Pt Merdeka Copper Gold Tbk · IDX:MDKA

Pt Merdeka Copper Gold Tbk — Non-Deal Roadshow (March 2016)

33 slides from Pt Merdeka Copper Gold Tbk's roadshow presentation, March 2016

  1. Slide 1: Indonesia’s Next World Class Mining Company

    Indonesia’s Next World Class Mining Company NDR Presentation Singapore / Hong Kong March 2016 PT Merdeka Copper Gold Tbk. 1

  2. Slide 2: Disclaimer

    Disclaimer PT Merdeka Copper Gold Tbk (“PT MCG”) make no representation or warranty (express or implied) as to the accuracy, reliability or completeness of the information. All statements in this document, other than statements of historical facts that address future timings, activities, events and

  3. Slide 3: Table of Content

    Table of Content 01 Company 02 Heap Leach Overview Project 03 Porphyry 04 Conclusion Project PT Merdeka Copper Gold Tbk. 3

  4. Slide 4: Company Overview

    Company Overview Listed Indonesian Stock Exchange - MDKA 1. Gold Heap Leach Project Low Capex, Low Opex & Low Risk 2. Porphyry Copper Project 3. Growth Options Funded, Permitted and in Sub-level Cave Copper / Gold / Identified and executable options to Construction Molybdenum fast track overall grow

  5. Slide 5: Company Overview: Shareholding Structure

    Company Overview Shareholding Structure • Listed in June 2015, first IDX non-production mining company IPO • Issue price: Rp 2,000 per share • Current Share Price: Rp 1,700 per share • 52 week range: Rp 1,700 – 2,530 per share Name of Shareholder Amount of Shares % PT Trimitra Karya Jaya (1) 588,540

  6. Slide 6: Management, Directors and Commissioners

    Company Overview Management, Directors and Commissioners • Company Commissioners – Mr. Edwin Soeryadjaya • 35 years experience across multiple industry sectors, founding family of PT Astra International • Commissioner / Director of over twenty companies including; PT Adaro Energy Tbk, Saratoga Group

  7. Slide 7: Project Location, Banyuwangi, East Java, Indonesia

    Company Overview Project Location, Banyuwangi, East Java, Indonesia PT Merdeka Copper Gold Tbk. 7

  8. Slide 8: Indonesia’s Mineral Potential

    Indonesia’s Mineral Potential World Class Projects and more to be developed PT Merdeka Copper Gold Tbk. 8 * Strategic Shareholders mining investments (excl coal assets)

  9. Slide 9: Table of Content

    Table of Content 01 Company 02 Heap Leach Overview Project 03 Porphyry 04 Conclusion Project PT Merdeka Copper Gold Tbk. 9

  10. Slide 10: Heap Leach Project: Sources and Application of Funds

    Heap Leach Project Sources and Application of Funds Sources US$ Million Comments • 5 Year Term Primary Facility • Robust pricing from leading banks Equity $30m Equity spend from July 2015 • Mandatory hedging Primary Debt $110m BNP, HSBC, SocGen (5 Year Term) – 50% year 1 Facility – 40% year 2 VAT Fa

  11. Slide 11: Significant Ore Reserve and Mineral Resources

    Significant Ore Reserve and Mineral Resources Top Quartile Ore Reserve Grades amongst HL Projects Tujuh Bukit Heap Leach Cut-off Tonnes Gold Silver Gold Silver Project (g/t Au) (Mt) (g/t) (g/t) (oz) (oz) Resources Measured 0.3 42.2 0.93 28.9 1,261,767 39,209,748 Indicated 0.3 28.9 0.61 23.1 566,776

  12. Slide 12: Heap Leach Project: Annual Production Profile and Cash Operating Costs

    Heap Leach Project Annual Production Profile and Cash Operating Costs incl. royalties • Significant grade advantage in 2017 and 2018 ‒ Pits B West, B East and E ore sources (five open pits in total over the life of mine) Cash Unit Costs US$/oz Calendar Year Gold Production ozs Silver Production ozs

  13. Slide 13: Heap Leach Project: World class financial and operating parameters

    Heap Leach Project World class financial and operating parameters Capital Cost Summary USD m Operating Statistics Value Pre-production capital (incl. contingency) 126.9 Mining rate (ore tonnes per annum) 4,000,000 Sustaining (future) capital 30.9 Gold Total 157.8 Met recovery oxide % 82 Met recovery

  14. Slide 14: Construction Approach

    Construction Approach • Most Experienced Owners Construction Team in Indonesia – Peter Scanlon – Project Manager • 20 years plus with Thiess (Australia, India, Indonesia, Africa) • 11 years Indonesian experience (Batu Hijau, IndoMet Coal, gold plants, major oil & gas projects) – Recruited 45 experie

  15. Slide 15: Construction Progress: Site Overview July 2015

    Construction Progress Site Overview July 2015 PT Merdeka Copper Gold Tbk. 15

  16. Slide 16: Construction Progress: Site Overview February 2016

    Construction Progress Site Overview February 2016 PT Merdeka Copper Gold Tbk. 16

  17. Slide 17: Construction Progress: Main Office and Infrastructure

    Construction Progress Main Office and associated Infrastructure PT Merdeka Copper Gold Tbk. 17

  18. Slide 18: Construction Progress: Mine Access and Pit Roads

    Construction Progress Mine Access – 4km and Initial Mine Pit Roads – 2km PT Merdeka Copper Gold Tbk. 18

  19. Slide 19: Construction Progress: Concrete Foundations – ADR Process Plant

    Construction Progress Concrete Foundations – ADR Process Plant PT Merdeka Copper Gold Tbk. 19

  20. Slide 20: Construction Progress: Raw Water Dam

    Construction Progress Raw Water Dam PT Merdeka Copper Gold Tbk. 20

  21. Slide 21: Construction Progress: Environmental Controls - Gabion Structures

    Construction Progress Environmental Controls - Gabion Structures PT Merdeka Copper Gold Tbk. 21

  22. Slide 22: Construction Progress: Environmental Controls - Culverts

    Construction Progress Environmental Controls - Culverts PT Merdeka Copper Gold Tbk. 22

  23. Slide 23: Table of Content

    Table of Content 01 Company 02 Heap Leach Overview Project 03 Porphyry 04 Conclusion Project PT Merdeka Copper Gold Tbk. 23

  24. Slide 24: World Class Mineral Resource

    World Class Mineral Resource High Grade Upper Section from RL -100 to RL -550 Tujuh Bukit Porphyry Cut-off Tonnes Gold Copper Gold Copper Project (% Cu) (Mt) (g/t) (% Cu) (M oz) (M lbs) Resources Measured 0.2 Indicated 0.2 Inferred 0.2 1,942 0.5 0.5 28.124 19,285 Resources Inferred 0.4 957 0.6 0.6 1

  25. Slide 25: World Class Mineral Resource: Comparison with other regional projects

    World Class Mineral Resource Comparison with other regional projects 1.2% Golpu 1.0% Grasberg Copper grade 0.8% (%) Northparkes Tujuh Bukit Tujuh Global 0.6% Resource Bukit SLC Oyu Tolgol Tampakan 0.4% Batu Hijau Frieda River Ok Tedi Cadia Valley Didipio Namosi Kingking 0.2% 0.0% 0.1 0.2 0.3 0.4 0.5

  26. Slide 26: Porphyry Project: Upper High Grade Zone within Global Resource

    Porphyry Project Upper High Grade Zone within Global Resource Upper High Grade Zone 260Mt @ 0.8% Cu & 0.8 g/t Au JORC Mineral Resource 1,942Mt @ 0.5% Cu & 0.5 g/t Au PT Merdeka Copper Gold Tbk. 26

  27. Slide 27: Porphyry Project: Conceptual Mine Development

    Porphyry Project Conceptual Mine Development PT Merdeka Copper Gold Tbk. 27

  28. Slide 28: Porphyry Project: Concept Study Outcomes

    Porphyry Project Concept Study Outcomes Initial Capital Cost Summary USD mn Operating Statistics Value Mine Development 332 Mining rate (ore tonnes per annum) 12,000,000 Processing Plant and Infrastructure 540 Copper Recovery % 85 Total 872 Gold Recovery % 70 TC & RC $90/t and $0.10 /lb Operating Co

  29. Slide 29: Porphyry Project: Potential EBITDA generation

    Porphyry Project Potential EBITDA generation Commodity $2.50/lb $3.00/lb $3.50/lb $4.00/lb Prices / EBITDA pa $1,200/oz $204m $274m $344m $414m $1,300/oz $221m $291m $361m $431m $1,400/oz $238m $309m $379m $449m • Minimum 25 year mine life • SLC Operation does not sterilise remaining mineral resourc

  30. Slide 30: Global Copper Consumption v Mine Production

    Global Copper Consumption v Mine Production 26 Tujuh Bukit SLC potential production 24 Global copper consumption (Mt) 4.9Mt of new production 22 capability from projects 20 18 16 2016 2018 2020 2022 2024 Base case mines plus highly probable projects Brownfield contribution Price related closures Dem

  31. Slide 31: Table of Content

    Table of Content 01 Company 02 Heap Leach Overview Project 03 Porphyry 04 Conclusion Project PT Merdeka Copper Gold Tbk. 31

  32. Slide 32: Conclusion: Indonesia’s next World Class Mining Company

    Conclusion Indonesia’s next World Class Mining Company 1. Gold Heap Leach Project Low Capex, Low Opex & Low Risk 2. Porphyry Copper Project 3. Growth Options Funded, Permitted and in Sub-level Cave Copper / Gold / Identified and executable options to Construction Molybdenum fast track overall growth

  33. Slide 33: PT Merdeka Copper Gold Tbk contact details

    Indonesia’s Next World Class Mining Company PT MERDEKA COPPER GOLD TBK International Financial Centre, 12A Floor Jl. Jend. Sudirman Kav. 22-23 South Jakarta – 12920 Telephone: (+62 21) 2941 0806 Facsimile: (+62 21) 2941 0807 For further information, please contact the following email: investor.relat

PT Merdeka Copper Gold — Non-Deal Roadshow (March 2016) on 6ix