Perseus Mining Limited · ASX:PRU
Perseus Mining — BMO Capital Markets 26th Global Metals and Mining Conference 2017
30 slides from Perseus Mining's conference presentation, Mar 1, 2017
Slide 1: BMO Capital Markets 26th Global Metals and Mining Conference
For personal use only BMO Capital Markets 26th Global Metals and Mining Conference Jeff Quartermaine Managing Director & CEO FORT LAUDERDALE 1 March 2017 ASX/TSX: PRU www.perseusmining.com 1
Slide 2: Cautionary Statements
Cautionary Statements For personal use only Disclaimer No representation or warranty, express or implied, is made by Perseus that the material contained in this presentation will be achieved or prove to be correct. Except for statutory liability which cannot be excluded, each of Perseus, its directo
Slide 3: Cautionary Statements - Yaouré
Cautionary Statements For personal use only Yaouré All information in this report in the Annual Group Ore Reserves and Mineral Resources Statement concerning the YGP are reported as Foreign Estimates as defined in the ASX Listing Rules in accordance with ASX Listing Rules 5.12.1 to 5.12.10 and as Hi
Slide 4: Snapshot of Perseus Mining Limited
SNAPSHOT OF PERSEUS MINING LIMITED For personal use only Australian based, West African focussed gold producer, developer and explorer: • Edikan Gold Mine - Large scale, low grade producing gold mine • Sissingué Gold Mine - Mine currently in construction, first gold in March 2018 quarter • Yaouré Go
Slide 5: Capital Structure
Capital Structure For personal use only As at 24 February 2017 ASX Share price A$0.36 ps Shares outstanding 1,032 m Warrants outstanding1 131 m Market capitalisation A$371 m Cash 2 A$55 m Debt - Enterprise value A$317 m Note: 1. 143,050,770 warrants were issued as part of the Amara acquisition consi
Slide 6: Perseus's Value Proposition
For personal use only PERSEUS’S VALUE PROPOSITION 6
Slide 7: Underperformance Can Create Opportunity
UNDERPERFORMANCE CAN CREATE OPPORTUNITY For personal use only Share price performance - Rolling Year 300% 250% 200% 150% 100% 50% 0% -50% NCM RSG XGD AQG GOR EVN SAR NST DCN PRU DRM BDR SBM RRL 7
Slide 8: Value Is Clear
VALUE IS CLEAR For personal use only With evidence that the expected turnaround at Edikan is occurring… short term earnings multiples are expected to improve substantially. 8
Slide 9: Value Proposition Is Clear
VALUE PROPOSITION IS CLEAR For personal use only • Average covering broker values Perseus at $0.55/share vs. current price of $0.36/share. Indicates that Perseus’s shares are currently trading at a discount of nearly 35% to broker valuation. • Both broker valuation and current share price reflects m
Slide 10: Growth Path Is Clear
GROWTH PATH IS CLEAR For personal use only 10
Slide 11: Turnaround Is Not Yet Reflected in Share Price
TURNAROUND IS NOT YET REFLECTED IN SHARE PRICE For personal use only 11
Slide 12: Why Will the Future for Perseus Be Better?
WHY WILL THE FUTURE FOR PERSEUS BE BETTER ? For personal use only FIVE CRITICAL SUCCESS FACTORS INCLUDING: Physical Assets Human Assets …..Linked by a clearly defined and credible Debt Financial Assets corporate strategy…. Social Licence Gold market 12
Slide 13: Physical Assets
PHYSICAL ASSETS For personal use only Our Locations Assets Overview Sissingué (86%)1 • Large scale open-pit gold mine since 2012 M&I Mineral Resource: 0.7Moz • Low grade (1.1g/t) multi pit mining operation • Efficient processing plant involving gravity, Ore Reserve:2 0.4Moz Edikan flotation and CIL
Slide 14: Edikan Gold Mine: The Established Flagship of the Company
Edikan Gold Mine:The established flagship of the company For personal use only Overview • Multi-pit, open cut gold mining operation in southern Ghana. • Expect to produce 1,000,000th ounce of gold by early March 2017. • Average gold production of 214,000 ounces per year estimated over the remaining
Slide 15: Edikan Plant - Major Upgrade Completed in October 2016
Edikan Plant - Major upgrade completed in October 2016 For personal use only 15
Slide 16: Sissingué Gold Project – Providing Near Term Growth
Sissingué Gold Project – Providing Perseus with near term growth For personal use only Overview • Development project in northern Côte d’Ivoire. • Combined Sissingué + Bélé M&I Mineral Resource of 14.9 Mt at 1.7g/t gold for 0.83 Mozs. Ore Reserves1 currently being estimated but expected to be slight
Slide 17: Sissingué Gold Project Under Construction
Sissingué Gold Project under construction For personal use only 17
Slide 18: Yaouré Gold Project: Providing Medium Term Growth
Yaouré Gold Project: Providing Perseus with medium term growth For personal use only Overview • DFS stage development project in central Côte d’Ivoire. • Measured and Indicated Mineral Resources of 5.2Moz (104.1Mt at 1.54g/t)* (see cautionary statement below). • Potential for large scale, long life,
Slide 19: Yaouré Gold Project – Current Site Activities
Yaouré Gold Project – Current Site Activities For personal use only 19
Slide 20: The Future: Strong Pipeline from Exploration to Production
The Future: Strong Pipeline from Exploration to Production For personal use only Production Edikan Construction Sissingué Feasibility Study Esuajah S. Yaouré Pre-Feasibility / Mampong Concept Study Dadieso Grumesa Bélé Advanced Bokitsi Exploration Mahalé (Bélé deposit) Mbengué Zouan-Hounien Nkotumso
Slide 21: Human Assets – Management Team
HUMAN ASSETS – Management team For personal use only Role Team Member Chief Executive Officer & Managing Director Jeffrey Quartermaine Executive Director – Commercial Services Colin Carson Experienced and Nana Prah Agyensaim VI Chairman – Perseus Ghana capable senior Chief Operating Officer Chris Wo
Slide 22: Human Assets – Board of Directors
HUMAN ASSETS – Board of Directors For personal use only Reginald Gillard Jeff Quartermaine Colin Carson Non-Executive Managing Director Executive Director Chairman1 and CEO More than 30 years’ experience in accounting More than 25 years’ experience in financial and Director of numerous Australian pu
Slide 23: Financial Assets
FINANCIAL ASSETS For personal use only • Robust balance sheet at 31 December 2016 including cash and bullion of AUD67.5 million and currently no external borrowings. • Significant borrowing capacity to fund growth projects. At advanced stage of discussion with Macquarie Bank on US$40M project debt f
Slide 24: Social Licence to Operate
SOCIAL LICENCE TO OPERATE For personal use only • Perseus has a strong ‘social licence’ to operate in both Ghana and Côte d’Ivoire – built on trust and delivering on promises. • Strong social licence from local community is a critical defence against negative external forces e.g. security threats, i
Slide 25: Social Licence to Operate
SOCIAL LICENCE TO OPERATE For personal use only • In Ghana, recently commissioned a 201 structure housing estate to house families impacted by mining activities. Change of government also likely to enhance relations with the bureaucracy. • In Côte d’Ivoire, at earlier stage of relations but very enc
Slide 26: Market for Gold
MARKET FOR GOLD For personal use only … lots of factors at work, but recent strength and medium to long term outlook seems promising… 26
Slide 27: Our Strategy for Creating Value for Shareholders
Our Strategy for Creating Value for Shareholders For personal use only Optimise Drive increased shareholder value Leverage the skills and productivity at Edikan through successful experience of our through further optimisation and development and operating team and operation of multiple, Board to de
Slide 28: Why Will the Future for Perseus Be Better?
WHY WILL THE FUTURE FOR PERSEUS BE BETTER ? For personal use only FIVE CRITICAL SUCCESS FACTORS INCLUDING: • The ingredients are Physical Assets present for a better future for Perseus’s shareholders Human Assets • Its up to the team to Debt Financial Assets deliver the strategy Social Licence • Str
Slide 29: Value Proposition Is Clear
VALUE PROPOSITION IS CLEAR For personal use only With evidence that the expected turnaround at Edikan is occurring… short term earnings multiples are expected to improve substantially. 29
Slide 30: Contact Us
Contact Us For personal use only ASX/TSX: PRU www.perseusmining.com Jeff Quartermaine Managing Director & CEO +61 8 6144 1700 Cathy Moises Investor Relations (Australia) +61 412 196 350 cathy.moises@perseusmining.com Nathan Ryan Media Relations (Australia) +61 420 582 887 30
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