SAVANNAH GOLDFIELDS LIMITED — Capital/Financing Update 2005

May 3, 2005

RENISON CONSOLIDATED MINES NL

ACN 003 049 714

Mail Address GPO Box 5268 Brisbane Old 4001 Level 5, Santos House 60 Edward Street Brisbane Old 4000

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

ASX ANNOUNCEMENT

4 MAY 2005

ALLIANCE AGREEMENT FOR DEVELOPMENT OF TOM'S GULLY GOLD MINE AND STRATEGIC INVESTOR

The Directors of Renison Consolidated Mines NL (Renison) are pleased to announce that the Company has entered into an Alliance Agreement with PT Petrosea Tbk (PT Petrosea), a subsidiary of one of Australia's largest multi-disciplinary engineering, construction and operations and maintenance groups, Clough Limted (ASX: CLO) for PT Petrosea to provide underground mining and maintenance services at the Tom's Gully Gold Mine in the Northern Territory.

PT Petrosea will also make a \$2 million equity investment in Renison and provide additional funding support to the project through provision of underground mine fixed assets, mine services and the underground mining fleet. This equity investment is subject to Renison finalising its debt funding for the Tom's Gully development.

PT Petrosea has previously provided funding towards the completion of the feasibility studies at the Tom's Gully project via a loan of \$1 million. This loan will be converted into \$1 million worth of Renison \$1 convertible notes (ASX code: RSNG) at an issue price of \$2.50 per note. PT Petrosea will also subscribe for an additional \$1 million worth of Renison ordinary shares at an issue price of 12.5 cents per share to provide funding towards the underground mine development.

ASX listed Clough Limted owns 82% of PT Petrosea which is listed on the Jakarta Stock Exchange. Clough operates globally in industry sectors such as minerals, onshore and offshore oil and gas, petrochemicals, infrastructure and property and has a significant capability in project management, engineering, construction, installation, operations and maintenance.

The Alliance Agreement will govern the management and undertaking of the underground gold mining operations at Tom's Gully with PT Petrosea also supplying underground mine fixed assets, mine services and underground mining plant and equipment.

Renison completed a Feasibility Study for the commencement of a 45,000 ounce per annum underground mining operation at Tom's Gully earlier this year. Negotiations for the debt financing for the mine's development are well advanced and with this Alliance Agreement and equity raising now in place the Company can finalise its debt funding package. A decision to commence mining will be made once the financing arrangements have been completed. Commencement of gold production is targeted for within four months from the decision to commence mining.

To facilitate a timely development, initial site-works, the preparation of lay-out and design drawings and the ordering of long lead items for the refurbishment and upgrade of the

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RENISON CONSOLIDATED MINES NL

ACN 003 049 714

existing CIL gold treatment plant has been progressing. Dewatering of the mine in advance by a number of bores which will supplement the existing dewatering bores will also commence this week. The costs to date on capital equipment ordered have been in line with the Feasibility Study costings.

Commenting on the agreement, Renison's CEO, Richard Seville said: "We are pleased to have PT Petrosea's involvement in the Tom's Gully mine and as a shareholder of Renison. PT Petrosea brings to the project personnel and equipment suited to the planned mining methods and also will provide expertise in operational, OH&S, and maintenance systems."

PT Petrosea's President Director, John Sheridan, also commented: "We look forward to working together with Renison in an alliance structure at Tom's Gully as well as looking towards expanding the relationship into future business opportunities".

The development of the 45,000 ounce per annum underground gold mining operation represents the first phase of development of Renison's Northern Territory gold assets with the objective of later expanding production to over 60,000 ounces per annum from open cut mining, existing tailings re-treatment and increased recoveries through changes to the treatment process route.

The Tom's Gully gold project (90km to the south east of Darwin) is part of the Company's Northern Territory regional AuQuest project where the Company has outlined resources of over 570,000 ounces of gold from its tenement package covering 1.076 square kilometres of the northern end of the Pine Creek Geosyncline.

The entering into of this alliance agreement with PT Petrosea and their associated investment in Renison is a significant milestone for Renison in the advancement of its mining assets and facilitates the development of the Tom's Gully gold mine. The development of the Tom's Gully gold mine, the ongoing exploration program successes at the Agate Creek gold project in North Oueensland and the upcoming exploration program on the Ashford coal project continues the Company's development as an emerging mining company.

For and on behalf of the Board

JPK Marshall Company Secretary Brisbane, 4 May 2005

For further information contact: Richard Seville or Stephen Bizzell Phone: (07) 3303 0630 Fax: (07) 3303 0601 E-Mail: admin@rcm.com.au

David Waterhouse Waterhouse Investor Relations 0407 880 937

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.