SOURCE: Randgold Resources Ld

October 10, 2013 12:06 ET

Randgold Resources Ld: Kibali signals long-term value creation in DRC

JERSEY, CHANNEL ISLANDS--(Marketwired - Oct 10, 2013) - Randgold Resources Ld (LSE: RRS) (NASDAQ: GOLD)


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


KIBALI START-UP SIGNALS POTENTIAL FOR LONG-TERM VALUE CREATION IN DRC

Kinshasa, DRC, 10 October 2013 - The new Kibali gold mine, which
started production last month, could be the catalyst for substantial
long-term value creation in the Democratic Republic of Congo if it is
handled correctly by all its stakeholders, Randgold Resources chief
executive Mark Bristow told a media briefing here today.

Randgold has developed and is operating the mine, which will be one of
the largest of its kind in Africa, and has a 45% interest in it, with
AngloGold Ashanti also owning 45% and the Congolese parastatal Sokimo
holding the balance.

Bristow said despite some apprehension in the market about the wisdom
of attempting such a giant project in this region, Kibali had been
brought into production ahead of schedule and within budget."We were able
to prove the sceptics wrong because all the stakeholders
- notably the Congolese government and people - wanted this mine,
and cooperated energetically to bring it into being. The next
challenge is to continue our partnership in this spirit, and to work
together to make Kibali successful, so that it can serve as a
foundation for building general economic welfare in this region," he
said.

The open pit mine is producing one million tonnes of ore per month and
the plant is ramping up well, already achieving 80% of its design
capacity. With steady state production imminent, Kibali is set to
start gold sales later this month. In the meantime, development of the
declines and shaft for the underground mine is progressing ahead of
plan, with first ore from the underground anticipated in 2015, while
exploration is continuing to grow Kibali's resources. A reserve update
for Kibali will be published later this year, ahead of Randgold's
customary annual group resource and reserve declaration."We'll also be
providing a new production forecast for this quarter
soon and it is likely that this will exceed our original estimate of
30000 ounces, thanks to the successful early start-up. We also expect
that, like all the other mines Randgold has developed, Kibali will make
a profit in its first quarter of commercial operation," Bristow
said."Randgold sees itself as an enabler of regional development, and in
line with this belief we have succeeded in interesting investors as
well as the Congolese government in co-operating with us to establish a
palm oil production business in the Province Orientale, where Kibali is
located. With much of Kibali's construction now complete, the work
force has been reduced by some 2500, and the proposed palm oil venture
would not only ameliorate the impact of this but could make the DRC an
exporter of oil and soap."

Bristow said the history of mining in Africa was littered with projects
that had failed to realise their potential because exploiting
developers and greedy governments had sought to cash in prematurely
instead of focusing on value creation."In Province Orientale, Kibali's
stakeholders have an opportunity to
start with a clean slate, and to demonstrate to the world what can be
achieved in Africa through a real partnership between a mining company
and its hosts. To date, Randgold has delivered all that it undertook
to do, and more. We expect that the Congolese authorities will also
keep their side of the bargain, among other things by building the
administrative capacity required to fulfil their obligations under the
mining code," he said."That code is still under review and we are awaiting
its latest draft
for comment. We are fully engaged in the review process, and the
government is cognisant of our belief that any negative changes to the
current code will obstruct the development of further Kibalis in the
DRC."




ENQUIRIES:

Mark Bristow           Graham Shuttleworth     Kathy du Plessis
Kibali chairman &      Randgold Financial      Randgold investor & media
Randgold CEO           Director                relations
+44 788 071 1386       +447797711338           +44 20 7557 7738 /
                                                randgold@dpapr.com 



Website:  www.randgoldresources.com 


CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: Except for the
historical information contained herein, the matters discussed in this
news release are forward-looking statements within the meaning of
Section 27A of the US Securities Act of 1933 and Section 21E of the US
Securities Exchange Act of 1934, and applicable Canadian securities
legislation. Forward-looking statements include, but are not limited
to, statements with respect to the future price of gold, the estimation
of mineral reserves and resources, the realisation of mineral reserve
estimates, the timing and amount of estimated future production, costs
of production, reserve determination and reserve conversion rates.
Generally, these forward-looking statements can be identified by the
use 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 or
state that certain actions, events or results 'may', 'could',
'would','might' or 'will be taken', 'occur' or 'be achieved'. Assumptions
upon
which such forward-looking statements are based are in turn based on
factors and events that are not within the control of Randgold
Resources Limited ('Randgold') and there is no assurance they will
prove to be correct. Forward-looking statements are subject to known
and unknown risks, uncertainties and other factors that may cause the
actual results, level of activity, performance or achievements of
Randgold to be materially different from those expressed or implied by
such forward-looking statements, including but not limited to: risks
related to mining operations, including political risks and instability
and risks related to international operations, actual results of
current exploration activities, conclusions of economic evaluations,
changes in project parameters as plans continue to be refined, as well
as those factors discussed in Randgold's filings with the US Securities
and Exchange Commission (the 'SEC'). Although Randgold has attempted
to identify important factors that could cause actual results to differ
materially from those contained in forward-looking statements, there
may be other factors that cause results not to be as anticipated,
estimated or intended. There can be no assurance that such statements
will prove to be accurate, as actual results and future events could
differ materially from those anticipated in such statements.
Accordingly, readers should not place undue reliance on forward-looking
statements. Randgold does not undertake to update any forward-looking
statements herein, except in accordance with applicable securities
laws. CAUTIONARY NOTE TO US INVESTORS: The SEC permits companies, in
their filings with the SEC, to disclose only proven and probable ore
reserves. We use certain terms in this release, such as 'resources',
that the SEC does not recognise and strictly prohibits us from
including in our filings with the SEC. Investors are cautioned not to
assume that all or any parts of our resources will ever be converted
into reserves which qualify as 'proven and probable reserves' for the
purposes of the SEC's Industry Guide number 7.

                    This information is provided by RNS
          The company news service from the London Stock Exchange

END

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