News Column

Mining code changes pose investment threat

Feb 5 2013 12:00AM



JERSEY, CHANNEL ISLANDS -- (Marketwire) -- 02/05/13 --

RANDGOLD RESOURCES LIMITEDIncorporated in Jersey, Channel IslandsReg. No. 62686LSE Trading Symbol: RRSNASDAQ Trading Symbol: GOLDMINING CODE CHANGES POSE THREAT TO FUTURE INVESTMENT IN AFRICACape Town, 5 February 2013- Mining code changes proposed by a numberof African countries will deter further investment there, RandgoldResources chief executive Mark Bristow cautioned today.Speaking at the Mining Indaba, Bristow said that with gold explorationand mining shifting from the developed countries to the world'semerging prospective regions, Africa had to compete for investment withSouth America, Asia, the Pacific Rim, Eastern Europe and Russia. WhileAfrica had the advantage of great mineral wealth, its competitorsgenerally had better infrastructures, greater skills pools and moresophisticated economies.Bristow pointed out that in the countries where Randgold hasoperations - Mali, the Cote d'Ivoire and the Democratic Republic ofCongo - the present mining codes returned a substantial slice of thenet revenue pie to the State in spite of the fact that Randgold hadfunded the entire discovery and development cost and carried all therisks."The host country is already a significant if not the mainbeneficiary of its mining activities. That is why it is disturbing thatthere is a growing tendency among the sub-Saharan mining countries to wantmore without giving anything back. Even a moderate change in their currentcodes will diminish these countries' ability to compete for directfixed investment or to encourage reinvestment," Bristow said."There's amuch better way for these countries to get more from theirmining industries, and that is to participate positively in the valuecreation process. As we've seen only too often in the mining industry,mergers and acquisitions hardly ever deliver value to shareholders, letalone other stakeholders. Real value, as I believe Randgold hasdemonstrated over the years, is created by the discovery ofmulti-million ounce gold deposits and their development into profitablemines. Governments' role in this should be firstly to provide astable, business-friendly regime that will attract or at least notdrive away investors, and then to partner the mining company in thedevelopment cycle, helping to drive the project up the value curve andsharing fairly in its proceeds."RANDGOLD RESOURCES ENQUIRIESChief Executive Financial Director Investor & Media RelationsMark Bristow Graham Shuttleworth Kathy du Plessis+447880711386 +44534735333 +442075577738+447797752288 +447797711338 Email: randgoldresources@dpapr.comWebsite: www.randgoldresources.comCAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: Except for thehistorical information contained herein, the matters discussed in thisnews release are forward-looking statements within the meaning ofSection 27A of the US Securities Act of 1933 and Section 21E of the USSecurities Exchange Act of 1934, and applicable Canadian securitieslegislation. Forward-looking statements include, but are not limitedto, statements with respect to the future price of gold, the estimationof mineral reserves and resources, the realisation of mineral reserveestimates, the timing and amount of estimated future production, costsof production, reserve determination and reserve conversion rates.Generally, these forward-looking statements can be identified by theuse of forward-looking terminology such as 'will', 'plans', 'expects'or 'does not expect', 'is expected', 'budget', 'scheduled','estimates','forecasts', 'intends', 'anticipates' or 'does not anticipate', or'believes', or variations of such words and phrases orstate that certain actions, events or results 'may', 'could','would','might' or 'will be taken', 'occur' or 'be achieved'. Assumptionsupon which such forward-looking statements are based are in turn based onfactors and events that are not within the control of Randgold andthere is no assurance they will prove to be correct. Forward-lookingstatements are subject to known and unknown risks, uncertainties andother factors that may cause the actual results, level of activity,performance or achievements of Randgold to be materially different fromthose expressed or implied by such forward-looking statements,including but not limited to: risks related to the integration ofRandgold and Moto, risks related to mining operations, includingpolitical risks and instability and risks related to internationaloperations, actual results of current exploration activities,conclusions of economic evaluations, changes in project parameters asplans continue to be refined, as well as those factors discussed in thesection entitled 'Risk Factors' in Randgold's Annual Report on Form20-F for the year ended 31 December 2011 which was filed with the USSecurities and Exchange Commission (the 'SEC') on 31 March 2012.Although Randgold has attempted to identify important factors thatcould cause actual results to differ materially from those contained inforward-looking statements, there may be other factors that causeresults not to be as anticipated, estimated or intended. There can beno assurance that such statements will prove to be accurate, as actualresults and future events could differ materially from thoseanticipated in such statements. Accordingly, readers should not placeundue reliance on forward-looking statements. Randgold does notundertake to update any forward-looking statements herein, except inaccordance with applicable securities laws. CAUTIONARY NOTE TO USINVESTORS: The SEC permits companies, in their filings with the SEC,to disclose only proven and probable ore reserves. We use certainterms in this release, such as 'resources', that the SEC does notrecognise and strictly prohibits us from including in our filings withthe SEC. Investors are cautioned not to assume that all or any parts ofour resources will ever be converted into reserves which qualify as'provenand probable reserves' for the purposes of the SEC's IndustryGuide number 7. This information is provided by RNS The company news service from the London Stock ExchangeEND

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