www.evolutionmining.com.au ASX: EVN EVOLUTION MINING LIMITED 2015ANNUAL REPORT Contents 7 Highlights in FY15 27 Environmental Responsibility 8 Executive Chairman’s Report 28 Community Spirit 10 Chief Financial O cer’s Review 32 Mineral Resources and Ore Reserves 12 Safety and Health 34 Competent Person Statement 14 Our Assets 35 Board of Directors 20 Acting Like an Owner 39 Annual Financial Report 21 Outlook for FY16 158 Shareholder Information 23 Discovery 160 Corporate Information 25 People and Culture Forward Looking Statements This report prepared by Evolution Mining Limited (or “the Company”) includes forward looking statements. Often, but not always, forward looking statements can generally be identifi ed by the use of forward looking words such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “continue”, and “guidance”, or other similar words and may include, without limitation, statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs. Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance and achievements to di er materially from any future results, performance or achievements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fl uctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licenses and permits and diminishing quantities or grades of reserves, political and social risks, changes to the regulatory framework within which the Company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation. Forward looking statements are based on the Company and its management’s good faith assumptions relating to the fi nancial, market, regulatory and other relevant environments that will exist and a ect the Company’s business and operations in the future. The Company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the Company’s business or operations will not be a ected in any material manner by these or other factors not foreseen or foreseeable by the Company or management or beyond the Company’s control. Although the Company attempts and has attempted to identify factors that would cause actual actions, events or results to di er materially from those disclosed in forward looking statements, there may be other factors that could cause actual results, performance, achievements or events not to be as anticipated, estimated or intended, and many events are beyond the reasonable control of the Company. Accordingly, readers are cautioned not to place undue reliance on forward looking statements. Forward looking statements in these materials speak only at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, in providing this information the Company does not undertake any obligation to publicly update or revise any of the forward looking statements or to advise of any change in events, conditions or circumstances on which any such statement is based. COMPANY PROFILE Evolution Mining is a leading, growth-focused Australian gold company. It owns and operates seven gold mines located in Queensland, New South Wales and Western Australia. For the year ended 30 June 2015 Evolution Mining produced 437,570 ounces gold equivalent, prior to the acquisition of the Cowal and Mungari mines. In late 2011 Evolution Mining was formed through the merger of Catalpa Resources and Conquest Mining and the concurrent acquisition of Newcrest Mining’s interests in the Cracow and Mt Rawdon mines. Our company has continued to grow into a genuine mid- tier Australian gold producer after completing the acquisition of Cowal in July 2015 and Mungari in August 2015. We have a reputation for operational consistency and reliability with a track record of always achieving production and cash cost guidance since formation. We Say, We Do, We Deliver Our ambition since formation has been to become a globally relevant mid-tier Australian gold producer We’re on track In FY15 we continued to focus on operational e ciency, strategically aligned with La Mancha, and successfully acquired the world-class Cowal gold mine We are Australia’s second largest ASX-listed gold producer and we’ve built a platform for further growth 730,000 - 810,000 oz 427,703 oz 437,570 oz 392,920 oz 280,401 oz FY12* FY13 FY14 FY15 FY16** Guidance Formation of Mt Carlton Cowal and Evolution Mining fi rst production Mungari acquisitions Note: Production from FY12-FY15 was gold equivalent ounces. Gold equivalent is defi ned as gold plus payable silver from the A39 deposit at Mt Carlton. FY16 will be gold ounces * Attributable Au equivalent ounces ** Cowal transaction completed on 24 July 2015 – Guidance includes 11.2 months of production from Cowal. La Mancha transaction completed on 24 August 2015 – Guidance includes 10.2 months of production from Mungari. Equates to annualised FY16 Group Gold Production of 770,000 – 850,000 ounces +1.5 Moz Gold equivalent produced since Evolution Mining’s formation in 2011 Evolution Mining Limited Annual Report 2015 5 In FY16 we will stick to our strategy of delivering shareholder returns through: • Operational excellence – e cient, profi table gold production • Using science and technology to improve the probability of transformational discoveries • Improving the quality of our asset portfolio by seeking opportunistic, logical, value accretive acquisitions FY15 – An extraordinary year achieved through our exceptional people A 50% reduction in our lost-time injury Record production frequency rate1 and of 437,570 gold 20% reduction in our equivalent3 ounces total recordable injury frequency rate2 Outstanding results delivered by Edna May Record net profi t (98,766 oz) and after tax doubled to Mt Carlton (77,658 oz Au eq) A$100 substantially exceeding production and cost million guidance Record low C1 cash Dividend payments costs of A$711/oz and based on 2% of gold AISC4 of A$1,036/oz – equivalent sales – a total globally competitive at of A$14.28 million paid US$554/oz5 and AISC to shareholders in FY15 of US$807/oz Binding agreement Agreement with Barrick Record mine cash fl ow with La Mancha Group (Australia Pacifi c) Pty of A$137.8 million – International BV to Limited to acquire the 47% improvement acquire 100% of its Cowal gold mine from FY14 Australian operations 1. Lost-time injury frequency rate (LTIFR) is the frequency of injuries involving one or more lost work days per million hours worked Results are based on a 12-month moving average 2. Total recordable injury frequency rate (TRIFR) is the frequency of total recordable injuries per million hours worked 3. Gold equivalent is defi ned as gold plus payable silver from the A39 deposit at Mt Carlton 4. AISC (All-in sustaining cost) includes C1 cash cost, plus royalty expense, sustaining capital expense, general corporate and administration Calculated on per ounce produced basis 5. Using the average AUD:USD exchange rate for the June quarter 2015 of US$0.779 Evolution Mining Limited Annual Report 2015 7 Executive Chairman’s Report This performance makes our asset base globally competitive and continues to move Evolution down the global gold mining cost curve. By instilling a culture of “acting like owners” across our workforce and focusing on cost and e ciency gains, our total costs fell in the 2015 fi nancial year and we have materially improved the quality of our assets. This improvement can be readily seen in the fi nancial results. Whilst our sales revenue in FY15 increased by only 5% to A$666.0 million, our underlying net profi t increased by 112% to A$106.1 million, clearly showing how we have been able to translate our strong operating performance into bigger margins and greater profi tability. This will continue to be a key focus for us all in the coming year. Despite the US dollar gold price falling during the 12 months to 30 June 2015, we experienced some tailwinds at a macroeconomic level through the depreciation of the Australian dollar against the US dollar and a reduction in key input costs as activity levels in the resources sector fell. Our results demonstrate that Australia’s reputation as a high cost mining destination can no longer be taken as given – and in fact we are now becoming one of the best regions in which to operate gold mines. Once again all fi ve of our operations were cash fl ow positive throughout the year with Edna May the standout – this is an asset which has faced its challenges in recent years and an annual output of 98,766 ounces at an average AISC of A$898 an ounce, both well ahead of guidance, On behalf of the Board of Directors of Evolution Mining bodes well for the future of this mine. I am pleased to present you with the Company’s 2015 Annual Report. These factors all combined to allow us to continue our innovative dividend policy whereby shareholders receive a In many ways the 2015 fi nancial year was the culmination dividend payment, wherever possible, equal to 2% of group of the strategy we put in place nearly four years ago when gold revenue. This year Evolution shareholders received Evolution was formed. This strategy was to build a globally unfranked dividend payments of 1c per share at both the relevant, mid-tier Australian gold mining company and we half-year and full-year results. have made signifi cant progress on this goal during the year.