Slide 1: 2018 Investor Day
For personal use only 2018 INVESTOR DAY
Slide 2: Investor Day Agenda
INVESTOR DAY AGENDA 11.20am – 1.00pm Session Two For personal use only Craig Fawcett Andrew Millar Richard Hay Jason Floyd Jamie Coad General Manager General Manager General Manager General Manager General Manager Cowal Mungari Mt Carlton Cracow Mt Rawdon operation operation operation operation oper
Slide 3: Melbourne Cup Video
For personal use only 20 18 IN VE STO R DAY MELBOURNE CUP VIDEO CLICK HERE
Slide 4: Cowal Operation
2018 INVESTOR DAY COWAL OPERATION For personal use only C R A I G FAW C E T T - G E N E R A L M A N AG E R
Slide 5: Evolution's Cornerstone
For personal use only EVOLUTION’S CORNERSTONE Sustainable, reliable, low cost production 3 year net mine cash flow of A$431M Developing a pathway to increase production to >300kozpa Exploration success delivering 10+ years organic mine life extensions Underexplored region offers immense untapped pot
Slide 6: Cowal – a world class deposit: Site Overview
Cowal – a world class deposit SITE OVERVIEW For personal use only Approximately 40km north-east of West Location Wyalong in New South Wales, Australia Mining method Conventional open pit Minerals Gold Structurally hosted epithermal to mesothermal Mineralisation type sheeted veins and shear hosted lo
Slide 7: FY18 Performance and FY19 Guidance
FY18 PERFORMANCE FY19 GUIDANCE For personal use only Gold production 258koz Gold production 240 – 250koz AISC A$877/oz AISC A$975 – A$1,075/oz Tonnes processed 7,795kt Sustaining capital A$55 – A$60M Grade processed 1.25g/t Au Major capital A$90 – A$100M Operating mine cash flow A$226M Resource defi
Slide 8: Sustainability
SUSTAINABILITY Total Recordable Injury Frequency (TRIF) 20 For personal use only SAFETY 10 TRIF reduced by 55% to 3.3 as at June 2018 Focus on: 0 Cultural safety COMMUNITY Total local procurement spend of A$28M p.a. ~75% of employees are permanent residents ~6% of employees are Indigenou
Slide 9: Modification Application
MODIFICATION 14 APPLICATION For personal use only Proposed layout of Integrated Waste Landform (IWL) Integrated Waste Landform (IWL) joining with current waste dump and surrounding TSF Proposed tailings solution to support plant expansion to 9.8Mtpa Footprint contained within existing Mining Lea
Slide 10: Value Adding Projects
VALUE ADDING PROJECTS For personal use only A significant investment in Cowal’s future Stage H cutback on track Planned material movement achieved in FY18 Major capital stripping scheduled to be completed in FY21 Float Tails Leach project Stage H cutback On time and on budget Expected to
Slide 11: Untapped Potential
UNTAPPED POTENTIAL For personal use only E42 Reserves 3.0Moz Resource 4.1Moz Past Production 2.8Moz Total E42 Endowment >6Moz December 2017 Resource 5.8Moz Au Reserves 3.0Moz Au 67
Slide 12: Preliminary GRE46 UG and In-Wall Ramp
PRELIMINARY GRE46 UG AND IN-WALL RAMP For personal use only New high-grade intercepts from infill drilling include: Hole ID Intercept *downhole width From 1535DD331B 32m@2.63g/t 753m 1535DD331C 10m@1.6g/t 747m 1535DD331D 24m@1.71g/t 712m 28m@3.82g/t 766m New high-grade infill 5m@16.44g/t 805m dril
Slide 13: E41 Open Pit and Underground Potential
E41 OPEN PIT AND UNDERGROUND POTENTIAL For personal use only 69
Slide 14: Key Takeaways
KEY TAKEAWAYS For personal use only Current Ore Reserves and Mine Plan to 2032 Underground development on GRE46 to commence in June 2019 half year Planning underway to achieve a consistent production rate in excess of 300kozpa for 20+years 70
Slide 15: Mungari Operation
2018 INVESTOR DAY MUNGARI OPERATION For personal use only A N D R E W M I L L A R – G E N E R A L M A N AG E R
Slide 16: Unlocking the Potential
U N LO C K I N G T H E P OT E N T I A L For personal use only 10 year mine life Reliable low cost mill Strategic footprint in world class gold district Opportunity for high-grade discoveries to increase production, lower costs and extend mine life Vastly improved cash flow expected in FY19 72
Slide 17: Site Overview
73 SITE OVERVIEW For personal use only 600km east of Perth, 20km west of Location Kalgoorlie, Western Australia Kalgoorlie Mining method White Foil: open-pit Frog’s Leg: underground Minerals Gold Mineralisation type Quartz and stockwork veins Process method 3-stage crush and conventional CIL Plant c
Slide 18: FY18 Performance and FY19 Guidance
FY18 PERFORMANCE FY19 GUIDANCE For personal use only Gold production 118koz Gold production 125 – 135koz AISC A$1,181/oz AISC A$1,050 – A$1,100/oz Tonnes processed 1,654kt Sustaining capital A$10 – A$15M Grade processed 2.36g/t Au Major capital A$0 – A$5M Operating cash flow A$71M Resource definitio
Slide 19: Embracing Innovation
EMBRACING INNOVATION Sagging in backs For personal use only In progress Un-constraining the crushing and leach circuits to increase throughput (1.9 – 2.0Mtpa) Heap leaching studies Floor heave Pillar damage Ore sorting – to deliver highest grade to plant Data analysis of seismicity to identi
Slide 20: Sustainability
SUSTAINABILITY For personal use only SAFETY Significant reduction in TRIF under Evolution ownership from 35 to 8.5 Operational personnel seconded to safety; ownership of safety; focus on small things; training commitments COMMUNITY Strong local community support: e.g. Hannans Primary School ad
Slide 21: Unlocking the Potential
UNLOCKING THE POTENTIAL For personal use only Ore Reserves and Mineral Resources provide solid 10 Objective year base load production platform to build on Increase production to 150,000oz per annum Current 10 year mine plan ore sources Frog’s Leg underground White Foil open pit and undergrou
Slide 22: Lift in Cash Flow
LIFT IN CASH FLOW For personal use only Investment in White Foil cutback to deliver increased cash flow FY19 and FY20 Strip ratio reducing to 3.3:1 (FY18: 18.8:1) Stage 3 78
Slide 23: Castle Hill
CASTLE HILL For personal use only Evolution 100% ownership and unfettered access to the Castle Hill deposit – termination of Norton agreement 25km from Mungari processing plant Mineral Resources of 695,000 ounces and Ore Reserves of 236,000 ounces1 Castle Hill project Kiora, Mick Adam and
Slide 24: Ora Banda Camp
ORA BANDA CAMP For personal use only Focused exploration program prioritising targets with potential to deliver high grade Recent drilling results illustrating grade potential in the well endowed Ora Banda camp – ~3Moz historic production and resources at >3g/t Au Several areas ineffectively e
Slide 25: Key Takeaways
KEY TAKEAWAYS For personal use only 10 year mine life Reliable low cost mill Strategic footprint in a world-class gold district Opportunity for high-grade discoveries to increase production, lower costs and extend mine life 81
Slide 26: Mt Carlton Operation
2018 INVESTOR DAY MT CARLTON OPERATION For personal use only R I C H A R D H AY – G E N E R A L M A N AG E R
Slide 27: Exceptional Returns
EXCEPTIONAL RETURNS For personal use only Three year average net mine cash flow A$101 million Three year average ROIC of 34% One of the highest grade open pit gold mines in the world Innovative culture driving impressive performance Current mine life to FY25 83
Slide 28: Site Overview
SITE OVERVIEW For personal use only 150km southeast of Townsville, Location Queensland Mining method Open pit Minerals Gold, silver, copper Mineralisation type High-sulphidation epithermal Process method Crush-grind-gravity-flotation Plant capacity 800 – 840ktpa Recovery 90 – 91% Ore Reserves1 4.50M
Slide 29: FY18 Performance and FY19 Guidance
FY18 PERFORMANCE FY19 GUIDANCE For personal use only Gold production 112koz Gold production 95 – 105koz AISC A$535/oz AISC A$670 – A$720/oz Tonnes processed 801kt Sustaining capital A$7.5 – A$12.5M Grade processed 5.61g/t Au Major capital A$25 – A$30M Operating cash flow A$140M Resource Definition A
Slide 30: Sustainability
SUSTAINABILITY Total Recordable Injury Frequency (TRIF) 20 For personal use only Safety 10 TRIF reduced from 8.2 to 3.9 in FY18 Critical Controls and Safety Culture focus 0 Environment ISO14001 Certification August 2018 Environmental enhancement project - Kalamia Creek Burdekin waterways i
Slide 31: Innovative Culture
INNOVATIVE CULTURE M A I N TA I N I N G A LOW CO ST O P E R AT I O N For personal use only Achieved Successful commercialisation of a refractory high-sulphidation epithermal gold-silver-copper deposit Gravity circuit increased overall recoveries Improved concentrate thickener performance Ope
Slide 32: Mine Life Extensions
MINE LIFE EXTENSIONS N Open pit For personal use only Open pit and underground Stage 3 - current Finalising assessment of a Stage 4 open pit with an underground expected to commence in Q1FY20 Underground brings forward mining of high-grade ore N Maintain current owner miner model for open pit
Slide 33: Value Proposition
VALUE PROPOSITION For personal use only Proven innovative culture maintaining focus on maximising value Continued high cash margin operation Mine life extensions 89
Slide 34: Cracow Operation
2018 INVESTOR DAY CRACOW OPERATION For personal use only J A S O N F LOY D – G E N E R A L M A N AG E R
Slide 35: Leading Innovation
LEADING INNOVATION For personal use only Strong history of reserve replacement Consistent operational performance Three year average net mine cash flow ~A$40 million Current mine life to 2023 Exciting exploration potential Motivated team unlocking value through innovation 91
Slide 36: Site Overview
SITE OVERVIEW For personal use only 500km north-west of Brisbane, Location Queensland Mining method Underground – open stoping Minerals Gold and silver Mineralisation type Low-sulphidation epithermal Plant capacity 550ktpa Process method Conventional crush-grind-CIP Cracow Ore Reserves vs Depletion
Slide 37: FY18 Performance and FY19 Guidance
FY18 PERFORMANCE FY19 GUIDANCE For personal use only Gold production 90koz Gold production 80 – 85koz AISC A$1,181/oz AISC A$1,250/oz – A$1,300/oz Tonnes processed 529kt Sustaining capital A$17.5M – A$22.5M Grade processed 5.63g/t Au Major capital A$10M – A$15M Operating cash flow A$46M Resource def
Slide 38: Sustainability
SUSTAINABILITY Total Recordable Injury Frequency (TRIF) 30 For personal use only SAFETY 20 TRIF reduced from 25.8 to 14.0 Significant focus in FY18 on fatigue management 10 COMMUNITY High approval rating for social licence to operate from 0 community stakeholders – 2018 Stakeholder Perception
Slide 39: Ongoing Innovation
ONGOING INNOVATION For personal use only Fast First and Early Adopter Partnered with Outotec on world-first application of a high-intensity grind mill resulting in a 2% increase in recovery Partnered with Minnovare to develop the Azi Aligner– early adopter Improved drilling accuracy Up to 50
Slide 40: Exciting Exploration Potential
EXCITING EXPLORATION POTENTIAL For personal use only 150,000 ounces added to Ore Reserves1 in December 2017 Key focus areas for further resource growth – Killarney, Sterling Approximately 20% of annual production sourced from outside Mineral Resources and Ore Reserves 1. Prior to mining deplet
Slide 41: Exciting Exploration Potential
EXCITING EXPLORATION POTENTIAL For personal use only KLU065 8.4@15.8 Killarney KLU070 1.0@5.9 KLU067 1.0@14.5 KLU057 1.6@7.4 1. This information is extracted from the report entitled “June 2018 Quarterly Report” released to the ASX on 19 July 2018 and available to view on www.evolutionmining.com.au.
Slide 42: Exciting Exploration Potential
EXCITING EXPLORATION POTENTIAL For personal use only CNU216 2.1@12.8 CBK131 CBK330 STU004 1.3@24.7 CNU223 1.6@6.4 1.6@1.4 2.1@20.8 CNU226 0.7@4.3 STU005 1.2@2.3 100 metres Coronation ? ? Sterling ? 350 metres STU001 CNU222a CNU214 2.1@10.8 2.1@1.2 1.2@10.8 1. This information is extracted from the r
Slide 43: Key Takeaways
KEY TAKEAWAYS For personal use only Consistent operational performance and cash flow generation Track record of reserve replacement and exciting exploration potential Empowered team driving innovation 99
Slide 44: Mt Rawdon Operation
2018 INVESTOR DAY MT RAWDON OPERATION For personal use only J A M I E C OA D – G E N E R A L M A N AG E R
Slide 45: Transitioning to Cash Flow Growth
T R A N S I T I O N I N G TO C AS H F LOW G R OW T H For personal use only Over 1.5Moz gold produced since 2001 Current mine life to 2025 Talented and motivated local workforce Engaged and supportive community Potential reserve expansion 101
Slide 46: Site Overview
SITE OVERVIEW For personal use only 75km south west of Bundaberg, Location Queensland Mining method Conventional open-pit Minerals Gold and silver Mineralisation type Volcaniclastic hosted Process method Conventional crush-grind-CIL Mt Rawdon Ore Reserves vs Depletion Plant capacity 3.5Mtpa 1,500 Re
Slide 47: FY18 Performance and FY19 Guidance
FY18 PERFORMANCE FY19 GUIDANCE For personal use only Gold production 105koz Gold production 95 – 105koz Tonnes processed 3,241kt AISC A$1,000 – A$1,050/oz Grade processed 1.14g/t Au Sustaining capital A$5 – A$10M AISC A$884/oz Major capital A$25 – A$30M Operating cash flow A$69M Exploration A$0 – A$
Slide 48: Sustainability
SUSTAINABILITY 50 Total Recordable Injury Frequency (TRIF) 40 For personal use only SAFETY 30 TRIF reduced from 43.1 to 5.1 since November 2011 20 Innovation to reduce manual handling 10 Barrel Mate wins “Peoples Choice Award” – 0 Queensland Mining Industry Health and Safety 2018 COMMUNITY S
Slide 49: Potential Reserve Expansion
POTENTIAL RESERVE EXPANSION For personal use only Looking north Current resource model Ore Current Reserve Drilling Pit Design information 0m 400m 400m Area of opportunity 105
Slide 50: Innovative Culture
INNOVATIVE CULTURE For personal use only Innovations in technology Truck payload optimisation – Titan software CaBolter – underground cable bolter applied in an open pit for faster bolting Driverless drill rig – safety and cost saving benefits Barrel Mate – safety innovation developed at Mt
Slide 51: Key Takeaways
KEY TAKEAWAYS For personal use only Transitioning to cash flow growth Low cost and high margin operation Seven years mine life with growth potential Innovative culture Engaged and motivated workforce 107
Slide 52: Closing Remarks and Q&A
CLOSING REMARKS AND For personal use only Q&A
Slide 53: A Business That Prospers Through the Cycle
For personal use only A BUSINESS THAT PROSPERS THROUGH THE CYCLE High quality, low cost, long life assets Discovery success Financial discipline Strong vision, values and sense of purpose Counter-cyclical investment 109
Slide 54: Appendix
For personal use only APPENDIX
Slide 55: Evolution 2017 Gold Mineral Resources
EVOLUTION 2017 GOLD MINERAL RESOURCES EVOLUTION 2017 GOLD ORE RESERVES For personal use only Group Gold Mineral Resources – December 2017 Gold Measured Indicated Inferred Total Resource Gold Gold Gold Gold Gold Gold Gold Gold Tonnes Tonnes Tonnes Tonnes CP3 Project Type Cut-Off Grade Metal Grade Met
Slide 56: Evolution 2017 Gold Ore Reserves
EVOLUTION 2017 GOLD ORE RESERVES EVOLUTION 2017 GOLD ORE RESERVES For personal use only Group Gold Ore Reserves – December 2017 Gold Proved Probable Total Reserve Gold Gold Gold Gold Gold Gold Tonnes Tonnes Tonnes CP3 Project Type Cut-Off Grade Metal Grade Metal Grade Metal (Mt) (Mt) (Mt) (g/t) (koz
Slide 57: Evolution 2017 Copper Reserves & Resources
EVOLUTION 2017 COPPER RESERVES & RESOURCES EVOLUTION 2017 GOLD ORE RESERVES For personal use only Group Copper Mineral Resources Statement Copper Measured Indicated Inferred Total Resource Copper Copper Copper Copper Copper Copper Copper Copper Cut- Tonnes Tonnes Tonnes Tonnes CP3 Project Type Grade
Slide 58: Competent Persons
COMPETENT PERSONS For personal use only Competent Persons Statement The information in this report that relates to exploration results and exploration targets listed in the table below is based on work compiled by the person whose name appears in the same row, who is employed on a full-time basis by
Slide 59: Drill Hole Information Summary
DRILL HOLE INFORMATION SUMMARY For personal use only Cowal CBK131* DD 7201630 223651 268 735.00 -50 94 639.2 2.3 1.3 24.7 CBK330* DD 7201475 223590 284 819.70 -55 84 698.0 2.4 1.7 6.4 CNU214 UG DD 7201290 224302 -194 236.50 -25 265 220.5 1.4 1.2 6.7 CNU216 UG DD 7201290 224302 -194 231.10 -19 267 20
Slide 60: JORC Code 2012 Assessment and Reporting Criteria
JORC CODE 2012 ASSESSMENT AND REPORTING CRITERIA For personal use only Cracow Section 1 Sampling Techniques and Data Criteria Commentary Sampling Sample types collected at Cracow and used in the reporting of assays were all diamond drill core. Sample intervals for drill core were determined by visua
Slide 61: JORC Code 2012 Assessment and Reporting Criteria
JORC CODE 2012 ASSESSMENT AND REPORTING CRITERIA For personal use only Cracow Section 1 Sampling Techniques and Data Criteria Commentary Verification of Verification of assay results was standard practice, undertaken at a minimum once per year. In 2015, 547 pulp samples from Cracow drillcore were re
Slide 62: JORC Code 2012 Assessment and Reporting Criteria
JORC CODE 2012 ASSESSMENT AND REPORTING CRITERIA For personal use only Cracow Section 2 Reporting of Exploration Results Criteria Commentary Mineral ML3219, ML3221, ML3223, ML3224, ML3227, ML3228, ML3229, ML3230, ML3231, ML3232, ML3243, ML80024, ML80088, ML80089, ML80114, ML80120, ML80144, EPM15981
Slide 63: JORC Code 2012 Assessment and Reporting Criteria
JORC CODE 2012 ASSESSMENT AND REPORTING CRITERIA For personal use only Cracow Section 2 Reporting of Exploration Results Criteria Commentary Diagrams Schematic sections are provided below. Reported resource definition results are not considered exploration results. Sterling plan view showing drilled
Slide 64: Mining
MINING Evolution Ajuo esn feuosied 10)