Sandfire Resources Ltd · ASX:SFR
Sandfire Resources — Diggers and Dealers Mining Forum 2014
17 slides from Sandfire Resources's conference presentation, Aug 4, 2014
Slide 1: A premier high-grade Australian copper-gold producer
For personal use only A premier high-grade Australian copper-gold producer Diggers and Dealers Mining Forum – August 2014 1
Slide 2: Sandfire Resources
Sandfire Resources A premier high-grade, high margin Australian copper-gold producer Consistent, high-grade, Strong cash flow, low For personal use only low-cost production debt • +$1 billion in revenue to date: • High margins, strong ~140,000t Cu; ~80,000oz Au operating cash flows • FY 2014 product
Slide 3: Strong Metal Production at Bottom Quartile Cash Costs
Strong Metal Production at Bottom Quartile Cash Costs DeGrussa Copper Mine production, FY13-FY15 and 2014 cash cost curve For personal use only Weighted Average $1.58 FY14 C1 cash cost US$1.18/lb 3
Slide 4: Strong Production, Revenue and Cash Flow
Strong Production, Revenue and Cash Flow Key production and financial metrics For personal use only DeGrussa is a high-margin operation with cash margins of ~50% * June 2013 Quarter 4
Slide 5: Corporate and Financial Overview
Corporate and Financial Overview Capital structure, market capitalisation and debt Key Data For personal use only Issued Capital Stock Market Index Market Cap. Cash & Deposits Debt 155.6 S&P ~$1 $58 $160 MILLION ASX BILLION MILLION MILLION (Project and Finance Facility Shares – 8.1M Options 200 (at
Slide 6: Overview of Key Assets
Overview of Key Assets Exposure to prospective mineral provinces: focus on Tier-1 project opportunities For personal use only • Dominant strategic position in WA’s Bryah Basin – emerging VMS province • Portfolio of high-leverage exploration joint ventures in Australia’s major mineral provinces: • Ga
Slide 7: Sandfire – DeGrussa Copper Mine Snapshot
Sandfire – DeGrussa Copper Mine Snapshot A premier copper-gold mine producing strong and consistent operating cash flows For personal use only DeGrussa Project – Key Facts 1.5Mtpa via long-hole open stoping, Mining 22km of underground development completed 10.5Mt @ 4.9% Cu and 1.8g/t Au Underground
Slide 8: DeGrussa Mine – Overview of Underground Development
DeGrussa Mine – Overview of Underground Development Underground mine performing strongly with ore production exceeding 1.5Mtpa Underground mining rate of For personal use only • 1.5Mtpa exceeded in June Quarter • Mine remains in balance between production and back-fill • C4/5 Decline development on
Slide 9: Processing and Production
Processing and Production DeGrussa Concentrator operating well with optimisation programs continuing For personal use only • Copper recoveries currently averaging 90%, in line with guidance, forecast to increase to 91-92% • Gold recoveries averaging 45% • Improvement projects currently being impleme
Slide 10: Near-Mine Exploration: Gathering Momentum
Near-Mine Exploration: Gathering Momentum Underground diamond drilling continuing throughout 2014 targeting resource additions and repeats For personal use only • C4 resource definition drilling (Central and Eastern) completed • Potential new positions identified between Conductor 4 and 5 – drilling
Slide 11: Summary – Key Organic Growth Projects on our Doorstep
Summary – Key Organic Growth Projects on our Doorstep Multiple organic growth options within an emerging VMS belt For personal use only SULPHIDE COPPER OPPORTUNITIES OXIDE COPPER OPPORTUNITIES • Additional VMS discoveries – Doolgunna Project and Talisman JV • Oxide copper stockpiles of 3.1Mt @ 1.5%
Slide 12: Sandfire – Dominant Position in an Emerging VMS Province
Sandfire – Dominant Position in an Emerging VMS Province Consolidating a strong position in Western Australia’s emerging Bryah Basin VMS copper-gold province For personal use only • Only operating base metals processing plant in the region (1.5Mtpa DeGrussa Concentrator) • Outstanding organic growth
Slide 13: Talisman Joint Venture – Unlocking New VMS Discoveries
Talisman Joint Venture – Unlocking New VMS Discoveries New phase of exploration underway including surface and down-hole EM surveys and drilling For personal use only • Sandfire earning up to 70% of Talisman’s Springfield Project • $15M expenditure over 5.5 years • First phase of exploration underwa
Slide 14: Australian Regional Exploration
Australian Regional Exploration Extensive portfolio with a focus on discovering Tier One deposits Developing high-quality, asset-driven exploration For personal use only • opportunities in Australia • Focus outside Doolgunna is on IOCG copper-gold, porphyry-style copper-gold and lead-zinc-silver • C
Slide 15: A premier Australian copper-gold producer
For personal use only Quality and consistency High grades, high margins, low costs Strong cash flows Low debt Organic growth Business development Shareholder returns A premier Australian copper-gold producer 15
Slide 16: Appendix: Important Information and Disclaimer
Appendix: Important Information and Disclaimer Competent Person’s Statement and Forward-Looking Statements Forward-Looking Statements For personal use only • This presentation has been prepared by Sandfire Resources NL. This document contains background information about Sandfire Resources NL curren
Slide 17: Appendix: Competent Person's Statements
Appendix: Competent Person’s Statements Competent Person’s Statement – Mineral Resources and Open Pit Ore Reserves For personal use only • The information in this report that relates to Mineral Resources and Open Pit Ore Reserves is based on information compiled by Mr. Ekow Taylor who is a Member of
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