Kgl Resources Limited · ASX:KGL
Kgl Resources — Investor Presentation (March 2025)
43 slides from Kgl Resources's investor presentation, Mar 6, 2025
Slide 1: Investor Presentation Equity Raising
ASX:KGL Investor Presentation Equity Raising Approved by KGL Resources Board March 2025
Slide 2: Important Notices and Disclaimer
Important Notices and Disclaimer No reliance: To the maximum extent permitted by law, the information in this presentation is given without any liability whatsoever being accepted by KGL or any of its related bodies corporate or their respective directors, officers, employees, advisors and agents (t
Slide 3: Highlights
Highlights Feasibility Study Update released All necessary approvals Experienced Board and with robust economics, attractive to commence construction in management capital efficiency and strong margins Tier One mining jurisdiction Track record in projects Building the delivery team High Grade Cu Pro
Slide 4: Jervois Project, NT
Jervois Project, NT ▪ KGL’s Jervois Project is a high-grade polymetallic project mid way between Alice Springs, Northern Territory and Mt Isa, Queensland. • Fully Permitted ➢ Initial 10 year mine. ➢ 2-year delivery timetable coincides with projected Cu supply gap. • High Grade Resource ➢ 29mt @ 1.8%
Slide 5: Jervois Project: Overview
Jervois Project: Overview ▪ Two open pit mines (Reward and Bellbird) and four underground mining areas (Rockface, Reward, Marshall, Bellbird). ➢ Open cut operations - primary ore feed for first four years using conventional earthmoving equipment. ➢ Transition to Underground – initial development and
Slide 6: Equity Raising
Equity Raising Jervois Copper Project Update | March 2025 | ASX:KGL 6
Slide 7: Equity Raising Overview
Equity Raising Overview ◼ Equity raising to raise up to A$7.7 million, comprising: a 1 for 8 pro-rata traditional non-renounceable entitlement offer (Offer) Offer Structure & Commitments for A$2.7 million 1 Size ◼ Minimum raising of A$3 million (before costs) under the Offer ◼ Up to approximatel
Slide 8: Equity Raising Overview
Equity Raising Overview Sources of Funds $ (Min) $(Max) Current Post Equity Key Information Raising Existing Cash Position 1,2 A$5.4m A$5.4m Min Max Entitlement Offer 3 A$3.0m A$7.7m Raise Raise Total A$8.4m A$13.1m (A$3m) (A$7.7m) Share Price 1 A$0.10 A$0.099 A$0.099 Use of Funds (includes $ (Min)
Slide 9: Funding for Project Construction
Funding for Project Construction ▪ Company can now actively engage with equity and debt investors as part of the capital raising process for project development. ▪ The Project is expected to be funded via a combination of equity, term and working capital debt. ▪ KGL is appointing a financial advisor
Slide 10: Feasibility Study Overview
Feasibility Study Overview Jervois Copper Project Update | March 2025 | ASX:KGL 10
Slide 11: Feasibility Study Update – Headline numbers
Feasibility Study Update – Headline numbers $405 M c.$229 M $112 M 10 Year Post Tax NPV (8%) @ US$4.58/lb Average EBITDA (Steady State) Avg. After-tax Free Cash Flow 1 Mine Life Post Tax NPV (8%) A$682 M @ US$5.90/lb 29 Cu Copper $362 M 30 kt pa $1.95/lb 24% / 3.4 Yrs Pre-production Capital Cost 2 A
Slide 12: Robust mine life with upside potential
Robust 10 year mine life with upside potential 2.5 Ore Tonnage Mined by Source - Financial Year 2.0 ✓ Proportion of lower cost open cut ore (now primarily all CuEq Grade (%) Ore Mined (Mt/year) 1.5 Proven reserves) has increased from 25% to 41% of total ore mined. (FSU25 vs FS22). 1.0 ✓ Additional a
Slide 13: Project Generates Robust Economics
Project Generates Robust Economics Short Payback / Strong Margins ✓ Technically robust: – Inputs from Xenith, Sedgman, Tier 1 mining contractors. – Independent review by RPM (Critical Issues) - “No Red Flags”. ✓ Low capital Intensity (A$12,000/t Cu). ✓ Strong cash generation: EBITDA Profile - Financ
Slide 14: Jervois Project FSU25: Key Metrics
Jervois Project FSU25: Key Metrics Operating Metrics Metal Price & Other Key Assumptions Assumption Units Value Assumption Unit L/T Mine Life Years 10 Copper Price US$/lb 4.58 Life of Mine Net Revenue A$ billion 4.4 Gold Price US$/oz 2,668 Life of Mine EBITDA A$ billion 1.9 Silver Price US$/oz 32.62
Slide 15: The Way Forward
The Way Forward Jervois Copper Project Update | March 2025 | ASX:KGL 15
Slide 16: Pathway to production in 2027
Pathway to production in 2027 Timetable is subject to securing adequate funding. Jervois Copper Project Update | March 2025 | ASX:KGL 16
Slide 17: Project Delivery - Forward Work Plan
Project Delivery - Forward Work Plan PROJECT EXECUTION PLAN (PEP) Funding and FID FID & Funding Operations Prep Site Prep Construction Construction Completion 6 months 12 months 6 months Ongoing Plant Procurement Process Plant Site Erection Plant: Commissioning & Ramp Up Plant @ 2Mtpa rate Clean up
Slide 18: Copper Market
Copper Market Jervois Copper Project Update | March 2025 | ASX:KGL 18
Slide 19: Copper outlook is robust
Copper outlook is robust Market Outlook Supply Demand Forecast2 ▪ S&P Global “demand for refined copper will double … by 2035”. ▪ Demand forecasts reflect global commitments to achieve Net Zero by 2050 with electric vehicles and the grid key demand drivers + traditional demand growth. Demand ▪ At CO
Slide 20: Copper Market Forecast
Copper Market Forecast ▪ The world cannot decarbonise without copper, a key component of renewables and electrification. According to Wood Mackenzie, copper demand is expected to rise by 75% by 2050, reaching 56 million tonnes, driven by the clean energy transition, urbanization, and electrification
Slide 21: KGL Corporate Snapshot
KGL Corporate Snapshot KGL Share Price Performance vs Copper Price Corporate Structure ASX Code: KGL 0.25 5.00 A$0.10 4.50 A$0.085-$0.14 0.20 Copper Price US$/lb KGL Share Price A$ 4.00 0.15 Share Price 52 week low / high 3.50 3.00 0.10 2.50 648.1m 0.2m 0.05 2.00 Shares Outstanding Options on Issue
Slide 22: Key Takeaways
Key Takeaways FSU25 delivered Q1 2025 Growing the Resource 1 ▪ Confirmed robust technical and financial results. 4 ▪ Active exploration program improving and ▪ Fully Permitted to commence. expanding Mineral Resources including geophysics and gravity and magnetic inversion analysis. ▪ Attractive proj
Slide 23: Summary of Key Risks
Summary of Key Risks Material Business Risks General Risk Factors Future Capital Raisings and Going Concern Market Exploration Taxation Final Investment Decision (FID) delay risk Liquidity Feasibility and Development Securities Investment Regulatory Economic Factors Occ Health and Safety Accounting
Slide 24: Key Risk Factors
NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES Key Risk Factors Activities in KGL and its controlled entities, as in any business, are subject to risks which may impact on KGL’s future performance. There are a number of factors, both specific to KGL and of a general nature, which may affect th
Slide 25: Key Risk Factors
NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES Key Risk Factors Activities in KGL and its controlled entities, as in any business, are subject to risks which may impact on KGL’s future performance. There are a number of factors, both specific to KGL and of a general nature, which may affect th
Slide 26: Key Risk Factors
NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES Key Risk Factors MATERIAL BUSINESS RISKS (cont..) Regulatory Risk (cont…) Mining and exploration tenements are subject to periodic renewal. The renewal of the term of a granted tenement is also subject to the discretion of the relevant Minister. R
Slide 27: Key Risk Factors
NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES Key Risk Factors MATERIAL BUSINESS RISKS (cont..) Resource and Reserve Estimate Risk Resource and reserve estimates are expressions of judgement based on knowledge, experience and industry practice. These estimates were appropriate when made but m
Slide 28: Key Risk Factors
NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES Key Risk Factors MATERIAL BUSINESS RISKS (cont..) Fluctuations in Copper Price and Australian Dollar Exchange Rate The copper mining industry is competitive. There can be no assurance that copper, silver and gold prices will be such that KGL can m
Slide 29: Key Risk Factors
NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES Key Risk Factors GENERAL RISK FACTORS Mineral exploration and mining may be hampered by circumstances beyond the control of KGL and are speculative operations which by their nature are subject to a number of inherent risks. These include general r
Slide 30: Key Risk Factors
NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES Key Risk Factors GENERAL RISK FACTORS (cont..) Securities Investment Risk Applicants should be aware that there are risks associated with any securities investment. Securities listed on the stock market, and in particular securities of mining and
Slide 31: Appendix – Competent Person Disclosures
Appendix – Competent Person Disclosures Jervois Copper Project Update | March 2025 | ASX:KGL 31
Slide 32: Jervois Mineral Resource
Jervois Mineral Resource Mineral Resource Estimate (Reserve report dated 31 January 2025 (Table 19) and basis for Feasibility Study Update) Resource Material Grade Metal Copper Silver Gold Copper Silver Gold Area Category Tonnes(Mt) (%) (g/t) (g/t) (kt) (Moz) (koz) Open Cut Measured 2.67 1.89 46.4 0
Slide 33: Jervois Ore Reserve
Jervois Ore Reserve Table 1 – Jervois Project Ore Reserve Statement 31 October 2024 (report dated 31 January 2025) Jervois Copper Project Update | March 2025 | ASX:KGL 33
Slide 34: Competent Persons’ Statement and Disclaimer
Competent Persons’ Statement and Disclaimer Competent Person Statement ▪ The information in this announcement that relates to a Production Target and the forecast financial information derived from the production was first released to the market on 10 February 2025. KGL Resources Limited confirms th
Slide 35: Competent Persons’ Statement and Disclaimer
Competent Persons’ Statement and Disclaimer Competent Person Statement ▪ The following drill holes were originally reported under the JORC code 2012 on the date indicated in the table. The Company confirms it is not aware of any new information or data that materially affects the information include
Slide 36: Appendix – High-grade Undeveloped Copper Resource
Appendix – High-grade Undeveloped Copper Resource Jervois Copper Project Update | March 2025 | ASX:KGL 36
Slide 37: High-grade undeveloped resource
High-grade undeveloped resource The Jervois mineralization system is unique - IOCG, VHMS and elements of SEDEX mineralization. Total Resource at Jervois 28.95Mt @ 1.76% Copper, with 24.8g/t Silver and 0.23g/t Gold. Capturing added value 3D rendition of Jervois copper deposits ▪ Lodes remain open lat
Slide 38: Rockface: Exploration potential
Rockface: Exploration potential Significant Intercepts ▪ High grade copper with silver and gold credits; highest grades in bornite mineralisation on western margin. ▪ Elevated polymetallic grades have been confirmed at depth. ▪ Conductor open at depth. ▪ Investigating lateral extensions. Jervois Cop
Slide 39: Reward & Marshall: Exploration potential
Reward & Marshall: Exploration potential Significant Intercepts ▪ Drilling at shallow to intermediate depths has increased confidence in the mineral resource estimate. ▪ Elevated gold grades have been confirmed at Reward Main Lode and Reward Deeps. ▪ Conductors open at depth. ▪ Exploration potential
Slide 40: Appendix – Foreign Selling Disclosures
Appendix – Foreign Selling Disclosures Jervois Copper Project Update | March 2025 | ASX:KGL 40
Slide 41: Foreign Selling Restrictions
NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES Foreign Selling Restrictions This presentation does not constitute an offer of New Shares in any jurisdiction in which it would be unlawful. In particular, this presentation may not be distributed to any person, and the New Shares may not be offer
Slide 42: Foreign Selling Restrictions
NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES Foreign Selling Restrictions This presentation does not constitute an offer of New Shares in any jurisdiction in which it would be unlawful. In particular, this presentation may not be distributed to any person, and the New Shares may not be offer
Slide 43: Foreign Selling Restrictions
NOT FOR DISTRIBUTION OR RELEASE IN THE UNITED STATES Foreign Selling Restrictions This presentation does not constitute an offer of New Shares in any jurisdiction in which it would be unlawful. In particular, this presentation may not be distributed to any person, and the New Shares may not be offer