Interim Management Statement

·; Quarterly production up 70% to 4,777 ounces ("oz").

·; Surface mining extended from June 2012 to 31 December 2012.

·; New surface exploration targets being investigated.

·; Underground production of 19,216 tonnes at a mined grade of 4.9 grams per tonne ("g/t").

·; On target to increase mill capacity by 70% to 20,000 tonnes per month.

·; Company cash flow positive, by US$1 million, for the first quarter of 2012.

·; Reduced rate of rise of the water level in the Central Basin.

2.1. Geology

Updated Main Reef Resources

The first quarter of 2012 ("first quarter") showed marked improvements in the resource base of the Company, with an updated resource statement resulting from work undertaken in February 2012. Sampling information collected during the past three years of surface and underground mining was incorporated into the already substantial sampling database and used to re-evaluate the Main Reef Resources underlying the Consolidated Main Reef ("CMR") area.

Decimal rounding may result in minor discrepancies in totals.

Surface Exploration

Exploration through systematic mechanical trenching, geological mapping and sampling continued through the first quarter, resulting in the identification and delineation of further open pit "Exploration Target" areas within the New Order Mining Right.

Note: The potential quantity and grade described by the term "Exploration Target" is conceptual in nature and there has been insufficient exploration to define a Mineral Resource. It is uncertain if further exploration will result in the definition of a Resource. Further exploration work is ongoing and includes trial mining and processing of this shallow target to establish grade and orebody continuity, mineability, dilution and throughput characteristics.

An additional open pittable target area, Avon Target, has been identified approximately 4km to the west of the current operations, representing a potential open pittable strike length of more than 1.5km. Current investigations comprising close spaced mechanical trenching (30m to 50m spacing) in the western 400m strike of this area, have yielded potentially economic grades and mining widths.

Trench results for the initial 560m of strike in the Avon Target.

2.2 Mining

Underground Mining

Just under 20,000 tonnes of underground ore was mined in the first quarter, which was largely in line with Central Rand Gold's production targets. The Company remains confident in achieving its production target of 12,000 tonnes per month during the second half of 2012.

Monthly underground production results

Surface Mining

Open pit production has held up well in the first quarter. However, the current pits at Slot 8, being New Unified Pit and Spencer Pit, are nearing the end of production. Production in these pits is envisaged to cease by mid June 2012. The Central Pit is being extended, and this has the potential to extend the surface mining for an additional three month period.

Monthly surface mining production results

The rehabilitation of the Main Pit has been completed, whilst rehabilitation of the Central Pit will continue once mining of the extended area has commenced.

2.3 Metallurgy

Gold production in the first quarter was 70% higher than last year at 4,777 oz, with 3,051 oz having been produced by the Company's own operating plant. The ore processing plant continued to perform above expectations during the first quarter showing an overall reduction in operating costs and a substantial increase in ore throughput and gold output. This was due to ongoing cost saving initiatives in the case of the former, and by engineering projects in the case of the latter.

Notes:

Due to the October 2011 production stoppage, September 2011 figures have been used instead of those of October 2011.

Minor capital items used in the upgrade of the Bateman Mill have been expensed for March 2012.

Plant availability remained high, ending the first quarter at 96%. Recoveries remained consistently positive, averaging just under 96% for the first quarter. Internal processing costs for the first quarter were reduced from US$27/tonne in the fourth quarter of 2011 to US$24/tonne.

Toll Processing

Toll processing of surplus ore at Mintails Limited's ("Mintails") Mogale facility continued throughout the first quarter with approximately 23,136 tonnes of mixed underground sulphide and low grade oxide being delivered to the Mogale facility.

Milling Upgrade

In February 2012, the Company embarked on a retrofit engineering project aimed at increasing the overall plant capacity by around 70% to 20,000 tonnes per month. This reconfiguration of the Bateman milling section was completed in March 2012 and is currently undergoing throughput trials. As the Bateman was utilised, the upgrade has come at an insignificant cost to the Company.

Central Rand Gold is pleased to announce that total plant throughput of just under 17,000 tonnes was achieved for the month of March 2012.

In addition, the upgrade will also reduce the Company's current reliance on the toll treating of Central Rand Gold's excess mine production.

2.4 Financial Update

The Company is pleased that it continues to remain cash flow positive, with cash and cash equivalents for the three months ended 31 March 2012 being US$6.3 million. This represents an increase from US$5.3 million as at 31 December 2011.

2.5 Acid Mine Drainage

Encouragingly, the rate of rise of the water level has remained constant at around 0.3m per day. This figure is below the expected rate of rise of 0.5m per day. Based on the latest estimate, Environmentally Critical Level ("ECL") will therefore only be breached during the second quarter of 2013. This delay provides Trans Caledon Tunnel Authority ("TCTA") with more time to construct the High Density Sludge Plant.

The final agreement between Central Rand Gold and TCTA is near completion and will provide Central Rand Gold the right to dewater the Central Basin below ECL, at the incremental dewatering cost.  

For further information, please contact:

Central Rand Gold +27 (0) 11 674 2304

Johan du Toit / Patrick Malaza

Evolution Securities Limited +44 (0) 20 7071 4300

Chris Sim / Neil Elliot

Merchantec Capital +27 (0) 11 325 6363

Monique Martinez / Marcel Goncalves

Buchanan +44 (0) 20 7466 5000

Bobby Morse / James Strong

Jenni Newman Public Relations +27 (0) 11 506 7351

Proprietary Limited

Note: The information in this statement relating to Mineral Resources and geology has been reviewed and approved by Mr Matier, BSc (Hons), GDE, Pr Sci Nat, who is a competent person in terms of the SAMREC and JORC codes. Mr Matier is the Geology Manager of Central Rand Gold South Africa (Proprietary) Limited

and has over 17 years' experience in precious metal exploration, mineral resource management and evaluation.

24 April 2012

Johannesburg

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Merchantec Capital