ST BARBARA LIMITED — AGM Information 2011

Nov 16, 2011

St Barbara Limited ACN 009 165 066 Level 10, 432 St Kilda Road, Melbourne VIC 3004 Locked Bag 9, Collins Street East, Melbourne VIC 8003 Tel +61 3 8660 1900 Fax +61 3 8660 1999 www.stbarbara.com.au

Attached is a copy of the Chairman's address and Managing Director and CEO's presentation to the 2011 Annual General Meeting in Melbourne today.

Ross Kennedy Executive General Manager Corporate Services Company Secretary 17 November 2011

Ladies and Gentlemen

The headlines

I am delighted to report that the past 12 months have seen St Barbara's emergence as a profit generating gold producer. We have begun to realise our projected long term profit generating potential.

Net Profit After Tax for the 2011 financial year increased to $68.6 million compared to a net loss of $40.2 million in the previous year. Importantly, the underlying net profit for the year increased by 274% to $54.4 million, representing underlying earnings per share of 17 cents.

The expected minimum 10 year life of the Gwalia mine at Leonora underpins expectations of continued long term profitability. The mine's projected life is backed by a resource level of almost 4 million ounces, 2 million ounces of which are formally classified as reserves. The deposit is open at depth with the very real potential to increase the reserves.

Global context

In times of global uncertainty, gold becomes a sought after commodity for its intrinsic value and as a hedge against inflationary impacts on currencies and the uncertainty of global economic and political events.

Uncertainty about how to deal with the various debt crises of a number of Mediterranean countries continues to threaten economic stability, particularly in Europe. The financial contagion threat for the rest of the world and the resultant volatility in all business sectors poses a significant threat to world financial stability.

In the world's largest economy, the USA government debt and unemployment levels are high and economic growth is slow. Political tensions between the White House and Congress do not facilitate financial stability. Currency volatility centred about the relative strength of the US dollar is now the norm in financial markets.

2011 has also thus far seen the winds of political change sweep through northern Africa and the Middle East.

On the demand side, India continues to be a significant buyer of physical gold, as is the emerging middle class in China. There is evidence of central banks being strong net buyers of gold. The recent emergence of Exchange Traded Funds is also having an increasing influence in the demand for gold, and has contributed to the volatility of commodity markets.

It is remarkable to think that the US$ gold price has exceeded US$1,600 per ounce over the past 4 months.

Unfortunately for Australian based gold producers like St Barbara, the benefit of the strong rise in the US dollar gold price over the past 12 months has been abated by the rising Australian dollar relative to the US dollar.

Another consequence of a strong Australian dollar is that Australian costs of gold production are high compared to gold producers in developing countries in Africa, South America and Central and South East Asia.

Global gold investors now have a choice amongst many different countries and companies in deciding where best to invest. If the Australian dollar continues to strengthen, and issues such as a carbon tax adversely impact on perceptions of Australian risk levels, we may see a slowing international demand for Australian based gold equities.

Where to now?

So what can St Barbara do?

We remain highly focused on the factors we can control. Factors that provide strong leverage to a high gold price. Factors that underpin an increase in earnings and shareholder value.

Factors such as:

• focusing on lowering costs and increasing margins;
• investing in exploration to target both greenfields and brownfields discoveries; and
• evaluating and investing in, both internal and external growth opportunities.

St Barbara has come a long way from 2004 when I became Chairman ‐ a time when the Company had no operations or cash flow. The Company's market capitalisation has since increased from $30 million to more than $800 million this week.

Gold production in the current financial year is forecast to grow by around 30% to between 320,000 to 350,000 ounces, sourced from three operating mines and two processing centres in Western Australia.

Share capital and related matters

Ultimately what counts are total shareholder returns. This remains the principal focus of the Company's Management and Board. Our remuneration policies are designed to align with this focus.

So far this financial year, St Barbara's market capitalisation has increased by around 25%. However, there remains much work to be done.

We are assisted in this task by a significant improvement in the Company's risk profile:

the Gwalia mine continues to lift in grade and gold production. Its ore reserves continue to grow, and as mentioned, currently underpin a 10 year plus mine life;

• the Company's balance sheet is strong, with almost no debt and a rapidly increasing capacity to generate cash in current market conditions;
• all of St Barbara's project developments are now fully paid for;
• all of which has finally allowed our strategic business focus to change from building capability to growing earnings and value.

We are concentrating hard on getting the detail right.

A six for one share consolidation, approved at last year's Annual General Meeting, has been well received by the international investment community. The percentage of St Barbara's shares held by institutions has increased significantly, from approximately 60% two years ago, to 84% today.

A large part of this growth has been from North American long term value investors, who see as we do, the potential for long term sustained profitability and cash flows from the Gwalia mine at Leonora.

In the USA, the Company's Approved Depositary Receipt program, which comes at no cost to the Company, nor involves any SEC compliance requirements, has been successfully reactivated. One ADR is backed by five St Barbara shares. This program has enabled a number of US investors to trade directly in US based securities.

Board and Governance

There have been some important activities undertaken by the Board during the year.

Last April, we welcomed Betsy Donaghey as a non‐executive director following Barbara Gibson's retirement. Betsy has an engineering background in the oil and gas industry and brings to the Board a wealth of experience, energy and ideas.

We introduced a diversity policy, with clear and measurable objectives and timelines for promoting gender equality throughout the Company workplace. The facts of the tightening labour market in the resources sectors have been well documented. St Barbara is striving to become an industry employer of choice.

This is supported by a progressive maternity / paternity policy, a structured career development program for all personnel, and clear, measurable workforce objectives, all of which have been endorsed by the Board.

I am delighted to report that St Barbara was last week awarded the Federal Government sponsored Equal Opportunity for Women in the Workplace Director's Award at a special Business Achievement Awards ceremony in Sydney. This was an especially created 'first time' separate award to recognise St Barbara's excellence in promoting gender diversity in the workplace and implementing innovative supporting policies.

Tim Lehany as Managing Director & CEO and Katie‐Jeyn Romeyn, our General Manager Human Resources, represented St Barbara at the award ceremony, with Katie‐Jeyn a finalist in the category 'Diversity Leader for the Advancement of Women' and St Barbara being a finalist in the category 'Outstanding Equal Employment Opportunity Practice for the Advancement of Women in a non traditional area'.

There have been other important developments:

• the Company's corporate governance framework has been reviewed and strengthened, with our policies and charters benchmarked against contemporary industry practice, updated and published on the Company's web site;
• a structured internal audit process is now in place;
• a structured risk management framework has now been rolled out across all aspects of the Company's business, with quarterly reports to the Board;
• the development of business systems aimed at improving controls and productivity is now into its second year; and
• our work performance system is now fully integrated into the Company's business planning cycle.

Directors recently visited the Company's operations and were impressed by the positive 'can do' systems driven culture and safe workplace attitudes that Tim Lehany and his executive leadership team have embedded across the business.

Remuneration

The annual Remuneration Report as part of the published financial statements now runs to 10 pages, compared to the 3 pages devoted to the operations of the business. Unfortunately, such is the regulatory environment in which we must now live.

Importantly, St Barbara continues to attract and retain high calibre and highly motivated people in the workforce. This is not readily achieved in a challenging and competitive industry. It requires the Company to offer competitive remuneration, a contemporary work environment, and appropriate incentives for achieving performance, all of which can be aligned with the objective of increasing overall shareholder value.

In setting remuneration levels and structures for the current 2012 financial year, the Board considered advice from industry remuneration experts, information from industry salary reviews, and the outcome of its own survey on appropriate structuring and quantum of Performance Rights for senior executive and management personnel.

The Board believes that the Company's remuneration levels, and especially the performance based incentive payments for our senior personnel, are appropriate for a company in St Barbara's position.

The Remuneration Report will shortly be considered as part of the formal AGM agenda at this meeting.

Strategic approach

The overall strategy is for St Barbara to continue as a gold company, although not necessarily with entirely Australian based operations. All the fundamentals are expected to remain in place for a sustained period of high US dollar gold prices.

Our best leverage to create value for shareholders remains through successful internal growth – particularly exploration discoveries. With over 4,700 square kilometres of prospective ground positions held by the Company, exploration activities are stepping up. This year's plans include drilling on exciting targeted sites in Western Australia, South Australia and New South Wales.

Tim Lehany will shortly overview our operations and exploration activities, and particularly, the plan to increase value from Leonora Operations.

The other way to increase shareholder value is through merger and/or acquisition opportunities that meet our strict investment criteria.

In this regard, I need to emphasise that we have no interest in growth for growth's sake or at any price.

We remain focused on growing value and returns per share, for all shareholders.

Earlier this year we announced a conditional merger proposal with Catalpa Resources Limited. We could see significant commercial logic in combining our two operations in the Southern Cross region of Western Australia and the potential opportunity to acquire 100% of the Cracow gold project in Queensland. With access provided to debt funding we were able to support a leveraged offer to improve projected earnings per share. We could see the potential for a value accretive transaction for all St Barbara shareholders from 2013 onwards that satisfied our investment return requirements.

However, we believed it prudent to undertake confirmatory due diligence on Catalpa's Edna May project. Our proposal was therefore subject to due diligence and despite our indicative offer of a significant premium over market value, the Catalpa board declined to proceed with our proposal. While disappointed, we saw little merit in increasing the premium without being able to confirm the true value of the asset.

That approach stands as an example of the discipline that St Barbara's Board and Management applies to its assessment and pursuit of growth opportunities.

St Barbara remains focused on effective capital management. We have a number of prospective internal opportunities in exploration and operations for which we are conserving our cash flows. If these cash flows are not required, we will review next year, the feasibility of providing a different basis of returning value to shareholders.

Business of the meeting

Turning now to the detail of the business of this meeting, shareholders should note that the Company this morning announced that two resolutions have been withdrawn.

These are Resolution 2: Approval of Board Size and Resolution 6: Adoption of a new Constitution.

Despite strong support in favour of the resolutions, it is apparent from the number of proxy votes received against them, that the required majority of votes in favour of the resolutions would not be achieved if they were to be determined by poll.

Conclusion

In concluding, I particularly want to acknowledge and express appreciation for the hard work and achievements of Tim Lehany and his Executive Leadership team, and the entire St Barbara workforce, who have combined to deliver a Company which is now strong, profitable and focused on creating further value for its shareholders.

I also thank my fellow Directors and particularly you, our fellow shareholders, for your continuing strong and patient support in sharing the journey with us. All at St Barbara look forward with confidence to the year ahead.

Proven Performance Focus on ValuePerformance,

Ti L h M i Di t & CEO Tim ehany, Managing Direc tor Annual General Meeting, 17 November 2011

Di l iDisclaimer

This presentation has been prepared by St Barbara Limited ("Company"). The material contained in this presentation is for information l Thi t ti i t ff i it ti f b i ti h f d ti i l ti t iti i purposes only. This presentation is notan offer or invitation for subscription or purchase of, or a recommendation in relation to, securities in the Company and neither this presentation nor anything contained in it shall form the basis of any contract or commitment. This presentation is not financial product or investment advice. It does not take into account the investment objectives, financial situation and particular needs of any investor. Before making an investment in the Company, an investor or prospective investor should read this document in its entirety, consider whether such an investment is appropriate to their particular investment needs, objectives and financial circumstances, seek legal and taxation advice appropriate to their jurisdiction and consult a financial adviser if necessary necessary. The Company is not licensed to provide financial product advice in respect of the Company's securities.

This presentation may contain forward‐looking statements that are subject to risk factors associated with exploring for, developing, mining, processing and sale of gold. Forward‐looking statements include those containing such words as anticipate, estimates, forecasts, should, will, expects, plans or similar expressions. Such forward‐looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, assumptions and other important factors, many of which are beyond the control of the Company. It is believed that the expectations reflected in these statements are reasonable but they may be affected by a range of variables and changes in underlying assumptions which could cause actual results or trends to differ materially. Nothing in this document is a promise or representation as to the future. Actual results may vary from the information in this presentation and any variation may be material. Past performance is not an indication of future performance. Statements or assumptions in this presentation as to future matters may prove to be incorrect and any d ff i erences may be material. The Company does not make any representation or warranty as to the accuracy of such statements or assumptions. Investors are cautioned not to place undue reliance on such statements.

This presentation has been prepared by the Company based on information available to it and has not been independently verified. No representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and conclusions contained in this presentation. To the maximum extent permitted by law, none of the Comp y an or its subsidiaries or affiliates or the directors, employees, agents, representatives or advisers of any such party, nor any other person accepts any liability for any loss arising from the use of this presentation or its contents or otherwise arising in connection with it, including without limitation, any liability arising from fault or negligence on the part of the Company or its subsidiaries or affiliates or the directors, employees, agents, representatives or advisers of any such party.

The Company estimates its reserves and resources in accordance with the Australasian Code for Reporting of Identified Mineral Resources and Ore Reserves 2004 Edition ("JORC Code"), which governs such disclosures by companies listed on the Australian Securities Exchange.

Delivering profits

One of Australia's largest gold companies profitable cash generating exploring profitable, generating, exploring

Stock Code SBM (ASX) ASX market capitalisation(2) A$801 million

Gross tax losses(3) losses $342 million ( )

1 Guidance for FY122 As at 15 Nov 20113 As at 30 Jun 20114 As at 30 Sep 2011 5 Gwalia

2005 Acquired gold assets of Sons of Gwalia

2008Production commences from Gwalia, Leonora

2011Consolidated production 258 koz

3.4Mt @ 2.1g/t Au

Delivering production growth in FY 11

SAFETY11.112.5FY10 FY11TRIFRAs at 30 June 2010 and 30 June 2011(Total Recordable Injury Frequency Rate)

PRODUCTION+12%

• Gwalia continues to move to higher grade production -1.4 g p

•more ounces

• •lower costs
• • King of Hills successfully commissioned
• • Safety performance a key focus

Converting production to EPS

Experienced operators

7 Proven Performance, Focus on Value – November 2011

Two gold processing plants and three mines diversify operating risk

PRODUCTION GUIDANCE RANGE FY12 320 000 – 350 000 oz320,000 350,000

Ore Reserves: 11.2 Mt @ 7.0g/t Au for 2.5 Moz1,2

Mineral Resources: 27.0 Mt @ 6.2g/t Au for 5.4 Moz1

Mines: Gwalia & King of the Hills

Plant processing capacity: 1.2 Mtpa

**Production:**FY12 230-250 koz3

Expandable infrastructure p

Leonora Operations Southern Cross Operations

Ore Reserves: 3.5 Mt @ 2.1g/t Au for 233 koz1

Mineral Resources: 19.8 Mt @ 3.5g/t Au for 2.2 Moz1

g Mine: Marvel Loch

Plant processing capacity: 2.2 Mtpa

**Production:**FY12 90-100 koz3

Plan to move to care and maintenance

Leonora Operations engine room for cash generation

Gwalia Mine

• Expect to achieve sustainable gold production in FY12 of 175,000 to 190 000 ounces p a Ore Reserves: 190,000 p.a.
• Forecast cash cost in FY12 of A$610 - 640/oz 19.8Mt
• Resources extended to 1,840 mbs
• Open at depth
• Indicative 10 year life
• 2.0 Moz of Ore Reserves(1)

Mine life:

12+ months (AT JUNE 2011)

( )Marvel Loch Mine

Processing capacity:

(1) As at 30 June 2011

Gwalia reserves increased to 2.0 Moz, indicative 10 yr mine life, open at depth

Gwalia FY12 forecast ore production of 700-730 kt i dil hi bl 730 ktpa is readily achievabl e

Annualised Ore Mined - Gwalia

Gwalia - growing production, improving margins and returns as grade increases

GROWING GWALIA PRODUCTION

INCREASING GRADE DRIVES LOWER CASH OPERATING COSTS FOR GWALIA

King of the Hills – Satellite project generating cash flow

King of the Hills Mine

• Satellite underground project
• Successfully commissioned May 2011
• Opportunity to fully use Gwalia mill cap y acit
• 55,000 to 60,000 ounces pa
• Life of 4 ½+ years
• Minimum gold price of A$1,425/oz

Driving shareholder value

Capability has been established, now we are looking to drive value

Driving shareholder value Discovery and Growth 1.

Investing in exploration for discoveries

515,000 ounces of Indicated and Inferred Resources added in , FY11 at Gwalia below 1,640 mbs for discovery cost of $16 per ounce

Australia wide drilling targets

Driving shareholder value

2 Leveraging value at Leonora Operations 2.

• Lowering cost and im provin g productivit y at Gwalia p p
  • • Haulage optimisation pre feasibility study due 2H FY12
  • • Procurement focus already saved A$10M in 2years
  • • Businessimprovement program underway
• •Expansion

•

•

• •Scoping study to expand plant due 2H FY12
• •Tower Hill potential ore source
• Focus ondrilling priority targets in Leonora area during FY12

Driving shareholder value 3. Disci plined evaluation of external opportunities – driven by prospectivity

• • Clearly defined investment criteria
• • Focus on value accretive opportunities, supported by prospectivity upside

St Barbara driving shareholder value Barbara –

• G li t t f ll d i lift ith hi h d•Gwalia costs to fall and margins lift with higher grades
• •Plans to leverage further value from Gwalia
• •Active drilling Australia wide for discoveries
• •Financial strength to fund growth
• •FY12 consensus EPS* to lift 106%** to $0.35

Proven Performance, Focus on Value

Proven Performance Focus on ValuePerformance,

Investor Relations Enquires:

Ross Kennedy Executive General Manager Corporate Services E: ross kennedy@stbarbara com au ross.kennedy@stbarbara.com.au

Rowan ColeGeneral Manager Corporate Services E: rowan.cole@stbarbara.com.au

T +61 3 8660 1900T:

Competent persons statement

References to Mineral Resources and exploration results presented in this document have been produced in accordance with The Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, December 2004 (JORC Code) under the direction of Mr Phillip Uttley. Mr Uttley is a Fellow of The Australasian Institute of Mining and Metallurgy and is a full time employee of the Company. Mr Uttley has sufficient experience relevant to the style of mineralisation, type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the JORC Code. Mr Uttley consents to the inclusion in this document of the matters based on the information in the form and context in which they appear. Members of the Company's team, including external consultants, preparing Mineral Resource i d M Ul ' i i ll lif CPestimates under Mr Uttley's supervision allqualify as Competent Persons. estimates under

References to Ore Reserves presented in this document have been produced in accordance with The Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, December 2004 (JORC Code) under the direction of Mr Andrew Law. Mr Law is a Member of The Australasian Institute ofggyMining and Metallurgy and was a full time employee of St Barbara at 30 June ggyp y 2011 and is a full time employee of Optiro at the date of this report. Mr Law has sufficient experience relevant to the style of mineralisation type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the JORC Code. Mr Law consents to the inclusion in thisdocument of the matters based on the information in the form and context inwhich they appear. Members of the Company's team preparing Ore Reserves Mr L ' aw s supervi i s on all qualify as Competent Persons.