Resolute Mining Limited — Annual Report 2014

Aug 25, 2014

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APPENDIX 4E Year ended 30 June 2014
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HIGHLIGHTS

• Reported year-end profit after tax attributable to members of $33m.

• Positive cash flow from operations in excess of $100m.

• Full year gold production of 342,774 ounces at a cash cost of $922/oz and All-in Sustaining Cost of $1,177/oz.

• Total market value of group cash, bullion and investments of $69m at 30 June 2014.

• New production expected from Syama oxide circuit which is on schedule for January 2015 commissioning.

• Acquisition of the Bibiani gold project in Ghana completed, now commencing an underground Feasibility Study, including 20,000m drill program at the advanced West African gold project.

• Unhedged production with strong leverage to gold price – profitable and cash generating over wide gold price range.

FINANCIAL RESULTS

• Revenue from gold sales down 15% to $527m (2013: $619m) due to lower gold price and reaching the end of gold production at Golden Pride.

• Average cash price received on 371,976 ounces of gold sold (2013: 395,181 ounces) was $1,413/oz (2013: $1,562/oz).

• Average cash cost per ounce of gold produced was $922/oz (2013: $811/oz). A weaker AUD, planned maintenance shutdown activities and a ramp up at Syama early in FY2014 contributed towards the increase in reported AUD costs per ounce.

• Profit margins were impacted by a lower gold price and higher cash costs.

• Net profit after tax attributable to members of $33.3m (2013: $84.9m).

• Net operating cash inflows (including exploration expenditure) during the year were $104.7m (2013: $154.5m).

• Net investing cash outflows of $97.0m (2013: $234.7m) included $89.2m of development expenditure, primarily for the Syama Expansion Project, and $17.8m relating to the acquisition of the remaining 40% interest in the Finkolo prospecting area in Mali.

• Net financing inflows of $13.1m (2013: $8.2m outflow) included $24.5m net inflows from new finance facilities.

OPERATIONS

• Total gold production for the year was 342,774 ounces (2013: 435,855) at an average cash cost of $922/oz (2013: $811/oz).

• Syama gold mine in Mali, Africa, produced 165,493 ounces (2013: 196,182) of gold at a cash cost of $1,006/oz (or US$922/oz) (2013: $796/oz or US$818/oz). Both gold

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production and cash costs during the year were adversely impacted by a major planned maintenance shutdown and ramp-up at Syama in July/August 2013.

• Ravenswood gold mine in Queensland, Australia, produced 139,291 ounces (2013: 141,846) of gold at a cash cost of $832/oz (2013: $760/oz).

• Golden Pride gold mine in Tanzania, Africa, produced 37,990 ounces (2013: 97,827) of gold at a cash cost of $887/oz (or US$814/oz) (2013: $916/oz or US$938/oz). Gold production at Golden Pride ceased in December 2013 and the mine is now proceeding towards closure with demolition works, rehabilitation and restoration works significantly progressed.

• All In Sustaining Costs (“AISC”) for the year were Syama – $1,311/oz, Ravenswood – $1,029/oz, Golden Pride – $1,030/oz, and for the Group – $1,177/oz. Syama’s AISC included $13.9m of waste stripping expenditure that was capitalised during the year.

DEVELOPMENT

Mali

• Syama Expansion Project (“SEP”) well progressed, with total forecast capital spend unchanged at US$235m and total expenditure to 30 June 2014 of US$152m.

• The parallel oxide circuit portion of the SEP had reached 78% completion at 30 June 2014 and remains on schedule for January 2015 commissioning.

• Underground Pre-Feasibility Study at Syama delivered a 54% increase in ore reserves to 3.15Moz with an additional 14.3Mt of ore supporting a high volume, low cost and financially viable operation extending long term production by at least 7 years to beyond 2025. Refer to ASX announcement 28 March 2014.

• Diamond drilling of deep targets within the proposed Syama underground project area continued. Best results were received during the June quarter including 19m @ 4.70g/t Au in SYDD390 and 39m @ 3.51g/t Au in SYDD396. Refer to ASX announcement 24 June 2014. The drilling is expected to provide tangible increases to both the downdip/plunge portions of the Syama resource model.

• Resolute completed the purchase of the remaining 40% interest in the Finkolo Joint Venture and was awarded an Exploitation Permit south of Syama that includes the 800,000oz Au Tabakoroni deposit where infill and extension drilling commenced. Refer to ASX announcement 29 October 2013.

Queensland

• An inaugural resource estimate of 1.28Moz Au was reported for the Buck Reef West deposit including 70% of resources in the Measured and Indicated categories of 29.4Mt @1.0g/t Au. A scoping study is now in progress to assess the optionality of the open pit mining schedule, which has the potential to provide the Ravenswood Operation with a low development risk opportunity to extend gold production at the mine. Refer to ASX announcement 20 June 2014.

• At Mt Wright a 46% increase in ore reserves was delineated that included an extension of a further three levels to the mine. This addition of 137,000oz Au extends the production profile until at least September 2016. Refer to ASX announcement 6 March 2014.

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EXPLORATION

Exploration drilling was carried out in Mali, Tanzania and Queensland while target definition work continued in Cote d’Ivoire.

• In Queensland, drilling continued at Buck Reef West following the resource announcement on 20 June 2014. Reverse circulation drilling is planned to infill gaps in the resource model and extend the limits of the mineralisation.

• In Mali, a large IP geophysical survey over the Birimian greenstones north of Tabakoroni has shown a strong resistivity anomaly coincident with a well-defined gold in soil trend, outlined by air core drilling and reported during the year.

• In Cote d’Ivoire, air core drilling commenced on the two granted research permits. Large gold and multi-element pathfinder element anomalies at Goumere and Toumodi are currently being covered by air core drilling.

CORPORATE

• The market value of group cash, bullion and liquid investments at the end of the period was $69m (2013: $156m) comprising of $18m in cash, gold bullion held in metal accounts with a market value of $26m and liquid investments of $25m.

• In October 2013, Resolute drew down on a US$20 million extension to the existing secured loan facility jointly provided by Barclays Bank Plc and Investec Bank (Australia). The loan is repayable in gold ounces in 24 equal instalments of 660oz per month between November 2013 and October 2015.

• Resolute became the 90% owner and operator of the Bibiani gold project in Ghana and progressed work to commence an underground feasibility study including a 20,000m drill program at the advanced West African gold project.

OUTLOOK

Operations

• The Company’s production guidance for FY2015 is 315,000 ounces at an average cash cost of $890 per ounce and AISC of $1,280 per ounce.

• Production in FY2015 is impacted by the recent closure of Golden Pride in Tanzania and slightly lower grade ore at Ravenswood in line with the life of mine plan. However the Company will benefit from increased production at Syama following commissioning of the new parallel oxide processing plant.

• Whilst cash costs are forecast to reduce in FY2015, AISC will be impacted by an increase in waste removal volumes at Syama for the year; however this is forecast to diminish in subsequent years.

Development and Exploration

• At the Bibiani project in Ghana, Resolute will undertake a Feasibility Study for an underground operation. As part of this study, which is expected to take up to 24 months, work will start promptly on a 20,000m drill program to better define the underground resource. Bibiani will continue under care and maintenance while the Feasibility Study is progressed. The former employees of the Ghanaian subsidiaries of Noble will be paid their entitlements in accordance with the terms agreed, as will indebtedness to local

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creditors. This will involve initial payments of approximately US$10m in the September 2014 quarter with a further US$5m over the next 12 months.

• In Mali, SEP expenditure for FY2015 is estimated to be US$55m. The parallel oxide circuit is on schedule for commissioning in January 2015. The construction schedule for the 72km High Voltage Grid Connection depends on concluding several agreements with various Malian authorities.

• A 16,000m diamond drill program to both infill and extend the underground resource base at Syama commenced in the March 2014 quarter with several high grade intercepts reported to date. The Company is conducting project work concurrent with the drilling which comprises a geotechnical and structural evaluation specific to the underground project, identification of the optimal portal location and identification of sites for key underground infrastructure (ventilation, escape ways, pumping requirements). The results of these activities will be incorporated into the Definitive Feasibility Study due to commence in 2015.

• At Ravenswood in Queensland, reverse circulation drilling is planned to infill gaps in the newly delineated 1.28Moz Au Buck Reef West resource model and extend the limits of the mineralisation. The Company has commenced a scoping study to evaluate potential open pit mining of the Buck Reef West and Nolans East resource in conjunction with its existing project plan. The Nolans process plant was until recently running at a 5Mtpa rate on Sarsfield ore and minimal capital expenditure would be required to accommodate the additional ore supply from the nearby satellite deposits.

Corporate

• To maintain an active but disciplined examination of the new growth opportunities outlined above, the Company will be using a mix of its existing cash reserves, operating cash flows and debt funding to allow it to advance them at an appropriate pace. Refinancing of the US$50m Cash Advance Facility, which is set for repayment in March 2016, will also be considered as part of this process.

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P.R. SULLIVAN Chief Executive Officer 26 August 2014

Resolute is an unhedged gold miner with two operating mines in Africa and Australia. The Company is one of the largest gold producers by volume listed on the ASX. Resolute’s flagship Syama project in Mali is on track for an increase in production to 270,000oz of gold a year following an approved expansion to be undertaken through FY2016. At its Ravenswood mine in Queensland Resolute is investigating a number of opportunities to add value by increasing gold production and lowering operating costs. In Ghana, the Company is now the owner and operator of the advanced Bibiani gold project where work is being undertaken on an underground feasibility study including a 20,000m drill program. The Company controls an extensive footprint along the highly prospective Syama Shear and Greenstone Belts in Mali and Cote d’Ivoire. Resolute has also identified a number of highly promising exploration targets at its Ravenswood operations and holds a number of exploration projects in Tanzania surrounding its now completed Golden Pride mine.

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Competent person statement

The information in this report that relates to the Exploration Results, Mineral Resources and Ore Reserves is based on information compiled by Mr Richard Bray who is a Registered Professional Geologist with the Australian Institute of Geoscientists and Mr Andrew Goode, a member of The Australasian Institute of Mining and Metallurgy. Mr Richard Bray and Mr Andrew Goode both have more than 5 years’ experience relevant to the styles of mineralisation and type of deposit under consideration and to the activity which they are 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”. Mr Richard Bray and Mr Andrew Goode are full time employees of Resolute Mining Limited Group and each hold equity securities in the Company. They have consented to the inclusion of the matters in this report based on their information in the form and context in which it appears

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TABLE OF CONTENTS
Appendix 4E	8
Consolidated Statement of Comprehensive Income	9
Consolidated Statement of Financial Position	11
Consolidated Statement of Changes in Equity	13
Consolidated Cash Flow Statement	15
Notes to the Financial Statements	16

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REPORTING PERIOD

The reporting period is the year ended 30 June 2014 with the corresponding reporting period being for the year ended 30 June 2013.

RESULTS FOR ANNOUNCEMENT TO THE MARKET

Results Revenue from gold and silver sales Net profit after tax attributable to members of the parent Profit before tax attributable to members of the parent	A$'000 down 15% to 526,797 down 68% to 34,578 down 61% to 33,313

Dividends Final dividend Interim dividend Record date for determining entitlements to the dividend	security Amount per	per security Franked amount
	n/a	n/a
	n/a	n/a
	n/a

The above results should be read in conjunction with the notes and commentary contained within this report.

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CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

Note Continuing Operations	For the For the year ended year ended 30‐Jun‐14 30‐Jun‐13 $'000 $'000
Revenue from gold and silver sales 3(a) Costs of production relating to gold sales 3(b)	526,797 618,602 (345,543) (315,692)
Gross profit before depreciation, amortisation and other operating costs	181,254 302,910
Depreciation and amortisation relating to gold sales 3(c)	(67,726) (63,860)
Other operating costs relating to gold sales 3(d) Gross profit	(32,863) (40,222)
	80,665 198,828
Other revenue 3(e) Other income 3(f) Exploration and business development expenditure Share of associates' losses Administration and other corporate expenses 3(g) Treasury ‐ realised (losses)/gains 3(h) Care and maintenance costs Asset impairment expenses, fair value movements, and unrealised treasury gains/(losses) 3(i) Profit before interest and tax	41 3,204 13,988 3,798 (14,667) (20,617) (704) (21,379) (7,218) (6,546) (395) 483 (10,236) ‐ (22,220) (25,158)
	39,254 132,613
Finance costs 3(j) Profit before tax Tax expense Profit for the period Profit attributable to: Members of the parent Non‐controlling interest	(8,833) (4,130)
	30,421 128,483 (1,265) (23,040)
	29,156 105,443
	33,313 84,878 (4,157) 20,565
	29,156 105,443

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CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (continued)

Note	For the For the year ended year ended 30‐Jun‐14 30‐Jun‐13 $'000 $'000	For the For the year ended year ended 30‐Jun‐14 30‐Jun‐13 $'000 $'000
Profit for the period (brought forward) Other comprehensive income/(loss) Items that may be reclassified subsequently to profit or loss Exchange differences on translation of foreign operations: ‐ Members of the parent ‐ Non‐controlling interest Changes in the fair value of available for sale financial assets, net of tax Other comprehensive income for the period, net of tax Total comprehensive income for the period Total comprehensive income/(loss) attributable to: Members of the parent Non‐controlling interest	29,156 105,443
	(7,300) 29,748 166 (1,803) 11,488 252
	4,354 28,197
	33,510 133,640
	37,501 114,878 (3,991) 18,762
	33,510 133,640
Earnings per share for net profit attributable to the ordinary equity holders of the parent: Basic earnings per share 6 Diluted earnings per share 6	5.20 13.29 5.15 13.26

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CONSOLIDATED STATEMENT OF FINANCIAL POSITION

Note Current assets	As at As at 30‐Jun‐14 30‐Jun‐13 $'000 $'000
Cash Receivables Inventories Available for sale financial assets	18,546 3,040 4,084 9,147 150,777 202,913 23,523 28,909
Other Total current assets Non current assets Other financial assets Receivables Exploration and evaluation expenditure Development expenditure Property, plant and equipment Environmental bond ‐ restricted cash Investment in associates	2,644 4,156
	199,574 248,165
	‐ 64,788 1,308 1,875 41,110 11,539 458,880 395,914 240,509 181,734 2,908 ‐ ‐ 604
Total non current assets Total assets Current liabilities Payables Interest bearing liabilities Unearned revenue 5	744,715 656,454
	944,289 904,619
	49,636 71,329 30,699 34,941 9,731 ‐
Tax liabilities	1,214 2,266
Provisions Total current liabilities Non current liabilities Interest bearing liabilities Unearned revenue 5 Provisions Total non current liabilities Total liabilities Net assets	30,725 26,126
	122,005 134,662
	58,352 56,384 3,344 ‐ 61,283 54,970
	122,979 111,354
	244,984 246,016
	699,305 658,603

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CONSOLIDATED STATEMENT OF FINANCIAL POSITION (continued)

Note	As at As at 30‐Jun‐14 30‐Jun‐13 $'000 $'000
Equity attributable to equity holders of the parent Contributed equity 7	380,305 380,225 40,084 33,816 292,049 259,139 712,438 673,180 (13,133) (14,577) 699,305 658,603
Reserves Retained earnings	40,084 33,816 292,049 259,139
Parent interest
Non‐controlling interest	(13,133) (14,577)
Total equity

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APPENDIX 4E: PRELIMINARY FINAL REPORT 30 JUNE 2014

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

At 1 July 2013 Profit for the period Other comprehensive income/(loss), net of tax Total comprehensive income for the period, net of tax Transactions with owners Shares issued Transfer from foreign currency translation reserve Non‐controlling interest in subsidiary acquired	Contributed equity Net unrealised gain/(loss) reserve Share options equity reserve Employee equity benefits reserve Foreign currency translation reserve Retained earnings Non‐controlling interest Total $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000
	380,225 ‐ 5,987 6,018 21,811 259,139 (14,577) 658,603
	‐ ‐ ‐ ‐ ‐ 33,313 (4,157) 29,156 ‐ 11,488 ‐ ‐ (7,300) ‐ 166 4,354
	‐ 11,488 ‐ ‐ (7,300) 33,313 (3,991) 33,510
	80 ‐ ‐ ‐ ‐ ‐ ‐ 80 ‐ ‐ ‐ ‐ 403 (403) ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ 5,435 5,435
Share‐based payments to employees At 30 June 2014	‐ ‐ ‐ 1,677 ‐ ‐ ‐ 1,677
	380,305 11,488 5,987 7,695 14,914 292,049 (13,133) 699,305

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APPENDIX 4E: PRELIMINARY FINAL REPORT 30 JUNE 2014

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (continued)

At 1 July 2012 Profit for the period Other comprehensive income/(loss), net of tax Total comprehensive income for the period, net of tax Transactions with owners Shares issued Share issue costs Share buy‐backs Dividend paid	Contributed equity Net unrealised gain/(loss) reserve Share options equity reserve Employee equity benefits reserve Foreign currency translation reserve Retained earnings Non‐controlling interest Total $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000
	368,047 (252) 5,987 4,626 (7,937) 205,861 (33,339) 542,993
	‐ ‐ ‐ ‐ ‐ 84,878 20,565 105,443 ‐ 252 ‐ ‐ 29,748 ‐ (1,803) 28,197
	‐ 252 ‐ ‐ 29,748 84,878 18,762 133,640
	23,210 ‐ ‐ ‐ ‐ ‐ ‐ 23,210 (44) ‐ ‐ ‐ ‐ ‐ ‐ (44) (10,988) ‐ ‐ ‐ ‐ ‐ ‐ (10,988) ‐ ‐ ‐ ‐ ‐ (31,600) ‐ (31,600)
Share‐based payments to employees At 30 June 2013	‐ ‐ ‐ 1,392 ‐ ‐ ‐ 1,392
	380,225 ‐ 5,987 6,018 21,811 259,139 (14,577) 658,603

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APPENDIX 4E: PRELIMINARY FINAL REPORT 30 JUNE 2014

CONSOLIDATED CASH FLOW STATEMENT

CONSOLIDATED CASH FLOW STATEMENT
Note	Consolidated
	For the For the year ended year ended 30‐Jun‐14 30‐Jun‐13
	$'000 $'000
Cash flows from operating activities Receipts from customers Payments to suppliers, employees and others Income tax paid Exploration expenditure Interest paid Interest received Net cash flows from operating activities Cash flows from investing activities Payments for property, plant & equipment Proceeds from sale of available for sale financial assets Payments for acquisition of available for sale financial assets Net cash in subsidiaries acquired Payments for development activities Payments for evaluation activities Proceeds from sale of property, plant & equipment Loan to associate Other Payments for other financial assets Net cash flows used in investing activities Cash flows from financing activities Proceeds from issuing ordinary shares Costs of issuing ordinary shares Repayment of borrowings Repayment of lease liability Proceeds from finance facilities Dividends paid Payments for share buy backs Net cash flows from financing activities Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at the beginning of the financial period Exchange rate adjustment Cash and cash equivalents at the end of the period Cash and cash equivalents comprise the following: Cash Bank overdraft	526,798 618,602 (398,421) (430,278) (2,405) (16,273) (15,651) (16,763) (5,635) (1,742) 41 937
	104,727 154,483
	(13,471) (23,417) 33,000 5,989 (100) (13,427) 241 ‐ (89,216) (113,306) (17,763) (3,932) 584 ‐ (8,868) 159 (1,421) (1,441) ‐ (85,363)
	(97,014) (234,738)
	80 2,562 ‐ (44) (6,670) ‐ (4,736) (3,213) 24,472 51,530 ‐ (31,600) ‐ (10,988)
	13,146 8,247
	20,859 (72,008) (28,143) 43,142 (60) 723
	(7,344) (28,143)
	18,546 3,040 (25,890) (31,183)
	(7,344) (28,143)

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NOTE 1: BASIS OF PREPARATION OF PRELIMINARY FINAL REPORT

a) Corporate information

The preliminary final report of Resolute Mining Limited and its subsidiaries (“Resolute” or the “Group”) for the full year ended 30 June 2014 was authorised for issue in accordance with a resolution of directors.

Resolute Mining Limited (“RML”) is a company incorporated in Australia and limited by shares, which are publicly traded on the Australian Securities Exchange.

b) Basis of preparation

This report is based on accounts that are in the process of being audited.

This report does not include all of the notes normally included in an annual financial report. Accordingly this report is to be read in conjunction with the financial report for the year ended 30 June 2013 and any public announcements made by RML during the reporting period in accordance with the continuous disclosure requirements of the Corporations Act 2001 .

NOTE 2: ANNUAL GENERAL MEETING

The annual general meeting will be held as follows:

Place: To be advised Date: To be advised Time: To be advised Approximate date the annual report will be available: Late October 2014

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NOTE 3: PROFIT FROM CONTINUING OPERATIONS

(a) Revenue from gold and silver sales Gold and silver sales (b) Costs of production relating to gold sales Costs of production (excluding gold in circuit inventories movement) Gold in circuit inventories movement (c) Depreciation and amortisation relating to gold sales Amortisation of evaluation, development and rehabilitation costs Depreciation of mine site properties, plant and equipment (d) Other operating costs relating to gold sales Royalty expense Operational support costs (e) Other revenue Interest income (f) Other income Profit on sale of property, plant and equipment Profit on sale of available for sale financial assets Other Profit on sale of non operating mine sites	For the For the year ended year ended 30‐Jun‐14 30‐Jun‐13 $'000 $'000 526,797 618,602 Consolidated
	316,097 353,569 29,446 (37,877)
	345,543 315,692
	35,823 36,910 31,903 26,950
	67,726 63,860
	29,317 33,965 3,546 6,257
	32,863 40,222
	41 3,204
	210 ‐ 13,707 1,775 71 66 ‐ 1,957
	13,988 3,798

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NOTE 3: PROFIT FROM CONTINUING OPERATIONS (continued)

NOTE 3: PROFIT FROM CONTINUING OPERATIONS (continued)
	For the For the year ended year ended 30‐Jun‐14 30‐Jun‐13 $'000 $'000 Consolidated
(g) Administration and other corporate expenses Other management and administration expenses Share based payments expense Depreciation of non mine site assets Rehabilitation and restoration provision adjustment from non operating mine sites	5,867 5,202 1,237 1,179 114 104 ‐ 61 7,218 6,546 (258) 483 (137) ‐ (395) 483 (919) (6,127) (18,000) (20,000) (21,362) ‐ 1,601 (5,333) 16,460 40,460 ‐ (31,794) ‐ (2,364) (22,220) (25,158)
(h) Treasury ‐ realised (losses)/gains Realised foreign exchange (loss)/gain Realised loss on repayment of gold prepay loan (i) Asset impairment expenses, fair value movements, and unrealised treasury gains/(losses) Impairment of accounts receivable Fair value movement on convertible notes held in associate (i) Impairment of inventories (ii) Unrealised foreign exchange gain/(loss) Unrealised foreign exchange gain on intercompany balances (iii) Impairment of gold equity investments Unrealised loss on financial derivative assets

• (i) A fair value adjustment of $18.000m (2013: $20.000m) was recorded in the statement of comprehensive income against the carrying value of convertible notes held in Noble Mineral Resources Limited (“NMRL”) to reflect the changes to the value of that asset in the six months ended 31 December 2013. No further fair value adjustments were recognised in the six months ended 30 June 2014.

• (ii) $15.396m of this impairment expense relates to ore stockpile and gold in circuit inventory write‐downs. The lower gold price experienced mid‐year impacted the market value of the gold inventories held by Resolute. Hence a non‐cash impairment charge has been recorded against the ore stockpile and gold in circuit inventory values. These inventories are recorded on the Statement of Financial Position at the lower of cost and net realisable value. The remaining balance of this impairment charge relates to the write‐down of warehouse inventory and critical spares to their recoverable value.

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NOTE 3: PROFIT FROM CONTINUING OPERATIONS (continued)

• (iii) Due to an accounting standard requirement the unrealised foreign exchange gains and losses on intercompany balances between entities in the Group are taken directly to the Group’s statement of comprehensive income.

(iii) Due to an accounting standard requirement the unrealised foreign exchange gains and losses on intercompany balances between entities in the Group are taken directly to the Group’s statement of comprehensive income.
	For the For the year ended year ended 30‐Jun‐14 30‐Jun‐13 $'000 $'000 Consolidated
(j) Finance costs Interest and fees Rehabilitation and restoration provision accretion	7,501 2,735 1,332 1,395 8,833 4,130

NOTE 4: DIVIDENDS PAID OR PROVIDED FOR

No dividend has been declared for the year ended 30 June 2014. No dividend was declared for the year ended 30 June 2013.

FRANKING CREDITS

The amount of franking credits available for subsequent financial years
is as follows. The amount has been determined using a tax rate of 30%.	103 103

NOTE 5: UNEARNED REVENUE

In October 2013, Resolute drew down on a US$20.000 million extension to the existing secured loan facility jointly provided by Barclays Bank PLC (“Barclays”) and Investec Bank (Australia) Limited (“Investec”). The loan is repayable in gold ounces in 24 equal instalments of 660 ounces per month between November 2013 and October 2015 inclusive.

The secured loan has been classified as unearned revenue on the Statement of Financial Position as Barclays and Investec prepaid Resolute for a fixed quantity of gold ounces. Resolute has a legal obligation to deliver gold ounces, and recognises revenue as and when it makes the repayments in gold ounces.

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NOTE 6: EARNINGS PER SHARE

Basic earnings per share Profit attributable to ordinary equity holders of the parent for basic earnings per share ($'000) Weighted average number of ordinary shares outstanding during the period used in the calculation of basic EPS Basic EPS (cents per share) Diluted earnings per share Profit used in calculation of basic earnings per share ($'000) Weighted average number of ordinary shares outstanding during the period used in the calculation of basic EPS Weighted average number of notional shares used in determining diluted EPS Weighted average number of ordinary shares outstanding during the period used in the calculation of diluted EPS Number of potential ordinary shares that are not dilutive and hence not included in calculation of diluted EPS Diluted EPS (cents per share)

Jun‐14 Jun‐13 33,313 84,878 641,081,840 638,425,204 5.20 13.29 33,313 84,878 641,081,840 638,425,204 5,172,206 1,805,281 Consolidated

646,254,046 640,230,485 4,214,066 1,866,066 5.15 13.26

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NOTE 7: ISSUED & CONTRIBUTED EQUITY

Ordinary securities		Total Number $'000 Number Quoted
As at 1 July 2013		640,994,224 640,994,224 380,225
Changes during current period, net of issue costs Increases through exercise of unlisted options As at 30 June 2014 Options on issue As at 30 June 2014 Changes during current period Exercise of unlisted options Lapsing of unlisted options Lapsing of unlisted options Lapsing of unlisted options Lapsing of unlisted options Performance rights on issue As at 30 June 2013 Changes during current period Increase through issue of performance rights to eligible employees pursuant to the Remuneration Framework As at 30 June 2014	Total Number 450,000 39,000 90,000 2,000,000 815,666 130,000 689,400	194,999 194,999 80
		641,189,223 641,189,223 380,305
	4,214,066

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APPENDIX 4E: PRELIMINARY FINAL REPORT 30 JUNE 2014

NOTE 8: OPERATING SEGMENTS

NOTE 8: OPERATING SEGMENTS
For the year ended 30 June 2014 Revenue Gold and silver sales at spot to external customers (a) Total segment gold and silver sales revenue Cash costs Depreciation and amortisation Other operating costs (including gold in circuit movement) Other corporate/admin costs Segment operating result before treasury, other income/(expenses) and tax Other income Exploration and business development expenditure Finance costs Share of associates' losses, asset impairment expenses and fair value movements Segment operating result before treasury and tax Treasury ‐ realised losses Treasury ‐ unrealised gains Tax expense Profit/(loss) for the period	RAVENSWOOD GOLDEN PRIDE SYAMA BIBIANI CORP/OTHER TREASURY TOTAL (AUSTRALIA) (TANZANIA) (MALI) (GHANA) $'000 $'000 $'000 $'000 $'000 $'000 $'000 195,083 100,044 231,128 ‐ ‐ 542 526,797 UNALLOCATED(b)
	195,083 100,044 231,128 ‐ ‐ 542 526,797 (115,946) (33,701) (166,450) ‐ ‐ ‐ (316,097) (38,052) (15) (29,659) ‐ ‐ ‐ (67,726) (8,124) (53,004) (13,499) ‐ 2,083 ‐ (72,544) ‐ ‐ ‐ ‐ (7,218) ‐ (7,218)
	32,961 13,324 21,520 ‐ (5,135) 542 63,212 128 122 ‐ ‐ 4 13,774 14,028 (2,742) (3,165) (3,317) (2,754) (2,689) ‐ (14,667) ‐ ‐ ‐ ‐ ‐ (8,833) (8,833) 384 (7,269) (15,396) (18,000) (704) ‐ (40,985)
	30,731 3,012 2,807 (20,754) (8,524) 5,483 12,755 ‐ ‐ ‐ ‐ ‐ (395) (395) ‐ ‐ ‐ ‐ ‐ 18,061 18,061 ‐ (1,068) ‐ ‐ (197) ‐ (1,265)
	30,731 1,944 2,807 (20,754) (8,721) 23,149 29,156

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30 JUNE 2014

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NOTE 8: OPERATING SEGMENTS (continued)

NOTE 8: OPERATING SEGMENTS (continued)
For the year ended 30 June 2014	RAVENSWOOD GOLDEN PRIDE SYAMA BIBIANI CORP/OTHER TREASURY (AUSTRALIA) (TANZANIA) (MALI) (GHANA) $'000 $'000 $'000 $'000 $'000 $'000 UNALLOCATED(b)	UNALLOCATED(b)	TOTAL $'000
Cash flow by segment, including gold bullion, and gold shipped but unsold and held in metal accounts Reconciliation of cash flow by segment to the cash flow statement: Movement in gold shipped but unsold and held in metal accounts Mark to market movement in gold unsold Movement in bank overdraft Exchange rate adjustment Movement in cash and cash equivalents per consolidated cash flow statement Capital expenditure	53,711 (4,340) (71,443) ‐ (14,591) 39,828 13,521 6,501 100,519 ‐ 908 ‐		3,165 17,157 (4,816) 5,293 60
			20,859
			121,449
Segment assets	102,021 17,767 660,103 93,967 70,431 ‐		944,289
Segment liabilities	46,606 16,324 78,431 30,127 73,496 ‐		244,984

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30 JUNE 2014

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NOTE 8: OPERATING SEGMENTS (continued)

For the year ended 30 June 2013 Revenue Gold and silver sales at spot to external customers (a) Total segment gold sales revenue Cash costs Depreciation and amortisation Other operating costs (including gold in circuit movement) Other corporate/admin costs Segment operating result before treasury, other income/(expenses) and tax Other income Exploration and business development expenditure Finance costs Asset impairment expenses and share of associates' losses Segment operating result before treasury and tax Treasury ‐ realised gains Treasury ‐ unrealised gains Tax expense Profit/(loss) for the period	RAVENSWOOD GOLDEN PRIDE SYAMA CORP/OTHER TREASURY TOTAL (AUSTRALIA) (TANZANIA) (MALI) $'000 $'000 $'000 $'000 $'000 $'000 ( b ) ( b ) 221,867 145,381 251,043 ‐ 311 618,602 UNALLOCATED
	221,867 145,381 251,043 ‐ 311 618,602 (107,870) (89,585) (156,114) ‐ ‐ (353,569) (36,172) (6,537) (21,151) ‐ ‐ (63,860) (11,875) 4,015 3,175 (2,101) ‐ (6,786) (68) ‐ ‐ (2,038) ‐ (2,106)
	65,882 53,274 76,953 (4,139) 311 192,281 17 ‐ ‐ 3,781 3,205 7,003 (5,553) (5,651) (4,210) (5,203) ‐ (20,617) ‐ ‐ ‐ ‐ (4,130) (4,130) ‐ ‐ ‐ (79,300) ‐ (79,300)
	60,346 47,623 72,743 (84,861) (614) 95,237 ‐ ‐ ‐ ‐ 483 483 ‐ ‐ ‐ ‐ 32,763 32,763 ‐ (17,562) (3,755) (1,723) ‐ (23,040)
	60,346 30,061 68,988 (86,584) 32,632 105,443

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30 JUNE 2014

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NOTE 8: OPERATING SEGMENTS (continued)

NOTE 8: OPERATING SEGMENTS (continued)
For the year ended 30 June 2013	RAVENSWOOD GOLDEN PRIDE SYAMA CORP/OTHER TREASURY (AUSTRALIA) (TANZANIA) (MALI) $'000 $'000 $'000 $'000 $'000 UNALLOCATED(b)	TOTAL $'000
Cash flow by segment, including gold bullion, and gold shipped but unsold and held in metal accounts Reconciliation of cash flow by segment to the cash flow statement: Movement in gold shipped but unsold and held in metal accounts Mark to market movement in gold unsold Prior period Other Financial Assets ‐ Restricted Cash used to acquire‐‐‐ ‐‐‐Available For Sale Financial Assets Movement in bank overdraft Exchange rate adjustment Movement in cash and cash equivalents per consolidated cash flow statement Capital expenditure Segment assets Segment liabilities	63,971 54,236 (88,720) (149,023) 26,009 30,187 1,159 112,274 305 ‐	(93,527) 1,438 3,967 42,758 (25,921) (723)
		(72,008)
		143,925
	126,185 70,687 593,166 114,581 ‐	904,619
	52,838 33,421 98,380 61,375 2	246,016

(a) Revenue from external sales for each reportable segment is derived from several customers.

(b) This information does not represent an operating segment as defined by AASB 8, however this information is analysed in this format by the Chief Operating Decision Makers, and forms part of the reconciliation of the results and positions of the operating segments to the financial statements.

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APPENDIX 4E: PRELIMINARY FINAL REPORT 30 JUNE 2014

NOTE 9: NET TANGIBLE ASSETS

	As at	As at
	30‐Jun‐14	30‐Jun‐13
	$'000	$'000
Net tangible assets per share ($)	1.09	1.03

NOTE 10: ACQUISITION OF BIBIANI GOLD PROJECT

Acquisition of Mensin Gold Bibiani Limited, Drilling and Mining Services Limited and Noble Mining Ghana Limited.

On 18 June 2014 , the Group acquired three subsidiaries of Noble Mineral Resources Limited (“Noble”), being Mensin Gold Bibiani Limited (“MGBL”, formerly Noble Gold Bibiani Limited), Drilling and Mining Services Limited (“DAMS”) and Noble Mining Ghana Limited (“NMGL”). The percentage of voting rights acquired is shown in the table below.

The Group acquired these companies to gain ownership of the Bibiani Gold Project to pursue a feasibility study and ultimately develop the Bibiani Gold Project.

The acquisition was settled on 18 June 2014, following Resolute meeting the conditions of a deed of company arrangement (“DOCA”) that was established between Resolute and Noble’s Administrator in November 2013 by which Resolute would forgive all amounts owing by Noble which included convertible notes (with a written down value of $45.737m). A further $11.946m (US$11.248m) of funds were advanced to MGBL and $0.721m was incurred during the year in acquisition related costs. The total acquisition consideration therefore equalled $58.404m.

The acquisition for the Bibiani Gold Project has been accounted for as an asset acquisition in accordance with Australian Accounting Standards.

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30 JUNE 2014

NOTE 10: ACQUISITION OF BIBIANI GOLD PROJECT (continued)

Assets acquired and liabilities assumed

The carrying amounts based on relative fair values attributed to the assets and liabilities of the acquired entities as at the date of acquisition are detailed below:

Assets Cash Inventories Prepayments Property, plant & equipment Development expenditure Environmental bond ‐ restricted cash Liabilities Payables Provisions Interest bearing liabilities Net identifiable assets Non‐controlling interest Net assets Percentage of voting equity interests acquired	MGBL $'000 DAMS $'000 NMGL $'000 Total 33 18 190 241 2,436 ‐ ‐ 2,436 168 ‐ 10 178 70,772 ‐ 4,060 74,832 13,370 ‐ ‐ 13,370 2,908 ‐ ‐ 2,908
	89,687 18 4,260 93,965
	4,892 1,493 242 6,627 18,494 157 ‐ 18,651 ‐ ‐ 4,848 4,848
	23,386 1,650 5,090 30,126
	66,301 (1,632) (830) 63,839
	(5,435) ‐ ‐ (5,435)
	60,866 (1,632) (830) 58,404
	90% 100% 100%

The non‐controlling interest in MGBL is held by the Ghanaian Government.

Signed in accordance with a resolution of directors.

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P.R. Sullivan Director Perth, Western Australia 26 August 2014

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