Vault Minerals Limited · ASX:VAU
Vault Minerals — Red 5 — Shareholder Meeting (November 2021)
32 slides from Vault Minerals's shareholder meeting presentation, Nov 24, 2021
Slide 1: AGM presentation
For personal use only AGM presentation Mark Williams 24 November 2021 www.red5limited.com Page: 1
Slide 2: Competent Person’s Statement and Disclaimer
Competent Person’s Statement and Disclaimer Competent Person Statements for JORC 2012 Mineral Resource and Ore Reserves For personal use only ● The information in this presentation that relates to the Mineral Resources for the King of the Hills deposit is extracted from the ASX announcement titled “
Slide 3: Red 5 – A standout growth opportunity
Red 5 – A standout growth opportunity ✓ Red 5 has two gold mines in one of the world’s safest and most prospective gold districts For personal use only ✓ King of the Hills (KOTH) is a major Australian gold deposit – Top 10-largest Ore Reserves in Australia1 ● Mineral Resource of 4.12Moz2 and Ore Res
Slide 4: King of the Hills – Australia’s next major gold mine
King of the Hills – Australia’s next major gold mine For personal use only www.red5limited.com Page: 4
Slide 5: Installation of process plant is nearing completion
Installation of process plant is nearing completion For personal use only www.red5limited.com Page: 5
Slide 6: All key long lead items delivered
All key long lead items delivered For personal use only www.red5limited.com Page: 6
Slide 7: Village fully operational
KOTH village fully operational For personal use only www.red5limited.com Page: 7
Slide 8: Construction is on schedule and within budget
KOTH – construction is on schedule and within budget A$M1 For personal use only Processing and infrastructure 188 Owners costs 12 Sub-total 200 Contingency 19 Sub-total 219 Mining pre-strip 7 Total (Real) capital cost 226 ● The majority of remaining project expenditure is through fixed-price contrac
Slide 9: First gold on-track for June 2022 quarter
KOTH – first gold on-track for June 2022 quarter For personal use only 2021 2022 MQ JQ SQ DQ MQ JQ SQ DQ Debt financing Construction and mine permits Bulk earthworks and Village Mill and Crusher delivery to site EPC full mobilisation Site construction and installation Commissioning Mine Contractor m
Slide 10: Strategic, low-cost mill in Eastern Goldfields
KOTH - strategic, low-cost mill in Eastern Goldfields High level of confidence in metallurgy: For personal use only ● ● Historical processing data (1989-2004) ● Metallurgical testwork (historical and FFS) ● Previous processing of KOTH ore at Darlot ● Low $11.83/t LOM processing cost1 due to: ● Econo
Slide 11: Darlot’s future to be a satellite ore source to KOTH
Darlot’s future to be a satellite ore source to KOTH ● Darlot Mine Plan1 For personal use only ● Redpath mobilized for initial 12-month mine development program ● Establish new mine areas and reduce reliance on remnant mining ● Darlot ore to be processed at KOTH from Jun- Qtr 2022 ● Production FY22
Slide 12: Red 5 Limited – Corporate Profile
Red 5 Limited – Corporate Profile For personal use only Our Company Vision “To be a successful multi-operational exploration and mining company, providing benefits to all stakeholders, through the consistent application of technical excellence, and responsible and sustainable industry practices.” Sh
Slide 13: ESG – Red 5 is built on a strong safety culture
ESG – Red 5 is built on a strong safety culture For personal use only Our CORRE Values Courage We take initiative with integrity and have the strength to speak to our convictions Ownership We are committed to our Vision and accountable for our individual/team safety and performance Respect We trust
Slide 14: A standout value opportunity in the Australian gold sector
A standout value opportunity in the Australian gold sector ● Red 5 EV/Reserve relative For personal use only to its peers 1,200 ● Valuation of WA based-gold Ramelius companies1 Silver Lake Bubble Size = Enterprise 900 EV / Reserve (A$/oz) ● Value Capricorn Bellevue ● The planned development Gold Roa
Slide 15: Transformation of Red 5 – KOTH is a unique project
KOTH is a unique project Transformation of Red 5 For personal use only 2017 Red 5 purchased Darlot and KOTH in WA 2022 Ready to emerge as Australia’s next mid-tier gold producer KOTH benefits to Western Australian economy ● Construction cost of $226 million ● 450 construction jobs ● 600 steady-state
Slide 16: Thank you
For personal use only THANK YOU Level 2, 35 Ventnor Avenue, West Perth, Western Australia 6005 Australia (61-8) 9322 4455 (61-8) 9481 5950 www.red5limited.com Page: 16
Slide 17: Appendix
For personal use only Appendix www.red5limited.com Page: 17
Slide 18: KOTH geology is well understood, open in all directions
KOTH - geology is well understood, open in all directions Jun-21 Mineral Resource1 Aug-20 Ore Reserve2 For personal use only 91Mt @ 1.4 g/t for 64.6Mt @ 1.2 g/t for 4.12Moz Au 2.4Moz Au ● Ore body in the contact zone of a substantial Granodiorite intrusion ● 4km long x 2km wide ● Historical understa
Slide 19: US$55 million divestment of Siana Gold Project
US$55 million divestment of Siana Gold Project ● The Siana Gold Project, owned by Philippine- For personal use only affiliated company Greenstone Resources, suspended mine operations in April 2017 ● Red 5 announced the completed sale of Siana on 21 September 2021 ● US$19M cash received ● 3.25% NSR r
Slide 20: KOTH long mine life generating substantial cash flow
KOTH – long mine life generating substantial cash flow1 Pre-tax Unit $2,000/oz $2,250/oz $2,500/oz $2,750/oz $3,000/oz At a gold price of A$2,500/oz: For personal use only Project cashflow $M 1,147 1,710 2,273 2,837 3,400 NPV8% $M 512 806 1,101 1,395 1,689 ● Free cashflow (after tax) of: IRR % 38.0%
Slide 21: KOTH now fully financed through to operations
KOTH now fully financed through to operations A$175M Syndicated Facility Agreement comprising: For personal use only Facility Amount ● A$160M Senior Secured Project Loan Facility; and and Syndicate ● ● A$15M Cost Overrun and Working Capital Facility. Banks ● Syndicate Banks – Macquarie (50%), BNP Pa
Slide 22: Leadership team with strong development expertise
Leadership team with strong development expertise Red 5 has a strong and capable team, with many years of mining and development experience both at Red 5 and previously at multi- billion international development projects – the Company is well placed to deliver the KOTH development For personal use
Slide 23: KOTH – 4.1Moz Mineral Resource
KOTH – 4.1Moz Mineral Resource1 For personal use only Total Open Pit & Underground KOTH Resource as at Jun 2021 Cut-off Mining Gold Contained Gold Classification Tonnes (000t) (g/t) Method (g/t) (000oz) Indicated 0.4-1.0 OP+UG 69,600 1.4 3,030 Inferred 0.4-1.0 OP+UG 21,100 1.6 1,090 Total 0.4-1.0 OP
Slide 24: KOTH – 2.4Moz Ore Reserve
KOTH – 2.4Moz Ore Reserve1 Total KOTH Ore Reserves as at September 2020 For personal use only Cut-off JORC 2012 Tonnes Gold Contained Gold Deposit Mining Method (g/t) Classification (Mt) (g/t) (Moz) KOTH Open pit 0.39 Probable 58.5 1.1 2.1 KOTH Underground 1.60 Probable 2.4 2.3 0.2 Rainbow Open pit
Slide 25: KOTH – mineralisation open in all directions
KOTH – mineralisation open in all directions For personal use only Proof of concept drilling confirmed gold mineralisation 500m down plunge from current UG designs 1 Mineralised stockwork penetrates at least 70m into the granodiorite from the granodiorite-ultramafic contact 1. Red 5 ASX Release: 18
Slide 26: KOTH Satellite Deposits – Mineral Resource of 308koz
KOTH – Satellite Deposits1 – Mineral Resource of 308koz For personal use only 1. Red 5 ASX Release: 6 May 2020 2. Red 5 ASX Release: 1 May 2019 www.red5limited.com Page: 26
Slide 27: KOTH – scope to increase production and extend LOM
KOTH – scope to increase production and extend LOM ● Mintrex have confirmed SAG Mill will produce >4.7Mtpa as built For personal use only ● Red 5 believes the mill has potential to process much more ● 6Mtpa crushing circuit installed ● Oversized SAG Mill being installed ● Design allowance for upgrad
Slide 28: KOTH exploration – numerous targets
KOTH exploration – numerous targets ● Integrated datasets have identified priority targets along For personal use only the Tarmoola and Ursus Fault corridors ● Tarmoola Fault Corridor ● Poorly tested outside of the mine area ● Bulk of historical AC/RAB drilling ineffective (failed to reach top of fr
Slide 29: KOTH – 15MW SAG mill supports higher throughput
KOTH - 15MW SAG mill supports higher throughput Conventional 4Mtpa CIL For personal use only ● Hardest Ore Design Mid High plant Power Draw (kW) 9,272 10,859 12,445 ● Acquired 15MW, dual synchronous motor semi- Grind Size (P80) 150 150 150 autonomous grind (SAG) mill with VVVF drive Tonnes Per Hour
Slide 30: Darlot exploration & future ore sources
Darlot exploration & future ore sources Darlot Gold Mine 1 Cables & Mission 4 For personal use only ● Resource 13.1Mt @ 3.4g/t Au for 1.4Moz ● Combined JORC 2004 Resource of 1.5Mt ● Reserve 2.5Mt @ 2.6g/t Au for 203koz @ 3.1g/t Au for 185koz2 ● Historical drilling suggests both deposits ● 71,000m UG
Slide 31: Top Gold Deposits in Australia
Top 20 Gold Deposits in Australia Resources Reserves For personal use only Mt g/t Moz Mt g/t Moz Cadia 3184.0 0.4 36.1 Cadia 1400.0 0.4 20.0 Boddington 836.2 0.6 16.2 Boddington 566.3 0.7 11.9 Golden Mile (100%) 272.6 1.4 12.0 Golden Mile - KCGM 178.2 1.1 6.3 Tanami 76.9 4.1 10.1 Tanami 36.2 5.0 5.9
Slide 32: Australian Top Gold Deposits
Australian Top 20 Gold Deposits1 Resources Reserves Resources Reserves Resources Reserves Mt g/t Moz Mt g/t Moz Mt g/t Moz Mt g/t Moz Mt g/t Moz Mt g/t Moz Cadia Newcrest St Ives Goldfields Sunrise Dam AngloGold For personal use only Measured 32.0 0.30 0.3 Proven Measured 5.1 2.49 0.4 Proven 4.7 2.1