Slide 1: Sissingué Gold Mine November 2018 Investor Site Visit Presentation
For personal use only SISSINGUÉ GOLD MINE NOVEMBER 2018 INVESTOR SITE VISIT PRESENTATION
Slide 2: Disclaimer
For personal use only Disclaimer 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 directors, officer
Slide 3: Sissingué Gold Mine
SISSINGUÉ GOLD For personal use only MINE 78,000 ounces per annum AISC US$756 per ounce 4.6-year mine life Good exploration targets near- mine and within trucking distance Experienced management team and well motivated staff 3
Slide 4: Sissingué Gold Mine, Côte d'Ivoire
For personal use only Sissingué Gold Mine, Côte d’Ivoire 787 km north-west of Abidjan on the border with Mali. Location Regional capital Korhogo 140km; local town Tengrela Property Exploitation permit PE39 covering an area of 446 square km Commencement Mining commenced November 2017. Plant commissio
Slide 5: Sissingué Gold Mine Milestones
For personal use only Sissingué Gold Mine Milestones January January April 1, October 2018 26, 2018 2018 2018 Commissioning First gold Commercial Mine life of the plant pour production extended to 4.6 years Cowal gold project i s sold to 2014 • North Homestake • NSW Limited is Mining 2006 Evolution
Slide 6: Contractor Mining Fleet - SFTP
For personal use only Contractor Mining Fleet - SFTP Haulage/Mine Trucks Excavators and Loaders 12 x Cat 745C Articulated Dump Trucks 2 x Liebherr 9150 Excavators 3 x Cat 775 Dump Trucks 2 x Liebherr 970 Excavators Drilling Equipment 2 x Volvo 260H Loaders 1 x Atlas Copco D65 1 x
Slide 7: Process Flowsheet
For personal use only Process Flowsheet 7
Slide 8: Process Equipment
For personal use only Process Equipment Crushing ADR Primary crushing: Metso C120 Jaw Crusher CIL: 1 x Pre-leach, 6 x CIL Tanks Dead COS/Surge Bin Equipment: 7 x 1,041m3 Tanks, Residence Time 20hrs Oxide, 38hrs Fresh. Grinding 2t/Day PSA Oxygen Plant Metso 6.1 X 6.1m SAG Mill in Cl
Slide 9: Employment Numbers
For personal use only Employment Numbers IVORIAN EMPLOYMENT IVORIAN EMPLOYMENT 400 • PMCI : Ivorian 176 (87%) Expats 26 (13%) 350 • CONTRACTORS : Ivorian 350 (93%) Expats 25 (07%) 300 • TOTAL : Ivorian 526 (91%) Expats 51 (09%) 250 200 150 100 Ivorian employment rate is 91% of the total staff, 50 we
Slide 10: HSE Performance
SGM SITE INJURY FREQUENCY RATES HSE PERFORMANCE For personal use only 10.00 Total recordable injury frequency (TRIF) 9.00 25 8.00 7.00 20 FY18 Performance 6.00 15 5.00 1 recordable injury in FY18 - (MTI) 4.00 10 3.00 5 0 lost time injury in FY18 2.00 1.000 56 incidents in FY18 - (46% property
Slide 11: Health, Safety and Environment
Health, Safety and Environment For personal use only Achievements – Commencement to Date Type of Incidents - FY 2018 Development of 3 x Management Systems (Integrated, Safety and Procedural Environmental) Breach 7% Waste facility management and site recycling cultural change Near Miss 7% Devel
Slide 12: Strict Environmental Monitoring and Community Support
For personal use only Strict Environmental Monitoring Annual independent, governmental and inter-mines audits and internal compliance reviews Water, dust, noise, and blast monitoring Results shared with the community Strong Local Community Support No community unrest this year. Several soc
Slide 13: Community Support
For personal use only Community Support Sissingue Community Centre Sissingue Women’s Association for farming Operator training with mining contractor New water well at Fimbiasso 13
Slide 14: Government Relations
For personal use only Government Relations • Strong support from Ministry of Mines and Geology • Ministry in Abidjan • Regional Office in Boundiali • All necessary operation permits and authorizations granted • Explosives magazine ready and awaiting final permit • Mahale exploitation permit pending
Slide 15: Support Services
For personal use only Support Services Achievements in Q1 • ~240 airport shuttles with no major incidents • 85% camp satisfaction survey • 4WD training completed • Monthly themed evenings at camp • Launched Sissingue Annual Sports Festival ATS – Camp Services contractor • 59% of supply from local co
Slide 16: FY 2019 Q1 Production Summary
For personal use only FY 2019 Q1 Production Summary March 2018 June 2018 Calendar 2018 Parameter Unit Sept 2018 Quarter Quarter Quarter Year to 30 Sept 18 Gold Production2 & Sales Total material mined: tonnes 1,572,756 1,500,253 993,670 4,066,679 Total ore mined tonnes 477,113 514,016 285,405 1,276,
Slide 17: Mining Q1 Production Summary
For personal use only Mining Q1 Production Summary Poor production in Q1 due to a combination of: • Wet weather • Mining oxide ore only (no fresh rock) • Insufficient HG ore stockpiled 17
Slide 18: Plant Production Summary Q1
For personal use only Plant Production Summary Q1 Jul - 18 Aug - 18 Sep - 18 Qtr 1 Ore Milled t 118,293 121,713 95,751 335,757 Ore Grade g/t 1.90 1.86 1.35 1.73 Recovery % 96.1 96.0 94.4 95.7 Au in Feed oz 7,229 7,287 4,171 18,686 Au Produced oz 6,947 6,998 3,937 17,882 • Budget Downgraded for rainy
Slide 19: Business Improvement
For personal use only Business Improvement Key Projects: Business improvement pipeline $2.8M • Mining Initiatives Value <100k 200k 300k 400k 500k 600k 700k 800k 900k Status • Direct tip to crusher, extend ROM pad: Blend ore Direct tip to crusher In Progress Design $0.8M Use Edikan mill balls in Fres
Slide 20: Reconciliation Project to Date
For personal use only Reconciliation Project to Date • Ounces reconcile to within 2% against new reserve model (within 5% of old model) • Mill generally seeing higher grade • Probably due to very high grades locally • Mill lower grade where reserve model >3-4g/t • Sample recovery by grade control po
Slide 21: F5 Recon – Mill to Reserve
For personal use only F5 Recon – Mill to Reserve 1.60 1.50 1.40 1.30 1.20 1.10 1.00 0.90 0.80 0.70 0.60 Jan-18 Mar-18 May-18 Jul-18 Sep-18 Tonnes Grade Ounces • Tonnage reconciliation good • More tonnes at lower grade initially – influence of grade from depth • Mill higher grade than reserve model M
Slide 22: Sissingué Gold Mine Life of Mine Plan Nov 2018
For personal use only Sissingué Gold Mine Life of Mine Plan Investor Presentation Nov 2018 Source: “Perseus Mining Updates Resources, Reserves and Life of Mine Plan at Sissingué” dated 29 October 2018
Slide 23: Overview
For personal use only Overview Solid Sissingué Life of Mine which is: Economically very attractive – US$756/oz all-in site cost and US$165M after tax cashflow Technically robust – Simple processing circuit, selective mining with small equipment, robust resource and reserve Modest capital – Maj
Slide 24: Snapshot of Outcomes
For personal use only Snapshot of Outcomes Parameter Units Value • 4.6 Year Mine Life Waste + Ore Mined Mt 22.7 • LOM Ounce Production 78 koz/yr with 86 koz/yr in Ore processed Mt 6.0 first 3 years Head Grade g/t 2.0 • All in site cost US$756/oz LOM Weighted Average Recovery % 90.6 Sustaining Capita
Slide 25: Summary of Changes Since Previous LOM
For personal use only Summary of Changes Since Previous LOM • New MIK model • Mining cost increase – Labour, fuel, rehandle, grade control • Oxide throughput rate slightly lower, recovery higher • Processing costs higher – Labour, power (fuel) • Runtime slightly lower (wet weather impact) • G&A high
Slide 26: Updated Resource Modelling
For personal use only Updated Resource Modelling • Additional drilling for Sissingué satellite pits (pitlets) • Increased proportion of Measured Resource – Assessment of drill spacing • Constrained by new US$1,800 optimisation shell – Smaller shell, increased costs • New model calibrated to Mill ove
Slide 27: Sissingué Resource Estimate (Aug 2018)
For personal use only Sissingué Resource Estimate (Aug 2018) 7, 8, 9 Deposit Measured Resources Indicated Resources Measured + Indicated Deposit Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Type Mt g/t koz Mt g/t koz Mt g/t koz Sissingué 1, 2, 3 Open Pit 7.2 1.7 402 0.5 1.4 22 7.7 1.7
Slide 28: Sissingué Reserve Estimate (Aug 2018)
For personal use only Sissingué Reserve Estimate (Aug 2018) 1, 2, 6 Deposit Deposit Proved Probable Proved + Probable Type Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Mt g/t koz Mt g/t koz Mt g/t koz Sissingué3,5 Open pit 4.3 2.1 289 0.1 2.1 10 4.4 2.1 299 Fimbiasso East4,5,7 Open pi
Slide 29: Sissingué LOM Ore Sources
For personal use only Sissingué LOM Ore Sources 29
Slide 30: Sissingué Pit Design
For personal use only Sissingué Pit Design • Main pit redesigned with ramp in east and west walls to reduce risk • Pitlets practically mineable, albeit at high cost, assists with blending 30
Slide 31: Ore Reserve
For personal use only Ore Reserve 1808 MIK Model 201806 LOM Schedule Tonnes Au g/t Au oz Tonnes Au g/t Au oz • New resource model Sissingué SIS EOM1805 4,763,985 2.1 317,053 4,066,869 2.2 290,788 June Planned Reserve EOM June 161,596 4,602,389 1.7 8,696 2.1 308,357 161,596 3,905,272 1.7 8,696 2.2 28
Slide 32: Selected LOM Options
For personal use only Selected LOM Options • Fimbiasso mined at the end of the mine life • Pitlets mined sequentially in consecutive dry seasons • Frontline digging units supplemented with smaller loading fleet • Ramp included in West Wall of Stage 3 Pit • Maximise of financial returns / Minimise op
Slide 33: LOM Schedule – Expit Movement
For personal use only Thousands tonnes 100 200 300 400 500 600 700 800 900 0 Sep-18 Nov-18 Jan-19 SIS_STG1 Mar-19 May-19 Jul-19 SIS_STG2 Sep-19 Nov-19 Jan-20 SIS_FINAL Mar-20 May-20 Jul-20 SIS_SS1 LOM Schedule – Expit Movement Sep-20 SIS_SS2 Nov-20 Jan-21 Expit Movement Mar-21 May-21 SIS_SS3 Jul-21
Slide 34: LOM Schedule – Mill Feed
For personal use only Thousands tonnes - 20 40 60 80 100 120 140 160 180 Sep-18 Nov-18 Jan-19 Mar-19 May-19 Jul-19 Sep-19 LOM Schedule – Mill Feed Nov-19 Jan-20 Mar-20 May-20 Jul-20 FEED Sep-20 Nov-20 Mill Feed Jan-21 Grade Mar-21 May-21 Jul-21 Sep-21 Nov-21 Jan-22 Mar-22 May-22 Jul-22 Sep-22 Nov-22
Slide 35: LOM Schedule – Gold Production
For personal use only LOM Schedule – Gold Production 35
Slide 36: Exploration Update Nov 2018
For personal use only Exploration Update Investor Presentation Nov 2018
Slide 37: Côte d'Ivoire Exploration Projects
For personal use only Côte d’Ivoire Exploration Projects Sissingué Granted Permits Applications 37
Slide 38: The Syama-Boundiali Belt
For personal use only The Syama-Boundiali Belt 38
Slide 39: Sissingué: Q1 Aircore Drilling Results
For personal use only Sissingué: Q1 Aircore Drilling Results • Augering returned significant (>100ppb) bottom hole Au values from Papara-Tiongoli. • AC follow-up returned significant and encouraging grades and intercepts. o Papara North: – 4m@9.00g/t and 3m@2.34g/t o Tiongoli: – 4m @ 5.89g/t and 28m
Slide 40: Papara North Aircore Drilling
For personal use only Papara North Aircore Drilling 40
Slide 41: Tiongoli Aircore Drilling
For personal use only Tiongoli Aircore Drilling Intrusive? 28m@28.4g/t Intrusive? 41
Slide 42: Zanikan Aircore Drilling
For personal use only Zanikan Aircore Drilling 1138220mN 1138120mN 1138020mN Background Image: RTP-1VD magnetics 42
Slide 43: Zanikan Aircore Drilling
For personal use only Zanikan Aircore Drilling 43
Slide 44: Mahalé: Fimbiasso South Aircore Drilling
For personal use only Mahalé: Fimbiasso South Aircore Drilling • Mineralisation similar to that found at the Fimbiasso East and West deposits. • Associated with magnetite alteration on contact between Bélé Granite and basalts. • Extends over at least 300m; open along strike in both directions. • Pos
Slide 45: For personal use only
For personal use only ena MINING COTE D’ VOIR’