7 November 2013: Sangola Drill Results

The company now received all assay results for the drilling programme completed by Randgold at Thiabedji and Tiobo in July 2013. The latest results are for 31 holes drilled along three drill fences in the Tiobo area. All holes were drilled to 80m depth. Gold intercepts were generally subeconomic, but included 1m @ 8 g/t and 2m @ 0.7 g/t. Despite the encouraging results from the initial drilling campaign at Thiabedji, Randgold concluded that the results do not meet Randgold's filter criteria which require the "potential for a deposit larger than three million ounces at an average grade above 3 g/t".

Randgold's team of geologists has identified four additional regional conceptual exploration targets namely Lankata, Samalia, Gangara and Bandafassi. These targets were identified through their geochemical signal and lithological/structural setting and will initially be investigated by means of rock-sampling and geological mapping. Further work carried out by Randgold during the rainy season included lithological sampling at Ibel, where results of up to 3.09 g/t were received, stream sediment sampling over the eastern part of the licence area and mapping.

Randgold is planning to recommence drilling with a 5,000m RC programme during December 2013 in the dry season. The programme will focus on the previously identified Baraboye and Ibel targets, and potentially an untested structure at Tiobo.

The Sangola permit was first granted in October 2011 and its first period of validity ended in October 2013. An application for its renewal has been duly submitted to the Mining Ministry and the directors are confident that the licence will be renewed in due course. This renewal requires that 25% of the 471 km² permit area should be relinquished. Coordinates delineating the least prospective portion of the permit area in the south-western portion of the permit for relinquishment were submitted with the renewal application. The Senegalese Mining Code provides for two renewal periods of three years each.