1st Quarter Results and update

RANDGOLD RESOURCES LIMITEDIncorporated in Jersey, Channel Islands Reg. No. 62686LSE Trading Symbol: RRSNASDAQ Trading Symbol: GOLD

OPTIMISED BUSINESS PLAN KEEPS RANDGOLD'S GROWTH STRATEGY ON TRACK

London, 2 May 2013 - A planned decrease in the grade mined at Gounkoto and a reduction in recoveries due to copper-rich ore from the Yalea South pit pushback had a greater than expected impact on the Loulo-Gounkoto complex's performance in the first quarter of the year, but Randgold Resources says its growth strategy remains intact.

The company says it reacted promptly to the recent drop in the gold price, and has reviewed all its operations and projects, with a focus on managing cashflows. At Loulo-Gounkoto, the review has resulted in a change in the mining plan, which reduces the expenditure on capital and operational development of the underground mines, as well as the build-up of lower grade stockpiles, while efficiently feeding the ore mined to the plant. The net effect is a small reduction in grade, and consequently the complex has reduced its anticipated production for the year from 590 000 to 560 000 ounces. Capital expenditure and working capital tied up in stockpiles have each been reduced by about US$20 million.

Loulo-Gounkoto's reduced contribution and higher costs, a larger than usual amount of gold unsold at the end of the quarter and the lower gold price were reflected in Randgold's Q1 results, announced today. Production of 199 013 ounces was down 7% quarter on quarter and profit dropped by 43% to US$81.6 million.

Elsewhere the company's Tongon mine in Côte d'Ivoire improved its performance across the board, boosting gold production by 15% on the back of a stabilised power supply and increased throughput and efficiencies, while the Morila joint venture beat its production and cost targets. The development of the Kibali gold project in the Democratic Republic of Congo continued to progress rapidly towards its goal of first gold production before the end of this year. As part of the business review, the project has rescheduled a portion of the work related to the sulphide stream, planned for the current year, to early 2014. This is not expected to impact the forecast production schedule, but reduces the peak funding requirement in this year. Consequently capital expenditure on the project in 2013 is now estimated at approximately US$700 million.

Chief executive Mark Bristow said notwithstanding the revised plan at Loulo-Gounkoto, the company's forecast annual production and cash costs remained within its previous guidance. Its solid business plan was based on realistic assumptions and bolstered by Randgold's secure long term growth capability and reserves that were estimated at a US$1 000 per ounce gold price.

"While Randgold remains strongly placed to sustain its profitability under any realistically conceivable gold price scenario, we have nevertheless reviewed each operation's plans in the light of the recent drop in the price, making adjustments where necessary to ensure we manage our cashflow given this year's large capital spend. At Kibali, the rescheduled capital expenditure will reduce the peak funding requirement without materially affecting the production profile or putting cash flow generation at risk," he said.

"In the meantime, the Loulo-Gounkoto complex is getting back to planned grade, recovery and production levels, Tongon continues to improve and the recently approved pit pushback project at Morila, which will extend that operation's life by two years, is scheduled to start this quarter."

RANDGOLD ENQUIRIES:

Website: www.randgoldresources.com

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REPORT FOR THE FIRST QUARTER ENDED 31 MARCH 2013

Change in accounting policy impacting results in this report

Following the introduction and adoption of IFRS 11 Joint Arrangements, the group changed its accounting policy on joint ventures from 1 January 2013, with comparative IFRS results restated accordingly. As such, the group's share of joint ventures (primarily Morila and Kibali) have been accounted for using the equity method, rather than proportionately consolidated, from 1 January 2011 as required by IFRS 11. The group's share of its joint ventures are now disclosed as a single line item as 'total investments in joint ventures' on the consolidated statement of financial position, as 'share of profits of equity accounted joint ventures' in the statement of comprehensive income and the group's cash flows from the joint ventures have been disclosed separately in the consolidated cash flow statement. Previously, our share of assets, liabilities, income, costs and cash flows were proportionately consolidated on a line by line basis. A full reconciliation of the effect of the changes resulting from the adoption of IFRS 11 is provided under 'Change in accounting policy - Accounting for investments in equity accounted joint ventures', including results under the previous accounting policy, which reflects how Randgold reports internally.

* Refer to explanation of non-GAAP measures provided. Historically, Randgold consolidated 100% of Loulo, Gounkoto and Tongon and 40% of Morila and non-GAAP measures remain on this basis and are not affected by the change in accounting policy detailed above.

# Gold on hand represents gold in doré at the mines multiplied by the prevailing spot gold price at the end of the period.

+ The group changed its treatment of consolidated non-GAAP measures in Q4 2012, which has resulted in changes to the group level non-GAAP measures for the quarter ended 31 March 2012 as explained in the 2012 annual report.

~ Results impacted by change in accounting policy as detailed above.

^ Cash and cash equivalents excludes US$37.4 million at 31 March 2013 (US$33.1 million at 31 March 2012 and US$13.6 million at 31 December 2012) that relates to the cash held in Morila, Kibali and the group's asset leasing companies which are now equity accounted, following the introduction and adoption of IFRS 11 Joint Arrangements.

The results in this report have been neither reviewed nor audited.

Gold sales decreased by 19% from the previous quarter largely due to a 16% decrease in ounces sold following lower grades and recoveries achieved at the Loulo-Gounkoto complex during the quarter, as well as a result of the higher gold on hand which remained at period end. The average gold price received during the current quarter also decreased by 4% to US$1 638/oz from US$1 705/oz in the previous quarter. Gold sales increased by 14% compared to the corresponding quarter in 2012, principally due to an 18% increase in ounces sold compared to the 2012 March quarter, partially offset by a 4% drop in the average gold price received from US$1 704/oz in the March 2012 quarter.

Total cash costs for the group were 10% lower than the previous quarter and up 35% from the corresponding quarter in 2012. The decrease quarter on quarter reflects the lower cost of production at Tongon, following an improvement in the operating performance across the mine, as well as the deferral of costs associated with an increase in gold on hand at period end, as a result of the timing of gold shipments at quarter end -19 512 ounces (valued at US$31.2 million using a spot gold price of US$1 598/oz) remained unsold at quarter end, principally at Loulo-Gounkoto and Tongon. The increase from the corresponding quarter in 2012 is the result of increased production at the Loulo-Gounkoto complex in the current quarter. Total cash cost per ounce increased by 6% to US$841/oz, mainly on the back of the lower grades and recoveries at the Loulo-Gounkoto complex.

Profit from mining decreased by 27% to US$150.4 million in the current quarter from US$204.7 million in the previous quarter, and was in line with the corresponding quarter of the prior year, mainly attributable to lower production and higher costs, as explained above.

Following the introduction and adoption of IFRS 11 Joint Arrangements, the group changed its accounting policy on equity accounted joint ventures from 1 January 2013 with comparative periods restated accordingly. Refer to 'Change in accounting policy - Accounting for investments in equity accounted joint ventures' for detailsof the effect on IFRS measures in this report.

Depreciation and amortisation of US$49.8 million increased by US$16.2 million from the previous quarter and by US$28.6 million compared to the corresponding quarter of 2012, mainly due to increased assets brought into use at the Loulo-Gounkoto complex and at Tongon.

Exploration and corporate expenditure of US$13.0 million increased by US$6.8 million compared to the previous quarter's US$6.2 million and by US$2.4 million compared to the corresponding quarter of 2012. The increase during the current quarter is due to increased exploration activities, as well as increased share-based payment charges during the quarter due to new share grants.

Other income of US$7.7 million compares to other income of US$4.0 million in the previous quarter and US$2.4 million in the 31 March 2012 quarter and the movement is largely a result of the amount of operational exchange gains booked in the relevant quarter. This is due to the settling of invoices in currencies other than the US dollar, as well as the translation of balances denominated in currencies such as South African rand, Canadian dollar and euro to the closing US dollar rate, and reflect the movements in these currencies during the quarter. Other income also includes management fees received from Morila and Kibali.

Share of profits of equity accounted joint ventures reflect our share of Morila's profits for the quarter of US$7.9 million as well as our share of Kibali losses of US$0.9 million together with profits from the group's asset leasing joint ventures.

Income tax for the quarter of US$3.8 million was down by 73% on the prior quarter and 37% on the corresponding quarter in 2012, mainly due to the decrease in profits quarter on quarter.

Profit for the quarter of US$81.6 million decreased by 43% from US$143.6 million in the previous quarter and decreased by 22% from the corresponding quarter of 2012. Similarly, basic earnings per share decreased to 76 US cents, down 42% from the prior quarter and down 22% on the corresponding quarter of 2012.

LOULO-GOUNKOTO COMPLEX

The combined Loulo-Gounkoto gold production for the current quarter was 125 091 ounces (Loulo 87 963 ounces and Gounkoto 37 128 ounces). This reflects a 13% drop in production from the previous quarter, largely as a result of a 12% drop in the average grade of the ore processed to 4.0g/t (Q4 2012: 4.6g/t) and the decrease inrecovery due to the high copper content of the Yalea South ore. The drop in grade was mostly as a result of lower grade ore being mined at Gounkoto in line with the plan. Lower ore tons mined at Gounkoto also required more Yalea South tonnes to be processed leading to lower overall recoveries. The lower tonnage from Gounkoto was part of a continued focus on catching up on the waste mining and also some planned deviations from the schedule to allow softer ore to be mined to ameliorate a breakdown in the crushing circuit during the quarter. The lower gold production resulted in an increase in total cash cost per ounce of 16% to US$886/oz (Q4 2012: US$765/oz).

No lost time injuries were recorded during the quarter. The Lost Time Injury Free Rate (LTIFR) was zero per million hours worked compared to 0.47 for the previous quarter with three million LTI free hours being recorded.

During the quarter, record tonnes and metres were achieved at the Gara underground mine and the flat dipping stopes were successfully developed. At Yalea two stopes were successfully filled with Cemented Aggregate Fill (CAF).

In the plant, the construction of the new oxygen plant was completed and work started on the new Carbon in Leach (CIL) tanks. Following the drop in the gold price, the complex reviewed its mining plans and development schedules, to ensure that cash flow from the operations was optimised. The review has resulted in a change in the mining plan, which reduces the expenditure on capital and operational development of the underground mines, reduces the build-up of lower grade stockpiles, and efficiently feeds the grade mined from the Gounkoto open pit and Yalea and Gara underground mines to the plant. The net effect is a small reduction in grade, and consequently the complex has reduced their anticipated production for the year by 30 000 ounces to 560 000 ounces, as well as a reduction in capital expenditure of US$20 million which is now estimated at approximately US$210 million, and a similar reduction in working capital requirements.

* Refer to explanation of non-GAAP measures provided.

# Gold on hand represents gold in doré at the mines multiplied by the prevailing spot gold price at the end of the period.

LOULO

On a standalone basis, Loulo produced 87 963 ounces of gold (Q4 2012: 88 636 ounces) at a total cash cost per ounce of US$860/oz (Q4 2012: US$800/oz). Despite the increase in tonnes processed at almost the same grade, the total cash cost per ounce increased by 8% due to the lower recovery, which dropped from 86.0% in the fourth quarter to 83.3%. The higher proportion of Yalea South ore processed, containing a higher proportion of copper in the ore, was the main contributing factor for the lower recovery from the plant. Operating costs also increased due to the apportionment of more costs related to the current underground mining programme to operational development (opex), being allocated to operating expenditure, rather than capital development (capex), as guided last quarter.

Profit from mining of US$65.9 million was lower than the previous quarter's US$81.4 million. This resulted from the lower average gold price received as well as lower ounces produced and sold.

No lost time injuries were recorded during the quarter. The LTIFR was zero with two million LTI free hours being recorded. The previous quarter's LTIFR was 0.67 per million hours worked.

Randgold owns 80% of Loulo with the State of Mali owning 20%. The State's share is not a free carried interest. Randgold has funded the whole investment in Loulo by way of shareholder loans and therefore controls 100% of the cash flows from Loulo until the shareholder loans are repaid.

Randgold consolidates 100% of Loulo and shows the non-controlling interest separately.

* Refer to explanation of non-GAAP measures provided.

# Gold on hand represents gold in doré at the mines multiplied by the prevailing spot gold price at the end of the period.

* Open pit mineral resources are the insitu mineral resources falling within the US$1 500/oz pit shell reported at an average cut-off of 0.5g/t. Underground mineral resources are those insitu mineral resources of the Yalea and Gara deposits that fall below the design pits and are reported at a cut-off of 1.95g/t for Yalea and 1.94g/t for Gara.  Mineral resources for Gara and Yalea were generated by Mr Abdoulaye Ngom, an officer of the company, under the supervision of Mr Jonathan Kleynhans, an officer of the company and competent person.  Mineral resources for Loulo 3 and Faraba were generated by Mr Ivan Doku, an independent consultant and competent person, under the supervision of Mr Jonathan Kleynhans, an officer of the company and competent person.

** Open pit mineral reserves are reported at a gold price of US$1 000/oz and an average cut-off of 1.1g/t and include dilution and ore loss factors. Open pit mineral reserves were calculated by Mr Shaun Gillespie, an independent consultant and competent person.  Underground mineral reserves are reported at a gold price of US$1 000/oz and a cut-off of 2.70g/t for Yalea underground and 2.55g/t for Gara underground, and include dilution and ore loss factors. Underground mineral reserves were calculated by Mr Mark Odell, an independent consultant and competent person.

*** Attributable gold (Moz) refers to the quantity attributable to Randgold based on its 80% interest in Loulo. See comments and US disclaimer on page 72 of the 2012 annual report.

Loulo underground progress

Production

The overall ore tonnes mined from for underground increased to 462 913 tonnes from 259 960 tonnes in Q1 of 2012 (up 78% year on year) and 459 111 tonnes in Q4 last year to 462 913 tonnes in the current quarter, consistent with the steadily increasing trend in production.

The following key steps will be the focus of the underground team over the coming quarters:

§ Start mining the newly developed flat stopes at Gara

§ Introduce Cemented Aggregate Fill (CAF) in the secondary stopes at Gara and Yalea in Q3 and Q4

§ Commission Gara crusher and conveyor belt by the end of Q3

§ Upgrade the Yalea ventilation system by the end of Q2

§ Renew the contractor's fleet

§ Incorporate the third rock pass in the hoisting system.

Overall development metres dropped by 5% from 5 963 metres in Q4 2012 to 5 643 metres in Q1 2013 due to large excavations having been developed at Gara for crusher infrastructure.

Yalea underground mine

During the quarter, a total of 2 882 metres of development was completed and 279 983 tonnes of ore at 4.62g/t was hauled to surface. The project has completed 38 132 metres of development to date.

The Yalea declines have advanced to 3 231 metres from surface at a vertical depth of 394 metres.

Ore production for the quarter slightly decreased by 3% from last quarter's 288 080 tonnes to 279 983 tonnes. This was mainly due to optimisation of the fleet by shifting some of the trucking fleet to Gara.

The overall development profile of Yalea has decreased from 3 231 metres (Q4 2012) to 2 882 metres (Q1 2013), in line with plan.

The 88L primary pump chamber excavation was completed and the civil construction is in progress and is expected to be commissioned by end of Q2.

Gara underground

During the quarter a total of 2 761 metres of development and 182 930 tonnes at 4.93g/t was hauled to surface. The project has completed 20 281 metres of development to date.

The Gara declines have advanced to 2 481 metres from surface at a vertical depth of 327 metres.

A record quarter for development and ore production was achieved in Q1. Ore production increased to 182 930 tonnes from the previous quarter's 171 031 tonnes, up 7%. The overall development rate at Gara continues to improve with an increase from the previous quarter's 2 732 metres to 2 761 metres. The key focus during the quarter was on the large crusher chamber infrastructure.

GOUNKOTO

Gounkoto produced 37 128 ounces of gold (Q4 2012: 55 550 ounces) at a total cash cost per ounce of US$948/oz (Q4 2012: US$714/oz). The 33% decrease in ounces produced reflects a 9% decrease in the tonnes milled and a 3% decrease in the recovery combined with a 25% decrease in the ore grade processed of 3.6g/t (Q4 2012: 4.8g/t). While the lower grade mined was in line with plan, the lower tonnes mined resulted from catching up on the waste mining and also some planned deviations from the schedule to allow softer ore to be mined to ameliorate a breakdown in the crushing circuit during the quarter. The grade mined and processed is expected to increase over the next three quarters. Total cash costs of US$948/oz rose by 33% due to the lower gold produced and sold and the higher strip ratio.

Profit from mining for the quarter of US$24.0 million was lower than the previous quarter's US$59.6 million, as a result of the lower average gold price received and decreased ounces sold.

A third dividend of US$65.0 million was declared and paid to shareholders in March 2013. The Gounkoto board approved a fourth dividend of US$20 million at the end of April.

As in the previous quarter, no LTIs were recorded during Q1 2013 and the mine achieved 1.68 million LTI free hours.

On 22 March 2013, the Gounkoto mine was certified to be compliant with the ISO 14001 environmental management system standard.

Randgold owns 80% of Gounkoto with the State of Mali owning 20%. Randgold consolidates 100% of Gounkoto and shows the non-controlling interest separately.

* Refer to explanation of non-GAAP measures provided.

# Gold on hand represents gold in doré at the mines multiplied by the prevailing spot gold price at the end of the period.

* Open pit mineral resources are the insitu mineral resources falling within the US$1 500/oz pitshell reported at a 0.5g/t cut-off. Underground mineral resources are those insitu mineral resources below the US$1 500/oz pitshell reported at a 2.0g/t cut-off. Mineral resources were generated by Mr Fredrik de Bruin, a consultant and competent person, under the supervision of Mr Jonathan Kleynhans, an officer of the company and competent person.

** Open pit mineral reserves are reported at a gold price of US$1 000/oz and 1.27g/t cut-off and include dilution and ore loss factors. Open pit mineral reserves were calculated by Mr Shaun Gillespie, an independent consultant and competent person.

*** Attributable gold (Moz) refers to the quantity attributable to Randgold based on its 80% interest in Gounkoto. See comments and US disclaimer on page 72 of the 2012 annual report.

Gounkoto underground project

During the quarter, drilling continued to convert the remaining underground inferred material to the indicated category. The orebody has proven to be geologically complex at depth and more drilling has been required to complete the conversion drilling.

A preliminary economic assessment of the project on the current mineral resources has been completed and confirms its economic viability. A mining options study was completed based on the geotech and geological model. Longhole open stope and cut and fill stoping would be required for the exploitation of the orebody.

A preliminary design and schedule has been produced which delivers a total of 5.8Mt at 6.36g/t for 1.1Moz with an average of 665kt and 129koz per annum from 2016 to 2021, and then an average of 330kt and 61koz per annum from 2022 to 2026.

The financial model, based on the 5.8Mt at 6.38g/t, used the following inputs:

§ Mining cost: US$82.34/tonne

§ Crush and haul cost: US$5.86/tonne

§ Processing cost: US$19.50/tonne

§ G&A: US$10/tonne

§ Royalty: 6%

§ Tax rate: 30%

§ Capital cost excluding preproduction: US$97 million

§ Metallurgical recovery: 92.5%.

The above analysis is based on an underground mining cost of US$82/ore tonne which is significantly higher than Loulo is currently achieving. This is due to the current design which has lower monthly tonnages and requirement for cut and fill stoping which differs from Loulo, although we expect to be able to improve on this estimate going forward.

MORILA

During the quarter, Morila produced 38 547 ounces of gold, 21% lower than the previous quarter (Q4 2012: 48 870 ounces). The decrease in production followed the drop in the ore grade processed from 1.5g/t in the previous quarter to 1.2g/t in the current quarter, in line with plan.

The recovery rate of 90.2% was lower than the previous quarter's 91.9% due to lower oxygen plant availability. Tonnes treated decreased on the previous quarter from 1 115kt to 1 078kt, due to the repair of the SAG mill gearbox.

The total cash costs of US$758/oz were 8% up on the previous quarter's US$701/oz, reflecting the lower gold production. Profit from mining of US$32.6 million was down 34% on the previous quarter's US$49.3 million as a result of the decreased production, lower average gold price received and higher cash cost per ounce, but still ahead of plan.

No LTIs were recorded during this quarter, compared to one in the previous quarter. The LTIFR was 0 with 466 448 LTI free hours being recorded. The previous quarter's LTIFR was 2.06 per million hours worked.

Following joint negotiation with the Malian authorities by management and the union, and in line with our long term partnership with our host countries, the Minister of Finance has confirmed that gold royalties on the Pit4S pushback project will be suspended for the duration of the project. The State has offered these royalties with an estimated total of US$9.7 million, in order to share the financial risk associated with the project and to ensure the continuation of the additional benefits of taxes and employment at the mine.

The transition of the agribusinesses pilot projects to commercial entities continues, including the following key initiatives:

§ New chicken rearing and layer production unit on track to initiate production in Q2, to reach 10 000 layer production in Q4

§ Seven new standardised medium density fish ponds completed and await stocking in Q2

§ 8.6ha high density mango project prepared and planted

§ 1 000 hive honey project to be harvested in Q2.

* Refer to explanation of non-GAAP measures provided.

** The stockpile adjustment per ounce reflects the charge expensed in respect of stockpile movements during the period divided by the number of ounces sold. Total cash cost per ounce includes non-cash stockpile adjustments.

# Gold on hand represents gold in doré at the mines multiplied by the prevailing spot gold price at the end of the period.

* Open pit mineral resources are those located within US$1 300/oz pit shell at a cut-off equivalent to US$1 500/oz, which is 0.47g/t. Stockpile mineral resources are reported at a US$1 500/oz gold price and reported at a 0.59g/t cut-off. TSF mineral resources are reported at a US$1 500/oz gold price and reported at a 0.34g/t cut-off. Mineral resources were generated by Miss Paula Oligive, an independent consultant, and Mr Adama Kone, an officer of the company, under the supervision of Jonathan Kleynhans, an officer of the company and competent person.

** Open pit mineral reserves are those located within US$1 300/oz pit shell at cut-off equivalent to US$1 300/oz, which is 0.60g/t. Stockpile mineral reserves are reported at a US$1 300/oz gold price and reported at a 0.68g/t cut-off. Open pit mineral reserves were calculated by Mr Shaun Gillespie, an independent consultant and competent person.

*** Attributable gold (Moz) refers to the quantity attributable to Randgold based on its 40% interest in the Morila gold mine. See comments and US disclaimer on page 72 of the 2012 annual report.

TONGON

Tongon improved its performance in Q1 2013 compared to Q4 2012 delivering increases in mined volumes, mill throughput, total plant availability, recovery, grid power availability and management which resulted in a reduction in cash operating costs. The improvement was also driven by better teamwork as the reinforced management team began to settle down.

Tongon produced 58 503 ounces gold, 15% above the previous quarter. Factors contributing to the increase were improvement in overall plant stability, a reduction in plant stoppages and power outages and an improved performance of the flotation and concentrate treatment operation. Despite the impact of last quarter's fire incident on the mill cyclones and flash flotation circuits, gold recovery improved steadily quarter on quarter to 78.2% (Q4 2012: 77.2%). The average grade of ore treated increased slightly to 2.5g/t against the previous quarter.

Mill throughput increased by 10% to 944kt compared to 857kt in the previous quarter. This increase in performance was achieved on the back of a 12% increase in overall plant availability compared to the previous quarter, a decrease in the number and frequency of plant stoppages and a steady improvement through better planned maintenance procedures.

A further ramp-up in mill throughput is being progressively planned for this year with the change-out of four of the existing hydrocone crushers with four vibrocone crushers in Q3 and Q4. This new crushing circuit will enable a finer crushed product which will result in an increased throughput rate. In addition, the mill discharge pumps, mill dilution circuit and cyclone clusters are being upgraded to cope with the forecast increase in mill throughput.

Mill availability increased by 12% to 89.2% from the previous quarter despite some extended plant stoppages required to complete the installation of the new capacitor banks switchgear. The availability improvement is mainly due to the installation of the capacitor banks providing improved grid power stability and sustainability and co-operation from CIE (the power utility) to ensure uninterrupted quality grid power supply. The main benefit from an improved grid supply has been a reduction in the use of diesel generated power which has reduced the mine's overall operating costs.

Repairs to the mill cyclones and flash flotation circuits damaged by the fire in Q4 2012 have been completed. Final automation and enhancements to the circuits continued in January 2013 with the installation of new higher capacity blowers for both flotation circuits. This resulted in an increase in flotation cell mass pull and steadier operation.

Gold recovery improved quarter on quarter to 78.2%. Recent metallurgical testwork has prompted the mine to procure a gravity recovery circuit to further enhance the recovery in Q3 and Q4 this year. Two additional pump-cells are being installed to increase the residence time in the concentrate treatment circuit by the end of Q2. The new gravity circuit will comprise two KC-QS40 Knelson Gravity and an Intensive Leach Reactor (ILR) with associated electrowinning cells.

The mine continued its improvement in its South Zone pit mining operations in Q1, resulting in a 9% increase in total volumes mined compared to the previous quarter, mainly as a result of the improved mobile fleet availability and utilisation as well as improved blast fragmentation. A total of 6 845kt was mined compared to the previous quarter's 6 305kt.

Total cash cost per ounce decreased significantly to US$817/oz from US$944/oz in the previous quarter, reflecting the higher production resulting from the increased throughput and recoveries, partially offset by costs associated with repairs following the fire and the power cost in Q4 2012. Gold sold for the quarter was 54 386 ounces, in line with the 54 498 ounces sold in Q4, whilst the profit from mining activity quarter on quarter increased by 8%, reflecting the lower cost of production.

The mine achieved zero LTIs and one million LTI free hours during the quarter and is committed to continue improving the safety management system to ensure a safe working environment.

The mine continued to build on its relationships with the labour union and local communities to ensure cordial industrial and community relations.

Randgold owns 89% of Tongon with the State of Côte d'Ivoire and outside shareholders owning 10% and 1% respectively. The outside shareholders' and State's shares are not free carried interests. Randgold has funded the whole investment in Tongon by way of shareholder loans and therefore controls 100% of the cash flows from Tongon until the shareholder loans are repaid. Randgold consolidates 100% of Tongon and shows the non-controlling interest separately.

* Refer to explanation of non-GAAP measures provided.

# Gold on hand represents gold in doré at the mines multiplied by the prevailing spot gold price at the end of the period.

* Open pit mineral resources are the insitu mineral resources falling within the US$1 500/oz pit shell reported at a 0.5g/t cut-off. Underground mineral resources are those insitu mineral resources below the NZ US$1 500/oz pit shell reported at a 2.0g/t cut-off. Mineral resources were generated by Mr Babacar Diouf and Mr Mamadou Ly, both officers of the company, and supervised by Mr Jonathan Kleynhans, an officer of the company and competent person.

** Open pit mineral reserves are reported at a gold price of US$1 000/oz and 1.39g/t cut-off and include dilution and ore loss factors. Open pit mineral reserves were calculated by Mr Shaun Gillespie, an independent consultant and competent person.

*** Attributable gold (Moz) refers to the quantity attributable to Randgold based on its 89% interest in the Tongon gold mine. See comments and US disclaimer on page 72 of the 2012 annual report.

KIBALI MINE DEVELOPMENT PROJECT

The Kibali project remained on track during Q1 2013.

Metallurgical facility and infrastructure

During the quarter, the team focused on ramping up concrete production for the metallurgical facility and supporting infrastructure works, establishing the vertical shaft sinking contractor on site, maintaining the advance momentum of the decline contractor in line with the schedule and the open pit mining to ensure the feed schedule for the start of production later in the year.

The key developments during the quarter are highlighted below:

§ First mechanicals installed at metallurgical plant primary crushers and classification area

§ Mill lubrication installation started

§ Vertical shaft site establishment complete

§ Mill girth gears arrived on site

§ Started filling the first two CIL tanks with water

§ Steelwork erection completed at primary crushers and oxide conveyor

§ Elution columns and regeneration kiln installed

§ Construction of main diversion channel on track

§ Manufacturing of headgear started

§ Completed first 1 500 metres of the airstrip construction

§ Started installation of metallurgical plant electrical control system.

Mining

The open pit mining contractor continued its ramp-up during the quarter and reached a production rate of 1 million BCMs per month, as per the mining schedule.

The vertical shaft pre sink has started with 45% of excavations completed for the kibble and winder house. The boxcut for the vertical shaft has been excavated and subsequent civil work completed including further sinking down to 14.8 metres. The excavation of the toe in and the final concrete lining back up to connect with the sub bank at -7 metres is also complete.

The declines reached a length of 229 metres by the end of the quarter, slightly ahead of schedule.

The stockpile status at the end of the quarter was 1 109kt at an average of 2.01g/t, made up of 633kt at 2.76g/t already on the ROM pad and 476kt at 1.10g/t on the rehandle low grade stockpile.

Relocation Action Plan (RAP)

The RAP activity increased during the quarter, ramping up to deliver an average 95 houses per week, with 815 houses completed and 350 families moved during the quarter. The Catholic Church complex is also nearing completion with all the buildings completed except the Church which is still under construction.

Capital expenditure

Project expenditure continued at a steady state with a total of US$199.2 million (full project value) incurred during the quarter. As part of a review of cash flows, the project has rescheduled a portion of the project work related to the sulphide stream, planned for the current year into early 2014. This is not expected to materially impact the forecast production schedule, but reduces the peak funding requirement in this year, and consequently capital expenditure for the project for 2013 has reduced by US$ 50 million and is now estimated at approximately US$700 million.

Safety

Safety at the Kibali project improved markedly during the quarter under review, with five LTIs recorded but the lowest LTIFR to date of 1.25, compared to the previousquarter's LTIFR of 1.67. The contractors working in the metallurgical plant recorded their first 1 000 000 injury free hours. Additional training is being conducted to improve safety awareness.

Operational readiness

Key appointments have been made to the operational team, with the GM operations, metallurgical manager, operations manager and all heads of department having been appointed.

More than 60 operators have been selected to undergo operator training at one of the Randgold's operating mines in West Africa following psychometric testing of people currently working on the construction programme. The training will begin during May 2013 and a further group will be selected during that month.

* Open pit mineral resources are the insitu mineral resources falling within the US$1 500/oz pit shell reported at a cut-off of 0.5g/t. Underground mineral resources are those insitu mineral resources at the KCD deposit that fall below the 5 685m RL elevation, reported at a cut-off of 1.5g/t. Mineral resources were generated by Mr Ernest Doh, an officer of the company and competent person.

** Open pit mineral reserves were reported at a gold price of US$1 000/oz and an average cut-off of 0.9g/t cut-off and include dilution and ore loss factors. Open pit mineral reserves were calculated by Mr Nicholas Coomson, an officer of the company and competent person. Underground mineral reserves were reported at a gold price of US$1 000/oz and a cut-off of 2.2g/t and include dilution and ore loss factors. Underground mineral reserves were calculated by Mr Dan Donald and Mr Tim Peters, both independent consultants and competent persons.

*** Attributable gold (Moz) refers to the quantity attributable to Randgold based on its 45% interest in the Kibali gold project. See comments and US disclaimer on page 72 of the 2012 annual report.

MASSAWA

During the quarter, a 5 by 5 metre grade control orientation programme was completed on the Central Zone of the Massawa deposit over a strike length of 140 metres, to better understand the grade distribution and controls to mineralisation. The interpretation of the drilling has identified that the ore lodes are significantly thinner than previously interpreted, but show good continuity over strike and depth and contain higher grade than previously interpreted. The high grades are spatially associated with a felsic porphyry with a higher concentration of very high grade adjacent to the porphyry. This is expected to lower the tonnes but increase the grade when compared to the current resource model. The lodes range between 2 to 9 metres wide and thus will require selective mine equipment to exploit. Based on the close spaced drilling results, a study is currently underway to evaluate the optimal spacing of drilling required to accurately model the orebody.

A total of 18 tonnes of metallurgical sample has been shipped to Hazen in Denver for preparation of the pilot study composite samples. Samples have been geologically selected to represent the orebody. Each sample will be crushed and then a subsample collected for full geochemical analysis. Block models of various elements will be generated from the geochemical results which will direct the sample composition of the flotation composites. The flotation samples are expected to be composited during July this year and pilot testwork is planned for 2014.

* Open pit mineral resources are the insitu mineral resources falling within the US$1 500/oz pit shell reported at a 0.5g/t cut-off. Underground mineral resources are those in situ mineral resources below the US$1 500/oz pit shell of the North 2 deposit reported at a 2.0g/t cut-off. Mineral resources were generated by Mr Babacar Diouf, an officer of the company and competent person.

** Open pit mineral reserves are reported at a gold price of US$1 000/oz and 1.1g/t cut-off and include dilution and ore loss factors. Open pit mineral reserves were calculated by Mr Onno ten Brinke, in the capacity of independent consultant, and reviewed by Mr Rodney Quick, an officer of the company and competent person.

*** Attributable gold (Moz) refers to the quantity attributable to Randgold based on its 83% interest in Massawa. See comments and US disclaimer on page 72 of the 2012 annual report.

During this quarter, which falls in the middle of the exploration field season, the projects have built on the foundations laid in Q4 2012 with the testing of numerous targets both around our mines and on our greenfields projects. Brownfields work continues to add potential and flexibility to the operations with the Baboto target being drilled out at Loulo, drilling for the Gounkoto underground feasibility project nearing completion and a number of near mine targets at Kibali confirming they have the potential to deliver high grade ounces.

This quarter also saw Randgold advance its strategy of partnering with junior mining companies on early stage exploration projects with the signing of a joint venture agreement with Goldstone Resources on their Sangola permit in Senegal which is located along strike to the immediate south of our Massawa project area. Exploration work to date has identified four targets in favourable structural as well as geological settings which we aim to start drill testing in Q2.

In Q1 we had 15 rigs drilling on seven different project sites in four countries: Gounkoto, Loulo satellites, Massawa and Massawa satellites, Tongon, Boundiali and Kibali.

MALI

Gounkoto

The prefeasibility drilling programme on the underground project at Gounkoto continued throughout the quarter. Eleven deep holes for 8 939.9 metres were completed with the majority (nine) testing the deepest parts of the underground target to enable the conversion of inferred ounces to indicated. All holes intersected and confirmed the presence of the mineralised lodes in the Jog Zone and enabled an update to the geological model which will form the foundation for an updated resource estimate and mine design.

A number of the holes drilled returned lower grades and thicknesses than the existing model highlighting the highly variable nature of the gold grade in this part of the deposit and where previous drilling had been widely spaced. Highlights of the Jog Zone programme this quarter include hole GKDH383, which returned 24.6 metres at 15.25g/t, including 14.95 metres at 20.62g/t from the northern limit of MZ3 where the resource model predicted 5.59g/t. Another opportunity is the south plunging extension of the high grade mineralisation which is currently being drill tested.

INTERSECTIONS FROM THE GOUNKOTO JOG ZONE DRILLING THIS QUARTER

Across the Faraba district, around Gounkoto, gradient-array Induced Polarisation (IP) geophysical surveys have been carried out to assist with the mapping of bedrock litholgies and structures beneath the extensive transported material associated with the drainage system of the Falémé River. Updated interpretations using this data are generating new targets, some of which have been tested during the quarter. At Gounkoto SW, RC drilling intersected broad alteration but low grade gold mineralisation (0.5g/t) in a geological setting comparable to Gounkoto. The new data layers are being integrated with the drill results to assist in vectoring towards potentially more significant mineralisation.

INTERSECTIONS FROM THE GOUNKOTO SW PROGRAMME