Bathurst Resources : BRL FY2016 Results Announcement

• Full year net surplus of $1m & adjusted EBITDA of $11.8m
• Record full year production of 431kt
• Cash flow positive
• Solid platform to deliver future value

The Board of Bathurst Resources (ASX:BRL) is pleased to announce its results for the year ended 30 June 2016.

Financial results

The environment in which we operate remains challenging and despite a depressed global market, Bathurst has delivered on its promises through a sustainable and reliable domestic business.

The company has produced a net surplus of $1m for the year, the first recorded surplus since incorporation in 2007.

An adjusted EBITDA of $11.8m in 2016 reflects the continued delivery of management's operating efficiency initiatives and a lean approach to corporate and financial management.

$1m in 2015 and an overall cash outflow of $3.1m.

Bathurst continues to drive its stated strategy and expects to deliver positive returns in 2017.

FY 2016 FY 2015

000's 000's

Statutory profit/(loss) after tax

Adjusted EBITDA

Health and Safety

Bathurst's focus is zero harm and this ensures the responsibility for care and consideration of all employees is at the forefront of all decision making. The ultimate goal is to ensure every employee and contractor goes home healthy and safe at the end of each day.

Bathurst's operating mines, project works and exploration activities recorded one lost time injury in FY 2016. The injury was to an employee's finger and occurred in the workshop at the Takitimu mine.

Significant training has continued across the company in 2016 ensuring that the company meets its obligations under the new health and safety act and revised mining regulations which came into effect on 4 April 2016.

Operations

The Group produced 431kt in FY 2016, a record production since incorporation.

Continued efficicieny gains are being realised with significant changes to the gear setup across all operations producing tangible results.

The Escarpment and Cascade mines were placed on care and maintenance during the year in response to the loss of a significant local market (cement production), however the Escarpment mine was initially developed through operating cash flow and is well placed to respond when market conditions demonstrate a sustainable improvement.

The continued development of Canterbuy Coal has been successful and the mine is well placed to meet stong demand in localised markets.

The Board wishes to thank all stakeholders for their continued support over the past year and looks forward to shared opportunity in FY 2017.

Toko Kapea Chairman