Oceanagold Corporation · TSX:OGC
Oceanagold — Shareholder Meeting (May 2013)
31 slides from Oceanagold's shareholder meeting presentation, May 17, 2013
Slide 1: 2013 Annual General Meeting
2013 Annual General Meeting Melbourne May 17 2013
Slide 2: Cautionary Notes
Cautionary Notes Cautionary Notes - Information Purposes Only The information contained in this presentation is provided by OceanaGold Corporation (“OGC”) for informational purposes only and does not constitute an offer to issue or arrange to issue, or the solicitation of an offer to issue, securiti
Slide 3: Today's Agenda
Today’s Agenda 1. Introduction 2. Formal Business of the Meeting 3. 2012 Performance 4. Looking Ahead 5. Questions & Answers 3 OceanaGold Corporation Innovation Performance Growth
Slide 4: Board of Directors
Board of Directors Jim Askew Mick Wilkes Denham Shale Joey Leviste Chairman Managing Director & CEO Lead Director Non Executive Director Jacob Klein Bill Myckatyn Dr Geoff Raby Non Executive Director Non Executive Director Non Executive Director 4 OceanaGold Corporation Innovation Performance Growth
Slide 5: Executive Management Team
Executive Management Team Mick Wilkes Mark Chamberlain Mark Cadzow Michael Holmes Managing Director & CEO Chief Financial Officer Chief Development Officer Chief Operating Officer Darren Klinck Liang Tang Yuwen Ma Dr Michael Roache Head of Business Company Secretary & Head of Human Resources Head of
Slide 6: Today's Agenda
Today’s Agenda 1. Introduction 2. Formal Business of the Meeting 3. 2012 Performance 4. Looking Ahead 5. Questions & Answers 6 OceanaGold Corporation Innovation Performance Growth
Slide 7: Formal Business of Meeting
Formal Business of Meeting Item #1 Financial statements Item #2 Election of directors Item #3 Appointment of auditors Item #4 Company Articles Item #5 Previous issue of 30,000,000 common shares Item #6 Performance Rights grant Item #7 Non-executive directors’ fees 7 OceanaGold Corporation Innovation
Slide 8: Report on Proxies held by Management
Report on Proxies held by Management For Withhold Resolutions Number % Number % 1. Election of directors a) James E. Askew 104,595,546 94.95% 5,559,378 5.05% b) J. Denham Shale 109,371,796 99.29% 783,128 0.71% c) Michael F. Wilkes 106,288,907 96.49% 3,866,017 3.51% 2. Appointment of auditors 110,960
Slide 9: Today's Agenda
Today’s Agenda 1. Introduction 2. Formal Business of the Meeting 3. 2012 Performance 4. Looking Ahead 5. Questions & Answers 9 OceanaGold Corporation Innovation Performance Growth
Slide 10: 2012 Highlights
2012 Highlights FY2012 2012 Guidance GOLD PRODUCTION 232,909 225,000 – 230,000 (ounces) GOLD SALES 230,119 – (ounces) CASH COSTS $940 $1,000 – $1,050 (US$ / oz) • Revenue $385.4m from average gold price of $1,675/oz • Completed construction of Didipio in December and commenced commissioning in Q4 •
Slide 11: Financial Summary
Financial Summary USDm 2012 2011 2010 Revenue 385.4 395.6 305.6 Operating costs1 (240.8) (231.7) (166.1) EBITDA2 144.6 163.9 139.5 Depreciation & Amortisation (91.4) (85.8) (69.3) Net interest & Finance Costs (21.5) (12.9) (14.8) Earnings before tax2 31.7 65.2 55.4 Income tax (11.4) (21.0) (22.6) Ga
Slide 12: 2012 Shareholder Return
12 % Change 0% 20% 40% 60% -60% -20% -100% -80% -40% Regis Resources Source: Bloomberg Argonaut Gold OceanaGold Corporation CGA Mining OceanaGold Gold Spot Price (US$/oz) Medusa Mining B2Gold Evolution Mining Golden Star Resources S&P/TSX Composite Index Resolute Mining 2012 Shareholder Return Dunde
Slide 13: Recognition and Awards
Recognition and Awards • Human Rights Commendation – As part of its 25th anniversary, the Commission on Human Rights of the Philippines awarded OceanaGold with a Plaque of Recognition • Health & Safety Award – Awarded Plaque of Appreciation by the Mines and GeoSciences Bureau in the Philippines for
Slide 14: Sustainability Highlights
Sustainability Highlights Environment Health & Safety Workplace Governance Implemented Commenced Reforested 320 a new HSE the creation of Appointed hectares in the compliance a new crisis first female Philippines standards management executive since 2007 manual program Didipio Partnering with Workin
Slide 15: Today's Agenda
Today’s Agenda 1. Introduction 2. Formal Business of the Meeting 3. 2012 Performance 4. Looking Ahead 5. Questions & Answers 15 OceanaGold Corporation Innovation Performance Growth
Slide 16: OceanaGold Vision
OceanaGold Vision We will be a mid-tier, multi-national gold producer delivering superior shareholder returns in a safe and sustainable manner by discovering, acquiring, developing and operating high quality gold assets. We will be the partner, employer and gold company of choice. Operations Develop
Slide 17: Transformation Continues
Transformation Continues Production Costs • Multi-national producer • Increasing production with addition of Didipio gold and copper production • Decreasing costs: from a relatively high cost producer to a much lower cost producer • Increasing free cash flow expected over next 5 years • Strong suppo
Slide 18: Financial Overview (as at Mar 2013)
Financial Overview (as at 31 Mar 2013) Corporate debt (US$) Cash and bank facilities (US$) Convertible note $112m Undrawn term facility $112m Term facility $60m Available credit facilities $55m Revolving credit facilities $20m Cash $27m • Convertible note – A$110m @ 7.0% coupon – Matures in December
Slide 19: New Zealand Operations
New Zealand Operations 19 OceanaGold Corporation Innovation Performance Growth
Slide 20: New Zealand Operations
New Zealand Operations GOLD PRODUCTION1 CASH COSTS1 235,000 to 255,000 ounces $880 - $950 per ounce Steady gold production Experienced workforce provides solid base Judicious capital investment Seek opportunities to increase margins Proud history of sustainable development 1. 2013 New Zealand Guidan
Slide 21: Blackwater
Blackwater Selected Drill Results* Depth True Grade Drill # (m) Width (m) (g/t Au) Historic 0 – 700 0.7 14.6 WA11 980 0.5 24.5 WA21A 1,316 0.5 23.3 WA22C 1,632 0.5 15.6 WA22D 1,625 1.0 85.2 WA25 1,134 0.3 62.4 WA25A 1,137 0.5 134.0 • Confirmed continuity below historic workings • Inferred resource o
Slide 22: Philippines Operations
Philippines Operations 22 OceanaGold Corporation Innovation Performance Growth
Slide 23: Didipio: A Top Tier Asset
Didipio: A Top Tier Asset 1 From Citi Research Report – 18 January 2013 23 OceanaGold Corporation Innovation Performance Growth
Slide 24: Didipio Commissioning Overview
Didipio Commissioning Overview Commissioning Milestones Concentrate Production Profile (dry tonnes) Commence commissioning Q4 2012 8,000 7,000 Commence milling Nov 2012 6,000 Approximate 2.5 Mtpa run rate Produce first concentrate Dec 2012 5,000 4,000 Truck first concentrate Jan 2013 3,000 F
Slide 25: Didipio Ramp-up & Optimisation
Didipio Ramp-up & Optimisation Didipio Ramp-up Schedule 4.00 250 NW Hole: DDDH83 SE 3.50 200 Shearing 3.00 Zone of Throughput Mtpa Gold '000 oz 2.50 Dogs 150 Two 2.00 1.50 100 1.00 50 UNDERGROUND 0.50 BUFU 0.00 0 2013E 2014E 2015E SYENITE Throughput Full length U/G portion Gold Production Hole DDDH8
Slide 26: D'Beau Prospect
D’Beau Prospect Didipio • Located ~1.0 km south 3.81 g/t Au D’Beau and 0.09% Cu 35.6 g/t Au of Didipio 2.41 g/t Au and 4.12 % Cu and 0.06 % Cu 1.82 g/t Au and 0.63 % Cu • Artisanal miners mining gold from near-surface porphyry dykes 2.23 g/t Au and 0.78% Cu • High grade dykes to be tested at depth f
Slide 27: Investment In Our Local Communities
Investment In Our Local Communities EDUCATION INFRASTRUCTURE HEALTH PROGRAMS SOCIAL DEVELOPMENT MANAGEMENT PLAN Subsidising teacher salaries, Building roads, classrooms, Conducting medical missions, providing scholarships water and drainage systems providing medical assistance 1.5% of operating cost
Slide 28: OceanaGold Transformation
OceanaGold Transformation Social Operations Financial Organic Growth Responsibility Continued Multi-national Increasing free Didipio community producer cash flow optimisation investments 25% to 40% Strengthen Human Rights increase in Blackwater balance sheet leadership production 15% to 35% Health,
Slide 29: Today's Agenda
Today’s Agenda 1. Introduction 2. Formal Business of the Meeting 3. 2012 Performance 4. Looking Ahead 5. Questions & Answers 29 OceanaGold Corporation Innovation Performance Growth
Slide 30: “ate
“ate a) OCEANAGOLD oceanagold.com PC Innovation Performance Growth
Slide 31: Mineral Resources and Reserves
Mineral Resources and Reserves RESOURCE MEASURED INDICATED MEASURED & INDICATED INFERRED RESOURCE Au Au Au Au AREA Mt Au g/t Cu % Cu Mt Mt Au g/t Cu % Cu Mt Mt Au g/t Cu % Cu Mt Mt Au g/t Cu % Cu Mt Moz Moz Moz Moz MACRAES TOTAL 28.7 1.38 1.27 . . 73.1 1.12 2.64 . 101.8 1.19 3.90 . . 51.2 1.15 1.89