ST BARBARA LIMITED — Capital/Financing Update 2003

Nov 27, 2003

ST BARBARA MINES LIMITED

ACN 009 165 066

ASX SHAREHOLDERS REPORT

Enquiries regarding this report may be directed to: Stephen W. Miller Executive Chairman Telephone (08) 9476 5555 Overseas +61 8 9476 5555 $or$ Colin G. Jackson Investor Relations 0417 929 107 Telephone

St Barbara Mines Limited Level 2, 16 Ord Street West Perth Western Australia 6005 $(08)$ 9476 5555 Telephone Overseas +61 8 9476 5555

Debt for Equity Swap

Debt repayments aggregate \$16.4 million since 30 June 2003 balance date following completion of a debt-for-equity swap.

RCF, following receipt of St Barbara shareholder approval at the Annual General Meeting, has received shares in full and final satisfaction of the balance of secured debt, and accrued interest and fees (\$7.65 million).

As a consequence, RCF is now the largest shareholder with 24 percent of the issued capital. RCF also holds 56 million unlisted options with an average exercise price of 14.9 cents per share.

The Company balance sheet is now debt free other than for the \$4.4 million outstanding under a Convertible Loan.

Yours faithfully,

Stephen W. Miller Executive Chairman

28 November 2003