ST BARBARA LIMITED — Capital/Financing Update 2003

Feb 16, 2003

ST BARBARA MINES LIMITED

ACN 009 165 066

$\overline{ASX}$ SHAREHOLDERS REPORT

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

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

Dollar values in this report are Australian Dollars unless otherwise stated.

Gold Fields Joint Venture - Reedys

St Barbara Mines Limited is pleased to announce that it has signed a Farm-out and Exploration Joint Venture agreement with Gold Fields Australasia Pty Limited ("Gold Fields"), a subsidiary of the large South African group Gold Fields Limited, covering a 206 km2 block of tenements in the Reedys area, 50 km SSW of Meekatharra.

Gold Fields can earn a 51% interest in the tenements by the expenditure of $3.5 million over three years, with a minimum committed $750,000 in Year 1, and can advance to a 65% interest in the tenement block by the further expenditure of $1.92 million in a further three years or can go to 65% in one or more tenements by the completion of a Feasibility Study.

The tenement block includes the historic mining centre of Reedys, from which in excess of 500,000 ounces of gold have been produced by underground and open pit mining operations. The 70,000 ounce "Jack Ryan" resource is, however, not included.

St Barbara recently increased its Meekatharra tenement holdings with the Paddys Flat acquisition 15 km from the Meekatharra treatment plant.

The Reedys joint venture represents a continuation of Company policy seeking well funded and well credentialed partners to accelerate the exploration of the extensive tenement block in the Meekatharra area.

Stephen W. Miller Exécutive Chairman

17 February 2003