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1 ASX/Media Announcement 16 May 2011 Major Copper-Gold Discovery at Balogo in Burkina Faso Broad high grade copper and gold intercepts obtained from reverse circulation drilling program at the Balogo Project. The discovery mineralisation is open along strike and at depth. Best intersections include: o 11m at 2.15 g/t gold, 2.75% copper from 25m, including 3m at 5.83 g/t gold and 8.15% copper (Hole BRC013); o 24m at 1.43 g/t gold, 0.88% copper (end of hole) from 93m (Hole BRC028); o 12m at 0.24 g/t gold, 0.61% copper from 19m and 11m at 0.40 g/t gold, 0.50% copper from 55m (Hole BRC001); o 6m at 9.97 g/t gold from 68m (Hole BRC005); o 5.75 g/t gold from 34m (Hole BRC025); and o 1m at 31.9 g/t gold from 72m (Hole BRC017) Golden Rim Resources Ltd (ASX: GMR, Golden Rim) today announced a major copper-gold discovery at the Company s Balogo Project in Burkina Faso (Figure 1). Golden Rim s Managing Director, Mr Craig Mackay, said the copper and gold intercepts from the initial reverse circulation (RC) drilling program at Balogo are highly encouraging. It is worth noting is that most of these intercepts are open along strike and at depth. The copper grades received are particularly high and add considerable value to the project, said Mr Mackay. Also encouraging, is the fact this is a major discovery in a previously unexplored area of Burkina Faso, he said. A total of 32 holes for 3,099m were drilled at Balogo by contractors, Boart Longyear. The initial drilling program was designed to test the central portion of the main gold-in-soil anomaly and the area of artisanal workings at Balogo (Figure 2). A list of all intercepts greater than 1 m x g/t gold is provided in Table 1. In the area of artisanal workings in the northeast portion of the main gold-in-soil anomaly the copper and gold mineralisation is associated with a distinct northeast-trending shear zone ( Cobra Shear Zone ) which has been traced in geological mapping for at least 1.3km and continues under cover to the southwest. The Cobra Shear Zone lies at the contact between a diorite intrusion and a basement sedimentary rock package and is sometimes expressed on surface as a low ridge of outcropping quartz- Golden Rim Resources Ltd I ABN I Level 2, 10 Outram Street, West Perth WA 6005, Australia I PO Box 378, West Perth WA 6872, Australia I info@goldenrim.com.au I T I F

2 malachite-magnetite veining surrounded by a halo of strong disseminated pyrite and magnetite alteration. To date, seven holes have been drilled through the shear with the best intersections in Hole BRC013 (11m at 2.15 g/t gold, 2.75 % copper from 25m, including 3m at 5.83 g/t gold, 8.15 g/t copper, and 0.57 g/t gold; 0.40% copper from 40m) and Hole BRC001 (12m at 0.24 g/t gold, 0.61% copper from 19m and 11m at 0.40 g/t gold; 0.50% copper from 55m) The Cobra Shear Zone seems to have the potential to host copper and gold mineralisation in widths up to 30m over an extensive strike length. In addition to copper and gold mineralisation associated with the shear zone, quartz veins and stockworks are located along and proximal to the contact between the shear and the diorite and are potentially a high grade gold target. Most of the artisanal hard rock mining to date at Balogo has been focussed on these quartz veins. Intercepts of this gold mineralisation include, 9.9 g/t gold from 68m in BRC005, 5.75 g/t gold from 34m in BRC025 and 31.9 g/t gold from 72m in Hole BRC017. In the southwest portion of the main gold-in-soil anomaly the trend of the mineralisation seems to be north-south. In this area, drilling intercepted a large, mineralised, quartz feldspar porphyry intrusion under shallow soil cover. The best intercept in this intrusion is 1.43 g/t gold, 0.88% copper from 93m (Hole BCR028). This hole terminated in mineralisation at 117m and further drilling in this area is a priority for Golden Rim. Based on the strong initial drilling results from Balogo, a second phase drilling program of around 7,000m has been planned. This drilling is designed to follow-up the significant intercepts obtained during the initial RC drilling program and to extend the drilling further along the strike of the main 10km-long gold-in-soil anomaly. A second parallel gold-in-soil anomaly which has been outlined 1km to the northwest will also be tested during this second phase of drilling. The RC rig is currently in Boart Longyear s workshop in the capital city of Ouagadougou for maintenance and the second phase of drilling is expected to commence in approximately two weeks. For further information, please contact: -ENDS- Hayley Butcher Ann M Nahajski Golden Rim Resources AMN Corporate Company Secretary +61 (0) ann@amncorporate.com Page 2

3 About Balogo Project Located in the south of Burkina Faso, the Balogo Project is one of the five gold project areas (Sebba, Balogo and Yako in Burkina Faso and Sepola and Faraba in Mali) that GMR is actively exploring in West Africa. The Balogo project is comprised of three granted permits covering an area of 546km 2. It covers a significant north-east-trending fault splay system, which is connected to the major Markoye Fault. A number of major gold deposits in Burkina Faso, such as Taparko / Bouroum (1.5Moz), Kiaka (2.6Moz), Bomboré (3.5Moz) and Essakan (5.2Moz) are associated with this major fault (Figure 1). Mineralisation at Balogo consists of an extensive sulphidic quartz vein stock work system and bulk disseminated sulphides in intrusive rocks. No modern exploration has been conducted at Balogo, though locals first discovered gold approximately 18 months ago. Significant gold results were obtained in January 2011 along a contact zone between a sequence of volcaniclastic sediments and intrusive rocks for at least 10km. Values of up to 1.2g/t gold were obtained in the soil samples. Rock chip samples have returned gold grades up to 49.9g/t gold. About Golden Rim Resources Limited Golden Rim Resources Ltd (ASX: GMR) is an exploration and mining company with a focus on copper and gold. The Company is active in West Africa, with gold resources and licences covering over 3,000km 2 in the highly prospective Birimian greenstone belts of Mali and Burkina Faso. With experienced management and extensive local teams in the Company s permanent offices in Mali and Burkina Faso, Golden Rim is able to move quickly and efficiently in order to maximise potential opportunities. Abu Dhabi-based Royal Group is a substantial shareholder and strategic partner of Golden Rim. Through an alliance company, Royal Falcon Mining LLC, the companies have secured advanced copper/gold projects (Falun and Bersbo) in Sweden and are seeking further significant investments. Golden Rim is pursuing an active program of drilling in Mali, Burkina Faso and Sweden and is poised to deliver significant growth and value to shareholders. Page 3

4 Figure 1. Location of the Balogo Project in Burkina Faso Page 4

5 Figure 2. Location of Phase 1 Reverse Circulation (RC) Drill Holes and Significant Copper and Gold Intercepts at Balogo Page 5

6 Photograph 1. Golden Rim RC drilling on the Balogo project. Photograph 2. Copper and gold intercept in Hole BRC013 at Balogo Page 6

7 Table 1. Significant copper and gold RC drilling intercepts at Balogo (>1 m x g/t gold) Hole ID From (m) To (m) Intersection Comments BRC g/t gold; 0.61% copper including g/t gold; 0.60 % copper BRC g/t gold; 0.50% copper BRC g/t gold BRC g/t gold BRC g/t gold BRC g/t gold; 0.13% copper BRC g/t gold BRC g/t gold including g/t gold including g/t gold BRC g/t gold BRC g/t gold; 0.85% copper BRC g/t gold BRC g/t gold BRC g/t gold BRC g/t gold; 0.66% copper BRC g/t gold BRC g/t gold BRC g/t gold BRC g/t gold; 2.73% copper including g/t gold; 8.15% copper including g/t gold; 10.59% copper BRC g/t gold; 0.40% copper BRC g/t gold BRC g/t gold; 1.20% copper BRC g/t gold BRC g/t gold BRC g/t gold BRC g/t gold; 0.76% copper Hole ended in mineralisation BRC g/t gold BRC g/t gold BRC g/t gold BRC g/t gold BRC g/t gold BRC g/t gold BRC g/t gold BRC g/t gold including g/t gold BRC g/t gold Page 7

8 BRC g/t gold; 0.88% copper Hole ended in mineralisation BRC g/t gold; 0.22% copper BRC g/t gold Note: Intercepts were calculated with a 0.5 g/t gold cut-off and with a maximum of 3m internal dilution Page 8

9 The information in this public report that relates to exploration results and mineral resources is based on information compiled by Mr Craig Mackay who is a member of The Australasian Institute of Mining and Metallurgy. Mr Mackay is a permanent employee of Golden Rim Resources Ltd. Mr Mackay has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Mackay consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. Further Company Information E: info@goldenrim.com.au W:goldenrim.com.au Capital Structure Issued Shares: 359,396,731 Unlisted Options: 39,650,000 Major Shareholders PAL Technology Services LLC 13.10% Rick Crabb 5.79% Share Registry Security Transfer Registrars Pty Ltd 770 Canning Highway APPLECROSS WA 6153 AUSTRALIA T: F: E: registrar@securitytransfer.com.au W: securitytransfer.com.au Page 9

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