ST BARBARA LIMITED — Interim / Quarterly Report 2012

Jul 18, 2012

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

June 2012 Quarterly Report

Annual production up 31% to 339,000 ounces Consolidated full year guidance achieved

Overview

Consolidated gold production up 15% to 98,816 ounces for the June quarter

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Gold Production - Consolidated
99
84 86
73 71
FY 11 FY 12 FY 12 FY 12 FY 12
Q4 Jun Q1 Sep Q2 Dec Q3 Mar Q4 Jun
koz
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Operations

• Gwalia gold production up 24% to 54,340 ounces for the quarter, at a higher mined grade of 10.5 g/t Au, and lower cash operating costs[1] of $580 per ounce (Mar 12 qtr: 43,881 oz; 9.3 g/t Au; $627 per ounce).

• King of the Hills gold production marginally lower for the quarter at 16,393 ounces of gold at a cash operating cost of $746 per ounce (Mar 12 qtr: 17,110 oz; $693 per ounce).

• Southern Cross Operations gold production up 13% to 28,083 ounces (Mar 12 qtr: 24,849 oz).

• Consolidated cash operating costs of $763 per ounce for the June quarter (Mar 12 qtr: $827 per ounce).

Finance

• Closing cash balance increased $48 million for the quarter to $185 million at 30 June 2012.

• Average realised gold price was A$1,598 per ounce for the quarter (Mar 12 qtr: A$1,604 per ounce).

Health and Safety

• The Total Recordable Injury Frequency Rate, calculated as a rolling 12 month average, decreased to 9.0 at 30 June 2012. This is a significant improvement from 12.5 as at 30 June 2011.

Discovery and Growth

• Existing drilling programs continued, effectively testing targets along the Gwalia mine trend in the Leonora province, WA, and in the East Lachlan province in NSW. These programs will continue into FY13.

• Initial Mineral Resource estimate for Frasers, Southern Cross, of 2.1 Mt @ 5.2 g/t Au containing 355,000 ounces of gold.

Proposed acquisition of Allied Gold Mining

• St Barbara made an offer to acquire Allied Gold Mining Plc on 29 June 2012. Allied Gold shareholders will vote on the offer at a shareholders’ meeting scheduled for 14 August 2012. Subject to shareholder and UK court approval, it is expected that the scheme will be effective on 30 August 2012. More details are available at www.stbarbara.com.au, including an interview with Tim Lehany by Open Briefing.

Outlook (St Barbara only)

• Consolidated gold production guidance for FY13 is estimated to be between 250,000 and 275,000 ounces.

• FY13 guidance including cash operating cost and capex ranges is anticipated to be released by 23 August 2012.

MD & CEO Comment

“These are excellent results from all three operations which, combined with significantly improved safety performance, reflect our strong operational capability.”

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Tim Lehany Managing Director and CEO 19 July 2012

[1] Non-IFRS measure, calculation on page 6.

[2] All financial figures are in Australian dollars. Financial year is 1 July to 30 June.

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June 2012 Quarterly Report

Consolidated results

Sustained higher gold production

Consolidated Gold Production

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99
84 86
73 28
71
24 25
27 21 16
14 17
7 9
54
39 40 46 44
FY 11 FY 12 FY 12 FY 12 FY 12
Q4 Jun Q1 Sep Q2 Dec Q3 Mar Q4 Jun
Gwalia King of the Hills Marvel Loch
koz
Figures displayed to nearest thousand ounces. Reported ounces in associated table.
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FY 12 consolidated guidance achieved for production and costs

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FY 12 Production to Guidance
185
Gwalia 175 190
57
King of the Hills 55 60
97
Marvel Loch 90 100
339
Consolidated 320 350
-20 -10 0 +10 +20
Guidance Mid Points and Ranges
koz
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Lower consolidated cash operating costs

Production Summary Consolidated	Production Summary Consolidated	Dec Qtr FY12 Mar Qtr FY12 Jun Qtr FY12
Production
Gwalia	oz	46,007 43,881 54,340
King of the Hills	oz	14,107 17,110 16,393
Southern Cross	oz	23,501 24,849 28,083
Consolidated	oz	83,615 85,840 98,816
Mined Grade
Gwalia	g/t	8.1 9.3 10.5
King of the Hills	g/t	4.3 4.2 4.0
Southern Cross	g/t	3.1 2.6 3.2
Total Cash Operating Costs
Gwalia	$/oz	683 627 580
King of the Hills	$/oz	754 693 746
Southern Cross	$/oz	1,215 1,272 1,127
Consolidated	$/oz	844 827 763

	Production Summary Consolidated Year FY12 Guidance FY12	Production Summary Consolidated Year FY12 Guidance FY12
	Production
	Gwalia	oz 184,534 175,000-190,000
	King of the Hills	oz 56,953 55,000-60,000
	Southern Cross	oz 97,392 90,000-100,000
	Consolidated	oz 338,879 320,000-350,000
	Mined Grade
	Gwalia	g/t 8.8 8.0-8.5
	King of the Hills	g/t 4.1 4.0-4.5
	Southern Cross	g/t 2.9 2.7
	Total Cash Operating Costs
	Gwalia	$/oz 646 650-660
	King of the Hills	$/oz 753 710-750
	Southern Cross	$/oz 1,199 1,170-1,220
	Consolidated
	Gwalia
	King of the Hills
	Southern Cross
	Consolidated	$M 96 85-100

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June 2012 Quarterly Report

Gwalia, Leonora, WA

Gwalia Gold Production

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54.3
46.0
43.9
38.6 40.3
FY 11 FY 12 FY 12 FY 12 FY 12
Q4 Jun Q1 Sep Q2 Dec Q3 Mar Q4 Jun
koz
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The Gwalia mine produced 54,340 ounces of gold at a mined grade of 10.5 g/t Au and cash operating cost of $580 per ounce for the quarter (Mar 12 qtr: 43,881 ounces; 9.3 g/t Au; $627 per ounce). Mine production rates and mined grades were marginally above expectations.

Ore mined was sourced between 1,280 metres below surface (mbs) and 1,340 mbs, from the higher grade South West Branch and Main Lode. South West Branch is expected to be the principal ore source for the foreseeable future.

The full year production was within the published guidance ranges, while cash operating costs were aided by the higher ore grade and were lower than the guidance range. The significantly lower cash operating costs for the June quarter of $580 per ounce (Mar qtr: $627 per ounce) were primarily due to the higher mined grade.

Gwalia Mined Grade

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10.5
9.3
8.1
7.5
6.9
FY 11 FY 12 FY 12 FY 12 FY 12
Q4 Jun Q1 Sep Q2 Dec Q3 Mar Q4 Jun
g/t Au
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In addition to normal stoping operations, mining activity during the June quarter included developing the 1320 and 1420 horizons to provide access to the next sequence of production stopes. An increase in the number of available mining stopes aided mining efficiencies and a higher volume of underground ore mined for the quarter.

Recoveries of 97% continued to exceed expectations with approximately 50% of the gold in ore reporting to the gravity circuit.

Production Summary		Mar Qtr	Jun Qtr	Year
Gwalia		FY12	FY 12	FY 12
Underground ore mined	t	145,609	161,989	662,300
Grade	g/t	9.3	10.5	8.8
Ore milled	t	168,049	181,943	716,640
Grade 1	g/t	8.4	9.6	8.3
Recovery	%	97	97	97
Gold production	oz	43,881	54,340	184,534
Cash Operating Costs			$ per ounce
Mining		465	384	452
Processing		99	87	103
Site services		68	59	67
Stripping and ore inventory		(41)	11	(14)
adjustments
		591	541	608
By product credits		(3)	(3)	(3)
Third party refining & transport		2	1	1
Royalties		37	41	40
Total cash operating costs		627	580	646
Depreciation and amortisation		232	220	236
Total operating costs		859	800	882

Haulage optimisation

A Definitive Feasibility Study for a hoisting shaft has been completed. The project team worked closely with the contracting group selected as most likely to undertake the shaft construction. Detailed cost estimates were developed and tested against current industry project construction costs, and the resulting cost estimate increased by 30% over that considered in pre-feasibility.

Concurrently, a new mining contract has been awarded at the Gwalia Mine to Byrnecut Mining Pty Ltd, which will introduce innovative new trucking technology to the operation that offers efficiency improvement of between 25% and 30% over the haulage trucks currently in service.

It is now apparent that the best alternative for Gwalia is to proceed with the introduction of new trucking technology and optimise materials handling around decline truck haulage, rather than progress with the hoisting shaft.

Outlook

Forecast full year gold production is estimated to be between 175,000 and 190,000 ounces, with higher production expected in the second half.

In line with the mine stoping sequence at Gwalia, the mined grade and production for the September 2012 quarter will be lower than the June 2012 quarter.

The Gwalia mill continued to operate at, or above, design capacity.

Processed tonnes for Gwalia included some mineralised waste and low grade stockpiles from Tower Hill during the quarter, resulting in a milled grade of 9.6 g/t Au.

1 Includes Tower Hill low grade stockpile and Gwalia mineralised waste.

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June 2012 Quarterly Report

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King of the Hills, Leonora, WA

Ore mined from King of the Hills for the quarter was in line with expectations. Production for the first full year of operations was within guidance at 56,593 ounces.

King of the Hills - Gold Production

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17.1
16.4
14.1
9.3
7.1
FY 11 FY 12 FY 12 FY 12 FY 12
Q4 Jun Q1 Sep Q2 Dec Q3 Mar Q4 Jun
koz
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Production Summary King of the Hills Mar Qtr FY12 Jun Qtr FY 12 Year FY 12	Production Summary King of the Hills Mar Qtr FY12 Jun Qtr FY 12 Year FY 12
Underground ore mined t 136,016 136,486 457,375 Grade g/t 4.2 4.0 4.1 Ore milled t 131,739 133,482 452,941 Grade g/t 4.3 4.0 4.2 Recovery % 94 95 94 Gold production oz 17,110 16,393 56,953 Cash Operating Costs $ per ounce Mining 569 564 595 Processing 201 215 209 Site services 31 36 40 Stripping and ore inventory adjustments (132) (90) (115) 669 725 729 By product credits (17) (19) (16) Third party refining & transport - 1 1 Royalties 41 39 39 Total cash operating costs 693 746 753 Depreciation and amortisation 298 299 298
	569 564 595 201 215 209 31 36 40 (132) (90) (115)
	669 725 729 (17) (19) (16) - 1 1 41 39 39
	693 746 753 298 299 298
Total operating costs	991 1,045 1,051

Cash operating costs for the quarter were $746 per ounce and $753 per ounce for the full year (Mar 12 qtr: $693 per ounce).

Outlook

King of the Hills is expected to produce between 55,000 to 60,000 ounces of gold in FY13.

Southern Cross Operations, WA

Gold production for Southern Cross Operations increased by 13% for the quarter, aided by approximately 270,000 tonnes of low grade stockpiles from historic mining sites on the Company’s tenements.

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Southern Cross - Gold Production
27.2 28.1
24.8
23.5
21.0
FY 11 FY 12 FY 12 FY 12 FY 12
Q4 Jun Q1 Sep Q2 Dec Q3 Mar Q4 Jun
koz
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FY 11 Q4 Jun FY 12 Q1 Sep	FY 12 Q2 Dec FY 12 Q3 Mar FY 12 Q4 Jun koz
Production Summary Marvel Loch	Mar Qtr FY12 Jun Qtr FY 12 Year FY 12
Underground ore mined t Grade g/t Ore milled t Grade g/t Recovery % Gold production oz Cash Operating Costs Mining Processing Site services Stripping and ore inventory adjustments By product credits Third party refining & transport Royalties Total cash operating costs Depreciation and amortisation	240,957 235,966 892,365 2.6 3.2 2.9 527,790 501,394 1,842,820 1.6 2.0 1.9 89 88 89 24,849 28,083 97,392 $ per ounce
	664 575 645 488 400 442 103 81 99 (11) 34 (18)
	1,244 1,090 1,168 (17) (5) (12) 3 1 1 42 41 42
	1,272 1,127 1,199 272 260 283
Total operating costs	1,544 1,387 1,482

Unit cash operating costs for the June quarter were lower primarily due to the 0.6 g/t Au higher grade from Marvel Loch Underground. For the full year, the operations at Southern Cross performed well and achieved guidance.

Net cash generation from Southern Cross Operations continues to exceed the margin indicated by the cash operating costs per ounce, as most of the level development costs have already been paid for.

Outlook

Underground mining operations from Marvel Loch are expected to continue through to October 2012. Supplemented by low grade stockpiles, processing is expected to continue until December 2012.

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June 2012 Quarterly Report

Discovery and Growth

Leonora Region, WA

Gwalia mine :

The deep drilling program at Gwalia Mine was completed ahead of schedule and under budget, and successfully extended the deep lodes along the northern and southern margins. The deposit remains open at depth and to the south. The drilling also converted a substantial portion of existing Inferred Resources to Indicated Resources category (and potentially to Ore Reserves), within the current planned mining depth interval.

As a result, a new resource estimate of Gwalia is presently being completed as a basis for ore reserve estimates and publication due for release late August 2012.

Leonora targets: Drilling has continued in the Greater Gwalia region on a series of deep conceptual targets that have been identified by detailed studies on the main shear zone centred on the Gwalia mine trend. Six deep holes were completed north of Gwalia totalling 6,400m, intersecting narrow (1-2m) intervals of gold mineralisation (1 to 5 g/t Au) associated with quartz veins mainly in ultramafic rocks. Four holes of a six hole program have been completed south of Gwalia, totalling 1,600m, and results are awaited. Results of these programs will be compiled and interpreted for ongoing drill targeting.

Southern Cross Region, WA

Drilling results were complied and interpreted on two projects:

Frasers: Following completion of the Frasers drilling program, results have been compiled and a resource estimate completed for conceptual mining studies to examine the basis for justifying additional drilling and for publication. Frasers remains a potential source of material for the Marvel Loch mine operation.

The total Indicated and Inferred Mineral Resource Estimate of the Frasers deposit, based on a 2.5 g/t Au cut-off grade, is 2.1 Mt @ 5.2 g/t Au containing 355,000 ounces as tabulated below:

Table 1: Frasers Mineral Resource Summary, 30 June 2012.

Category	Cut-off	Tonnes	Grade g/t Au	Ounces
Indicated	2.5 g/t Au	336,000	5.5	59,000
Inferred		1,786,000	5.1	296,000
Total		2,122,000	5.2	355,000

East Lachlan Fold Belt, NSW : The target in the Nyngan area of the East Lachlan Fold Belt, NSW, is intrusion-related porphyry copper-gold mineralisation within a large volcanic-intrusive complex situated under younger cover rocks on the western edge of the Great Artesian Basin. To further delineate intrusions of potential interest, as indicated by previous drilling, a test area was over flown with helicopter-borne electro-magnetic (EM) survey, with the aim of identifying areas of deep conductive rock alteration.

As a result, the Phase 2 drilling program has commenced on a new series of targets under cover, and so far 5 holes (2,000m) of an ongoing 9 drill hole (3,500m) program have been completed. All drill holes have intersected the targeted intrusions and results are awaited although no significant zone of mineralisation appears to have been intersected to date.

Discovery and Growth Outlook

The September 2012 quarter will be largely focused on completion of diamond drilling on the Gwalia South mine trend, undertaking air-core programs on several targets in the Yilgarn province, including Sullivans Creek at Leonora, WA, and the Nyngan project in NSW.

The map below shows current and planned target areas for the September 2012 quarter.

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Health and Safety

The Total Recordable Injury Frequency Rate, calculated as a rolling 12 month average, decreased to 9.0 at 30 June 2012. This is a significant improvement from 12.5 for the previous corresponding year. There were no injuries in May or June.

Financials (unaudited)

Copperhead: Following completion of the Phase 2 drilling program, results are being compiled and interpreted to determine whether additional drilling is justified.

Other Areas

Yilgarn province, WA : Geochemical air-core drilling is planned to commence in the December quarter on a number of prospects to generate new drill targets, subject to negotiation of appropriate access arrangements.

97,568 ounces of gold were sold in the June quarter, at an average gold price of A$1,598 per ounce. Gold sales for the full year were 335,787 ounces at an average gold price of A$1,603 per ounce.

Net cash increased significantly by $47 million for the quarter to $181 million at 30 June 2012, comprising cash at bank of $185 million, and interest bearing liabilities of $4 million. There were also gold receivables at 30 June 2012 of $4 million from end of quarter gold shipments.

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June 2012 Quarterly Report

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Corporate

Share buy-back

The on-market share buy-back facility announced on 21 December 2011 concluded on 3 July 2012. The Company bought back a total of 995,000 shares under the facility, at an average price of $2.26 per share for total expenditure of $2.2 million.

Allied Gold Mining Plc

St Barbara announced on 29 June 2012 an offer to acquire Allied Gold Mining Plc, after a period of extensive due diligence. St Barbara’s offer has the unanimous recommendation of the Allied Gold Board, plus pre-bid commitments, letters of intent and verbal commitments which represent approximately 54% of Allied Gold’s issued shares.

Allied Gold shareholders will vote on the offer at a shareholders’ meeting scheduled for 14 August 2012. Subject to shareholder and UK court approval, it is expected that the scheme will be effective on 30 August 2012.

More details of the offer are available at www.stbarbara.com.au, including an interview with Tim Lehany by Open Briefing. Further information will be advised by way of ASX releases as it becomes available.

Outlook (St Barbara only)

Consolidated gold production guidance for FY13 is estimated to be between 250,000 and 275,000 ounces, comprising:

Gwalia King of the Hills Marvel Loch Total	175,000 – 190,000 oz 55,000 – 60,000 oz 20,000 – 25,000 oz
	250,000 – 275,000 oz

FY13 guidance including cash operating cost and capex ranges is anticipated to be released by 23 August 2012.

Share Capital at 30 June 2012

Issued shares Opening balance 31 March 2012 Shares repurchased under buy-back facility Closing balance 30 June 2012 Unlisted employee options Opening balance 31 March 2012 Lapsed Closing balance 30 June 2012 Unlisted performance rights Opening balance 31 March 2012 Issued Lapsed Closing balance 30 June 2012	324,620,389 -
	324,620,389
	2,723,968 -
	2,723,968
	3,687,483 - -
	3,687,483

Scheduled Future Reporting

23 August 2012 2012 Financial Statements 23 August 2012 Ore Reserves and Mineral Resources Statements

Non-IFRS Measures

We supplement our financial information reporting determined under International Financial Reporting Standards (IFRS) with certain non-IFRS financial measures, including cash operating costs. We believe that these measures provide meaningful information to assist management, investors and analysts in understanding our financial results and assessing our prospects for future performance.

Cash operating costs are calculated according to common mining industry practice using The Gold Institute (USA) Production Cost Standard (1999 revision).

Competent Persons Statement

The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Phillip Uttley who is a Fellow of The Australasian Institute of Mining and Metallurgy. Phillip Uttley is a full-time employee of St Barbara. Phillip Uttley has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves' (JORC Code). Phillip Uttley consents to the inclusion of the information contained in this report in the form and context in which it appears.

The information in this report that relates to Ore Reserves, is based on information compiled by Andrew Law who is a Fellow of The Australasian Institute of Mining and Metallurgy. Andrew Law is a full-time employee of the consulting firm Optiro and was a full-time employee of St Barbara as of 30 June 2011. Andrew Law has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves' (JORC Code). Andrew Law consents to the inclusion of the information contained in this report relating to Proved and Probable Ore Reserves in the form and context in which it appears.

The information in this announcement that relates to production forecasts is based on Ore Reserves.

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June 2012 Quarterly Report

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Corporate Directory St Barbara Limited ABN 36 009 165 066

Board of Directors

Colin Wise................................ Non-Executive Chairman Tim Lehany .............................Managing Director & CEO Doug Bailey................................ Non-Executive Director Betsy Donaghey ......................... Non-Executive Director Phil Lockyer ............................... Non-Executive Director Robert Rae ................................. Non-Executive Director

Executive Team

Tim Lehany .............................Managing Director & CEO Garth Campbell-Cowan ................ Chief Financial Officer Alistair Croll ............................... Chief Operating Officer Ross Kennedy ........................... EGM Corporate Services Phil Uttley ........................... EGM Discovery and Growth

Registered Office

Level 10, 432 St Kilda Road Melbourne Victoria 3004 Australia

Telephone ........................................... +61 3 8660 1900 Facsimile.............................................. +61 3 8660 1999 Email ............................. melbourne@stbarbara.com.au Website ..................................... www.stbarbara.com.au

Substantial Shareholders % of Holdings[1] M&G Investment Management Ltd[2] .................... 18.1% Van Eck Associates Corporation ............................. 6.1% Franklin Resources Inc ........................................... 6.0% UBS AG .................................................................. 5.3%

1. % as notified by the substantial shareholders.

2. M&G Group’s interest includes shares also disclosed by Vanguard Precious Metals & Mining Fund.

About St Barbara Limited

St Barbara was established in 1969, and is one of Australia’s more profitable ASX listed gold producers and explorers.

St Barbara has three mines and two processing plants, at Leonora and Southern Cross, in the Eastern Goldfields region of Western Australia, and over 5,000 km[2] of prospective tenements across Australia.

The Gwalia mine at Leonora is the Company’s cornerstone asset. The high grade Gwalia deposit has an expected mine life of at least 8 years, and remains open to the south and at depth.

At June 2011, Mineral Resources contained 7.6 million ounces of gold including Ore Reserves containing 2.8 million ounces of gold*.

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Shareholder Enquiries

Computershare Limited

GPO Box 2975 Melbourne Victoria 3001 Australia Telephone (within Australia) .................... 1300 653 935 Telephone (international) .................... +61 3 9415 4356 Facsimile ............................................. +61 3 9473 2500

• For full details refer to the Ore Reserves and Mineral Resources Statements contained in the 2011 Annual Report, available at www.stbarbara.com.au.

Investor Relations Contacts

Ross Kennedy ..................................... + 61 3 8660 1903 Rowan Cole ........................................ + 61 3 8660 1914

Australian Securities Exchange (ASX) Listing code “SBM” American Depositary Receipts (ADR) – through The Bank of New York Mellon, www.adrbnymellon.com

Financial figures are in Australian dollars.

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June 2012 Quarterly Report

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Figure 1: Exploration at East Lachlan, NSW

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June 2012 Quarterly Report

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Figure 2: Leonora Regional Exploration Map

Current and proposed drilling locations

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Figure 3: Southern Cross Regional Exploration Map

Current and recent drilling locations

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