REGIS RESOURCES LIMITED — Capital/Financing Update 2011

Mar 30, 2011

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ABN 28 009 174 761

31 March 2011

Manager Announcements Company Announcements Office Australian Securities Exchange Limited Level 4, 20 Bridge Street Sydney NSW 2000

www.regisresources.com

Level 1 1 Alvan Street Subiaco WA 6008 Australia PO Box 862 Subiaco WA 6904 Australia P 08 9442 2200 F 08 9442 2290

Garden Well Gold Deposit

Reserve Increases to 1.66 Million Ounces

Highlights

• Updated JORC compliant Ore Reserve at Garden Well estimated at 35.3Mt at 1.46 g/t Au for 1.66 million ounces of gold. This is an increase of 320,000 ounces (24%) from the maiden reserve of 1.34 million ounces.

• 90% of the reserve at Garden Well is within 200 metres of surface and 99% of the reserve is within 250 metres of surface.

• The updated reserve at Garden Well increases Regis’ total JORC compliant reserves to 2.5 million ounces of gold (as detailed in Appendix 1).

• Garden Well JORC compliant Resource (inclusive of those converted to Ore Reserves) estimated at 49.0 Mt at 1.36 g/t Au for 2.14 million ounces of gold .

• Total in pit portion of the Garden Well resources (inclusive of reserves) are 40.0Mt at 1.45g/t Au for 1.87 million ounces of gold.

• These reserves and resources have been estimated from drilling completed only up until the end of December 2010.

• Regis’ total JORC compliant resources now stand at 5.8 million ounces of gold (as detailed in Appendix 2).

• Mineralisation remains open at depth and along strike to the south .

• A 31 hole diamond drilling programme commenced in January 2011 to extend the resource envelope to around 270 metres depth for the 560 metres of the 960 metres of strike length at Garden Well yet to be infill drilled. This drilling programme is nearing completion.

• A further update of both the reserve and resource is expected in the June 2011 quarter to incorporate this drilling at depth.

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Updated Reserve

The board of Regis Resources Limited is pleased to announce an updated JORC compliant reserve for the Garden Well Gold Deposit of 1.66 million ounces of contained gold. The Garden Well project is 100% owned by Regis and is located on granted mining leases approximately 30 kilometres south of the Moolart Well gold mine operations. Garden Well was discovered in November 2009 and since that time Regis has drilled in excess of 74,000 metres of Aircore, RC and Diamond drilling at the project.

The breakdown of the reserve is as follows:

Category	Tonnes (Millions)	Gold Grade (g/t)	Contained Gold (Ounces)
Proven	0	0	0
Probable	35.3	1.46	1,660,000
	35.3	1.46	1,660,000

Notes: 0.6 g/t Au lower SMU block cut off grade. Rounded to two significant figures.

The updated reserve has been estimated after completion of an open pit mining and Carbon in Leach extraction reserve study which included:

• pit optimisation using wall angles based on geotechnical drill holes, independent geotechnical advice and allowances for ramps;

• 100% mining recovery and 0% mining dilution;

• Bulk densities and metallurgical parameters from test work previously reported;

• Mining costs based on indicative contractor quotation;

• Milling and other operating costs based on current known operating costs adapted for ore type and metallurgy.

Key results of the reserve study include:

Physical
Total pit volume (bcm)	64,526,492
Stripping ratio–tonnes (waste:ore)	3.33
Ore (tonnes)	35,308,872
Gold grade (g/t)	1.46
Contained gold-ounces	1,657,636
Milling recovery	95%
Recovered gold (ounces)	1,574,754
Operating Costs & Surplus
Mining cost (A$/tonne)	A$15.12
Milling cost (A$/tonne)	A$9.39
Administration cost (A$/tonne)	A$1.00
Total operating cost per tonne (A$/tonne)*	A$25.51
Total operating cost per ounce (A$/oz)*	A$572
Operating surplus (preroyalties and tax)#	A$674 million

• before royalties[# ] using a gold price of A$1,000/oz

This reserve has been estimated to a maximum depth of 280 metres below surface, with 90% of the contained gold within 200 metres of surface and 99% of the contained gold within 250 metres of surface. The pit optimisation was completed using a A$1,000 per ounce gold price. The operating surplus at the current spot price (A$1,382) increases from the base case of A$674 million (as above) to A$1.28 billion.

Total Regis JORC compliant gold reserves now stand at 2.5 million ounces as detailed in Appendix 1.

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Resource

The JORC compliant resource (inclusive of reserves) for the Garden Well Gold Deposit is 2.14 million ounces of contained gold (announced to ASX on 8 March 2011). The resource was estimated by independent geological consultants SRK Consulting using the Ordinary Kriging estimation technique on a block size of 20 m x 20 m x 5 m. Uniform conditioning was used to estimate the proportion of the kriged panel estimate above the 0.5 g/t Au cut-off using a selective mining unit (SMU) size of 5 m x 5 m x 2.5 m. The breakdown of the resource is as follows:

Category	Tonnes (Millions)	Gold Grade (g/t)	Contained Gold (Ounces)
Indicated	39.5	1.39	1,760,100
Inferred	9.5	1.23	375,800
	49.0	1.36	2,135,900

Notes: Rounded to two significant figures. Rounding errors may occur.

The resource has only included deeper RC and diamond drilling completed up until the end of December 2010. This drilling extended the resource outline to a depth of 270 metres below surface for 400 metres of the 960 metre strike length in the fresh rock zone.

A 31 hole diamond drilling programme commenced in January 2011 with a view to extending the resource envelope to around 270 metres depth for the balance of the 560 metre strike length at Garden Well. This drilling programme is nearing completion and results will be included in the resource and reserve upgrades planned for June 2011.

Total Regis JORC compliant gold resources now stand at 5.8 million ounces as detailed in Appendix 2.

In Pit Resources

The portion of the above JORC compliant resource (estimated at a 0.6g/t lower SMU block cut off grade) contained within the reserve study optimised open pit design is as follows:

Category	Tonnes (Millions)	Gold Grade (g/t)	Contained Gold (Ounces)
Indicated	35.3	1.46	1,660,000
Inferred	4.7	1.38	210,000
	40.0	1.45	1,870,000

Notes: 0.6 g/t Au lower SMU block cut off grade for both categories of resource. Rounded to two significant figures.

As noted above, the open pit design contains a JORC compliant Inferred Resource of 210,000 ounces of gold in addition to the Indicated Resource that has converted to Ore Reserve. This Inferred Resource has not been included in the Ore Reserve and has not been included in any of the financial analysis on which the Reserve estimation has been based. This material has been treated as waste for the financial analysis.

Drilling completed subsequent to the estimation of the current resource and planned drilling in 2011 has and will target the conversion of the Inferred Resource to Indicated category. In the event that successful conversion is achieved, the forecast operating cost of the current pit design would fall from A$572 per ounce (as above) to A$537 per ounce.

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Planned Revision of Reserves & Resources

The current JORC compliant resources and reserves do not include any drill results from the ongoing diamond and RC drilling programmes that have been underway since January 2011. As part of the process of the completion of a Definitive Feasibility Study the board expects to estimate and report updates to both the resource and reserve in the June 2011 quarter.

Development Timetable

The board of Regis believes that the updated 1.66 million ounce gold reserve at Garden Well continues to confirm Garden Well as a high quality gold project. Regis is currently working on a Definitive Feasibility Study in to the development of the Garden Well project as a second stand alone milling operation at the Duketon Gold Project.

The growth of the resource and reserve base and preliminary feasibility study work indicate that the optimal size processing plant to be constructed at Garden Well will have a nameplate throughput capacity in the order of 4 million tonnes per annum. At the current reserve grade and metallurgical recovery, this throughput should see the Garden Well project produce in the order of 180,000 ounces of gold per annum.

The Company is targeting the following development timetable:

Milestone	Targeted Timing
Complete feasibility studies and financing	June 2011 quarter
Commence project construction	September 2011 quarter
Commence gold production	September 2012 quarter

The delivery of this strategy and the timing of it will, of course, be dependent on numerous factors, not limited to the assessment of all technical issues, statutory licensing processes and successful completion of feasibility studies.

Regis Managing Director Mark Clark commented:

“The increased reserve estimate of 1.66 million ounces at Garden Well continues to confirm that the deposit is one of the best virgin gold discoveries in Australia in some time. The forecast cash costs of A$572 per ounce should see Garden Well become a high quality mining operation with costs in the lowest quartile of the Australian gold industry. The reserve and resource base should continue to grow with an update planned in the June 2011 quarter to incorporate diamond and RC drilling completed since January 2011.

Regis will continue to expedite the development plan with a view to commencing development in July 2011 and gold production in mid 2012. With the expected scale of the processing plant increasing to 4 million tonnes per annum, successful development of the Garden Well deposit should lift Regis’ gold production to around 270,000 ounces per annum, commencing in financial year 2012/13.”

Yours sincerely

Regis Resources Limited

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Mark Clark Managing Director

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Qualification Statements

The technical information in this report that relates to Ore Reserves of the Garden Well gold deposit is based on information compiled by Mr Glenn Williamson who is a member of the Australasian Institute of Mining and Metallurgy. Mr Williamson has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the mining method undertaken to qualify as a Competent Person as defined in the 2004 edition of the ‘Australasian Code for the Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Williamson is a director and full time employee of Mining Resources Pty Ltd and consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

The other technical information, including all Resources and Reserves other than the Garden Well gold deposit Reserve, in this report has been reviewed and approved by Mr Morgan Hart who is a member of the Australasian Institute of Mining and Metallurgy. Mr Hart 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 2004 edition of the ‘Australasian Code for the Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Morgan Hart is a director and full time employee of Regis Resources Ltd and consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

APPENDIX 1 JORC COMPLIANT GOLD RESERVES

Project	Proven	Proven			Probable			Total		Cut‐ off Grade g/t
	million tonnes	grade g/t	gold koz	million tonnes	grade g/t	gold koz	million tonnes	grade g/t	gold koz
Garden Well				35.3	1.46	1,660	35.3	1.46	1,660	0.60
Moolart Well
Laterite	9.5	1.44	437	0.6	0.98	19	10.1	1.41	455	0.50
Oxide	1.2	1.85	71	1.2	2.02	77	2.4	1.94	148	0.50
Total Moolart Well	10.7	1.48	508	1.8	1.66	96	12.5	1.51	603
Erlistoun	1.3	2.34	95	1.4	2.37	108	2.7	2.36	203	0.70
Total Reserves	12.0	1.56	603	38.5	1.51	1,864	50.5	1.52	2,466

Notes – all reserves other than Garden Well and Erlistoun quoted at 30/6/10. Tonnes and Ounces are rounded, rounding errors may occur. MT = million tonnes, g/t = gold grade in grams per tonne, koz = thousands of ounces.

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APPENDIX 2 JORC COMPLIANT GOLD RESOURCES (INCLUSIVE OF RESERVES)

	Measured	Measured		Indicated	Indicated			Inferred		Total Resources	Total Resources	Total Resources	Cut‐off Grade g/t
Project	million tonnes	grade	gold	million	grade	gold	million	grade	gold	million	grade	gold
		g/t	koz	tonnes	g/t	koz	tonnes	g/t	koz	tonnes	g/t	koz
Garden Well				39.5	1.39	1,760	9.5	1.23	376	49.0	1.36	2,136	0.50
Moolart Well
Laterite	9.8	1.45	459	1.0	0.90	29	0.3	0.88	8	11.1	1.39	496	0.50
Oxide	1.2	1.85	71	3.9	1.52	192	6.7	1.45	314	11.9	1.51	577	0.80
Sulphide							2.4	1.37	108	2.4	1.37	108	1.00
Low Grade	4.0	0.42	54	13.9	0.47	212	48.5	0.50	774	66.4	0.49	1,040	0.30
Total Moolart Well	15.0	1.21	584	18.8	0.72	433	58.0	0.65	1,204	91.8	0.75	2,220
Erlistoun	2.3	1.92	143	3.0	1.88	179				5.3	1.90	321	0.50
Satellite Deposits
Dogbolter							0.9	2.91	87	0.9	2.91	87	1.00
Rosemont							14.7	1.72	815	14.7	1.72	815	1.00
KingJohn							0.7	3.18	72	0.7	3.18	72	1.00
Russells Find							0.4	3.84	55	0.4	3.84	55	1.00
Baneygo							0.8	1.70	43	0.8	1.70	43	0.50
Reichelts Find				0.1	3.69	17				0.1	3.69	17	1.00
Petra							0.4	3.12	42	0.4	3.12	42	2.00
Total Satellite Deposits				0.1	3.69	17	17.9	1.94	1,114	18.0	1.95	1,131
Total	17.3	1.31	727	61.4	1.21	2,389	85.4	0.98	2,694	164.1	1.10	5,810
Regis share												5,788

Notes – all resources other than Garden Well and Erlistoun quoted at 30/6/10. Tonnes and Ounces are rounded, rounding errors may occur. MT = million tonnes, g/t = gold grade in grams per tonne, koz = thousands of ounces

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