St. Barbara Ltd. · ASX:SBM
St. Barbara — Shareholder Meeting (November 2012)
30 slides from St. Barbara's shareholder meeting presentation, Nov 22, 2012
Slide 1: 2012 Annual General Meeting
St Barbara Limited ACN 009 165 066 Level 10, 432 St Kilda Road, Melbourne VIC 3004 Locked Bag 9, Collins Street East, Melbourne VIC 8003 Tel +61 3 8660 1900 Fax +61 3 8660 1999 www.stbarbara.com.au For personal use only 2012 Annual General Meeting Attached is a copy of the Chairman’s address and the
Slide 2: Chairman's Address: Overview of 2012 financial year results
COLIN WISE, CHAIRMAN ADDRESS TO THE 2012 ANNUAL GENERAL MEETING OF SHAREHOLDERS OF ST BARBARA LTD Ladies and Gentlemen For personal use only Overview of the 2012 financial year results The past year saw St Barbara deliver strong operating and financial results, while securing an attractive pipeline
Slide 3: Chairman's Address: Integration of new operations
The acquisition followed more than two years of analysis by St Barbara of gold mining and development opportunities in Australia, South East Asia and the Western Pacific Rim, culminating in an extensive programme of pre-acquisition, on-site due diligence at Simberi and Gold Ridge. This process confi
Slide 4: Chairman's Address: Gold price environment
The possibility of increasing geopolitical instability in the Middle East overlays continuing global uncertainty in faltering financial markets. These are all factors which support the gold price. On the other hand, the economic slow-down in China seems to have had much less impact on the gold marke
Slide 5: Chairman's Address: Cost pressures and diversification
focussed program of business improvements and procurement initiatives. Examples of business improvements include establishing Gwalia underground workshops, refuelling bays and magazine storage facilities to improve mine efficiencies. Procurement initiatives included renegotiating charter flight arra
Slide 6: Chairman's Address: Closing remarks
The additional effort required to undertake the Allied Gold acquisition and now, to make it successfully ‘deliver to promise’ has and continues to involve a significant workload for all St Barbara personnel. The Board and Management remains focused on delivering operational performance from the Paci
Slide 7: Annual General Meeting November 2012
For personal use only Annual General Meeting 22 November 2012 Tim Lehany, Managing Director & CEO 1
Slide 8: Disclaimer
Disclaimer For personal use only 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, s
Slide 9: Three prospective and long life gold operations
Three prospective and long life gold operations For personal use only Reserves: 5.7 Moz1 Simberi Resources: 16.6 Moz1 Simberi • Expanding oxide plant • 9+ year mine life Gold Ridge • Near mine targets for exploration • Sulphide expansion potential Leonora • High grade underground Gwalia mine Leonora
Slide 10: FY12 Performance
For personal use only FY12 Performance Strong financial results Annual General Meeting – 22 November 2012 4
Slide 11: Translating operating capability into safe production and cash flow
Translating operating capability into safe production and cash flow For personal use only Safety Gold Production Cash Flow From Operations Per Share $0.68 12.5 11.1 339 9.0 258 231 $0.36 $0.26 FY 10 FY 11 FY 12 FY 10 FY 11 FY 12 FY 10 FY 11 FY 12 TRIFR koz A$ As at 30 June 2010, 30 June 2011 and 30
Slide 12: Converting operational performance into profit, earnings and return on equity
...and converting operational performance into profit, earnings and return on equity For personal use only Underlying NPAT[1] Earnings Per Share Return on Equity 131 26% $0.40 17% $0.21 54 -$0.14 -12% 15 FY 10 FY 11 FY 12 FY 10 FY 11 FY 12 FY 10 FY 11 FY 12 A$M A$ % Financial years to 30 June [1] No
Slide 13: Financial Profile
Financial Profile For personal use only Investment in growth in FY12 • Capital expenditure $100M • Exploration expenditure $21M • After capex and exploration, cash at bank in FY12 grew by $106M Modest gearing post Allied Gold acquisition At combination date -13 September 2012 • Total debt approx. A$
Slide 14: Leading and diversified ASX mid-tier gold company
For personal use only Leading and diversified ASX mid-tier gold company Annual General Meeting – 22 November 2012 8
Slide 15: Enhanced Diversification
Enhanced Diversification For personal use only Reserves by Asset 5.7Moz1 • Three operations with 9+ year lives Gold Ridge • Mine diversification 20% Gwalia 34% • Reduces the impact of Simberi individual mine operational 36% 5% risk 3% 2% • Provides production FY13F Production by Asset (midpoint)2 fl
Slide 16: Diversified project pipeline spanning exploration to gold production
Diversified project pipeline spanning exploration to gold production For personal use only Project Pipeline • Proven capability SULLIVAN’S YILGARN EXPLORATION CREEK TARGETS EAST LACHLAN across value chain GWALIA REGION TABAR - TATAU • Pipeline of organic ADVANCED SIMBERI NEAR GOLD RIDGE NEAR growth
Slide 17: Three long life gold producing operations
For personal use only Three long life gold producing operations Annual General Meeting – 22 November 2012 11
Slide 18: Leonora Operations, WA
Leonora Operations, WA Reliable, high quality production For personal use only Gwalia King of the Hills • Ore Reserves - 6.9 Mt at 8.7 g/t Au • Ore Reserves - 1.0 Mt at 5.0 g/t Au containing 1.9 Moz gold [1] containing 150 koz gold [1] • Resources extended to 1,840 mbs, and are open at depth • Resou
Slide 19: Simberi, Papua New Guinea
Simberi, Papua New Guinea Growing gold production, highly prospective Western Pacific Rim For personal use only • 2.0 Moz Ore Reserves1 • 6.5 Moz Mineral Resources1 • Ore bodies not closed off • Project controls and mine planning being implemented • 3.5 Mtpa Oxide expansion project expected to be co
Slide 20: Gold Ridge, Solomon Islands
Gold Ridge, Solomon Islands Long life operation with near mine potential For personal use only • 1.1 Moz Ore reserves1 • 2.5 Moz Mineral Resources1 • Need for robust mine planning • Targeting production rate of 105 koz pa • 9+ year mine life • Significant near mine potential • Mine established and r
Slide 21: Significant Exploration and Resource Upside
For personal use only Significant Exploration and Resource Upside Annual General Meeting – 22 November 2012 15
Slide 22: FY13 focus on extending near mine reserves and targeting new discoveries
FY13 focus on extending near mine reserves and targeting new discoveries For personal use only Exploration spend $25M+ Simberi Active drilling programs Simberi • Ore bodies open • Near mine targets for exploration Gold Ridge • Sulphide potential Leonora Gold Ridge • Ore bodies open • Gwalia open at
Slide 23: Simberi and Gold Ridge in the world class Western Pacific Rim
Simberi and Gold Ridge, located in the world class Western Pacific Rim, have significant exploration value For personal use only North WOODLARK 2Moz Annual General Meeting – 22 November 2012 17
Slide 24: Significant value potential
Significant value potential For personal use only EV/Reserves (A$/oz)1 EV/Resources (A$/oz)1 3,611 510 425 398 2,185 370 954 914 Peer average: 795 232 212 Peer average: 204 575 178 161 429 427 367 333 117 103 99 291 271 261 259 89 248 76 173 59 56 40 Integra Mining Evolution Mining Saracen Mineral N
Slide 25: Outlook
For personal use only Outlook Annual General Meeting – 22 November 2012 19
Slide 26: Integration of Pacific Operations
Integration of Pacific Operations For personal use only • Control of Allied Gold operations established 7 September, three months after final bid • After 10 weeks, our view regarding the long term value and potential of these assets has strengthened • Business integration largely complete • Operatin
Slide 27: Outlook
Outlook For personal use only FY13 gold production • Combined production for full year expected to be approx. 400,000 ounces (reduced from 435,000 ounces)[1] • Production attributable to St Barbara expected to be approx. 380,000 ounces [2] • Pacific Operations expected to achieve sustainable product
Slide 28: Competent Persons Statement
Competent Persons Statement For personal use only The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Mr. Phillip Uttley, who is a Fellow of The Australasian Institute of Mining and Metallurgy. Phillip Uttley is a full-time emp
Slide 29: Non-IFRS Measures
Non-IFRS Measures For personal use only We supplement our financial information reporting determined under International Financial Reporting Standards (IFRS) with certain non-IFRS financial measures, including cash operating costs. We believe that these measures provide meaningful information to ass
Slide 30: Investor Relations Enquiries
Investor Relations Enquiries For personal use only Ross Kennedy Executive General Manager Corporate Services E: ross.kennedy@stbarbara.com.au Rowan Cole General Manager Corporate Services E: rowan.cole@stbarbara.com.au T: +61 3 8660 1900 24 Annual General Meeting – 22 November 2012