A1 Consolidated Gold Ltd

ABN 50 149 308 921

ASX:AYC

Investment Highlights:

Advanced project on granted mining lease - fully operational mine site including underground development & infrastructure

Mineral Resources in accordance with the JORC Code (2012)

Indicated - 250,000 t @ 5.1 g/t

for 41,200 oz Au

Inferred - 1,170,000t @ 6.4 g/t for 240,000 oz Au

Board of Directors:

Chairman

Dale Rogers

Managing Director

Dennis Clark

Non-Executive Director

Dennis Wilkins

Company Secretary

Dennis Wilkins

Capital Structure:

250,016,873 Ordinary Shares

134,494,407 Listed Options

Contact:

Dennis Wilkins

Tel: +61 8 9389 2111 admin@a1consolidated.com

A1 Consolidated Gold ASX Release - 23 January 2015 AYC RAISES FURTHER $0.5M FOLLOWING PLACEMENT OF RIGHTS ISSUE SHORTFALL

A1 Consolidated Gold Limited ('A1' or the 'Company') is pleased to announce the placement of 16,666,666 shortfall shares (the 'Shortfall Placement') from its recent renounceable entitlement offer (the 'Entitlement Offer'), adding $0.5 million to working capital. The details of the Entitlement Offer were announced on 23 September 2014 and
30 October 2014.
A1's MD, Mr Dennis Clark, said the Company was pleased with the continued support.
In addition, the Company continues to have ongoing discussions with an Investment Fund in respect to placing $1m of the remaining shortfall. Shareholders will be advised, by way of a subsequent announcement, if an agreement is reached.
"This support puts the Company on a strong footing moving into 2015 and will allow for the development of the flagship project, the A1 Gold Mine in the Victorian high country, bringing it into production within 2 months of the receipt of funds.
Importantly, the Shortfall Placement will assist in satisfying one of the final conditions precedent to acquire the Victorian gold assets of Octagonal Resources Limited (ASX:ORS) ("Octagonal") including Octagonal's Union Hill Mine (which is at ore) and a
150,000 tpa CIL processing facility ("Octagonal Acquisition"). The Shortfall Placement will allow A1 to complete the Octagonal Acquisition and air leg mine the high grade ore at the Union Hill Mine for processing at the Octagonal Mill. This ore will be processed while the decline is finished at the A1 Mine.
With the AUD gold price nudging $1600/oz the Updated Scoping Study C3 costs of
A$849/oz imply attractive prospective margins."
The Shortfall Placement was managed by Paterson Securities Limited

-END-

Page 1 of 1

distributed by