St. Barbara Ltd. · ASX:SBM
St. Barbara — H1 FY22 Earnings Presentation
38 slides from St. Barbara's earnings presentation, Feb 23, 2022
Slide 1: Briefing Book
> 4 stBarbara Briefing Book
Slide 2: Disclaimer
2 Disclaimer This presentation has been prepared by St Barbara Limited (“Company”). The material contained in this presentation is for information purposes only. This presentation is not an offer or invitation for subscription or purchase of, or a recommendation in relation to, securities in the Com
Slide 3: A growing gold company with a global outlook
3 A growing gold company with a global outlook Three operations with pathway to greater than 10 years of operating life
Slide 4: Our sustainability framework underpins our business
4 Our sustainability framework underpins our business
Slide 5: We are taking action across our sustainability commitments
We are taking action across our sustainability commitments Safety Empowered People Stronger Respecting the Growing Always Diverse Teams Communities Environment Sustainably Target is Zero Harm We are the only mining Delivering on action Carbon neutral by Growing our business TRIFR1 - 3.9 in company t
Slide 6: Safety always
6 Safety always TOTAL RECORDABLE INJURY FREQUENCY RATE (TRIFR)1 5.0 3.9 Safety 3.6 3.0 Always 2.7 2.1 Zero harm is always our target. Zero harm to all people as we responsibly operate our assets to their full potential. This focus FY18 FY19 FY20 FY21 Q1 Q2 on safety guides FY22 FY22 everything we do
Slide 7: 2022 Bloomberg Gender Equality Index (GEI) Inclusion
7 2022 Bloomberg Gender Equality Index (GEI) Inclusion “Inclusion in the GEI matters to us because it brings transparency to gender-related practices and policies at publicly listed companies thereby increasing the breadth of environmental, social and governance data available to investors. We are p
Slide 8: St Barbara's three uplifts progressing as planned
8 St Barbara’s three uplifts progressing as planned Three stages of uplift for St Barbara FY22 + FY21 - 22 Uplift 3: Grow through acquisitions and exploration FY20 - 21 Acquire assets with a scalable Uplift 2: Execute brownfield production outlook and capture Uplift 1: Deliver Building expansion pro
Slide 9: To deliver these uplifts we have defined the priorities and capabilities required
9 To deliver these uplifts we have defined the priorities and capabilities required Uplift 2: Uplift 3: Uplift 1: Execute brownfield Grow through acquisitions Deliver Building Brilliance in operations and extend mine life expansion projects and exploration Our Operate safely and Empower our Operate
Slide 10: Aspirational production of ~600kozpa
10 Aspirational production of ~600kozpa 700 600 1. Leonora: aspirational production of ~270kozpa once the proposed 2.1Mtpa processing facility is installed comprising 180kozpa from Gwalia Underground and Aspirational Gold Production (koz) 500 90kozpa from near mine and/or acquired properties ~270 40
Slide 11: Key achievements in H1 FY22
11 Key achievements in H1 FY22 • Group gold production steady at 132,524 oz • All-in Sustaining Costs1 of A$1,539/oz • $42M cash contribution from operations after sustaining and growth capital • Leonora Province Plan progress • Simberi DSTP2 complete to enable January restart • Reserves and Resourc
Slide 12: Leonora Operations
12 Leonora Operations AISC FY22 Guidance (A$/oz) Leonora 1,513 1,456 1,933 1,611 1,568 • Production of between 180 to 200koz Operations • AISC of A$1,605 to A$1,720/oz PRODUCTION (koz) • Sustaining capex of A$65 to A$75M • Growth capex of A$10 to A$15M 91 88 100 (previously A$15 to A$20M) 80 65 H1 F
Slide 13: Turning around operational performance at Gwalia
13 Turning around operational performance at Gwalia 1,600 • FY16 to FY18 – Declining performance Ore and Waste movement to 1,400 1,200 • Fewer tonnes moved to surface surface (kt) 1,000 • Limited development metres 800 600 • Waste material stored underground 400 • FY19 to FY20 – Turnaround 200 • Mov
Slide 14: Accelerating Leonora Province Plan
14 Accelerating Leonora Province Plan 1. Tower Hill – 600koz increase in mineral resources 2. Expanding processing plant from 1.4 to 2.1mtpa 3. Installing refractory processing capability 4. Planned acquisition of Bardoc Gold • Two mines ready for development • Supported by rail and road infrastruct
Slide 15: Tower Hill grows Mineral Resource by 600koz
Tower Hill grows Mineral Resource by 600koz Plan view of Tower Hill deposit Long section view of Tower Hill deposit Change in Indicated and Inferred Mineral Resource Million Tonnes Grade Million Ounces (g/t) Previous Tower Hill Underground (as at 30 June 2021) 5.1 3.8 0.6 Current Tower Hill Open Pit
Slide 16: Creating a unique processing hub
Creating a unique processing hub Increasing processing capacity to 2.1Mtpa and adding refractory capacity N Free Milling Refractory ROM Pad ROM Pad Additional 3-stage CIL Tank Crushing New Ball Tails (~95% Tailings Mill Refractory Flotation mass flow) Ball Milling Storage 2.1 Mtpa Facility Albion Fr
Slide 17: Planned acquisition of Bardoc Gold
Planned acquisition of Bardoc Gold1 Railway from Bardoc tenements to Leonora About Bardoc Gold Bardoc tenement overview • 3.1Moz Mineral Resources & 1 1.0Moz Ore Reserves Aphrodite 25.5Mt @ 2.0g/t for 1.7Moz • Large contiguous tenement package of Grafters 40 tenements covering an area of 319kt @ 1.3
Slide 18: Two new underground mines ready for development
18 Two new underground mines ready for development Zoroastrian underground mine Aphrodite underground mine Total Mineral Resources1 1.6Mt @ 4.0 g/t Au 6.7Mt @ 3.6 g/t Au Capital cost to develop2 Estimated A$15M Estimated A$30M Ore type Free-mill Refractory Mining method Longhole open stoping Longhol
Slide 19: Potential new shallower mining front at Gwalia
19 Potential new shallower mining front at Gwalia
Slide 20: Simberi Operations
20 Simberi Operations Simberi Operations AISC (A$/oz) 2,621 1,717 1,863 1,543 PRODUCTION (koz) 50 54 44 30 H1 FY20 H2 FY20 H1 FY21 H2 FY21 H1 FY22 Ore Reserve 2.1Moz Reserve Grade 1.8g/t Mineral Resource 4.2Moz Resource Life3 26 years # Employees4 753 1. US$1,150 to US$1,330 per ounce at AUD/USD of
Slide 21: Sulphide project – updated study expected in April 2022
21 Sulphide project – updated study expected in April 2022 FEED Study to update Feasibility Study Forecast Gold Production (koz) highlights below: • Initial capital expenditure of US$170 M • Payback period of ~3 years • Life of mine averages • Gold production of ~160 koz per annum • AISC of US$896 p
Slide 22: The Simberi Sulphide Project progressing towards FID
22 The Simberi Sulphide Project progressing towards FID Q2 Dec April Q2 Dec FY22 FY22 FY24 • Social and Environmental Impact • Front End, Engineering and • First sulphide ore expected Statement review has been Design work expected to be completed by the Conservation completed and submitted to Board
Slide 23: Atlantic Operations
23 Atlantic Operations AISC FY22 Guidance (A$/oz) Atlantic 1,447 887 968 1,002 1,062 • Production of between 55 to 65koz Operations (previously 65 to 85koz) PRODUCTION • AISC of A$1,650 to A$1,850/oz1 (koz) (previously A$1,305 to A$1,515/oz2) • Sustaining capex of A$10 to A$15M 51 55 54 47 (previous
Slide 24: Atlantic Projects overview – Beaver Dam & Fifteen Mile Stream
24 Atlantic Projects overview – Beaver Dam & Fifteen Mile Stream
Slide 25: Atlantic growth projects
25 Atlantic growth projects Beaver Dam Project Fifteen Mile Stream Project • Information Request Round 3 received in • Target completion of Feasibility Study in January 2022 Q1 September FY23 • Environmental Impact Statement (EIS) • Environmental sampling and modelling is approval targeted by Septem
Slide 26: Profitable despite Simberi being offline
26 Profitable despite Simberi being offline Cash flow from Underlying EBITDA1 Underlying NPAT1 (A$ M) (A$ M) operating activities (A$ M) 103 15 19 EBITDA Margin1 EPS Gearing ratio (%) (Underlying, A$ cents ) (Debt/Equity)2 31 2 13% 1. Non-IFRS financial measures, the details of these are set out in
Slide 27: Strong underlying profit improvement at Leonora offset by Simberi
27 Strong underlying profit improvement at Leonora offset by Simberi A$ M 68 40 (84) 10 11 6 15 (2) (8) (2) (24) H1 FY21 Gross Gross Gross Exploration Corporate D&A Finance & Other Income Tax H1 FY22 Profit Profit Profit Costs & FX Expense Leonora Simberi Atlantic Royalties
Slide 28: Strong cashflow generated from two operations
28 Strong cashflow generated from two operations A$ M 100 37 (33) (62) (19) 133 $42M cash contributions from operations after (34) sustaining and growth capex 44 (23) 94 (22) (13) (14) Cash Leonora Simberi Atlantic Growth Exploration Corporate Income Investments Dividends Other Financing Cash Jun 20
Slide 29: Indicative operating cost breakdown by site
29 Indicative operating cost breakdown by site Leonora Simberi Atlantic Shipping Equipment Hire Reagents 4% Reagents 14% 5% Contractors 9% Contractors 19% 18% Other Other Energy 7% 9% 4% Reagents Contractors 2% 38% Energy Other 8% Energy 10% Materials 13% 16% Materials Equipment Hire 28% 7% Material
Slide 30: Funding growth through debt and operating cash flow
Funding growth through debt and operating cash flow1 Capital projects estimates • Simberi Sulphide Project: ~US$170M FY22 to FY24 • Beaver Dam mine construction: ~A$117M FY23 to FY24 • Zoroastrian mine construction: ~A$15M FY23 to FY242,3 Project development • Aphrodite mine construction: ~A$30M FY2
Slide 31: Delivering St Barbara's transformation
31 Delivering St Barbara’s transformation Bardoc acquisition announced Potential new mining front - Old Gwalia South Plans to expand Leonora processing plant Advancing Tower Hill, Harbour Lights and Trevor Bore Simberi back in production
Slide 32: Consolidated production, costs and guidance summary
32 Consolidated production, costs and guidance summary Production Summary Q2 Dec Q3 Mar Q4 Jun Year Q1 Sep Q2 Dec Guidance Consolidated FY21 FY21 FY21 FY21 FY22 FY22 FY22 St Barbara’s financial year is Qtr to Qtr to Qtr to Year to Qtr to Qtr to Year to 1 July to 30 June 31 Dec 2020 31 Mar 2021 30 Ju
Slide 33: Hedging summary as at 31 December 2021
33 Hedging summary as at 31 December 2021 Financial Volume Price Type Delivery Delivery Year Ounces $/oz schedule Jan 22 to Dec 22 48,010 C$2,050 European call options Jan 2022 to Dec 2022 Monthly Jan 22 to Jun 22 60,000 A$2,465 Forwards Jan 2022 to Jun 2022 Monthly
Slide 34: Ore Reserves Summary at 31 December 2021
Ore Reserves Summary at 31 December 2021 Proved Probable Total Tonnes Gold Ounces Tonnes Gold Ounces Tonnes Gold Ounces Project ('000) (g/t) ('000) ('000) (g/t) ('000) ('000) (g/t) ('000) Gwalia, (WA) 1,543 7.3 361 11,318 4.8 1,761 12,862 5.1 2,121 Simberi Oxide, (PNG) 2,718 1.2 108 6,244 1.1 222 8,
Slide 35: Mineral Resources Summary at 31 December 2021
Mineral Resources Summary at 31 December 2021 Measured Indicated Inferred Total Tonnes Gold Ounces Tonnes Gold Ounces Tonnes Gold Ounces Tonnes Gold Ounces Project ('000) (g/t) ('000) ('000) (g/t) ('000) ('000) (g/t) ('000) ('000) (g/t) ('000) Gwalia Deeps, (WA) 3,776 5.8 704 18,946 5.7 3,492 2,485
Slide 36: Competent persons statement
36 Competent persons statement Exploration Results The information in this presentation that relates to Exploration Results is based on information compiled by Dr Roger Mustard, who is a Member of The Australasian Institute of Mining and Metallurgy. Dr Mustard is a full-time employee of St Barbara a
Slide 37: Investor Relations enquiries
Investor Relations enquiries Chris Maitland Head of Investor Relations T: +61 3 8660 1914 M: +61 477 120 070 E: info@stbarbara.com.au Scheduled ASX Announcements 26 April 2022 Q3 March 2022 Quarterly Report
Slide 38: St Barbara
StBarbara