yet to be assessed.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 2. Significant accounting policies (continued)

AASB 15 Revenue from Contracts with Customers

This standard is applicable to annual reporting periods beginning on or after 1 January 2018. The standard provides a single standard for revenue recognition. The core principle of the standard is that an entity will recognise revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The standard will require: contracts (either written, verbal or implied) to be identified, together with the separate performance obligations within the contract; determine the transaction price, adjusted for the time value of money excluding credit risk; allocation of the transaction price to the separate performance obligations on a basis of relative stand-alone selling price of each distinct good or service, or estimation approach if no distinct observable prices exist; and recognition of revenue when each performance obligation is satisfied. Credit risk will be presented separately as an expense rather than adjusted to revenue. For goods, the performance obligation would be satisfied when the customer obtains control of the goods. For services, the performance obligation is satisfied when the service has been provided, typically for promises to transfer services to customers. For performance obligations satisfied over time, an entity would select an appropriate measure of progress to determine how much revenue should be recognised as the performance obligation is satisfied. Contracts with customers will be presented in an entity's statement of financial position as a contract liability, a contract asset, or a receivable, depending on the relationship between the entity's performance and the customer's payment. Sufficient quantitative and qualitative disclosure is required to enable users to understand the contracts with customers; the significant judgements made in applying the guidance to those contracts; and any assets recognised from the costs to obtain or fulfil a contract with a customer. The Group will adopt this standard from 1 January 2018 but the impact of its adoption is yet to be assessed by the Group.

AASB 16 Leases

This standard is applicable to annual reporting periods beginning on or after 1 January 2019. The standard replaces AASB 117 'Leases' and for lessees will eliminate the classifications of operating leases and finance leases. Subject to exceptions, a 'right-of-use' asset will be capitalised in the statement of financial position, measured as the present value of the unavoidable future lease payments to be made over the lease term. The exceptions relate to short-term leases of 12 months or less and leases of low-value assets (such as personal computers and small office furniture) where an accounting policy choice exists whereby either a 'right-of-use' asset is recognised or lease payments are expensed to profit or loss as incurred. A liability corresponding to the capitalised lease will also be recognised, adjusted for lease prepayments, lease incentives received, initial direct costs incurred and an estimate of any future restoration, removal or dismantling costs. Straight-line operating lease expense recognition will be replaced with a depreciation charge for the leased asset (included in operating costs) and an interest expense on the recognised lease liability (included in finance costs). In the earlier periods of the lease, the expenses associated with the lease under AASB 16 will be higher when compared to lease expenses under AASB 117. However EBITDA (Earnings Before Interest, Tax, Depreciation and Amortisation) results will be improved as the operating expense is replaced by interest expense and depreciation in profit or loss under AASB 16. For classification within the statement of cash flows, the lease payments will be separated into both a principal (financing activities) and interest (either operating or financing activities) component. For lessor accounting, the standard does not substantially change how a lessor accounts for leases. The Group will adopt this standard from 1 July 2019 but the impact of its adoption is yet to be assessed by the Group.

Other amending accounting standards issued are not considered to have a significant impact on the financial statements of the Group as their amendments provide either clarification of existing accounting treatment or editorial amendments. These standards (and their operative dates) include:

AASB 14 Regulatory Deferral Accounts (from 1 January 2016)
AASB 2014-1 Amendments to Australian Accounting Standards (Part D from 1 January 2016 and Part E from 1 January 2018)
AASB 2014-3 Amendments to Australian Accounting Standards – Accounting for Acquisitions of Interests in Joint Operations (from 1 January 2016)
AASB 2014-4 Amendments to Australian Accounting Standards – Clarification of Acceptable Methods of Depreciation and Amortisation (from 1 January 2016)
AASB 2014-5 Amendments to Australian Accounting Standards arising from AASB 15 (from 1 January 2017)
AASB 2014-7 Amendments to Australian Accounting Standards arising from AASB 9 (December 2014) (from 1 January 2018)
AASB 2014-9 Amendments to Australian Accounting Standards – Equity Method in Separate Financial Statements (from 1 January 2016)
AASB 2014-10 Amendments to Australian Accounting Standards – Sale or Contribution of Assets between an Investor and its Associate or Joint Venture (from 1 January 2016)
AASB 2015-1 Amendments to Australian Accounting Standards – Annual Improvements to Australian Accounting Standards 2012–2014 Cycle (from 1 January 2016)

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 3. Critical accounting judgements, estimates and assumptions

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the reported amounts in the financial statements. Management continually evaluates its judgements and estimates in relation to assets, liabilities, contingent liabilities, revenue and expenses. Management bases its judgements, estimates and assumptions on historical experience and on other various factors, including expectations of future events, management believes to be reasonable under the circumstances. The resulting accounting judgements and estimates will seldom equal the related actual results. The judgements, estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities (refer to the respective notes) within the next financial year are discussed below.

Share-based payment transactions

The Group measures the cost of equity-settled transactions with employees by reference to the fair value of the equity instruments at the date at which they are granted. The fair value is determined by using the Binomial model taking into account the terms and conditions upon which the instruments were granted. The accounting estimates and assumptions relating to equity-settled share-based payments would have no impact on the carrying amounts of assets and liabilities within the next annual reporting period but may impact profit or loss and equity.

Estimation of useful lives of assets

The Group determines the estimated useful lives and related depreciation and amortisation charges for its property, plant and equipment and finite life intangible assets. The useful lives could change significantly as a result of technical innovations or some other event. The depreciation and amortisation charge will increase where the useful lives are less than previously estimated lives, or technically obsolete or non-strategic assets that have been abandoned or sold will be written off or written down.

Income tax

The Group is subject to income taxes in the jurisdictions in which it operates. Significant judgement is required in determining the provision for income tax. There are many transactions and calculations undertaken during the ordinary course of business for which the ultimate tax determination is uncertain. The Group recognises liabilities for anticipated tax audit issues based on the Group's current understanding of the tax law. Where the final tax outcome of these matters is different from the carrying amounts, such differences will impact the current and deferred tax provisions in the period in which such determination is made.

Recovery of deferred tax assets

Deferred tax assets are recognised for deductible temporary differences only if the Group considers it is probable that future taxable amounts will be available to utilise those temporary differences and losses.

Recoverability of assets

The recoverable amount of each ‘cash-generating unit’ , ‘investment in associate’, and 'investment in joint arrangement' is determined as the higher of the asset’s fair value less costs to dispose and its value in use. Assessments of value in use and fair value less cost to dispose require the use of estimates and assumptions including discount rates, exchange rates, commodity prices, future capital requirements and future operating performance, as well as the value that a market participant would place on any resources which have yet to be proven as reserves associated with the CGU.

Inventories are recognised at the lower of cost and net realisable value which is calculated. The computation of net realisable value involves significant judgements and estimates in relation to future processing costs, commodity prices, foreign exchange rates, and timing of processing and sale.

Mine development assets

The estimated quantities of economically recoverable reserves and resources are based upon interpretations of geological and geophysical models and require assumptions to be made regarding factors such as estimates of short and long term exchange rates, estimates of short and long term commodity prices, future capital requirements and future operating performance. Changes in reported reserves and resources estimates can impact the carrying value of deferred mining expenditure, intangible assets, provisions for mine rehabilitation, the recognition of deferred tax assets, as well as the amount of depreciation and amortisation charged to the profit or loss.

Exploration and evaluation expenditure

The application of the Group's accounting policy for exploration and evaluation expenditure requires judgement to determine whether future economic benefits are likely, from either future exploitation or sale, or whether activities have not reached a stage that permits a reasonable assessment of the existence of reserves.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 4. Restatement of comparatives

Correction of prior period error - Inventory for the year ended 30 June 2015

Upon review of the internal records of the Group, and in association with consultation with the East Kundana Joint Venture, it came to the attention of management that the value of ore stockpiles had been undervalued in the statement of financial position as at 30 June 2015. The comparative information has been restated to appropriately reflect the value of the stockpiles. Additionally, the same stockpiles were not recorded in Tribune Resources Limited (an equity accounted investment). The comparative information has been restated to appropriately reflect the increase in the Group’s share of the profit from associate as a result of the error in Tribune Resources Limited. No third balance sheet in the statement of financial position is required as the error is contained to the reporting period 30 June 2015.

The effects of this error on the comparative periods presented are:

at 30 June 2015, inventory in the statement of financial position was understated by $1,070,342 and the changes in inventory in the statement of profit or loss was understated by the same amount;
income tax expense in the statement of profit or loss for the year ended 30 June 2015 was understated by $321,103 and income tax refund due in the statement of financial position was understated by the same amount;
at 30 June 2015, the equity accounted investment (representing 26.26% of Rand’s share of Tribunes increase in profit) was understated by $590,251 and the share of profits from associated using the equity method in the statement of profit or loss was understated by the same amount; and
income tax expense in the statement of profit or loss for the year ended 30 June 2015 was understated by $177,075 and the deferred tax liability at 30 June 2015 in the statement of financial position was understated by the same amount.

The total comprehensive income for the Group for the year ended 30 June 2015 was understated by $1,162,415.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 4. Restatement of comparatives (continued)

Statement of profit or loss and other comprehensive income

30 Jun 2015 $ Reported 24,359,986 2,648,463 3,666 5,201,726 (580,198) (386,459) (6,411,865) (24,622) (1,895,060) (859,856) (8,633,747) (3,233,731) (890,275) (47,928) (6,885) (1,829)	Consolidated $ Adjustment - 590,251 - 1,070,342 - - - - - - - - - - - -	30 Jun 2015 $ Restated 24,359,986 3,238,714 3,666 6,272,068 (580,198) (386,459) (6,411,865) (24,622) (1,895,060) (859,856) (8,633,747) (3,233,731) (890,275) (47,928) (6,885) (1,829)
9,241,386 (3,101,586)	1,660,593 (498,178)	10,901,979 (3,599,764)
6,139,800 561,224 (171,689) 114,043	1,162,415 - - -	7,302,215 561,224 (171,689) 114,043
503,578	-	503,578
6,643,378	1,162,415	7,805,793
Cents Reported 10.12 10.12	Cents Adjustment 1.92 1.92	Cents Restated 12.04 12.04

Statement of financial position at the beginning of the earliest comparative period

When there is a restatement of comparatives, it is mandatory to provide a third statement of financial position at the beginning of the earliest comparative period, being 1 July 2014. However, as there were no adjustments made as at 1 July 2014, the Group has elected not to show the 1 July 2014 statement of financial position.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 4. Restatement of comparatives (continued)

Statement of financial position at the end of the earliest comparative period

30 Jun 2015 $ Reported 2,412,176 203,560 25,808,230 525,782	Consolidated $ Adjustment - - 1,070,342 (321,103)	30 Jun 2015 $ Restated 2,412,176 203,560 26,878,572 204,679
28,949,748	749,239	29,698,987
22,236,718 404,066 3,417,689 304,375 3,067,691 1,417,775	590,251 - - - - -	22,826,969 404,066 3,417,689 304,375 3,067,691 1,417,775
30,848,314	590,251	31,438,565
59,798,062	1,339,490	61,137,552
3,598,998 39,838	- -	3,598,998 39,838
3,638,836	-	3,638,836
4,269,903 421,454	177,075 -	4,446,978 421,454
4,691,357	177,075	4,868,432
8,330,193	177,075	8,507,268
51,467,869	1,162,415	52,630,284
16,694,186 902,079 33,871,604	- - 1,162,415	16,694,186 902,079 35,034,019
51,467,869	1,162,415	52,630,284

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 5. Operating segments

Identification of reportable operating segments

The Group has no operating segments as the internal reports that are reviewed and used by the Board of Directors (who are identified as the Chief Operating Decision Makers ('CODM')) in assessing performance and in determining the allocation of resources are the Group as a whole.

Geographical information

The Group's revenue and non-current assets are all derived in Australia and, therefore, this information is detailed throughout the financial statements.

Note 6. Revenue

Sales revenue Sales of gold Other revenue Interest Revenue	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 32,090,300 24,313,606	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 32,090,300 24,313,606
	24,256	46,380
	32,114,556	24,359,986

Note 7. Share of profits of associates accounted for using the equity method

Share of profit - associates	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 7,725,647 3,238,714

Share of profit - associates relates to the Company's investment in Tribune Resources Limited. Refer to notes 15 and 41 for further details of the investment.

Note 8. Other income

Other income - sale of scrap	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 1,438 3,666

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 9. Expenses

Profit before income tax includes the following specific expenses: Depreciation Plant and equipment Mining plant and equipment Total depreciation Amortisation Mine development Total depreciation and amortisation Finance costs Interest and finance charges paid/payable Rental expense relating to operating leases Minimum lease payments Superannuation expense Defined contribution superannuation expense Note 10. Income tax expense Income tax expense Current tax Deferred tax - origination and reversal of temporary differences Current tax relating to prior periods Deferred tax relating to prior periods Aggregate income tax expense Deferred tax included in income tax expense comprises: Increase in deferred tax assets (note 20) Increase in deferred tax liabilities (note 26) Deferred tax - origination and reversal of temporary differences Numerical reconciliation of income tax expense and tax at the statutory rate Profit before income tax expense Tax at the statutory tax rate of 30% Tax effect amounts which are not deductible/(taxable) in calculating taxable income: Non-deductible foreign expenditure Sundry items Adjustment recognised for prior periods Income tax expense	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 15,580 9,161 938,306 884,538	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 15,580 9,161 938,306 884,538
	953,886	893,699
	3,003,288	5,518,166
	3,957,174	6,411,865
	27,601	1,829
	73,918	28,606
	30,833	37,411
	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 4,521,855 3,158,378 2,590,119 476,070 2,112 46,596 - (81,280)
	7,114,086	3,599,764
	(133,000) 2,723,119	(756,701) 1,232,771
	2,590,119	476,070
	22,401,295	10,901,979
	6,720,389 390,533 1,052	3,270,594 369,286 (5,432)
	7,111,974 2,112	3,634,448 (34,684)
	7,114,086	3,599,764

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 10. Income tax expense (continued)

Note 10. Income tax expense (continued)
Amounts charged directly to equity Deferred tax liabilities (note 26) Note 11. Current assets - cash and cash equivalents Cash on hand Cash at bank	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 92,265 171,689
	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 200 200 3,751,330 2,411,976
	3,751,530	2,412,176

Note 12. Current assets - trade and other receivables

Note 12. Current assets - trade and other receivables
Other receivables Goods and services tax receivable	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 219,656 201,309 44,563 2,251
	264,219	203,560

Past due but not impaired

Customers with balances past due but without provision for impairment of receivables amount to $219,656 as at 30 June 2016 ($201,309 as at 30 June 2015).

The Group did not consider a credit risk on the aggregate balances after reviewing the credit terms of customers based on recent collection practices.

The ageing of the past due but not impaired receivables are as follows:

	Consolidated	Consolidated
	30 Jun 2016	30 Jun 2015
	$	$
0 to 3 months overdue	219,656	201,309
Note 13. Current assets - inventories

Note 13. Current assets - inventories
	Consolidated
	30 Jun 2016	30 Jun 2015
	$	$
		Restated
Ore stockpiles - at cost	1,862,720	2,019,604
Gold in transit - at cost	192,263	130,135
Gold on hand - at cost	31,891,499	24,433,402
Consumables - Inventory at cost	326,049	295,431
	34,272,531	26,878,572

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 14. Current assets - income tax refund due

Note 14. Current assets - income tax refund due
Income tax refund due Note 15. Non-current assets - investments accounted for using the equity method Investment in associate - Tribune Resources Limited Less: provision for impairment Refer to note 41 for further information on interests in associates.	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated - 204,679
	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 40,603,214 32,370,843 (9,543,874) (9,543,874)
	31,059,340	22,826,969

Investments in joint arrangements

Joint arrangements represent the contractual sharing of control between parties in a business venture where unanimous decisions about relevant activities are required.

Separate joint venture entities providing joint venturers with an interest to net assets are classified as a joint venture and accounted for using the equity method. Refer to Note 2 'Investment in Associate' for a description of the equity method of accounting.

Joint venture operations represent arrangements whereby joint operators maintain direct interests in each asset and exposure to each liability of the arrangement. The Group’s interests in the assets, liabilities, revenue and expenses of the joint operations are included in the respective line items of the financial statements. Information about the joint arrangements is set out in Note 42.

Note 16. Non-current assets - available-for-sale financial assets

Note 16. Non-current assets - available-for-sale financial assets
Listed securities - at fair value Reconciliation Reconciliation of the fair values at the beginning and end of the current and previous financial year are set out below: Opening fair value Additions Revaluation increments Impairment of assets Closing fair value	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 510,167 404,066
	404,066 - 108,018 (1,917)	164,647 150,000 114,041 (24,622)
	510,167	404,066

Refer to note 33 for further information on fair value measurement.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 17. Non-current assets - property, plant and equipment

Plant and equipment - at cost Less: Accumulated depreciation Mining plant and equipment - at cost Less: Accumulated depreciation Construction work in progress - at cost	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 246,526 246,526 (232,141) (216,561)	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 246,526 246,526 (232,141) (216,561)
	14,385	29,965
	12,306,378 (6,707,932)	8,882,132 (5,797,872)
	5,598,446	3,084,260
	101,860	303,464
	5,714,691	3,417,689

Reconciliations

Reconciliations of the written down values at the beginning and end of the current and previous financial year are set out below:

Consolidated Balance at 1 July 2014 Additions Disposals Transfers from Mine Development Transfers in/(out) Depreciation expense Balance at 30 June 2015 Additions Transfers in/(out) Depreciation expense Balance at 30 June 2016	Plant and equipment $ 9,137 29,989 - - - (9,161)	Mining plant and equipment $ 2,249,924 100,432 (65,929) 30,957 1,653,414 (884,538)	Construction WIP $ - 1,956,878 - - (1,653,414) -	Total $ 2,259,061 2,087,299 (65,929) 30,957 - (893,699)
	29,965 - - (15,580)	3,084,260 820,511 2,631,981 (938,306)	303,464 2,430,377 (2,631,981) -	3,417,689 3,250,888 - (953,886)
	14,385	5,598,446	101,860	5,714,691

Construction WIP at 30 June 2016 related to Rubicon/Hornet and Pegasus mines.

Included in mining plant and equipment is $2,053,993 of resource extension relating to drilling expenditure on Raleigh, Rubicon/Hornet and Pegasus.

Property, plant and equipment secured under finance leases

Refer to note 37 for further information on property, plant and equipment secured under finance leases.

Note 18. Non-current assets - exploration and evaluation

Exploration and evaluation - at cost	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 812,350 304,375

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 18. Non-current assets - exploration and evaluation (continued)

Reconciliations

Reconciliations of the written down values at the beginning and end of the current and previous financial year are set out below:

Consolidated Balance at 1 July 2014 Additions Transfers Impairment of assets Balance at 30 June 2015 Additions Impairment of assets Balance at 30 June 2016	Exploration and evaluation $ - 2,234,815 (35,380) (1,895,060)	Total $ - 2,234,815 (35,380) (1,895,060)
	304,375 2,035,010 (1,527,035)	304,375 2,035,010 (1,527,035)
	812,350	812,350

The recoverability of the carrying amount of exploration and evaluation assets is dependent upon the successful development and commercial exploitation, or alternatively, sale of the respective areas of interest.

Note 19. Non-current assets - mine development

Mine development - at cost Less: Accumulated amortisation	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 28,325,234 24,495,321 (24,430,918) (21,427,630)	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 28,325,234 24,495,321 (24,430,918) (21,427,630)
	3,894,316	3,067,691

Reconciliations

Reconciliations of the written down values at the beginning and end of the current and previous financial year are set out below:

Consolidated Balance at 1 July 2014 Additions Rehabilitation adjustment Transfers to Mining Plant and Equipment for rehabilitation Amortisation expense Balance at 30 June 2015 Additions Exchange differences Amortisation expense Balance at 30 June 2016	Mine development $ 5,269,299 3,454,430 (106,915) (30,957) (5,518,166)	Total $ 5,269,299 3,454,430 (106,915) (30,957) (5,518,166)
	3,067,691 3,831,687 (1,774) (3,003,288)	3,067,691 3,831,687 (1,774) (3,003,288)
	3,894,316	3,894,316

Mine development relates to Raleigh underground development, Rubicon development and Pegasus development.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 20. Non-current assets - deferred tax

Note 20. Non-current assets - deferred tax
Deferred tax asset comprises temporary differences attributable to: Amounts recognised in profit or loss: Provisions Provision for rehabilitation Capitalised mine development costs Blackhole costs Other Deferred tax asset Movements: Opening balance Credited to profit or loss (note 10) Closing balance	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 13,258 11,951 68,561 126,436 1,443,934 1,255,768 4,819 6,677 20,203 16,943
	1,550,775	1,417,775
	1,417,775 133,000	661,074 756,701
	1,550,775	1,417,775

Note 21. Current liabilities - trade and other payables

Trade payables Accrued expenses Other payables	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 3,070,048 3,255,990 368,881 343,008 7,044 -	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 3,070,048 3,255,990 368,881 343,008 7,044 -
	3,445,973	3,598,998

Refer to note 32 for further information on financial instruments.

Note 22. Current liabilities - borrowings

Lease liability

	Consolidated	Consolidated
30	Jun 2016	30 Jun	2015
	$	$
	350,771		-

Refer to note 32 for further information on financial instruments.

Note 23. Current liabilities - income tax

Provision for income tax

Consolidated 30 Jun 2016 30 Jun 2015 $ $ 1,827,857 -

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 24. Current liabilities - provisions

Employee benefits Note 25. Non-current liabilities - borrowings Lease liability Refer to note 32 for further information on financial instruments. Total secured liabilities The total secured liabilities (current and non-current) are as follows: Lease liability Assets pledged as security	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 44,195 39,838	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 44,195 39,838
	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 429,428 -
	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 780,199 -

The lease liabilities are effectively secured as the rights to the leased assets, recognised in the statement of financial position, revert to the lessor in the event of default.

Note 26. Non-current liabilities - deferred tax

Note 26. Non-current liabilities - deferred tax
Deferred tax liability comprises temporary differences attributable to: Amounts recognised in profit or loss: Investment in associate Capitalised mining development Other Amounts recognised in equity: Investment in associate Deferred tax liability Movements: Opening balance Charged to profit or loss (note 10) Charged to equity (note 10) Closing balance	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 6,045,567 3,727,872 854,503 455,957 98,338 91,460
	6,998,408	4,275,289
	263,954	171,689
	7,262,362	4,446,978
	4,446,978 2,723,119 92,265	3,042,518 1,232,771 171,689
	7,262,362	4,446,978

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 27. Non-current liabilities - provisions

Rehabilitation	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 228,537 421,454

Rehabilitation

The provision for rehabilitation covers the following East Kundana joint venture ('EKJV') tenements - M16/309, M15/993, L16/28, L16/38, L16/39, L16/40 and L16/69.

The provision for rehabilitation also covers the following key long-lived assets:

Raleigh: Pit, Raleigh Paleo channel WRD, ROM pad and backfill plant;
Pope John Pit;
White Foil - Moonbeam discharge pipeline; and
Kurrawang Pipeline Corridor.

During the period, EKJV management reassessed the rehabilitation cost estimate, noting no significant adjustments to the underlying cost estimate applied at 30 June 2016.

Movements in provisions

Movements in each class of provision during the current financial year, other than employee benefits, are set out below:

Consolidated - 30 Jun 2016 Carrying amount at the start of the year Impact of revision to expected cashflows (net of accretion) Unused amounts reversed Carrying amount at the end of the year	Rehabilitation $ 421,454 7,083 (200,000)
	228,537

Note 28. Equity - issued capital

Note 28. Equity - issued capital
30 Jun 2016 Shares Ordinary shares - fully paid 60,148,475 Movements in ordinary share capital Details Date Balance 1 July 2014 Share buy-back 9 January 2015 Share buy-back 3 June 2015 Balance 30 June 2015 Balance 30 June 2016	30 Jun 2016 Shares 60,148,475		Consolidated 30 Jun 2015 30 Jun 2016 Shares $ 60,148,475 16,694,186	30 Jun 2015 $ 16,694,186
			Shares Issue price 60,841,209 (320,234) $0.71 (372,500) $1.75 60,148,475 60,148,475	$ 17,573,427 (227,366) (651,875) 16,694,186 16,694,186

Ordinary shares

Ordinary shares entitle the holder to participate in dividends and the proceeds on the winding up of the Company in proportion to the number of and amounts paid on the shares held. The fully paid ordinary shares have no par value and the Company does not have a limited amount of authorised capital.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 28. Equity - issued capital (continued)

On a show of hands every member present at a meeting in person or by proxy shall have one vote and upon a poll each share shall have one vote.

Share buy-back

On 10 December 2015, the Company announced it would extend the on-market buy-back of ordinary shares to 11 December 2016. The number of shares remaining to be bought back is 5,931,386.

The market price at the date of the announcement was $1.40.

During the period, the Company has not bought back or cancelled any fully paid ordinary shares. During the period ended 30 June 2015, the Company bought back (and cancelled) 692,734 fully paid ordinary shares at a cost of $879,241.

Capital risk management

The Group's objectives when managing capital are to safeguard its ability to continue as a going concern, so that it can provide returns for shareholders and benefits for other stakeholders and to maintain an optimum capital structure to reduce the cost of capital.

Capital is regarded as total equity, as recognised in the statement of financial position, plus net debt. Net debt is calculated as total borrowings less cash and cash equivalents.

In order to maintain or adjust the capital structure, the Group may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt.

The Group would look to raise capital when an opportunity to invest in a business or company was seen as value adding relative to the current parent entity's share price at the time of the investment. The Group is not actively pursuing additional investments in the short term as it continues to integrate and grow its existing businesses in order to maximise synergies.

The Group is subject to certain financing arrangements covenants and meeting these are given priority in all capital risk management decisions. There have been no events of default on the financing arrangements during the financial year.

The capital risk management policy remains unchanged from the 2015 Annual Report.

Note 29. Equity - reserves

Note 29. Equity - reserves
Available-for-sale reserve Equity accounting reserve	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 315,153 207,135 910,229 694,944
	1,225,382	902,079

Available-for-sale reserve

The reserve is used to recognise increments and decrements in the fair value of available-for-sale financial assets.

Equity accounting reserve

This reserve is used to recognise the share of the increments and decrements of other comprehensive income from the Company’s share in associate using the equity method.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 29. Equity - reserves (continued)

Movements in reserves

Movements in each class of reserve during the current and previous financial year are set out below:

Consolidated Balance at 1 July 2014 Revaluation - net of tax Share of other comprehensive income from associate Transferred to retained earnings Transfers Balance at 30 June 2015 Revaluation - net of tax Share of other comprehensive income from associate Balance at 30 June 2016	Revaluation surplus $ 296,059 - - - (296,059)	Available- for-sale $ 545,695 114,043 - (443,253) (9,350)	Share-based payments $ 1,418,800 - - (1,418,800) -	Equity accounting $ - - 389,535 - 305,409	Total $ 2,260,554 114,043 389,535 (1,862,053) -
	- - -	207,135 108,018 -	- - -	694,944 - 215,285	902,079 108,018 215,285
	-	315,153	-	910,229	1,225,382

Note 30. Equity - retained profits

Retained profits at the beginning of the financial year Profit after income tax expense for the year Transfer from share premium reserve Transfer from available-for-sale reserve Retained profits at the end of the financial year	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 35,034,019 25,869,751 15,287,209 7,302,215 - 1,418,800 - 443,253	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 35,034,019 25,869,751 15,287,209 7,302,215 - 1,418,800 - 443,253
	50,321,228	35,034,019

Note 31. Equity - dividends

There were no dividends paid, recommended or declared during the current or previous financial year.

Note 32. Financial instruments

Financial risk management objectives

The Group's activities expose it to a variety of financial risks: market risk (including foreign currency risk, price risk and interest rate risk), credit risk and liquidity risk. The Group's overall risk management program focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on the financial performance of the Group. The Group uses different methods to measure different types of risk to which it is exposed. These methods include sensitivity analysis in the case of interest rate, foreign exchange and other price risks, ageing analysis for credit risk.

Risk management is carried out by senior finance executives ('finance') under policies approved by the Board of Directors ('the Board'). These policies include identification and analysis of the risk exposure of the Group and appropriate procedures, controls and risk limits. Finance identifies, evaluates and hedges financial risks within the Group's operating units. Finance reports to the Board on a monthly basis.

Market risk

Foreign currency risk

The Group is not exposed to any significant foreign currency risk.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 32. Financial instruments (continued)

Price risk

The Group is exposed to equity securities price risks and bullion price risk. This arises from investments held by the Group and classified on the statement of financial position as available-for-sale financial assets and bullion held as inventory.

The policy of the Group is to sell gold at spot price and so it has not entered into any hedging contracts. The Group's revenues were exposed to fluctuation in the price of gold. If the average selling price of gold of US$1,167.24 (2015: US$1,224.00) for the financial year had increased/decreased by 10% the change in the profit before income tax for the Group would have been an increase/decrease of A$3,146,678 (2015: A$2,636,516).

If there was a 10% increase or decrease in market price of gold, the net realisable value of bullion on hand would increase/(decrease) by $7,238,757 (2015: $3,660,554) and the bullion in transit would increase/(decrease) by $41,670 (2015: $27,631). As gold on hand is held at cost there would be no impact on profit or loss.

Interest rate risk

The Group's main interest rate risk arises from cash and cash equivalents.

As at the reporting date, the Group had the following cash and cash equivalents:

	30 Jun	2016	30 Jun	2015
	Weighted		Weighted
	average		average
	interest rate	Balance	interest rate	Balance
Consolidated	%	$	%	$
Cash at bank	2.23%	3,751,530	0.40%	2,411,976
Net exposure to cash flow interest rate risk		3,751,530		2,411,976

An official increase/decrease in interest rates of one hundred (2015: one hundred) basis points would have a favourable/adverse (2015: favourable/adverse) effect on profit before tax of $37,515 (2015: $24,120) per annum. The percentage change is based on the expected volatility of interest rates using market data and analysts forecasts.

Credit risk

Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Group. The Group has a strict code of credit, including obtaining agency credit information, confirming references and setting appropriate credit limits. The Group obtains guarantees where appropriate to mitigate credit risk. The maximum exposure to credit risk at the reporting date to recognised financial assets is the carrying amount, net of any provisions for impairment of those assets, as disclosed in the statement of financial position and notes to the financial statements. The Group does not hold any collateral.

The Group has a credit risk exposure with the carrying amount of receivables. For some receivables the Group obtains agreements which can be called upon if the counterparty is in default under the terms of the agreement.

Liquidity risk

Vigilant liquidity risk management requires the Group to maintain sufficient liquid assets (mainly cash and cash equivalents) and available borrowing facilities to be able to pay debts as and when they become due and payable.

The Group manages liquidity risk by maintaining adequate cash reserves and available borrowing facilities by continuously monitoring actual and forecast cash flows and matching the maturity profiles of financial assets and liabilities.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 32. Financial instruments (continued)

Remaining contractual maturities

The following tables detail the Group's remaining contractual maturity for its financial instrument liabilities. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the financial liabilities are required to be paid. The tables include both interest and principal cash flows disclosed as remaining contractual maturities and therefore these totals may differ from their carrying amount in the statement of financial position.

1 year or less $ 3,070,048 7,044 369,665	Between 1 and 2 years $ - - 437,975	Between 2 and 5 years $ - - -	Over 5 years $ - - -	Remaining contractual maturities $ 3,070,048 7,044 807,640
3,446,757	437,975	-	-	3,884,732
1 year or less $ 3,255,990	Between 1 and 2 years $ -	Between 2 and 5 years $ -	Over 5 years $ -	Remaining contractual maturities $ 3,255,990
3,255,990	-	-	-	3,255,990

Note 33. Fair value measurement

Fair value hierarchy

The following tables detail the Group's assets and liabilities, measured or disclosed at fair value, using a three level hierarchy, based on the lowest level of input that is significant to the entire fair value measurement, being: Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date

Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly

Level 3: Unobservable inputs for the asset or liability

Level 1 $ 510,167	Level 2 $ -	Level 3 $ -	Total $ 510,167
510,167	-	-	510,167
Level 1 $ 404,066	Level 2 $ -	Level 3 $ -	Total $ 404,066
404,066	-	-	404,066

There were no transfers between levels during the financial year.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 33. Fair value measurement (continued)

Unless otherwise stated, the carrying amounts of financial instruments reflect their fair value. The carrying amounts of trade receivables and trade payables are assumed to approximate their fair values due to their short-term nature. The fair value of financial liabilities is estimated by discounting the remaining contractual maturities at the current market interest rate that is available for similar financial instruments.

Note 34. Key management personnel disclosures

Compensation

The aggregate compensation made to directors and other members of key management personnel of the Group is set out below:

Short-term employee benefits Post-employment benefits	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 443,537 356,208 38,800 38,800	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 443,537 356,208 38,800 38,800
	482,337	395,008

Note 35. Remuneration of auditors

During the financial year the following fees were paid or payable for services provided by Grant Thornton Audit Pty Ltd, the auditor of the Company:

Audit services - Grant Thornton Audit Pty Ltd Audit or review of the financial statements Other services - Grant Thornton Audit Pty Ltd Tax compliance services IFRS accounting services	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 101,000 98,428	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 101,000 98,428
	13,200 24,250	16,700 -
	37,450	16,700
	138,450	115,128

Note 36. Contingent liabilities

Native title claims have been made with respect to areas which include tenements in which the Group has interests. The Group is unable to determine the prospects for success or otherwise of the claims and, in any event, whether or not and to what extent the claims may significantly affect the Group or its projects.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 37. Commitments

Capital commitments Committed at the reporting date but not recognised as liabilities, payable: Property, plant and equipment Lease commitments - operating Committed at the reporting date but not recognised as liabilities, payable: Within one year One to five years Lease commitments - finance Committed at the reporting date and recognised as liabilities, payable: Within one year One to five years Total commitment Less: Future finance charges Net commitment recognised as liabilities Representing: Lease liability - current (note 22) Lease liability - non-current (note 25)	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 916,549 9,988,735	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 916,549 9,988,735
	399,974 1,570,190	400,920 1,584,093
	1,970,164	1,985,013
	369,665 437,975	- -
	807,640 (27,441)	- -
	780,199	-
	350,771 429,428	- -
	780,199	-

Capital commitments relate to mining capital expenditure commitments relating to the East Kundana joint venture.

Operating lease commitments include contracted amounts for mining tenement leases. In order to maintain current rights of tenure to mining tenements, the Group will be required to outlay the above-mentioned funds in respect of tenement lease rentals and to meet minimum expenditure requirements of the Western Australian Mines Department. These obligations are expected to be fulfilled in the normal course of operations.

Finance lease commitments include contracted amounts for East Kundana joint venture underground mining equipment secured under finance leases expiring within 30 to 36 months. Under the terms of the leases, the consolidated entity has the option to acquire the leased assets for predetermined residual values on the expiry of the leases.

Note 38. Related party transactions

Parent entity

Rand Mining Limited is the parent entity.

Subsidiaries

Interests in subsidiaries are set out in note 40.

Associates

Interests in associates are set out in note 41.

Joint operations

Interests in joint operations are set out in note 42.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 38. Related party transactions (continued)

Key management personnel

Disclosures relating to key management personnel are set out in note 34 and the remuneration report included in the directors' report.

Transactions with related parties

The following transactions occurred with related parties:

Transactions with related parties The following transactions occurred with related parties:
	Consolidated
	30 Jun 2016	30 Jun 2015
	$	$
Payment for other expenses:
Payment of royalties to Lake Grace Exploration NL *	15,117	6,065
Payment for executive accommodation fees to Lake Grace Exploration Pty Ltd *	22,173	33,750
Payment for consulting fees to Lake Grace Exploration Pty Ltd *	18,175	27,500
Option fees paid to Resource Capital Limited **	14,310	56,542
Hire of drill rig from Tribune Resources Ghana Ltd for use in Liberia exploration **	-	64,099

A company related to the director Anthony Billis.
** A director related entity

Receivable from and payable to related parties

There were no trade receivables from or trade payables to related parties at the current and previous reporting date.

Advances to/from related parties

During the reporting period, advances of $3,650,000 (2015: $2,350,000) were made between Rand Mining Limited and Tribune Resources Limited. These amounts were repaid prior to the reporting date. As disclosed above, there were no receivables from related parties at 30 June 2016.

Terms and conditions

All transactions were made on normal commercial terms and conditions and at market rates.

Note 39. Parent entity information

Set out below is the supplementary information about the parent entity.

Statement of profit or loss and other comprehensive income

Loss after income tax Total comprehensive income	Parent 30 Jun 2016 30 Jun 2015 $ $ Restated (385,798) (39,023)	Parent 30 Jun 2016 30 Jun 2015 $ $ Restated (385,798) (39,023)
	(385,798)	(39,023)

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 39. Parent entity information (continued)

Statement of financial position

Total current assets Total assets Total current liabilities Total liabilities Equity Issued capital Accumulated losses Total equity	Parent 30 Jun 2016 30 Jun 2015 $ $ Restated 9,809,566 8,357,413	Parent 30 Jun 2016 30 Jun 2015 $ $ Restated 9,809,566 8,357,413
	10,360,986	9,497,776
	1,879,096	39,838
	1,879,096	216,913
	16,694,186 (8,212,296)	16,694,186 (7,413,323)
	8,481,890	9,280,863

Guarantees entered into by the parent entity in relation to the debts of its subsidiaries

The parent entity had no guarantees in relation to the debts of its subsidiaries as at 30 June 2016 and 30 June 2015.

Contingent liabilities

The parent entity had no contingent liabilities as at 30 June 2016 and 30 June 2015.

Capital commitments - Property, plant and equipment

The parent entity had no capital commitments for property, plant and equipment at as 30 June 2016 and 30 June 2015.

Significant accounting policies

The accounting policies of the parent entity are consistent with those of the Group, as disclosed in note 2, except for the following:

Investments in subsidiaries are accounted for at cost, less any impairment, in the parent entity.
Investments in associates are accounted for at cost, less any impairment, in the parent entity.
Dividends received from subsidiaries are recognised as other income by the parent entity and its receipt may be an indicator of an impairment of the investment.

Note 40. Interests in subsidiaries

The consolidated financial statements incorporate the assets, liabilities and results of the following subsidiaries in accordance with the accounting policy described in note 2:

		Ownership interest	Ownership interest
	Principal place of business /	30 Jun 2016	30 Jun 2015
Name	Country of incorporation	%	%
Rand Exploration N.L.	Australia	100.00%	100.00%
Mt Manning Resources Limited	Australia	50.00%	50.00%

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 41. Interests in associates

Interests in associates are accounted for using the equity method of accounting. Information relating to associates that are material to the Group are set out below:

Principal place of business / Name Country of incorporation Tribune Resources Limited Australia Summarised financial information Summarised statement of financial position Current assets Non-current assets Total assets Current liabilities Non-current liabilities Total liabilities Net assets Summarised statement of profit or loss and other comprehensive income Revenue Expenses Profit before income tax Income tax expense Profit after income tax Other comprehensive income Total comprehensive income Reconciliation of the Group's carrying amount Opening carrying amount Share of profit after income tax Share of other comprehensive income Purchase of shares Closing carrying amount	Ownership interest 30 Jun 2016 30 Jun 2015 % % 26.32% 26.26% Tribune Resources Limited 30 Jun 2016 30 Jun 2015 $ $ Restated 132,804,750 102,043,224 52,478,834 40,987,989	Ownership interest 30 Jun 2016 30 Jun 2015 % % 26.32% 26.26% Tribune Resources Limited 30 Jun 2016 30 Jun 2015 $ $ Restated 132,804,750 102,043,224 52,478,834 40,987,989
	185,283,584	143,031,213
	19,586,571 4,841,049	9,845,794 2,851,368
	24,427,620	12,697,162
	160,855,964	130,334,051
	85,993,262 (42,779,570)	63,487,793 (44,852,275)
	43,213,692 (13,860,312)	18,635,518 (6,300,826)
	29,353,380 603,538	12,334,692 2,137,509
	29,956,918	14,472,201
	22,826,969 7,725,647 307,550 199,174	18,824,031 3,238,714 561,224 203,000
	31,059,340	22,826,969

The market value of listed investment in associates at 30 June 2016 is $98,967,103 (2015: $52,384,327).

At 30 June 2016 the share price of Tribune Resources Limited increased to $7.52 (2015: $3.99). The Company considers the recoverable amount to be fair value less costs to sell.

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 42. Interests in joint operations

The Group has recognised its share of jointly held assets, liabilities, revenues and expenses of joint operations. These have been incorporated in the financial statements under the appropriate classifications. Information relating to joint operations that are material to the Group are set out below:

Principal place of business / Name Country of incorporation East Kundana Joint Venture Australia Note 43. Reconciliation of profit after income tax to net cash from operating activities Profit after income tax expense for the year Adjustments for: Depreciation and amortisation Net loss on disposal of property, plant and equipment Share of profit from equity accounted investments Impairment of available-for-sale financial assets Impairment of exploration and evaluation Change in operating assets and liabilities: Increase in trade and other receivables Increase in inventories Decrease in income tax refund due Increase in deferred tax assets Increase/(decrease) in trade and other payables Increase in provision for income tax Increase in deferred tax liabilities Increase in employee benefits Increase/(decrease) in other provisions Net cash from operating activities Note 44. Non-cash investing and financing activities	Ownership interest 30 Jun 2016 30 Jun 2015 % % 12.25% 12.25% Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 15,287,209 7,302,215 3,957,174 6,411,865 - 82,934 (7,725,647) (3,238,714) 1,917 24,622 1,527,035 1,895,060 (43,948) (54,538) (7,393,959) (6,272,068) 204,679 1,404,320 (133,000) (756,699) (153,025) 443,034 1,827,857 - 2,723,119 1,232,771 4,357 39,838 (192,917) 8,518	Ownership interest 30 Jun 2016 30 Jun 2015 % % 12.25% 12.25% Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 15,287,209 7,302,215 3,957,174 6,411,865 - 82,934 (7,725,647) (3,238,714) 1,917 24,622 1,527,035 1,895,060 (43,948) (54,538) (7,393,959) (6,272,068) 204,679 1,404,320 (133,000) (756,699) (153,025) 443,034 1,827,857 - 2,723,119 1,232,771 4,357 39,838 (192,917) 8,518
	9,890,851	8,523,158

	Consolidated 30 Jun 2016 30 Jun 2015 $ $ 1,018,697 -

Acquisition of plant and equipment by means of finance leases

	Consolidated	Consolidated
30	Jun 2016	30 Jun	2015
	$	$
	1,018,697		-

Rand Mining Limited Notes to the financial statements 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Note 45. Earnings per share

Note 45. Earnings per share
Profit after income tax attributable to the owners of Rand Mining Limited Weighted average number of ordinary shares used in calculating basic earnings per share Weighted average number of ordinary shares used in calculating diluted earnings per share Basic earnings per share Diluted earnings per share Note 46. Events after the reporting period	Consolidated 30 Jun 2016 30 Jun 2015 $ $ Restated 15,287,209 7,302,215
	Number 60,148,475	Number 60,660,852
	60,148,475	60,660,852
	Cents 25.42 25.42	Cents 12.04 12.04

Extension to term of Liberia Project

The option was extended to 23 September 2017, in exchange for Rand paying a non-refundable option fee of USD $5,000.

Rand Mining Limited Directors' declaration 30 June 2016

==> picture [38 x 35] intentionally omitted <==

In the directors' opinion:

the attached financial statements and notes comply with the Corporations Act 2001, the Accounting Standards, the Corporations Regulations 2001 and other mandatory professional reporting requirements;
the attached financial statements and notes comply with International Financial Reporting Standards as issued by the International Accounting Standards Board as described in note 2 to the financial statements;
the attached financial statements and notes give a true and fair view of the Group's financial position as at 30 June 2016 and of its performance for the financial year ended on that date; and
there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable.

The directors have been given the declarations required by section 295A of the Corporations Act 2001.

Signed in accordance with a resolution of directors made pursuant to section 295(5)(a) of the Corporations Act 2001.

On behalf of the directors

==> picture [120 x 58] intentionally omitted <==

_________ Anthony Billis Director

29 September 2016 Perth

==> picture [466 x 65] intentionally omitted <==

Level 1 10 Kings Park Road West Perth WA 6005

Correspondence to: PO Box 570 West Perth WA 6872

Independent Auditor’s Report To the Members of Rand Mining Limited

T +61 8 9480 2000 F +61 8 9322 7787 E [email protected] W www.grantthornton.com.au

Report on the financial report

We have audited the accompanying financial report of Rand Mining Limited (the “Company”), which comprises the consolidated statement of financial position as at 30 June 2016, the consolidated statement of profit or loss and other comprehensive income, consolidated statement of changes in equity and consolidated statement of cash flows for the year then ended, notes comprising a summary of significant accounting policies and other explanatory information and the directors’ declaration of the consolidated entity comprising the Company and the entities it controlled at the year’s end or from time to time during the financial year.

Directors’ responsibility for the financial report

The Directors of the Company are responsible for the preparation of the financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001. The Directors’ responsibility also includes such internal control as the Directors determine is necessary to enable the preparation of the financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error. The Directors also state, in the notes to the financial report, in accordance with Accounting Standard AASB 101 Presentation of Financial Statements, the financial statements comply with International Financial Reporting Standards.

Auditor’s responsibility

Our responsibility is to express an opinion on the financial report based on our audit. We conducted our audit in accordance with Australian Auditing Standards. Those standards require us to comply with relevant ethical requirements relating to audit engagements and plan and perform the audit to obtain reasonable assurance whether the financial report is free from material misstatement.

Grant Thornton Audit Pty Ltd ACN 130 913 594

a subsidiary or related entity of Grant Thornton Australia Ltd ABN 41 127 556 389

‘Grant Thornton’ refers to the brand under which the Grant Thornton member firms provide assurance, tax and advisory services to their clients and/or refers to one or more member firms, as the context requires. Grant Thornton Australia Ltd is a member firm of Grant Thornton International Ltd (GTIL). GTIL and the member firms are not a worldwide partnership. GTIL and each member firm is a separate legal entity. Services are delivered by the member firms. GTIL does not provide services to clients. GTIL and its member firms are not agents of, and do not obligate one another and are not liable for one another’s acts or omissions. In the Australian context only, the use of the term ‘Grant Thornton’ may refer to Grant Thornton Australia Limited ABN 41 127 556 389 and its Australian subsidiaries and related entities. GTIL is not an Australian related entity to Grant Thornton Australia Limited.

Liability limited by a scheme approved under Professional Standards Legislation. Liability is limited in those States where a current scheme applies.

==> picture [326 x 46] intentionally omitted <==

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial report. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial report, whether due to fraud or error.

In making those risk assessments, the auditor considers internal control relevant to the Company’s preparation of the financial report that gives a true and fair view in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the Directors, as well as evaluating the overall presentation of the financial report.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Independence

In conducting our audit, we have complied with the independence requirements of the Corporations Act 2001.

Auditor’s opinion

In our opinion:

a the financial report of Rand Mining Limited is in accordance with the Corporations Act 2001, including:
i giving a true and fair view of the consolidated entity’s financial position as at 30 June 2016 and of its performance for the year ended on that date; and
ii complying with Australian Accounting Standards and the Corporations Regulations 2001; and
b the financial report also complies with International Financial Reporting Standards as disclosed in the notes to the financial statements.

Emphasis of matter regarding prior period adjustment

Without qualification to the auditor’s opinion expressed above, we draw attention to Note 4 to the financial statements, which discloses that a prior period adjustment occurred during the reporting period as the inventory and the equity accounted investment of the consolidated entity was understated at 30 June 2015. The comparatives have been restated to include this adjustment.

==> picture [326 x 46] intentionally omitted <==

Report on the remuneration report

We have audited the remuneration report included in the directors’ report on pages 16 - 21 for the year ended 30 June 2016. The Directors of the Company are responsible for the preparation and presentation of the remuneration report in accordance with section 300A of the Corporations Act 2001. Our responsibility is to express an opinion on the remuneration report, based on our audit conducted in accordance with Australian Auditing Standards.

Auditor’s opinion on the remuneration report

In our opinion, the remuneration report of Rand Mining Limited for the year ended 30 June 2016, complies with section 300A of the Corporations Act 2001.

==> picture [100 x 35] intentionally omitted <==

GRANT THORNTON AUDIT PTY LTD Chartered Accountants

==> picture [86 x 65] intentionally omitted <==

C A Becker Partner - Audit & Assurance

Perth, 29 September 2016

Rand Mining Limited Shareholder information 30 June 2016

==> picture [38 x 35] intentionally omitted <==

The shareholder information set out below was applicable as at 20 September 2016.

Distribution of equitable securities

Analysis of number of equitable security holders by size of holding:

Distribution of equitable securities Analysis of number of equitable security holders by size of holding:
1 to 1,000 1,001 to 5,000 5,001 to 10,000 10,001 to 100,000 100,001 and over Holding less than a marketable parcel	Number of holders of ordinary shares 257 186 54 66 25
	588
	-

Equity security holders

Twenty largest quoted equity security holders

The names of the twenty largest security holders of quoted equity securities are listed below:

Tribune Resources Ltd Trans Global Capital Ltd Gleneagle Securities Nominees Pty Ltd Northern Star Resources Ltd Lake Grace Exploration Pty Ltd JP Morgan Nominees Australia Ltd Sierra Gold Ltd Resource Capital Ltd HSBC Custody Nominess (Australia) Ltd Spectrok Pty Ltd (The Hedley Super Fund A/C) Raypoint Pty Ltd Mrs Phanatchakorn Wichaikul Ian Sandover & Associates Pty Ltd (Sandover Super A/C) Berne No 132 Nominees Mr Frank Bozic HKT Au Pty Ltd (Moramba Services P/L SP A/C) CS Fourth Nominees Pt Ltd (HSBC Cust Nom AU Ltd A/C) Southam Investments 2003 Pty Ltd (Warwickshire Investment A/C) Mr Francis William Regan and Mrs Fariba Regan (The Francis Regan S/F A/C) Starwall Pty Ltd	Ordinary shares % of total shares Number held issued 26,576,764 44.19 7,899,584 13.13 5,239,278 8.71 2,925,360 4.86 2,917,000 4.85 2,337,118 3.89 2,100,000 3.49 1,604,500 2.67 1,106,750 1.84 540,000 0.90 530,000 0.88 510,000 0.85 307,500 0.51 306,600 0.51 250,000 0.42 217,829 0.36 217,671 0.36 200,000 0.33 200,000 0.33 200,000 0.33	Ordinary shares % of total shares Number held issued 26,576,764 44.19 7,899,584 13.13 5,239,278 8.71 2,925,360 4.86 2,917,000 4.85 2,337,118 3.89 2,100,000 3.49 1,604,500 2.67 1,106,750 1.84 540,000 0.90 530,000 0.88 510,000 0.85 307,500 0.51 306,600 0.51 250,000 0.42 217,829 0.36 217,671 0.36 200,000 0.33 200,000 0.33 200,000 0.33
	56,185,954	93.41

Unquoted equity securities There are no unquoted equity securities.

Rand Mining Limited Shareholder information 30 June 2016

==> picture [38 x 35] intentionally omitted <==

Substantial holders

Substantial holders in the Company are set out below:

Substantial holders Substantial holders in the Company are set out below:
	Ordinary	shares
		% of total
		shares
	Number held	issued
Tribune Resources Ltd	26,576,764	44.19
Trans Global Capital Ltd	7,899,584	13.13
Gleneagle Securities Nominees Pty Ltd	5,239,278	8.71

Voting rights

The voting rights attached to ordinary shares are set out below:

Ordinary shares

On a show of hands every member present at a meeting in person or by proxy shall have one vote and upon a poll each share shall have one vote.

There are no other classes of equity securities.

Tenements

Tenements
		Interest
Description	Tenement number	owned %
Western Australia, Australia
Kundana	M15/1413	12.25
Kundana	M15/993	12.25
Kundana	M16/181	12.25
Kundana	M16/182	12.25
Kundana	M16/308	12.25
Kundana	M16/309	12.25
Kundana	M16/325	12.25
Kundana	M16/326	12.25
Kundana	M16/421	12.25
Kundana	M16/428	12.25
Kundana	M24/924	12.25
Western Australia, Australia
Seven Mile Hill	M15/1233	50.00
Seven Mile Hill	M15/1234	50.00
Seven Mile Hill	M15/1291	50.00
Seven Mile Hill	M15/1388	50.00
Seven Mile Hill	M15/1394	50.00
Seven Mile Hill	M15/1409	50.00
Seven Mile Hill	M15/1743	50.00
Seven Mile Hill	M26/563	50.00
Seven Mile Hill	P15/5182	50.00
Seven Mile Hill	P15/5183	50.00
Seven Mile Hill	P15/5184	50.00
Seven Mile Hill	P26/3617 (Surrendered 30 May 2016)	50.00

Liberia, West Africa

Tapeta Iron Ore Project (currently under option to acquire issued capital of Iron Resources Ltd, the owner of the project)

100.00

AI assistant

RAND MINING LIMITED — Annual Report 2016

65721_rns_2016-09-28_17f72129-7bae-443f-9bbe-dc5af69ced9b.pdf

Rand Mining Limited ABN 41 004 669 658

Directors

Principal activities

Dividends

Review of operations

East Kundana Joint Venture

Rand Mining Limited Directors' report 30 June 2016

Mining

Raleigh

Mine claimed production

Rubicon/Hornet/Pegasus

Processing

Rand Mining Limited Directors' report 30 June 2016

Gold on Hand

Exploration

Seven Mile Hill (50%)

Tapeta Iron Ore Project, Liberia, West Africa

Resources and Reserves

Mineral Resource and Ore Reserve Governance and Internal Controls

Resources and Reserves

TABLE 1

TABLE 2

Notes to tables:

Competent Person Statements

Significant changes in the state of affairs

Matters subsequent to the end of the financial year

Extension to term of Liberia Project

Likely developments and expected results of operations

Environmental regulation

Greenhouse gas and energy data reporting requirements

Information on directors

Company secretaries

Meetings of directors

Remuneration report (audited)

Principles used to determine the nature and amount of remuneration

Non-executive directors remuneration

Executive remuneration

Group performance and link to remuneration

Use of remuneration consultants

Voting and comments made at the Company's 2015 Annual General Meeting ('AGM')

Details of remuneration

Amounts of remuneration

Service agreements

Share-based compensation

Issue of shares

Options

Additional information

Additional disclosures relating to key management personnel

Shareholding

Loans to key management personnel and their related parties

Other transactions with key management personnel and their related parties

This concludes the remuneration report, which has been audited.

Shares under option

Shares issued on the exercise of options

Indemnity and insurance of officers

Indemnity and insurance of auditor

Proceedings on behalf of the Company

Non-audit services

Officers of the Company who are former partners of Grant Thornton Audit Pty Ltd

Auditor's independence declaration

Auditor

Rand Mining Limited Statement of profit or loss and other comprehensive income For the year ended 30 June 2016

Rand Mining Limited Statement of changes in equity For the year ended 30 June 2016

Rand Mining Limited Statement of cash flows For the year ended 30 June 2016

Note 1. General information

Note 2. Significant accounting policies

New, revised or amending Accounting Standards and Interpretations adopted

Basis of preparation

Historical cost convention

Critical accounting estimates

Parent entity information

Principles of consolidation

Note 2. Significant accounting policies (continued)

Operating segments

Revenue recognition

Sale of gold

Interest

RAND MINING LIMITED Annual Report 2016