LACHLAN STAR LIMITED 1 July 2014 RENEGOTIATION OF CREDIT FACILITY

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"Perth, Western Australia: Gold miner, Lachlan Star Limited ("Lachlan Star" or the "Company") (ASX and TSX: LSA) is pleased to announce that it has renegotiated it's remaining CDN$3.75 million Credit Facility ("Facility") with Sprott Resource lending Partnership "("Sprott") effective 30 June 2014.
The terms of the renegotiation include the conversion of the Facility to a Gold Loan resulting in the removal of a both a CDN$1 million bullet payment due by 30 September 2014 as well as the final principal repayment of CDN$2.44 million due on 19 February 2015. Monthly principal and interest payments will be replaced by a monthly Gold Loan payment based on a fixed number of gold ounces multiplied by the monthly closing gold price. The term of the Gold Loan has been extended to 31 October 2016. As a consequence approximately $1.8 million of the Company's borrowings will be converted from current to non-current liabilities."
For and on behalf of the Board

Scott Perry
Chairman

PO Box 1523 West Perth, WA 6872 Tel +61 8 9481 0051 Fax +61 8 9481 0052

www.lachlanstar.com.au

For further information please visit www.lachlanstar.com.auor contact:
Scott Perry Chairman Lachlan Star
Email: scott.perry@auricogold.com

About Lachlan Star Limited

Lachlan Star Limited is a gold mining company headquartered in Perth, Western Australia. The Company is focused on optimizing free cash flow from its CMD Gold Mine in Chile. The Company has a board of directors and management team with an impressive track record of advancing resource projects through to production.

Lachlan Star's current projects include a 100% interest in the CMD Gold Mine in Chile, a 100% interest in the Bushranger Copper Project in New South Wales (subject to

Anglo earning 51%) and a 100% interest in the Princhester magnesite deposit in Queensland.

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