St. Barbara Ltd. · ASX:SBM
St. Barbara — Q2 FY2011 Earnings Presentation
21 slides from St. Barbara's earnings presentation, Jan 31, 2011
Slide 1: Presentation on the December 2010 Quarter
St Barbara Limited ACN 009 165 066 Level 14, 90 Collins Street, Melbourne VIC 3000 Locked Bag 9, Collins Street East, Melbourne VIC 8003 Tel +61 3 8660 1900 Fax +61 3 8660 1999 For personal use only www.stbarbara.com.au Presentation on the December 2010 Quarter Attached is a presentation to analysts
Slide 2: December 2010 Quarter Update
When in final form a prior to ASX release, seek competent person sign-off from Kous Kirsten/Ben Bartlett (Mary-Ann knows where the standard letter is) For personal use only Australian Gold Producer and Explorer December 2010 Quarter Update Tim Lehany Managing Director & CEO 31 January 2011 Value foc
Slide 3: Forward looking statements
Forward looking statements 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 i
Slide 4: St Barbara Overview
St Barbara Overview For personal use only Stock code: SBM Australian based producer(1) 231Koz ASX market capitalisation(2) A$645M Significant holders Ore Reserves 10.2 mt @ 7 3g/t Au for 2 7.3g/t 4Moz3 2.4Moz M&G Group 18.1% Mineral Resources 27.7Mt @ 6.1g/t Au for 5.4Moz3 Franklin Templeton 6.0% Hu
Slide 5: December 2010 Quarter – Key Points
December 2010 Quarter – Key Points For personal use only • Production ‐ Total production of 60,673 oz of gold ‐ Leonora Operations production below target ‐ Southern Cross Operations in line with expectations • Development ‐ King of the Hills mine development on track for first gold production in Ju
Slide 6: December 2010 Quarter – Production Summary
December 2010 Quarter‐Production Summary For personal use only Production Summary Sep Qtr FY11 Dec Qtr FY11 Leonora ore milled kt 170 194 Grade g/t / Au 5.7 4.8 Gold production oz 30,005 28,505 St C Sth Cross oss o oree milled ed kt 271 292 9 Grade g/t Au 4.1 3.7 Gold production oz 33,483 32,168 Con
Slide 7: December 2010 Quarter – Leonora Operations
December 2010 Quarter – Leonora Operations For personal use only What happened What we changed Improved outcomes Equipment q p unavailability y in • Ten new / reconditioned No equipment q p availability y July/August delayed production vehicles replaced old issues since August schedule vehicles • Ma
Slide 8: Safe production - Start Safe, Stay Safe
Safe production ‐ Start Safe, Stay Safe For personal use only Total Recordable Injury Frequency Rate 20 15 10 5 8.9 0 2009 2010 Dec‐10 Improving safety performance Value focused gold company – 31 January, 2011 7
Slide 9: Outlook for FY11
Outlook for FY11 For personal use only Leonora Operations • Forecast significant improvement in operational performance to be delivered in 2H FY11 • Increase in gold grade to deliver increased production and lower costs • Production forecast to be at lower end of FY11 gguidance of 155,000 to 170,000
Slide 10: Upward Trend Maintained
Upward Trend Maintained For personal use only Consolidated Production 145,000 140,000 141,000 135,000 130,000 125,000 124,161 120,000 115 000 115,000 117 081 117,081 113,938 110,000 105,000 Guidance 100,000 00 000 1H10 2H10 1H11 2H11* *2H11 2H11 figures are at lower end of guidance range Full year g
Slide 11: Investing in Discovery
For personal use only Investingg in Discovery Value focused gold company – 31 January, 2011 10
Slide 12: Prospective land bank of 6000km2
Prospective land bank of 6000km2 For personal use only Lake Carnage An experienced exploration team, a prospective land bank and available funds • Budget of A$15 to A$16M pa for next 3 years • Ten T quality li targets id identified ifi d ffor d drill ill testing i iin FY11 Value focused gold company
Slide 13: Gwalia extending mineralisation at depth
Gwalia extending mineralisation at depth For personal use only UPDATE with diagram g from q quarterly y – new assayy results – Bob Love to provide Value focused gold company – 31 January, 2011 12
Slide 14: Growth & Discovery – Plans for 2H FY11
Growth & Discovery – Plans for 2H FY11 For personal use only Leonora Region • Completion of current phase of Gwalia Deeps extensional drilling – Results to be incorporated in 2011 Mineral Resources estimates – Continuing Gwalia Deeps extensional drilling planned • 6000 6000+ m drilling planned at Ye
Slide 15: Investment Proposition
For personal use only Investment Proposition Value focused gold company – 31 January, 2011 14
Slide 16: Achieving value and scale
Achieving value and scale For personal use only The strategic focus for the next two years is to • Access and mine high grade reserves at Gwalia • Drive increased margins through improved operational performance • Add value through active discovery program • Pursue appropriate growth opportunities I
Slide 17: Trading at a deep discount
Trading at a deep discount For personal use only EV / Reserves (A$/oz) EV / Resources (A$/oz) 2,481 A$/oz) 582 $/oz) EV/Reserves (A$ EV / Resources (A 306 688 203 179 167 159 154 447 429 429 387 117 105 82 319 314 301 213 183 178 77 73 69 Kinggsgate Saracen OceanaaGold d Gold Regis Peerseus Meedusa
Slide 18: St Barbara – Long term, high cash margins
St Barbara – Long term, high cash margins For personal use only Cash Margin (US$/oz) 950 Regis 900 Low cost but Low cost and short mine life long mine life Integra 850 SBM ex-Sthn Cross 800 A Avoca Oceanagold Catalpa 750 Dominion Focus 700 Saracen 650 Norseman St Barbara 600 0.0 2.0 4.0 6.0 8.0 10.0
Slide 19: Conclusions
Conclusions For personal use only • Track record of delivering to guidance – Six consecutive quarters of delivery to guidance to 30 September 2010 – One‐off issues experienced in December quarter have been addressed • Gwalia continues to build gold production towards sustainable level of 200,000 oz
Slide 20: Competent Persons Statement
Competent Persons Statement For personal use only Competent Persons Statement Significant gold intersections and geological interpretations contained in this report have been compiled by Mr. Phillip Uttley. Mr. Uttley is a Fellow of The Australasian Institute of Mining and Metallurgy and is a full t
Slide 21: Investor Relations enquiries
For personal use only Investor Relations enquiries to: R Ross K Kennedy d Executive General Manager Corporate Services or Xian Davies Senior Investor Relations l Advisor T: 61 3 8660 1904 E: xian.davies@stbarbara.com.au Value focused gold company – 31 January, 2011 20