Sandfire Resources Ltd · ASX:SFR
Sandfire Resources — Q2 FY2018 Earnings Presentation
19 slides from Sandfire Resources's earnings presentation, Jan 30, 2018
Slide 1: December 2017 Quarterly Report Presentation and Webcast
For personal use only December 2017 Quarterly Report Presentation and Webcast 30 January 2018 Access this presentation at: http://webcasting.boardroom.media/broadcast/5a542ca2dcb03733b3 f8b3cc or http://www.sandfire.com.au Monty Copper-Gold Mine 1
Slide 2: Important Information and Disclaimer
Important Information and Disclaimer Forward-Looking Statements For personal use only This presentation has been prepared by Sandfire Resources NL. This document contains background information about Sandfire Resources NL current at the date of this presentation. The presentation is in summary form
Slide 3: Competent person's statements
Competent person’s statements For personal use only DeGrussa and Monty Mineral Resource and Ore Reserve The information in this report that relates to the DeGrussa and Monty Mineral Resource is based on information compiled by Mr Ekow Taylor who is a Member of The Australasian Institute of Mining an
Slide 4: Competent person's statements
Competent person’s statements For personal use only Temora Project Mineral Resource The information in this report that relates to the Dam, Cullingerai, Estoril, Mandamah, Yiddah and Gidginbung Mineral Resources is based on information compiled by Mr Ross Corben who is a Fellow of The Australasian I
Slide 5: Agenda
Agenda For personal use only ► Highlights ► Safety ► Operations and costs ► Development ► Exploration ► Summary 5
Slide 6: December 2017 Quarterly Highlights
December 2017 Quarterly Highlights Production and Operations For personal use only ► December 2017 Quarter: 16,263t copper and 8,130oz gold produced; C1 US$1.02/lb ► December 2017 Half Year: 31,521t copper and 18,799oz gold produced; C1 US$1.00/lb ► FY2018 guidance maintained: 63-66kt of contained c
Slide 7: Safety
Safety ► Total Recordable Injury Frequency Rate (TRIFR) of 4.6 at Quarter-end For personal use only (vs. 6.4 at September 2017 Quarter-end) ► Principal hazard management – key theme to improve safety culture ► Focus continues to be applied to improving safety leadership, culture and assurance of cri
Slide 8: Operations – Mining
Operations – Mining For personal use only Underground production ► Total ore production for the Quarter of 407,151 tonnes grading 4.3% Cu ► Mine remains in balance between production and back-fill ► Stopes mined during the quarter from C1 continued to include high talc levels as scheduled, expected
Slide 9: Operations – Processing
Operations – Processing Mill throughput For personal use only ► 436,516 tonnes milled at average feed grade of 4.1% Cu Recovery ► Quarterly copper recovery of 91.7%; Gold recovery 40.2% (FY2018 guidance: copper ~92%, gold ~44%) ► Bedding down improvements to overall recovery capacity with additional
Slide 10: Operations – Capital programs
Operations – Capital programs Underground pumping station For personal use only ► Commissioned allowing for the completion of hydrology drilling and the continuation of resource definition drilling in C4 and C5 Rougher column cell ► Commenced commissioning early July 2017 ► Positive signs in copper
Slide 11: Development – Monty Copper-Gold Project
Development – Monty Copper-Gold Project Sandfire is Manager of the For personal use only ► Springfield JV – interests Sandfire 70%/Talisman 30% ► Works progressing on schedule • Haul and access roads • Excavation of box cut for underground access • Decline works commenced • Stockpile and laydown are
Slide 12: Operations – Sales
Operations – Sales ►December 2017 Quarter: Sales of 73,098 tonnes of concentrate (dry) containing 17,558 tonnes For personal use only of copper (16,804 tonnes payable) and 10,258 ounces of gold (9,470 ounces payable) ►7 shipments completed for the quarter, additional shipment and revenue received in
Slide 13: Operations – Q2FY2018 Unit Operating Costs
Operations – Q2FY2018 Unit Operating Costs Q2FY2018 1HFY2018 For personal use only Unit costs – DeGrussa Mine Commentary (US$/lb) (US$/lb) Mining (net of development) 0.46 0.47 Processing 0.30 0.31 Overall 1H C1 assisted by high gold production and price, increasing by-product credits. Business serv
Slide 14: Development and Growth – Black Butte Copper Project, USA
Development and Growth – Black Butte Copper Project, USA For personal use only ► 78% stake in Black Butte Copper Project, central Montana (via stake in Tintina Resources Inc) ► Advanced, high quality copper project in stable jurisdiction: – Mineral Resource: 18Mt at 3.3% Cu, 14g/t Ag, 0.10% Co for 5
Slide 15: Doolgunna Exploration Overview
Doolgunna Exploration Overview Exploration continuing as a priority along highly prospective VMS For personal use only ► corridor that hosts the DeGrussa and Monty deposits: – DDH drilling at Monty NE to test geochemical anomalies and provide DHEM platforms. – RC and DDH drilling within the Vulcan a
Slide 16: Doolgunna Exploration Overview
Doolgunna Exploration Overview ► Exploration advancing at multiple prospects within Greater Doolgunna area: For personal use only ► 56,574m of AC/RAB ► 5,738m RC and, ► 2,034m DDH during the quarter ► Total Tenure – 5,846km2 16
Slide 17: Summary & Outlook
Summary & Outlook For personal use only ► Production and cost performance – 1HFY2018: 31,521t contained copper, 18,799oz contained gold, C1 costs $1.00/lb – FY2018 Guidance maintained: 63-66kt contained copper, 35-38koz contained gold, C1 costs $1.00-1.05/lb – Monty under development; first ore sche
Slide 18: Appendix: Group Ore Reserve and Mineral Resource
Appendix: Group Ore Reserve and Mineral Resource ► Group Mineral Resource: DeGrussa, Monty, Black Butte, Thaduna, Green Dragon and Temora Projects are For personal use only estimated to contain 1.9Mt of copper, 2.7Moz of gold and 15.8Moz of silver. ► Group Ore Reserve: DeGrussa Copper-Gold Mine (100
Slide 19: Contact Details: Sandfire Resources NL
For personal use only Contact Details: Sandfire Resources NL Registered Office and Principal Place of Business Level 1, 31 Ventnor Avenue, West Perth, Western Australia 6005 T +61 8 6430 3800 / F +61 8 6430 3849 www.sandfire.com.au 19 19