Resource Generation : Successful Debt Refinancing

20 March 2020

RESOLUTE DEBT REFINANCING

New US$300m flexible low-cost senior debt facility

Resolute Mining Limited (Resolute or the Company) (ASX/LSE: RSG) is pleased to advise the Company has executed documentation for a new flexible low-cost syndicated loan facility with a maximum limit of US$300 million (Facility). The Facility will refinance the US$63 million secured project loan facility provided by Taurus Funds Management Limited (Taurus) for the initial construction of the Mako Gold Mine in Senegal (Mako) as well as replace US$195 million of existing senior bank debt facilities.

The new US$300 million Facility comprises a three-year US$150 million revolving credit facility and a four-year US$150 million term loan facility. The Company is pleased to have retained the support of its existing senior bank financiers, BNP Paribas, Citibank, Investec and Nedbank, and to have secured support from new syndicate participants, ING Group and Société Générale.

The Facility provides the Company with flexible low-cost debt under terms which are highly competitive for a senior debt facility of this type. Interest payable on the drawn balance of the Facility is LIBOR plus a margin of 4.00%.

The Facility simplifies Resolute's capital structure, removes restrictive conditions associated with the project loan facility and will reduce annual borrowing costs. Drawdown under the Facility is expected to occur during the week commencing 23 March 2020. The Facility is expected to be drawn to approximately US$250 million to enable the complete repayment of the Mako project loan facility. The refinancing of the Mako project loan follows Resolute's agreement to acquire the related project royalty over Mako in January 2020 (see ASX Announcement dated 28 January 2020) and the complete repayment of the US$130 million acquisition bridge facility in February 2020 (see ASX Announcement dated 3 February 2020). Mako will form part of Resolute's overall security package for the syndicated loan facility and will have no external royalty or independent encumbrance. As such, the full benefit of Mako's positive cashflows will now be available to Resolute.

Managing Director and CEO, Mr John Welborn, welcomed the endorsement received from six of the world's leading mining finance banks and was pleased to have secured flexible, low-cost funding in the currently challenging times.

"I thank our world class banking syndicate for their appreciation of the fundamental strength of our business. We now have a simple low-cost flexible senior debt package which reduces our borrowing costs, provides immediate liquidity, and will provide important flexibility for the funding of future growth initiatives. We expect the undrawn capacity of the Facility to increase during 2020 as we generate positive cashflows from Syama and Mako and pay down debt. We look forward to working with our banking group to create further value for our shareholders."

Authorised by:	For further information, contact:
John Welborn	Jeremy Meynert
Managing Director & CEO	General Manager - Business Development & Investor Relations

Authorised by Mr John Welborn, Managing Director & CEO

ASX/LSE: RSG Capital Summary		Board of Directors
Fully Paid Ordinary Shares: 1,057,099,666		Mr Martin Botha Non-Executive Chairman
Current Share Price (ASX):		Mr John Welborn Managing Director & CEO
A$0.72 as at 19 March 2020		Ms Yasmin Broughton Non-Executive Director
Market Capitalisation: A$761 million		Mr Mark Potts Non-Executive Director
FY20 Guidance (to 31 December):		Ms Sabina Shugg Non-Executive Director
500,000oz at an AISC of US$980/oz		Mr Peter Sullivan Non-Executive Director

Contact

John Welborn Managing Director & CEO Jeremy Meynert GM - BD & IR

Level 2, Australia Place | 15-17 William St Perth, Western Australia 6000

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