Chief Executive's Overview

Mark Bristow

Chief Executive Officer

For the seventh consecutive year, Randgold increased its gold production in 2017 and at the same time reduced its total cash cost per ounce, a significant achievement in an operating environment that was not without its challenges.

Mark Bristow

Targeted for 2018

Total Cash Cost of Production^4

$590-640/oz

Group Consolidated Production^4

1.30-1.35Moz

Capital Expenditure^4

$225 million

Group Consolidated Production^4

Group Consolidated Production

Resources and Reserves^5

Resources and Reserves

4   Including 40% of Monila and 45% of Kibali.

5   Attributable at 31 December 2017. Refer to note to the annual resource and reserve declaration page 107.

Summarised Financial Information

$000 2017 2016
Gold sales 1 1 654 329 1 546 030
Total cash costs 1 815 347 794 432
Profit from mining activity 1 838 982 751 598
Exploration and corporate expenditure 47 785 41 202
Profit for the period 335 047 294 221
Profit attributable to equity shareholders 278 017 247 474
Net cash generated from operating activities 547 798 521 227
Cash and cash equivalents 2 719 808 516 301
Gold on hand at period end 3 31 215 27 772
Group production (oz) 1 1 315 362 1 252 957
Group sales 1 (oz) 1 314 984 1 242 366
Group total cash cost per ounce 1($) 620 639
Group cash operating cost per ounce 1($) 558 576
Basic earnings per share ($) 2.96 2.64

All financial numbers are in US dollars ($) unless otherwise stated.

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 $7.3 million at 31 December 2017 ($11.5 million at 31 December 2016) 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.