Troy Resources NL
ASX : TRY
TSX : TRY

Troy Resources NL

August 21, 2011 22:57 ET

Troy Resources NL Introduces A Shareholder Dividend Re-Investment Plan

WEST PERTH, WESTERN AUSTRALIA--(Marketwire - Aug. 21, 2011) - Troy Resources NL (TSX:TRY)(ASX:TRY) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

The Directors of Troy Resources NL are pleased to announce the introduction of a dividend re-investment plan (the "Plan") to be in effect prior to the next dividend declared by the Company.

The Plan permits qualified shareholders of the Company to acquire additional shares of the Company by reinvesting all or a portion of the cash dividends paid on their shareholdings.

A copy of the Plan is available on the Company's website at www.troyres.com.au.

Key points of the Plan include:

  • Under the Plan the directors of the Company can and intend to issue shares at a fixed 5% discount from the average market price of the shares over the five day period shortly following the relevant record date;
  • Brokerage, commissions and administrative costs for the shares issued under the Plan will be borne by the Company and not the registered shareholder however beneficial shareholders may incur fees in respect of services provided by their nominee; and
  • Qualified shareholders may elect to participate in the Plan on either a full or partial basis specifying a fixed number of shares.

Enrolment forms and election forms will be mailed to registered shareholders in the coming days. Election forms, in respect of shareholders registered on the Company's Australian share register will also be available online at www.computershare.com.au and enrolment forms, in respect of shareholders registered on the Company's Canadian share register will be available online at www.computershare.com. Beneficial shareholders should contact their financial intermediary to arrange enrolment.

Commenting on the announcement of the Dividend Reinvestment Plan, Troy's CEO Paul Benson said, "We are very pleased we have been able to introduce a dividend reinvestment plan for Troy shareholders. Troy is proud of its track record of paying 11 consecutive cash dividends. This plan gives each shareholder the choice to receive all or part of any future dividends as cash or new Troy shares. Importantly, the new shares will be priced at a 5% discount to the market price and in most cases will be free of brokerage costs."

ABOUT TROY RESOURCES

Troy Resources (TSX:TRY)(ASX:TRY) is a dividend-paying junior gold producer, with a clear growth strategy. The Company has two producing gold operations; Andorinhas Mine in Para State, Brazil and the Casposo gold and silver mine, in San Juan province, Argentina.

Troy has an experienced Board and management team with a track record of successful, fast-track mine development and low-cost operations.

Troy has an annual exploration budget in excess of $15 million and a proven track record in exploration discoveries and strategic acquisitions.

With the development of the Casposo project, Troy has entered a renewed growth phase which will again lift the Company's annual gold production above 100,000 ounces of gold per annum.

The Company is positioned to continue its path of strong growth and profitable operations, and is on track to achieve its vision of becoming a highly profitable mid-tier gold producer with a portfolio of quality long-life assets.

The Company maintains a robust balance sheet and forecasts continued strong cash flow from its current assets. Troy's gold production is unhedged; allowing its shareholders access to the full benefit of current and future gold price upside.

Troy is a responsible corporate citizen, committed to the best practice of health and safety, environmental stewardship and social responsibility.

To view maps of Troy's project locations, please visit the following link: http://media3.marketwire.com/docs/try822i.pdf.

ABN 33 006 243 750

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