randgold resources creates value
for all its stakeholders by developing
and operating profitable gold mines
flap 10 year overview 19972007
05 corporate profile and key numbers
06 highlights of the year
08 chairman’s statement
board and management
12 directors
14 management
ceo’s review
18 chief executive’s review
review of operations
22 financial review
operations
26 loulo mine
35 morila mine
project
42 tongon project
reserves and resources
49 annual resource and reserve
declaration
50 table of mineral rights
50 resource triangle
exploration review
52 exploration review
new business
64 new business
social responsibility
66 social responsibility
directors’ report
68 corporate governance report
73 remuneration committee report
78 directors’ report
financial statements
80 statement of directors’
responsibilities
81 report of the independent auditors
82 financial statements
110 group structure
shareholders’ information
112 analysis of shareholding
114 directory
115 operations
116 notice of annual general meeting
120 shareholders’ diary
121 proxy form
122 notes to the proxy
randgold resources    annual report 2007     the power of people and partnerships
wwwrandgoldresourcescom randgold resources creates value
for all its stakeholders by developing
and operating profitable gold mines
flap 10 year overview 19972007
05 corporate profile and key numbers
06 highlights of the year
08 chairman’s statement
board and management
12 directors
14 management
ceo’s review
18 chief executive’s review
review of operations
22 financial review
operations
26 loulo mine
35 morila mine
project
42 tongon project
reserves and resources
49 annual resource and reserve
declaration
50 table of mineral rights
50 resource triangle
exploration review
52 exploration review
new business
64 new business
social responsibility
66 social responsibility
directors’ report
68 corporate governance report
73 remuneration committee report
78 directors’ report
financial statements
80 statement of directors’
responsibilities
81 report of the independent auditors
82 financial statements
110 group structure
shareholders’ information
112 analysis of shareholding
114 directory
115 operations
116 notice of annual general meeting
120 shareholders’ diary
121 proxy form
122 notes to the proxy
randgold resources    annual report 2007     the power of people and partnerships
wwwrandgoldresourcescom 10 year overview 19972007
morila project gets
goahead
40 of morila sold for us132m
plus 50 of the debt
morila pours first gold
ipo and listing on
london stock exchange
listing on nasdaq
randgold
resources
in ftse 250
2 for 1 share split
improves tradeability
loulo development
approved
shareholders
get payout
of us81m
morila produces
1moz
loulo
commissioned
market cap reaches
us1 billion
97
rescoped study supports
enlarged tongon project
07
dividend increased
by 20
dividend payments
initiated
06 05
global share offer
raises us240m
04
market cap tops
us30 billion
randgold resources share price lserrs
gold price
y alea underground
development starts
03 02 01 00 99 98
adr split
0
100
200
300
400
index
50
150
250
350
450
500
designed and produced by du plessis associates 10 year overview 19972007
morila project gets
goahead
40 of morila sold for us132m
plus 50 of the debt
morila pours first gold
ipo and listing on
london stock exchange
listing on nasdaq
randgold
resources
in ftse 250
2 for 1 share split
improves tradeability
loulo development
approved
shareholders
get payout
of us81m
morila produces
1moz
loulo
commissioned
market cap reaches
us1 billion
97
rescoped study supports
enlarged tongon project
07
dividend increased
by 20
dividend payments
initiated
06 05
global share offer
raises us240m
04
market cap tops
us30 billion
randgold resources share price lserrs
gold price
y alea underground
development starts
03 02 01 00 99 98
adr split
0
100
200
300
400
index
50
150
250
350
450
500
designed and produced by du plessis associates randgold resources        annual report 2007   03
randgold resources annual report 2007
london stock exchange rrs
nasdaq gold
wwwrandgoldresourcescom
the theme of this year’s annual
report is “the power of people
and partnerships”  it pays tribute
to the critically important role
randgold resources’ employees
play in its continued success
and it also acknowledges the
value of the productive and
mutually beneficial relationships
the company has forged with
stakeholders and business
partners 0
2
4
6
8
10
12
14
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
growth in reserves and resources moz
tonnes grade gold gold
as at 31 dec 2007 mt gt moz attrib moz
mineral resources
total measured and indicated 12886 346 1432 1070
total inferred 3972 281 358 280
ore reserves
total proved and probable 9936 331 1059 778
04   randgold resources        annual report 2007
consistent investment in exploration
generates sustained growth in reserves
enabling randgold resources to increase
its production at a time when the
global industry’ s output is in decline
000oz
800
0
forecast attributable production
100
200
300
400
500
700
600
2008 2009 2010 2011 2012
loulo
morila
tongon
attributable resources
attributable reserves randgold resources is a gold mining and
exploration business incorporated in the
channel islands in 1995 and listed on the
london stock exchange trading symbol
rrs in 1997 and on nasdaq trading symbol
gold in 2002  its focus is on the creation
of value for all its stakeholders by discovering
worldclass gold deposits and converting
them into profitable mines
major discoveries to date include the
75 million ounce morila deposit in southern
mali the 7 million plus ounce yalea deposit
at loulo in western mali and the 4 million
plus ounce tongon deposit in the côte
d’ivoire
randgold resources financed and
developed the morila mine which was
commissioned in october 2000 and since
then has produced approximately 475 million
ounces of gold as well as distributing more
than us12 billion to its stakeholders
it also financed and developed the loulo
project which went into production in
november 2005 with two openpit mines
t wo underground mines are being developed
on the site and the first of these at yalea
will start contributing to production in
2008 lifting loulo’s current annual output
of 250 000 ounces to more than
400 000 ounces by 2010
the company recently decided to proceed
with the development of a mine at its tongon
project  first gold production is scheduled
for the fourth quarter of 2010
randgold resources has an extensive
portfolio of organic growth prospects
constantly replenished by its wideranging
exploration programmes in the major gold
regions of mali senegal burkina faso
côte d’ivoire ghana and tanzania
corporate profile
key numbers
31 dec 31 dec
us000 2007 2006
group
gold sales

289 841 262 717
total cash costs 158 318 132 540
profit from mining activity 131 523 130 177
profit before income tax 66 901 73 973
net profit 45 628 50 876
net profit attributable to equity shareholders 42 041 47 564
net cash generated from operations 62 233 70 410
cash and financial assets 343 133 143 356
attributable production oz
§
444 573 448 242
group total cash costs per ounce us
§
356 296
group cash operating costs per ounce us
§
315 258

gold sales does not include the noncash
profitloss on the roll forward of hedges
 refer to explanation of nongaap measures
provided in note 24 on pages 107 and 108
§
randgold resources consolidates 100 of
loulo and 40 of morila
randgold resources        annual report 2007   05 06   randgold resources        annual report 2007
highlights of the year
06
january  february  march
april  may  june
high grades
intercepted in gara
extension drilling
attributable reserves
up 16 year on year
loulo achieves
higher throughput
and improved costs
increases flexibility
partnership formed
with malian jewellery
industry
lse
trading symbol
rrs
loulo achieves
record gold
production
bambadji jv
extends loulo foot
print into senegal
continued good drill
results enhance
tongon project
new corporate
facility reduces
funding costs
increases flexibility
q1 q2 randgold resources        annual report 2007   07
july  august  september
october  november  december
nasdaq
trading symbol
gold
rescoped pre
feasibility study
supports larger
tongon project
production profit
up costs contained
tongon resources
increase 41 to
44 million ounces
brownfield potential
highlighted at loulo
and tongon
strong performance
by loulo boosts
group production
tongon mine
development gets
goahead
us240 million
placement secures
tongon funding
massawa in senegal
grows into
significant target
q3 q4 08   randgold resources        annual report 2007
in the eight years since the
start of the new millennium
the price of gold has gone
up by more than 200 with
a surge of 37 last year
alone over the same period
the ftse100 the london
stock exchange’s main
index has lost about 15
of its value
when gold reached a new high of us894 per ounce
on 11 january 2008 the financial times editorialised
that the metal  largely written off a decade earlier as
a barbarous relic with no place in a world of electronic
money  had reestablished itself as the main global
currency after a sevenyear bull run that shows no
sign of slowing down  clearly a large number of
people sophisticated investors as well as ordinary
savers have been abandoning conventional assets
for the comfort of gold a store of value for more than
5 000 years
some argue that the soaring gold price is being driven
by temporary anxiety over political and financial turmoil
wars in afghanistan and iraq the prospect of a nuclear
iran a newly assertive russia and the subprime
banking crisis  there may well be an element of
panic in the rush to gold but a stronger and more
enduring factor is the investors’ fear of the long term
consequences of uncertain monetary policies and
in particular of the speed at which the governments
are printing money  by contrast there is a finite
supply of gold and that keeps it an honest stable
store of value
all the world’s major economies have experienced
a rapid money supply growth of 10 or more per
year in recent years  this is a compelling reason for
prudent long term investors to turn to gold as a hedge
against rising global inflation and persistent dollar
weakness  increasing investor demand is graphically
illustrated by the growth in gold exchange traded
funds etfs  34 up last year and now with
865 tonnes of the metal the world’s seventh largest
holder of physical bullion  and it is not just investment
demand that is rising the gold price is also supported
by strong jewellery buying by the growing middle
class in countries such as india and china  gold
jewellery sales in india  already the world’s largest
gold consumer accounting for more than 20 of
global demand  jumped by almost 40 in the first
nine months of last year
while the demand keeps going up the supply is
diminishing  gold mine production fell 7 from
2 621 tonnes to 2 450 tonnes between 2001 and
2007 and is likely to continue diminishing constrained
by both the lack of viable new projects and rising
production costs
chairman’s statement
08
1 the loulo underground
extraction strategy has been
focused on accessing the
orebodies in a safe and
considered manner the sustained bull run has stampeded
the mining industry and its followers into
a frantic scramble to cash in while the
good times last  for some of them it will
be a case of too little or too late there are
few good projects around and those will
typically take five to ten years from
discovery to production  others have no
real interest in digging for gold and are
mining the markets instead
randgold resources by contrast
believed in gold when it was not
fashionable to do so  in the midnineties
when the price languished below us300
per ounce and most mining companies
withdrew into survival mode randgold
resources not only continued to run
extensive exploration programmes but made
bold development decisions and put its
balance sheet at risk to fund them  it did so
because management was focused on
building a long term business rather than
merely getting through the next quarter
that clarity of vision and strength of strategic
purpose produced a company that has
grown from a market capitalisation of
us147 million to over us35 billion in the
short space of ten years that has been able
to bring production on line just as the gold
price started taking off and that has the
capability to expand its resources and output
in years to come
from the start randgold resources has
been a strategically driven business
constantly analysing its environment devising
scenarios and developing or adjusting plans
for success in a changing world  two years
ago its management decided to align its
business strategy with a scenario which
predicted a high gold price coupled to rising
production costs  to meet this challenge
they stepped up the search for resource
ounces and strengthened the company’s
cost controls  new business initiatives were
intensified the development of the tongon
project was accelerated procurement
policies were tightened and overhead
expenses pruned
randgold resources        annual report 2007   09
1 philippe liétard
chairman
10   randgold resources        annual report 2007
these timely measures have equipped the
company uniquely well to take full advantage
of the opportunities and to manage the
difficulties presented by exacting operating
conditions
in line with its emphasis on long term
sustainability rather than short term
advantage randgold resources has since
its inception invested substantially and
consistently not only in its physical assets
but also in the development of its partnerships
and its people
that is why the theme of this year’s annual
report is “the power of people and
partnerships”  it pays tribute to the productive
and mutually beneficial relationships
randgold resources has forged with its
host countries  in mali alone the
company has through operations it has
developed invested and reinvested more
than us1 billion paid in excess of
us500 million directly to the government
in dividends royalties and taxes equipped
more than 3 000 people with skills and
careers and made a substantial contribution
to infrastructural development and community
upliftment
as an africanfocused business randgold
resources is keenly aware that for africa to
prosper from its mineral wealth it needs to
embark without delay on a process designed
to use the mining industry as the foundation
for building its economies  to succeed in
this the leaders of government and industry
will have to cooperate and demonstrate the
vision courage and perseverance of true
pioneers
mining companies should accept that when
they operate in africa they do not only have
an obligation to deliver returns to investors
they also have a social responsibility to help
the people of that continent to realise their
hopes of a better life  among other things
this means that they must plan for and
commit to the long term  instead of creating
exaggerated expectations around projects
that are marginal at best they should
concentrate on the development of
realistic business models and viable
feasibility studies  they should reinvest for
sustainability and deal honestly with their
host governments not only as regulators but
also as partners
governments for their part should maintain
a fiscal and legislative regime that is
conducive to mining development make a
tangible contribution to infrastructural creation
and not least ensure that the substantial
revenues they earn from the mining industry
are shared equitably with their people
as detailed elsewhere in this report the
company remains committed to the
responsible utilisation of natural resources
and the protection of the environment and
seeks wherever possible to minimise the
negative and maximise the positive impacts
of its activities  it has formal programmes in
place to achieve these aims and these
comply with the standards of the world bank
as well as those of its host countries  all
new projects include a comprehensive
environmental and social impact assessment
at tongon in côte d’ivoire for example an
assessment of this kind on the proposed
new mine is currently being used as the
basis for an extensive consultative process
with the local community and the regional
authorities
the people and partnerships theme also
acknowledges the critical importance of the
randgold resources team to the business’
continued success  the highly developed
skills passionate commitment and
enthusiastic cooperation of the men and
women in the field at the operations and in
the corporate offices  some of whom are
featured in this report  have enabled the
company to seize opportunities and surmount
obstacles
the past year was again a very busy one
for the company and it had its share of
challenges  the fact that randgold
resources has nevertheless produced a
very creditable set of results is a tribute to
the enterprise dedication and sheer hard
work of mark bristow and every member of
the team  on behalf of the board i thank
them for another fine effort  on the subject
of the teams graham shuttleworth replaced
roger williams as chief financial officer in
the course of the year and the new business
and exploration teams were reorganised
new and additional skills were recruited at
various levels in the capital projects
exploration operation finance and
administration units  overall these teams
now represent an optimum balance of youth
and experience giving the company a very
sound and constantly reinvigorated
management and skills base
i wish to record our appreciation to the
governments and people of the countries in
which the company operates they are not
only our hosts but our highly valued partners
i thank our shareholders for their continued
support and our partners suppliers advisors
and other business associates for the
contribution they made to the company’s
progress  i would also like to express my
gratitude to my colleagues on the board for
their sage counsel
in addition to the normal business which is
to be transacted at the company’s annual
general meeting on 28 april 2008 your
board is seeking shareholder approval for
an increase in the authorised share capital
and of the randgold resources limited
restricted share scheme  details can be
found in the notice to shareholders rod quick
group general manager project development
and evaluation
joined randgold resources as an exploration
geologist on greenfields programmes in mali
and senegal in 1996  as country geologist for
côte d’ivoire he oversaw the prefeasibility
study on tongon from 2001 to 2003 then
worked as resource evaluation geologist on
loulo and morila becoming mineral resource
manager at loulo in 2005 and taking up his
current position  evaluating all new projects 
in 2007
“i’ve spent the past 10 years helping to find
and develop major gold deposits with the
expansion and delineation of the tongon
orebody and the expansion of the loulo
resource as standout experiences  the
opportunity of making a significant contribution
to a winning team is what gets me out of bed
in the morning”
boar board and management d and management board and management philippe liétard
chairman

managing director of the global natural
resources fund from 2000 to 2003
prior to july 2000 he was director of the
oil gas and mining department of the
international finance corporation  his
experience in corporate and project finance
with ubs ifc and the world bank extends
over 30 years most of them in the minerals
business and in africa  now an independent
consultant and a promoter of mining and
energy investments  appointed a director
in february 1998 and chairman in november
2004
d mark bristow
chief executive officer
mark is a geologist with more than 25 years’
experience in the mining industry and holds
a phd in geology from natal university in
august 1995 he was appointed a director
and subsequently chief executive of
randgold resources where he has been
instrumental in developing the company into
a goldfocused mining and exploration
business with a market cap of more than
us35 billion and a strong investor following
he has also played a significant role in
encouraging the emergence of the mining
sector in the west african sub region where
randgold resources has found and
developed world class assets and forged
productive partnerships  he is currently a
nonexecutive director of rockwell
resources international and previously held
board positions at african platinum harmony
gold mining company durban roodepoort
deep and randgold  exploration
graham shuttleworth
financial director
graham joined randgold resources as
chief financial officer and financial director
on 1 july 2007 but has been associated
with the company since its inception initially
as part of its management team involved in
listing the company on the lse in 1997
and subsequently as an advisor  a chartered
accountant he was a managing director
and the new yorkbased head of metals
and mining for the americas in the global
investment banking division of hsbc before
taking up his new position at randgold
resources  at hsbc he led or was involved
in a wide range of major mining industry
transactions including randgold resources’
nasdaq listing its bid for ashanti goldfields
and its 2005 us110 million equity offering
12   randgold resources        annual report 2007
directors
12 randgold resources        annual report 2007   13
bernard h asher
senior independent nonexecutive
ø
from 1986 to 1998 he was an executive
director of hsbc holdings plc and chairman
of the hsbc holdings’ subsidiary hsbc
investment bank plc  was chairman of
lonrho africa plc vice chairman of the court
of governors of the london school of
economics and of the legal  general group
plc and a director of morgan sindall plc
he is chairman of lion trust asset
management and senior independent
director of morgan sindall  was appointed
director of randgold resources in 1997 and
senior independent director in 2003
norborne p cole jr
independent nonexecutive
ø
norb cole started working for the coca
cola company as a field representative in
the usa in 1966 and advanced steadily
through the organisation becoming chief
executive of cocacola amatil in australia
in 1994 a position he held until 1998  under
his leadership cocacola amatil was built
into the second largest cocacola bottler in
the world  now based in san antonio t exas
he serves on the boards of a number of us
companies
robert i israel
independent nonexecutive
§
until april 2000 a managing director of
schroder  co inc of new york and head
of its energy department  is now partner at
compass advisers llp   his experience in
corporate finance especially the natural
resources sector extends over 27 years
was appointed a director in 1997
aubrey l paverd
independent nonexecutive
dr aubrey paverd was appointed to the
board in 1995  he holds an msc degree
from rhodes university south africa and
a phd from james cook university
queensland australia and brings more than
40 years of international geological
experience to the board  served as vice
president of exploration for newmont in usa
and from 1994 to 1999 was the group
executive exploration at north limited in
australia  is now an independent consultant
and a nonexecutive director of compania
de minas buenaventura
karl voltaire
independent nonexecutive
dr karl voltaire is a graduate in mineral
resources engineering from the ecole des
mines in paris and holds an mba and a phd
in economics and finance from the university
of chicago  he started his career as a
mining engineer in haiti and subsequently
spent 23 years in the world bank group in
washington dc the bulk of it at the
international finance corporation ifc where
his last position was that of director of global
financial markets  subsequently was director
of the office of the president at the african
development bank  since early 2005 has
been ceo of the nelson mandela institution
 chairman of the audit committee
 member of the audit committee
§
chairman of the remuneration committee

member of the remuneration committee

chairman of the governance and nomination committee
ø
member of the governance and nomination committee
from left to right philippe liétard d mark bristow
graham shuttleworth bernard h asher
robert i israel norborne p cole jr aubrey l paverd
and karl voltaire 14   randgold resources        annual report 2007
management
14
bill houston
human resources executive
has a masters degree in human resources management and
26 years’ experience in human resources and organisational
development  joined randgold in 1992 as group training and
development manager and headed the group human resources
function from 1996  he is a director of morila sa and seven
bridges trading
david haddon
general counsel and
secretary
qualified as an attorney in
1984 he has overseen the
administrative obligations of
randgold resources since
its incorporation and
assumed secretarial
responsibility when
it listed on the london stock
exchange in july 1997  he
is a director of seven bridges
trading and other group
subsidiaries
paul harbidge
group exploration manager
geologist with over 15 years’
experience mainly in west
africa having previously
worked for rio tinto anglo
american and ashanti
joined randgold resources
in 2000 and was appointed
group exploration manager
in 2004
tania de welzim
group financial controller
tania is a chartered accountant with ten years’ experience in
finance including eight years in the mining industry   is responsible
for financial reporting in the group as well as internal control
procedures
luiz correia
operations manager
a metallurgist with 21 years’ experience in the gold mining
industry he has a bsc eng as well as a bcom degree  he
joined randgold resources in 2005 and in 2006 was appointed
operations manager responsible for the mining planning
processing maintenance and engineering functions at loulo
amadou konta
general manager  loulo
has a degree in civil engineering as well as several management
and project management qualifications  was appointed mine
foreman and superintendent at syama mine by bhp and served
as mining manager from 1997  in 2001 was promoted to
construction manager for randgold resources in mali and to
loulo general manager in 2004 randgold resources        annual report 2007   15
rod quick
group general manager 
project development and
evaluation
a geologist with 14 years’
experience in the gold mining
industry he joined randgold
resources in 1996  rod has
been involved in the
exploration evaluation and
production phases of the
morila loulo and tongon
deposits and was appointed
somilo resource manager in
2005  he is now responsible
for all project development
and evaluation
adrian reynolds
group general manager  technical
has 26 years’ experience in the mining industry and was part
of the team that developed the original randgold resources’
strategy  his key responsibilities are technical oversight of the
company’ s operations including compilation of feasibility studies
audits compliance and evaluation opportunities  he is a director
of morila sa and somilo sa
chris prinsloo
group financial and commercial manager
qualified as a chartered secretary and has 35 years’ experience in the mining industry including
finance capital projects administration and supply chain management  appointed as commercial
manager for the randgold group in 1993 financial director of somisy sa in 2000 and group
financial and commercial manager in 2002 responsible for group accounting supply chain
management plus the risk management and insurance portfolio  currently serves on the boards
of morila sa somilo sa and kankou moussa sarl
victor matfield
group corporate finance manager
a chartered accountant he was appointed corporate finance
manager in 2001  prior to that served as financial manager
of the syama mine and as financial manager of the morila
project  he is a director of seven bridges trading
mahamadou samaké
general manager  mali
a professor of company law at the university of mali
mahamadou was instrumental in writing the malian labour
legislation  he is the resident executive manager in mali and
is responsible for government liaison and legal counsel for the
francophone region 16   randgold resources        annual report 2007
lois wark
group corporate
communications and
cartography manager
a member of the randgold
resources team since its
inception lois’
responsibilities include the
coordination of the group’s
communication and investor
relations programme the
production of materials and
presentations to the market
as well as the management
and integration of data
captured in gis databases
and various other software
packages  lois is also
responsible for the
management of seven
bridges the group’s south
african subsidiary
samba toure
general manager  morila
has a masters degree in chemical engineering and geochemistry and was part of the team that
set up mali’s first research laboratory for the mining and petroleum industries in 1985  as country
manager for bhp minerals oversaw that company’s exploration programmes in west africa
joined morila in 2000 and was promoted to operations manager in 2004 and to general manager
in 2007
n’golo sanogo
financial controller  mali
has a masters degree in economics from the national school of administration of bamako as
well as several management accounting and financial qualifications  qualified as an auditor in
1992 before joining bhp mali in 1995  appointed material manager in 1998 and management
accountant in 2001 at the syama mine  following the sale of somisy sa in 2004 was appointed
randgold resources mali financial controller
john steele
group general manager  capital projects
gained extensive metallurgical and management experience
in 17 years with rand mines and randgold  exploration
upon acquisition of syama in 1996 was appointed a director
of the malian company somisy sa and general manager of
the mine  in 1998 assumed position of group general manager
capital projects overseeing construction of the morila and
loulo mines tahirou ballo
mining manager surface operations loulo
malian mining economistengineer tahirou was educated at the mining
institute of leningrad and started his career with a russian exploration
company in his home country  started with randgold resources as a drill
and blast supervisor at syama in 1997 was appointed mining production
superintendent at loulo in 2006 and is now the mining manager of surface
operations there
“i get a lot of motivation from the other members of the team and in turn
i work hard to ensure good communication between us and to help build
the team spirit  that way we all stay focused on delivering value to the
stakeholders”
onno ten brinke
chief mine planning engineer
mining engineer onno was educated at the university of technology in
delft and at the royal school of mines in london  joined randgold
resources as chief mine planning engineer in 2004 and in 2007 was also
made responsible for the survey team at loulo
“my main aim is to produce mine plans that allow for short term flexibility
are practical and integrate the group’s strategic plan  and then to ensure
that they are communicated effectively to the teams”
ceo’ ceo’s r s review eview ceo’s review our production for the year was in line with that of
2006 and we have told investors that 2008 will also
be a relatively flat year in output terms but that
production is scheduled to step up in 2009 and
2010 reaching the targeted 600 000 ounces in
2011
we can report full achievement or satisfactory progress
on each of these fronts in spite of some difficulties
we met along the way
another strong performance from loulo almost made
up for a shortfall at morila and brought us to within
a whisker of our forecast production  the underground
development battled through some very poor ground
but then picked up speed and is now within reach
of the first ore  we have assumed operational
responsibility for the joint venture at morila  we
advanced the tongon project to a point where the
board has decided to proceed with the project’s
development  with tongon now clearly designated
as our third new mine the recently discovered
massawa in senegal has moved to the front of the
advanced prospect line in a new country
a number of items impacted on our financial results
the lowerthanexpected contribution from morila a
us32 million tax adjustment there the cost of
stepping up production at loulo and an increase of
us71 million in exploration and corporate
expenditure mainly related to tongon  had it not
been for these factors net profit would have exceeded
the previous year’s us509 million  as it was the
profit was still a healthy us456 million
given the circumstances this was a good
performance and considering the company’s
profitable outlook and generally robust financial
condition the board decided to increase the dividend
by 20
making the most of morila
morila had a difficult year and its original forecast
of 500 000 ounces was reduced to 475 000 ounces
after a first half in which lower grades and recoveries
had impacted heavily on production  management
believed that a stronger second half would enable
it to meet the revised target but in the event
problems relating to planning grade control and plant
for randgold resources the
past year was one of
building with the loulo
underground development
and the t ongon feasibility
study as the key priorities
also on management’s radar
were cost management the
hunt for profitable new
growth opportunities and
the need to address the
situation at morila
chief executive’s review
18
18   randgold resources        annual report 2007 lockup persisted and production came in
at just under 450 000 ounces
since the yearend it has been announced
that anglogold ashanti is considering the
disposal of its 40 stake in the mine
it was agreed that in these circumstances
it would be in the best interests of all
stakeholders if randgold resources took
over the operatorship of the mine which we
have done with effect from 15 february
2008
as a first step our due diligence team is
thoroughly evaluating all aspects of the
operation in conjunction with its management
once we have a complete understanding
of all the issues we shall be in a position to
formulate and implement a plan designed
to ensure that morila optimises the remaining
resources for the rest of its life  we shall
also continue to pursue the thusfar elusive
opportunity to extend the mineralisation at
morila and the existing exploration dataset
and strategy will be reviewed as part of the
due diligence
it is worth noting that despite the
disappointment of the past year morila
remains a substantial generator of cash and
profit debtfree unhedged and completely
exposed to the gold price  as such it is still
a very important contributor to the coffers of
randgold resources and should be so for
several years to come
loulo continues to star
loulo also had its share of operational
challenges in the shape of feed and ore mix
problems caused by erratic contractor
performance and a roll crusher failure
exacerbated by excessive rains from july
into september  the need to catch up on
lost output impacted significantly on loulo’s
costs but thanks to another great effort from
the team the mine ended the year with
production 10 ahead of forecast and year
onyear profit from mining up by the same
margin
the yalea underground development at loulo
ran into problems in the form of some very
poor ground which slowed the advance
down to a crawl from june  by the end of
the year it was back in competent ground
and the pace accelerated briskly achieving
a record advance of 260 metres in january
it is now on a critical path to the development
ore which we expect to intersect by the end
of the first quarter  the first mining faces
should be established by midyear  the
loulo team’s undaunted attitude and
innovative spirit are demonstrated by the
solution they came up with for the difficulties
they had encountered in establishing backfill
and ventilation access to the northern part
of the yalea orebody  this was originally
conceived as a raisebore shaft but with the
necessary equipment almost impossible to
obtain at present it was redesigned as a
third decline from the p125 pit  this not
only provides the required access but creates
additional points of entry to the mine as well
as assessing additional ore not included in
the original mining schedule
tongon starts taking shape
the tongon team has also been making
excellent progress and subject to an
agreement on a mining convention with the
government of côte d’ivoire we are initiating
site establishment this year with the aim of
starting construction in earnest at yearend
to be able to produce first gold in the second
half of 2010
the first draft of the mining convention has
already been tabled for discussion  we have
also initiated social and environmental impact
studies which have formed the basis for a
public consultative process with the local
villages and regional structures  most of the
minesite layout has been settled and when
the next phase of detailed flowsheet and
process design has been completed the
tendering process will start
in the meantime the political process in
côte d’ivoire also continues to make good
progress  we are great believers in the
future of this country which is not only highly
prospective but still relatively unexplored
and also possesses that rarity in africa
a sophisticated economy supported by a
functional infrastructure
funding for the development of tongon
as well as for other organic and corporate
growth opportunities has been secured
through a successful us240 million equity
placing in november  it is a tribute to the
company’s excellent investor relations strong
shareholder communications and the inherent
attraction of tongon and other growth
prospects that all our key shareholders
participated in the placing  in addition
although the transaction was executed in
just 24 hours the company was able to
attract both new institutional shareholders
and a substantial retail response all at a
discount of just 3 on the previous day’s
close
the next big thing
exploration continues to be the engine that
drives randgold resources’ growth and our
teams in the field have also had a busy year
which has produced some very gratifying
results in the way of projects graduating
to advanced drill status  the further
expansion of our resource base is detailed
in the updated reserve and resource
declaration elsewhere in this report
outstanding features of the year are the
definition of a substantial mineralised structure
demonstrated by high grade diamond drillhole
and rab results from massawa in senegal
the extended mineralisation at the loulo
satellite faraba the airborne geophysical
survey over our consolidated holdings in the
loulosenegal region the shift in exploration
focus in côte d’ivoire from tongon to other
targets in the nielle permit as well as our five
other permits in that country including the
tiasso target in the boundiali permit  other
outstanding features were the potential for
adding resources at kiaka in burkina faso
and finally the greenfields exploration in
ghana and tanzania which feeds the base
of our resource triangle  full details of these
and other prospects are given in the review
of operations
randgold resources        annual report 2007   19 mark bristow
chief executive
massawa which we discovered last year
along with tiasso in côte d’ivoire are rapidly
emerging as the frontrunners among the
advanced prospects  results from the
recently completed 2 500 metre infill rab
drilling programme at massawa are at least
as good as those produced by yalea and
tongon at a similar stage  in fact all the
ingredients which typically indicate a major
deposit are in place high grades structure
alteration and variations in rock types
we have always believed in the prospectivity
of the kedougoukenieba inlier which hosts
massawa and we persevered with our
exploration there even though the early results
were not that promising  the fact that our
continuing work has now delivered a very
exciting target reconfirms that exploration
success requires not only skill but also
tenacity  the next step is a 7 000 metre
diamond drilling programme which should
give us a very clear understanding of the
mineralisation  a reconnaisance and
delineation drilling programme on the tiasso
target in the boundiali permit 100 kilometres
west of tongon is also scheduled for the
second quarter of 2008
looking ahead to 2008 and beyond
randgold resources is facing the future with
a considerable measure of confidence based
on an impressive array of assets  these
include
a pure gold strategy and a record of
value creation that judging by our share
price performance strike a responsive
chord in the market
the capacity to grow production from
organic sources in a high gold price
environment and at a time when industry
output is declining
a robust balance sheet more than
capable of funding our growth projects
as well as possible corporate
transactions
loulo’s expansion into a fourminesin
onecomplex and the potential for more
discoveries in the region
tongon headed for production in 2010
and a full pipeline of quality projects
behind that and by no means least
a versatile expert team thoroughly
tested in every aspect of our business
our production profile illustrated on page 4
of this report shows how we plan to gear
up our output with loulo targeting a total
production in excess of 400 000 ounces in
2010 and group attributable production
reaching 600 000 ounces in 2011
clearly we’re going to have to work very hard
to contain the impact of costs which we
estimate will rise by between 10 and 15
in 2008 subject of course to the oil price
even so we are soundly positioned to do
well under all realistically foreseeable
scenarios  and our strategy remains
unchanged  we continue to build our
business through discovery and
development while also hunting those rare
external opportunities of real quality with the
objective of creating long term value
acknowledgements and
appreciation
no review of the past year can be complete
without due recognition of the many people
who worked hard to advance the company’s
progress  i would like to thank our board
the many shareholders and investors who
made time to see me during the year our
business partners in the various areas where
we operate our stakeholders notably the
governments and people of our host
countries and our advisors  a very special
word of thanks is reserved for the people of
randgold resources  my colleagues in
management and all our employees each
of whom has in one way or another
contributed to our success
20   randgold resources        annual report 2007 thinus strydom
mine manager loulo underground projects
after a 14year career in gold and coal mining in
south africa ethiopia and fiji thinus joined
randgold resources in 2005 to head the
development of the yalea and gara projects at
loulo  the company’s first underground mines
and the first of their kind in mali
“the randgold team consists of highly skilled
individuals each an expert in his or her specific
field  together they constitute a considerable
intellectual base within which each is able to
support the other  for instance though my
responsibility is the planning and development
of the underground operation i was able to assist
the engineering department with technical advice
when they were commissioning the primary
crusher”
review of operations review of operations review of operations 22   randgold resources        annual report 2007
total revenue for the group of
us2828 million increased by 9 on the
previous year on the back of a higher average
gold price received of us652 per ounce
attributable production of 444 573 ounces
was slightly lower than the previous year’s
448 242 ounces  net profit for the year was
us456 million a decrease of 10
compared to the previous year  this was
as a result of higher mining costs at both
operations due to the impact of higher diesel
prices the effect of the weak us dollar on
the eurobased component of the operational
costs increased royalties payable resulting
from the higher average gold price received
and general cost increases in other
commodities and consumables  profit would
also have been significantly higher had it not
been for a tax adjustment of us32 million
at morila mainly related to payroll and
withholding taxes included in other
expenses and increased exploration and
corporate expenditure of us359 million
2006 us288 million mainly as a
result of the increased expenditure on the
tongon project  the board determined on
31 january 2008 to proceed with the
development of this project and going
forward future expenditure on the
development of the mine will be capitalised
and expensed over the life of the mine
earnings per share of 60 cents was down
on the 70 cents of 2006 in line with the
reduced net profit
cash operating costs for the group were
us315 per ounce up from us258 per
ounce in 2006  after royalties total cash
costs for the group were us356 per ounce
for the year compared to us296 per ounce
in 2006  this compares to an estimated
industry average for 2007 of approximately
us390 per ounce  diesel constituted
approximately 30 of production costs in
the year hence its significant impact on cost
pressures  unit cost at morila showed a
14 increase to us31 per tonne milled
reflecting general cost pressures  at loulo
unit costs were up 22 to just over us33
per tonne milled reflecting an increase in
the proportion of harder sulphide ore being
processed together with the other cost
pressures
the lower grade processed at morila also
affected the cost per ounce  grades at
morila decreased from 42gt in 2006 to
37gt while loulo’s grade remained relatively
consistent at 33gt 2006 32gt as per
the respective life of mine plans
as noted expenditure on exploration and
corporate costs increased by us71 million
a large part of which related to the completion
of the tongon feasibility study and continued
to be an important area of investment for
the company  extensive drilling programmes
were undertaken in all countries in which the
company operates except for ghana
1 by july 2007 more than
20 000 metres of drilling had
been completed at the
tongon project
financial review
the results for the year reflect another
strong performance and consequently
the board has increased the annual
dividend by 20
review of
operations randgold resources        annual report 2007   23
1 morila’s five year mali corporate profit tax
holiday ended in november 2005 and the
accounts include a charge of us213 million
for the tax payable compared to
us233 million the previous year  loulo
continues to benefit from exoneration from
corporate profit tax for five years from the
date of first commercial production which
was 8 november 2005
the company’s cash position is very healthy
with us343 million of cash and financial
assets 2006 us143 million on the
balance sheet and borrowings of
us95 million 2006 us53 million  net
cash has improved from last year despite
the significant expenditure on capital
expenditure and exploration and corporate
costs  us479 million was spent on capital
projects mainly on the loulo underground
project including the development of the
twin declines and acquisition of the
underground fleet  the company completed
an equity placing in december 2007 which
raised us2317 million net of expenses
for the development of the tongon project
and other organic and corporate growth
opportunities  during the year the company
converted its loulo project finance facility
into a corporate facility to increase its flexibility
and reduce the associated financing costs
following the completion of the equity
placing the company repaid the remaining
amounts outstanding under the corporate
facility us408 million  the full
us60 million facility remains available for
drawdown should there be a need for future
funding
subsequent to the september quarter end
the company transferred us49 million from
cash and cash equivalents to availablefor
sale financial assets  this related to its
portfolio of aaa rated short term asset
backed securities and other corporate debt
instruments  the trading market for these
instruments had become substantially illiquid
as a result of the unusual conditions in the
credit markets  we are monitoring the
situation closely including the credit ratings
set by the rating agencies and the maturity
of the underlying collateral  we continue to
receive interest payable on these securities
and all the securities remain aaa rated and
based on these factors have not been
impaired in the balance sheet
property plant and equipment increased
significantly year on year mainly due to
investments made on the underground
development at loulo as previously
mentioned  long term receivables increased
by us91 million over the year due to an
increase in the tva balance at morila  the
noncurrent receivables of us228 million
are those parts of the receivables from
mdm ferroman pty limited in liquidation
“mdm” and the malian government which
while legally payable immediately are
expected to be paid after more than
12 months  the company continues to
believe it will receive the amounts accrued
as owing to it by mdm us121 million
the original contractor at loulo and this
matter is no longer the subject of an
emphasis of matter in the audit report
short term receivables increased as a result
of an increase in trade debtors due to the
timing of gold shipments at year end at both
mines  the increase in inventories and ore
stockpiles is due to the additional demand
for supplies and insurance spares at loulo
with the development of the underground
mine and improved production as well as
an increase in the stockpiles at morila in line
with the life of mine plan  as previously
indicated mining at morila will stop during
2009 after which the lower grade stockpiles
will be processed until 2013  during this
time cash costs as defined are expected
to rise  however cash flow from the
operation is still anticipated to be strong as
a large portion of these costs have already
been incurred  the financial instruments
liability also increased during the year
following the increase in the gold price and
reflects the markedtomarket valuation of
the hedged ounces at the year end spot
price of us836 per ounce
during the year the company delivered
90 836 gold ounces into its hedge positions
which reduced the financial instruments
liability given the higher gold price and the
remaining 207 240 ounces are scheduled
to be delivered until 2010  the forward
contracts all relate to loulo with morila’s
production being completely exposed to
spot gold prices  the remaining portion of
the hedge book represents approximately
13 of the group’s attributable production
for the period
24   randgold resources        annual report 2007
life of mine scheduling at morila anticipates
production for 2008 to be approximately
465 000 ounces 186 000 attributable
ounces  loulo’s 2008 production is
scheduled to be approximately 265 000
ounces  total cash costs for the group
are estimated to increase year on year
between 10 and 15 depending on the
diesel price eurodollar exchange rate and
the gold price which impacts on mali
government royalties paid  randgold
resources will also continue to invest
extensively in its prospective exploration
portfolio
development at the yalea underground mine
at loulo is now well underway with first
stoping ore expected to be mined by mid
year us456 million having been spent on
this capital programme during the year
the capital expenditure for this year is
estimated at us23 million after which the
yalea underground will be fully operational
the gara underground development is
planned to start in 2009 with first ore fed to
the plant in 2010 with a capital estimate of
us39 million over the two years  in
november 2007 the company released the
results of its updated feasibility study on the
tongon project which anticipates total capital
expenditure of us267 million over the life
of the project the bulk of which will be spent
in 2009 and 2010  tongon is expected to
come into production towards the end of
2010
in view of the strong cash flows from
operations and the company’s strong
balance sheet the board decided to declare
an annual dividend of 12 cents per share
totalling a payout of us91 million  this is
an increase of 20 on the prior year’s maiden
dividend and is a reflection of the profitable
evolution of the business  shareholders
have also enjoyed substantial capital returns
in the year with the share price rising 58
from us2346 to us3713 at year end
over the past five years the share price has
increased by 450
graham shuttleworth
financial director abdoulaye kone
plant superintendent morila
abdoulaye worked as a labourer on the
construction of the syama mine in 198990 and
became elution operator when the mine
subsequently acquired by randgold resources
went into production  he was promoted to
general foreman and then to oxide plant
superintendent before moving to morila as
cil and elution foreman in 2000  he was
promoted to his present position in 2004
“it’s my job to keep the team focused on results
meeting challenging production and cost targets
without compromising safety  leadership is
not just about keeping up the pressure  it’s
also about giving people a vision”
operations operations operations 26   randgold resources        annual report 2007
the mine is located within the kedougou
kenieba inlier of birimian rocks which
hosts several principal gold deposits in mali
notably gara yalea sadiola ségala and
tabakoto as well as sabodala across the
border in senegal  loulo is located
approximately 96 kilometres south of sadiola
and 25 kilometres to the west of ségala
and tabakoto
the gara orebody previously known as
loulo 0 was discovered by syndicat or a
joint venture between brgm and dngm
in 1981  in june 1992 bhp acquired the
shares of brgm in syndicat or  bhp
minerals mali inc was acquired by randgold
resources in october 1996  at that time
the project’s gold resources were estimated
by bhp at 125 million ounces  randgold
resources then initiated an intensive
exploration programme which resulted in the
discovery of the yalea deposit  after the
acceptance of a feasibility study in 1999
randgold resources earned additional
shares to increase its participation in the
project to 51  shortly thereafter randgold
resources acquired the 29 share of
normandy la source in somilo the company
which owns loulo thus increasing its share
to 80 with the government of mali holding
the remaining 20
loulo mine
loulo is situated in western mali bordering
senegal and adjacent to the falémé river
 it is located 350 kilometres west of bamako
and 220 kilometres south of kayes
operations
loulo mine layout
2 000m
yalea pit
yalea
underground
boxcut
p125 pit
p129 pit
tailings dam
accommodation
plant
offices
rom pad
and
stockpiles
waste rock
dump
falémé river
airstrip
gara pit
loulo
gold mine
mali
burkina faso
ghana
côte
d’ivoire
senegal
guinea
liberia
sierra
leone
morila
gold mine
tongon development
project
600km
satemkon
fanoma
apouasso
dignago
dabakala
nielle
danfora
bole ne
bagoe east
morila
bagoe west
sinnboo
boundiali
mankono
syeba
kanoumering
dalema
bambadji
tomboronkoto
miko
kounemba
loulo
bena
nahali
nakomgo
lourgogo
yibogo
kiaka
safoula
tiakane
bourou
basgana
gogo
tanema
1
randgold resources
exploration permits
west africa locality of operations randgold resources        annual report 2007   27
1 four mines in one the loulo
mine currently consists of
the yalea and gara open
pits and the yalea decline
the first section of the
underground development
the gara underground
development will start in
2009
2 in 2007 loulo produced
264 647 ounces of gold
at a total cash cost of
us372 per ounce
2
total mined million tonnes 21 184
ore mined million tonnes 24 26
mined grade gt 33 34
ore milled million tonnes 27 26
head grade gt 33 32
recovery  932 94
ounces produced oz 264 647 241 575
average gold price received usoz 612 556
cash operating cost usoz 337 294
total cash cost usoz 372 328
profit from mining activity us million 636 575
gold sales us million 1622 1368
net profit us million 308 253
 refer to explanation of non gaap measures provided in note 24 on pages 107 and 108
loulo summary of results
12 months ending 31 december 2007 2006 28   randgold resources        annual report 2007
this was partly offset by a higher received
gold price
mine facilities
the loulo mine currently consists of two
main open pits yalea and gara two smaller
satellite pits and the yalea decline which is
the first section of an underground project
the second underground mine will start at
gara in 2009
the plant is designed to process an average
25 million tonnes per year using the following
circuits
crushing  a threestage crushing circuit
for the hard rock sulphide ores and a
singlestage rolltoothed crusher for the
soft weathered oxide ores
milling  the milling circuit comprises two
parallel single stage ball mills in closed
circuit with a dedicated cluster of hydro
cyclones
gravity  two xd48 knelson centrifugal
primary concentrators followed by a
shaking table for redressing of primary
concentrates
cil recovery process
zadra elution process and gold recovery
mineral resources
total resources increased to 1194 million
ounces an increase of 5 after adjustment
for depletion incurred through mining  this
was mainly due to the increase in the gara
underground resource to 3 million ounces
following a successful drill campaign
which delineated additional ounces along
the southwest trend at depth  a total
of 243 million tonnes at 333gt for
262 262 ounces was mined from the
three pits  yalea gara and p125
reconciliations between ore delivered by
the mine and gold produced again correlated
well with only a 3 variance in ounces
at the end of december 2007 total material
on stockpile was reduced to 417 878 tonnes
at 183gt for 24 651 ounces
resource drilling concentrated on the
underground extension of the gara deposit
in addition during 2007 drilling focused on
improving geological models and underlying
mineralisation at faraba p64 baboto and
loulo 3
randgold resources reestablished its
exploration programme in 2003 and a revision
of the feasibility study was undertaken
that year the board of randgold resources
approved the development of the mine once
the project met its investment criteria  loulo
mine was officially opened on 12 november
2005
in 2007 loulo produced 264 647 ounces
of gold at a total cash cost of us372 per
ounce  the increase in cash costs
compared to 2006 is attributable to an
increase in fuel and other consumable prices
as well as an increase in logistic costs
3
loulo actual and forecast production
2006 2005 2007 2008 2009 2010
production
0
100
200
300
400
500
600
ounces 000
actual
production
forecast
production
2011 2012
2006 2005
us100m
us50m
2007
total profits
us150m
total loulo mine profits accumulative profit to date
to 31 dec 2007 randgold resources        annual report 2007   29
3 the loulo plant is designed
to process an average of
25 million tonnes per year
loulo mineral resources
stockpiles measured 042 067 183 244 002 005
gara measured 762 815 377 386 092 101
indicated 1775 1586 429 410 245 209
inferred 338 132 339 325 037 014
yalea incl p125 measured 726 615 399 407 093 080
indicated 2918 2937 538 544 505 513
inferred 958 876 368 384 113 108
satellites indicated 172 157 241 246 013 013
p129 gara west
loulo 3 baboto
faraba inferred 1294 1269 224 224 093 092
total measured
and indicated 6395 6177 462 464 951 922 761
total inferred 2590 2277 292 291 243 213 195
at 31 december tonnes tonnes grade grade gold gold attributable
mt mt gt gt moz moz gold 80
category 2007 2006 2007 2006 2007 2006 moz
loulo ore reserves
stockpiles proved 042 067 183 244 002 005
yalea open pit
incl p125 proved 296 442 394 405 037 058
probable 003 069 204 566 0002 013
sub total 299 511 392 427 038 070
gara open pit proved 557 612 316 319 057 063
probable 013 074 379 311 002 007
sub total 570 687 318 318 058 070
gara west
open pit probable 107 056 203 210 007 004
p129 open pit probable 015 015 270 270 001 001
total surface
sources 1033 1337 321 351 107 152
yalea underground probable 2701 2264 482 499 419 363
gara underground probable 1708 1314 391 391 214 165
total
underground 4408 3578 447 459 633 528
total proved 895 1121 336 347 097 126 077
total probable 4547 3793 440 454 643 554 515
total mine 5442 4914 423 430 740 680 592
p125 pit was mined out during 2007
pit optimisations carried out at a gold price of us550 per ounce
dilution and ore loss is incorporated into calculation of reserves
see comments and us disclaimer on page 49
at 31 december tonnes tonnes grade grade gold gold attributable
mt mt gt gt moz moz gold 80
category 2007 2006 2007 2006 2007 2006 moz loulo exploration
loulo exploration is reported in the group
exploration review on page 52
ore reserves
after adjusting for mining depletion in 2007
the overall reserve increased by 06 million
ounces to 74 million ounces this was
mostly due to the increase in reserves at the
gara underground mine  for more detail
refer to the table on the previous page
during 2007 the interface between open
pit and underground operations was re
evaluated based on updated costs and
projected gold price  in particular the
potential to mine deep ore from the southern
part of the yalea pit was reevaluated  in
the 2006 declaration this ore was classified
as ‘yalea deep pit’  since then a redesign
has been completed where it is planned that
this ore will be mined from underground
using the rampinstope method  this has
caused the overall grade of the underground
reserve to drop from 499gt to 482gt as
a result of the incorporation of extra dilution
into the reserve modelling
for the 2007 annual reserves a gold
price of us550 per ounce was used as
the basis for pit optimisation  the actual
cost profile for loulo was implemented in
this study
the indication that the southern part of the
gara orebody could have high grade
mineralisation has been confirmed with further
drilling bringing additional reserves to the
gara underground operation
30   randgold resources        annual report 2007
ore mined million tonnes 243 255
ore grade gt 332 335
waste mined million tonnes 1855 1582
strip ratio 761 621
total mined million tonnes 2098 1836
loulo mining results
12 months ending 31 december 2007 2006
4 at loulo ore was mined from
the gara yalea and p125
pits during the year
mining
mining operations at loulo are carried out
under contract by bcm mali sa a subsidiary
of bcm international limited  bcm operates
a fleet of two liebherr 994b excavators and
some 20 caterpillar 777d trucks assisted
by two 125 tonne excavators and various
ancillary equipment  bcm is also responsible
for the drill and blast operations and operates
five l7 and two l8 atlas copco rigs  maxam
mali sarl a subsidiary of maxam
international supplies the bulk explosive and
accessories for blasting  mining occurred
in the gara yalea and p125 pits during
the year  the average production volume
for the mining fleet during 2007 was
750 000bcm per month  fleet availability
was impacted by breakdowns on the
liebherr 994b excavators
underground mine design
the loulo underground project is still relatively
new and will be further enhanced and
optimised in 2008  the underground
extraction strategy has been focused on
accessing the orebodies in a safe and
considered manner bearing in mind
production rates grades and development
requirements
production is initially focused on the yalea
orebody where a high grade bonanza zone
of 15 million ounces at 1050gt exists
between 350 and 500 metres below surface
the gara mine with its more consistent
albeit slightly lower grade orebody will be
brought on line later in 2009 to provide a
steady feed to the plant randgold resources        annual report 2007   31
4 yalea underground mine
a reoptimisation of the yalea underground
design was undertaken during the year in
an attempt to smooth out design
inefficiencies  the main changes included
moving the first switchback position further
down to a point on the other side of the
“purple patch”  this means a long straight
run directly towards the high grade  the
conveyor changeover points were optimised
to increase capacity  changes to the stoping
design were made to reduce stope length
from 60 to 20 metre lengths improving the
selectivity and grade control
yalea south extension
the soft ore below the revised yalea pit
could be economically mined from open cut
but would incur a high strip ratio as indicated
in the 2006 annual report  because of this
an underground design was created that
utilises the rampinstope method to mine
this mineralisation more economically  this
leads to an increase in underground reserves
but a decrease in open cut reserves  the
reserve table on page 29 tracks the changes
in reserve allocation
gara underground mine
additional holes were drilled at gara during
the fourth quarter of 2007 and a redesign
completed to incorporate the additional
resources into the plan  this is based on
the yalea design and will include the
improvements made to the current yalea
design with regards to ventilation passes
rock passes decline layout and stoping
geometry
operational progress
at the end of the fourth quarter of 2007 the
twin declines at yalea underground mine
were advanced for a distance of 520 metres
from surface and a vertical depth of
100 metres below surface  a total of
1 030 metres of development was
completed at this stage  the advance of
the declines was hampered by an
intersection of poor ground conditions
however both declines are now through the
worst of these conditions and normal
development continued at the end of the
fourth quarter
the first development ore is expected to be
delivered towards the end of the first quarter
with first stoping ore scheduled for midyear
it is expected that the section will build up
to full production of 90 000 tonnes per month
from 2009
gara underground mine is scheduled to start
development in january 2009  the orders
for the underground heavy vehicle fleet have
been placed and the first units are expected
on site towards the end of 2008  gara is
expected to deliver first ore towards the end
of 2009 and build up to full production in
2014
processing production
steady production has been achieved
throughout the year  the second quarter
saw a record gold production of 70 660
ounces  end of the year final production
key performance indicators were above plan
in both mill throughput and gold recovery
the challenges associated with the third
quarter wet season although anticipated
could have been better addressed
measures were however put in place to
ensure a continued supply and feed of quality
ore from the pit and into the process plant
respectively  in the latter half of the year the
underperformance of the mining contractor’s
digger fleet necessitated ore being mined
predominantly from gara pit  this had an
adverse effect on downstream crushermill
throughputs and frequency of wear
component changeout  the last quarter
saw monthly mill throughputs back to the
220 000 tonnes planned as the total process
plant inclusive of the crusher plant achieved
steady state again
a total of 265 million tonnes of ore was
milled at a reconciled head grade of
330gt and 264 647 gold ounces were
produced and shipped  of this
14 367 ounces were sold for the first time
to a local malian company kankou moussa
sarl as part of a randgold resources’
initiative to allow malian nationals access to
malian gold  the overall gold recovery was
9314 513 gravity and 8801 cil
32   randgold resources        annual report 2007
yalea underground development
750m below surface
yalea south
extension
yalea pit p125 pit yalea boxcut
yalea underground
development
1 000m 5
the overall annual mill availability and hard
rock crusher throughput was 9156 and
2 773 470 tonnes respectively
tailings storage
the partnership between the tailings storage
facility operator fraser alexander tailings
mine residue and environmental engineering
consultant epoch resources and loulo mine
worked well through 2007 although
challenges had to be overcome with the civil
contractor  the main starter wall was raised
to the 1515 metre level in the year by
mechanical means and will be raised further
by cycloning and drywalling a method for
which trials are looking encouraging
capital projects and
construction report
a number of projects were completed in
2007  the most significant were
cil circuit expansion tanks 7 to 10
cil leach tanks 1 and 2  oxygen pump
relocated to cil 2
stockpile feeds conveyors and ‘a’ frame
installation completed
tailing dam wall raised to 1515 metre
level
new flocculent plant for the thickener
project
wash bay lube bay and garage
underground boiler shop
fuel farm overhead diesel storage
tanks
there are a number of projects currently
under construction  the most significant
are
underground vehicle and conveyor
concrete tunnels at yalea
thickener and clarifier civil and
mechanical installation work at the plant
cold caro’s acid cyanide destruction
system construction and installation
scheduled for completion by the third
quarter of 2008
reactor hydrogen peroxide and
sulphuric acid reagent storage tanks 
fabrication and installation
power plant expansion and
commissioning
environment and community
development
monthly monitoring programmes continued
through the year incorporating dust fallout
levels physiochemical cyanide oil grease
and bacteriological levels of surface and
groundwater across the mine site and tsf
facilities as well as surrounding water courses
no contamination of the outside environment
was identified
an annual environmental audit was
conducted by independent consultants and
no critical issues identified  the environmental
management programme was revised taking
into consideration the extended mine life
post construction rehabilitation continued
with unused borrow pits construction lay
down sites and roads being rehabilitated as
part of the planned ongoing rehabilitation
programme
5 during the year the cil
circuit expansion tanks
7 to 10 were completed
randgold resources        annual report 2007   33 two improved maize varieties were
tested on 35 farms during 2007  the
average yield was 1 800 kilograms per
hectare against a baseline average of
400800 kilograms per hectare for the
region
two improved pluvial rice varieties were
introduced on seven women’s
association farms
two biodiesel jatropha tree test fields
were planted at loulo and djidjaan
kenieba villages
human resources
manpower
the mine’s manpower complement
increased by 871 to 1 881 during 2007 due
to the underground project gaining
momentum
training
a strategic planning and team effectiveness
workshop was held in the first quarter of
2007  this was attended by the chief
executive the general manager and all his
departmental managers and superintendents
in addition a workshop was held on site in
december by dr arnold mol to enhance
the management skills of 28 supervisory
staff
two onsite training courses on social
partnership occupational safety malian
labour law and management were organised
in april and july 2007  these were attended
by loulo mine’s staff representatives and
the senior staff of randgold resources
industrial relations
industrial relations were positive overall
throughout the year  however there is still
considerable capacity and relationship
building work to be done by management
with the union committee  this committee
consisting of 10 members was elected in
january 2007  regular meetings were held
between the union committee and
management throughout the year  the
negotiation of a mine level agreement based
on a draft tabled by management was
initiated with the aim of clarifying the industry
elective agreement  this major negotiation
process as expected engendered some
conflict resulting in a strike notice being
given to management by the union  the
strike notice was suspended when
management explained that the union
demands regarding the job grade
remuneration and transport issues would
form part of the mine level agreement
discussion
the innovative transport allowance
scheme of a hire purchase arrangement
to support the self purchase of motorbikes
by the employees has been successful
the first batch of 160 motorbikes has been
delivered to the mine and allocated to
employees  a second batch has been
ordered
as part of this programme a total of 27 766
square metres has been rehabilitated
including the planting of 1 212 indigenous
trees and various indigenous grasses
on site recycling of waste continued with
proceeds being channelled back into the
community
major advances have been made with malaria
prevention through indoor spraying
programmes in all houses offices and
surrounding villages  this has resulted in a
decrease of 33 in malaria consultations
year on year
monthly community liaison meetings
continued during the year between
representatives of the mine and the
surrounding villages  it is randgold
resources’ policy to address the basic
health education and potable water
requirements of the surrounding community
loulo undertook the following community
projects during 2007
education
built loulo village school which was
handed over to the loulo village on
1 november 2007
commenced the construction of the
baboto school
commenced the construction of a
secondary school at djidjaan kenieba
which is being funded by one of the
local suppliers adjacent to the primary
school built in 2006
delivered school furniture to surrounding
village schools
health
construction of a local village clinic
provided community evacuation and
medical consultation to the surrounding
villages
sponsored an antipolio immunisation
programme that involved approximately
800 pregnant women and children in
the surrounding region
agriculture
continued to assist farmers and women
associations to improve agriculture in
the area
mine labour 389 327
capital projects 446 499
mine contractors 1 046 184
total 1 881 1 010
loulo manpower
at 31 december 2007 2006
34   randgold resources        annual report 2007 randgold resources        annual report 2007   35
morila mine
randgold resources’ major gold producing
asset since october 2000 has been the
morila gold mine  morila was discovered
by the company in 1996 and is owned by a
malian company morila sa which in turn
is owned 80 by morila limited and 20
by the state of mali
operations
morila limited is jointly owned by randgold
resources and anglogold ashanti  the
mine is controlled by a 5050 joint venture
management committee with responsibility
for day to day operations being transferred
from anglogold ashanti to randgold
resources with effect from 15 february
2008
from the start of production in october 2000
to december 2007 morila has produced
approximately 475 million ounces of gold
at a total cash cost of us161 per ounce
and morila sa has distributed to its
stakeholders an amount in excess of
us12 billion
morila had a difficult 2007 failing to meet
its annual targeted production of 500 000
ounces  the total ounces produced was
449 817 ounces at a total cash cost of
us332 per ounce
operational challenges resulted in lower
than expected grades a poor mining
performance in the first half of the year
and erratic recoveries from the plant at
times
costs remained under pressure due to
continued worldwide inflation in the key
inputs of fuel steel and transport
morila production and distribution of returns
dividend and tax distribution morila mine production
ounces produced 000
0
200
400
600
800
1 000
1 200
dividends
government
of mali
royalties
corporate tax
dividends
investing
companies
2001 2000 2002 2003 2004 2005 2006 2007 36   randgold resources        annual report 2007
a summary of the salient production and
financial statistics as well as a comparison
with the previous year’s results is shown
below
mineral resources
the mineral resource base estimated for the
mine using the results from infill drilling
programmes as well as resource extension
drilling depleted to the end of 2007 is
shown on the facing page
despite a higher gold price for modelling
and therefore a lower cutoff grade resources
have dropped significantly for two reasons
firstly it was apparent that the pit design
was now fixed as a result of the major
pushback that would be required if a bigger
pit was to be designed  previously it had
been assumed that the fringe areas to the
pit were potentially mineable by underground
methods
recent underground scoping studies have
however indicated that the resource available
at present is too small to warrant such
underground development at current gold
prices and costs  these fringe resources
have therefore been omitted from the mineral
resource base
the second major cause of the drop in
resources was the inability to accurately
model the insitu grade of the fringe areas
of the orebody  consequently grade control
drilling has in general returned lower grades
than predicted by the resource model
as a result the resource modelling going
forward has been carried out on a more
conservative basis
ore reserves
based on the current orebody model the
ore reserve was estimated for morila
depleted for mining to 31 december 2007
and is shown on the next page
it is currently estimated that mining activities
will cease during 2009 with processing of
stockpiles continuing until 2013
1
total mined million tonnes 239 215
ore mined million tonnes 50 52
mined grade gt 348 321
ore milled million tonnes 42 41
head grade gt 37 42
recovery  916 919
ounces produced oz 449 815 516 667
average gold price received usoz 710 609
cash operating cost excluding royalty usoz 282 215
total cash cost usoz 332 258
profit from mining activity us million 1698 1816
attributable 40 proportionately consolidated
gold sales us million 1277 126
ounces produced oz 179 926 206 667
profit from mining activity us million 67 925 72 643
 refer to explanation of nongaap measures in note 24 on pages 107 and 108
morila production and financial statistics
12 months ending 31 december 2007 2006
1 from the start of production
in october 2000 morila
has produced approximately
475 million ounces of
gold at a total cash cost of
us161 per ounce
2 a partnership agreement with
the mining contractors has
returned successes
particularly in productivity
improvements 2
randgold resources        annual report 2007   37
morila mineral resources
morila measured 1895 2054 190 227 116 150
indicated 400 950 357 334 046 102
total
measured and indicated 2295 3004 219 261 162 252 065
inferred 083 309 305 331 008 033 003
cutoff grade for resources  1gt
resources are reported within the us525 per ounce design pit
stockpiled ore included
at 31 december tonnes tonnes grade grade gold gold attributable
mt mt gt gt moz moz gold 40
category 2007 2006 2007 2006 2007 2006 moz
morila ore reserves
morila proved 1311 1536 221 250 093 123
probable 995 1135 201 247 064 090
total
proved and probable 2306 2671 213 249 158 213 063
reserves reported are economic at a gold price of us525 per ounce
dilution of 10 and ore loss of 5 are incorporated into the calculation of reserves
cutoff grade of 10gt
stockpiled ore included
see comments and us disclaimer on page 49
at 31 december tonnes tonnes grade grade gold gold attributable
mt mt gt gt moz moz gold 40
category 2007 2006 2007 2006 2007 2006 moz progress has been made in constructing
a genetic model to help generate a three
dimensional exploration model in order
to vector further exploration
research indicated that the morila
mineralisation might be related to intrusive
activity during the end phases of the eburnian
orogeny about 2 090 million years ago
research has also suggested a possible
mafic protolith to at least some of the
mineralised zones  ongoing research results
have highlighted the role of hydraulic breccias
in possibly focusing ore fluids as well as
potential chemical traps for fluids
closure
the mine is currently forecast to cease
operations in 2013 but mining activities
will end in the first half of 2009  in line
with the commitment to explore options
that might ensure the economic sustainability
of the mine infrastructure a study to
investigate the viability of developing a
relatively large scale agribusiness in the area
has commenced  this business could use
some of the facilities and infrastructure that
would be redundant when the mine closes
as well as employ some of the staff that
would be retrenched
human resources
manpower
manning levels related to permanent and
temporary morila and contractor employees
on the mine are listed on the table alongside
training and development
during 2007 there was a heavy emphasis
at morila on the implementation of ohsas
18001 following a double fatality in february
and the requisite training of the workforce to
ensure effective implementation  this training
included the conducting of continuous safety
audits induction training cyanide handling
hazardous chemical handling and the
identification of hazards and first aid courses
the four malian undergraduates sponsored
by morila sa and studying on malian mining
industry bursaries at the university of pretoria
in south africa two electrical one geology
and one mining student are doing well and
have passed with distinction to progress to
their final year of study
38   randgold resources        annual report 2007
ore processing
milled throughput for the year was satisfactory
and the plant expansion to 350 000 tonnes
per month can be judged a success
however at times the plant performance
and recovery were erratic mainly because
of problems caused by operational oversight
and maintenance related losses both of
which need to be addressed to ensure future
targets are achieved
exploration
morila continued to focus its exploration
activities on extending the existing orebody
and discovering new deposits which can be
processed using the morila plant
drilling concentrated on extensions to the
known orebody chiefly in the south tonalite
extension and in the west morila shear
zone west extension as well as in the eastern
margin
the 40 000 metre regional exploration
programme of the 200 square kilometre
mine lease area was completed in the early
part of the year  results from the programme
have been compiled and while these have
not yet defined another “morila” they have
indicated a low grade anomalous footprint
around the deposit  during the year the
team continued integrating the geological
structural and mineralogical components
of the deposit  using structural and
metallogenic consultants considerable
remaining reserves were slightly lower than
last year after depletion has been taken into
account as a result of changes in the orebody
model  this decrease has been balanced
by an increase in tonnes as a result of lower
cutoff grades due to the higher gold price
assumptions
mining
mining operations were carried out under
contract by somadex a subsidiary of
dtp terrassement the mining arm of the
french construction company bouygues
a partnership agreement which incorporates
the principle of sharing the potential savings
achieved by the contractor using agreed
productivity assumptions and allowing for
an agreed return has returned successes
particularly in productivity improvements
production was poor in the early part of
the year as a result of low availability of
equipment due to inadequate maintenance
of the fleet  somadex recognised the
problem and brought in additional
maintenance resources  a comprehensive
plan of action in terms of the contract for
work in arrears was supplemented by an
additional list of actions required from
somadex  the plan of action was in the
form of a “contractual instruction to act” and
was closely supported and audited by morila
additional mining equipment was also
mobilised and by the end of the year much
of the backlog had been caught up
national permanent 462 468 456
temporary and trainees 126 24 63 
expatriate 35                40 33
total 623              571 489
morila contractor employees
national permanent 813              972 995
temporary and trainees  258 19 
expatriate 43                44 40
total 1 114              1 016 1 035
total employees 1 737             1 587          1 524
morila employees
dec 2007       dec 2006  dec 2005 3
industrial relations
the industrial relations climate during 2007
at morila was complicated by calls for national
strikes by the two union confederations in
the country and by conflict between the
union committee and the personnel
delegates  although the mine managed to
avoid its employees supporting national strike
action the interunion dispute among
employees led to the untm and secnami
representatives on the mine being replaced
by cstmaligned employees following
elections on the mine that were supervised
by the regional labour inspector  the conflict
and competition for employees’ votes
resulted in the two factions making competing
demands to management to obtain
popularity  management succeeded in
remaining neutral and has handled the
situation in a patient and democratic manner
with assistance from the regional labour
inspector
despite the above factors morila had an
industrial action free 2007 for the second
year in a row as did the contractors on site
community development
community development initiatives
combining the tripartite partnership
operational plan and projects agreed upon
with the community development committee
included the
financing and installation of a community
radio station
building and equipping of three
classrooms in nérila sanso village
3 morila had an industrial
action free 2007 for the
second year in a row
randgold resources        annual report 2007   39
rehabilitation of three classrooms in
sanso
financing of school fencing in sinsin
reforestation of a total of five hectares
in five villages in the sanso commune
financing and organisation of
educational training in cooperation with
ngos and aid agencies to train
headmasters of schools in the sanso
commune
introduction of new hivaids
interventions in morila from population
services international psi and world
education ngos operating in mali
agricultural projects set up by the mine in
cooperation with the local communities
did well during the year and following
harvesting profits were distributed after
reinvestment in seeds and equipment had
been agreed between participants
the tripartite alliance between usaid
commune de sansomorila sa continued
its work during the year which included
the following
democratic governance
health
education
communication
environment
economic growth
the financial contributions made by the
members in 2007 were
usaid us100 000
commune sanso us100 000
morila us150 000 40   randgold resources        annual report 2007
health us
malaria and hiv prevention 5 970
education
radio equipment for the sanso commune 41 335
construction of 3 classrooms 30 584
rehabilitation of 3 classrooms for schoola 9 548
sinsin villages school fencing 26 759
equipment for the 3 new classrooms at sanso 7 573
cost of project study by external consultant
beacfsarl code anict 3 344
agriculture
2 tractors for the cooperative of morila and fingola
consultant report 2 788
maize seed 584
rice seed 4 355
community environmental activities 8 201
maize herbicide 3 703
rice herbicide 1 211
maize fertiliser 21 177
rice fertiliser 1 618
fingola and morila rice field ploughing and
technician supervision 3 071
sanso water pond 6 018
general community development projects
community cereal bank 30 000
art culture and heritage
computer and accessories donation to governor
of sikasso 2 863
sport equipment donation to stade malien of
sikasso 3 429
solidarity donation to community elderly 2 085
sponsorship of the regional basket ball league 2 174
 
total 218 390
morila other investment spending
12 months ending 31 december 2007 ken king
exploration geologist
started with the company in 2005 on greenfields
exploration in mali south then moved to morila
to advise on the continuing brownfields
exploration programme  currently at tongon
assisting with resource drilling geological and
structural interpretation and regional target
exploration
“i try to share my knowledge and experience
with the more junior members of the team and
give them as much responsibility as they can
handle  this gives them a greater sense of
purpose  and helps to keep me on my toes”
pr project oject project 42   randgold resources        annual report 2007
a 30 000 metre drilling programme designed
to advance the project to a final feasibility
study started at tongon in the first quarter
of the year  by the onset of the wet season
in july more than 20 000 metres of drilling
had been completed and it was decided to
revise the scope of the project  the focus
of the revision was to examine the possibility
of increasing the design capacity of the plant
a feasibility type 3 study was completed
based on updated orebody models and
project information as at september 2007
and on the back of this in january 2008
the board approved the development of the
mine
geology and mineral resources
the tongon deposits locate within the
lower proterozoic senoufo belt which is a
200 kilometre long volcanosedimentary
belt of greenschist grade metamorphism
bounded on either side by variably tectonised
granitoid gneiss terranes
tongon project
the t ongon project is located in northern
côte d’ivoire 628 kilometres north of
abidjan within the nielle permit
improvement of the political situation in the
country and completion of the feasibility
t ype 3 study  led the board in january 2008
to approve the development of the mine
project
300km
nielle permit
tongon
development
project
randgold resources exploration permits
côte d’ivoire locality of tongon project randgold resources        annual report 2007   43
1 at tongon 20 000 metres
of drilling in the six months
to july 2007 produced such
good exploration results that
it was decided to revise the
scope of the project
1
the mineralisation at tongon consists of
two zones the northern and the southern
the main mineralisation in the northern zone
locates between two carbonaceous shale
units which act as the hangingwall and
footwall structures and have taken up the
highest strain of shearing  the mineralised
zone varies in thickness from 3 to 35 metres
and averages 25 metres in zones of dilation
the mineralisation is associated with
increased silicification sulphidation and fine
brecciation
the southern zone comprises multiple
mineralised zones which appear lensoid
in shape resulting in their strike and depth
continuity being variable  they are hosted
within shear bounded northwest dipping
brecciated volcaniclastic zones  the silicate
alteration is complicated with biotite silica
sericite tremolite diopside and calcite being
observed in thin section
detailed petrographic examination of samples
representative of the two zones indicates
that gold is preferentially associated with
silicates with a small secondary association
with arsenopyrite confirming the current
metallurgical test results that show relatively
easy gold recovery by cil
the 20 000 metres of drilling completed by
july 2007 allowed for the declaration of the
following mineral resource see table
alongside
southern zone
open pittable
indicated 1944 242 151
inferred 2333 224 168
northern zone
open pittable
indicated 1039 240 080
inferred 034 314 003
potential
underground
inferred 398 288 037
total indicated 2983 241 231 177
total inferred 2765 234 208 159
open pit resources are those resources falling within a us800 per ounce pit shell
potential underground resources for the northern zone are those resources above a 2gt pay limit occurring
below the us800 per ounce pit shell
in pit reserves and mineable resources were calculated using a gold price of us525 per ounce and used
in the feasibility type 3 study
tongon feasibility mineral resources
at 31 october 2007 attributable
tonnes grade ounces gold 765
category mt gt moz moz for the southern zone to be mined first  the
strip ratio for the southern zone is 341 and
for the northern zone 651 giving a
combined ratio of 381
the remaining 10 000 metres of the original
30 000 metre drill programme concentrated
on infill drilling within the pit resulting in the
upgrading of a significant portion of the
inferred resources to indicated status  this
drilling is complete and has successfully
confirmed our confidence in the geological
continuity  results are being incorporated
into a revised reserve estimate which will be
confirmed in april 2008
metallurgy and plant design
the increase in resources and the
conversion to indicated resources
previous total resource of 3596 million
tonnes at 269gt for 311 million ounces
have led to a review of the potential scale
of operations  a plant throughput of
300 000 tonnes per month has now been
designed as opposed to the previous design
of 200 000 tonnes per month  life of mine
is currently estimated at 105 years
additional metallurgical testwork has
been completed on a range of ore materials
from the tongon orebodies with a view to
sampling variability both at depth and along
strike  straight cyanidation of fresh material
allows gold recoveries of 70 to 80 while
the introduction of a gravity step enables
recoveries to be increased to 80 to 85
flash flotation will be used to increase
recoveries beyond 85
senet an engineering and project
management company with considerable
experience of gold projects in west africa
has been commissioned to undertake the
feasibility study design and engineering in
cooperation with our capital projects team
plant design currently incorporates a
combination of crushing and grinding circuits
comprising primary secondary and tertiary
crushing and sag and ball mills  gravity
and flash flotation will also be employed
environmental and social impact
study
external consultants digby wells 
associates compiled a scoping level
environmental and social impact assessment
of the proposed tongon mine site  no
impacts which could present a fatal flaw to
were set at 10 and 3 respectively and
for the southern zone at 15 and 2
the original inferred resources falling within
the present pit design have been substantially
converted to the indicated category but not
yet declared as reserves and are reported
as a potential mineable resource
total mineable material is therefore estimated
at 3872 million tonnes at a grade of
224gt for total gold of 279 million ounces
see tables below scheduling has been
carried out using a multisource optimisation
which has indicated an economic advantage
mining
mining of the tongon orebodies is planned
to be mined by orthodox open pit methods
employing a mining contractor to carry out
all the mining activities except for mine
planning and management  the company
will be responsible for purchasing the mining
equipment
pit optimisation studies have been
undertaken using whittle 4x with a range
of gold price and cost parameters  design
of the pits has been carried out on pits
optimised at us525 per ounce gold price
dilution and gold loss for the northern zone
44   randgold resources        annual report 2007
2km
southern zone
northern zone
tongon north and south orebody models
tongon resource block models with
us525 scoping pit designs
05  10gt
10  20gt
20  30gt
30  40gt
 40gt
northern zone
2 200m
southern zone
2 100m
southern zone
probable 1604 229 118
northern zone
probable 585 229 043
total probable 2188 229 161 123
tongon feasibility ore reserves
at 31 october 2007 attributable
tonnes grade ounces gold 765
category mt gt moz moz
southern zone 1683 217 117 090
tongon feasibility potentially mineable resource
at 31 october 2007 attributable
tonnes grade ounces gold 765
mt gt moz moz the successful execution of the project were
identified but as is common with mining
projects in west africa a number of potentially
significant impacts that will have to be
mitigated during the project life were identified
an environmental management plan emp
to ensure these impacts are systematically
and correctly managed is being developed
and will be adhered to
human resource and social
responsibility
policies and procedures based on the
company’s experience in other projects in
africa are being formulated  these will
include the preconstruction phase the
construction phase and the operational
phase  community liaison will form an
important aspect throughout each of the
phases
financial analysis
a feasibility type 3 study based on
161 million ounces of reserves and
117 million ounces of potentially mineable
resources has been carried out
parameters are summarised below
a flat gold price of us600 per ounce
was used for modelling purposes
total ore mined of 3872 million tonnes
at a strip ratio of 381 to give total tonnes
mined of 182 million tonnes
mining costs average us200 per
tonne over the life of mine
mill throughput of 300 000 tonnes per
month
2
2 community liaison forms
an important part of the
company’s social
responsibility programme
randgold resources        annual report 2007   45
plant costs average us1027 per
tonne
ga cost is us250 per tonne over
life of mine
capital cost is us267 million including
ongoing capital mining fleet and closure
costs
cash cost including 3 state royalty ranges
from us259 per ounce to us394 per
ounce and averages us359 per ounce
over the life of mine  no optimisation has
yet been carried out and the financial
assessment will be further refined as
additional information becomes available
from ongoing infill drilling and other test work
apart from the indirect benefits of the
development of the project such as the
creation of infrastructure employment of the
country’s citizens transfer of expertise and
a growth in ivorian small and medium
enterprises it has been estimated that the
state’s share of the economic rent from the
project at a gold price of us600 per ounce
and under the financial regime as modelled
will amount to 51 of the total being made
up of dividends royalties income tax and
other taxes and duties
an economic assessment based on the
exploitation of both reserves and potentially
mineable material shows that an operation
designed for a throughput of 300 000 tonnes
per month would yield an internal rate of
return of 21 at a us600 per ounce gold
price by the end of the year the 30 000 metre
drilling programme had been completed
plant design had been further advanced and
the preliminary mine infrastructure had been
laid out  as the project met randgold
resources’ hurdle rates on 31 january
2008 the board approved the development
of the tongon mine
upgrading of basic site infrastructure and
detailed designs is being progressed along
with the initial detailed infill drilling programme
subject to the final conclusion of a mining
convention with the government of côte
46   randgold resources        annual report 2007
southern zone
indicated 3218 234 242
inferred 748 245 059
northern zone
open pittable
indicated 978 246 077
inferred 049 334 005
potential
underground
inferred 502 265 043
total indicated 4196 237 320 245
total inferred 1299 256 107 082
open pit resources are those resources falling within a us800 per ounce pit shell
potential underground resources for the northern zone are those resources above a 2gt pay limit occurring
below the us800 per ounce pit shell
tongon mineral resources
at 31 december 2007 attributable
tonnes grade ounces gold 765
category mt gt moz moz
d’ivoire construction startup is planned
towards the end of the year with first gold
production scheduled for the fourth quarter
of 2010
mineral resources
incorporation of all drilling completed in 2007
has allowed for an updated resource
estimation which tracks an increase in the
indicated resources  this will translate into
the conversion of the potential mineable
resources into reserves and an updated
statement will be published with the 2008
first quarter results mouhamed david mbaye
country manager senegal
joined randgold resources in 1995 soon after
graduating as a geologist from the university
of dakar  has worked in gold exploration in
mali senegal and gabon  now manages the
company’s six exploration permits within the
kedougou kenieba inlier
“we persevered in senegal even though the
first results were not that encouraging because
our strategic perspective is a long term one
now our patience has paid off in the form of
massawa a target which has all the makings of
a big gold discovery”
reserves and r reserves and resources esources reserves and resources 48   randgold resources        annual report 2007
1 randgold resources        annual report 2007   49
annual
resource
and reserve
declaration
measured indicated and
inferred mineral resources
loulo 80
measured 1529 1498 382 388 188 187 150
indicated 4866 4679 488 488 763 735 610
sub total measured
and indicated 6395 6177 462 464 951 922 761
inferred 2590 2277 292 291 243 213 195
morila 40
measured 1895 2054 190 227 116 150 046
indicated 400 950 357 334 046 102 018
sub total measured
and indicated 2295 3004 219 261 162 252 065
inferred 083 309 305 331 008 033 003
tongon 765
measured
indicated 4196 237 320 245
sub total measured
and indicated 4196 237 320 245
inferred 1299 3596 256 269 107 311 082
total resources
measured and
indicated 12886 9181 346 398 1432 1174 1070
inferred 3972 6181 281 280 358 557 280
proved and
probable reserves
loulo 80
proved 895 1121 336 347 097 126 077
probable 4547 3793 440 454 643 554 515
sub total proved
and probable 5442 4914 423 430 740 680 592
morila 40
proved 1311 1536 221 250 093 123 037
probable 995 1135 201 247 064 090 026
sub total proved
and probable 2306 2671 213 249 158 213 063
tongon 765
proved
probable 2188 229 161 123
sub total proved
and probable 2188 229 161 123
total reserves
proved and probable 9936 7585 331 366 1059 893 778
randgold resources reports its mineral resources and ore reserves in accordance with the jorc code  the reporting of ore reserves is also in accordance
with industry guide 7
pit optimisation is carried out at a gold price of us550 per ounce underground reserves are also based on a gold price of us550 per ounce except for morila
and tongon which were run at us525 per ounce  dilution and ore loss are incorporated into the calculation of reserves   
cautionary note to us investors  the united states securities and exchange commission  the “sec”  permits mining companies in their filings with the sec to
disclose only those mineral deposits that a company can economically and legally extract or produce randgold resources uses certain terms in this annual report
such as “resources” that the sec guidelines strictly prohibit the company from including in its filings with the sec
addition of individual line items may not sum to subtotals because of rounding off to two decimal places
see glossary of terms on website at wwwrandgoldresourcescom
at 31 december tonnes tonnes grade grade gold gold attributable
mt mt gt gt moz moz gold
category 2007 2006 2007 2006 2007 2006 moz 50   randgold resources        annual report 2007
mali   
loulo ep 372 144 800
morila eep 132 51 800
morila ep 200 77 400
bena eep 13 5 800
sinnboo ae 282 109 800
syeba ae 81 31 800
bagoeest eep 183 71 
bagoeouest eep 176 68 
côte d’ivoire   
nielle eep 671 259 765
boundiali eep 1 314 507 765
dabakala eep 191 74 765
dignago eep 1 000 386 1000
apouasso eep 1 000 386 1000
mankono rp 704 272 765
t able of mineral rights
at 31 december 2007
senegal   
kanoumering eep 405 156 900
kounemba eep 408 158 900
miko eep 95 37 900
dalema eep 413 159 900
tomboronkoto eep 403 156 900
bambadji eep 401 155 
tanzania   
nyabigena south pl 18 7 1000
nyabigena south pl 18 7 1000
kajimbura south pl 23 9 1000
kajimbura north pl 23 9 1000
simba sirori south pl 26 10 1000
nyamakubi pl 21 8 1000
nyamakubi south reappl pl 21 8 1000
kiabakari east pl 62 24 1000
miyabi jv licences pl 504 195 
mtamba pl 62 24 1000
buhemba south pl 145 56 1000
burkina faso   
danfora eep 45 17 900
kiaka eep 244 94 900
basgana eep 250 97 900
bourou eep 122 47 900
tanema eep 247 95 900
kaibo eep 250 97 900
yibogo eep 247 95 900
nakomgo eep 235 91 900
gogo eep 250 97 900
safoula eep 249 96 900
tiakane eep 196 76 900
ghana   
bole ne rl 866 334 900
famona rl 19 7 900
satemkon rl 37 14 
total area 12 623 4 874
area
area sq equity
country type km
2
 miles 
area
area sq equity
country type km
2
 miles 
resource triangle
regional
exploration
9 26 15 7 57
followup
targets
814 9162
identified
targets
95 963
7
reserve
definition
21
measured and
indicated
resources
4
1
inferred
resources
8 61
advanced
targets
total  171
loulo mine mali
morila mine mali
loulo ug development mali
tongon
development
côte d’ivoire
massawa
target
senegal
ep exploitation permit
eep exclusive exploration permit
ae reconnaissance licence
rl reconnaissance licence
pl prospecting licence
rp reconnaissance permit
 joint venture in which the company
is currently earning an interest
kiaka
target
burkina
faso
senegal
côte d’ivoire
mali
tanzania
burkina faso
ghana sarah herbert
exploration geologist
born in zimbabwe and educated at rhodes
university in south africa sarah joined randgold
resources in 2005  is involved in the exploration
programmes on the loulo permit and in
particular at the faraba target has also worked
on regional reconnaissance in senegal
“as a younger member of the randgold team
i’m able to tap into its wealth of experience
and i enjoy the spirit of commitment and the
sense of working together towards a common
goal  my personal ambition  to discover a
multimillion ounce deposit”
exploration r exploration review eview exploration review 52   randgold resources        annual report 2007
in 2007 exploration activities concentrated
on the extension of known orebodies and
the discovery of new orebodies at producing
mines and exploration sites
exploration
review
we have a portfolio of projects within some of the most prospective gold belts of both
west and east africa and have operations in six african countries with 171 targets on
12 623 square kilometres of groundholding supported by a team of 70 geologists
highlights
at loulo we continue to build the resource base which is now at 1194 million ounces
as well as the resource conversion work exploration is focused on the next discovery
by systematically evaluating targets within the lease area of these faraba and baboto
are showing the most promise
a 1 400 square kilometres land package has been consolidated in the loulo district
straddling the highly prospective senegalmali shear zone  a helicopter borne vtem
electromagnetic survey has been flown over this entire land package to help with geological
and structural interpretation and target prioritisation
at morila research concluded that a specific lithological horizon hosts the ore deposit
this is a mafic volcanic unit which marks a change in sedimentation from fine to coarse
the extrapolation of this unit is the focus of followup work
in south mali generative work continues to prioritise areas of interest  this has led to a
joint venture agreement being signed with a canadian junior over two prospective permits
in the morila region  randgold resources also continues to work on early stage exploration
projects in its search for new deposits
in the côte d’ivoire at tongon we completed more than 30 000 metres of diamond
drilling and increased the resource base by 41 to 439 million ounces  in addition to
the feasibility drilling a review of 19 targets within the nielle permit has been completed
which highlighted 12 targets for followup work
in senegal encouraging rab drill results have been returned along 28 kilometres of strike
at massawa which is now a high priority target for diamond drilling this together with
the targets of sofia bakan corridor and bambadji will be the focus of work in 2008
in burkina faso a review of all the geological and structural data indicates that a northeast
plunging anticline hosts the kiaka main zone  the last diamond hole drilled to the north
returned 166 metres at 126gt indicating the system is open  a syncline hosts a narrow
zone of hangingwall mineralisation which has not been fully tested  an additional
programme of diamond drilling is being planned to test these two targets  elsewhere in
the permit portfolio the team are developing targets for drilling in the 2008 field season
in ghana early stage exploration activities on the bole permit have highlighted a
14 kilometre long gold in soil anomaly associated with a large regional fold closure
adjacent to a granite greenstone belt contact and major regional shear
in tanzania generative work is the driver to build a new portfolio of projects while work
continues on the miyabi project a joint venture with african eagle who previously identified
520 000 ounces at 13gt
in summary we have a prospective portfolio of exploration projects in both west and east
africa this reflects our strategic focus on organic growth through exploration success
1 a team of 70 geologists
examine our prospective
portfolio of exploration
projects in some of the most
prospective gold belts of
west and east africa tanzania
500km
east africa
loulo
gold mine
mali
burkina faso
ghana
côte
d’ivoire
senegal
guinea
liberia
sierra
leone
morila
gold mine
tongon
development
project
600km
satemkon
fanoma
apouasso
dignago
dabakala
nielle
danfora
bole ne
bagoe  east
morila
bagoe west
sinnboo
boundiali
mankono
syeba
kanoumering
dalema
bambadji
tomboronkoto
miko
kounemba
loulo
bena
nahali
nakomgo
lourgogo
yibogo
kiaka
safoula
tiakane
bourou
basgana
gogo
tanema
west africa
randgold resources        annual report 2007   53
1
locality of exploration projects
africa
mali
tanzania
burkina
faso
ghana
côte
d’ivoire
senegal morila morila
loulo loulo
tongon tongon tongon
loulo
morila
randgold resources
exploration permits
kiabakari east
buhemba south
nyabigena south
simba sirori south
kajimbura
lake victoria
nyamakubi
miyabi  jv
mtambo the known targets of baboto south central
and north  at baboto south previous
rc drilling defined mineralisation over a
13 kilometre strike length with an average
width of 1563 metres and grade of 182gt
to vertical depths of 95 metres  t wo diamond
drill holes tested the continuation of the
mineralised structure to vertical depths of
250 metres and returned the following results
bdh020  920 metres at 528gt and
bdh021  120 metres at 400gt  a ground
induced polarisation ip geophysical survey
has been completed covering the entire
5 kilometre baboto target area  the results
define separate subparallel structures
hosting the baboto south central and north
targets  at baboto central rab drilling
returned encouraging results with hole
barab58 intersecting 30 metres at 215gt
and barab59  21 metres at 293gt
this together with previous results defines
500 metres of continuous mineralisation for
followup testing
at loulo 3 a newly identified northsouth
structure places previous results in better
context and highlights a narrow but high
grade target  previous drilling over a
500 metre strike length is limited to one
diamond hole an rc hole and a number of
rab drill holes  diamond hole l3dh26 
6 metres at 866gt from 53 metres
rc hole l3rc01  13 metres at 1187gt
and rab holes rab687  27 metres at
598gt rab692 8 metres at 1164gt
rab684  12 metres at 365gt  the latest
drilling returned the following intersections
l3dh27  680 metres at 072gt l3dh28
 1470 metres at 595gt including
08 metres at 8810gt l3dh29  3 metres
at 1082gt  all the data are currently being
integrated and modelled and an economic
study is in progress
elsewhere in the loulo permit at yalea south
conceptual diamond drilling intersected
mineralisation  ysdh06 returned 5 metres
at 486gt associated with fractured
quartzites
mali
loulo
in addition to the resource conversion work
at the yalea and gara orebodies exploration
has concentrated on evaluating targets within
the 372 square kilometre permit area
at the gara deposit deep drilling tested the
continuation of high grade gold mineralisation
associated with the plunge of the folded
quartz tourmaline unit  this drilling has
outlined additional underground resources
the orebody has now been confirmed to
vertical depths of almost 700 metres below
the surface and is still open
faraba is part of a 10 kilometre anomalous
structural corridor which also includes p64
drilling has so far confirmed the bedrock
footprint of mineralisation to 3 kilometres and
an inferred resource of 567 000 ounces at
260gt has been defined for a 350 metre
strike length at the main zone  in addition
15 kilometres to the north a zone of
mineralisation has been outlined over
600 metres long with an average width of
12 metres and an average grade of 22gt
drilling in the gap area between the main
and north zones has returned multiple
mineralised intercepts the best of which
includes fadh015  1332 metres at 396gt
and 1055 metres at 868gt fadh019 
428 metres at 867gt and fadh026 
1310 metres at 308gt and 455 metres
at 911gt  this drilling has confirmed the
geological model with drill holes intersecting
an approximately 100 metre true width zone
of strong shearing alteration and gold
mineralisation  drill hole fadh018 drilled at
bandankoto some 15 kilometres south of
the main zone on the same structure
returned among other intercepts
2412 metres at 216gt  work in 2008
will concentrate on connecting these zones
which are still separated due to the size of
the structure
further afield but still within the faraba area
a regional rab drilling programme has
targeted surface anomalism and conceptual
targets associated with prospective structures
along the farabap64 shear corridor  this
programme has so far returned anomalous
intersections at nine different targets
the baboto structure is part of a more than
5 kilometre mineralised structure which hosts
54   randgold resources        annual report 2007
2 southern mali is a highly
prospective terrain as
indicated by the morila and
syama deposits
loulo district evaluating targets within the 372km
2
 permit area
yalea and gara
orebodies
priority targets
mali
senegal
loulo
dalema dalema
bambadji
loulo loulo
p129
loulo 3
faraba
gara south
gara mine
yalea mine
baboto
5km
bena bena
dalema
bambadji
loulo
bena datasets and models to prioritise targets for
followup investigation
morila exploitation lease
at morila further research has confirmed
that mineralisation is the result of a multistage
intrusion related gold system and a specific
mafic volcanic lithological horizon hosts the
orebody marking a change from fine to
coarse sedimentation  this unit has been
extrapolated away from the mine and a four
hole 2 441 metre diamond drilling
programme mex14 was completed as
an initial followup focusing on the northern
2
regional work
our kedougoukenieba inlier initiative
established in 2007 to consolidate the most
prospective ground in the loulo district has
been very successful  we signed a joint
venture with iamgold on their 343 square
kilometres bambadji permit adjacent to
loulo  randgold resources has the option
to earn a 51 stake in the project by funding
and completing a prefeasibility study
following the prefeasibility study iamgold
can retain a 49 stake in the project by co
funding a full feasibility study or dilute to a
35 stake  the bambadji permit straddles
the senegalmalian shear zone and
generative work reveals a coincident 25 by
5 kilometre gold in soil anomaly containing
34 targets which have seen very little follow
up drilling  in addition we acquired the
413 square kilometres dalama permit from
the senegal government and we have signed
a joint venture agreement with clib a local
malian company on two permits directly
north of loulo  these permits together with
the loulo and selou permits have
consolidated a 1 400 square kilometres
ground holding
following this ground consolidation in the
loulo district we have completed flying a
vtem airborne electromagnetic aem survey
over the area  the strategy behind this
survey is that the aem will provide a more
detailed geological and structural framework
of the area especially in areas of low
magnetic response and surface regolith
cover  this will enable us to integrate our
randgold resources        annual report 2007   55
and eastern margins of the orebody results
for the two northern holes mex12 confirm
the termination of the orebody while mex 3
intersected a broad zone of low grade
gold mineralisation along the eastern pit
margin 45 metres at 045gt including
8 metres at 127gt from 565 metres
associated with a moderate to steeply dipping
structure which is in sharp contrast to
the general flat lying nature of the orebody
the potential for this structure to flatten
creating zones of dilation is considered
to be a high priority target for followup
work
kenieba inlier consolidating the most prospective ground
senegal and mali west permits
senegal
mali
guinea
100km
randgold resources permits
gold mines
loulo
bena
tomboronkoto
bambadji
jv
miko
kounemba
kanoumering
kedougou
saraya
dalema
to
dakar
proposed
railway line
yatela
sadiola
gara
yalea
sabodala 3
56   randgold resources        annual report 2007
mali south the search continues for new deposits
50km
yanfolila shear
yanfolila belt
banifing shear
bougouni belt
morila mine
syama mine
syama shear
bougouni terrane
morila
bagoe west
bagoe east
kalana mine
syeba
sinnboo
senegal
in senegal we have an increased portfolio
of six permits covering 2 125 square
kilometres over the prospective sabodala
volcanosedimentary belt and the senegal
malian shear zone
on the kounemba permit the massawa
target was first identified in 2007 and locates
on the main transcurrent shear zone mtz
it was initially characterised by a 35 kilometre
long by 100 to 400 metre wide plus 50ppb
gold in soil anomaly  surface mineralisation
is associated with gossanous shears and
quartz stockworks hosted by volcanics
and sediments
initial rab drilling along 400 metre spaced
lines confirmed bedrock mineralisation
over 28 kilometres including the following
positive results mwrab13  27 metres at
112gt mwrab14  6 metres at 542gt
mwrab15  3 metres at 889gt
mwrab24  12 metres at 112gt
mwrab28  30 metres at 460gt
mwrab29  9 metres at 156gt
mwrab61  12 metres at 104gt and
mwrab62  36 metres at 112gt  this
in turn has been confirmed by 7 diamond
holes for 1 645 metres drilled on 400 metre
spaced lines
southern mali
the southern mali region is a highly
prospective terrain as indicated by the
discoveries of the morila and syama
deposits  however the entire region is
heavily lateritised and rock outcrop is very
limited  the most obvious regional soil
geochemical anomalies have been
investigated and no recent discoveries have
been made in the region  we continue with
generative programmes and the development
of conceptual ideas and as part of the
regional programme randgold resources
teams have prioritised areas of interest and
carried out a number of due diligence
reviews  this programme has led to a joint
venture agreement with canadian junior
african gold group over two prospective
permits in the morila region  teams are
already on the ground  randgold resources
has also continued to work on early stage
exploration projects to identify targets for
possible drill testing  this has resulted in
the turnover of a number of permits in the
search for new deposits
randgold resources permits 3 massawa in senegal has been
categorised as a significant
new drill target after initial
diamond and rab drilling
returned high grade results
and confirmed mineralisation
over 28 kilometres
randgold resources        annual report 2007   57
mwddh001 6702 8245 1543 159
11855 12290 435 671
13293 13850 557 880
mwddh002 10820 11220 400 147
13594 14810 1216 290
mwddh003 7800 8730 930 380
9404 10000 596 547
13180 14050 870 260
mwddh004 14062 14370 308 160
mwddh005 10200 10540 340 270
13700 14652 952 690 207m  2840gt
mwddh006 10450 11509 1059 168
13245 14858 1613 410
17650 17850 200 245
24005 26200 2195 174 745m  331gt
mwddh007 15600 18332 2732 580 100m  9550gt
110m  3230gt
21720 23700 1980 115
30600 30800 200 359
massawa diamond drill results
at 31 december 2007 from to width grade
hole id m m m gt including
diamond and rab
drilling confirms
mineralisation over
28km at the
massawa target
senegal location of massawa target on the kounemba permit
ddh002 1216m  290gt
incl 7m  388 gt
rab089 12m  141gt
rab090 9m  210gt
rab091 6m  079gt
rab092 6m  055gt
ddh003 930m  378gt
596m  547gt
870m  260gt
rab076 12m  040gt
rab078 18m  226gt
incl 6m  617gt
rab082 3m  071 gt
ddh004 308m  160gt
incl 1m  397gt
rab070 4m  474gt
rab071 6m  045gt
ddh005 340m  270gt
incl 132m  553gt
952m  690gt
incl 207m  284gt
090m  789gt
rab061 12m  104gt
rab062 36m  112gt
rab147 6m  145gt
rab149 3m  106gt
rab151 9m  057gt
rab152 9m  058gt
ddh006 1m  1180gt
1059m  170gt
incl 209m  570gt
1613m  410gt
2m  245gt
2195m  160gt
incl 745m  331gt
rab011 9m  168gt
rab012 3m  591gt
rab013 27m  126gt
rab014 3m  1030gt
rab015 3m  889gt
500m
ddh001 1543m  160gt
incl 263m  520gt
435m  670gt
557m  876gt
rab023 9m  259gt
rab024 12m  084gt
rab025 3m  388gt
rab027 3m  484gt
rab028 9m  1436gt
rab029 9m  156gt
gold targets
miko
tomboronkoto
kounemba
rab155 24m  071gt incl 3m  427gt
rab156 27m  303gt incl 6m  981gt
rab157 15m  170gt
rab158 24m  033gt
massawa target
20km
kanoumering
geologically the boreholes intersected
a sequence of interbedded sediments
and volcanics which have been intruded
by felsic dykes gabbros and granitic
bodies  the rock units have been
affected by northeast shearing
associated with the mtz which in turn
has been reactivated dextrally by north
south belt discordant structures resulting
in dilation and mineralisation
mineralisation locates in various lithologies
but is structurally controlled with a
prominent hangingwall and footwall
structure often graphitic  there are
varying degrees to the intensity of
alteration silicacarbonatesericitepyrite
arsenopyrite and locally brecciation and
brittle fracturing are associated with the
gold mineralisation  the results from this
first phase of drilling are presented in the
table below
rab140 6m  048gt
rab142 15m  036gt
rab143 3m  091gt
rab132 15m  265gt
rab134 12m  090gt
rab125 21m  093gt
incl 15m  120gt
rab116 30m  021gt
rab117 39m  045gt
rab118 15m  038gt
rab106 39m  106gt
incl 3m  364gt
9m  3095gt
rab107 38m  020gt
rab109 30m  1101gt
incl 3m  446gt
3m  269gt
3m  333gt
rab111 20m  409gt
incl 6m  765gt
3m  995gt
rab100 12m  145gt
rab101 12m  290gt
incl 3m 1080gt
rab102 24m  858gt
incl 3m  587gt
ddh007 2782m  581gt
incl 1m  955gt
198m  115gt
2m  359gt
rab043 6m  101gt
rab051 4m  290gt 58   randgold resources        annual report 2007
4 in a search for advanced
targets and deposits the
team has been turning
ground over in ghana where
randgold resources has
three permits covering
922km
2

at the kiaka target a geological
estimate of 2 million ounces
has been calculated
burkina faso exploration permits
20km
tanema
kaibo
gogo
basgana
safoula
nakomgo
kiaka
bourou
kiaka deposit  long section
met recovery
 80
80   95
95   98
ne sw
125km strike
orebody model
gold count sample
kdh06 96m  029gt
kdh10 68m  03gt
kdh18 40m  02gt
kdh07 79m  04gt
kdh11 68m  08gt
kdh12 154m  08gt kdh13 166m  045gt kdh05 208m  146gt
kdh14 198m  153gt
kdh04 154m  085gt
kdh16 171m  09gt
kdh17 166m  126gt
yibogo
kdh03 149m  128gt
kdh15 186m  08gt
kampala
tiakane
an additional 2 436 metres of infill rab
drilling closing the line spacing to
200 metres has been completed and
returned high grade results from 3 metre
composite samples including  mwrab102
 24 metres at 858gt including 3 metres
at 5870gt mwrab106  39 metres at
1060gt including 3 metres at 3640gt
and 9 metres at 3095gt mwrab109 
30 metres at 1101gt including 3 metres
at 4460gt 3 metres at 2690gt and
3 metres at 3330gt mwrab111 
20 metres at 409gt mwrab132 
15 metres at 260gt and mwrab156 
27 metres at 303gt  mineralisation is open
along strike to the northeast and southwest
a 7 000 metre diamond drilling programme
has been commissioned to delineate the
mineralised zone and commence an
evaluation of this exciting target  concurrent
with this drilling additional soil sampling has
extended the anomaly by a further 34 to
62 kilometres and rab drilling is ongoing
delaya is defined by a 6 kilometre by
100 metre plus 20ppb gold anomaly
bedrock mineralisation was previously
delineated over a 700 metre strike extent by
trenching results which include  dlt003 
1115 metres at 960gt dlt004  4 metres
at 160gt dlt005  45 metres at 754gt
dlt006  745 metres at 198gt and
62 metres at 759gt dlt008  18 metres
at 068gt and dl t009  2 metres at 569gt
this was confirmed by an initial fivehole
1 000 metre diamond core programme
which returned results dld001 
983 metres at 180gt from 77 metres
dld002  1244 metres at 507gt from
177 metres including 700 metres at 819gt
dld003  300 metres at 180gt and
dld004  38 metres at 480gt
mineralisation is hosted within a package of
schists strongly sheared and altered by
silicasericiteiron and sulphides present are
disseminated pyrite and arsenopyrite
additional rab drilling returned positive
results firstly on a line 200 metres north of
diamond drill hole dld002  dlrb005
returned 6 metres at 249gt dlrb006 
6 metres at 198gt and dlrb010 
3 metres at 300gt  the second line was
drilled approximately 2 kilometres to the
south of the known mineralisation testing a
plus 250ppb gold in soil anomaly  rab hole
dlrb030  returned 21 metres at 487gt
further rab drilling is planned to define
borehole locations for the next round of
diamond drilling in 2008
sofia is part of a 7 kilometre anomalous
northsouth structural corridor which also
hosts the mikona majiva and matiba targets
within ground held by randgold resources
this system continues to the north for an
additional 10 kilometres and hosts the
niakafiri deposit owned by oromin and the
sabodala deposit mdl  further rab drilling
has started to test this large corridor prior to
diamond drilling
the bakan corridor groups together a number
of anomalous gold in soil targets bakan
tina tizia khosa and tiwana along a
10 kilometre segment of the northeast
trending kossanto structural corridor which
is subparallel to the mtz host to the
massawa target  the geology of the corridor
comprises a northeast sequence of ultramafic
units felsic and intermediate volcanics
andesites dacites and rhyodacites cherts
and intrusive suites ranging from diorite to
monzonites  extensive lithosampling carried
out across the corridor has revealed
mineralisation to be associated with deformed
and altered felsic intrusives  followup
trenching has confirmed the following
bedrock mineralisation at
bakan  bktr002  3800 metres at 200gt
bktr005  400 metres at 238gt and
4 metres at 180gt and bktr006 
6970 metres at 189gt
tina  tntr002  2400 metres at 150gt
and tntr003  2080 metres at 176gt
tiwana  one line of rab holes testing a
3 500 metre by 200 metre plus 20ppb gold
soil anomaly returned encouraging results
defining a 125 metre wide anomalous zone
plus 030gt including  twrab03
18 metres at 140gt and twrab06
36 metres at 063gt including 6 metres
at 260gt  rab drilling continues in order
to prioritise the location of diamond drill holes
for testing during 2008 randgold resources        annual report 2007   59
4
ghana searching for advanced targets
randgold resources
permits
burkina faso
ghana
80km
côte
d’ivoire
bole ne permit
obuasi mine
akyem mine
damang mine
tarkwa mine
prestea mine
ahafo mine
bibiani mine
chirano mine
fanoma permit
enyinase permit
burkina faso
on the kiaka target in burkina faso a
geological estimate of 2 million ounces at
approximately 1gt has been calculated
confirming the large tonnage low grade
bulk mineable nature of the target  drilling
has confirmed the continuity of the wide
low grade mineralisation over a strike length
of 125 kilometres
there are two styles of mineralisation
broad low grade main zone  the
mineralisation is associated with schists
and quartzites and fine disseminated
sulphides pyrite
narrow high grade hangingwall zone
the mineralisation is associated with
strongly altered silicabiotitechlorite
sulphide rich 5 to 22 arsenopyrite
sediment
preliminary metallurgical samples sent to
loulo have returned encouraging results
using a basic bottle roll method  recoveries
from oxide ore returned 9109 transitional
ore 8694 to 9528 and fresh rock
6884 to 8457
a review of all the geological and structural
data indicates a 10 to 20 degrees northeast
plunging anticline hosts the kiaka main zone
with the last diamond hole drilled to the north
returning 166 metres at 126gt and a
syncline hosts hangingwall mineralisation
an additional programme of diamond drilling
is being planned to test the down plunge
extension of mineralisation  elsewhere in
the permit portfolio the team are developing
targets for drilling in the next field season
ghana
in ghana we have been turning ground over
in the search for advanced targets and
deposits  we currently have a portfolio of
three permits covering 922 square kilometres
on the bole ne concession at the zamsa
target field mapping combined with logging
of trenches and the interpretation of
geological and structural data have defined
a large scale anticline fold adjacent to the
main bolebolgatanga regional structure
it is apparent that when the gold results from
the soil sampling are overlain on the fold
anomalous values correlate clearly with
parasitic folds on the limbs of this large
regional fold along a 14 kilometre strike
length  rab drilling proposals are currently
being prepared as a first pass followup on
this large regional target 60   randgold resources        annual report 2007
one of the major highlights of the year was
the resumption of full scale exploration at
tongon the completion of the feasibility
drilling and the 41 increase in resources
to 439 million ounces  we completed
181 diamond drill holes for 33 973 metres
against a planned budget of 30 000 metres
the tongon project locates within the
671 square kilometres nielle permit in the
north of the country  it consists of two
orebodies the northern and southern zones
geologically the deposits are underlain by
a sequence of volcaniclastic rocks ranging
from coarse grained polymictic breccias to
fine grained tuffs intercalated with
carbonaceous sedimentary units  these
rocks represent explosive volcanic activity
in a deep water marine environment  in turn
these lithological units have been intruded
by granodiorite and diorite intrusives and
quartz feldspar porphyry dykes
in the northern zone the bedding and foliation
strike 250 to 260 degrees and dip 70 to
80 degrees to the north  this has been
confirmed by surface mapping and
measurements of orientated core  the
lithological units depict sequences which
fine down the hole and indicate the whole
package is overturned
the main mineralisation locates between
two carbonaceous shale units which act as
the hangingwall and footwall structures and
have taken up the highest intensity of strain
during shearing  the mineralised zone varies
in thickness from 3 to 35 metres and
averages 25 metres in zones of dilation
it has so far been delineated over a
22 kilometre strike length and has been drill
tested to a vertical depth of 250 metres
below the surface  however at this stage
most of the drilling has been to 150 metres
which is the approximate base of the pit
the mineralisation is associated with
increased silicification sulphidation and fine
brecciation
interpretation of the structural data suggests
that dextral reactivation of the hangingwall
and footwall shears by the northnortheast
trending southern zone structure has resulted
in dilation subsequent hydrothermal fluid
flow and gold mineralisation
the southern zone is more geologically
complex with multiple mineralised zones
trending in a northeast direction with variable
dips from 60 to 75 degrees to the northwest
the ore zones appear lensoid in shape
resulting in their strike and depth continuity
being variable  the mineralised zones have
been tested to a vertical depth of 400 metres
and along a 2 kilometre strike length  they
are hosted within quartz and shear bounded
northwest dipping brecciated volcaniclastic
zones  the silicate alteration is complicated
with biotite silica sericite tremolite diopside
and calcite being observed under thin
section
5 a major highlight of the year
was the resumption of full
scale exploration at tongon
côte d’ivoire
nielle permit 12 gold targets highlighted for
followup work
300km
dabakala dabakala
dignago dignago
apouasso
mankono
boundiali
nielle
tiasso target
tongon east
tongon south
targets
a portfolio of 6 permits covering 4 880km
2
5km
randgold resources
exploration permits
soloni ab
koro n
44 moz tongon
project
koro
tongon east
tongon south
trenches
16m  837gt
6m  206gt and
2m  1286gt
and 4m  200gt
oleo s
oleo n
tiebila e
koulivogo
nafoun
nafoun n
nafoun e
yvette
yvette s
tongon far
south
poungbe randgold resources        annual report 2007   61
5 and approximately 100 kilometres west of
nielle hosts the advanced target of tiasso
early stage exploration work comprising a
soil survey trenching and pitting has defined
a significant drill target with a strike length of
2 kilometres  subsurface mineralisation
in saprolite with a trench intersection of
25 metres at 439gt highlights the
prospectivity of this target and preparations
are underway to drill test
t anzania
in tanzania generative work continues to
drive the building of a new portfolio of
projects  we are relooking at the southern
lake victoria goldfield the proterozoic mobile
belts and new greenstone belts within the
craton
a joint venture agreement was signed with
african eagle on their 504 square kilometres
miyabi project  randgold resources has
the right to earn a 51 interest in the project
by completing and funding a prefeasibility
study and can increase this to 65 should
african eagle not elect to participate in a full
feasibility study
miyabi is a shear zone hosted gold system
discovered by african eagle a ukbased
junior exploration company  there are two
anomalous corridors the first a 7 by
2 kilometre northeast trending corridor has
been the sole focus of african eagle while
the second is a much larger 20 kilometre
long northwest trending corridor which has
seen no followup work
african eagle has identified five separate
targets within the 7 by 2 kilometre northeast
corridor faida ngaya shambani north and
south kilimani and n’dagulu  mineralisation
is hosted along eastnortheast trending
structures bounded by two southeast
trending faults more than 10 kilometres apart
mineralisation is associated with wide silicified
zones with very coarse pyrite and pyrrhotite
hosted by mafic volcanics and chemical
sediments banded iron formation
in march 2006 srk completed an updated
resource estimate of 520 000 ounces at
13gt of which 71 is in the indicated
category using data from 30 cored drill holes
and 265 rc drill holes
a phase 1 diamond drilling programme has
been completed with a total of 20 holes for
4 078 metres  drilling was completed along
two fence lines named shambani and
kilimani after the two deposits over which
the drill lines crossed and two shorter lines
targeting specific ip targets ip070 and
kilimani sw lines  the strategy behind this
drilling was to get a better understanding of
the 7 by 2 kilometre miyabi structural corridor
in terms of geology structure alteration and
mineralisation  the results have not
confirmed a larger mineralised system
beyond that already defined by african eagle
mineralisation is restricted to the intersection
of folded iron rich sediments and volcanics
and northeast trending shears  this results
in short strike length and steep plunging
pods of mineralisation  work has now
focused on the exploration of the 20 kilometre
northwest trending corridor
also in tanzania randgold resources has
shifted some of its exploration emphasis to
the mobile belts surrounding the archaean
cratons  gold mineralisation is hosted in
highly deformed and silicified
metamorphosed rock units above a major
thrust  the units consist of thinly bedded
impure marble probably originated from
mixed calcareous and argillaceous
sediments metamorphosed to garnet
graphite and biotite lenses and biotite
gneissgranulite  early stage exploration has
started on reconnaissance permits in the
morogoro area
in addition to the feasibility drilling a review
of 19 targets within the nielle permit has
been completed highlighting 12 for follow
up work  tongon south is the highest priority
this target is characterised by a strong
surface gold geochemical anomaly
1 kilometre long at plus 500ppb and has
only been tested by two trenches so far
tst002  16 metres at 837gt and
tst004  6 metres at 206gt 2 metres
at 1286gt and 4 metres at 210gt
additional trenching is underway to define
drill programmes for 2008
in the côte d’ivoire we have a portfolio of six
permits covering 4 880 square kilometres
in both the north and south of the country
in the south first pass reconnaissance
exploration has been completed on the
apouasso and dignago permits  on the
apouasso permit located in the southeast
of the country close to the ghana border a
1 000 by 200 metre regional soil sampling
programme has returned a 10 kilometre
plus 10ppb regional gold anomaly including
a maximum value of 925ppb associated
with the contact between a volcano
sedimentary belt and granite  on the
dignago permit located in the southwest of
the country regional soil sampling has defined
a 5 by 2 kilometre plus10ppb regional soil
anomaly  reconnaissance work continues
on both permits
the boundiali permits 1 314 square
kilometres located in the north of the country
62   randgold resources        annual report 2007
lake victoria
randgold resources
exploration permits
250km
tanzania
buhemba south
tanzania location of permits
nyabigena south
simba sirori south
miyabi jv
mtambo
nyamakubi
kiabakari east
kajimbura kezia aaron
administrative manager tanzania
obtained a bcomm from dar es salaam university in 1984 and then
worked for a governmentfunded community development programme
in the lake zone region  joined randgold resources at the jointventure
golden ridge project in 1997 and has been with the company fulltime
as administrative manager for t anzania since 2003  responsibilities include
local community liaison
“my strong networking skills are valuable to the team and i also take a
lively interest in the exploration programmes  i’m very much part of the
exploration drive going on regular field trips and playing a key role when
we start up in new areas”
new business new business new business 64   randgold resources        annual report 2007
during 2007 organic growth opportunities
were evaluated in the six countries in which
the company is operational  the african
‘hunting team’ launched in 2006 had an
active year visiting five additional countries
and numerous gold projects
we have also tested growth options through
possible ma opportunities carrying out
due diligence audits both desktop and on
site within and outside africa  this includes
a number of full corporate due diligences
the company remains committed to pursuing
profitable ma opportunities rating them
against its organic growth prospects
the company continued to review new
business and merger and acquisition
opportunities worldwide while retaining
its focus on organic growth within the
african continent
new
business
hunting the next multimillion ounce deposit
gold occurrences
1 moz gold deposits
neoproterozoic
mesoproterozoic
paleoproterozoic
archean
africa mamadou sanogo
human resources coordinator loulo
a teacher by training mamadou was a labour
broker responsible for the recruitment of all
malian staff employed on the morila and loulo
construction projects before he joined randgold
resources at loulo in 2005  he introduced and
now implements the company’s hr procedures
at the mine
“the effective implementation of enlightened
hr policies and practices coupled with effective
communication have created a good
relationship between the company and the
workforce as well as a stable environment at
the mine”
social r social responsibility esponsibility social responsibility 66   randgold resources        annual report 2007
randgold resources is
committed to the integration
of sustainable environmental
and social impact
management into its
business activities  the
optimum utilisation of
mineral and other resources
encompasses the protection
and conservation of the
existing environment  within
this framework the company
strives to assist the com
munities most affected by its
operations to develop in a
sustainable way and to give
all its employees a high
quality of work life including
a safe workplace
policy statement
our integrated social and environmental management
process identifies potentially significant negative and
positive impacts  the implementation of sustainable
environmental and social responsibility strategies
aims to minimise negative impacts and maximise the
positive impacts of its activities commensurate with
its business strategy and within national and world
bank standards  the strategies it uses to achieve
this include the following
 
encourage and reward the use of integrated
environmental management to ensure that
management decision making processes include
a sensitive and holistic consideration of
environmental issues  to facilitate this all projects
must include a comprehensive environmental
and social impact assessment  where
appropriate specialist consultants are employed
maintain positive relationships with neighbouring
communities local and national government
authorities ngos and aid agencies and the
public
respect and consult with the communities in
the areas affected by its operations so that these
communities receive fair treatment and where
possible benefit from the company’s activities
 
budget a percentage of profit to be used for
sustainable community development projects
the projects are selected and prioritised in
consultation with communities and carried out
in cooperation with community members
 
aim to forge a pact with employees through
having respect for fundamental human rights
including workplace rights employee
development and the need for a healthy and
safe workplace
strive for the highest quality of rehabilitation
waste management and environmental protection
in the most cost effective manner
 
strive to optimise the consumption of energy
water and other natural resources
 
through the introduction of new alternative
environmentally friendly products and processes
as they become available avoid the use or
release of substances which by themselves or
through their manufacturing process may
damage the environment
 
practise responsible environmental stewardship
to meet the demands of local communities host
country government requirements and
international standards and strive for continuous
improvement of environmental performance
for details of the implementation of the social
responsibility policy refer to the review of operations
loulo pages 33 and 34
morila pages 39 and 40
tongon pages 44 and 45
social responsibility and
sustainability report
66 dir directors’ r ectors’ report eport
samba dieng
director kankou moussa
pilot turned jeweller samba dieng is a director
of kankou moussa a partnership between
randgold resources mali gold companies
most significantly loulo and the government
of mali  it was established in 2007 as a bullion
bank designed to give the malian jewellery
industry easier access to gold as well as the
opportunity to sell their products in the
international market  the bank is named after
the legendary 14th century king under whose
rule mali’s then capital timbuktu became one
of  africa’s main commercial and cultural centres
“kankou moussa is more than just a business
it is the realisation of a dream to bring mali’s
gold back to ordinary people of the country”
directors’ report 68   randgold resources        annual report 2007
this section of the annual
report provides a description
of how the company has
applied the principles set
out in section 1 of the 2003
combined code
except as noted below the company has complied
with the provisions set out in section 1 of the code
throughout the year ended 31 december 2007
every company should be headed by an effective
board which is collectively responsible for the success
of the company
the board remains committed to guiding the strategic
and entrepreneurial development of the group and
supports the principle of collective responsibility
for the success of the company  the board has
reserved for its sole discretion the finalisation and
adoption of the group’s strategic plan major fiscal
policies including treasury and hedging policies
approval of the budget approval of all mining
development and any merger or acquisition
the board undertook its annual evaluation exercise
during the year to measure its own performance as
well as those of its committees and extended the
format to include the nomination and governance
committee  during the year the board met nine times
where it is deemed appropriate the chairman meets
with the nonexecutive directors without the presence
of the executive directors and during the year meetings
were held by the chairman and the nonexecutive
directors
appropriate directors and officers insurance cover
has been obtained by the company in respect of
legal action against the directors
corporate governance report
for the year ended 31 december 2007
68
number of total number
meetings of board
directors designationattended meetings
p liétard nonexecutive chairman 9 9
dm bristow chief executive officer 9 9
ra williams former chief financial officer 2 2
gp shuttleworth chief financial officer 7 7
bh asher senior independent director 9 9
np cole jr independent nonexecutive 9 9
ri israel independent nonexecutive 9 9
al paverd independent nonexecutive 8 9
k voltaire independent nonexecutive 8 9
 mr williams resigned from the board with effect from 30 july 2007
 mr shuttleworth was appointed to the board on 1 july 2007
 drs voltaire and paverd were unable to attend a meeting called at short notice
board meeting attendance randgold resources        annual report 2007   69
there should be a clear division of
responsibilities at the head of the company
between the running of the board and the
executive responsibility for the running of the
company’s business  no one individual
should have unfettered powers of decision
the nonexecutive chairman mr philippe
liétard is responsible for the leadership of
the board and to ensure effective
communication exists between the executive
and nonexecutive directors
the ceo dr mark bristow has been
delegated the authority to manage the day
today administration of the group  a formal
job description is in existence and this is
reviewed annually by the board and the
ceo
the board should include a balance of
executive and nonexecutive directors
and in particular independent nonexecutive
directors such that no individual or small
group of individuals can dominate the board’s
decision taking
currently the board comprises eight
members two executive and six non
executive directors  during the year the
board saw the resignation of mr williams
and the appointment of mr shuttleworth as
chief financial officer  the board believes
that mining is a longgestation business and
as such justifies a longer period of service
for nonexecutive directors than many
industries and that reasonable periods of
service are therefore needed for the stability
of the board but that new appointments are
needed from time to time to add a fresh
perspective
the board monitors compliance with the
independence criteria included in the code
and save in certain instances set out below
for a periods of service and b award of
options and “restricted” shares all non
executive directors meet the criteria  for
the reasons set out below the board believes
that the nonexecutive directors are
independent
a currently dr paverd and messrs asher
and israel have all served as directors
for more than ten years  the board has
considered their objectivity and
contributions and believes that these
are still independent in character and
judgement
b messrs asher and israel continue to
hold options in terms of the company’s
share options scheme  these were
awarded in 1998 and the board does
not believe that this interferes with their
independence  each of the non
executive directors owned shares in the
company during the year  the non
executive directors also received an
award of “restricted” shares in addition
to their directors’ fees  the board
believes that this aligns their interests
with those of other shareholders without
compromising independence
meetings of the board’s committees were
held regularly  where appropriate the
chairman and the executive directors are
invited to be in attendance
shareholders are referred to the
remuneration report on page 77 for
details of directors’ shareholdings
there should be a formal rigorous and
transparent procedure for the appointment
of new directors to the board
the members of the nomination and
governance committee during the year
appear at the bottom of this page
in terms of the directors’ remuneration policy
mr liétard receives a fee as the group
chairman and mr asher receives a fee as
senior independent director and therefore
no additional payment for services to the
committee  no fee was paid to mr cole for
service to the nomination and governance
committee for the year
during the year the nomination and
governance committee met on several
occasions to consider submissions relating
to possible board candidates  in addition
the committee commenced a review of the
company succession planning procedure
which is ongoing  this process involves
executive and senior management within
the group  a nomination and governance
committee charter is published on the
company’s website
during the year the board considered and
approved the appointment of mr shuttleworth
as finance director and in accordance with
the articles of association he will be subject
to reelection at the april 2008 annual general
meeting
in addition to the appointment of directors
the appointment and removal of the company
secretary remains a matter for consideration
by the board as a whole
the board should be supplied in a timely
manner with information in a form and of a
quality appropriate to enable it to discharge
its duties  all directors should receive
induction on joining the board and should
regularly update and refresh their skills and
knowledge
the board continues to operate in a field
which is technically complex and directors
are provided with information which enables
them to fulfil their duties effectively  visits to
the mines branch offices and technical
presentations provided by management are
used to further their knowledge in various
areas of specialisation  it is the duty of the
company secretary to ensure an effective
flow of information between the board its
p liétard chairman 27 october 2006 3 3
bh asher 27 october 2006 3 3
np cole jr 27 october 2007 3 3
number of number of
meetings meetings
members appointed attended held
nomination and governance committee meeting attendance committees and the management of the
company
the board should undertake a formal and
rigorous annual evaluation of its own
performance and that of its committees
and individual directors
the board’s evaluation procedure operates
through a structured self assessment system
allowing each director to rate the performance
of the board and its committees and focuses
on a number of key areas
the individual assessments are then scored
and the results were tabled at
a january 2008 board meeting for
discussion  the board continues to believe
that the exercise is beneficial
a formal session of the directors also
assessed the chairman’s performance
all directors should be submitted for re
election at regular intervals subject to
continued satisfactory performance
the board should ensure planned and
progressive refreshing of the board
in accordance with the provisions of the
companies jersey law 1991 and the
articles of association directors are required
to submit themselves to reelection  any
newly appointed director is subject to election
by shareholders after hisher appointment
thereafter by rotation the entire board is
subject to reelection every three years
the articles of association specify neither an
age limit for directors nor any restriction about
the period of service
levels of remuneration should be sufficient
to attract retain and motivate directors of
the quality required to run the company
successfully but a company should avoid
paying more than is necessary for this
purpose  a significant proportion of executive
directors’ remuneration should be structured
so as to link rewards to corporate and
individual performance
this is dealt with in the report of the
remuneration committee
there should be a formal and transparent
procedure for developing policy on executive
remuneration and for fixing the remuneration
packages of individual directors  no director
should be involved in deciding his or her
own remuneration
this is dealt with in the report of the
remuneration committee
the board should present a balanced and
understandable assessment of the
company’s position and prospects
the companies jersey law 1991 and
the combined code require and the board
acknowledges that it is responsible for
presenting a balanced and understandable
assessment of the company’s and the
group’s position and prospects  this extends
to the preparation and publication of the
annual report and any other release of
information price sensitive or otherwise
the financial statements set out in this
report have been prepared by management
under the direction of the board in
accordance with international financial
reporting standards and are based on
accounting policies that the board considers
appropriate supported by reasonable and
prudent judgements and estimates
the directors are of the opinion that the
financial statements fairly present the financial
position of the company and group as at
31 december 2007 and the consolidated
results of operations and cash flows of the
group for the year then ended  the directors
have continued to adopt the going concern
basis in preparing the financial statements
because the directors are satisfied that
the group and company have adequate
financial resources available to ensure their
continued operational existence for the
foreseeable future
the group has operated a code of ethics
since its united kingdom listing in july 1997
the code includes specific reference to the
company’s financial managers and the chief
executive officer  a copy of the code is
available on the company’s website
wwwrandgoldresourcescom
the company also believes that the following
risk factors should be carefully considered
as either individually or in a combination
they could have a material adverse effect
on its business
the profitability of our operations and
the cash flows generated by our
operations are affected by changes
in the market price for gold which in the
past has fluctuated widely
our mining operations may yield less
gold under actual production conditions
than indicated by our gold reserve
figures which are estimates based on
a number of assumptions including
assumptions as to mining and recovery
factors production costs and the price
of gold
the profitability of operations and the
cash flows generated by these
operations are significantly affected by
fluctuations in the price cost and supply
of inputs
our business may be harmed if the
government of mali fails to repay fuel
duties owing to morila and loulo
our business may be harmed if the
government of mali fails to repay value
added tax or tva owing to morila
we have invested in debt instruments
for which the market has become
substantially illiquid
we may not be able to recover certain
funds from mdm ferroman pty limited
in liquidation
we may incur losses or lose
opportunities for gains as a result of our
use of derivative instruments to protect
us against low gold prices
our underground project at loulo
developing two mines at yalea and gara
is subject to all of the risks associated
with underground mining
actual cash costs of production
production results and economic returns
may differ significantly from those
anticipated by our feasibility studies for
new development projects including
tongon
we conduct mining development and
exploration activities in countries with
developing economies and are subject
to the risks of political and economic
instability associated with these
countries
70   randgold resources        annual report 2007 randgold resources        annual report 2007   71
under our joint venture agreement with
anglogold ashanti limited or anglogold
ashanti we jointly manage morila
limited and any disputes with
anglogold ashanti over the management
of morila limited could adversely affect
our business
the use of mining contractors at certain
of our operations may expose it to delays
or suspensions in mining activities
we may be required to seek funding
from third parties or enter into joint
development arrangements to finance
the development of our properties and
the timely exploration of our mineral
rights which funding or development
arrangements may not be available on
acceptable terms or at all
we may not pay regular dividends to
shareholders in the future
if we are unable to attract and retain key
personnel our business may be harmed
our insurance coverage may prove
inadequate to satisfy claims against us
it may be difficult for you to affect service
of process and enforce legal judgments
against us or our affiliates
we are subject to significant corporate
regulation as a public company and
failure to comply with all applicable
regulations could subject us to liability
or negatively affect our share price
full details relating to these risk factors as
well as those relating to our industry can be
found in our annual report on form 20f for
the year ended 31 december 2006 and the
f3 filed on 27 november 2007 copies of
which are contained on our website
the board should maintain a sound system
of internal control to safeguard shareholders’
investment and the company’s assets
the group maintains a business control
framework that documents the key business
risks together with the related operational
financial and compliance controls  the
business control framework is regularly
reviewed and updated by management who
report quarterly to the board on any issues
which might affect the risks and controls
the board acknowledges that it has
responsibility for the ongoing review and
update of the business control framework
and believes that through the procedures
noted above and below it has complied
with the requirements of the code to review
the effectiveness of the group’s internal
controls at least annually  the company
continues to adhere to the requirements of
section 404 of the sarbanes oxley act
at the beginning of july 2007 the company
appointed bdo stoy hayward llp as its
auditors who will also act as auditors for
loulo and morila and their findings from the
audits are communicated to the audit
committee  anglogold ashanti’s internal
audit department conducts regular audits of
the morila mine and copies of these reports
are submitted to the company’s audit
committee for consideration  given its size
the group does not have a separate internal
audit department  however executive
management undertakes regular audits of
various parts of the morila and the loulo
mines and details of their reports are
submitted to the audit committee and board
for comment  financial and technical audits
of the company’s branch offices and major
assets are regularly conducted by group
management  the board notes that no cost
effective system will preclude all errors and
irregularities and so the group’s system of
internal controls provides reasonable but
not absolute assurance against material
misstatement or loss
the board should establish formal and
transparent arrangements for considering
how they should apply the financial reporting
and internal control principles and for
maintaining an appropriate relationship with
the company’s auditors
the company’s audit committee has been
set up to review the company’s financial
reports internal control principles and risk
management systems review significant
financial reporting judgements and for dealing
with the appointment of the auditors and
monitoring their relationship with the company
and its management
during the year the audit committee
comprised three members all of whom were
nonexecutive directors  for reasons
described earlier the board considers that
the members of the audit committee are all
independent
one of the members has considerable years
of experience in the financial services sector
one has extensive experience in the mining
industry and the other has a phd in finance
the board believes that this level of
experience is sufficient to meet the standards
imposed by the combined code even
though none of the members has recent
and relevant accounting experience  if issues
arose which were deemed outside the areas
of expertise of the members independent
professional advice would be sought
during the year the committee met six times
and its members and their attendance appear
at the bottom of the following page
in terms of the directors’ remuneration policy
mr asher receives a fee as the senior
independent director and no additional
payment for services to the audit committee
fees paid to dr paverd and dr voltaire for
service to the audit committee for the year
were us35 000 each
the committee makes recommendations to
the board in relation to the appointment re
appointment and removal of the external
auditors as well as the remuneration and
terms of engagement of the external auditors
the audit committee has recommended the
reappointment of bdo stoy hayward llp
as external auditors for the group  the actual
reappointment of the external auditors is
subject to the approval of shareholders at
the annual general meeting
during the year pricewaterhousecoopers
and bdo stoy hayward llp were paid
us1 million and us06 million for their
services  nonaudit services were provided
to the company by bdo stoy hayward and
pricewaterhousecoopers in the year and
specific consent was granted by the audit
committee for the audit reports in respect
of the yearend equity raising exercise
the committee reviews and monitors the
external auditor’s independence and the objectivity and effectiveness of the audit
process  this is undertaken within the
framework of a detailed audit charter
a copy of the audit charter is available on
the company’s website
the committee reviews the company’s
published results the effectiveness of its
system of internal control legal and regulatory
compliance including the sarbanesoxley
act and the cost effectiveness of the services
provided by the external auditors  the audit
committee has implemented a policy
regarding the provision and preapproval
thereof of nonaudit services by the external
auditors and this mandate is reviewed
annually
the committee meets regularly and this
includes quarterly meetings which are used
to consider and approve the company’s
quarterly results  the external auditors are
regularly invited to attend meetings to report
on their activities  the committee also meets
with the external auditors independent of
the executive directors or management
where this is deemed necessary
the sarbanes oxley act required companies
to establish “whistleblower” systems  the
geographical spread of the group’s activities
particularly in remote west african locations
makes the system complex  the first point
of contact is the company’s legal counsel
who upon receipt of such an issue being
raised would employ independent
consultants and then pass the findings onto
the senior independent director to pursue
any alleged irregularity  quarterly reports are
submitted to the audit committee concerning
any instances where complaints are
submitted
the audit committee has continued to
oversee the group’s compliance with the
requirements of section 404 of the sarbanes
oxley act
there should be a dialogue with shareholders
based on the mutual understanding of
objectives  the board as a whole has
responsibility for ensuring that a satisfactory
dialogue with shareholders takes place
the board acknowledges responsibility for
maintaining effective communication with all
shareholders  the ceo corporate
communications manager and the
company’s investor relations consultants
prepare a quarterly report for the board
detailing the activities and presentations
given to shareholders  in addition since
september 2004 the company has
employed international market intelligence
experts to provide a global shareholder
identification service which has greatly
enhanced the focus of the company’s
communication message
whilst in general corporate communication
with shareholders is conducted by the ceo
the chairman at least quarterly participates
in an open forum with shareholders and
stakeholders  in addition the chairman leads
a group of senior executives to the african
mining indaba one of the premier global
mining conferences attended by a substantial
number of global players in the mining and
related industries and in february 2008 the
majority of the board was in attendance
besides attendance at various industry
conferences a minimum of two roadshows
during the year are undertaken to enable
company representatives to interact directly
with shareholders and interested parties
the board continues to use the internet for
publication of announcements and to file
these on its website to assist with
communication with shareholders  in addition
the board encourages shareholders to
access the annual report from the website
rather than having it sent by post in printed
form
the board should use the agm to
communicate with investors and to
encourage their participation
the board believes that the annual general
meeting is an appropriate forum for contact
with shareholders and encourages their
attendance and participation  in order to
reflect the sentiment of shareholders at the
annual general meeting it is an unwritten
policy that all resolutions should be
considered by way of a ballot poll and the
number of proxies received disclosed to
members in attendance  at each annual
general meeting all subcommittee chairmen
as well as other nonexecutive directors are
present to address any queries raised by
shareholders
institutional shareholders should enter into
dialogue with companies based upon the
mutual understanding of objectives
it has been the policy of the company that
twice a year lengthy roadshows are
conducted by the ceo and cfo where
meetings are held with most of the
company’s major institutional shareholders
to brief them on the activities of the company
in addition after the publication of each set
of quarterly results the ceo follows up with
meetings with many of the institutional
shareholders  these roadshows are in
addition to the company’s attendance at
several key international gold mining
conferences around the world  in the last
year conferences attended were held in new
york san francisco denver london zurich
tampa toronto and cape town
institutional shareholders have a responsibility
to make considered use of their votes
the company is pleased to see the
increasing trend of institutional shareholders
now exercising their rights to vote at general
meetings  in the past three years the
percentage increase of shareholders present
and voting has increased dramatically
72   randgold resources        annual report 2007
bh asher chairman 15 july 1997 6 6
al paverd 1 may 2000 6 6
k voltaire 1 august 2006 6 6
number of number of
meetings meetings
members appointed attended held
audit committee meeting attendance randgold resources        annual report 2007   73
remuneration committee report
73
the committee’ s objectives
are to provide senior
management including
directors with a competitive
package which will attract
and retain executives of the
highest calibre and
encourage and reward
superior performance
members appointed
ri israel chairman 15 july 1997
bh asher 15 july 1997
np cole jr 1 august 2006
during the year the committee met six times and
its members discussed all aspects of the remuneration
of the group  for the year under review and purely
as payment for his services as chairman of the
remuneration committee mr israel was paid
us40 000  mr asher was paid a fee for his role as
senior independent nonexecutive director and was
not paid any additional fees for services to any board
committee  mr cole was paid us25 000 for his
service to the committee  details of all directors’ fees
are contained on page 74
compensation discussion and analysis
the principal function of the remuneration committee
is to determine on behalf of the board the
remuneration of the chairman and nonexecutive
directors the senior executive remuneration policy
and the remuneration and terms and conditions of
employment of the company’s executive directors
comparative industry surveys are provided to the
committee by the company’s human resources
executive to assist in formulating remuneration
the committee believes that it should be able to meet
informally without management being in attendance
and this has occurred on several occasions during
2007 in addition to the formal meetings  the
committee is entitled to call for independent
consultants’ advice on pertinent issues  during the
year the committee employed the services of
bachelder  dowling in the usa and kepler
associates from the united kingdom to review
executive remuneration which was done in
conjunction with reviews of various mining related
industry surveys  the consultants provided no other
services to the company  at certain meetings the
members invited the chairman and chief executive
to attend
remuneration objectives
the committee’s objectives are to provide senior
management including directors with a competitive
package which will attract and retain executives of
the highest calibre and encourage and reward superior
performance the committee is cognisant that the
market demands that performance criteria be 74   randgold resources        annual report 2007
executive directors
dm bristow ceo 600 000 600 000 1 864 802 1 212 584  693 700 2 464 802 2 506 284
ra williams 218 045 320 000 621 601 404 195   839 646 724 195
gp shuttleworth 231 475    133 140  364  615 
sub total 1 049 520 920 000 2 486 403 1 616 779 133 140 693 700 3 669 063 3 230 479
nonexecutive directors
p liétard chairman 135 000 135 000   30 000 30 000 165 000 165 000
bh asher 120 000 120 000   30 000 30 000 150 000 150 000
ja cramer  80 000    30 000  110 000
np cole jr 70 000 42 500   30 000  100 000 42 500
ri israel 110 000 85 000   30 000 30 000 140 000 115 000
al paverd 80 000 80 000   30 000 30 000 110 000 110 000
k voltaire 80 000 47 500   30 000  110 000 47 500
sub total 595 000 590 000   180 000 180 000 775 000 740 000
total 1 664 520 1 510 000 2 486 403 1 616 779 313 140 843 700 4 444 063 3 970 479
 other payments to dr d m bristow in 2006 comprise the grant of shares  the award in 2007 of us30 000 to each nonexecutive director translated into
share grants which vest over a three year period from the date of the award
 mr williams has resigned as financial director with effect from 1 july 2007 and as a director with effect from 30 july 2007
†
the bonus is calculated on the movement in the company’s share price based on a calendar year to 31 march  the 2007 bonuses as shown above
reflect the amounts paid in april 2007 in respect of the movement in the share price from 1 april 2006 to 31 march 2007 being us1817 to us2391
at 31 december 2007 the company accrued us29 million for bonus payments in respect of 2007 based on a share price of us3713  based on a
share price on 11 march 2008 the aggregate accrued amount of the bonuses payable for the period up to that date would be the higher amount of
us86 million bonuses in respect of the 2007 year are expected to be paid in april 2008 in terms of the provisions of the service contracts
a copy of the company’s remuneration charter is available on the website at wwwrandgoldresourcescom
established which measure an individual’s
performance and that these should form a
significant proportion of a directors’
remuneration package  the committee
agreed performance criteria with executive
directors and used these in appraising their
annual performance
the committee believes that the correct
method of incentivising the executive
directors and motivate their performance
but at the same time aligning them with the
interests of shareholders is to award shares
which are only granted upon the achievement
of agreed performance criteria  the award
of such restricted shares form part of the
current executive directors’ packages
neither dr bristow nor mr shuttleworth
participate in the company’s share option
scheme  mr williams the company’s
previous finance director continued to
participate in the share option scheme
although no new options had been
awarded to him since august 2004 but
those options which had not vested at
the date of his termination of service then
lapsed  other than the benefits listed
above the company has no other long
term incentive scheme save for the new
restricted share scheme details of this
new scheme are provided on page 117
a special resolution for consideration by
shareholders is contained in the notice to
shareholders on page 116 of this report
executive directors’
remuneration
the remuneration of the executive directors
comprises
a basic salary
an annual bonus based on selected
performance criteria agreed by the
remuneration committee and the
individual concerned
the award of restricted shares
the remuneration committee was tasked by
the board to recommend an alternative to
the ceo’s existing contract taking into
account best practices in the markets in
which the company trades and which would
provide sufficient incentives to meet the
bonusservice
basic salaryfees contract
†
other payments total
31 dec 31 dec 31 dec 31 dec 31 dec 31 dec 31 dec 31 dec
us 2007 2006 2007 2006 2007 2006 2007 2006
directors’ fees randgold resources        annual report 2007   75
company’s compensation objectives to retain
and motivate the ceo  the original contract
was divided into three parts a base salary
and an annual bonus based on the change
in share price between two points in time
multiplied by a nominal value of 300 000
shares and an equity incentive component
the contract was a rolling threeyear contract
in order to arrive at an alternative package
the remuneration committee felt it appropriate
to retain advisers for the purpose of evaluating
existing parameters of ceo compensation
in a select universe of comparable
companies  companies chosen were
primarily based on industry and size criteria
in addition the remuneration committee took
into consideration the historical performance
for the company its share price performance
and the specific contributions of the ceo
the advisers kepler associates and the law
firm of bachelder  dowling were charged
with analysing the markets and assisting the
remuneration committee in structuring a new
plan which would meet the objectives as
defined in the company’s remuneration
charter  the company’s united kingdom
counsel ashurst was also consulted
after a thorough review and detailed analysis
of the compensation plans of the universe
of comparable companies the remuneration
committee presented a plan to the board
the new plan is divided into three main
components  a base salary an annual
bonus determined by achievement of
performance goals agreed between the ceo
and the remuneration committee and a
number of shares of restricted stock whose
vesting would be based on performance
targets compared to a peer group of selected
companies  in order to demonstrate the
board’s confidence in and support of the
ceo it agreed to a special one time bonus
of us2 million on execution of the new
agreement
the objective of the remuneration committee
in changing the structure of the compensation
is primarily meant to align the interests of the
ceo and the company’s shareholders  the
increase in salary and bonus is meant to
motivate the ceo to achieve performance
goals for the company which are relatively
independent of short term commodity price
fluctuations  since the primary goal of the
company is to identify and develop new gold
reserves and produce gold at the lowest
possible cost it was deemed appropriate
to recognise performance through the
payment of a bonus against preagreed
targets
the original contract comprised a three year
rolling term and was heavily weighted to
share price performance over a short period
of time and consequently did not accord
with best practice  accordingly it exposed
the ceo and the company to commodity
gold price volatility and short term swings in
the equity markets and ignored operational
goals and performance matrices which the
remuneration committee felt were extremely
important to assure sufficient motivation
regardless of factors outside of the ceo’s
control
in addition to the annual salary and bonus
computed as a multiple of the base salary
the remuneration committee with the advice
of its experts also concluded that an
important component of the ceo
remuneration should be in the form of shares
of restricted stock to ensure the alignment
of interests between management and
shareholders over a longer period of time
the aggregate amount of compensation
including base salary potential annual bonus
and grant of restricted stock in the new
package in the view of the remuneration
committee achieves the objective of
adequately rewarding and motivating the
ceo in the short term and the longer term
falls within peer group and industry standards
for total compensation and closely aligns
the interests of management and
shareholders to produce superior results in
the future
the total executive directors’ remuneration
for the year ended 31 december 2007 was
us3 669 063 year ended 31 december
2006  us3 230 479  full details are
provided in a table on page 74 of this report
details of the various components comprising
executive remuneration are as follows
service contracts
during 2007 a service contract was
concluded with mr shuttleworth following
his appointment as finance director  in
keeping with best practice the term of the
contract is less than one year
the new service contract with dr bristow
was signed on 6 february 2008  the board
has acknowledged that periods of
employment should not exceed one year
and this is reflected in the ceo’s new
contract
                                                              number of options market
          during the period price at date
at at exercise date of from
1 jan 31 dec price exercise which expiry
2007 granted exercised 2007 us us exercisable date
executive
ra williams 83 333  41 667  805 2333 060806 060816
 following the resignation of mr williams with effect from 7 august 2007 these options have lapsed in accordance with the rules of the share option scheme
executive directors’ options 76   randgold resources        annual report 2007
basic salary
executive directors receive a basic salary as
determined by the committee in accordance
with the remuneration policy and subject to
agreed annual performance criteria  individual
service contracts details of which are
provided above do not provide for any
pension or retirement payments nor does
the company have any such retirement
liability  the company does however provide
a deferred contribution fund into which
employees including directors may
contribute
share options
share options are no longer awarded to
either executive or nonexecutive directors
previous awards of share options were
determined by the remuneration committee
guided by industry and international
standards  the existing share option scheme
available for ordinary employees is not subject
to performance criteria which were not a
standard at the time the scheme was
adopted  the board acknowledges that any
future scheme would be performance related
and its adoption would in accordance with
the terms of the uk listing rules be subject
to approval by shareholders  any options
awarded are subject to an upper limit of two
per cent of the company’s issued share
capital  no share options can be awarded
at a discount because the scheme rules
provide that the exercise price is determined
as the closing price of the shares on the
trading day preceding that on which a person
is granted the option  it is not the policy of
the company to grant annual awards of share
options to employees  the scheme provides
that all options may be exercised early in the
event of an acquisition of the company that
would require an offer to be made to all
shareholders  details of the options held by
directors are contained in a table on page
75 and 76 of this annual report
the high and low ordinary share prices for
the company for the year under review were
ordinary shares on the lse trading symbol
rrs and nasdaq from 1 january 2007 to
31 december 2007
pound sterling on lse trading symbol
rrs high £1950 low £1053
adrs on nasdaq trading symbol
gold high us3886 low
us2104
the share price at the year end being
31 december 2007 the last day of trading
was £1847 for the ordinary shares trading
on the lse and us3713 for the adrs
trading on nasdaq
annual bonus
executive directors’ service contracts provide
for the payment of an annual bonus payment
which is subject to performance criteria  dr
bristow remains entitled to his full bonus in
terms of his previous contract  in respect
of dr bristow’s new contract the annual
bonus is now determined by the board after
receiving proposals from the remuneration
committee based on the achievement of
certain performance targets which are to be
set by the remuneration committee  the
calculation of the annual bonus for
mr ra williams was based on a notional
shareholding of 100 000 ordinary shares
mr shuttleworth is entitled to an annual
bonus the determination of which is firstly
subject to agreed performance criteria and
secondly on the performance of the
company’s share price over a twelve month
period based on a notional shareholding of
33 300 ordinary shares with a fixed maximum
amount of us400 000
share grants
in terms of the new service agreement and
subject to shareholder approval the ceo
is eligible for an annual award of restricted
shares of 40 000 ordinary shares  each
such award shall vest on the anniversary of
the grant date subject to the ceo having
met performance criteria set by the
remuneration committee
mr shuttleworth in terms of his contract and
subject to shareholder approval is equally
entitled to an award of 36 000 restricted
shares  this award of restricted shares shall
vest over a three year period from the date
of his appointment being 1 july 2007 and
subject to the achievement of agreed
performance criteria
details of the new restricted share scheme
are on page 117 of this report
under the terms of the previous service
contract entered into with dr dm bristow
the board awarded the ceo restricted stock
amounting to 150 000 shares  the final
third being 50 000 shares accrued to the
ceo on 1 january 2007
the company’s performance has been
measured against the hsbc global mining
index  the hsbc global mining index is a
capitalisation  weighted index calculated in
nonexecutive directors’ options
                                                              number of options market
          during the period price at date
at at exercise date of from
1 jan 31 dec price exercise which expiry
2007 granted exercised 2007 us us exercisable date
nonexecutive
bh asher 25 400  25 400 165  290101 280111
ri israel 25 400  25 400 165  290101 280111 randgold resources        annual report 2007   77
executive
dm bristow 657 584 657 584 732 584 beneficial
ra williams   170 000 beneficial
gp shuttleworth  
nonexecutive
p liétard 30 656 29 362 27 548 beneficial
bh asher 21 677 20 383 18 569 beneficial
np cole jr 1 156 447  beneficial
ri israel 17 722 16 428 14 615 beneficial
al paverd 43 122 41 828 40 015 beneficial
k voltaire 1 156 447  beneficial
 in terms of the us30 000 awarded to each nonexecutive director on 1 january 2006 the final tranche of 585 shares were issued on 1 january 2007
regarding the us30 000 awarded to each nonexecutive director on 1 january 2007 the second tranche of 447 shares were issued on 1 january 2008
and the remaining 447 will be issued on 1 january 2009  in terms of the us30 000 awarded on 1 january 2008 the first tranche of 262 shares have
been issued to the nonexecutive directors and the next two tranches of 262 shares respectively will be issued on 1 january 2009 and 1 january 2010
respectively
at at at
28 feb 31 dec 31 dec beneficial
2008 2007 2006 nonbeneficial
directors’ shareholdings
dollars us  the services represent the
mining industries of 21 countries for securities
with a market capitalisation generally in
excess of us50 million  the services have
a base of 100 on 31 december 1985 with
the exception of two latin american indices
which are based at 100 at 31 december
1989  a copy of the graph is included on
page 110 of this annual report
nonexecutive directors’
remuneration
following a review by the remuneration
committee and after submission to the board
shareholders are being asked to approve a
revision to the nonexecutive directors’
remuneration  the new remuneration will
comprise
a general annual retainer to all non
executive directors of us50 000
an annual committee assignment fee
per committee served
audit committee us35 000
remuneration committee
us25 000 and
nomination and governance 
committee us10 000
the chairman of a board committee to
receive an additional premium to the
committee assignment fee of
us15 000
the senior independent director in
addition to the general annual retainer
but in lieu of any committee assignment
fee to receive an additional us85 000
the nonexecutive chairman in addition
to the general annual retainer but in lieu
of any committee assignment fee to
receive an additional us170 000
an award to each director of “restricted”
shares being 1 200 ordinary shares per
year  the shares are to vest over a
three year period from the date of the
award being 1 january 2009  vesting
would accelerate on the following
conditions
termination other than resignation
or dismissal
voluntary retirement after the age of
65 with a minimum of three years’
service as a director and
change in control of the company
nonexecutive directors’
shareholding
a nonexecutive director must hold shares
at least equal in value as at the beginning
of the year to the general annual retainer
new directors are granted three years in
which to acquire the required shareholding
and this period could be extended by the
unanimous approval of the disinterested
directors  if the number of shares were to
fall below the threshold due to a fall in the
share price no additional purchase of shares
would be required  all the nonexecutive
directors hold shares equal to the value of
the general annual retainer
nonexecutive directors’ options
previously nonexecutive directors were
granted share options over the company’s
ordinary shares  these share options were
awarded to nonexecutive directors at a time
when such options were not considered as
affecting a directors’ independence and with
the intention of aligning directors’ interests
with those of shareholders  currently only
two nonexecutive directors have not
exercised their share options 78   randgold resources        annual report 2007
directors’ report
for the year ended 31 december 2007
78
involved in listing the company on the london stock exchange
in 1997 and subsequently as an advisor  he is a qualified
chartered accountant and prior to joining the company he
was a managing director and the head of metals and mining
for the americas in the global investment banking division of
hsbc bank
restricted share scheme
the directors are seeking your approval for the introduction
of the randgold resources limited restricted share scheme
the “scheme” which is a long term incentive plan under
which awards of restricted shares may be granted to executive
directors  the reason for its introduction is so as to align the
interests of executives and shareholders in the long term
growth and development of the company  the current intention
is that the companys chief executive officer and finance
director will be granted awards under the scheme  a summary
of the principal terms of the scheme is set out in the appendix
to the notice to shareholders on page 117 of this report  
your directors believe that the adoption of the scheme is in
the best interests of the company  they therefore unanimously
recommend that you vote in favour of resolution 7d as they
intend to do in respect of their own shareholdings
authorised share capital
a special resolution will be submitted to shareholders to
increase the authorised share capital from 80 000 000 ordinary
shares to 100 000 000 ordinary shares  in addition two
additional special resolutions will be submitted to amend the
memorandum and articles of association to reflect the change
of authorised share capital
share option scheme
the directors granted options to senior employees in
accordance with the provisions of the randgold resources
limited share option scheme the “scheme”  the summary
on the bottom of this page is included in this report as required
in accordance with the rules of the scheme
reelection of directors
at the last annual general meeting of the company
messrs philippe liétard and robert i israel were reelected
as directors and dr karl voltaire and mr norborne p cole jr
were elected as nonexecutive directors  in accordance with
article 901 of the company’s articles of association
dr d mark bristow retires by rotation and as a retiring director
is eligible and has offered himself for reelection  dr bristow
was initially appointed to the board in august 1995 and has
served as ceo since that time he has been instrumental in
developing the company into a goldfocused mining and
exploration business with a market capitalisation of more than
us35 billion and a strong investor following
election of directors
in terms of article 851 of the articles of association directors
appointed to the board during the year shall retire at the next
annual general meeting of the company following their
appointment  accordingly mr graham p shuttleworth does
so retire and as a retiring director is eligible and has offered
himself for reelection mr shuttleworth joined randgold
resources as chief financial officer and financial director on
1 july 2007 but has been closely associated with the company
since its inception initially as part of its management team
average average
available granted us price exercised us price total
balance at 31 dec 05 1 869 951 2 163 714 6 950 503 10 984 168
adjustment to balance
following increase in
share capital 96 394 96 394
shares exercised
during the period 633 867 633 867
shares granted
during the period 192 000 192 000 2250  
shares lapsed
during the period 87 000 87 000 1075  
balance at 31 dec 06 1 861 345 1 634 847 7 584 370 11 080 562
adjustment to balance
following increase in
share capital 1 106 206  1 106 206
shares exercised
during the period  545 667 545 667 2541 
shares granted
during the period 1 521 000 1 521 000 2219   
shares lapsed
during the period 73 666 73 666 1208   
balance at 31 dec 07 1 520 217 2 536 514 8 130 037 12 186 768
 this shows the total options exercised granted and available since the inception of the scheme
share option scheme amadou maiga
financial manager loulo
joined randgold resources as management accountant in 2004 from its
malian auditors  implemented the accounting and reporting systems at
loulo where he was promoted to financial manager in 2007
“management need accurate uptothe minute information in order to
run an efficient and profitable operation  it’s my job to see that they get
it”
financial statements financial statements financial statements 80   randgold resources        annual report 2007
statement of directors’ responsibilities
and approval of the annual financial statements
80
the directors are responsible
for the maintenance of
proper accounting records
and the preparation integrity
and fair presentation of the
financial statements of
randgold resources limited
and its subsidiaries
the financial statements presented on pages 82 to
109 have been prepared in accordance with
international financial reporting standards “ifrs”
as issued by the iasb and include amounts based
on judgements and estimates made by management
the directors also prepared the other information
included in the annual report and are responsible for
both its accuracy and its consistency with the financial
statements
the directors also have general responsibility for
selecting suitable accounting policies and applying
them consistently and for taking such steps as are
reasonably open to them to safeguard the assets of
the group and prevent and detect fraud and other
irregularities  the going concern basis has been
adopted in preparing the financial statements  the
directors have no reason to believe that the group
and company will not be a going concern in the
foreseeable future based on forecasts and available
cash resources  the viability of the company and
the group is supported by the financial statements
the financial statements have been audited by the
independent accounting firm bdo stoy hayward
llp  which was given unrestricted access to all
financial records and related data including minutes
of all meetings of shareholders the board of directors
and committees of the board the directors believe
that all representations made to the independent
auditors during their audit were valid and appropriate
bdo stoy hayward llp’s audit report is presented
on page 81
the maintenance and integrity of the randgold
resources limited website is the responsibility of the
directors  the work carried out by the auditors does
not involve consideration of these matters and
accordingly the auditors accept no responsibility for
any changes that may have occurred to the report
since it was initially presented on the website
legislation in jersey and the united kingdom
governing the preparation and dissemination of the
financial information may differ from other jurisdictions
the financial statements were approved by the board
of directors on 25 march 2008 and are signed on
its behalf by
p liétard dm bristow
chairman chief executive
jersey channel islands
25 march 2008 randgold resources        annual report 2007   81
report of the independent auditors
to the members of randgold resources limited
81
we have audited the accompanying financial
statements of randgold resources limited
the ‘company’ which comprise the standalone
balance sheet of the company and
consolidated balance sheet of the company
and its subsidiaries the ‘group’ as of
31 december 2007 and the consolidated
income statement consolidated statement of
changes in equity and consolidated cash flow
statement for the year then ended and a
summary of significant accounting policies and
other explanatory notes
directors’ responsibility for the
financial statements
the company’s directors are responsible for
the preparation and fair presentation of these
financial statements in accordance with
international financial reporting standards
as issued by the iasb and with the
requirements of companies jersey law
1991  this responsibility includes designing
implementing and maintaining internal control
relevant to the preparation and fair
presentation of financial statements that are
free from material misstatement whether
due to fraud or error selecting and applying
appropriate accounting policies and making
accounting estimates that are reasonable in
the circumstances
auditors’ responsibility
our responsibility is to express an opinion
on these financial statements based on our
audit  we conducted our audit in accordance
with international standards on auditing
those standards require that we comply
with ethical requirements and plan and
perform the audit to obtain reasonable
assurance whether the financial statements
are free from material misstatement
an audit involves performing procedures to
obtain audit evidence about the amounts
and disclosures in the financial statements
the procedures selected depend on the
auditors’ judgement including the
assessment of the risks of material
misstatement of the financial statements
whether due to fraud or error  in making
those risk assessments the auditors consider
is a person entitled to rely upon this report
by virtue of and for the purpose of article
110 of the companies jersey law 1991
or has been expressly authorised to do so
by our prior written consent  save as above
we do not accept responsibility for this report
to any other person or for any other purpose
and we hereby expressly disclaim any and
all such liability
bdo stoy hayward llp
chartered accountants
london
25 march 2008
internal control relevant to the entity’s
preparation and fair presentation of the
financial statements in order to design audit
procedures that are appropriate in the
circumstances but not for the purpose of
expressing an opinion on the effectiveness
of the entity’s internal control  an audit also
includes evaluating the appropriateness of
accounting policies used and the
reasonableness of accounting estimates
made by the directors as well as evaluating
the overall presentation of the financial
statements
we believe that the audit evidence we have
obtained is sufficient and appropriate to
provide a basis for our audit opinion
opinion
in our opinion the accompanying financial
statements give a true and fair view of the
financial position of the company and the
group as of 31 december 2007 and of the
financial performance and cash flows of the
group for the year then ended in accordance
with international financial reporting
standards as issued by the iasb and with
the requirements of companies jersey law
1991
report on other legal and
regulatory requirements
we also review whether the corporate
governance statement reflects the company’s
compliance with the nine provisions of the
2003 financial reporting council combined
code specified for our review by the listing
rules of the financial services authority
and we report if it does not  we are not
required to consider whether the board’s
statements on internal control cover all risks
and controls or form an opinion on the
effectiveness of the group’s corporate
governance procedures or its risk and control
procedures
our report has been prepared for pursuant
to the requirements of article 110 of the
companies jersey law 1991 and for no
other purpose  no other person is entitled
to rely on this report unless such a person 82
consolidated income statement
for the year ended 31 december 2007
revenue
gold sales on spot 313 421 274 907
loss on matured hedges 23 580 12 190
noncash loss on roll forward of hedges 7 036 4 413
total revenue 282 805 258 304
other income
other income 967 1 168
total income 283 772 259 472
costs and expenses
mining and processing costs 26 159 403 137 694
transport and refining costs 1 595 711
royalties 18 307 16 979
exploration and corporate expenditure 27 35 920 28 805
other expenses 5 008 3 667
total costs 220 233 187 856
finance income 28 9 167 8 723
finance costs 28 5 805 6 366
finance income  net 28 3 362 2 357
profit before income tax 66 901 73 973
income tax expense 4 21 273 23 097
net profit 45 628 50 876
attributable to
equity shareholders of the company 42 041 47 564
minority shareholders 3 587 3 312
45 628 50 876
basic earnings per share us 5 060 070
diluted earnings per share us 5 060 069
the notes on pages 86 to 109 are an integral part of these consolidated financial statements
group
82 randgold resources        annual report 2007
31 dec 31 dec
us000 notes 2007 2006 83
consolidated and company balance sheets
as at 31 december 2007
assets
noncurrent assets
property plant and equipment 9 269 896 241 300  
cost 347 422 297 839  
accumulated depreciation and amortisation 77 526 56 539  
deferred taxation 11 2 163 2 993  
long term ore stockpiles 8 43 190 41 614  
receivables 7 22 823 13 702  
investments in subsidiaries and joint venture 10   6 018 6 018
loans to subsidiary and joint venture 10   208 484 150 753
total noncurrent assets 338 072 299 609 214 502 156 771
current assets
inventories and ore stockpiles 8 57 410 34 200  
receivables 7 42 104 34 999 1 217 1 024
availableforsale financial assets 12 48 950  48 950 
cash and cash equivalents 294 183 143 356 289 342 134 761
total current assets 442 647 212 555 339 509 135 785
total assets 780 719 512 164 554 011 292 556
equity and liabilities
share capital and reserves
share capital
authorised 80 000 000 ordinary shares of 5 us cents each 
for both years presented
issued
76 140 330 ordinary shares 2006 68 763 561 3 809 3 440 3 809 3 440
share premium 450 814 213 653 450 815 213 653
accumulated profit 213 567 178 400 84 047 69 359
other reserves 69 391 59 430 4 430 3 052
shareholders’ equity 598 799 336 063 543 101 289 504
minority interest 16 8 294 4 707  
total equity 607 093 340 770 543 101 289 504
noncurrent liabilities
long term borrowings 15 2 773 25 666  
loans from minority shareholders in subsidiaries 16 3 096 2 773  
financial liabilities  forward gold sales 17 51 953 39 969  
deferred taxation 11 1 451 462  
provision for environmental rehabilitation 14 11 074 8 842  
total noncurrent liabilities 70 347 77 712  
current liabilities
financial liabilities  forward gold sales 17 33 672 27 525  
accounts payable and accrued liabilities 13 63 330 39 461 10 910 3 052
taxation payable 2 630 1 878  
current portion of long term borrowings 15 3 647 24 818  
total current liabilities 103 279 93 682 10 910 3 052
total equity and liabilities 780 719 512 164 554 011 292 556
the notes on pages 86 to 109 are an integral part of these consolidated financial statements
company group
randgold resources        annual report 2007   83
31 dec 31 dec 31 dec 31 dec
us000 notes 2007 2006 2007 2006 84
consolidated statement of changes in equity
for the year ended 31 december 2007
balance at 31 dec 2005
as previously reported 68 072 864 3 404 208 582 138 751 41 000 309 737 1 395 311 132
change in accounting policy    7 915  7 915  7 915
balance at 31 dec 2005
as restated 68 072 864 3 404 208 582 130 836 41 000 301 822 1 395 303 217
movement on cash flow hedges
transfer to income statement     17 256 17 256  17 256
fair value movement on
financial instruments     36 603 36 603  36 603
net income recognised directly in equity     19 347 19 347  19 347
net profit    47 564  47 564 3 312 50 876
total recognised incomeloss    47 564 19 347 28 217 3 312 31 529
sharebased payments     2 369 2 369  2 369
share options exercised 633 867 34 3 619   3 653  3 653
shares vested

56 830 2 802  802 2  2
exercise of options previously
expensed under ifrs 2   650  650   
balance at 31 dec 2006 68 763 561 3 440 213 653 178 400 59 430 336 063 4 707 340 770
movement on cash flow hedges
transfer to income statement     30 371 30 371  30 371
fair value movement on 
financial instruments     41 712 41 712  41 712
net income recognised directly 
in equity     11 341 11 341  11 341
net profit    42 041  42 041 3 587 45 628 
total recognised incomeloss    42 041 11 341 30 700 3 587 34 287
sharebased payments     2 847 2 847  2 847
share options exercised 545 667 28 4 353   4 381  4 381
shares vested

10 102  170  170   
exercise of options previously
expensed under ifrs 2   1 297  1 297   
dividends relating to 2006    6 874  6 874  6 874
capital raising 6 821 000 341 240 099   240 440  240 440
costs associated with capital raising   8 758   8 758  8 758
balance at 31 dec 2007 76 140 330 3 809 450 814 213 567 69 391 598 799 8 294 607 093
other reserves include the cumulative charge recognised under ifrs 2 in respect of share option schemes net of amounts transferred to share
capital and share premium and the marktomarket valuation of derivative financial instruments designated as cash flow hedges refer note 21
at 31 december 2007 the balance of the sharebased payment reserve amounted to us44 million 31 december 2006 us31 million
the balance of the hedging reserve amounted to us738 million 31 december 2006 us625 million  refer to note 21 for further details on
the hedging reserve
 restricted shares were issued to directors as remuneration  of these shares 57 000 2006 56 830 have vested while the remainder of
the shares 7 704 2006 9 760 are still held by the company as treasury shares  the transfer between ‘other reserves’ and ‘share
premium’ in respect of the shares vested represents the cost calculated in accordance with ifrs 2
 restated due to change in accounting policy relating to stripping costs  refer note 6 
the notes on pages 86 to 109 are an integral part of these consolidated financial statements
84 randgold resources        annual report 2007
attributable to equity shareholders
number of accum
ordinary share share ulated other minority
us000 shares capital premium profit reserves total interest total 85
statements of consolidated cash flows 
for the year ended 31 december 2007
cash flows from operating activities
profit after tax 45 628 50 876
income tax expense 21 273 23 097
profit before income tax 66 901 73 973
net interest received 2 636 1 559
depreciation and amortisation 20 987 22 844
ineffectiveness on cash flow hedges 323 653
effect of roll forward of hedges 7 036 4 413
unwind of discount on provisions for environmental rehabilitation 554 541
sharebased payment 2 847 2 369
96 012 103 234
effects of changes in operating working capital items
receivables 23 289 9 640
inventories and ore stockpiles 24 786 19 428
accounts payable and accrued liabilities 23 897 9 469
cash generated from operations before interest and tax 71 834 83 635
interest received 7 887 7 384
interest paid 5 251 5 825
income tax paid 12 237 14 784
net cash generated from operating activities 62 233 70 410
cash flow from investing activities
additions to property plant and equipment 47 905 61 508
repayments from contractors 25  105
acquisition of availableforsale financial assets 48 950 
net cash used by investing activities 96 855 61 403
cash flow from financing activities
ordinary shares issued 236 063 3 653
long term loans repaid 43 740 21 756
dividends paid to company’s shareholders 6 874 
cash generated fromused by financing activities 185 449 18 103
net increasedecrease in cash and equivalents 150 827 9 096
cash and equivalents at beginning of year 143 356 152 452
cash and cash equivalents at end of year 294 183 143 356
cash at bank and in hand 11 447 10 948
short term bank deposits 282 736 132 408
294 183 143 356
the effective interest rate on short term bank deposits was 456 2006 482  these deposits have an average maturity of 30 days
the notes on pages 86 to 109 are an integral part of these consolidated financial statements
group
randgold resources        annual report 2007   85
31 dec 31 dec
us000 notes 2007 2006 86
notes to the consolidated financial statements
for the year ended 31 december 2007
1 nature of operations
the company and its subsidiaries the ‘group’ together with its
joint ventures carry out gold mining activities and exploration
currently there are two operating mines in mali west africa 
the morila gold mine which commenced production in october
2000 and the loulo mine which commenced production in
november 2005  the group also has a portfolio of exploration
projects in west and east africa  the interests of the group in
its operating mines are held through morila sa ‘morila’ which
owns the morila mine and somilo sa ‘somilo’ which owns the
loulo mine  randgold resources holds an effective 40
interest in morila following the sale to anglogold ashanti limited
on 3 july 2000 of onehalf of randgold resources’ wholly
owned subsidiary morila sa  management of morila limited
the 80 shareholder of morila is effected through a joint
venture committee with randgold resources and anglogold
ashanti each appointing onehalf of the members of the
committee  during 2007 anglogold services mali sa ‘anser’
a subsidiary of anglogold ashanti was the operator of morila
on 15 february 2008 randgold resources assumed
responsibility for the operatorship
randgold resources holds an effective 80 interest in loulo
the remaining 20 interest is held by the malian government
randgold resources is the operator of loulo
the group has various exploration programmes ranging from
substantial to early stage in mali west around morila and in
senegal tanzania burkina faso côte d’ivoire and ghana  
a feasibility study and an extensive drilling programme have
been completed for the tongon project in côte d’ivoire and the
board of the company approved on 31 january 2008 the
development of a new mine at tongon subject to the approval
of the mining convention by the côte d’ivoire minister of mines
and energy
2 significant accounting policies
the principal accounting policies applied in the preparation 
of these consolidated financial statements are set out below
these policies have been consistently applied to all the years
presented unless otherwise stated  the company changed its
accounting policy on deferred stripping costs in 2006  refer 
to note 6
basis of preparation
the consolidated financial statements of randgold resources
limited and its subsidiaries have been prepared in accordance
with international financial reporting standards ifrs as issued
by the international accounting standards board iasb  the
consolidated financial statements have been prepared under the
historical cost convention as modified by the revaluation of
availableforsale financial assets and various financial assets
and financial liabilities including derivative instruments which are
carried at fair value  the preparation of financial statements in
conformity with ifrs requires the use of certain critical
accounting estimates  it also requires management to exercise
its judgement in the process of applying the company’s
accounting policies  the areas involving a high degree of
judgement or complexity or areas where assumptions and
estimates are significant to the consolidated financial
statements are disclosed in note 3
the following standards and interpretations which have been
recently issued or revised have not been adopted early by the
group  their expected impact is discussed below
ifrs 8 operating segments effective for annual
periods beginning on or after 1 january 2009
the objective of this ifrs is to require entities to disclose
information to enable users of its financial statements to
evaluate the nature and financial effects of the business
activities in which it engages and the economic
environments in which it operates  the company will apply
ifrs 8 from 1 january 2009 but it is not expected to have
any impact on the accounts of the company or group
ias 23 borrowing costs revised effective for
accounting periods beginning on or after 1 january 2009
the main change from the previous version is the removal
of the option of immediately recognising as an expense
borrowing costs that relate to assets that take a substantial
period of time to get ready for use or sale  the company
will apply ias 23 revised from 1 january 2009 but it is 
not expected to have any impact on the accounts of the
company or group as the policy applied by the company is
in line with the revised ias 23
ifric interpretation 11 ifrs 2 sharebased
payment  group and treasury share
transactions effective for annual periods beginning 
on or after 1 march 2007
this interpretation addresses the classification of a share
based payment transaction as equity or cashsettled 
in which equity instruments of the parent or another group
entity are transferred in the financial statements of the entity
receiving accounts of the company or group  the company
will apply ifric interpretation 11 from 1 march 2007 but it
is not expected to have any impact on the accounts of the
company or group
ifric interpretation 12 service concession
arrangements effective for annual periods beginning
on or after 1 january 2008
this interpretation provides guidance to private sector
entities on certain recognition and measurement issues that
arise in accounting for public to private service concession
arrangements  the company will apply ifric 12 from 
1 january 2008 but it is not expected to have any impact
on the accounts of the company or group
ifric 13 customer loyalty programmes
for annual periods beginning on or after 1 july 2008
this interpretation addresses sale transactions in which 
the entities grant customers award credits that subject to
meeting any further qualifying conditions the customers 
can redeem in future for free discounted goods or services
the company will apply ifric 13 from 1 july 2008 but it 
is not expected to have any impact on the accounts of the
company or group
ifric 14 and ias 19 the limits on defined asset
minimum funding requirements and their
interaction for annual periods beginning on or after 
1 january 2008
this interpretation clarifies when refunds or reductions in
future contributions should be regarded as available in
accordance with paragraph 58 of ias 19 how a minimum
funding requirement might affect the availability of reductions
in future contributions and when a funding requirement
might give rise to a liability  the company will apply 
ifric 14 from 1 january 2008 but it is not expected to
have any impact on the accounts of the company or group
the group has adopted the following standards which is
effective for the first time this year  the impact is discussed
below
ifrs 7 financial instruments disclosure and
complementary amendment to ias 1
presentation of financial statements  capital
disclosures effective for annual periods beginning 
on or after 1 january 2007
the objective of this ifrs is to require entities to provide
disclosures in their financial statements that enable users 
to evaluate the significance of financial instruments for the
entity’s financial position and the nature and extent of risks
arising from financial instruments to which the entity is 
86 randgold resources        annual report 2007 exposed during the period and at the reporting date and
how the entity manages those risks  the amendment to
ias 1 introduces disclosures about the level of an entity’s
capital and how it manages capital  the adoption of ifrs 7
and the amendment to ias 1 had a significant impact on
disclosures  the disclosures are included in notes 7 15
20 and 21
the group has adopted the following standards and
interpretations which are effective for the first time this year
without any significant impact
ifric interpretation 7 applying the
restatement approach under ias 29 financial
reporting in hyperinflationary economies
effective for accounting periods beginning on 
or after 1 march 2006
ifric interpretation 8 scope of ifrs 2 
effective for annual periods beginning on or after 
1 may 2006
ifric interpretation 9 reassessment of
embedded derivatives effective for annual periods
beginning on or after 1 june 2006
ifric interpretation 10 interim financial
reporting and impairment effective for annual
periods beginning on or after 1 november 2006
consolidation
the consolidated financial information includes the financial
statements of the company its subsidiaries and the company’s
proportionate share in joint ventures using uniform accounting
policies for like transactions and other events in similar
circumstances
subsidiaries
subsidiaries are entities over which the group has the power to
govern the financial and operating policies generally
accompanying an interest of more than one half of the voting
rights  subsidiaries are fully consolidated from the date on
which control is transferred to the group  they are de
consolidated from the date that control ceases  the purchase
method of accounting is used to account for the acquisition of
subsidiaries by the group  the cost of an acquisition is
measured at the fair value of the assets given equity
instruments issued and liabilities incurred or assumed at the
date of exchange plus costs directly attributable to the
acquisition  identifiable assets acquired including mineral
property interests and liabilities and contingent liabilities
assumed in a business combination are measured initially at
their fair values at the acquisition date irrespective of the extent
of any minority interest  the excess of the cost of acquisition
over the fair value of the group’s share of the identifiable net
assets acquired is recorded as goodwill  if the cost of
acquisition is less than the fair value of the net assets of the
subsidiary acquired the difference is recognised directly in the
income statement
intercompany transactions balances and unrealised gains 
on transactions between group companies are eliminated
unrealised losses are also eliminated unless the transaction
provides evidence of an impairment of the asset transferred
accounting policies of subsidiaries have been changed where
necessary to ensure consistency with the policies adopted by
the group
joint ventures
joint ventures are those entities in which the group holds a long
term interest and which are jointly controlled by the group and
one or more joint venture partners under a contractual
arrangement
the group’s interest in such jointly controlled entities is
accounted for by proportionate consolidation  under this
method the group includes its share of the joint venture’s
individual income and expenses assets and liabilities and cash
flows on a line by line basis with similar items in the group’s
financial statements inter company accounts and transactions
are eliminated on consolidation
the group recognises the portion of gains or losses on the sale
of assets by the group to the joint venture that is attributable to
the other joint venture partners  the group does not recognise
its share of profits or losses from the joint venture that result
from the purchase of assets by the group from the joint venture
until it resells the assets to an independent party  however if a
loss on the transaction provides evidence of a reduction in the
net realisable value of current assets or an impairment loss the 
loss is recognised immediately  the results of joint ventures are
included from the effective dates of acquisition and up to the
effective dates of disposal
segment reporting
a business segment is a group of assets and operations
engaged in performing mining or other services that are subject
to risks and returns that are different from those of other
business segments  a geographic segment is engaged in
providing products or services within a particular economic
environment that is subject to risks and returns that are different
from those of segments operating in other economic
environments  the group has only one business segment that
of gold mining  segment analysis is based on individual mining
operations  corporate and exploration income and costs not
directly related to the mining operations are not allocated to
segments
foreign currency translation
functional and presentation currency
items included in the financial statements of each of the
group’s entities are measured using the currency of the
primary economic environment in which the entity operates
‘the functional currency’  the consolidated financial
statements are presented in us dollars which is the
company’s functional and presentation currency
transactions and balances
foreign currency transactions are translated into the relevant
functional currency using the exchange rates prevailing at
the date of the transactions  foreign exchange gains and
losses resulting from the settlement of such transactions
and from the translation at year end exchange rates of
monetary assets and liabilities denominated in foreign
currencies are recognised in the income statement
property plant and equipment
undeveloped properties
undeveloped properties upon which the group has not
performed sufficient exploration work to determine whether
significant mineralisation exist are carried at original
acquisition cost  where the directors consider that there is
little likelihood of the properties being exploited or the value
of the exploitable rights has diminished below cost an
impairment is recorded
longlived assets
longlived assets including development costs and mine
plant facilities are initially recorded at cost  where relevant
the estimated cost of dismantling the asset and remediating
the site is included in the cost of property plant and
equipment subsequently they are measured at cost less
accumulated amortisation and impairment
randgold resources        annual report 2007   87 88
notes to the consolidated financial statements
for the year ended 31 december 2007 continued
development costs and mine plant facilities relating to
existing and new mines are capitalised  development costs
consist primarily of direct expenditure incurred to establish
or expand productive capacity and are capitalised until
commercial levels of production are achieved after which
the costs are amortised
shortlived assets
shortlived assets including nonmining assets are shown at
cost less accumulated depreciation and impairment
depreciation and amortisation
longlived assets include mining properties such as
freehold land metallurgical plant tailings and raw water
dams power plant and mine infrastructure as well as mine
development costs  depreciation and amortisation are
charged over the life of the mine or over the remaining
useful life of the asset if shorter based on estimated ore
tonnes contained in proven and probable reserves to
reduce the cost to estimated residual values  proven and
probable ore reserves reflect estimated quantities of
economically recoverable reserves which can be recovered
in the future from known mineral deposits  total proven and
probable reserves are used in the depreciation calculation
the remaining useful lives for morila and loulo are
estimated at five and a minimum of sixteen years
respectively  any changes to the expected life of the mine
or asset are applied prospectively in calculating
depreciation and amortisation charges  shortlived assets
which include motor vehicles office equipment and
computer equipment are depreciated over estimated useful
lives of between two to five years but limited to the
remaining mine life
impairment
the carrying amount of the property plant and equipment 
of the group is compared to the recoverable amount of the
assets whenever events or changes in circumstances
indicate that the net book value may not be recoverable
the recoverable amount is the higher of value in use and
the fair value less cost to sell  in assessing the value in
use the expected future cash flows from the assets is
determined by applying a discount rate to the anticipated
pretax future cash flows  the discount rate used is derived
from the group’s weighted average cost of capital  an
impairment is recognised in the income statement to the
extent that the carrying amount exceeds the assets’
recoverable amount  the revised carrying amounts are
amortised in line with group accounting policies  a
previously recognised impairment loss is reversed if the
recoverable amount increases as a result of a reversal of
the conditions that originally resulted in the impairment  
this reversal is recognised in the income statement and is
limited to the carrying amount that would have been
determined net of depreciation had no impairment loss
been recognised in prior years  assets are grouped at the
lowest levels for which there are separately identifiable cash
flows cashgenerating units for purposes of assessing
impairment  the estimates of future discounted cash flows
are subject to risks and uncertainties including the future
gold price  it is therefore reasonably possible that changes
could occur which may affect the recoverability of mining
assets
stripping costs
all stripping costs incurred during the production phase of a
mine are treated as variable production costs and as a result 
are included in the cost of inventory produced during the period
that the stripping costs are incurred  refer to note 6
inventories
include ore stockpiles gold in process and supplies and spares
and are stated at the lower of cost or net realisable value  the
cost of ore stockpiles and gold produced is determined
principally by the weighted average cost method using related
production costs  costs of gold inventories include all costs
incurred up until production of an ounce of gold such as milling
costs mining costs and directly attributable mine general and
administration costs but exclude transport costs refining costs
and royalties  net realisable value is determined with reference
to current market prices  morila uses a selective mining
process and has a few grade categories  full grade ore is
defined as ore above 14gt and marginal ore is definded as ore
below 14gt  for loulo high grade ore is defined as ore above
35gt and medium grade is defined as ore above 12gt  all
stockpile grades are currently being processed and all ore is
expected to be fully processed  this does not include high
grade tailings at morila which are carried at zero value due to
uncertainty as to whether they will be processed through the
plant  the processing of ore in stockpiles occurs in
accordance with the life of mine processing plan that has been
optimised based on the known mineral reserves current plant
capacity and mine design  stores and materials consist of
consumable stores and are valued at weighted average cost
after appropriate impairment of redundant and slow moving
items  consumable stock for which the group has substantially
all the risks and rewards of ownership are brought on to the
balance sheet
interestborrowing cost
is recognised on a time proportion basis taking into account 
the principal outstanding and the effective rate over the period
to maturity  borrowing cost is expensed as incurred except to
the extent that it relates directly to the construction of property
plant and equipment during the time that is required to complete
and prepare the asset for its intended use when it is capitalised
as part of property plant and equipment  borrowing cost is
capitalised as part of the cost of the asset where it is probable
that the asset will result in economic benefit and where the
borrowing cost can be measured reliably
financial instruments
these are measured as set out below  financial instruments
carried on the balance sheet include cash and cash
equivalents investments in subsidiaries and joint venture
receivables accounts payable borrowings and derivative
financial instruments
investments in subsidiaries and joint venture
are stated at cost less any provisions for impairment in the
financial statements of the company  dividends are accounted
for when the company becomes entitled to receive them  
on the disposal of an investment the difference between the
net disposal proceeds and the carrying amount is charged or
credited to the income statement
derivatives
derivatives are initially recognised at fair value plus transaction
costs on the date a derivative contract is entered into trade
date and are subsequently remeasured at their fair value
unless they meet the criteria for the ‘normal purchases normal
sales’ exemption  on the date a derivative contract is entered
into the group designates the derivative for accounting
purposes as either a hedge of the fair value of a recognised 
88 randgold resources        annual report 2007 asset or liability fair value hedge or a hedge of a forecast
transaction cash flow hedge  the group does not have any
fair value hedges  certain derivative transactions while
providing effective economic hedges under the group’s risk
management policies do not qualify for hedge accounting  the
group formally documents all relationships between hedging
instruments and hedged items as well as its risk management
objective and strategy for undertaking various hedge
transactions  this process includes linking derivatives
designated as hedges to specific assets and liabilities or to
specific forecasted transactions  the group formally assesses
both at the hedge inception and on an ongoing basis whether
the derivatives that are used in hedging transactions are highly
effective in offsetting changes in the fair value or cash flows of
the hedged item  changes in the fair value of a derivative that is
highly effective in offsetting changes in the cash flow of the
hedged item and that is designated and qualifies as a cash
flow hedge are recognised directly in equity  the gain or loss
relating to the ineffective portion of derivatives that qualify for
hedge accounting is recognised immediately in the income
statement within other expenses  amounts deferred in equity
are transferred to the income statement in the same periods
during which the hedged forecasted transaction affects net
profit or loss  changes in the fair value of derivatives that do not
qualify for hedge accounting are recognised in the income
statement  when a hedging instrument expires or is sold or
when a hedge no longer meets the criteria for hedge
accounting any cumulative gain or loss existing in equity at that
time remains in equity and is recognised when the forecast
transaction occurs and is ultimately recognised in the income
statement  when a forecast transaction is no longer expected
to occur the cumulative gain or loss that was reported in equity
is immediately transferred to the income statement
the fair values of derivative instruments used for hedging
purposes are disclosed in note 20  movements on the hedging
reserve in shareholders’ equity are shown in note 20  the full
fair value of a hedging derivative is classified as a noncurrent
asset or liability when the remaining maturity of the hedged item
is more than 12 months it is classified as a current asset or
liability when the remaining maturity of the hedged item is less
than 12 months
receivables
are recognised initially at fair value  there is a rebuttable
presumption that the transaction price is fair value unless this
could be refuted by reference to market indicators
subsequently receivables are measured at amortised cost
using the effective interest method less for provision for
impairment  a provision for impairment of trade receivables is
established when there is objective evidence that the group will
not be able to collect all amounts due according to the original
terms of receivables  significant financial difficulties of the
debtor probability that the debtor will enter bankruptcy or
financial reorganisation and default or delinquency in payments
are considered indicators that the trade receivable is impaired
the amount of the provision is the difference between the
asset’s carrying amount and the present value of estimated
future cash flows discounted at the effective interest rate  the
amount of the provision is recognised in the income statement
cash and cash equivalents
cash and cash equivalents are carried in the balance sheet at
cost  for the purpose of the cash flow statement cash and
cash equivalents comprise cash on hand deposits held at call
with banks other short term highly liquid investments with a
maturity of three months or less at the date of purchase and 
bank overdrafts  in the balance sheet bank overdrafts are
included in borrowings in current liabilities
availableforsale financial assets
availableforsale financial assets are nonderivatives that are
either designated in this category or not classified in any of the
other categories  availableforsale financial assets are
designated on acquisition  they are included in current assets
and are carried at fair value  where a decline in the fair value of
an availableforsale financial asset constitutes objective
evidence of impairment the amount of the loss is recognised in
the income statement
rehabilitation costs
the net present value of estimated future rehabilitation costs is
provided for in the financial statements and capitalised within
mining assets on initial recognition  rehabilitation will generally
occur on closure or after closure of a mine  initial recognition is
at the time of the disturbance occurring and thereafter as and
when additional disturbances take place  the estimates are
reviewed annually to take into account the effects of inflation
and changes in estimates and are discounted using rates that
reflect the time value of money  annual increases in the
provision due to the unwinding of the discount are recognised in
the income statement as a finance cost  the present value of
additional disturbances and changes in the estimate of the
rehabilitation liability are capitalised to mining assets against an
increase in the rehabilitation provision  the rehabilitation asset is
amortised as noted previously  rehabilitation projects
undertaken included in the estimates are charged to the
provision as incurred
environmental liabilities other than rehabilitation costs which
relate to liabilities arising from specific events are expensed
when they are known probable and may be reasonably
estimated
provisions
are recognised when the group has a present legal or
constructive obligation as a result of past events where it is
probable that an outflow of resources embodying economic
benefits will be required to settle the obligation and a reliable
estimate of the amount of the obligation can be made
borrowings
are recognised initially at fair value net of transaction costs
incurred  borrowings are subsequently stated at amortised
cost any difference between the proceeds net of transaction
costs and the redemption value is recognised in the income
statement over the period of the borrowings using the effective
interest method  borrowings are classified as current liabilities
unless the group has an unconditional right to defer settlement
of the liability for at least 12 months after the balance sheet
date
accounts payable
accounts payable and other short term monetary liabilities are
initially recognised at fair value and subsequently carried at
amortised cost using the effective interest method
current tax
current tax is the tax expected to be payable on the taxable
income for the year calculated using rates and laws that have
been enacted or substantively enacted by the balance sheet
date  it includes adjustments for tax expected to be payable or
recoverable in respect of previous periods
deferred taxation
deferred tax is provided in full using the liability method on
temporary differences arising between the tax bases of assets
and liabilities and their carrying amounts in the consolidated
financial statements  however if the temporary difference arise
from initial recognition of an asset or liability in a transaction
other than a business combination that at the time of the
transaction affects neither accounting nor taxable profit or loss 
randgold resources        annual report 2007   89 90
notes to the consolidated financial statements
for the year ended 31 december 2007 continued
it is not accounted for  deferred tax is determined using tax
rates and laws that have been enacted or substantially
enacted by the balance sheet date and are expected to apply
when the related deferred tax asset is realised or the deferred
tax liability is settled  deferred tax assets are recognised to the
extent that it is probable that future taxable profit will be available
against which the temporary differences can be utilised
deferred tax is provided on temporary differences arising on
investments in subsidiaries and joint ventures except where the
timing of the reversal of the temporary difference is controlled 
by the group and it is probable that the temporary difference will
not reverse in the foreseeable future
share capital
ordinary shares are classified as equity  incremental costs
directly attributable to the issue of new shares or options are
shown in equity as a deduction from the proceeds
employee benefits
pension obligations
the group has defined contribution plans  a defined
contribution plan is a pension plan under which the group
pays fixed contributions into a separate entity  the group
has no legal or constructive obligations to pay further
contributions if the fund does not hold sufficient assets to
pay all employees the benefits relating to employee service
in the current and prior periods  for defined contribution
plans the group pays contributions to publicly or privately
administered provident funds on a mandatory contractual or
voluntary basis  the group has no further payment
obligations once the contributions have been paid  the
contributions are recognised as employee benefit expense
when they are due  prepaid contributions are recognised
as an asset to the extent that a cash refund or a reduction
in the future payments is available
termination benefits
termination benefits are payable when employment is
terminated before the normal retirement date or whenever
an employee accepts voluntary redundancy in exchange for
these benefits  the group recognises termination benefits
when it is demonstrably committed to either terminating the
employment of current employees according to a detailed
formal plan without possibility of withdrawal or providing
termination benefits as a result of an offer made to
encourage voluntary redundancy  benefits falling due more
than 12 months after balance sheet date are discounted to
present value
profitsharing and bonus plans
the group recognises a liability and an expense for
bonuses  the group recognises a provision where
contractually obliged or where there is a past practice that
has created a constructive obligation
sharebased payments
the fair value of the employee services received in
exchange for the grant of options or shares after 
7 november 2002 is recognised as an expense  the total
amount to be expensed rateably over the vesting period is
determined by reference to the fair value of the options or
shares determined at the grant date excluding the impact
of any nonmarket vesting conditions  nonmarket vesting
conditions are included in assumptions about the number of
options that are expected to become exercisable or the
number of shares that the employee will ultimately receive
this estimate is revised at each balance sheet date and the
difference is charged or credited to the income statement
with a corresponding adjustment to equity
the proceeds received on exercise of the options net of
any directly attributable transaction costs are credited to
equity
finance leases
determining whether an arrangement is or contains a lease is
based on the substance of the arrangement and requires an
assessment of whether fulfilment of the arrangement is
dependent on the use of a specific asset or assets and whether
the arrangement conveys a right to use the asset  leases of
plant and equipment where the group assumes a significant
portion of risks and rewards of ownership are classified as a
finance lease  finance leases are capitalised at the estimated
present value of the underlying lease payments  each lease
payment is allocated between the liability and the finance
charges to achieve a constant rate on the finance balance
outstanding  the interest portion of the finance payment is
charged to the income statement over the lease period  the
plant and equipment acquired under the finance lease are
depreciated over the useful lives of the assets or over the lease
term if shorter
operating leases
determining whether an arrangement is or contains a lease is
based on the substance of the arrangement and requires an
assessment of whether fulfilment of the arrangement is
dependent on the use of a specific asset or assets and whether
the arrangement conveys a right to use the asset  leases in
which a significant portion of the risks and rewards of ownership
are retained by the lessor are classified as operating leases
payments made under operating leases are charged to the
income statement on a straightline basis over the period of the
lease
revenue recognition
the company enters into contracts for the sale of gold
revenue arising from gold sales under these contracts is
recognised when the price is determinable the product has
been delivered in accordance with the terms of the contract the
significant risks and rewards of ownership have been transferred
to the customer and collection of the sales price is reasonably
assured  these criteria are met when the gold leaves the
mines’ smelt houses  as sales from gold contracts are subject
to customer survey adjustment sales are initially recorded on a
provisional basis using the group’s best estimate of the
contained metal  subsequent adjustments are recorded in
revenue to take into account final assay and weight certificates
from the refinery if different from the initial certificates  the
differences between the estimated and actual contained gold
have not been significant historically
exploration and evaluation costs
the group expenses all exploration and evaluation expenditures
until the directors conclude that a future economic benefit is
more likely than not of being realised ie ‘probable’  while the
criteria for concluding that an expenditure should be capitalised
is always probable the information that the directors use to
make that determination depends on the level of exploration
exploration and evaluation expenditure on greenfield sites
being those where the group does not have any mineral
deposits which are already being mined or developed is
expensed as incurred until a final feasibility study has been
completed after which the expenditure is capitalised within
development costs if the final feasibility study demonstrates
that future economic benefits are probable
exploration and evaluation expenditure on brownfield sites
being those adjacent to mineral deposits which are already
being mined or developed is expensed as incurred until the
directors are able to demonstrate that future economic 
90 randgold resources        annual report 2007 benefits are probable through the completion of a
prefeasibility study after which the expenditure is capitalised
as a mine development cost  a ‘prefeasibility study’
consists of a comprehensive study of the viability of a
mineral project that has advanced to a stage where the
mining method in the case of underground mining or the
pit configuration in the case of an open pit has been
established and which if an effective method of mineral
processing has been determined includes a financial
analysis based on reasonable assumptions of technical
engineering operating economic factors and the evaluation
of other relevant factors  the prefeasibility study when
combined with existing knowledge of the mineral property
that is adjacent to mineral deposits that are already being
mined or developed allow the directors to conclude that it
is more likely than not that the group will obtain future
economic benefit from the expenditures
exploration and evaluation expenditure relating to extensions
of mineral deposits which are already being mined or
developed including expenditure on the definition of
mineralisation of such mineral deposits is capitalised as a
mine development cost following the completion of an
economic evaluation equivalent to a prefeasibility study
this economic evaluation is distinguished from a
prefeasibility study in that some of the information that
would normally be determined in a prefeasibility study is
instead obtained from the existing mine or development
this information when combined with existing knowledge of
the mineral property already being mined or developed
allow the directors to conclude that more likely than not the
group will obtain future economic benefit from the
expenditures  costs relating to property acquisitions are
also capitalised  these costs are capitalised within
development costs
dividend distribution
dividend distribution to the company’s shareholders is
recognised as a liability in the group’s financial statements in the
period in which the dividends are approved by the board of
directors and declared to shareholders
earnings per share
is computed by dividing net income by the weighted average
number of ordinary shares in issue during the year
fully diluted earnings per share
is presented when the inclusion of potential ordinary shares has
a dilutive effect on earnings per share
3 critical accounting estimates and judgements
some of the accounting policies require the application of
significant judgement by management in selecting the
appropriate assumptions for calculating financial estimates  
by their nature these judgements are subject to an inherent
degree of uncertainty and are based on historical experience
terms of existing contracts management’s view on trends in the
gold mining industry and information from outside sources
the estimates and assumptions that have a significant risk of
causing a material adjustment to the carrying amounts of assets
and liabilities within the next financial year are discussed below
future rehabilitation obligations
the net present value of current rehabilitation estimates have
been discounted to their present value at 4 per annum 
2006 6 for morila being an estimate of the prevailing
interest rates  a 4 2006 65 discount rate was used for
loulo  expenditure is expected to be incurred at the end of the
respective mine lives  for further information including the
carrying amounts of the liabilities refer to note 14  a 1
change in the discount rate on the group’s rehabilitation
estimates would result in a us12 million 2006 us1 million
impact on the provision for environmental rehabilitation
gold price assumptions
the following gold prices were used in the mineral reserves
optimisation calculations
2007 2006
morila us525 us475
loulo open pit us550 us475
loulo underground us550 us475
tongon us525 us475
an increase in the gold price used would results in an increase
in the mineral reserve optimisation calculations
determination of ore reserves
there are numerous uncertainties inherent in estimating ore
reserves and assumptions that are valid at the time of estimation
may change significantly when new information becomes
available  changes in the forecast prices of commodities
exchange rates production costs or recovery rates may change
the economic status of reserves and may ultimately result in
the reserves being restated
uncertainties relating to transactions with 
a contractor
as explained in note 25 to the financial statements there are
uncertainties relating to the value of the securities held in
respect of advances to a contractor and also a claim relating to
the loulo development  the amounts reflected in the financial
statements reflect the directors’ best estimate of the amount
that will be recovered in respect of the advances and the
outcome of the dispute relating to the cost of the development
exploration and evaluation expenditure
the group has to apply judgement in determining whether
exploration and evaluation expenditure should be capitalised or
expensed  management exercises this judgement based on
the results of economic evaluations prefeasibility or feasibility
studies  costs are capitalised where those studies conclude
that future economic benefit is more likely than not
indirect taxes receivable
given their slowmoving nature the group has had to apply
judgement in determining when amounts will be recovered with
respect to indirect taxes owing to morila and loulo by the mali
government  the amounts reflected in the financial statements
are the directors’ best estimate of the timing of the recovery of
these amounts  for further information including the carrying
amount of the assets refer to note 7
depreciation
there are several methods for calculating depreciation ie the
straight line method the production method using ounces
produced and the production method using tonnes milled  the
directors believe that the tonnes milled method is the best
indication of plant and infrastructure usage
derivative valuation
the company uses valuations obtained from banks for the
marktomarket estimation of the loulo hedge book  the banks
use the following key inputs in the valuations
31 dec 31 dec
2007 2006
libor rates 536  470 532  533
spot gold prices us83650 us63570
gold lease rates 012  026 009  017
sharebased payments
refer to note 18 for the key assumptions used in determining
the value of sharebased payments
randgold resources        annual report 2007   91 92
notes to the consolidated financial statements
for the year ended 31 december 2007 continued
92 randgold resources        annual report 2007
4 income and mining taxes
current taxation 19 454 22 671
deferred taxation 11 1 819 426
21 273 23 097
the tax on the group’s profit before tax differs from the theoretical amount that would 
arise using the statutory tax rate applicable to the group’s malian operations
profit before tax 66 901 73 973
tax calculated at tax rate of 35 23 415 25 891
reconciling items
income taxed at 0 3 418 3 290
expenses deductible at 0 11 201 8 426
mali tax holiday permanent differences 10 981 9 125
other permanent differences 1 056 1 195
taxation charge 21 273 23 097
the company is not subject to income tax in jersey  morila sa benefited from a five year tax holiday until 14 november 2005  somilo sa
also benefits from a five year tax holiday in mali  the tax holiday commenced on 8 november 2005  the benefit of the tax holiday to the
group was to increase its net profit by us11 million 2006 us91 million  accordingly had the group not benefited from the tax holiday
in mali earnings per share would have been reduced by us016 and us014 for the years ended 31 december 2007 and 2006
respectively  under malian tax law income tax is based on the greater of 35 of taxable income or 075 of gross revenue  the morila
and loulo operations have no assessable capital expenditure carry forwards or assessable tax losses as at 31 december 2007 and 2006
respectively for deduction against future mining income
income per share
numerator shares amount
us000 denominator us
5 earnings and dividends per share
for the year ended 31 december 2007
basic earnings per share
shares outstanding 1 january 2007 68 763 561
weighted number of shares issued 825 422
income available to shareholders 42 041 69 588 983 060
effect of dilutive securities
weighted stock options issued to employees 682 932
diluted earnings per share 42 041 70 271 915 060
for the year ended 31 december 2006
basic earnings per share
shares outstanding 1 january 2006 68 072 864
weighted number of shares issued 318 928
income available to shareholders 47 564 68 391 792 070
effect of dilutive securities
weighted stock options issued to employees  939 243 
diluted earnings per share 47 564 69 331 035 069
refer to note 18 for details on share options issued to employees
us69 million us010 per share was paid as dividends in 2007 2006 0
on 31 january 2008 the board of directors approved an annual dividend of 120 us cents per share which will result in an aggregate
dividend payment of us91 million and is expected to be paid in march 2008
group
31 dec 31 dec
us000 notes 2007 2006 6 changes in accounting policy
the company changed its accounting policy on stripping costs under both ifrs and us gaap in 2006  previously costs of production
stage waste stripping in excess of the expected pit life average stripping ratio were deferred and then charged to production when the
actual stripping ratio was below the expected pit life average stripping ratio  under the revised accounting policy all stripping costs
incurred during the production phase of a mine are treated as variable production costs and as a result are included in the cost of the
inventory produced during the period that the stripping costs are incurred
under us gaap eitf 0406 ‘accounting for stripping costs incurred during production in the mining industry’ is effective for reporting
periods beginning after 15 december 2005  the consensus does not permit the deferral of any waste stripping costs during the
production phase of a mine but requires instead that they should be treated as variable production costs  the directors have decided 
to adopt the same treatment under ifrs which will ensure that the accounting policies applied under ifrs and us gaap remain in line
with regard to the conclusions reached by the eitf the directors believe the revised policy will mean that the financial statements provide
reliable and more relevant information about the group’s financial position and its financial performance  in accordance with the
requirements of ias 8 ‘accounting policies changes in accounting estimates and errors’ the change in the ifrs policy was applied
retrospectively and hence the 2005 figures were restated
the adjustment reported in the financial statements for the year ended 31 december 2006 arising from the change in the ifrs accounting
policy is set out below
group
31 dec
us000 2006
decrease in deferred stripping asset 2 115
decrease in ore stockpiles 6 324
decrease in gold in process 36
decrease in deferred taxation liability 740
increase in deferred taxation asset 2 966
decrease in opening retained earnings 7 915
increase in net profit 3 146
increase in basic earnings per share cents per share 5
increase in fully diluted earnings per share cents per share 5
group company
31 dec 31 dec 31 dec 31 dec
us000 notes 2007 2006 2007 2006
7 receivables
trade 25 405 12 545  
advances to contractors 71 12 064 12 064  
taxation debtor 72 19 911 20 322  
prepayments 8 606 5 018 1 153 589
other 77 1 935 64 435
66 063 51 884 1 217 1 024
impairment provision 1 136 3 183  
total 64 927 48 701 1 217 1 024
less current portion 42 104 34 999 1 217 1 024
long term portion 22 823 13 702  
71 advances to contractors comprise advances made to a contractor at loulo mdm ferroman pty ltd in liquidation ‘mdm’  
mdm was the contractor responsible for construction of the loulo mine until the main construction contract was taken back on 
30 december 2005  significant uncertainties exist relating to the recoverability of these advances  more detail is given in note 25 
to the financial statements
72 the taxation debtor relates to indirect taxes owing to the group by the state of mali
randgold resources        annual report 2007   93 company group
31 dec 31 dec 31 dec 31 dec
us000 2007 2006 2007 2006
94
notes to the consolidated financial statements
for the year ended 31 december 2007 continued
7 receivables continued
the fair values of trade and other receivables are as follows
trade 25 405 12 545  
advances to contractors 12 064 12 064  
taxation debtor 18 775 17 139  
prepayments 8 606 5 018 1 153 589
other 77 1 935 64 435
64 927 48 701 1 217 1 024
movements on the provision for impairment and present valuing of trade receivables are as follows
at 1 january 3 183 1 633
provision for receivables impairment  1 550
unused amounts reversed 2 047 
at 31 december 1 136 3 183
the creation and release of provision for impaired receivables have been included in mining and processing costs in the income statement
the unwinding of the discount is included in finance costs in the income statement
the other classes within trade and other receivables do not contain impaired assets
the credit quality of receivables that are not past due or impaired remains very high  the maximum exposure to credit risk at the reporting
date is the fair value of each class of receivable mentioned above  the group does not hold any collateral as security  refer to note 19 for
further information on the concentration of credit risk
us92 million of advances to contractors and the taxation debtor falls due within 12 months whilst the balance falls due thereafter  all
other receivable balances are due within 30 days
group
31 dec 31 dec
us000 2007 2006
8 inventories and ore stockpiles
consumable stores 31 993 18 739
short term portion of ore stockpiles 21 383 12 041
gold in process 4 034 3 420
total current asset inventories and ore stockpiles 57 410 34 200
long term portion of ore stockpiles 43 190 41 614
total inventories and ore stockpiles 100 600 75 814
ore stockpiles have been split between long and short term based on current life of mine plan estimates
94 randgold resources        annual report 2007 9 property plant and equipment
mine properties mine development costs and mine plant facilities and equipment
cost
at the beginning of year 297 839 236 331
disposals  
additions 49 583 61 508
347 422 297 839
accumulated depreciation and amortisation
at beginning of year 56 539 33 695
disposals  
charge for the year 20 987 22 844
77 526 56 539
net book value 269 876 241 300
longlived assets
included in property plant and equipment are longlived assets which are amortised over the life of the mine and comprise the metallurgical
plant tailings and raw water dams power plant and mine infrastructure  the net book value of these assets was us2541 million as at 
31 december 2007 2006 us2264 million
shortlived assets
included in property plant and equipment are shortlived assets which are amortised over their useful lives and are comprised of motor
vehicles and other equipment  the net book value of these assets was us72 million as at 31 december 2007 2006 us52 million
undeveloped property
included in property plant and equipment are undeveloped property costs of us86 million 2006 us97 million
refer to note 15 for assets collateralised and under finance lease  no borrowing costs were capitalised as part of additions during the 
year 2006 us0 million  
refer to the property plant and equipment accounting policy note on page 87 and 88 for details of each asset category’s useful economic
life
group company
31 dec 31 dec 31 dec 31 dec
us000 2007 2006 2007 2006
10 investments and loans in subsidiaries 
and joint venture
investment in somilo   5 745 5 745
investment in morila joint venture   271 271
investment in randgold resources mali sarl   2 2
total investments 6 018 6 018
loan  morila joint venture   59 139
loan  somilo   201 174 145 424
loan  seven bridges   121 157
loan  randgold resources mali sarl   7 130 5 347
total loans in subsidiaries and joint ventures   208 484 150 753
  214 502 156 771
the group’s interest in the morila joint 
venture was as follows
noncurrent assets 84 434 81 549  
current assets 42 982 35 921  
total assets 127 416 117 470  
noncurrent liabilities 8 194 9 279  
current liabilities 12 714 9 805  
total liabilities 20 908 19 084  
group
randgold resources        annual report 2007   95
31 dec 31 dec
us000 2007 2006 96
notes to the consolidated financial statements
for the year ended 31 december 2007 continued
11 deferred taxation
deferred tax is calculated on temporary differences under the liability method using a tax rate of 35 2005 35
group
31 dec 31 dec
us000 notes 2007 2006
the movement on deferred taxation is as follows
at the beginning of the year 2 531 2 957
income statement charge 4 1 819 426
at the end of the year 712 2 531
deferred taxation assets and liabilities comprise
the following
decelerated tax depreciation 1 451 462
deferred taxation liability 1 451 462
deferred stripping 2 163 2 966
accelerated tax depreciation  27
deferred taxation asset 2 163 2 993
net deferred taxation asset 712 2 531
us08 million is expected to be recovered in more than 12 months 2006 us21 million
temporary differences which are expected to be realised during the loulo tax holiday are recognised at 0
group company
31 dec 31 dec 31 dec 31 dec
us000 2007 2006 2007 2006
12 availableforsale financial assets
beginning of year    
acquisition of asset backed securities 48 950  48 950 
end of year 48 950  48 950 
there were no disposals or impairment provisions on availableforsale financial assets in 2007 or 2006
availableforsale financial assets include the following
2007 2006
investments in us asset backed securities 48 950 
this relates to the company’s portfolio of aaa rated short term assetbacked securities and other corporate debt instruments previously
included in cash and cash equivalents  the trading market for these instruments has become substantially illiquid as a result of unusual
conditions in the credit markets  the company continues to receive interest payable on these securities and all the securities remain aaa
rated
group company
31 dec 31 dec 31 dec 31 dec
us000 2007 2006 2007 2006
13 accounts payable and accrued liabilities
trade payables 19 635 15 410 332 34
payroll and other compensation 4 540 3 301 3 695 2 514
accruals 39 021 20 598 6 755 376
other 134 152 128 128
63 330 39 461 10 910 3 052
96 randgold resources        annual report 2007 14 provision for environmental rehabilitation
opening balance 8 842 9 480  
unwinding of discount 554 541  
change in estimates 1 678 1 179  
11 074 8 842  
as at 31 december 2007 us66 million of the provision relates to loulo 31 december 2006 us48 million which is based on
estimates provided by environmental consultants in connection with the loulo feasibility study  the remaining us45 million relates to
morila 31 december 2006 us4 million  the provisions for rehabilitation costs include estimates for the effect of inflation and changes 
in estimates and have been discounted to their present value at 4 2006 6 per annum for morila being an estimate derived from the
risk free rate  a 4 2006 65 discount rate was used for loulo  limited environmental rehabilitation regulations currently exist in 
mali to govern the mines so the directors have based the provisions for environmental rehabilitation on standards set by the world bank
which require an environmental management plan an annual environmental report a closure plan an uptodate register of plans 
of the facility preservation of public safety on closure carrying out rehabilitation works and ensuring sufficient funds exist for the closure
works  however it is reasonably possible that the group’s estimate of its ultimate rehabilitation liabilities could change as a result of
changes in regulations or cost estimates  the group is committed to rehabilitation of its properties  it makes use of independent
environmental consultants for advice and it also uses past experience in similar situations to ensure that the provisions for rehabilitation are
adequate  current life of mine plans envisage the expected outflow to occur at the end of the life of mine which is 2013 for morila and
2024 for loulo
group company
31 dec 31 dec 31 dec 31 dec
us000 notes 2007 2006 2007 2006
15 borrowings
morila power plant finance lease 151 2 702 3 828  
morila oxygen plant finance lease 152 546 718  
loulo project finance loan 153  40 800  
corporate revolving credit facility 153  
loulo cat finance lease 154 3 172 5 138  
6 420 50 484  
less current portion 3 647 24 818  
2 773 25 666  
all loans are secured and have variable interest rates except for the loulo cat finance lease which has a fixed rate
151 morila power plant finance lease
the morila power plant finance lease relates to five generators leased from rollsroyce for morila  the lease is repayable 
over ten years commencing 1 april 2001 and bears interest at a variable rate which as at 31 december 2007 was approximately 
23 2006 21 per annum  the lease is collateralised by plant and equipment the net book value at 31 december 2007
amounted to us36 million 2006 us41 million  average annual lease payments of us15 million are payable in
installments over the term of the lease  the company has guaranteed the repayment of this lease
152 morila oxygen plant finance lease
the morila oxygen plant finance lease relates to three oxygen generating units leased from air liquide for morila  the lease is
payable over 10 years commencing 1 december 2000 and bears interest at a variable rate which as at 31 december 2007 
was approximately 309 2006 348 per annum  the lease is collateralised by the production units the net book value of
which at 31 december 2007 amounted to us05 million 2006 us06 million
company group
randgold resources        annual report 2007   97
31 dec 31 dec 31 dec 31 dec
us000 2007 2006 2007 2006 98
notes to the consolidated financial statements
for the year ended 31 december 2007 continued
15 borrowings continued
153 loulo project finance loan
the loulo project finance facility was replaced in early may of 2007 with a us60 million corporate revolving credit facility 
to randgold resources  the facility is with nm rothschild société générale fortis and barclays  it carries interest at rates 
of between libor 14 and libor 16  the facility was fully repaid in december 2007  the corporate facility remains 
in place should it be required  the maximum amounts outstanding under the facility are prior to 1 november 2009  
us60 million up to 1 may 2010  us48 million up to 1 november 2010  us36 million up to 1 may 2011  us24 million
154 loulo cat finance lease
the euro denominated caterpillar finance facility relates to fifteen 3512b hd generator sets and ancillary equipment purchased
from ja delmas and financed by a loan from caterpillar finance for loulo  the lease is payable quarterly over 42 months
commencing on 1 august 2005 and bears interest at a fixed rate of 603 2006 603 per annum  the company together
with randgold resources somilo limited jointly guaranteed the repayment of this lease  the average lease payments of
us05 million are payable in installments over the term of the lease
the exposure of the group’s borrowings to interest rate changes at the balance sheet dates are as follows
2007 2006
0  12 months 1 086 22 508
1  5 years 2 162 22 838
3 248 45 346
the carrying amounts and fair value of the noncurrent borrowings are as follows
carrying carrying fair fair
amount amount value value
2007 2006 2007 2006
corporate revolving credit facility  loulo project finance loan  19 500  19 500
finance leases 2 773 6 166 2 773 6 166
2 773 25 666 2 773 25 666
the fair value of current borrowings equals their carrying amount as the impact of discounting is not significant  the fair values
are based on cash flows discounted using a rate based on the borrowing rate
the carrying amounts of the group’s borrowings are denominated in the following currencies
2007 2006
us dollar 3 248 45 346
euro 3 172 5 138
6 420 50 484
the group has the following undrawn borrowing facilities
floating rate
expiring within one year  
expiring beyond one year 60 000 
60 000 
group company
31 dec 31 dec 31 dec 31 dec
us000 2007 2006 2007 2006
155 maturities
the borrowings mature over the following periods
not later than 1 year 3 647 24 818  
later than 1 year and not later than 5 years 2 773 25 666  
later than 5 years    
6 420 50 484  
98 randgold resources        annual report 2007 group
31 dec 31 dec
us000 2007 2006
15 borrowings continued
156 finance lease liabilities  minimum lease 
payments
balance of leases outstanding 8 070 12 405
future finance charges on leases 1 650 2 721
present value of finance lease liabilities 6 420 9 684
at the date of origination there was no material fair value attributable to the guarantees issued by the company on behalf of group entities
to third parties  had the value been recognised the depreciated carrying amount would have been insignificant
group
31 dec 31 dec
us000 2007 2006
16 loans from minority shareholders in 
subsidiaries
somilo
government of mali  principal amount 685 614
deferred interest 2 411 2 159
loans 3 096 2 773
minority interest in accumulated profits 8 294 4 707
the government of mali loan to somilo is uncollateralised and bears interest at the base rate of the central bank of west african states plus
2  the accrual of interest ceased in the last quarter of 2005 per mutual agreement between shareholders  the loan is repayable from
cash flows of the loulo mine after repayment of all other loans  in the event of a liquidation of somilo the shareholder loans and deferred
interest are not guaranteed
group
31 dec 31 dec
us000 2007 2006
17 financial liabilities  forward gold sales
forward gold sales 85 625 67 494
less current portion 33 672 27 525
noncurrent portion 51 953 39 969
the financial liabilities relate to the loulo forward gold sales all of which qualify for hedge accounting  these derivative instruments are
further detailed in note 21
18 employment cost
the group contributes to several defined contribution provident funds  the provident funds are funded on the “money accumulative basis”
with the members and company having been fixed in the constitutions of the funds  all the group’s employees other than those directly
employed by west african subsidiary companies are entitled to be covered by the abovementioned retirement benefit plans  retirement
benefits for employees employed by west african subsidiary companies are provided by the state social security system to which the
company and employees contribute a fixed percentage of payroll costs each month
randgold resources        annual report 2007   99 group
31 dec 31 dec
us000 2007 2006
100
notes to the consolidated financial statements
for the year ended 31 december 2007 continued
18 employment cost continued
total employee benefit cost was as follows
short term benefits 4 187 3 235
pension contributions 174 237
sharebased payments 2 847 2 369
total 7 208 5 841
sharebased payments
the fair value of employee services received as consideration for equity instruments equity settled of the company is calculated using the
blackscholes option pricing model  the key assumptions used in this model for options granted during the year were as follows
group
31 dec 31 dec
us000 notes 2007 2006
expected life 3 years 3 years
volatility 181 3006 4896
risk free interest rate 434 464
dividend yield 0 0
weighted average share price on grant and valuation date 182 us2219 us2250
weighted average exercise price 183 us2219 us2250
181 volatility is based on the three year historical volatility of the company’s shares on each grant date
182 weighted average share price for the valuation is calculated taking into account the market price on all grant dates
183 the weighted average exercise price is calculated taking into account the exercise price on each grant date  please refer to
page 78 for details provided on share options including the number and weighted average exercise price of share options
outstanding at the beginning and end of each period options granted exercised and lapsed during the period
184 the exercise of the options issued in 2007 is subject to a satisfactory performance level being achieved during the 12 month
period prior to the exercise date of each tranche of options  the minimum performance level to be achieved is defined as level 3
in the company’s performance management system  no performance criteria was attached to the options that were issued in
2006
the table below summarises the information about the options outstanding
weighted weighted
average average
number contractual exercise price
outstanding options of shares life in years us
range of exercise price us 
at 31 december 2007
125  213 89 456 308 181
250  350 23 302 231 323
500  825 116 556  
805  805 443 300 659 805
1278  1615 172 000 761 1431
2250  2250 192 000 892 2250
2219  2219 1 500 000 964 2219
2 536 614 817 1730
at 31 december 2006
125  213 89 456 408 181
250  350 43 302 434 324
500  825 116 556 061 825
805  805 974 633 759 805
1278  1615 219 000 856 1398
2250  2250 192 000 992 2250
2219  2219 
1 634 947 722 1009
100 randgold resources        annual report 2007 weighted
average
number exercise
exercisable options of shares average us
18 employment cost continued
the table below summarises the information about the rrso options that are 
exercisable as at 31 december 2007 and 2006
range of exercise price us 
at 31 december 2007
125  213 89 456 181
250  350 23 302 323
500  825 116 556 825
805  1615 111 966 993
341 280 677
at 31 december 2006
125  213 89 456 181
250  350 43 302 324
500  825 116 556 825
805  805 154 633 805
403 947 621
19 segment information
the group’s mining and exploration activities which are included in the corporate and exploration segment are conducted in west and east
africa  an analysis of the group’s business segments excluding intergroup transactions is set out below  
group’s 40 corporate
share of loulo and
us000 morila mine mine exploration total
a year ended 31 december 2007
profit and loss
gold sales on spot 127 687 185 734  313 421
loss on matured hedges  23 580  23 580
noncash loss on roll forward of hedges  7 036  7 036
total revenue 127 687 155 118  282 805
mining and processing costs excluding depreciation 50 536 87 880  138 416
depreciation and amortisation 5 428 15 559  20 987
mining and processing costs 55 964 103 439  159 403
transport and refining costs 277 1 318  1 595
royalties 8 949 9 358  18 307
exploration and corporate expenditure 832 4 184 30 904 35 920
other expensesincome 2 688 2 247 894 4 041
finance costs 1 357 4 448  5 805
finance income 147 151 8 869 9 167
profit before income tax 57 767 30 275 21 141 66 901
income tax expense 20 725 548  21 273
net profit 37 042 29 727 21 141 45 628
capital expenditure 678 47 227  47 905
total assets 132 442 308 224 340 053 780 719
total external liabilities 26 863 132 637 11 030 170 530
dividends paidreceived 29 000  29 000 
net cash flows generated byutilised in 
operations 24 109 42 025 3 901 62 233
net cash flows utilised in investing activities 678 47 227 48 950 96 855
net cash utilised ingenerated from 
financing activities 1 297 42 443 229 189 185 449
net decreaseincrease in cash and 
cash equivalents 22 134 47 645 176 338 150 827
randgold resources        annual report 2007   101 102
notes to the consolidated financial statements
for the year ended 31 december 2007 continued
19 segment information continued
b year ended 31 december 2006
profit and loss
gold sales on spot 125 951 148 956  274 907
loss on matured hedges  12 190  12 190
noncash loss on roll forward of hedges  4 413  4 413
total revenue 125 951 132 353  258 304
mining and processing costs excluding depreciation 44 264 70 586  114 850
depreciation and amortisation 6 233 16 611  22 844
mining and processing costs 50 497 87 197  137 694
transport and refining costs 244 467  711
royalties 8 802 8 177  16 979
exploration and corporate expenditure 2 643 2 886 23 276 28 805
other expensesincome 68 4 042 2 409 1 701
finance costs 1 258 4 567  5 825
finance income 137 256 6 991 7 384
profit before income tax 62 576 25 273 13 876 73 973
income tax expense 23 025 27 99 23 097
net profit 39 551 25 300 13 975 50 876
capital expenditure 1 160 60 245 103 61 508
total assets 117 470 258 557 136 137 512 164
total external liabilities 19 084 146 228 3 309 168 621
dividends paidreceived 30 400  30 400 
net cash flows generated byutilised in 
operations 32 900 48 482 10 972 70 410
net cash flows utilised in investing activities 1 160 60 140 103 61 403
net cash utilised ingenerated from financing 
activities 1 130 20 626 3 653 18 103
net decreaseincrease in cash and cash 
equivalents 30 610 32 284 7 422 9 096
20 financial risk management
in the normal course of its operations the group is exposed to gold price currency interest rate liquidity and credit risks  in order to
manage these risks the group may enter into transactions which make use of onbalance sheet derivatives  the group does not acquire
hold or issue derivatives for trading purposes  the group has developed a risk management process to facilitate control and monitor these
risks  the board has approved and monitors this risk management process inclusive of documented treasury policies counterpart limits
controlling and reporting structures
controlling risk in the group
the treasury committee is responsible for risk management activities within the group  the treasury committee reviews and recommends to
the board all treasury counterparts limits instruments and hedge strategies  at least two members of the treasury committee need to be
present for a decision to be made  the treasury committee is only permitted to invest with institutions with investment ratings of aa or
higher  the treasurer is responsible for managing investment gold price currency liquidity and credit risk  the treasury function monitors
adherence to the treasury risk management policy and counterpart limits and provides regular reports
the financial risk management objectives of the group are defined as follows
safeguarding the group core earnings stream from its major assets through the effective control and management of gold price risk
foreign exchange risk and interest rate risk
effective and efficient usage of credit facilities in both the short and long term through the adoption of reliable liquidity management
planning and procedures
ensuring that investment and hedging transactions are undertaken with creditworthy counterparts
ensuring that all contracts and agreements related to risk management activities are coordinated consistent throughout the group and
comply where necessary with all relevant regulatory and statutory requirements
102 randgold resources        annual report 2007
group’s 40 corporate
share of loulo and
us000 morila mine mine exploration total 20 financial risk management continued
foreign currency and commodity price risk
in the normal course of business the group enters into transactions denominated in foreign currencies primarily euro and communauté
financière africaine franc  as a result the group is subject to exposure from fluctuations in foreign currency exchange rates  in general
the group does not enter into derivatives to manage these currency risks  generally the group does not hedge its exposure to gold price
fluctuation risk and sells at market spot prices  gold sales are disclosed in us dollars and do not expose the group to any currency
fluctuation risk  however during periods of capital expenditure or loan finance the company may use forward contracts or options to
reduce the exposure to price movements while maintaining significant exposure to spot prices
these derivatives may establish a fixed price for a portion of future production while the group maintains the ability to benefit from increases
in the spot gold price for the majority of future gold production  at year end the volume of outstanding forward sale contracts was 207 240
ounces
net open hedge position as at 31 december 2007
the group had the following net forwardpricing commitments outstanding against future production
summary all open contracts in the group’s commodity hedge position as at 31 december 2007
2008 2009 2010 total
us dollargold
forward sales
ounces 80 496 84 996 41 748 207 240
average usoz 42923 43490 50038 44589
the volume of production hedged and the tenor of the hedging book is continually reviewed in the light of changes in operational forecasts
market conditions and the group’s hedging policy
forward sales contracts require the future delivery of gold at a specified price
the gains and losses on ineffective portions of cash flow hedge derivatives are recognised immediately in the income statement  during
the year to 31 december 2007 a loss of us03 million 2006 us07 million was recognised due to hedge ineffectiveness
interest rate and liquidity risk
fluctuations in interest rates impact on the value of short term cash investments and interest payable on financing activities including
long term loans giving rise to interest rate risk  in the ordinary course of business the group receives cash from its operations and 
is required to fund working capital and capital expenditure requirements  the group generally enters into variable interest bearing
borrowings  this cash is managed to ensure surplus funds are invested in a manner to achieve maximum returns while minimising
risks  the group has in the past been able to actively source financing through public offerings shareholder loans and third party
loans  a 1 change in interest rates on the group’s net cash cash and cash equivalents less borrowings would result in a 
us29 million 2006 us09 million impact on profit before tax  the group typically holds financial investments with an average
maturity of 30 days to ensure adequate liquidity  the maturity of borrowings is set out in note 15 the maturity of all other financial
liabilities is not later than one year
cash and short term loans advanced
floating rate
fixed rate investment
investment effective amount effective
maturity date currency amount rate  million rate 
all less than one year us 343 133 456  
the other financial instruments of the group that are not included in the tables above are noninterest bearing and are therefore not
subject to interest rate risk
randgold resources        annual report 2007   103 104
notes to the consolidated financial statements
for the year ended 31 december 2007 continued
20 financial risk management continued
concentration of credit risk
the group’s derivative financial instruments and cash balances do not give rise to a concentration of credit risk because it deals with a
variety of major financial institutions  its receivables and loans are regularly monitored and assessed  receivables are impaired when it is
probable that amounts outstanding are not recoverable as set out in the accounting policy note for receivables  gold bullion the group’s
principal product is produced in mali  the gold produced is sold to a reputable gold refinery  the group is not exposed to significant
credit risk as cash is received within a few days of the sale taking place  included in receivables is us188 million net of a present value
provision 2006 us184 million see note 7 relating to indirect taxes owing to morila and loulo by the state of mali which are
denominated in fcfa  receivables also include advances to a contractor totalling us121 million 2006 us118 million see note 25
availableforsale financial assets consists of a portfolio of aaa rated short term assetbacked securities and other corporate debt
instruments  the trading market for these instruments has become substantially illiquid as a result of unusual conditions in the credit
markets  the company continues to receive interest payable on these securities and all the securities remain aaa rated  refer to note
12
capital risk management
the group’s objectives when managing capital are to safeguard the group’s ability to continue as a going concern in order to provide returns
for shareholders and benefits for other stakeholders and to maintain an optimal capital structure to reduce the cost of capital  in order to
maintain or adjust the capital structure the group may adjust the amount of dividends paid to shareholders return capital to shareholders
issue new shares or sell assets to reduce debt  consistent with others in the industry the group monitors capital on the basis of the
gearing ratio  this ratio is calculated as net debt divided by total capital  net debt is calculated as total borrowings including borrowings
and trade and other payables as shown in the consolidated balance sheet less cash and cash equivalents  total capital is calculated as
equity as shown in the consolidated balance sheet plus net debt
2007 2006
total borrowings 6 420 50 484
less cash and cash equivalents 294 183 143 356
net cash 287 763 92 872
total equity 607 093 340 770
total capital 319 330 247 898
gearing ratio 0 0
21 fair value of financial instruments
the following table presents the carrying amounts and fair values of the group’s financial instruments outstanding at 31 december 2007
and 2006  the fair value of a financial instrument is defined as the amount at which the instrument could be exchanged in a current
transaction between willing parties other than in a forced or liquidation sale
carrying carrying
amount fair value amount fair value
31 dec 31 dec 31 dec 31 dec
us000 notes 2007 2007 2006 2006
financial assets
cash and cash equivalents 294 183 294 183 143 356 143 356
availableforsale financial assets 48 950 48 950 
receivables 56 321 56 321 43 683 43 683
financial liabilities
accounts payable 63 330 63 330 39 461 39 461
current portion of long term borrowings 3 647 3 647 24 818 24 818
long term borrowings 
excluding loans from outside shareholders 2 773 2 773 25 666 25 486
liabilities on forward gold sales 17 85 625 85 625 67 494 67 494
government of mali loan 3 096 2 545 2 773 2 280
104 randgold resources        annual report 2007 21 fair value of financial instruments continued
financial instruments
details of the group’s on balance sheet forward 
gold sale contracts as at 31 december 2007 
all treated as cash flow hedges
maturity dates
year ended 2008 33 672 80 496 429
year ended 2009 36 090 84 996 435
year ended 2010 15 863 41 748 500
total 85 625 207 240 446
financial instruments
details of the group’s on balance sheet forward 
gold sale contracts as at 31 december 2006 
all treated as cash flow hedges
maturity dates
year ended 2007 27 525 132 583 438
year ended 2008 19 062 80 496 431
year ended 2009 20 907 84 996 437
total 67 494 298 075 436
these financial instruments were taken out as part of the loulo project financing but some of the contracts which matured in 2006 have
been rolled forward
for ounces delivered into hedges the net cash proceeds from the sales will be limited to the forward price per the contract as per the
previous table  however the revenue recognised under ifrs in respect of forecast sales hedging using forward contracts rolled forward in
2007 will be adjusted to exclude the noncash profitloss rolled forward  these profitslosses have already been recognised in the income
statement at the original designated delivery date
31 dec 31 dec
us000 2007 2006
the hedge book liability as stated at present will realise as follows
amounts deferred in equity which will reduceincrease revenue in future periods
2007  23 962
2008 32 749 19 062
2009 34 755 19 458
2010 6 319 
73 823 62 482
the noncash losses on rolled forward contracts for previously designated dates 
which have already been recognised in the income statement
2007  3 078
2008  
2009 1 335 1 335
2010 9 544 
10 879 4 413
the ineffective lossprofit portion of hedging contracts previously recognised 923 599
total fair value 85 625 67 494
randgold resources        annual report 2007   105
carrying forward forward
amount sales sales
hedging instruments us000 ounces usoz 106
notes to the consolidated financial statements
for the year ended 31 december 2007 continued
21 fair value of financial instruments continued
movement in the hedging reserve
opening balance 62 482 43 135
movement on cash flow hedges
transfer to income statement 30 371 17 256
fair value movement on financial instruments 41 712 36 603
closing balance 73 823 62 482
estimation of fair values
receivables accounts payable bank overdrafts and cash and cash equivalents
the carrying amounts are a reasonable estimate of the fair values because of the short maturity of such instruments  long term receivables
are discounted using the effective interest rate which approximates to a market related rate  the rates used and the fair values are stated in
note 7
long term borrowings
the fair value of marketbased floating rate long term debt is estimated using the expected future payments discounted at market interest
rates
the fair value for the loans from minority shareholders is based on estimated project cash flows which have been discounted at 675 
2006 675
gold price contracts
the fair value of gold price forward sales contracts has been determined by reference to quoted market rates at year end balance sheet
dates  see note 3
the forward price of gold is sensitive to fluctuations in the gold spot price interest rates and the gold lease rate  the following table sets
forth a sensitivity analysis of the marktomarket valuations of our hedges as at 31 december 2007
impact on marktomarket valuation of financial liabilities  forward gold sales
sensitivity to change in gold price at 31 december 2007
loulo 100
change in us gold price 20 10 5 2 0 2 5 10 20
marktomarket us million 896 876 866 860 856 852 846 836 817
sensitivity to change in weighted average us interest rate at 31 december 2007
loulo 100
change in rate 100 050 020 000 020 050 100
marktomarket us million 876 866 860 856 852 846 836
sensitivity to change in gold lease rate at 31 december 2007
loulo 100
change in rate 100 050 020 000 020 050 100
marktomarket us million 839 848 853 856 860 865 873
these movements will affect profits when the relevant forward contracts expire
group
31 dec 31 dec
us000 2007 2006
22 commitments and contingent liabilities
capital expenditure contracted for at balance sheet date but 
not yet incurred is
property plant and equipment 2 013 10 450
the group’s capital commitments relating to the morila joint venture included above amounts to us05 million 2006 us01 million
there are no contingent liabilities for morila  if the group were to early terminate its mining contract at loulo without cause it would have to
pay a lump sum compensation depending on the maturity of the contract  if the contract had been cancelled in 2007 then the payment
would have been us5 million 2006 us67 million
106 randgold resources        annual report 2007
31 dec 31 dec
us000 2007 2006 22 commitments and contingent liabilities continued
operating lease commitments
the lease relates to the oxygen plant at loulo leased from maligaz
the duration of the contract is 10 years and the contract is renewable for additional periods of 
five years thereafter
the lease expenditure charged to the income statement during the year is disclosed in note 26
the future aggregate minimum lease payments under operating leases are as follows
no later than 1 year 362 323
later than 1 year and no later than 5 years 1 448 1 292
later than 5 years 724 969
2 534 2 584
 these payments also include payments for nonlease elements in the arrangement
23 related party transactions
in terms of the operator agreement between morila sa and anglogold ashanti services mali sa a management fee calculated as 1 
of the total sales of morila is payable to anglogold services mali sa quarterly in arrears  the attributable management fees for the year
ended 31 december 2007 amounted to us13 million 2006 us13 million  with effect from 15 february 2008 randgold resources
assumed responsibility for the operatorship of morila sa and accordingly will receive payment of the management fees  purchasing and
consultancy services are also provided by anglogold ashanti to the mine on a reimbursable basis  the attributable purchases and
consultancy services for the year ended 31 december 2007 amounted to us24 million 2006 us31 million  the attributable
purchases and consultancy services balance outstanding at year end amounted to us09 million 2006 0  seven bridges trading 14
pty limited administration services to rockwell resources rsa pty limited  total fees received during the year amounted to us008
million 2006 us002 million
key management personnel compensation was as follows
us000 2007 2006
short term employee benefits 6 267 4 863
sharebased payments 1 144 1 434
total 7 411 6 297
this includes compensation for three executive directors 2006 two six nonexecutive directors 2006 seven and ten executive
management personnel 2006 nine
refer to directors and management’s profiles on pages 12 to 16 for detail of their roles and responsibilities
24 nongaap information
total cash costs and cash cost per ounce are nongaap measures  total cash costs and cash cost per ounce are calculated using
guidance issued by the gold institute  the gold institute was a non profit industry association comprised of leading gold producers
refiners bullion suppliers and manufacturers  this institute has now been incorporated into the national mining association  the guidance
was first issued in 1996 and revised in november 1999  total cash costs as defined in the gold institute’s guidance  include mine
production transport and refinery costs general and administrative costs movement in production and ore stockpiles transfers to and from
deferred stripping where relevant and royalties  under the company’s revised accounting policies there are no transfers to and from
deferred stripping
total cash costs per ounce are calculated by dividing total cash costs as determined using the gold institute guidance by gold ounces
produced for the periods presented  total cash costs and total cash costs per ounce are calculated on a consistent basis for the periods
presented  total cash costs and total cash costs per ounce should not be considered by investors as an alternative to operating profit or
net profit attributable to shareholders as an alternative to other ifrs measures or an indicator of our performance  the data does not have
a meaning prescribed by ifrs and therefore amounts presented may not be comparable to data presented by gold producers who do not
follow the guidance provided by the gold institute  in particular depreciation amortisation and sharebased payments would be included in
a measure of total costs of producing gold under ifrs but are not included in total cash costs under the guidance provided by the gold
institute  furthermore while the gold institute has provided a definition for the calculation of total cash costs and total cash costs per
ounce the calculation of these numbers may vary from company to company and may not be comparable to other similarly titled measures
of other companies  however randgold resources believes that total cash costs per ounce is a useful indicator to investors and
management of a mining company’s performance as it provides an indication of a company’s profitability and efficiency the trends in cash
costs as the company’s operations mature and a benchmark of performance to allow for comparison against other companies
randgold resources        annual report 2007   107
us000 2007 2006 108
notes to the consolidated financial statements
for the year ended 31 december 2007 continued
24 nongaap information continued
cash operating costs and cash operating cost per ounce are calculated by deducting royalties from total cash costs  cash operating
costs per ounce are calculated by dividing cash operating costs by gold ounces produced for the periods presented  gold sales and the
average price received are non gaap measures  gold sales represents the sales of gold at spot and the gainslosses on hedge contracts
which have been delivered into at the designated maturity date  it excludes gainslosses on hedge contracts which have been rolled
forward to match future sales  this adjustment is considered appropriate because no cash is receivedpaid in respect of these contracts
average price received is calculated by dividing gold sales by gold ounces sold  these measures do not have a meaning prescribed by
ifrs and should not be regarded as an alternative to the revenue measures presented under ifrs  profit from mining activity is calculated
by subtracting total cash costs from gold sales for all periods presented
the following table reconciles gold sales total cash costs and profit from mining activity as non gaap measures to the information
provided in the income statement determined in accordance with ifrs for each of the years set out below
year year
ended ended
31 dec 31 dec
us000 2007 2006
gold sales on spot 313 421 274 907
loss on matured hedges 23 580 12 190
gold sales

289 841 262 717
mine production costs 136 312 115 217
movement in production inventory and ore stockpiles 11 534 13 373
transport and refining costs 1 595 711
royalties 18 307 16 979
general and administration expenses 13 638 13 006
total cash costs 158 318 132 540
profit from mining activity 131 523 130 177
depreciation and amortisation 20 987 22 844
exploration and corporate expenditure 35 920 28 805
finance income 9 167 8 723
other income 967 1 168
other expenses 5 008 3 667
finance costs 5 805 6 366
noncash loss on roll forward of hedges 7 036 4 413
profit before income tax 66 901 73 973

gold sales does not include the noncash loss on the roll forward hedges amounting to us70 million 2006 us44 million
25 significant uncertainties relating to transactions with a contractor
the directors believe that the group is entitled to recover us593 million from mdm ferroman pty ltd ‘mdm’ in liquidation the
contractor which was responsible for construction of the loulo mine ‘the project’ until the main construction contract was taken back 
on 30 december 2005  this comprises payments totalling us32 million which have been capitalised as part of the cost of the project
us152 million in respect of damages arising from the delayed completion of the project and advances of us121 million 
2005 us122 million included in receivables  of this latter amount us7 million is secured by performance bonds and the remainder is
secured by various personal guarantees and other assets  as part of the group’s efforts to recoup the monies owed mdm was put into
liquidation on 1 february 2006  this resulted in a south african companies act section 417 investigation into the business and the
financial activities of mdm its affiliated companies and their directors  this investigation was concluded in june 2007 and the liquidators
are expected to release a statement of mdm’s assets and liabilities shortly  the directors believe that the group will be able to recover in full
the us121 million included in receivables  however this is dependent on the amounts which can be recovered from the performance
bonds personal guarantees and other assets provided as security  any shortfall is expected to be recovered from any free residue
accruing to the insolvent estate  the recovery process has commenced with summons being issued against creditors who received
payment from mdm in terms of the insolvency and companies acts and against the insurance company which issued the performance
bonds  the aggregate amount which will ultimately be recovered cannot presently be determined  the financial statements do not reflect
any additional provision that may be required if the us121 million cannot be recovered in full  recovery of the other us472 million is
dependent on the extent to which the group’s claim is accepted by the liquidators and the amount in the free residue
108 randgold resources        annual report 2007 25 significant uncertainties relating to transactions with a contractor continued
the ultimate outcome of this claim cannot presently be determined  the financial statements do not reflect any adjustment to the cost of
the loulo development that may arise from this claim or any additional income that may arise from the claim for damages or any charge
that may arise from mdm’s inability to settle amounts that are determined to be payable by mdm to the group in respect of the loulo
development
26 mining and processing costs and other disclosable items
mining and processing costs comprise
year year
ended ended
31 dec 31 dec
us000 2007 2006
mine production costs 136 312 115 217
movement in production inventory and ore stockpiles 11 534 13 373
depreciation and amortisation 20 987 22 844
other mining and processing costs 13 638 13 006
159 403 137 694
operating lease payments 362 323
impairment of receivables 2 047 1 550
27 exploration and corporate expenditure
exploration and corporate expenditure comprise
exploration expenditure 18 245 13 959
corporate expenditure 17 675 14 846
35 920 28 805
28 finance income and costs
finance income  interest income on short term deposits 7 887 7 384
finance income  net foreign exchange gains on financing activities 1 280 1 339
finance income 9 167 8 723
interest expense  borrowings 5 251 5 825
unwind of discount on provisions for environmental rehabilitation 554 541
finance costs 5 805 6 366
finance income  net 3 362 2 357
29 post balance sheet events
with effect from 15 february 2008 randgold resources assumed responsibility for the operatorship of morila sa and accordingly will
receive payment of the management fees  see note 23 for details
on 31 january 2008 the board of directors approved an annual dividend of 12 us cents per share which resulted in an aggregate
dividend payment of us91 million which was paid in march 2008
the development of the tongon mine was approved by the board of directors on 31 january 2008
randgold resources        annual report 2007   109 110 randgold resources        annual report 2007
110
group structure dr haladou manirou
medical officer loulo
graduated from the university of bamako in
2001 and joined randgold resources in 2004
manages the mine’s medical services and its
safety and health committee  also runs a trauma
centre at the mine and a clinic in the local village
his pioneering work in setting up control
systems and education programmes for malaria
hivaids and stds has markedly reduced their
local incidence
“in striving to improve the welfare of our
workforce as well as the local community i’ve
benefited greatly from the company’s
professional development programme which
has enabled me to acquire advanced new skills
in health safety and environmental
management”
shar shareholders’ info eholders’ info shareholders’ info top twenty institutional investors
112 randgold resources        annual report 2007
112
analysis of shareholding
as at 31 december 2007
1 – 10 000 478 7940 683 609 090
10 001 – 25 000 56 930 877 324 115
25 001 – 50 000 20 333 766 849 100
50 001 – 500 000 43 714 7 004 909 920
500 001 – 1 000 000 3 050 1 802 930 237
over 1 000 000 2 033 65 012 413 8538
total 602 10000 76 148 034 10000
 this includes restricted shares which have not vested by 31 december 2007
shareholdings over 5 per cent
randgold resources’ jersey channel islands share register reflects only one holder being bny nominees limited as holding more than 5
of the issued ordinary share capital of randgold resources limited  it is noted that these shares are held for and on behalf of adr holders
the table below reflects randgold resources’ ten major shareholders
on 3 december 2007 randgold resources was notified by fmr llc of a major interest in shares as a result of an indirect interest of 
7 038 371 ordinary shares amounting to 1015 of the then issued share capital  on 25 february 2008 the company announced that 
fmr llc the parent holding company of fidelity management and research company had advised that its indirect interest had further
increased to 9 271 478 ordinary shares or 1217 of the issued share capital
on 28 february 2008 the company announced that blackrock inc had advised that its indirect interest was 8 087 611 ordinary shares or
1062 of the issued share capital
 of total
shares
top ten shareholders including retail adrs combined outstanding country
blackrock investment management uk ltd 7 602 177 998 uk
wells capital management inc strong capital 6 737 038 885 usa
fidelity management and research company 6 424 867 844 usa
van eck associates corporation 4 219 437 554 usa
mackenzie financial corp 3 841 900 505 canada
legal  general investment management limited 3 325 964 437 uk
jp morgan fleming asset management uk limited 2 388 797 314 uk
franklin advisers inc 2 227 600 293 usa
evergreen investment management co llc 1 864 335 245 usa
jp morgan investment management inc ny 1 839 000 242 usa
number number 
of  of of shares
size of shareholding jersey share register shareholders shareholders shares in issue
source capital precision randgold resources        annual report 2007   113
country
united kingdom 78 22 847 879
total united kingdom 78 22 847 879
united states 70 40 847 337
canada 9 6 151 388
bahamas 1 175 900
bermuda 1 36 000
cayman islands 1 27 000
total north america 82 47 237 625
france 7 1 620 969
germany 12 92 989
switzerland 17 694 902
luxembourg 10 690 516
netherlands 2 114 521
norway 1 91 397
austria 2 66 971
liechtenstein 3 37 242
ireland 1 7 679
czech republic 1 6 000
denmark 1 570
total europe 57 3 423 756
japan 4 652 119
kuwait 1 360 429
singapore 1 783
total asia pacificmiddle east 6 1 013 331
south africa 3 788 443
total african continent 3 788 443
number of total shares
geographical analysis holders by country
source capital precision
geographical distribution of combined institutional shares identified  114 randgold resources        annual report 2007
114
directory
directors
philippe liétard

dr d mark bristow
bernard h asher

‡
ø
norborne p cole jr
‡ø
robert i israel
dr aubrey l paverd
§
graham p shuttleworth
dr karl voltaire
§
 chairman of the remuneration committee

chairman of the audit committee
‡
member of the remuneration committee
§
member of the audit committee
 senior independent

chairman of the governance and nomination committee
ø
member of the governance and nomination committee
secretary and registered office
david j haddon
la motte chambers la motte street st helier
jersey channel islands
tel 44 1534 735 333
fax 44 1534 735 444
registrars
computershare investor services 
channel islands limited
po box 83 ordnance house 31 pier road st helier
jersey je4 8pw channel islands
uk transfer office
computershare services plc
7th floor jupiter house triton court
14 finsbury square london ec2a 1br uk
united states depositary
american depositary receipts
the bank of new york
shareholder relations department 101 barclay street
new york ny 10286 usa
auditors
bdo stoy hayward llp
principal bankers
national westminster bank plc
citibank na
legal counsel
ashurst london
fulbright  jaworski llp new york 
ogier jersey
brokers
citigroup global markets
arbuthnot securities
financial adviser
hsbc bank plc
listing
randgold resources limited was listed on the london 
stock exchange on 1 july 1997 trading symbol rrs 
and the nasdaq national market on 11 july 2002 
trading symbol gold
investor relations
to obtain additional information about the company or to 
be placed on the company’s distribution list contact 
kathy du plessis randgold resources investor relations
la motte chambers la motte street st helier
jersey channel islands
telmobile 44 20 7557 7738
fax 44 1534 735 444
email randgoldresourcesdpaprcom
website
our website is regularly updated to supply you with the 
latest information on the company
wwwrandgoldresourcescom randgold resources        annual report 2007   115
115
operations
burkina faso
randgold resources burkina faso sarl
242 rue 1303 “gandaogo’’
secteur 13 zone du bois 01 bp 4771
ouagadougou 01 burkina faso
tel 226 50 36 39 36
fax 226 50 36 31 46
côte d’ivoire
randgold resources côte d’ivoire sarl
22 rue des hortensias l125 boulevard latrille cocody
ambassade abidjan
tel 225 22 48 23 60
fax 225 22 44 38 51
korhogo office
tel 225 36 86 29 40
fax 225 36 86 29 40
tongon
tel 225 08 30 87 87
ghana
inter afrique holdings
21 examination loop north ridge accra ghana
tel 233 21 24 56 72
fax 233 21 24 56 72
mali
randgold resources mali sarl
faladié
6448 avenue de l’oua bp e1160 bamako mali
tel 223 220 38 58223 220 20 06223 220 16 94
fax 223 220 44 07223 220 81 87
kankou moussa
tel 223 220 35 57
fax 223 220 44 07
loulo gold mine
tel 223 251 30 000102030507
fax 223 251 30 0406
morila gold mine
tel 31 205 40 737012
fax 31 205 40 73 73
senegal
randgold resources senegal ltd
67 ave andré peytavin bp 887 dakar senegal
tel 221 33 849 17 80
fax 221 33 849 17 84
south africa
seven bridges trading 14 pty ltd
level 0 wilds view isle of houghton
carse o’gowrie road houghton estate 
johannesburg 2198 south africa
po box 3011 houghton 2041 south africa
tel 27 11 481 7200
fax 27 11 481 7246
tanzania
randgold resources tanzania t ltd
plot 173 block d isamilo mwanza tanzania
tel 255 282 50 09 74
fax 255 282 50 20 89
united kingdom
randgold resources uk ltd
1st floor 2 savoy court strand wc2r 0ez london
united kingdom
tel 44 207 557 77 30
fax 44 207 557 77 34 116 randgold resources        annual report 2007
116
notice of the annual general meeting
for the year ended 31 december 2007
ordinary business of the company
1 to receive and adopt the company’s financial statements for the
year ended 31 december 2007 and the reports of the directors
and the auditors thereon
2 to elect dennis mark bristow whose appointment automatically
ends on the day of the annual general meeting in accordance
with the articles of association as a director  dr bristow is the
ceo and his reelection to the board by shareholders last took
place on 25 april 2005 and is recommended by the board
dr bristow was initially appointed to the board in august 1995
and has served as the ceo since that time  he has been
instrumental in developing the company into a goldfocused
mining and exploration business with a market capitalisation of
more than us35 billion and a strong investor following  in
terms of the definitions of the combined code and the
sarbanes oxley act dr bristow is deemed an executive
director 
3 to elect graham patrick shuttleworth whose appointment
automatically ends on the day of the annual general meeting in
accordance with the articles of association as a director  
mr shuttleworth was appointed to the board during the year 
and is recommended by the board for election  in terms of 
the definitions of the combined code and the sarbanes oxley
act mr shuttleworth is deemed an executive director  
mr shuttleworth joined randgold resources as chief financial
officer and financial director on 1 july 2007 but has been
closely associated with the company since its inception initially
as part of its management team involved in listing the company
on the london stock exchange in 1997 and subsequently as
an advisor  he is a qualified chartered accountant and prior to
joining the company he was a managing director and the head
of metals and mining for the americas in the global investment
banking division of hsbc bank
4 to receive and adopt the report of the remuneration committee
5 to approve fees payable to directors as follows
a a general annual retainer to all nonexecutive directors of
us50 000
b an annual committee assignment fee per committee
served
i audit committee us35 000
ii remuneration committee us25 000 and
iii nomination and governance committee us10 000
c the chairman of a board committee to receive an additional
premium to the committee assignment fee of us15 000
d the senior independent director in addition to the general
annual retainer but in lieu of any committee assignment fee
to receive an additional us85 000
e the nonexecutive chairman in addition to the general
annual retainer but in lieu of any committee assignment fee
to receive an additional us170 000
f an award to each director of “restricted” shares being 
1 200 ordinary shares per year  the shares are to vest over
a three year period from the date of the award being 
1 january 2009  vesting would accelerate on the following
conditions
i termination other than resignation or dismissal
ii voluntary retirement after the age of 65 with a minimum
of three years’ service as a director and
iii change in control of the company
6 to reappoint bdo stoy hayward llp as auditors of the
company
special business
7 a special resolution number 1
“resolved as a special resolution that the memorandum of
association of the company be and it is hereby altered in
accordance with article 38 1a of the companies jersey
law 1991 “the law” such that the authorised share capital
of the company be and it is hereby increased from 
us4 000 000 to us5 000 000 by the creation of an
additional 20 000 000 ordinary shares of us005 ranking
pari passu with the ordinary shares of us005 and having
the rights and obligations set out in the existing articles of
association of the company”
b special resolution number 2
“resolved as a special resolution that subject to the
passing of special resolution number 1 to be proposed 
at the annual general meeting convened to consider this
resolution paragraph 4 of the company’s memorandum 
of association be amended to read as follows
“4 the capital of the company is us5 000 000 divided
into 100 000 000 shares of us005 each”
c special resolution number 3
“resolved as a special resolution that subject to the
passing of special resolution number 1 and special
resolution number 2 to be proposed at the annual general
meeting convened to consider this resolution article 41 of
the company’s articles of association be amended to read
as follows
“41the authorised share capital of the company is 
us5 000 000 divided into 100 000 000 ordinary
shares of us005 each”
d special resolution number 4
“that the randgold resources limited restricted share
scheme the “scheme” as summarised in the appendix to
the notice to shareholders dated 25 march 2008 a copy
of the rules of which is produced to this meeting and for
the purpose of identification initialled by the chairman be
approved and the directors of the company be authorised
to do all acts and things which they may consider
necessary or desirable to bring the scheme into effect and
to operate it and that for the purposes of article 584 of the
companies jersey law 1991 as amended the
“companies law” the adoption and operation of the
scheme by the company is approved and sanctioned with
the intention that the company shall not have made
pursuant to or in connection with the scheme a distribution
within the meaning of part 17 of the companies law”
reasons and effects
the reason for special resolution number 1 is to create 20 000 000
new ordinary shares of us005 each to ensure that the company
has sufficient new ordinary shares to fulfil the requirements of any
new issue of ordinary shares which might occur  this increase
represents a 25 increase in the authorised share capital of the
company  the effect of the special resolution is to create those 
new shares and thereby increase the authorised share capital of 
the company from us4 000 000 to us5 000 000
the reason for special resolution number 2 is to reflect in the
company’s memorandum of association the new authorised share
capital pursuant to the increase thereof in terms of special resolution
notice is hereby given that the annual general meeting of the company will be held in the conference room of the atlantic hotel 
st bredale jersey je3 8he channel islands on 28 april 2008 at 08h45 for the following business randgold resources        annual report 2007   117
number 1  the effect of the special resolution is to amend
paragraph 4 of the company’s memorandum of association
the reason for special resolution number 3 is to reflect in the
company’s articles of association the new authorised share capital
pursuant to the increase thereof in terms of special resolution
number 1  the effect of the special resolution is to amend article
41 of the company’s articles of association accordingly  
the reason for special resolution 4 is that the directors are seeking
approval for the introduction of the scheme which is a long term
incentive plan under which awards may be granted to executive
directors  the reason for its introduction is so as to align the
interests of executives and shareholders in the long term growth and
development of the company  the current intention is that the
company’s chief executive officer and finance director will be
granted awards under the scheme
the directors believe that the adoption of the scheme is in the best
interests of the company  they therefore unanimously recommend
that you vote in favour of special resolution number 4 as they intend
to do in respect of their own shareholdings
notes
1 the register of directors’ interests and copies of all service
contracts of the company will be available during normal
business hours at the registered office from the date of this
notice until the conclusion of the meeting  
2 a member entitled to attend and vote at the meeting may
appoint one or more proxies to attend vote speak and act in
hisher stead  a proxy need not be a member of the company
3 for the convenience of members who are unable to attend the
meeting but wish to be represented thereat a proxy form is
attached  attention is drawn to the fact that if it is to be
effective a completed proxy form must reach computershare
investor services channel islands limited at least 48 hours
saturday sunday and public holidays excluded before the time
appointed for the meeting being 08h45 on thursday 24 april
2008
4 a copy of the draft rules of the scheme is available for
inspection at the offices of ashurst broadwalk house 5 appold
street london ec2a 2ha and the companys registered office
during normal business hours from the date of this notice until
the date of the annual general meeting and will be available for
inspection at the place of the meeting for at least 15 minutes
prior to and during the meeting
appendix 1
summary of the randgold resources restricted share scheme
“the scheme”
1 general
the operation of the scheme will be supervised by the
remuneration committee of the board the “remuneration
committee”
2 eligibility
any employee including a director of the company or any
member of the group who is required to devote substantially the
whole of his working time to his employment or office shall be
eligible to participate in the scheme  the remuneration
committee may in its absolute discretion grant awards to such
eligible employees as it shall select and will take into account
the extent to which an eligible employee may be able to
contribute to the performance of the company over the vesting
period 
the current intention is that the scheme will be used to make
awards to the chief executive officer the “ceo” and the finance
director the “fd” both of whom would receive awards shortly 
after the annual general meeting assuming the scheme is
approved by shareholders
3 awards under the scheme
an award may take one of two forms
a an “allocation” meaning a conditional award of a specified
number of ordinary shares in the company “shares” or
b an “option” to acquire a specified number of shares at an
exercise price determined by the remuneration committee
which may be a nominal amount 
an “award” means either an allocation or an option
participants may be granted any combination of awards
whether in a single grant or pursuant to a series of grants
no payment is required for the grant of an award 
awards may normally only be granted within 42 days after the
approval of the scheme by the company in general meeting or
within 42 days after the announcement of the company’s results
for the preceding financial year or half year  awards may also
be granted at any other time at which the remuneration
committee determines that there are exceptional circumstances
which justify the grant of an award  no award may be granted
later than ten years after the date on which the scheme is
approved by the company in general meeting nor at any time at
which a dealing would not be permitted under the model code
subject to the limit set out in paragraph 7 below awards may
be satisfied by the issue of new shares or by the transfer of
existing shares either from treasury or otherwise
4 conditions on vesting or exercise
an award may be granted subject to such performance
condition or conditions as the remuneration committee in its
discretion sees fit the “performance conditions” which must
be satisfied before an award may be exercised or vest
performance will be measured over a period determined by the
remuneration committee the “performance period” the
intention of the remuneration committee is for the performance
period to be a period of three financial years and that in setting
the performance conditions it shall have regard to institutional
guidelines and market practice current at the time an award is
granted
it is intended that the initial award to the ceo shall be subject to
a one year vesting period  the initial award for the fd shall be
subject to a vesting schedule whereby awards vest
proportionately over the three consecutive years following the
date he commenced employment with the company
if an event occurs which causes the remuneration committee
to determine that the performance conditions have ceased to
be appropriate it may in its discretion vary or waive those
conditions provided that any new conditions imposed or any
variation are in its opinion fair reasonable and no more difficult
to satisfy than the previous conditions
5 individual limit
no award shall be granted to any individual if the aggregate
market value of the shares subject to that award together with
the aggregate market value of any shares committed to be
issued or transferred pursuant to any other award made to him
in the same financial period of the company under the scheme
would exceed a sum equal to twice his earnings excluding
bonuses or if higher such fixed number of shares as is
determined by the board on or prior to the date of grant of the
award
the remuneration committee has determined that the initial
award to the ceo will be 40 000 shares the initial award to the
fd will be 36 000 shares
6 overall dilution limit
no award may be granted under the scheme on any date if as
a result the aggregate number of shares issued or transferred 118 randgold resources        annual report 2007
from treasury or committed to be issued or transferred from
treasury pursuant to awards made under the scheme and
pursuant to grants or appropriations made during the previous
ten years under all other employee share schemes established
by the company would exceed fifteen per cent of the issued
ordinary share capital of the company on that date or
7 exercise and vesting of awards
in normal circumstances an allocation may not vest nor an
option become exercisable unless the performance conditions
have been satisfied at the end of the performance period and
provided the participant remains employed by the group and
has not given notice of intention to resign  having become
exercisable an option may be exercised for a period
determined by the remuneration committee but ending no later
than the day preceding the tenth anniversary of its grant
if a participant ceases to be employed within the group before
the expiry of the performance period
a by reason of death or disability 
b by reason of
i any material breach by the company of any of its
obligations under a participant’s contract of
employment
ii the company requiring the participant to relocate his
primary residence to a place designated by the
company it being acknowledged by the participant that
he is required to travel on business as needed except
for required travel on company business
iii any material reduction in the participant’s title duties
authority or responsibilities without his consent
iv receipt by the participant of notice from the company
under his contract of employment of the company’s
intention to terminate his employment without cause or
v the assignment to the participant without his consent of
duties or responsibilities materially inconsistent with his
positions and duties described in his contract of
employment together “good reasons” 
provided that the participant may not terminate his
employment for good reason unless he first gives the
company written notice specifying the good reason within
ninety days after the occurence of the event giving rise to
good reason in the case of an employee who is taxable in
the united states on his salary and the company does not
cure the good reason within thirty days after the date of
such notice or
c by reason of the company terminating the participant’s
employment within the group for a reason other than
i the participant’s conviction of a plea of nolo contendere
to any felony
ii the participant’s gross negligence in the discharge of
his duties
iii the participant’s wilful misconduct in the discharge of
his duties
iv the participant’s wilful and material breach of any
provisions of the participant’s contract of employment
which breach if susceptible to cure is not ended
immediately upon written notice or not cured by the
participant within ten 10 business days following
written notice from the board detailing such breach
v the participant’s failure to perform his material duties
other than as a result of his disability which is either
wilful or deliberately repeated after written notice or not
cured by the participant within ten 10 business days
following written notice from the board detailing such
failure or
vi the participant’s becoming insolvent or making any
arrangement or composition with his creditors
provided that no act or failure to act on the participant’s part
will be considered “wilful” if done or omitted to be done by
the participant in good faith and in the reasonable belief that
his action or omission was in the best interests of the
company
an allocation will vest at the end of the performance period and
an option will become exercisable and remain exercisable for a
period of twelve months from the end of the performance
period  the number of shares which vest or over which
options are exercisable will in these circumstances be
determined by reference to the extent to which the performance
conditions have been fulfilled over the performance period and
will then be prorated according to the length of time between
the date of grant of the award and when the participant ceased
employment plus one year when compared to the original
performance period
if a participant ceases to be employed within the group for one
of the reasons set out above on or after the expiry of the
performance period a subsisting option may be exercised for a
period of twelve months to the extent that the performance
conditions have been fulfilled 
an award will in any event lapse on the tenth anniversary of its
date of grant if not previously vested or exercised
8 takeover scheme of arrangement and
liquidation
in the event of
a a sale by the company of substantially all of its assets in
one transaction or a series of related transactions
b the acquisition by any person entity or group within the
meaning of section 13d3 of the securities exchange act
of 1934 of the united states of america as amended of
equity interests in the company representing thirtyfive per
cent 35 or more of the voting power in the company
including voting power exercisable on a contingent or
deferred basis as well as immediately exercisable voting
power
c a merger or consolidation involving the company in which
holders of the company’s equity securities immediately
before the merger or consolidation do not immediately after
the merger or consolidation own over fifty per cent 50 of
the voting power in the entity surviving the merger or
consolidation including voting power exercisable on a
contingent or deferred basis as well as immediately
exercisable voting power or 
d when at any time during a participant’s employment the
individuals who constitute the board on the date on which
the participant commences employment the “incumbent
directors” cease for any reason to constitute at least a
majority thereof provided however that a director who was
not a director at the date on which the scheme was
approved by the company shall be deemed to be an
incumbent director if such director was elected by or on
the recommendation of or with the approval of at least a
majority of the directors of the company who then qualified
118
notice of the annual general meeting
for the year ended 31 december 2007 continued as incumbent directors either actually because they were
directors on the date on which the scheme was approved
by the company or by prior operation of this subclause d
but excluding as a member of the incumbent directors any
such individual whose initial assumption of office is in
connection with an actual or threatened election contest
relating to the election of the directors of the company as
such terms are used in rule 14a2 of regulation 14a
promulgated under the securities exchange act of 1934 of
the united states of america
provided that a series of transactions shall be considered
related if they occur within an eighteen month period but the
fact that a series of transactions occur over a period longer than
eighteen months shall not preclude such transactions from
being related
an allocation will vest immediately and an option will become
exercisable and remain exercisable for a period of one month
the number of shares which vest or over which options are
exercisable will in these circumstances be determined by
reference to the extent to which the performance conditions
have been fulfilled over the reduced performance period
if such an event takes place on or after the expiry of the
performance period a subsisting option may be exercised for a
period of one month to the extent that the performance
conditions have been fulfilled 
if such an event occurs an award may also be released in
exchange for an equivalent new award to be granted by any
acquiring company if the participant so wishes and the
acquiring company agrees 
where any such event occurs as part of an internal
reorganisation of the company subsisting awards will be
exchanged for new awards granted by the acquiring company
unless such an offer is not forthcoming from the acquiring
company in which case vesting or exercise as set out above will
be permitted
9 variation of share capital
in the event of any variation in the ordinary share capital of the
company such adjustments to the number of shares subject to
awards and the price if any at which they may be acquired
may be made by the remuneration committee as it may
determine to be appropriate
10 voting dividend and other rights
until options or allocations are exercised or vest participants
have no voting or other rights in respect of the shares subject
to those awards 
shares issued or transferred pursuant to the scheme will rank
pari passu in all respects with shares already in issue except
that they will not rank for any dividend or other distribution paid
or made by reference to a record date falling prior to the date of
exercise or vesting of the relevant award
benefits obtained under the scheme shall not be pensionable
awards are not assignable or transferable
11 administration and amendment
the operation of the scheme will be supervised by the
remuneration committee which may amend the scheme by
resolution provided that
a prior approval of the company in general meeting will be
required for any amendment to the advantage of
participants to those provisions of the scheme relating to
eligibility the limitations on the number of shares cash or
other benefits subject to the scheme a participants
maximum entitlement or to the basis for determining a
participant’s entitlement under the scheme and the
adjustment thereof in the event of a variation in capital
except in the case of minor amendments to benefit the
administration of the scheme and amendments to take
account of changes in legislation or to obtain or maintain
favourable tax exchange control or regulatory treatment for
participants or for any member of the group and
b no amendment may be made which would alter to the
disadvantage of participants any rights already acquired by
them under the scheme without the prior approval of a
majority of the affected participants
12 overseas schemes
the board may from time to time and without further formality
establish further plans in overseas territories any such plan to
be similar to the scheme but modified to take account of local
tax exchange control or securities laws regulation or practice
shares made available under any such plan would count
against any limits on overall or individual participation in the
scheme save that only newly issued shares or shares
transferred from treasury would count against the overall dilution
limits
13 termination
the scheme may be terminated at any time by resolution of the
board or of the company in general meeting and in any event no
awards may be granted on or after the tenth anniversary of the
date on which the scheme is approved by the company in
general meeting  termination will not affect the outstanding
rights of participants
by order of the board
david j haddon
secretary
25 march 2008
randgold resources        annual report 2007   119 120 randgold resources        annual report 2007
120
shareholders’ diary
for the year ended 31 december 2007
financial year end 31 december
annual general meeting monday 28 april 2008
announcement of quarterly results
first quarter tuesday 6 may 2008
second quarter thursday 31 july 2008
third quarter thursday 6 november 2008
year end and fourth quarter monday 9 february 2009
ticker symbols
stock exchange ticker symbol
london stock exchange ords rrs
nasdaq stock market adrs gold randgold resources        annual report 2007   121
121
proxy form
for the annual general meeting to be held on monday 28 april 2008 at 08h45
randgold resources limited
incorporated in jersey channel islands  registration number 62686
iwe
of
being the holders of ordinary shares
hereby appoint
of
or failing him
of
or failing him the chairman of the meeting as myour proxy to vote for meus and on myour behalf at the annual general meeting of shareholders
of the company to be held in the conference room of the atlantic hotel st bredale jersey je3 8he channel islands at 08h45 on 28 april 2008
and at every adjournment of that meeting
please indicate with an “x” or tick in the appropriate space below how you wish your votes to be cast
agenda item vote for vote against abstain
1 ordinary resolution  adoption of the directors’ report and accounts
2 ordinary resolution  reelection of directors d mark bristow 
chief executive officer
3 ordinary resolution  election of directors graham p shuttleworth 
financial director
4 ordinary resolution  adoption of the report of the remuneration committee
5 ordinary resolution  approve the fees payable to directors
6 ordinary resolution  reappoint bdo stoy hayward llp as auditors 
of the company
7 a special resolution  increase of authorised share capital
b special resolution  amend paragraph 4 of memorandum of association
c special resolution  amend article 41 of the articles of association
d special resolution  approve restricted share scheme
signed at on 2008
signatures
assisted by me where applicable
full names of signatory if signing in a representative capacity  please use block letters 122 randgold resources        annual report 2007
122
notes to the proxy
for the annual general meeting to be held on monday 28 april 2008 at 08h45
randgold resources limited
incorporated in jersey channel islands  registration number 62686
instructions for signing and lodging the annual general meeting proxy form
1 a deletion of any printed matter and the completion of any blank spaces need not be signed or initialled  any alterations must be signed not
initialled
2 the chairman shall be entitled to decline to accept the authority of the signatory
under the power of attorney and
on behalf of the company
unless the power of attorney or authority is deposited at the office of the company’s registrars being computershare investor services channel
islands limited see address details below not less than 48 hours saturdays sundays and public holidays excluded before the time for
holding the meeting
3 the signatory may insert the name of any persons whom the signatory wishes to appoint as his proxy in the blank spaces provided for that
purpose
4 when there are joint holders of shares and if more than one such joint holders be present or represented then the person whose name
appears first in the register in respect of such shares or his proxy as the case may be shall alone be entitled to vote in respect thereof
5 the completion and lodging of this form of proxy will not preclude the signatory from attending the meeting and speaking and voting in person
thereat to the exclusion of any proxy appointed in terms hereof should such signatory wish to do so
6 if the signatory does not indicate in the appropriate place on the face hereof how he wishes to vote in respect of any resolutions his proxy
shall be entitled to vote as he deems fit in respect of that resolution
7 the chairman of the general meeting may reject or accept any proxy form which is completed other than in accordance with these instructions
provided that he is satisfied as to the manner in which a member wishes to vote
8 if the shareholding is not indicated on the form of proxy the proxy will be deemed to be authorised to vote the total shareholding registered
in the shareholder’s name
registrars
computershare investor services channel islands limited
po box 83
ordnance house
31 pier road st helier
jersey je4 8pw
channel islands
tel 44 1534 825 203 10 year overview 19972007
morila project gets
goahead
40 of morila sold for us132m
plus 50 of the debt
morila pours first gold
ipo and listing on
london stock exchange
listing on nasdaq
randgold
resources
in ftse 250
2 for 1 share split
improves tradeability
loulo development
approved
shareholders
get payout
of us81m
morila produces
1moz
loulo
commissioned
market cap reaches
us1 billion
97
rescoped study supports
enlarged tongon project
07
dividend increased
by 20
dividend payments
initiated
06 05
global share offer
raises us240m
04
market cap tops
us30 billion
randgold resources share price lserrs
gold price
y alea underground
development starts
03 02 01 00 99 98
adr split
0
100
200
300
400
index
50
150
250
350
450
500
designed and produced by du plessis associates randgold resources creates value
for all its stakeholders by developing
and operating profitable gold mines
flap 10 year overview 19972007
05 corporate profile and key numbers
06 highlights of the year
08 chairman’s statement
board and management
12 directors
14 management
ceo’s review
18 chief executive’s review
review of operations
22 financial review
operations
26 loulo mine
35 morila mine
project
42 tongon project
reserves and resources
49 annual resource and reserve
declaration
50 table of mineral rights
50 resource triangle
exploration review
52 exploration review
new business
64 new business
social responsibility
66 social responsibility
directors’ report
68 corporate governance report
73 remuneration committee report
78 directors’ report
financial statements
80 statement of directors’
responsibilities
81 report of the independent auditors
82 financial statements
110 group structure
shareholders’ information
112 analysis of shareholding
114 directory
115 operations
116 notice of annual general meeting
120 shareholders’ diary
121 proxy form
122 notes to the proxy
randgold resources    annual report 2007     the power of people and partnerships
wwwrandgoldresourcescom


Summary:
 our production for the year was in line with that of
2006 and we have told investors that 2008 will also
be a relatively flat year in output terms but that
production is scheduled to step up in 2009 and
2010 reaching the targeted 600 000 ounces in
2011
we can report full achievement or satisfactory progress
on each of these fronts in spite of some difficulties
we met along the way
another strong performance from loulo almost made
up for a shortfall at morila and brought us to within
a whisker of our forecast production  the underground
development battled through some very poor ground
but then picked up speed and is now within reach
of the first ore  we have assumed operational
responsibility for the joint venture at morila  we
advanced the tongon project to a point where the
board has decided to proceed with the project’s
development  with tongon now clearly designated
as our third new mine the recently discovered
massawa in senegal has moved to the front of the
advanced prospect line in a new country
a number of items impacted on our financial results
the lowerthanexpected contribution from morila a
us32 million tax adjustment there the cost of
stepping up production at loulo and an increase of
us71 million in exploration and corporate
expenditure mainly related to tongon  had it not
been for these factors net profit would have exceeded
the previous year’s us509 million  as it was the
profit was still a healthy us456 million
given the circumstances this was a good
performance and considering the company’s
profitable outlook and generally robust financial
condition the board decided to increase the dividend
by 20
making the most of morila
morila had a difficult year and its original forecast
of 500 000 ounces was reduced to 475 000 ounces
after a first half in which lower grades and recoveries
had impacted heavily on production  management
believed that a stronger second half would enable
it to meet the revised target but in the event
problems relating to planning grade control and plant
for randgold resources the
past year was one of
building with the loulo
underground development
and the t ongon feasibility
study as the key priorities
also on management’s radar
were cost management the
hunt for profitable new
growth opportunities and
the need to address the
situation at morila
chief executive’s review
18
18   randgold resources        annual report 2007 lockup persisted and production came in
at just under 450 000 ounces
since the yearend it has been announced
that anglogold ashanti is considering the
disposal of its 40 stake in the mine
it was agreed that in these circumstances
it would be in the best interests of all
stakeholders if randgold resources took
over the operatorship of the mine which we
have done with effect from 15 february
2008
as a first step our due diligence team is
thoroughly evaluating all aspects of the
operation in conjunction with its management
once we have a complete understanding
of all the issues we shall be in a position to
formulate and implement a plan designed
to ensure that morila optimises the remaining
resources for the rest of its life  we shall
also continue to pursue the thusfar elusive
opportunity to extend the mineralisation at
morila and the existing exploration dataset
and strategy will be reviewed as part of the
due diligence
it is worth noting that despite the
disappointment of the past year morila
remains a substantial generator of cash and
profit debtfree unhedged and completely
exposed to the gold price  as such it is still
a very important contributor to the coffers of
randgold resources and should be so for
several years to come
loulo continues to star
loulo also had its share of operational
challenges in the shape of feed and ore mix
problems caused by erratic contractor
performance and a roll crusher failure
exacerbated by excessive rains from july
into september  the need to catch up on
lost output impacted significantly on loulo’s
costs but thanks to another great effort from
the team the mine ended the year with
production 10 ahead of forecast and year
onyear profit from mining up by the same
margin
the yalea underground development at loulo
ran into problems in the form of some very
poor ground which slowed the advance
down to a crawl from june  by the end of
the year it was back in competent ground
and the pace accelerated briskly achieving
a record advance of 260 metres in january
it is now on a critical path to the development
ore which we expect to intersect by the end
of the first quarter  the first mining faces
should be established by midyear  the
loulo team’s undaunted attitude and
innovative spirit are demonstrated by the
solution they came up with for the difficulties
they had encountered in establishing backfill
and ventilation access to the northern part
of the yalea orebody  this was originally
conceived as a raisebore shaft but with the
necessary equipment almost impossible to
obtain at present it was redesigned as a
third decline from the p125 pit  this not
only provides the required access but creates
additional points of entry to the mine as well
as assessing additional ore not included in
the original mining schedule
tongon starts taking shape
the tongon team has also been making
excellent progress and subject to an
agreement on a mining convention with the
government of côte d’ivoire we are initiating
site establishment this year with the aim of
starting construction in earnest at yearend
to be able to produce first gold in the second
half of 2010
the first draft of the mining convention has
already been tabled for discussion  we have
also initiated social and environmental impact
studies which have formed the basis for a
public consultative process with the local
villages and regional structures  most of the
minesite layout has been settled and when
the next phase of detailed flowsheet and
process design has been completed the
tendering process will start
in the meantime the political process in
côte d’ivoire also continues to make good
progress  we are great believers in the
future of this country which is not only highly
prospective but still relatively unexplored
and also possesses that rarity in africa
a sophisticated economy supported by a
functional infrastructure
funding for the development of tongon
as well as for other organic and corporate
growth opportunities has been secured
through a successful us240 million equity
placing in november  it is a tribute to the
company’s excellent investor relations strong
shareholder communications and the inherent
attraction of tongon and other growth
prospects that all our key shareholders
participated in the placing  in addition
although the transaction was executed in
just 24 hours the company was able to
attract both new institutional shareholders
and a substantial retail response all at a
discount of just 3 on the previous day’s
close
the next big thing
exploration continues to be the engine that
drives randgold resources’ growth and our
teams in the field have also had a busy year
which has produced some very gratifying
results in the way of projects graduating
to advanced drill status  the further
expansion of our resource base is detailed
in the updated reserve and resource
declaration elsewhere in this report
outstanding features of the year are the
definition of a substantial mineralised structure
demonstrated by high grade diamond drillhole
and rab results from massawa in senegal
the extended mineralisation at the loulo
satellite faraba the airborne geophysical
survey over our consolidated holdings in the
loulosenegal region the shift in exploration
focus in côte d’ivoire from tongon to other
targets in the nielle permit as well as our five
other permits in that country including the
tiasso target in the boundiali permit  other
outstanding features were the potential for
adding resources at kiaka in burkina faso
and finally the greenfields exploration in
ghana and tanzania which feeds the base
of our resource triangle  full details of these
and other prospects are given in the review
of operations
randgold resources        annual report 2007   19 mark bristow
chief executive
massawa which we discovered last year
along with tiasso in côte d’ivoire are rapidly
emerging as the frontrunners among the
advanced prospects  results from the
recently completed 2 500 metre infill rab
drilling programme at massawa are at least
as good as those produced by yalea and
tongon at a similar stage  in fact all the
ingredients which typically indicate a major
deposit are in place high grades structure
alteration and variations in rock types
we have always believed in the prospectivity
of the kedougoukenieba inlier which hosts
massawa and we persevered with our
exploration there even though the early results
were not that promising  the fact that our
continuing work has now delivered a very
exciting target reconfirms that exploration
success requires not only skill but also
tenacity  the next step is a 7 000 metre
diamond drilling programme which should
give us a very clear understanding of the
mineralisation  a reconnaisance and
delineation drilling programme on the tiasso
target in the boundiali permit 100 kilometres
west of tongon is also scheduled for the
second quarter of 2008
looking ahead to 2008 and beyond
randgold resources is facing the future with
a considerable measure of confidence based
on an impressive array of assets  these
include
a pure gold strategy and a record of
value creation that judging by our share
price performance strike a responsive
chord in the market
the capacity to grow production from
organic sources in a high gold price
environment and at a time when industry
output is declining
a robust balance sheet more than
capable of funding our growth projects
as well as possible corporate
transactions
loulo’s expansion into a fourminesin
onecomplex and the potential for more
discoveries in the region
tongon headed for production in 2010
and a full pipeline of quality projects
behind that and by no means least
a versatile expert team thoroughly
tested in every aspect of our business
our production profile illustrated on page 4
of this report shows how we plan to gear
up our output with loulo targeting a total
production in excess of 400 000 ounces in
2010 and group attributable production
reaching 600 000 ounces in 2011
clearly we’re going to have to work very hard
to contain the impact of costs which we
estimate will rise by between 10 and 15
in 2008 subject of course to the oil price
even so we are soundly positioned to do
well under all realistically foreseeable
scenarios  and our strategy remains
unchanged  we continue to build our
business through discovery and
development while also hunting those rare
external opportunities of real quality with the
objective of creating long term value
acknowledgements and
appreciation
no review of the past year can be complete
without due recognition of the many people
who worked hard to advance the company’s
progress  i would like to thank our board
the many shareholders and investors who
made time to see me during the year our
business partners in the various areas where
we operate our stakeholders notably the
governments and people of our host
countries and our advisors  a very special
word of thanks is reserved for the people of
randgold resources  my colleagues in
management and all our employees each
of whom has in one way or another
contributed to our success
20   randgold resources        annual report 2007 thinus strydom
mine manager loulo underground projects
after a 14year career in gold and coal mining in
south africa ethiopia and fiji thinus joined
randgold resources in 2005 to head the
development of the yalea and gara projects at
loulo  the company’s first underground mines
and the first of their kind in mali
“the randgold team consists of highly skilled
individuals each an expert in his or her specific
field  together they constitute a considerable
intellectual base within which each is able to
support the other  for instance though my
responsibility is the planning and development
of the underground operation i was able to assist
the engineering department with technical advice
when they were commissioning the primary
crusher”
review of operations review of operations review of operations