Burgundy Diamond Mines Ltd · ASX:BDM
Burgundy Diamond Mines — Investor Presentation (March 2024)
19 slides from Burgundy Diamond Mines's investor presentation, Mar 28, 2024
Slide 1: 2023 Year End Results
2023 YEAR END RESULTS BURGUNDY DIAMOND MINES (ASX: BDM) 27 MARCH 2024
Slide 2: Important Notice and Disclaimer
IMPORTANT NOTICE AND DISCLAIMER This Presentation is given on behalf of Burgundy Diamond Mines Limited (ASX: BDM) (ABN 33 160 017 390) (Burgundy or Company). By accepting, accessing or reviewing this Presentation, you acknowledge and agree to the terms set out in this Important Notice and Disclaimer
Slide 3: Important Notice and Disclaimer
IMPORTANT NOTICE AND DISCLAIMER Financial information Certain financial data included in this Presentation is 'non IFRS financial information’ and "non-GAAP" financial measures under Regulation G of the U.S. Securities Exchange Act of 1934, as amended. These measures are used internally by managemen
Slide 4: Presenters
PRESENTERS KIM TRUTER BRAD BAYLIS Chief Executive Officer & Chief Financial Officer Managing Director 4
Slide 5: Sustainability Highlights
SUSTAINABILITY HIGHLIGHTS SAFETY • Revitalizing safety performance with primary focus on fatality prevention and critical controls • LTIFR(1) (0.32 vs 0.16) and TRIFR(1) (0.96 vs 0.80) increased from the same period in 2022(2). ENVIRONMENT • Primary focus incidents requiring external reporting. • Re
Slide 6: FY2023 Performance Highlights
FY2023 PERFORMANCE HIGHLIGHTS(1) Waste mined (M WMT2) Ore mined (M WMT2) Ore Processed (M DMT2) Carats Recovered (M CTS2) 11.4 2.3 2.1 2.0 2.6 2.0 6.9 1.3 6 mths to 6 mths to 6 mths to 6 mths to 6 mths to 6 mths to 6 mths to 6 mths to 31 Dec 2023 31 Dec 2022 (3) 31 Dec 2023 31 Dec 2022 (3) 31 Dec 20
Slide 7: Operational and Financial Results
01 Operational and Financial Results 7
Slide 8: Market Overview
MARKET OVERVIEW(1) Forecast Real Rough Diamond Price Growth • Looking back at 2023: 7.0% – H1 2023 saw a 14% point drop in selling prices with a further 6% point drop in the second half of the year – Diamond industry has been in oversupply in the short-term following record 4.4% demand in 2021 and 2
Slide 9: FY2023 Operational Highlights
FY2023 OPERATIONAL HIGHLIGHTS Waste mined (000 WMT) Ore mined (000 WMT) • Waste Tonnes mined down 40% over the same period in 2022 due to lower waste stripping requirements (strip ratio decline) 11,445 2,336 • Ore mined up 75% over the same period in 2022 due 6,877 1,338 to improved in-pit ore acces
Slide 10: FY2023 Financial Highlights
FY2023 FINANCIAL HIGHLIGHTS 6 mths to 12 mths to • Revenue and costs for the 12-month period ended 30 June 31 Dec 30 Jun 2023 2023 reflect only polished sales and related expenditure. 2023 • Revenue for the 6-months ended include third party sales Carats Sold M Carats 2,574.4 0.0 of both rough ($257
Slide 11: Change in Cash (from 30 June to 31 December)
CHANGE IN CASH (FROM 30 JUNE TO 31 DECEMBER) 27 4 68 28 125 13 28 94 Opening Balance Cash from Repayment of Lease payments Consideration Sustaining Capital Collateral for Closing Balance Operating borrowings for acquisition reclamation Activities (net of cash acquired) 11
Slide 12: Balance Sheet and Liquidity ($M)
BALANCE SHEET AND LIQUIDITY ($M) Property, Plant and Equipment Other Non-Current Assets(1) Cash and Cash Equivalents(2) 239 75 125 94 1 0 6 mths to 12 mths to 6 mths to 12 mths to 6 mths to 12 mths to 31 Dec 2023 30 June 2023 31 Dec 2023 30 June 2023 31 Dec 2023 30 June 2023 Diamond Inventories(3) N
Slide 13: Business Update
02 Business Update 13
Slide 14: Surety Update
SURETY UPDATE • Legacy surety : o Agreement in principle with surety providers to extend the term of cash collateralisation of closure liabilities over published mine life o Collateralisation payments are now scheduled to be completed in 2027. • New Point Lake Arrangement : o New surety bond for $13
Slide 15: Sales and G7 Sanctions
SALES AND G7 SANCTIONS • Sales conducted in January and February 2024 have seen some price stability. • Rough diamond sale held on 26 March and a special and fancy stone sale is planned for late April. • G7 sanctions on goods of Russian origin kicked off at the start of March. • Burgundy has worked
Slide 16: Point Lake Commissioning
POINT LAKE COMMISSIONING • Phase 2 dewatering completed • Open pit mining approval received Point Lake was the first diamondiferous • Construction of the Waste Rock Storage pipe discovered on the Ekati property and Area pad has commenced. is the latest to be mined. It adds 24M carats to Ekati’s Indi
Slide 17: Significant Progress on Ekati Mine Life Extensions
SIGNIFICANT PROGRESS ON EKATI MINE LIFE EXTENSIONS New mine plan set to be published by year end 1 Point Lake: Pit optimisation study Pre-strip commenced in preparation for production by Q4 2024 2 Misery: 3 Ore body at depth appears to be thicker than originally modelled(1) Geotechnical and
Slide 18: 2024 Full Year Guidance
2024 FULL YEAR GUIDANCE Ore Tonnes Mined 4.2 to 4.7 million tonnes Total Tonnes Mined 14.7 to 15.7 million tonnes Tonnes Processed 4.0 to 4.4 million tonnes Carats Recovered 4.9 to 5.3 million carats Carats Sold 4.9 to 5.3 million carats 18
Slide 19: For more information, please contact
For more information, please contact: Brad Baylis, CFO or Andrew Petch, Senior Manager Strategic Planning info@burgundydiamonds.com 19
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