SHAREHOLDER UPDATE - FINANCINGThe Directors of Republic Gold...

SHAREHOLDER UPDATE - FINANCING

The Directors of Republic Gold Limited (?Republic? or ?Company?) previously announced to shareholders
on 3 February 2011 that the Company had entered into an agreement with La Paz-based BDP Sociedad de
Titularizacion S.A. (?BDP?), Bolivia?s largest securitization specialist, to structure and arrange a domestic

Bond issue of up to US$100M in the local capital markets for Minera Nueva Vista SA. The Company has
been advised by BDP that the financing process will take up to six months for internal and government
approval, with the final approval expected to be available in the 4th Quarter 2011.

Representatives of the Company visited North America during the period 6 to 9 March 2011 and attended
the Prospectors & Dealers Association Conference (PDAC) in Toronto and met with financiers, senior
officials from the Bolivian government and other potential strategic stakeholders.

As a result of those meetings and discussions with key stakeholders in the Amayapampa Gold Project, the
Board has determined that it is in shareholders? best interests to immediately commission an accelerated
drilling campaign to further prove-up the JORC Resources of 1.3moz Au targeting a significant increase in
the resource inventory.

The Company has deferred some capital works programmes which are seasonally dependent, such as the
dam construction, which may delay production for up to 12 months. The Directors believe that the change
in the immediate short term focus to more drilling to improve the resource inventory is in the best interests
of shareholde