SOURCE: Randgold Resources Ld

November 02, 2011 03:00 ET

Randgold Resources - 3rd Quarter Results

JERSEY, CHANNEL ISLANDS--(Marketwire - Nov 2, 2011) -


RANDGOLD RESOURCES LIMITED
Incorporated in Jersey, Channel Islands
Reg. No. 62686
LSE Trading Symbol: RRS
Nasdaq Trading Symbol: GOLD

RANDGOLD OVERCOMES OBSTACLES TO POST PROFIT INCREASE

London, 2 November 2011 - Despite torrential rains which flooded its
flagship Loulo/Gounkoto complex in Mali during August, Randgold
Resources ('Randgold') maintained gold production and on an adjusted
basis significantly increased profit in Q3.

Comparisons with Q2 are skewed by the sale during that quarter of
31646ounces on hand at Tongon from the first quarter, when conditions
in Coted'Ivoire prevented their disposal. Excluding the sale of those
ounces, profit for Q3 was up 29% at US$122.9million. Production of
182362 ounces was in line with Q2's 184711 ounces, as was total cash
costs of US$135.1million.

The Loulo/Gounkoto complex had to contend with a downpour of a once in
a hundred years severity, which flooded the pits and made the haulage
road between Gounkoto and the Loulo plant impassable. It nevertheless
increased production by 9.3% to 87070 ounces, thanks to an increased
contribution from Gounkoto as it ramped up its output. The growing
proportion of Gounkoto's higher grade and lower cost ore in the plant
feed mix also reduced total cash costs per ounce by US$21 to US$818.
The complex's profit from mining jumped by more than 50% to
US$77.9million.

The development rate of Loulo's Yalea underground mine continued to
improve. Development of the high-grade 'purple patch' has reached the
limit line of the transverse zone and the advance to the next level is
on schedule. There has been an extensive review of stoping methods and
layout, and the revised design concepts, capital schedules and mining
rates are currently being evaluated and optimised along with a series
of trade-off studies. The Gara underground development remains on
schedule and the orebody has already been exposed in preparation for
the imminent start of the stoping production build-up.

At Gounkoto, the mine's own fleet of purpose-built 50tonne Volvo
trucks arrived on site and was commissioned this quarter. Mining and
hauling rates have already picked up and production volumes are planned
to increase during Q4. Infrastructure development is continuing and
the mine's crusher is expected to be operational by the end of this
year. The new mill for the Loulo processing plant has arrived on site
and commissioning is scheduled to start in December this year.

Also in Mali, the joint-venture Morila retreatment operation is ahead
of budgeted production and profit for the year on the back of higher
gold prices and better than expected grades from the stockpiles being
processed. Production of 60955ounces was slightly down on the
previous quarter but ahead of plan, and total cash costs per ounce of
US$795 was in line with Q2. Studies on the tailings retreatment and
pit pushback projects are being finalised and the agribusiness
initiative continues to make progress.

In Cote d'Ivoire, the Tongon mine was officially opened by President
Alassane Ouattara last week. During the quarter, Tongon produced
70910 ounces against 80180ounces in Q2 as a result of a drop in mill
throughput related to the commissioning of the hard rock crushing
circuit. Reflecting the lower production, total cash costs per ounce
increased from US$477 in Q2 to US$637. Both phases of the secondary
and tertiary crusher installations have now been completed.

At the Kibali project in the DRC, progress was in line with the
schedule and final design and development plans are expected during
this quarter with the approval of the mine development by the
shareholders early in the new year and commissioning still scheduled to
start in Q4 2013. In the meantime, the first of the 14 affected
villages has been resettled at the Kokiza model town, where houses are
now being built at the rate of 35 per week. Three Congolese
contractors have been appointed as partners in the construction of
these houses. The major long-lead items for the mine, including the
winder, mills, turbines and openpit mining equipment have been ordered
and the appointment of the key contractors is at the final adjudication
stage.

On the exploration front, Q3 coincides with the rainy season in West
Africa and, with fieldwork temporarily halted, is traditionally used
for evaluation, analysis and planning.

Chief executive Mark Bristow says that despite the company's big
development and operational load, it was not diminishing its
exploration effort, as exploration success remained the key to its
organic growth strategy."The annual exploration review has
highlighted significant potential for the new field season.
The Loulo/Gounkoto region remains highly prospective for new
discoveries, and we are also rolling out our exploration teams
into the equally promising northern region of Cote
d'Ivoire. At Kibali our fieldwork has identified a second style of
mineralisation which opens up a whole new dimension of possibilities in
our tenements there. We've also passed the 3million ounce Massawa
project in Senegal back to the exploration team with the brief of
finding a further 2million ounces of metallurgically simpler ore than
the current deposit," he said.

RANDGOLD RESOURCES ENQUIRIES:

Chief Executive  Financial Director  Investor & Media Relations
Mark Bristow     Graham Shuttleworth Kathy du Plessis
+44 788 071 1386 +44 1534 735 333    +44 20 7557 7738
+44 779 775 2288 +44 779 771 1338    Email:  randgoldresources@dpapr.com 


Website:  www.randgoldresources.com 

------------------------------------------------------------------------

Click on, or paste the following link into your web browser, to vie
the associated PDF document.

 http://www.rns-pdf.londonstockexchange.com/rns/2872R_1-2011-11-1.pdf 
                    This information is provided by RNS
          The company news service from the London Stock Exchange

END

Contact Information