SAVANNAH GOLDFIELDS LIMITED — Capital/Financing Update 2004

May 12, 2004

RENISON CONSOLIDATED MINES NL

ACN 003 049 714

Mail Address GPO Box 5268 Brisbane Qld 4001

Level 5. Santos House 60 Edward Street Brisbane Qld 4000

Phone: (07) 3303 0630 Fax: (07) 3303 0601 Email: admin@rcm.com.au

ASX ANNOUNCEMENT

13 May 2004

FURTHER HIGH GRADE DRILLING RESULTS AT TOM'S GULLY GOLD MINE

The Directors of Renison Consolidated Mines NL are pleased to advise on significant gold intercepts from a further three drill holes of the 57 hole (14,000 metre) drilling program currently being undertaken at the Company's Tom's Gully project in the Northern Territory.

Drill holes TGD379 and TGD404 were part of the reserve definition component of the drilling program and both had high grade intercepts across a thick part of the Tom's Gully reef. TGD379 intercepted 4.0m at 9.7g/t gold from 213.7m and TGD404 intercepted 3.1m at 7.5g/t gold from 215.8m. Both TGD379 and TGD404 are at the south east extremity of the main current resource area, in an area of limited previous drilling. The results have highlighted the prospectivity of this area as the reef is open and untested to the east and north east.

In addition, to the south west, results from the current 'step out' resource delineation program together with these drill holes have confirmed the potential for a significant increase and upgrade of the current resource estimate at Tom's Gully of 900,000 tonnes at 7 $g/t$ gold (200,000 contained ounces) from this program.

TGD394 which was designed to test extensions to the north west of the current resource area intersected a narrow interval of mineralised reef, but the main reef had been faulted out.

The results are from the reserve definition program which is designed to outline the mining blocks for the first 3 years of the proposed mine development. The results to date are consistent with the Company's expectations for this program.

The results of TGD379 and TGD404, together with the 'step out' drill holes, TGD372 and TGD373 which were 300m and 400m south (down dip) respectively of the main resource area demonstrate the continuity of the mineralized reef down dip for over 1km. The mineralisation is of a similar style and setting to that encountered in the current resource area.

Full details of the results for the drilling program to date are contained in the following table:

HOLE NO. LAMG	EAST	AMG INORTH	DIP	REEF FROM	REEF TO	INTERVAL (m)	GRADE Au g/t
TGD356	777425	8579799	$-90^\circ$	141.20	141.70	0.50	0.16
TGD357	777484	8579785	$-90^\circ$	159.43	163.70	4.27	5.01
TGD358	777524	8579782	$-90^\circ$	166.00	167.90	1.90	6.22
TGD363	777419	8579720	$-90^\circ$	181.45	182.40	0.95	5.31
TGD364	777457	8579697	$-90^\circ$	205.60	206.50	0.90	9.45
TGD365	777539	8579720	$-90^\circ$	192.50	193.70	1.20	11.64

RENISON CONSOLIDATED MINES NL

ACN 003 049 714

TGD368	777495	8579664	$-90^\circ$	208.12	208.48	0.36	5.29
TGD369	777413	8579650	$-90^\circ$	218.16	218.50	0.34	0.59
TGD372	777400	8579200	$-90^\circ$	253.65	255.30	1.65	10.63
TGD373	777260	8579100	$-90^\circ$	270.34	270.84	0.50	16.60
TGD379	777565	8579538	$-90^\circ$	213.70	217.70	4.00	9.68
TGD394	777549	8579850	$-90^\circ$	132.8	132.9	0.10	4.66
TGD404	777605	8579535	$-90^\circ$	215.8	218.9	3.10	7.50

The current drilling program is part of the feasibility study into the development of an underground mining operation at Tom's Gully and comprises two stages:

• $\bullet$ a 45 hole (10,000 metre) reserve definition infill drilling program aiming to upgrade resources at Tom's Gully to mineable reserve status for the first 3 years proposed mine development and delineate the margins of the mineable ore blocks; and
• $\bullet$ a 12 hole (4,000 metre) 'step out' resource delineation program aiming to significantly upgrade the current gold resources inventory. This program will drill areas that are down dip (southern) and along strike extensions to the current resource.

Assays of core samples have been performed by Northern Australian Laboratories in Pine Creek and drilling is being carried out by United Drilling Services. All drillholes have a 5.5" reverse circulation pre-collar to a predetermined depth approximately 10m above the predicted top of the reef. The holes are then completed by diamond coring through the reef using HQ triple tube to maximise recoveries in the ore zone. A total of 25 RC pre-collars and 17 diamond core tails have been completed to date. This drilling program should take a further 7 weeks to complete.

It is expected that the final stage of the feasibility study can be completed by the Company within 6 weeks of completion of the drilling program, allowing a decision to commence mining at Tom's Gully to be made at this time. Other technical studies including optimization metallurgical testwork, mine design, process engineering, environmental and water management are being progressed concurrently with the drilling programs. At Tom's Gully, the company is targeting the establishment of an underground mining operation producing 35,000 to 40,000 ounces of gold per annum with processing being done at the Company's existing Tom's Gully CIL gold treatment plant. The study is also considering the potential to integrate the re-treatment of the existing tailings resource and also process open cut ores from the Company's tenements at Quest 29, Steve's Hill and elsewhere.

The advancement of the Company's Northern Territory mining assets through this drilling program, ongoing progress towards completion of the feasibility study at Tom's Gully and the current exploration at the Agate Creek and Steve's Hill projects continues the Company's rapid development as an emerging gold producer.

For and on behalf of the Board

JPK Marshall Company Secretary Brisbane, 13 May 2004

RENISON CONSOLIDATED MINES NL

ACN 003 049 714

For further information contact: Richard Seville or Stephen Bizzell Phone: (07) 3303 0630 Fax: (07) 3303 0601 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.