Fortbridge Media Release

HILLGROVE RESOURCES LIMITED [HGO] - HILLGROVE ASSUMES OPERATIONAL CONTROL AFTER PLANT HANDOVER AT KANMANTOO

Hillgrove Resources Limited (ASX: HGO) is pleased to advise that Practical Completion of the recently commissioned plant at the Company�s Kanmantoo Copper Mine in South Australia has been declared.

Hillgrove has also reached an in-principle agreement with Abesque involving a deferred payment structure for cost overruns experienced on the plant during the final stages of commissioning, as previously reported. The contract with Abesque is an �Alliance� style agreement, with both parties sharing the cost of overruns and delays. The settlement agreement involves partial payment before 31 December 2011, and deferred payment of the balance, in monthly payments spread over 12 months, commencing no later than 30 April 2012.

For further information please view the attached announcement.

Hillgrove Resources Limited
Level 41 Australia Square Tower
264 George Street, Sydney NSW 2000

T: +61 2 8221 0404 F: +61 2 8221 0407