SAVANNAH GOLDFIELDS LIMITED — Capital/Financing Update 2003

Nov 13, 2003

ACN 003 049 714

Mail Address PO Box 7066 Riverside Centre Brisbane Old 4001

Level 30 Riverside Centre 123 Eagle St Brisbane Old 4000

Phone: (07) 3832 6488 Fax: (07) 3832 6261 Email: admin@rcm.com.au

ASX ANNOUNCEMENT

14 November 2003

AGATE CREEK EPITHERMAL GOLD PROJECT - NORTH OUEENSLAND

The Directors of Renison Consolidated Mines NL are pleased to advise that the Company has entered into an agreement with Barrick Gold Australia to earn a 65% in the Agate Creek Epithermal Gold Project in North Oueensland. The project is located in a highly mineralised gold province containing Pajingo, Kidston, Mt Leyshon, Red Dome, Ravenswood and Charters Towers gold mines.

Agate Creek is an advanced exploration project with over 114 RC and diamond drill holes already drilled and has had approximately \$4.4m spent on the project since 1993. There is extensive near surface mineralisation on which a non-JORC compliant estimate of 5.6Mt at $1.7$ g/t (approximately 300,000 ounces of gold) at the Sherwood prospect was made by Plutonic in 1999 (provided as a guide to the quantum of resources which may be expected to be outlined with further drilling in the current drilled area).

The Company considers that this near surface, lower grade mineralisation has the potential for development into a low capital, open cut mining and heap leaching operation within a 2-3 year timeframe and this will be the Company's initial focus on the project.

In addition there is potential for the occurrence of "bonanza grade" style mineralisation beneath the lower grade near surface mineralisation.

Subject to rig availability, the Company intends to carry out a shallow 20 hole reverse circulation drilling programme during December 2003 to increase the near surface drilling density in the Sherwood area. This will provide better understanding of the mineralisation controls in the first 50m from surface and allow a JORC compliant resource to be estimated.

The Company can earn a 65% interest via the expenditure of \$1.5 million on the project over three years. Also as consideration for the withdrawal of an existing joint venture partner from the project, the Company will issue the withdrawing party 1,700,000 ordinary shares (ASX code RSN) and 50,000 convertible notes (ASX code RSNG).

The Board of the Company considers the Agate Creek Project has the potential to deliver exceptional total returns to shareholders through both the development of a low cost heap leach gold operation and via the discovery of a significant high grade resource at depth.

This expansion of the Company's project portfolio, together with progress at the Company's Northern Territory gold assets where the Company has over 300,000 ounces of gold resources, continues the Company along the path towards becoming a profitable growing mining company.

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ACN 003 049 714

Managing Director Richard Seville said:

"After targeting and reviewing a wide range of projects throughout the year we are very pleased to have been able to locate, and transact on, an asset of this calibre.

Agate Creek fits in well with the Company's corporate strategy of both developing the maximum potential from its existing asset base in the Northern Territory and acquiring advanced projects which have the potential to be developed within a 2-3 year timeframe.

We have made significant progress in the execution of this strategy this year by:

• $\bullet$ Becoming a gold producer at Ouest 29;
• Completing a diamond drilling programme and advancing the feasibility study at Tom's Gully with metallurgical testwork on the core currently underway; and
• Acquiring Agate Creek which has the potential to be the another leg of growth for the Company within 2-3 years time.

This transaction adds greater depth to our asset base and provides an exciting potential development profile going forward.

We are also pleased to be operating back in Queensland, where a number of the Company's board and executives have relevant experience in new mine development and operational experience with heap leaching."

Further detail on the Agate Creek Epithermal Gold Project is presented in the attachment.

For and on behalf of the Board

JPK Marshall Company Secretary Brisbane, 14 November 2003

For further information contact: Richard Seville or Stephen Bizzell Phone: (07) 3832 6488 Fax: (07) 3832 6261 E-Mail: admin@rcm.com.au

The information on ore reserves and mineral resources contained in this report is based on information compiled by Mr Chris Creagh who is a member of the Australian Institute of Mining and Metallurgy. Mr Creagh has relevant experience in relation to the mineralisation being reported on to qualify as a Competent Person as defined by the Australasian Code for Reporting of Mineral Resources and Reserves.

ACN 003 049 714

AGATE CREEK EPITHERMAL GOLD PROJECT

Location and Tenure

The Agate Creek Project is located approximately 340km west of Townsville in north Queensland.

The project area is within four granted exploration permits for minerals ("EPM's") covering over 461 km².

EPM	EPM Name	Area (km 2 )	Sub-blocks
No.
9632	Cave Creek	45.5	14
10719	Little John	65	20
11237	Bar Creek	84.5	26
11238	Mud Springs Dam	266.5	82
		461.5	142

The main mineralising system was discovered in 1993 by CRA Ltd. In 1998, Plutonic (now part of Barrick Gold) purchased the property from CRA and subsequently joint ventured the property to Normandy in 2000. Approximately \$4.4m has been spent on exploration within the Agate Creek tenements since 1993.

A total of 114 RC and diamond drill holes have been completed within the Sherwood, Sherwood West, Sherwood South and Nottingham prospects. In addition, the project area has had a 158km² of airborne magnetic and radiometric surveys undertaken as well as an IP geophysics and extensive soil, stream and rock chip sampling programmes carried out over the main prospects.

ACN 003 049 714

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(Figure from Normandy)

AGATE CREEK GEOLOGY

Outcrop within the project area is dominated by Proterozoic metamorphics, consisting of metamorphosed mudstones (mica schists), quartzite and metabasalt. The Proterozoic lithologies are intruded by the Silurian-Permian granites. Permian rhyolitic and andesitic volcanics and volcanoclastics extend towards the south eastern corner of the project area as part of the regional northwest southeast trending Agate Creek Volcanic complex.

Permo-carboniferous epithermal mineralisation occurs within the regionally extensive northwest-southeast trending Robertson Fault Zone. The mineralisation is a low-sulphidation, adularia-sericite type gold deposit characterised by irregular swarms of narrow colliform banded chalcedonic veins, which grade into breccias and zones of stockworking. Significant mineralisation occurs along re-activated faults at the contact between granodiorite and rhyolite intrusives. The main mineralised zone is known as the Sherwood Prospect.

LOW SULPHIDATION EPITHERMAL GOLD MODEL

The geological model for low-sulphidation epithermal gold deposits is increasingly well understood following the discovery and development of many deposits in the 1980's and 1990's around the Pacific Rim. The typical model has a zonation of precious metal grade with depth with anomalous to moderate grades $(0.1-5.0)$ g/t gold) occurring from original surface to around 200m depth, "bonanza grades" (10-50g/t gold) from 200m to around a depth of 400m, and lower grades (1-20g/t gold) beneath 400m.

In Australia, recent exploration and mining work on the Pajingo and Cracow epithermal vein systems has demonstrated that the zone of high grade gold mineralisation can extend for significantly more than 200 metres, resulting in multi million ounce deposits.

ACN 003 049 714

SHERWOOD PROSPECT CROSS SECTION

(Figure after Normandy)

At Agate Creek, based on geological textures, it is considered that the current land surface is approximately 100 metres below the ancient land surface at the time of mineralisation. Consequently, the mineralisation exposed is in the lower grade zone at the top of the epithermal system and therefore the potential exists for "bonanza grade" gold mineralisation beneath.

RESOURCE POTENTIAL

Following the connection of an RC drill programme in late 1999. Plutonic undertook a resource estimate employing sectional methods 40-80m apart at the Sherwood prospect. Using a density of 2.5tonnes per cubic metre and a cut-off of 0.3g/t Au,

5.6MT at 1.7 g/t Au (slightly over 300,000 ounces of gold) was calculated.

This estimate does not meet current JORC standards as a resource and is presented as a guide as to the amount of gold that may be contained within the area currently drilled at this prospect. Modelling employing inverse distance squared techniques was undertaken by the Company during due diligence and confirmed the general quantum and tenor of the mineralisation.

All of the prospects also have the potential to contain discrete zones of higher grade mineralisation. At Sherwood the following high grade intercepts have been recorded:

• 18m @ 20.69g/t Au from 14m
• 8m @ 24.26g/t Au from 56m
• 7m @ 7.18g/t Au from 86m

At Sherwood South and Sherwood West there have been a number of significant near surface intercepts which provide the Company with confidence that resources may be delineated in these areas also. Intercepts include:

ACN 003 049 714

Sherwood South

• 10m @ 3.30g/t Au from 58m
• 10m @ 2.68g/t Au from 86m $\ddot{\phantom{0}}$

Sherwood West

• 12m $@$ 2.46g/t Au from 35m
• $12m (a) 1.13g/t$ Au from 19m
• $16m$ $\omega$ 1.66g/t Au from 28m

PROJECT POTENTIAL

The Company considers Agate Creek to have potential to not only contain bulk tonnage, lower grade mineralisation and but also "bonanza grade" style mineralisation.

The "bulk tonnage, lower grade" style of mineralisation has the potential for development as a relatively low grade, low strip ratio open cut mine using low capital, heap or dump leaching methods. Direct cyanidation of a number of samples from RC drilling in 1999 achieved an average extraction in excess of 93% with low reagent consumption. The project could have a 2-3 year development time frame and this is the Company's immediate focus for the project. The Company is targeting a development potentially producing around 50,000 ounces of gold per annum.

The mineralisation and geology encountered at surface and in the drilling at the Sherwood Prospect is indicative of the upper levels of a low sulphidation epithermal system. Higher grade "bonanza zones" can occur beneath the upper levels of these systems and this style of target will be a later second focus for the project.

The Agate Creek tenement area covers over 460km² and in addition to the Sherwood group of prospects also contains numerous geophysical, stream, soil and rock chip anomalies which are yet to be thoroughly tested. The Company considers that there is considerable potential for repetitions of the Sherwood mineralisation to be located elsewhere on the tenements.