Pan African Resources Plc · LSE:PAF
Pan African Resources — Investor Presentation (February 2017)
80 slides from Pan African Resources's investor presentation, February 2017
Slide 1: Evander Gold Mining Presentation
EVANDER GOLD MINING PRESENTATION FEBRUARY 2017
Slide 2: Disclaimer
DISCLAIMER This presentation is provided on a confidential basis. The name 'Presenter' refers to Pan African Resources PLC and its advisors, subsidiaries or affiliated companies. This presentation has not been filed, lodged, registered or approved in any jurisdiction and recipients of this document
Slide 3: Agenda
AGENDA • Introduction to EGM › Location › History › Health & Safety › Human Resources › Geology › Resource & Resources • Evander 8 Shaft › Geology › Infrastructure › Mining Method • Processing Plant • ETRP • Future Projects 3
Slide 4: Introduction to EGM: Location & History
INTRODUCTION TO EGM LOCATION & HISTORY
Slide 5: Evander Operations Location Map
EVANDER OPERATIONS LOCATION MAP 5
Slide 6: History
HISTORY • Evander gold field discovered in 1951 • Sinking of first shafts started in 1956 (Winkelhaak 1& 3 shaft) • First gold pour in July 1958 • Three other mining complexes developed afterwards namely: Leslie, Bracken and Kinross • In 1996 all four mining companies consolidate to form Evander Gol
Slide 7: History
HISTORY • Union Corporation Limited : 1953 - 1980 • Gencor Group : 1981 - 1988 • Genmin Group : 1989 • Gengold Group : 1990 - 1995 • Goldfields : 1996 - 1997 * • Harmony (R545 million) : 1998 - 2013 • Pan African Resources (R 1.5 bn) : 28th February 2013 * EVANDER GOLD MINES LIMITED WAS CREATED IN 1
Slide 8: Operations History
EVANDER OPERATIONS HISTORY Historical production (up to June 2016) Operation Tons milled Grade Gold Gold (Mt) (g/t) (Tonnes) (Moz) Winkelhaak Mine 74.7 7.6 565 18 Kinross Mine 67.5 6.8 459 15 Leslie Mine 41.4 6.3 259 8 Bracken Mine 26.4 8.8 232 7 Total 210.0 7.2 1 515 49 8
Slide 9: Introduction to EGM: Health and Safety
INTRODUCTION TO EGM HEALTH AND SAFETY
Slide 10: Health Aim
HEALTH AIM PREVENTION OF OCCUPATIONAL & NON- OCCUPATIONAL DISEASES AND INJURIES 10
Slide 11: Evander Health Hub
EVANDER HEALTH HUB 11 11
Slide 12: The Big Six
THE BIG SIX WE CAN BEAT HIV/AIDS IN OUR LIFETIME. IS CURABLE, NO ONE DESERVES TO DIE FROM IT. LIFESTYLE IS A PERSONAL THING. BE RESPONSIBLE FOR YOUR OWN HEALTH. CAN BE A SILENT KILLER. MONITOR YOUR BLOOD PRESSURE. IT HAS NO CURE. PROTECT YOURSELF FROM DUST INHALATION. WEAR NOISE CLIPPERS, EAR MUFFLE
Slide 13: Behaviour Based Safety Drive Phase 4
BEHAVIOUR BASED SAFETY DRIVE “Phase 4” 13
Slide 14: Safety History - LTIFR
SAFETY HISTORY - LTIFR 35.00 29.90 30.00 25.00 20.00 18.94 19.11 17.72 15.00 9.68 10.00 6.87 5.00 4.16 4.13 4.9 3.74 3.33 2.35 - 2004 -2005 2005 - 2006 2006 - 2007 2007 - 2008 2008 - 2009 2009 - 2010 2010 -2011 2011 -2012 2012 -2013 2013 -2014 2014 -2015 2015 - 2016 14
Slide 15: Human Resources
HUMAN RESOURCES
Slide 16: Operations Labour Information
EVANDER OPERATIONS LABOUR INFORMATION • Labour (2424 employees): Contractors - 890 • Trade union representation: › National Union of Mineworkers (NUM) – approximately 90% › UASA – approximately – 5% › No Union - approximately – 5% • Member of the Chamber of Mines 16
Slide 17: Introduction to EGM: Geology
INTRODUCTION TO EGM GEOLOGY
Slide 18: Evander Operations Geology
EVANDER OPERATIONS GEOLOGY 18
Slide 19: Evander Operations Geology
EVANDER OPERATIONS GEOLOGY 19
Slide 20: Evander Operations Geology
EVANDER OPERATIONS GEOLOGY Main Kinross Channel • Evander Basin is a subsidiary of the Wits Basin • Kimberly Reef – tabular ore-body • Gold mineralisation derived from the underlying footwall • Footwall material originates from greenstone provenance • Major payshoots trends in the SE-NW direction 20
Slide 21: Section across the Evander Basin
EVANDER OPERATIONS GEOLOGY Section across the Evander Basin 21
Slide 22: Introduction to EGM: Resource & Reserves
INTRODUCTION TO EGM RESOURCE & RESERVES
Slide 23: Resource & Reserves
RESOURCE & RESERVES Poplar Rolspruit Evander South 23
Slide 24: Mineral Resources
MINERAL RESOURCES Measured Indicated Inferred Total EGM UNDERGROUND Tonnes Grade Gold Ounces Tonnes Grade Gold Ounces Tonnes Grade Gold Ounces Tonnes Grade Gold Ounces Operations (Mt) (g/t) (Tonnes) (Moz) (Mt) (g/t) (Tonnes) (Moz) (Mt) (g/t) (Tonnes) (Moz) (Mt) (g/t) (Tonnes) (Moz) Evander 7 0.5 11.
Slide 25: Mineral Reserves
MINERAL RESERVES Proved Probable Total EGM UNDERGROUND Tonnes Grade Gold Ounces Tonnes Grade Gold Ounces Tonnes Grade Gold Ounces Operations (Mt) (g/t) (Tonnes) (Moz) (Mt) (g/t) (Tonnes) (Moz) (Mt) (g/t) (Tonnes) (Moz) Evander 7 Vamping 0.04 1.6 0.1 0.002 0.04 1.6 0.1 0.002 Evander 8 3 8.0 21 0.7 2
Slide 26: Evander 8 Shaft: Geology
EVANDER 8 SHAFT GEOLOGY
Slide 27: Evander Shaft
EVANDER OPERATIONS Evander 8 Shaft 27
Slide 28: Evander 8 Shaft - Geology
EVANDER OPERATIONS 8 SHAFT - GEOLOGY No 8 Shaft 28
Slide 29: Evander 8 Shaft - Geology
EVANDER OPERATIONS 8 SHAFT - GEOLOGY Life of Mine 16 Years 29
Slide 30: Evander Operations Grade Distribution
EVANDER OPERATIONS GRADE DISTRIBUTION f f 8 Shaft Underground samples & Block Model N01 N02 (cmg/t) 24A N01E N03 N01 N04 A f N01E N01F f 30
Slide 31: Evander 8 Shaft: Infrastructure
EVANDER 8 SHAFT INFRASTRUCTURE
Slide 32: Evander 8 Operations Shaft Layout
EVANDER 8# OPERATIONS 8 Shaft 7 Shaft Met Plant Rock winder 11 L 12 L 13 L 14 L 15 L 150 m³ Fan 16 L 5 MW BAC 17 L 2 x York 5 MW Raise bore Holes fridge plants BAC 18 L 19 L 17 – 24 Vent Shaft 20 L 21 L 22 L 23 L 24 L New Decline 24 – 25 Level 25 L 32
Slide 33: Evander Operations Infrastructure
EVANDER OPERATIONS INFRASTRUCTURE Processing Plant 17 Level Depth 1 857m 505m Depth 2 048m 3 989m Decline Conveyor Belt System (50 000 tpm) 33 33
Slide 34: Evander 8 Shaft: Mining Method
EVANDER 8 SHAFT MINING METHOD
Slide 35: Operations – Mining Method
EVANDER OPERATIONS – MINING METHOD 1st portion of raise line mined Raise development Intermediate Travelling way 35
Slide 36: Operations – Mining Method
EVANDER OPERATIONS – MINING METHOD C/gully 15 m Stability pillar Mining Direction Mining Direction Mining Direction Mining Direction Ore pass 36
Slide 37: Operations – Mining Method
EVANDER OPERATIONS – MINING METHOD • CONVENTIONAL SCRAPER MINING • STRIKE AND DIP SCRAPING • MINING CONFIGURATION – UPSIDE DOWN XMAS TREE • VERY LITTLE SEISMIC ACTIVITY • PANEL LENGTH ± 30M • STOPING WIDTH ± 126CM • PNEUMATIC ROCK DRILLS • TIME BLASTING • DRILLING AND SUPPORT – DAYSHIFT • CLEANING –
Slide 38: Processing Plant
PROCESSING PLANT
Slide 39: Evander Operations Processing Plant
EVANDER OPERATIONS PROCESSING PLANT 39
Slide 40: Evander Operations Processing Plant
EVANDER OPERATIONS PROCESSING PLANT • 12 * SILOS (10 * 16M) • 6 * MILLS – CAPACITY 160 000 TPM • 5 * THICKENERS (6 000M³ EACH) • 14 LEACH TANKS (834M³ EACH) • TREATMENT SECTION (240 000 TPM) • ELUTION CIRCUIT • SMELT AND DISPATCHED GOLD BARS TO RAND REFINERY 40
Slide 41: ETRP
ETRP
Slide 42: ETRP
ETRP • ETRP (Evander Tailings Retreatment Plant) is the re-mining of the Kinross dam (58 million tonnes) • Mining at a rate of 200 000t per month • Processing the slimes at the Kinross plant • Average head grade at 0,32g/t • Recoveries at 42% to 50% 42
Slide 43: ETRP Plant and TSF
ETRP Plant Dam 1 Dam 3 Dam 2 TSF 43
Slide 44: ETRP Grade Distribution of the Kinross Dam
ETRP Grade distribution of the Kinross Dam Kinross Dam Dam 1 Dam 3 Dam 2 44
Slide 45: Future Projects
FUTURE PROJECTS EVANDER GOLD MINING
Slide 46: Evander Growth Projects
EVANDER GROWTH PROJECTS EGM Growth Projects Possible Resource Oz (000) 12 10 Rolspruit, 8,851 5 Decline, 927 8 Poplar, 5,092 Evander South, 4,964 6 9 Shaft A Block, 322 7 Shaft 2010, 2,182 4 Elikhulu, 1,674 7 Shaft Pillars, 318 2 7 Shaft Vamping, 5 EGM Reserves, 1,492 0 0 5 10 15 20 46
Slide 47: Future Projects: Elikhulu
FUTURE PROJECTS ELIKHULU (BIG ONE)
Slide 48: Elikhulu
ELIKHULU EVANDER “ELIKHULU” PROJECT: (1 000 000T / MONTH) • RE-TREATMENT OF THE TAILINGS STORAGE FACILITIES OF KINROSS, LESLIE & WINKELHAAK • KINROSS – 42 HOLES DRILLED • LESLIE – 90 HOLES DRILLED • INCLUDED 39 SONIC DRILLED HOLES • WINKELHAAK – 38 HOLES DRILLED • GRADE MODEL DEVELOPED (SIGNED OFF B
Slide 49: Elikhulu Location Plan
ELIKHULU LOCATION PLAN New Elikhulu Plant Kinross Dam Photo of all 3 dams New Tailings Dam Leslie Dam Winkelhaak Dam 49
Slide 50: Elikhulu Mineral Resource
ELIKHULU MINERAL RESOURCE MINERAL RESOURCES CATEGORY TONNES GRADE GOLD OUNCES (MT) (G/T) (TONNES) (MOZ) Measured - - - - Indicated 193 0.29 56 1.8 Inferred 22 0.35 8 0.24 TOTAL 215 0.30 63 2.04 50
Slide 51: Future Projects: Poplar
FUTURE PROJECTS POPLAR
Slide 52: Poplar Location
Zz fe) < U O = fad < a. O a EVANDER OPERATION: - 52
Slide 53: Poplar Background
POPLAR BACK GROUND • Previously drilled however limited information available (core lost / incomplete information) • 12-month drilling program conducted in FY11 (Dec 2010) › 23 Holes (20 106 meters) › 77 reef intersections › Indicated additional drilling required • Geological model updated using com
Slide 54: Poplar
POPLAR Surface Bore Holes Depths below Surface 54
Slide 55: Poplar Mineral Resource
POPLAR MINERAL RESOURCE Mineral resources Category Tonnes Grade Gold Ounces (Mt) (g/t) (Tonnes) (Moz) Measured - - - - Indicated 14.3 7.86 112 3.6 Inferred 6.7 6.92 46 1.5 Total 21.0 7.56 158 5.1 55
Slide 56: Poplar
112000 -¥ Measured (OK) Indicated (OK) | inferred (Sichet's t) 19000 -¥ 16000 -¥ -12800 -X 18600 -X - 56
Slide 57: Future Projects: Evander South
FUTURE PROJECTS EVANDER SOUTH
Slide 58: Evander South Location
EVANDER SOUTH LOCATION EVANDER SOUTH 58
Slide 59: Evander South Background
EVANDER SOUTH BACKGROUND • Previously extensively drilled by AAC (core and logs preserved and available) • Harmony concluded a 24-month drilling programme in early FY10 (Oct 2009) › 43 Holes (24 700 meters) › 99 reef intersections • Geological model updated using in FY10 and signed off by SRK • Reso
Slide 60: Evander South
EVANDER SOUTH Surface Bore Holes Depths below Surface 60
Slide 61: Evander South Mineral Resource
EVANDER MINERAL RESOURCE Mineral resources Category Tonnes Grade Gold Ounces (Mt) (g/t) (Tonnes) (Moz) Measured - - - - Indicated 10.3 9.30 96 3.1 Inferred 8.9 6.62 59 1.9 Total 19.2 8.06 154 5.0 61
Slide 62: Evander South
S ‘S) PAN Resour EVANDER SOUTH 000 2500
Slide 63: Future Projects: Rolspruit
FUTURE PROJECTS ROLSPRUIT
Slide 64: Rolspruit Location
ROLSPRUIT LOCATION ROLSPRUIT 64
Slide 65: Rolspruit Background
ROLSPRUIT BACK GROUND • Rolspruit lies north of Evander 8 Shaft and is the down dip extension of the payshoot • Rolspruit is a high grade orebody at depth of between approximately 1 800 and 2 800m below surface • Historically a total of 47 drill holes were drilled (with some 170 deflections) – not a
Slide 66: Rolspruit
ROLSPRUIT Surface Bore Holes 66
Slide 67: Rolspruit
ROLSPRUIT Depths below Surface 67
Slide 68: Rolspruit Mineral Reserves & Resources
ROLSPRUIT MINERAL RESERVES & RESOURCES Mineral resources Category Tonnes Grade Gold Ounces (Mt) (g/t) (Tonnes) (Moz) Measured - - - - Indicated 24.4 10.92 267 8.6 Inferred 0.9 9.17 9 0.3 Total 25.4 10.86 275 8.9 Category Tonnes Grade Gold Ounces (Mt) (g/t) (Tonnes) (Moz) Proven - - - - Probable 23.4
Slide 69: Rolspruit
& ra] & $ $ « «< -18000 -X 20500 -X a 25000 -X Tasman) N 0,3) (3.6) 6,9] 9,15) 15,20] 25500 -X 20,120) > i 4 s 3 3 3 A 0) A 0082] A 0005) eS -20500 -X +23000 -X - 69
Slide 70: Location – Growth Projects
LOCATION – GROWTH PROJECTS Evander 8 Shaft 5 Decline Evander 7 Shaft Evander 7 Shaft 2010 Payshoot Vamping & Pillars Evander 9 Shaft A-Block 70
Slide 71: Future Projects: 2010 Payshoot
FUTURE PROJECTS 2010 PAYSHOOT
Slide 72: 2010 Payshoot
2010 PAYSHOOT EGM EGM Grade Grade Distribution Distribution & & Surface Surface Holes Holes 5 Decline 2010 Payshoot Kinross Payshoot 17 Km 72
Slide 73: 2010 Payshoot
2010 PAYSHOOT 2010 Payshoot Proposed Surface Holes First hole EGM PAR1 73
Slide 74: 2010 Payshoot Resource
2010 PAYSHOOT Tonnes Grade Contained Gold 7 Shaft 2010 Payshoot Category million g/t Tonnes Moz Kimberley Reef Measured 0.52 11.02 5.8 0.19 Indicated 0.34 10.02 3.5 0.11 Inferred 5.41 10.85 58.7 1.89 Total 6.27 10.82 67.9 2.18 74
Slide 75: Future Projects: Shaft A-Block
FUTURE PROJECTS 9 SHAFT A - BLOCK
Slide 76: 9 Shaft A-Block
9 SHAFT A-BLOCK 9 Shaft A-Block 1 Level ~3Km from station 76
Slide 77: 9 Shaft A-Block Structure Plan
9 SHAFT A-BLOCK STRUCTURE PLAN Resource above 1Level Resource below 1Level Potential of More Resource further to the west 77
Slide 78: 9 Shaft Resource
9 SHAFT RESOURCE Tonnes Grade Contained Gold Evander 9 Shaft Category million g/t Tonnes Moz Kimberley Reef Measured 0.11 13.70 1.6 0.05 Indicated 0.07 14.00 1.0 0.03 Inferred 0.65 11.57 7.5 0.24 Total 0.83 12.07 10.0 0.32 78
Slide 79: Questions
RESOURCES pic QUESTIONS
Slide 80: Thank You
RESOURCES THANK YOU ee, 7 ers
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