SAVANNAH GOLDFIELDS LIMITED — Capital/Financing Update 2004

Feb 12, 2004

RENISON CONSOLIDATED MINES NL

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 - 13 FEBRUARY 2004

EXPANDS NORTHERN TERRITORY GOLD PROJECT PORTFOLIO

The Directors of Renison are pleased to advise that the Company has entered into an option to purchase agreement with respect to Steve's Hill Gold Prospect (EL22068) in the Northern Territory.

The Steve's Hill gold prospect is located 15km to the west of the Company's wholly owned Tom's Gully CIP gold processing plant and the Tom's Gully underground gold project (90km) to the south east of Darwin).

Renison views the tenement area as having significant potential to provide open cut ore within a short haulage distance of the Company's gold processing plant at Tom's Gully. The tenement has been held by local prospectors and has been the source of a significant quantity of gold recovered from fossicking activities in the past few years. The tenement area covers a significant zone of structural dislocation, easily recognisable from the airborne magnetic image of the area (refer attached map). Recent exploration within the tenement has resulted in the location of several coarse gold anomalies coincident with the Early Proterozoic rocks in a zone of structural dislocation.

Exploration work within the tenement will commence at the end of the current wet season. The work will initially comprise detailed ground magnetics over the magnetic/structural anomaly together with geochemical sampling to improve understanding of the mineralisation setting. This will be followed by a shallow RAB drilling programme.

The Company has also made application to the Northern Territory government for additional exploration licences taking in ground to the north and north west of the Steve's Hill prospect area which contain a continuation of the structural dislocation zone identified from airborne magnetics. Renison already holds areas to the south and south west of the Steve's Hill prospect.

Renison has targeted Steve's Hill prospect for some time with a view towards the expansion of the Company's Northern Territory gold project portfolio. Steve's Hill 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 resources projects which have the potential to be developed in a short timeframe. Steve's Hill adds greater depth to the Company's Northern Territory asset base and provides the exciting potential for an open cut mine to complement the Tom's Gully underground development going forward.

Renison has an option to purchase the prospect for a payment of \$100,000, exerciseable within 3 years. The project vendors will also receive a royalty of 1.5% of gross production from the tenement.

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ACN 003 049 714

Program Forward

The Company's focus continues on the discovery and development of gold resources and production from the Company's gold projects in the Northern Territory and Oueensland including the Tom's Gully project, Ouest 29 project and extensive surrounding exploration licences and the Agate Creek project whilst also targeting for acquisition additional resource projects that can be developed within a short time frame.

In addition to the work that will be carried out on the Steve's Hill prospect as part of Renison's regional Northern Territory focus, over the next six months the Company will be embarking on an aggressive program of exploration and development including:

• Undertaking a 10,000 metre (45 RC drill holes) infill drilling program (commencing early March) aiming to upgrade current resources at Tom's Gully to mineable reserve status:
• Completing the feasibility study on the Tom's Gully gold project enabling a decision to commence mining to be made;
• Undertaking a 'step out' resource delineation program at Tom's Gully consisting of 4,000 metres (12 RC drill holes) aiming to significantly upgrade the current gold resources inventory in the Northern Territory and in particular at Tom's Gully. A significant upgrade of the current resource estimate at Tom's Gully of 900,000 tonnes at 7 $g/t$ gold (200,000 contained ounces) is targeted from this program;
• Continued gold production from the Quest 29 dump leach operation; $\bullet$
• Ongoing exploration and review of the Company's other Northern Territory exploration licences targeting open cut resources within cartage distance of the Tom's Gully and Ouest 29 processing infrastructure; and
• Undertaking a 5,000 metre (50 RC drill holes) drilling program at Agate Creek $\bullet$ allowing a JORC compliant resource estimation to be made and pre-feasibility study for a open cut mining and heap leach gold operation to be undertaken.

As a potential source of open cut ore, Steve's Hill will complement the company's Tom's Gully underground project where it is expected that the final stage of the feasibility study can be completed by the Company around mid-year allowing a decision to commence mining at Tom's Gully to be made at this time. 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 250,000 tonnes per annum CIP gold treatment plant. Economic studies indicate forecast operating costs of around A\$350 per ounce (current A\$ gold price is approximately \$525 per ounce).

RENISON CONSOLIDATED MINES NL

ACN 003 049 714

Additional Technical Information on the Steve's Hill Prospect

Access to the licence area is via the all weather Arnhem Highway and well maintained secondary roads. The tenement is 48 sq km in area.

Geologically the prospect area lies on the northern flank of the Pine Creek Inlier, a major gold producing province of the Northern Territory. Over 4 million ounces of gold have been produced from the Pine Creek Infier, the majority since the resurgence in interest in the area from 1985 to the present day.

Gold mineralisation within the Pine Creek Inlier predominantly occurs as mesothermal veins, saddle reef and stockwork systems in "slate belt" style deposits, similar to the style of mineralisation that has produced millions of ounces of gold in the Bendigo district of Victoria.

The tenement is largely covered by flood plain alluvial soils with limited exposure of the underlying geology occurring as low rises. The tenement is underlain by shallow marine, iron rich and tuffaceous sediments of the Early Proterozoic South Alligator and Finnis River Groups which are openly to tightly folded about a gently south-southwest plunging axis. The distinctive geological units within the Groups include the Koolpin Formation, Gerowie Tuff, Mount Bonnie Formation and the Burrell Creek Formation. The bulk of gold mineralisation within the Pine Creek Inlier occurs within these geological units.

Aeromagnetic data showing structural dislocation zone with some of Renison's NT tenements outlined * Airborne magnetic data supplied by NT DBIRD

RENISON CONSOLIDATED MINES NL

ACN 003 049 714

Renison holds 724 sq km of granted Exploration Licences and 190 sq km of Exploration Licence applications which occur adiacent to EL22068. The tenements cover significant areas of similar structural and magnetic anomalism as that found within EL22068.

Progress at the Company's Northern Territory gold assets where the Company has gold production and over 300,000 ounces of gold resources, together with expansion of the Company's project portfolio via this acquisition and the recent Agate Creek acquisition, continues the Company along the path towards becoming a profitable growing mining company.

For and on behalf of the Board

JPK Marshall Company Secretary Brisbane, 13 February 2004

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