1st Quarter Results and updates

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

CASH INCREASES AS RANDGOLD BOOSTS PROFIT FROM MINING AND BEEFS UP EXPLORATION DRIVE

London, 7 May 2015 - Randgold Resources increased its profit from mining by 5% to $143.9 million in the quarter to 31 March 2015 despite slightly reduced gold production of 279 531 ounces, mainly as a result of planned lower grades. Profit for the quarter of $51.3 million (2014 Q4: $54.4 million) was impacted by increased exploration expenditure and corporate costs as well as adverse exchange rate movements during the period.

Q1 results, published today, show that despite the production decrease, total cash cost per ounce came down to $708/oz, reflecting a solid operational performance. Net cash generated by the operations increased from $69.3 million to $101.7 million, and this strong cash flow, combined with decreasing capital expenditure after the completion of Kibali's first phase of construction, boosted cash on hand by 71% to $141.2 million.

Chief executive Mark Bristow said the quarter had been a very active one, with the underground mine development at Kibali advancing ahead of schedule, the continuing expansion and upgrade programme at Tongon delivering an improving performance, and Loulo moving towards full owner-operator status at its underground mines. A number of capital projects, including the construction of a second hydropower station and the commissioning of the paste backfill operation at Kibali, the medium voltage infrastructure upgrade at Loulo and the completion of the new crushing circuit at Tongon, are still in progress.

He also said that Randgold's traditional emphasis on exploration was being intensified and that the generative team had been strengthened to step up the hunt for the company's next world-class discovery.

"Our exploration strategy has two pillars: a brownfields programme focused on the areas around our existing orebodies which is designed to replace the reserves depleted by mining; and a greenfields programme tasked with expanding our footprint and finding new targets," he said.

"Last year, according to a survey carried out by Scotia Capital, Randgold was the only major or mid-cap gold mining company that managed to increase its reserves, which demonstrates both the effectiveness of our exploration effort and the importance of our core discovery-and-development growth strategy. That is why we remain committed to increasing the size and at least maintaining the quality of our existing asset base, while at the same time continuing to search for our next big mine."

Bristow said he expected the gold price to stay in the $1 000 to $1 400 per ounce range as long as the market continued in its present oversupplied situation. With the gold mining industry in a highly stressed state, and many companies heavily burdened by debt, the status quo looked unsustainable and currently unprofitable production would eventually have to be eliminated.

"All our operations are profitable at $1 000 per ounce and we have planned a rising production profile on our existing asset base, with capital expenditure and costs forecast to come down. Add to this our growing balance sheet, our proven record of exploration success and our strong focus on sustained profitability, and we are well placed to continue creating and delivering value to our stakeholders," he said.

RANDGOLD ENQUIRIES:

Website: www.randgoldresources.com

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REPORT FOR THE FIRST QUARTER ENDED 31 MARCH 2015

1 Refer to explanation of non-GAAP measures provided. Randgold consolidates 100% of Loulo, Gounkoto and Tongon, 40% of Morila and 45% of Kibali in the consolidated non-GAAP measures.

2 Cash and cash equivalents excludes $19.7 million at 31 March 2015 ($8.3 million at 31 December 2014) relating to the group's attributable cash held in Morila, Kibali and the group's asset leasing companies which are equity accounted.

3 Gold on hand represents gold in doré at the mines (attributable share) multiplied by the prevailing spot gold price at the end of the period.

The results in this report have been neither reviewed nor audited. All financial numbers are in US dollars ($) unless otherwise stated.

Gold sales for the first quarter of $344.6 million increased by 1% from $339.9 million in the previous quarter as a result of a 2% increase in the average gold price received of $1 215/oz (Q4 2014: $1 195/oz), while the ounces sold for the quarter was in line with the prior quarter. Compared to the corresponding quarter of 2014, gold sales decreased by 5% as a result of a 6% decrease in the average gold price received (Q1 2014: $1 296/oz).

Total cash costs for the quarter under review of $200.8 million decreased by 1% from the previous quarter, reflecting an improved operational performance, assisted by lower fuel prices and a weakening euro. The drop in cash cost per ounce for the quarter compared to the previous quarter was the result of a significant drop in cost per ounce at Morila, as higher grade pit4S pushback material was processed and lower fuel prices and a weakening euro were seen, partially offset by slightly lower grades processed at Loulo, Gounkoto, Tongon and Kibali as planned. Total cash costs increased by 5% and cash cost per ounce for the quarter increased by 3% from the corresponding quarter of 2014, largely due to the ramp up of production at Kibali and a significant drop in grade at the Loulo-Gounkoto complex.

Profit from mining increased by 5% to $143.9 million from the previous quarter's $137.3 million, due to the savings in costs as mentioned above, but decreased by 16% on the corresponding quarter of the previous year (Q1 2014: $171.0 million), mainly due to increased costs and a drop in the average gold price received (Q1 2014: $1 296/oz).

Exploration and corporate expenditure of $8.7 million for the current quarter increased by 149% on the previous quarter due to an increase in corporate staff expenditure, as a result of year end share award vesting estimate changes in the prior quarter, and increased exploration activity and expenditure in the current quarter. Compared to the corresponding quarter in 2014 ($10.8 million), there was a decrease of 20% mainly due to savings in corporate expenditure.

Depreciation and amortisation of $36.1 million decreased by 10% against the previous quarter's $39.9 million but was in line with the charge in Q1 2014. The drop quarter on quarter reflects lower throughput at Loulo during the quarter.

Other income of $1.8 million for the quarter includes management fees received from Morila and Kibali. Other expenses of $5.7 million compares to other income of $11.1 million in Q4 2014 and of $3.6 million in Q1 2014. These include operational exchange gains and losses incurred arising from the settlement of invoices in currencies other than the US dollar, as well as the translation of balances denominated in currencies such as the euro, South African rand and Canadian dollar to the US dollar rate and reflects movements in these currencies during the quarter. The increase in exchange losses quarter on quarter was mainly as a result of exchange losses incurred on VAT and tax prepayments in Mali which are effectively denominated in CFA which depreciated by 12% against the US dollar quarter on quarter.

Share of profits from equity joint ventures decreased by $2.2 million and by 7% from the previous quarter and increased by $1.5 million and 5% from the corresponding quarter in 2014. The decrease quarter on quarter is the result of reduced production and profits at Kibali during the quarter, partially offset by increased production and profits at Morila. The increase from the corresponding quarter in 2014 is due to increased production and profits at Kibali. Share of profits of equity joint ventures include profits from Morila, Kibali and the group's asset leasing joint ventures.

Income tax expenses of $9.7 million decreased by 49% quarter on quarter and by 58% from the corresponding quarter in 2014. This is mainly due to decreased profits from Loulo, following the drop in grade and production in the current quarter.

Basic earnings per share decreased by 4% to $0.52 (Q4 2014: $0.54) and decreased by 35% from Q1 2014, following the movements in profit described above.

LOULO-GOUNKOTO COMPLEX

The combined quarterly gold production for the Loulo-Gounkoto complex was 129 233oz (Loulo 71 065oz (55%) and Gounkoto 58 168oz (45%)), 5% down on the previous quarter (Q4 2014: 136 130oz). Tonnes processed during the quarter decreased slightly to 1 071kt (Q4 2014: 1 075kt)on the back of downtime associated with the primary mill gearbox failure which resulted in one week of lost production. Production was also impacted by power interruptions associated with the interim solution for the medium voltage switch gear and distribution upgrade, as well as a 2% drop in the head grade milled to 4.3g/t. These issues, together with a reduction in the oxygen distribution and a change in the ore blend, resulted in a drop in recoveries to 88.0%. Oxygen aerators have been replaced and Ekato agitators have been installed to improve oxygen dispersion and crushed ore stockpiles' management is being addressed to improve ore blending. Not withstanding the drop in production, total cash cost per ounce of $775/oz was in line with the prior quarter (Q4 2014: $770/oz), reflecting in part the impact of the lower oil price and the weakening euro.

The gravity circuit expansion has now been commissioned, which is expected to improve gravity recovery going forward.

LOULO-GOUNKOTO COMPLEX RESULTS

1 Refer to explanation of non-GAAP measures provided.

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

LOULO

One Lost Time Injury (LTI) was recorded during the quarter with a Lost Time Injury Frequency Rate (LTIFR) of 0.71 per million hours worked similar to the rate recorded in the previous quarter.

On a standalone basis, Loulo produced 71 065oz of gold (Q4 2014: 93 963oz) at total cash cost of $849/oz (Q4 2014: $805/oz). The decrease in production was due to a 21% decrease in tonnes processed, partially as a result of the primary mill gearbox failure, power interruptions, a decrease in head grade and a reduction in recoveries. The drop in production resulted in an increase in total cash cost per ounce.

Profit from mining of $27.8 million was 22% lower than the previous quarter of $35.5 million, reflecting the lower gold production and gold sales, higher cash costs and partially offset by a higher average gold price received.

LOULO STANDALONE RESULTS

Randgold owns 80% of Société des Mines de Loulo SA (Loulo) and the State of Mali owns 20%. 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.

1 Refer to explanation of non-GAAP measures provided.

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

Loulo underground

At Loulo, the underground decline development has progressed to depths of 522m at Yalea and 505m at Gara. Decline development to date is 4 153m at Yalea and 4 030m at Gara.

Ore hoisted was in line with the previous quarter but grade was down to 4.2g/t due to development of areas of narrow ore. Development is now moving out of the narrow zones and grades mined should increase correspondingly.

As highlighted in the previous quarter, following a review of the underground mining activities, Loulo will move from outsourced contract mining to owner operated mining. Agreement has been reached with the contractor for the mine to take over all the underground mining operations with effect from 1 November 2015. This will allow for the lead times necessary for the mine to acquire and commission a new underground mining fleet and to finalise all other aspects of the transition. Owner mining places all the mining expenditure under management control, eliminates duplication of functions, increases the ability to localise key positions, reduces financing costs and offers further opportunity to optimise unit costs. The estimated additional capital cost relating to this project is approximately $70.0 million, including expenditure for an additional 2 200 metres of development in 2015. The change to owner mining is expected to reduce the relevant costs by some 10% to 15% from 2016 and removes the amortisation cost of the mining machinery from cash operating costs. Consequently, Loulo (on a stand-alone basis) is forecast to reduce its total cash costs per ounce by approximately 6% from 2016.

UNDERGROUND RESULTS

Loulo mineral resources and ore reserves update

Ore reserves were down slightly on the back of mining depletion but partly offset by the small gain in the Baboto satellite open pit. A drill programme targeting orebody extensions is underway at Yalea and Gara that will look to replace mineral resources and ultimately ore reserves.

The mineral resource and ore reserve base for Loulo at the end of 2014, along with a comparison to figures at the end of 2013, is tabulated below:

LOULO MINERAL RESOURCES AND ORE RESERVES

1 Open pit mineral resources are the in situ mineral resources falling within the $1 500/oz pit shell reported at an average cut-off of 0.5g/t. Underground mineral resources are those in situ mineral resources of the Yalea and Gara deposits that fall below the design pits and are reported at a cut-off of 1.7g/t for Yalea and 1.5g/t for Gara. Mineral resources 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.

2 Open pit ore reserves are reported at a gold price of $1 000/oz and an average cut-off of 1.1g/t and include dilution and ore loss factors. Open pit ore reserves were calculated by Mr Shaun Gillespie, an officer of the company and competent person. Underground ore reserves are reported at a gold price of $1 000/oz and a cut-off of 2.5g/t for Yalea underground and 2.2g/t for Gara underground and includes dilution and ore loss factors. Underground ore reserves were calculated by Mr Andrew Fox, an independent consultant and competent person.

3 Attributable gold (Moz) refers to the quantity attributable to Randgold based on its 80% interest in Loulo.

Mineral resource and ore reserve numbers are reported as per JORC 2012 and as such are reported to the second significant digit. Refer to comments and US disclaimer in this report.

GOUNKOTO

No LTIs were recorded during the quarter in line with the previous quarter.

On a standalone basis, Gounkoto produced 58 168oz of gold (Q4 2014: 42 166oz) at a total cash cost per ounce of $681/oz (Q4 2014: $690/oz). The increase in production was due to a 50% increase in tonnes processed but offset by a 6% reduction in head grade milled and 1% drop in recoveries.

Profit from mining for the quarter of $31.4 million was higher than the previous quarter's $20.9 million, reflecting the higher gold production and gold sales as well as the higher average gold price received.

A further dividend of $25.6 million was declared and paid to shareholders in February 2015.

GOUNKOTO STANDALONE RESULTS

Randgold owns 80% of Société des Mines de Gounkoto SA (Gounkoto) and the State of Mali 20%. Randgold consolidates 100% of Gounkoto and shows the non-controlling interest separately.

1 Refer to explanation of non-GAAP measures provided.

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

Mining

Gounkoto delivered positive results in terms of ore tonnes mined and associated mining costs. Ore tonnes mined increased 22% on the previous quarter, in line with plan, to build up stockpiles for the rainy season and to facilitate blending of ore on the Loulo ROM pad.

Terratec Geophysical Services have mobilised to site to complete the televiewer logging of the geotechnical holes aimed at verifying the ground conditions for the ventilation raises of the underground project. Two adits together with ground support will be completed in the pit this year to prepare the holing positions of the ventilation raises.

Testing of dust control methods for the Gounkoto to Loulo haul road commenced during the current quarter with the objective of selecting a commercially viable dust control method.

Gounkoto mineral resources and ore reserves update

Drilling and updated modelling of the open pit reserves has resulted in the replenishment of the mining depletion during 2014, while the completion of the Gounkoto underground feasibility study has confirmed the declaration of an underground reserve. Total reserves for Gounkoto have now increased to over 3Moz.

The mineral resource and ore reserve base for Gounkoto at the end of 2014, with a comparison to figures at the end of 2013, is tabulated below:

GOUNKOTO MINERAL RESOURCES AND ORE RESERVES

1 Open pit mineral resources are the in situ mineral resources falling within the $1 500/oz pit shell reported at a 0.9g/t cut-off. Underground mineral resources are those in situ mineral resources below the $1 500/oz pit shell reported at 2.0g/t cut-off. Mineral resources were generated by Mr Sekou Diallo, an officer of the company, under the supervision of Mr Jonathan Kleynhans, an officer of the company and competent person.

2 Open pit ore reserves are reported at a gold price of $1 000/oz and 1.3g/t cut-off and include dilution and ore loss factors. Open pit ore reserves were calculated by Mr Shaun Gillespie, an officer of the company and competent person. Underground ore reserves are reported at a gold price of $1 000/oz and a cut-off of 3.0g/t and include dilution and ore loss factors. Underground ore reserves were calculated by Mr Tim Peters, an independent consultant and a competent person.

3 Attributable gold (Moz) refers to the quantity attributable to Randgold based on its 80% interest in Gounkoto.

Mineral resource and ore reserve numbers are reported as per JORC 2012 and as such are reported to the second significant digit. Refer to comments and US disclaimer in this report.

MORLA

No LTIs were recorded during the quarter in line with the previous quarter.

On the back of increased ore delivery from the Pit4S pushback project, the mine produced 50 917oz of gold during the quarter, a 40% increase on the previous quarter (Q4 2014: 36 373oz). Morila successfully completed the mining of Pit4Sat the end of the quarter, in line with plan, which delivered 939kt of ore at 2.9g/t (88koz). However, plant throughput of 718kt for the quarter was 18% lower than the previous quarter resulting from the suspension of TSF wall mechanical mining due to lower grade material at the mining location. Despite the lower throughput, the recovery increased by 2% to 91.8% compared to the previous quarter as a result of the higher head grade milled.

Capital expenditure for the quarter amounted to $2.7 million (at 100%). The team is currently focusing on the transition to TSF processing, scheduled for the end of Q3 2015. Construction in respect of the TSF reclamation system was completed at the end of April 2015 to allow for the decapping of the TSF into the pit to start in May 2015. As such, Q2 and Q3 production will be based on rehandling and processing the remaining stockpile from the pushback project and the previous mineralised waste stockpile. The mine is engaged in a rightsizing exercise, in line with the forecast reduction in activities at the site, in order to ensure the TSF retreatment project can be successfully completed.

The Malian Minister of Mines and the Minister of Rural Development visited Morila to confirm their support and assistance for the agribusiness project implementation for the mine closure. Several potential investors have also been contacted to make proposals in respect of sustainable agribusiness projects.

MORILA RESULTS

Randgold owns 40% of Société des Mines de Morila SA (Morila) with the State of Mali and joint venture partner AngloGold Ashanti Limited, owning 20% and 40% respectively. The group equity accounts for its 40% joint venture holding in Morila.

1 Refer to explanation of non-GAAP measures provided.

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

Morila mineral resources and ore reserves update

The mineral resource and ore reserve base for Morila at the end of 2014, with a comparison to figures at the end of 2013, is tabulated below:

MORILA MINERAL RESOURCES AND ORE RESERVES

1 Open pit mineral resources are those located within the $1 300/oz pit shell reported at $1 500/oz cut-off of 0.58g/t. Stockpile mineral resources are also reported at a $1 500/oz gold price and reported at a 0.57g/t cut-off. TSF mineral resources are reported at a $1 500/oz reported at a 0.33g/t cut-off. Open pit mineral resources were generated by Miss Paula Ogilvie, independent consultant, under the supervision of Mr Jonathan Kleynhans, an officer of the company and competent person. TSF mineral resources were generated by BMRE independent consultants, under the supervision of Mr Jonathan Kleynhans, an officer of the company and competent person.

2 Open pit ore reserves are located within a $1 300/oz pit shell, but reported at a $1 000/oz cut-off grade of 0.87g/t. Stockpile ore reserves are reported at $1 000/oz cut-off grade of 0.85g/t. TSF ore reserves are reported at a $1 000/oz cut-off grade of 0.50g/t. Ore reserves were calculated by Mr Shaun Gillespie, an officer of the company and competent person.

3 Attributable gold (Moz) refers to the quantity attributed to Randgold based in its 40% interest in Morila.

Mineral resource and ore reserve numbers are reported as per JORC 2012 and as such reported to the second significant digit. Refer to comments and US disclaimer in this report.

TONGON

As reported in the previous quarterly report, one fatality occurred in Q1 on the 12 January 2015. Mine-wide safety procedures have been reinforced to improve the systems in place. In addition, one LTI occurred in Q1 compared to zero LTIs in Q4 2014.

Tongon produced 57 271oz of gold in Q1 2015, 2% above the previous quarter, as a result of a 7% increase in tonnes processed. Recovery remained in line with that achieved in the previous quarter. Teething issues previously experienced during the transitioning and commissioning of the new upgraded crushing circuit were resolved in the quarter. Consequently, tonnes processed during the quarter increased to 1 011kt (Q4 2014: 942kt) and total cash cost per ounce decreased to $798/oz (previous quarter: $811/oz) on the back of improved throughput and lower operating costs, partially offset by slightly lower grade. In addition, the specific sections of the tailings pipeline that caused extensive unplanned mill downtime in the previous quarter, were changed out in Q1.

Tongon's power supply costs were impacted in March 2015 by CIE grid power supply reductions and a step up of CIE power outages experienced as a result of the unavailability of sufficient gas and hydro resources to power the national grid. This scenario is expected to continue to mid-May, necessitating the use of diesel generated power for approximately 10 hours per day. Communication between the CIE national supply authority and Tongon has been increased to ensure effective grid utilisation and smooth synchronisation during extended planned power outage periods.

The mine has identified the need for additional crushing capacity and preliminary designs have been drafted for the installation of additional Hydrocone crushers and associated facilities. Final designs are underway and long lead items have been procured to enable installation and commissioning in Q3 which is estimated to cost approximately $5.0 million. The cost for the additional crushing capacity will be shared between Sandvik and Randgold in a 50/50 commercial agreement.

Total tonnes mined decreased by 5% compared to Q4 2014, mainly as a result of lower mobile fleet availability. Ore mining occurred in planned cut backs and in softer areas, which enabled a 3% increase in ore tonnes mined compared to Q4 2014. Mining continued to focus on excavator and truck productivity improvements. Mining costs were well contained and decreased quarter on quarter.

The Rougher Flotation expansion final phase was completed at the end of Q1 as planned. Debugging and optimising of the new flotation circuit and training of operators to obtain the targeted upper 80s percentile recovery rate continued into Q2. Concentrate mass pull and fine grind have improved significantly subsequent to the flotation expansion. Fine tuning of the flotation and Carbon in Leach (CIL) circuits operating parameters, reagent additions, fine grind and calibration of automated controls, to sustainably float and treat the sulphide concentrates effectively, is in progress.

Gold sold for the quarter compared to the previous quarter was marginally lower at 56 071oz with profit from mining activity increasing by 6% to $23.2 million, reflecting the lower costs and slightly higher average gold price received.

TONGON RESULTS

Randgold owns 89% of Société des Mines de Tongon SA (Tongon) with the State of Côte d'Ivoire and outside shareholders owning 10% and 1% respectively. 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.

1 Refer to explanation of non-GAAP measures provided.

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

Tongon mineral resources and ore reserves update

Open pit ore reserves mined during 2014 were replenished through grade control gains during the year. Drilling is currently underway to further infill drill the remaining portion of the SZ pit to verify whether further gains can be achieved. A drilling programme is also planned to test the potential for higher grade material immediately below the current $1 000/oz pit design which could potentially extend the pit deeper.

The mineral resource and ore reserve base for Tongon at the end of 2014, with a comparison to figures at the end of 2013, is tabulated below:

TONGON MINERAL RESOURCES AND ORE RESERVES

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

2 Open pit ore reserves ore reported at a gold price of $1 000/oz and 0.8glt cut-off and include dilution and ore loss factors. Open pit ore reserves were calculated by Mr Shaun Gillespie, an officer of the company and competent person.

3 Attributable gold (Moz) refers to the quantity attributed to Randgold based in its 89% interest in Tongon SA.

Mineral resource and ore reserve numbers are reported as per JORC 2012 and as such reported to the second significant digit. Refer to comments and US disclaimer in this report.

KIBALI

At Kibali, two LTIs were recorded during the quarter for a LTIFR of 0.76, an improvement on the prior quarter of three LTIs recorded.

Kibali continued the progress made last year, with improved recovery contributing to production. Gold production of 161 468ozfor the quarter was down 9% on the prior quarter reflecting the drop in head grade milled to 3.6g/t (Q4 2014: 4.1g/t), in line with plan. Open pit mining delivered according to plan and within budget. In addition the mine established its underground stoping operation and is well positioned to ramp up the production of underground ore during the year as planned. In addition, the mining of Mengu Hill, the third satellite pit, commenced in Q1. The cash cost for the quarter increased to $611/oz (Q42014: $549/oz) on the back of the lower production as well as higher plant engineering costs.

Profit from mining decreased to $98.4 millionin line with the decrease in production compared to Q4 2014.

KIBALI RESULTS

Randgold owns an effective 45% of Kibali Goldmines SA (Kibali) with Société Minière de Kilo-Moto SARL (Sokimo) and AngloGold Ashanti Limited owning 10% and 45% respectively. The group equity accounts for its 45% joint venture holding in Kibali.

1 Refer to explanation of non-GAAP measures provided.

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

Construction of the metallurgical facility and infrastructure

The construction of Ambarau, the second, 11MW hydropower station made substantial progress during the quarter and first power is expected to be delivered by the end of Q3 2015. Cold commissioning of the paste backfill plant is currently in progress and on schedule to begin operationsin Q2 2015.

Declines

Decline development continued on schedule during the quarter. Scheduled production levels from the upper level stopes were reached, resulting in more ore tonnes mined than forecast. The focus in Q2 will be to increase the drill stocks so as to allow for the planned ramp up in production during the third quarter. Back filling of the primary stopes mined in Q1 is also expected to begin in Q2 to allow mining access to the secondary stopes later in the year.

KIBALI UNDERGROUND DECLINE RESULTS

Vertical shaft

As per the plan, there was no vertical shaft sinking undertaken during the quarter, with focus on the off-shaft development. The total shaft depth, therefore, remains at 720m. The shaft development remains ahead of schedule.

KIBALI VERTICAL SHAFT RESULTS

Capital expenditure

Capital expenditure for the quarter and year to date amounted to $61.5 million (at 100%). As previously reported, Phase 1 capital was completed at the end of 2014 and the estimate for Phase 2 of the project remains in line with previous guidance.

Satellite Pits

During the quarter the 35koz inferred material was targeted within the $1 000/oz pit at the Gorumbwa pit, producing varied results. Inferred ounce conversion as well as mineralised gains were realised from the ability to access material below the dewatered old Belgian pit. Converting waste to ore within the $1 000 pit design has allowed the optimisation of the revised whittle shell to go deeper and has included additional down plunge ounces for a total of 385koz indicated ounces at 2.97g/t.In addition, the Megi prospect has been identified as an alternative option to integrate open pitable material into the five year mine schedule. Initial appraisals highlighted a low angle, tabular shaped orebody, with relatively little structural complexity and consistent mineralisation along strike, which hosts high grade northeast plunging shoots. Megi is an inferred resource consisting of 3.4mt at 1.93g/t for 210koz, with a strip ratio of 2.3 within a $1 000/oz whittle optimisation pit. Further optimisation was also undertaken on the Mengu Hill satellite pit based on the April update of the block model, realising a 45% increase in the reserve, which now stands at 422koz at 3.5g/t. There is also potential of converting a further 147koz of inferred material down plunge taking the total resource to 569koz at 3.23g/t.

Kibali mineral resources and ore reserves update

Ore reserves are down on the back of mining depletion and orebody updates being partially offset by gains from underground reserves and the addition of reserves at the Gorumbwa and Mofu pits. There is also further opportunity to convert inferred resources into reserves in 2015, mainly at the Megi deposit.

The mineral resource and ore reserve base for Kibali at the end of 2014, with a comparison to figures at the end of 2013, is tabulated below:

KIBALI MINERAL RESOURCES AND ORE RESERVES

1 Open pit mineral resources are the in situ mineral resources falling within the $1 500/oz pit shell reported at a cut-off of 0.5g/t. Underground mineral resources are those in situ mineral resources at the KCD deposit that fall below the 5 685 metre 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.

2 Open pit ore reserves are reported at a gold price of $1 000/oz and an average cut-off of 0.9g/t and include dilution and ore loss factors. Open pit ore reserves were calculated by Mr Nicholas Coomson, an officer of the company and a competent person. Underground ore reserves are reported at a gold price of $1 000/oz and a cut-off of 2.4g/t and include dilution and ore loss factors. Underground ore reserves were calculated by Mr Tim Peters, an independent consultant and a competent person.

3 Attributable gold (Moz) refers to the quantity attributable to Randgold based on its 45% interest in the Kibali gold mine.

Mineral resource and ore reserves are quoted as per JORC 2012 guidelines and thus reported to the second significant digit. Refer to comments and US disclaimer in this report.

This quarter we have made strong progress across our portfolio and at all stages in the resource triangle, from generative and new business through to brownfields projects and resource conversion programmes. Twelve drill rigs have been operational on our brownfields projects across West and Central Africa during the quarter and the greenfields exploration teams have continued their work along the major targets in our portfolio, the MTZ in Senegal, the Senegal Mali Shear in Mali, the Boundiali and Senefou belts in Côte d'Ivoire and the KZ structure in North East Democratic Republic of Congo (DRC). In particular, the results this quarter are showing good potential for additional resources and reserve conversion at Loulo and are reinforcing a very interesting greenfields target at Fonondara on the Boundiali permit in Northern Côte d'Ivoire where surface work, in the form of pitting and trenching, has identified a significant mineralised system over 2km of strike which will be drill tested in Q2.

As reported previously, the Randgold exploration function has been completely overhauled in the last year with new senior management in place. In line with the emphasis we place on new business and generative work as part of our long term exploration strategy, we have recently reached agreement with two senior geologists to join our generative team to spearhead our transition into new areas and projects. Mike Skead, who will join as group new business manager from July, has 25 years of experience in exploration and project evaluation, with particular emphasis in the east and central Africa regions including the DRC where, from 2004 to 2007, he served as the vice president of exploration for Banro Corporation. He is currently interim CEO of Kilo Goldmines and is the vice president project evaluation with Dundee Resources Limited. Andrew Alibone is a senior consultant with extensive global experience, who has worked for Randgold in recent years across our projects and will provide the technical input on generative work from project to continental scale. Additionally, Paul Harbidge, the previous GM exploration at Randgold will continue to provide strategic input at a group level. This addition complements our existing generative team and creates a world-class department focused on the hunt for Africa's next world-class gold district.

MALI

Gounkoto

At Gounkoto, we completed five drill holes beneath the current $1 000/oz pit shell, testing narrow high grade plunging lodes which form at the intersection of differently oriented footwall and hanging wall structures. All holes intersected the target structure as modelled, however results have generally been weak. In MZ3 in the north of the deposit, drill hole GKDH432 returned 10.8m at 1.02g/t down plunge to the north of the underground resource. In the MZ1 underground target in the south of the deposit, only one of the three holes testing the plunging high grade rods beneath the pit returned a stronger intersection than the model, with 20.2m at 3.78g/t being intersected in hole GKDH446. It is thought that the high grade shoots are either far narrower than expected or are pinching out down plunge.

Exploration work around the deposit continues and includes field work at Gounkoto SW as well as ongoing generative work on existing targets. Faraba West and Toronto South have both been identified as targets with potential and which require further work.

At Gounkoto SW the team has identified narrow mineralised structures grading between 1.5g/t and 5.5g/t in trenching to the west of the existing target where historical drilling returned wide zones of alteration and anomalism in RC drilling: GSWRC11 - 12m at 1.12g/t from 40m, GSWRC03 - 28m at 0.82g/t from 152m, including 2m at 4.61g/t; and GSWRC13 - 4m at 1.59g/t from 248m. A model incorporating all results is being built, as much of the target, which is a NNW structure which transects the lithological layering, is under thick transported material and would require drilling to test it.

Loulo

At Loulo, the greenfields work conducted this quarter has focused on further generative work with the aim of better understanding and targeting the large structures which have acted as strain and fluid conduits across the permit. Further structural mapping and interpretation has been completed and builds on the recently surveyed ground IP data. This work highlights five principal structures which run N-S to NE-SW across the permit and these are now being further assessed to generate specific targets for drill testing.

At the same time the team has progressed the Yalea North target through mapping, pitting and trenching. However work has been restricted due to the thick overburden across much of the target area. This limits the amount of surface work which can be carried out on the six conceptual targets across the area, which lies immediately north of the Yalea deposit, and work has focused on refining the geological and structural interpretations to highlight potential in the area for follow up work. Trench YNTR01 returned 8m at 1.03g/t from altered quartzites and breccias to the north of the P125 pit, and the geological interpretation for the target area has been significantly modified.

Loulo underground

Deep drilling on both the Gara and Yalea deposits started this quarter with the aim of scoping out areas of inferred ounces which can be converted into indicated resources. Additionally we are stepping out from the limits of the existing deposits to identify areas of new high grade ore. At Gara the latest of three holes drilled into the target area to the immediate south of the block model confirmed the structure to be strongly altered and mineralised with a result of 6.8m at 1.76g/t (TW 5.47) from 683.2m, including 3.25m at 3.29g/t from typical Gara-style mineralisation. Drilling of a fourth drill hole is in progress which, if positive, would confirm the potential of this target area to be around 400 000oz and would be targeted for conversion to inferred resources this year. At the same time two holes at the base of the Gara deposit returned 5.30m at 5.28g/t from 909.5m for hole L0CP191 and 11.06m at 1.24g/t in L0CP192, confirming again that the Gara system at depth is open and strongly mineralised and altered.

At Yalea, hole YaDH19 testing the potential extension of the high grade ore in the south intersected 11.3m at 12.1g/t and will thus be followed up with further drilling this quarter. Drilling at depth in the centre of the deposit intersected 7.55m of moderate mineralisation while hole YaDH12 intersected 5.15m at 3.08g/t. Three other holes are still in progress. These holes are targeting mineralisation at down hole depths of between 900m and 1 000m so drilling progress is relatively slow. The first phase of conversion drilling at Yalea will provide us with added geological information to enable us to more accurately project target structures beyond the current limits of the deposit for testing in Q2.

Mali West

Bakolobi (Taurus JV)

At Bakolobi the first phase of trenching across the permit has been completed. Nine trenches in total have now been excavated over zones of bedrock mineralisation, identified through the initial reconnaissance RC drill programme which allowed us to rapidly locate mineralised structures beneath thick transported material. Results from these trenches this quarter have included: BKTR006 -20.13m at 1.59g/t; BKTR004 - 23.70m at 0.61g/t; BKTR009 - 24.60m at 0.23g/t; and BKTR005 - 14.96m at 3.83g/t including 6.25m at 7.71g/t and 11.45m at 1.94g/t including 3.50m at 5.39g/t. These results have shown that the mineralised structures dip uniformly to the west and that the highest grades are associated with the intersections of NW and NNE-NS striking structures.

The most interesting target area to come out of this work is the southern extension of the Koliguinda target where a left hand flexure in the target would be dilatational in a largely sinistral system such as the SMS and is the target which has, to date, returned the strongest results (shown above). It is also in an area which is intersected by a major NW structure interpreted to be a transverse fault in the original belt architecture, and where transported gravels are thickest. Pitting is currently in progress across the target which has been prioritised for further work. The other targets in the permit are still thought to be prospective with widths at surface averaging approximately 20m and grades of between 1g/t and 2g/t.

Legend JV

Work is continuing along the Senegal Malian shear in the Legend project, which strikes over 18km within the permit area and is located immediately to the south of the Sadiola project. Both trenching and pitting has been ongoing through the quarter on targets close to the Kofi formation boundary in the area of influence of the Senegal Mali shear and has focused on the anomalous contacts of carbonate and siliciclatic rocks which provide a key chemical and rheological contrast in this district.

At Woyanda partial results received from a groove returned 5.60m at 0.30g/t, 8m at 0.37g/t, and 4m at 0.39g/t while at Souroukoto a trench excavated over mineralised lithosamples at the formation boundary returned 7.80m at 0.75g/t. Work is still in progress over these targets and a number of untested soil anomalies still exist and will be the focus in Q2.

Bena

The Bena project locates to the immediate south of the Gounkoto permit. At Boulandissou, a 3km strike length target was previously generated which incorporated a number of historical mineralised intersections and samples and this target is the sole focus of work on the project at present. A Phase 1 programme of trenching and grooving was completed during this quarter consisting of three trenches and one groove. Previous results on the target include 26m at 3.53g/t from trench BNT02 in the north and 13m at 1.57g/t from RC drill BORC02 in the south. This quarter a trench over RC holes BORC02 returned 12.87m at 2.04g/t and confirmed the west-dipping nature of the mineralised structure. Groove BGV010 returned 12.6m at 1.84g/t to the immediate east of the main target structure and the other excavations returned no significant intersections. Further follow up work is planned for Q2.

Morila

Work on the near mine conceptual targets at Morila continued this quarter with the relogging of holes across the SE of the permit around the previously identified Target B where coincident features associated with the Morila deposit such as flat foliation, high temperature leucosome/quartz plagioclase veins, tonalite intrusives, Mg-rich biotite and arsenopyrite mineralisation were identified. These features have now been mapped across a wider area and are thought to show elevated prospectivity where more of the features coincide. The features are also common in the hangingwall of Morila and may identify areas where the existing drilling has not tested mineralised structures at depth. The relogging and mapping programme is in progress.

SENEGAL

Massawa

At Massawa, the orientation drilling programme in the Central Zone (CZ) was completed. This programme consisted of over 6 000m of close spaced RC drilling at 10m by 15m spacing down to 100m, in order to understand the short-distance geological variability in this part of the deposit. Grades within the mineralised structures in the CZ are known to be erratic due to the presence of coarse gold in a system of late structures which are exploited by quartz/stibnite veins. All samples are also submitted for a 2kg leachwell analysis to mitigate the nugget effect in the analysis. The purpose of the programme is to enable us to determine the inaccuracies within our existing estimates of the Massawa orebody in order to make a decision on how to approach the remaining part of the feasibility study.

Most of the results for the programme are still pending, however results for two drill lines have been received and confirm the location of the mineralised lodes relative to the model with adjustments in width and location required on each line. The infill drilling shows that the Phase 2 quartz stibnite structures are more complex than previously mapped from the 50m by 50m drilling and are very variable in width and grade and can split into several separate sub-parallel structures over a significant strike length of the CZ. Their recognition and modelling, however, will enable us to more accurately estimate the CZ deposit. We expect this work to reduce the tonnes and increase the grade relative to our existing resource estimate at Massawa.

This quarter we have also completed the analysis of oxide samples from shallow drilling in both the CZ and Northern Zone (NZ). This work was completed by leachwell analysis as well as fire assay and screen fire assay to ensure that no uncertainties remain regarding the reported grades of our samples. The CZ averages for the full oxide dataset shows leachwell assay data is 10% higher than Fire Assay data with leachable gold equating to around 90% of the sample. In the NZ total BLEG data is on average 3% higher than fire assay with leachable gold in the oxides of around 75%, probably because of the presence of some soft sulphide ore and carbonaceous material. The testwork on fresh ore in the CZ has confirmed that a high proportion, of up to 60%of the mineralisation is free leaching.

The team is also currently relogging and examining other geological features of the Massawa deposit in addition to the quartz-stibnite structures, such as the age and types of intrusive rocks in the deposit and the folding of the volcano-sedimentary sequence which hosts the deposit. The analysis of these results, including all recent drilling in the central and NZ will be completed in Q2 and a decision on the next phase of the feasibility study will be taken at this time.

CÔTE D'IVOIRE

Nielle

At Tongon, the modelling of the skarn system has continued and when combined with recent infill drilling results in the pit, provides a powerful tool for projecting structures beyond the limits of the current drill coverage. A drill programme testing the base of the pit in the north of the Southern Zone has been designed and drilling is due to commence in early Q2. The aim of the programme is to confirm additional, high grade structures, thereby reducing the strip ratio and enabling the ore to be accessed from the open pit. The Yvette West target was prioritised within the 20km Bladonon corridor target in the SW of the Nielle permit and mapping and sampling this quarter identified silicified volcaniclastics/tuffs, sheared and locally folded argillites and carbonaceous shales with lithosamples returning significant values up to 9.63g/t from silicified tuffs.

Mankono

On the Mankono permit, the team is defining two styles of mineralisation on the priority two Bongogo target. One is a strong EW striking quartz-tourmaline veining system controlled by brittle fabrics in a regional fold axis. Trenching across this system has returned 73.30m at 1.76g/t. Further pitting and rock sampling has extended the mineralisation 600m towards the west with strong results of 6.48g/t, 11.20g/t and 26g/t from pits and up to 42.90g/t in quartz-tourmaline vein samples. Follow up trenches are being excavated over these results.

800m to the NE, the second style of mineralisation is controlled by discrete dextral NS shears with moderate silicification and strong magnetite and coarse grained pyrite, located on the eastern limb of the regional fold. The best intersection to date is 23m at 1.25g/t including 7m at 3.05g/t and work this quarter has returned weaker intersections along strike, including 10.10m at 0.36g/t.

Fapoha

At Fapoha work has progressed on the two main target areas, both in the north of the permit and in the south, with both featuring multi-kilometre gold-in-soil anomalies at the sediment-volcanic lithological contact. At Ouboulo in the south, further trenching over the 12km target has returned results from a brittle veiny system, including 27m at 1.20g/t, 6m at 2.36g/t and 5m at 2.87g/t. The trenches so far are confirming the continuity within volcaniclastics in contact with massive andesites and a quartz-diorite intrusion. Structures are generally a thin fracture network associated with narrow shear bands developed at the margin of the quartz-diorite. Work continues along strike. In the north of the Fapoha permit, infill soil anomalism has defined six targets within a 19km anomalous trend and field validation and pitting to understand the regolith has commenced.

Boundiali

At Fonondara in Boundiali, the team has discovered a significant mineralised system. Previously reported results had defined a zone of mineralisation within an anomalous envelope. The mineralised shear zone, which dips steeply to the east, locates on the eastern margin of a massive andesite where it is in contact with interbedded tuffs and argilites. This structure has been extended to over 2.2km this quarter through extensive trenching and pitting which returned a wide zone of alteration (up to 57m) including 13m at 1.56g/t and 6m at 2.10g/t (open to the west) from FSTR011 in the south and 14m at 1.00g/t and 23m at 1.28g/t from FSTR012 in the centre of the target. Overall the target structure averages 20m in width with a grade of 2g/t.

In the north of the target, previously reported FSTR008 intersected 16m at 2.5g/t (including 11m at 3.49g/t). Further work this quarter included four trenches excavated across FSTR008 to better understand the nature of a flat mineralised shear observed in the trench. This trenching, and pitting below it from within the trenches, revealed that the flat structure appears to have placed barren material on top of a significant mineralised structure which is up to 30m wide and has returned consistent high grade results across the zone with grades reaching 46g/t. Further pitting 50m south of FSTR008 confirmed the flat structure and the high grade mineralisation beneath it. Intersections from contiguous pits at 5m spacing across the target zone beneath the flat structure returned: FP442 - 6m at 5.36g/t (open at depth); FP423 - 7m at 4.68g/t (open at depth); FP424 - 7m at 7.24g/t (open at depth); FP425 - 7m at 3g/t (open at depth); FP428 - 4m at 4.51g/t (open at depth); FP434 - 6.70m at 8.71g/t (open at depth). A recent trench excavated across these pits has confirmed the alteration, deformation and mineralisation to be continuous. This newly discovered zone of mineralisation appears to be steeply east dipping like the original target (which is located approximately 50m in the footwall) with an average grade of 4.6g/t.

Significant potential exists from this target, which is open along strike and further highlights the potential for blind high grade mineralisation at Boundiali. The Fonondara target is located within a district scale gold-in-soil anomaly which strikes over 25km and occurs at the western margin of the Boundiali belt, which is the southern strike extension of the Syama belt in Mali. The Boundiali permit covers over 80km strike along this anomalous belt margin. Trench results of 28m at 1.26g/t, 12m at 3.9g/t and 10m at 4.12g/t within a 3km strike length at the Sani target, 15km to the north of Fonondara, are believed to be an extension of the Fonondara mineralised zone. A firstphase diamond drilling programme of 5 diamond holes to examine the 100m wide, mineralised system over the 2km strike at Fonondara will start in May.

Generative

The generative programme on the study of the sub-continental lithospheric mantle beneath major structures in Mali is progressing. Fieldwork has now been concluded, with all required samples taken across the two target structures and these samples are being processed in labs in Cape Town, Australia and New Zealand. Preliminary results from this work are expected to be reported between six and nine months from now due to sample processing rates in the laboratories.

DEMOCRATIC REPUBLIC OF CONGO

Kibali

Further resource conversion drilling was carried out at both Megi and Gorumbwa during the quarter, the conclusion of which is provided in the Kibali section of this report.

KZ structure - brownfields

Activities in 2014 progressed our understanding of the deformational history of the Kibali area and more specifically the mineralised KZ structure. This quarter the teams focused on the analysis of the information used to identify targets along the structure and reranked the targets after ground truthing and field validation of information, based on the potential to host a new multi-million ounce standalone deposit or an economic satellite deposit. The analysis and ranking exercise generated a portfolio of 28 targets. A ranking of the portfolio identified Kanga Sud (1), Ikamva-Kalimva (2), Sessenge SW (3), Oere-Libala (4), Tete Bakangwe (5), Megi (6) and Mengu Hill W (7) as the areas with the highest potential of delivering a new multi-million ounce orebody.

However, the focus on the KZ structure continues with further review of the strike extension to the south of KCD beyond the Sessengue South/9000 lode target. In the KCD area work is also focused on mapping the continuity of the folded F1 structure which marks the contact between clastic siliceous rocks with carbonaceous/ferruginous units in the KCD pit. The ore lodes of the KCD deposit occur close to this faulted contact around the hinges of a recumbent F2 fold which has been overprinted by a second fold event, both of which have NE plunging hinges, thought to control the distinctive rod-like nature of the mineralised lodes at Kibali. These recumbent folds may be a more regional feature and are likely to be blind and a number of brownfields targets are being reviewed where fold hinges are interpreted to locate. A drilling programme in Q2 will test these targets, as part of a programme to scope out deeper potential along the NE and NW striking sections of the KZ structure.

Five target areas were highlighted at Kanga Sud, a hill located 800m along trend to the NE of KCD. Trenching and geologic mapping advanced two zones based on a model of NE plunging F2 and F3 fold hinges developed proximal to NE trending shears.

In Zone 1, trench KGTR001 was excavated orthogonally to the NE plunge of an interpreted shoot, and returned 14m at 0.58g/t from 14m confirming a halo of low grade mineralisation. Trench KGTR0002 excavated down the interpreted plunge returned 28m at1.02g/t from 104m including 7.40m at 3.14g/t from 124.60m. The high grade is hosted by intercalated brecciated chert, metasiltstone and variable chlorite alteration.

Zone 2 is the more prospective, occurring on the NE trending ridgetop in the west. It has a 100ppb+ gold soil anomaly, lithosamples up to 2.07g/t and two historic RC holes that returned: AERC047 - 10mat1.44g/t (from 18m); and AERC049 -14m at 6.45g/t (from 20m). This quarter, trench KGTR006 was excavated down slope of the anomalous RC holes and orthogonal to the structural plunge and returned 144m at 0.61g/t (0m to 144m - LWA from saprock samples) including a higher grade zone of 46m at 1.02g/t (38m to 84m). The result highlights extensive low grade mineralisation in favourable host rocks with magnetite and silica alteration. The zone is part of an approximate 200m wide NE trending corridor parallel to the ridge within which complex NE plunging, asymmetric antiformal and synformal folds and 'egg carton' sheath like folds have developed. Work will continue on the target in Q2.

At Durba Hill, trenching has returned anomalous intersections of: DBTR0004 - 14m at 1.99g/t and 10.80m at 1.26g/t; and DBTR0003 - 10mat3.03g/t all hosted in brecciated chert and siliciclastic BIF in the hanging wall of the dolerite. Zones of alteration associated with mineralisation have also been identified in trenching in the footwall of the dolerite (DBTR0006).

KZ structure - greenfields

Ranked as first priority within the greenfield targets, Ikamva-Kalimva is considered to be one of the more prospective parts of the KZ structure with structural similarities to KCD. Eight trenches were excavated this quarter to investigate the extent of mineralisation and geologic controls in the priority Zone 1 target area. Trenches mostly returned thin intervals of mineralisation associated with ironstones, with one trench (IVTR0003) returning significant mineralisation of 9.1m at 3.24g/t from 72.9m and 11m at 3.87g/t from 88m, 18m at 1.51g/t from 122m and 16m at 1.18g/t from 142m. Follow up work will continue across the Kalimva Ikamva target in Q2.

KGL Isiro joint venture

On the Ngayu Belt, pitting and mapping over the 10km by 200m northwest trending Yasua and Yambenda soil anomalies has confirmed a folded ironstone and chert sequence with open asymmetric fold hinges undulating and plunging very shallowly to both the northwest and southeast. The folds are transgressed by a 10m to 15m wide auriferous shear zone. Mineralisation is associated with the shear as evidenced by pit saprock samples which returned anomalous values including 2.77g/t, 0.79g/t and 0.69g/t (Ngumba target); 0.29g/t, 0.79g/t and 0.41g/t (Bovo target); and 2.7g/t, 0.42g/t and 0.67g/t (Boti target). Further pit and trenching activities are planned. On the Mbese soil anomaly, field investigations and a data review failed to highlight any potential higher grade zones. The low tenor of assay results from infill soil, lithosamples and resampled Rio Tinto core indicate a lower prospectivity for this target and future work will focus exclusively on Yasua-Yambenda.

These results are presented as the first quarter ended 31 March 2015. They have been prepared in accordance with International Financial Reporting Standards as adopted by the European Union (IFRS) on a basis that is consistent with the accounting policies applied by the group in its audited consolidated financial statements for the year ended 31 December 2014, and which will form the basis of the 2015 annual report. No new or amended accounting standards effective for 2015 have had a significant impact on the group. This announcement has been prepared in compliance with IAS 34 - Interim Financial Reporting. These results do not include all the notes of the type normally included in an annual financial report. Accordingly, this condensed report is to be read in conjunction with the annual report for the year 31 December 2014, and any public announcements made by the group during the reporting period. While the information included in this announcement has been prepared in accordance with the recognition and measurement criteria of IFRS, this announcement does not itself contain sufficient information to comply with IFRS. The auditors' report for the year ended 31 December 2014 was unqualified and did not include references to any matters which the auditor drew attention to by way of emphasis without qualifying their report.

Property, plant and equipment cost increased by $35.3 million for the quarter ended 31 March 2015. Of this, $24.2 million was spent on underground equipment at Yalea and Gara, while $6.7 million was spent at Tongon, primarily on the float upgrade project.

The group's capital commitments (including its share of equity accounted joint ventures) at 31 March 2015 amounted to $80.1 million, with the majority relating to Kibali ($14.2 million attributable share) and the Loulo-Gounkoto complex ($61.5 million).

The long term ore stockpiles balance of $178.0 million relates to the portion of ore stockpiles at Loulo, Gounkoto and Tongon which are expected to be processed after more than one year, in line with the respective mine plans, and remains in line with the prior periods.

Investments in equity accounted joint ventures reflects the group's share of its equity accounted investments, mainly Kibali as well as Morila, and the group's asset leasing joint ventures. Other investments in joint ventures reflects the group's loans advanced to the group's asset leasing joint ventures.

The increase of $26.2 million in total investment in joint ventures for the quarter ended 31 March 2015 mainly reflects the group's profit share from equity accounted joint ventures ($28.4 million) and increased funding to the group's asset leasing joint venture ($2.8 million). This was partially offset by the loan repayment made by Kibali to the joint venture funders (Randgold and AngloGold Ashanti Limited) ($5.0 million attributable share).

Inventories and ore stockpiles (including the allocation of a portion to non-current) of $300.2 million were lower than the balance at 31 December 2014 of $304.5 million at 31 December 2014 by $4.3 million. This decrease was primarily as the result of a decrease in the gold in process balances at Loulo and Gounkoto.

Trade and other receivables (including the allocation of a portion to non-current) at 31 March 2015 of $211.7 million was in line with the prior quarter.

The total outstanding refundable VAT balances in Mali amount to $100.0 million (31 December 2014: $116.0 million) (including 100% of the Loulo and Gounkoto VAT receivables and the attributable portion of the Morila VAT receivable of $14.1 million). Morila, Loulo and Gounkoto have the legal right under the terms of their respective mining conventions to offset other taxes payable to the Malian State against these refundable VAT balances. Management continues to pursue the cash settlement of these VAT balances. The portion of the outstanding VAT balances which is not expected to be recovered within a one year time frame, amounts to $21.7 million, and is shown in the long term debtors (31 December 2014: $26.3 million). The group's share of the VAT balance at Kibali amounted to $51.0 million (31 December 2014: $50.5 million). The Morila and Kibali VAT balances are included in the group's investment in joint ventures line.

The group has received claims for various taxes totalling $310.0 million (31 December 2014: $313.0 million), in respect of the Loulo, Gounkoto, Tongon and Morila mines and the Kankou Moussa gold sales operation. Having taken professional advice, the group considers the claims to be without foundation and is strongly defending its position, including following the appropriate legal process for disputes within Mali. Accordingly, no provision has been made for the material claims. Loulo, Gounkoto and Morila have legally binding mining conventions which guarantee fiscal stability, govern the taxes applicable to the companies and allow for international arbitration in the event a dispute cannot be resolved in the country. Management continues to engage with the Malian authorities at the highest level to resolve this issue. During the prior year, Loulo submitted a request for arbitration at the International Court of the Settlement of Investment Disputes against the State of Mali in relation to certain of the disputed tax claims. The arbitration process is ongoing with hearings having taken place in Q1 2015, and the outcome of this process is expected to be concluded during 2015.

The increase in cash of $58.5 million since 31 December 2014 largely reflects strong operational cash flows from the Loulo-Gounkoto complex and Tongon mines ($109.4 million), reduced investments in equity accounted joint ventures, and partially offset by the group's continued investment in capital expenditure in its subsidiaries ($35.3 million).

Based on the company's current cash resources and facilities, projected operating cash flows and capital expenditure, the company is confident it will be able to meet its financial obligations at the prevailing gold price.

Trade and other payables of $139.2 million increased by 27% from the trade and other payables balance owing at 31 December 2014 of $109.4 million. The increase is principally due to the timing of payments to creditors.

Current tax payable of $27.2 million decreased by $5.0 million from 31 December 2014 due to corporation tax payments and offsets made at Gounkoto and Loulo during the quarter. Tongon benefits from a five year tax holiday from the start of production in December 2010.