Northern Star Resources Ltd · ASX:NST
Northern Star Resources — Technical Presentation (May 2021)
50 slides from Northern Star Resources's technical presentation, May 26, 2021
Slide 1: KCGM Site Visit
For personal use only The Australian Gold Miner - For Global Investors KCGM Site Visit - May 2021
Slide 2: Forward Looking Statements, Reserves and Resources
Forward Looking Statements, Reserves and Resources Forward Looking Statements For personal use only Northern Star Resources Limited has prepared this announcement based on information available to it. No representation or warranty, express or implied, is made as to the fairness, accuracy, completene
Slide 3: Contents
Contents For personal use only ▪ INTRODUCTION Stuart Tonkin - Chief Executive Officer 1 ▪ ASSET OVERVIEW Kous Kirsten - General Manager 5 ▪ ESG Dave McCutcheon - HSEC Manager 12 ▪ MINE GEOLOGY Emma Murray-Hayden - Geology Manager 15 ▪ RESOURCES AND RESERVES Emma Murray-Hayden - Geology Manager 20 ▪
Slide 4: A business first, mining company second
A business first, mining company second Core Values For personal use only 4
Slide 5: Asset Overview
For personal use only ASSET OVERVIEW 5
Slide 6: KCGM - Tier-1 Asset in a Tier-1 Location
KCGM - Tier-1 Asset in a Tier-1 Location ▪ Large, long life open pit and underground gold mine; part of For personal use only NST’s Kalgoorlie Production Centre ▪ On track to achieve FY21 production guidance; 440-480koz at AISC A$1,470-A$1,570/oz ▪ Operation being de-risked and productivities are in
Slide 7: A dominant player in a Tier-1 Location
A dominant player in a Tier-1 Location For personal use only Reserves by production centre Resources by production centre Kalgoorlie production centre 1.5Moz 6.9Moz (excluding Carosue Dam) 4.5Moz 10.1Moz 15.0Moz 37.6Moz Kalgoorlie Yandal North America Kalgoorlie Yandal North America ▪ KCGM 55% of Gr
Slide 8: Site Leadership Team
Site Leadership Team For personal use only General Manager Kous Kirsten Geology Open Pit Underground Processing HSEC Principal Principal Manager Manager Manager Manager Manager Commercial Human Resources Emma Murray Justin Foster Rob Parsons Greg Sheppard Dave McCutcheon Ros Jenkin Dianne Newell Hay
Slide 9: Asset Overview
Asset Overview For personal use only Stockpiles 2.3Moz 0.7Moz Fimiston Mill Oroya Brownhill Fimiston South Mt Charlotte Underground Golden Pike Mt Percy 9
Slide 10: Robust plan to deliver profitable growth
Robust plan to deliver profitable growth Production to rise to +675,000ozpa by FY28 For personal use only Production (koz) ▪ Focus on large, low-cost mining areas that maximise fleet productivity 800 ▪ Fimiston South ramp-up (baseload supply, 700 Reserve 5.4Moz) 600 500 ▪ Increased access to Golden
Slide 11: Long life asset
Long life asset Production profile For personal use only ▪ 13-year mine life visibility, 100% in Reserves (11.6Moz at 31 March 2021) KCGM Production Profile FY21 FY22 FY23 FY24 FY25 FY26 FY27 FY28 FY29 FY30 FY31 FY32 FY33 FY34 Open Pit Oroya Brownhill Fimiston South Stage 1 Golden Pike South Fimisto
Slide 12: Environment, Social Responsibility & Governance
For personal use only ENVIRONMENT, SOCIAL RESPONSIBILITY & GOVERNANCE 12
Slide 13: Protection of our environment
Protection of our environment Environmental Impact Management For personal use only ▪ Dust, noise, vibration are well understood and managed to minimise impacts ▪ Live monitoring data sites provide real time data for decision making and agile response ▪ Live data publicly available ▪ Key environment
Slide 14: Mitigating social risk and creating value
Mitigating social risk and creating value Protect and Grow our Social Licence For personal use only Trust the Company to act responsibly ▪ “Local Voices” engagement tool that is used to track and Extremely trend community perception over time (developed by CSIRO) ▪ Data publicly available ▪ Agile re
Slide 15: Mine Geology
For personal use only MINE GEOLOGY 15
Slide 16: Mine-scale geological overview of KCGM
Mine-scale geological overview of KCGM For personal use only 16
Slide 17: Fimiston growth potential
Fimiston growth potential Significant upside potential both within and outside of current Resources For personal use only 47,700mN cross section of Fimiston showing mine geology 47,600mN E-W cross section through the Fimiston deposit, with select intersections shown. Note that intersection widths sh
Slide 18: Mount Charlotte
Mount Charlotte The gift that keeps on giving For personal use only ▪ Despite mining continuously since the 1960s, discoveries continue to be made in close proximity to existing workings - strong emphasis on increasing exploration in and around Mt Charlotte operations ▪ Existing development provides
Slide 19: Resources and Reserves
For personal use only RESOURCES AND RESERVES 19
Slide 20: Future underpinned by strong Reserve growth
Future underpinned by strong Reserve growth 11.6Moz Reserves at 31 March 2021 (v 9.7Moz 30 June 2020) For personal use only ▪ Investment in drilling unlocks strong Ore Reserves (Moz) increase in Ore Reserves Moz 14 ▪ Fimiston South the key driver, now 5.4Moz (v 3.9Moz 9 months earlier) 12 10RESERVES
Slide 21: Geology model surprises on the upside
Geology model surprises on the upside Free gold For personal use only Fimiston Open Pit Mining Reconciliation (9 months ended 31 March 2021) ▪ 32% more gold at KCGM; Mined tonnes and ounces have outperformed forecasts for the 9 months ended 31 March 2021 Fimiston Linking Structures (black) ▪ Key dri
Slide 22: Future underpinned by strong Reserve growth
Future underpinned by strong Reserve growth ORE RESERVES For personal use only As at 31 March 2021 TOTAL RESERVES 9 month Δ Tonnes Grade Ounces Ounces ('000t) (gpt) ('000 ozs) KCGM Surface Brown Hill 17,170 1.4 754 44 Golden Pike 22,779 2.0 1,465 (24) Fimiston South 90,643 1.8 5,389 1,460 Morrison 1
Slide 23: Future underpinned by strong Resource growth
Future underpinned by strong Resource growth 26Moz Resources at 31 March 2021 (v 19Moz at 30 June 2020) For personal use only ▪ Significant growth at Fimiston South Mineral Resources (Moz) Moz through an extensive drill program 30 ▪ Fimiston underground Resources of 25 4.0Moz highlights ongoing grow
Slide 24: Future underpinned by strong Resource growth
Future underpinned by strong Resource growth MINERAL RESOURCES For personal use only As at 31 March 2021 TOTAL RESOURCES 9 month Δ Tonnes Grade Ounces Ounces (000's) (gpt) (000's) KCGM Surface Mt Percy 8,091 1.2 317 317 Croesus 10,534 1.7 588 215 Oroya Brownhill 30,332 1.4 1,324 408 Golden Pike 100,
Slide 25: Open Pit Mining
For personal use only OPEN PIT MINING 25
Slide 26: Open pit make-over
Open Pit Mining Open pit make-over For personal use only ▪ Mining areas doubling from two to four: ▪ Golden Pike South - Underway ▪ Morrison (Fimiston South starter) - Underway ▪ OBH - Underway ▪ Fimiston South - Underway KCGM Production Profile FY21 FY22 FY23 FY24 FY25 FY26 FY27 FY28 FY29 FY30 FY31
Slide 27: Outstanding productivity gains
Open Pit Mining Outstanding productivity gains For personal use only ▪ Targeting total material movements of 70- Open Pit Total Material Mined (Mt) 100Mtpa in line with historical volumes: ▪ Early wins - Total material mined Mt increased by >200% in 12 months 80 70 ▪ April total material mined >6Mt
Slide 28: Fleet renewal underway
Open Pit Mining Fleet renewal underway For personal use only ▪ 2 x Komatsu PC8000 Shovels - 1 completed, second by March 2022 ▪ 34 x Caterpillar 793F Dump trucks - September 2021 to April 2022 ▪ 3 x Caterpillar D10T dozers - 2 completed, third by end of 2021 ▪ 2 x Caterpillar 18 Graders - End of 202
Slide 29: Open Pit Mining - Fimiston South
Open Pit Mining - Fimiston South KCGM’s largest cutback in a decade For personal use only ▪ Two stages, Stage 1 underway Super Pit Cutbacks ▪ 12 year mine life ▪ 10:1 average strip ratio ▪ 850Mt total material movement ▪ Project economics get better every day: ▪ Strip ratio declines ▪ Grade increase
Slide 30: Open Pit Mining - Golden Pike
Open Pit Mining - Golden Pike Priority mining front For personal use only ▪ High grades - Reserves 23Mt @ 2.0g/t for 1.5Moz Golden Pike Cutback ▪ Low strip ratio of 1.6:1 ▪ Waste pre-stripping completed in the preceding ~10 years by former owners ▪ Mining continues at the Golden Pike South cutback ▪
Slide 31: Open Pit Mining - Oroya Brownhill (OBH)
Open Pit Mining - Oroya Brownhill (OBH) East wall remediation on track For personal use only ▪ Mining underway, eight years of mining OBH cutback looking south planned in two stages ▪ Average strip ratio 6.2:1 (including pre-strip) ▪ Average grade 1.4g/t ▪ On track to achieve remediation timeframe ~
Slide 32: Underground Mining
For personal use only UNDERGROUND MINING 32
Slide 33: Underground Mining - Mount Charlotte
Underground Mining - Mount Charlotte The gift that keeps on giving For personal use only Mt Charlotte Section ▪ Historic production of >5.5Moz at an average grade of 3.6g/t ▪ Resources of 42Mt @1.8g/t for 2.5Moz v 1.9Moz 9 months earlier ▪ Reserves of 14Mt @ 2.1g/t for 0.9Moz v 0.4Moz 9 months earli
Slide 34: Underground Mining - Mount Charlotte: Outstanding productivity gains
Underground Mining - Mount Charlotte Outstanding productivity gains For personal use only Underground Ore Mined (Mt) ▪ Strong increases in underground productivities - April 2021 production >115kt ore Mt 1.6 ▪ This follows several productivity-focused initiatives including: 1.4 1.2 ▪ Opening new min
Slide 35: Underground Mining - Northern Star Mining Services
Underground Mining - Northern Star Mining Services Successful transition 1 January 2021 For personal use only ▪ The NSMS system of work has proven capabilities and systems to achieve industry leading performance across all areas: ▪ Safety, productivity, utilisation, training and development, costs ▪
Slide 36: Underground Mining - Fimiston: Sleeping giant
Underground Mining - Fimiston Sleeping giant For personal use only Fimiston Underground long section ▪ World-class Fimiston deposit has produced >65Moz at a mined grade of 5.0g/t since 1893 ▪ Historic underground workings extend to ~1,400m below surface ▪ Historic drilling intersects mineralisation
Slide 37: Underground Mining - New Portal
Underground Mining - New Portal New portal successfully cut For personal use only ▪ Re-establish underground access beneath the open pit ▪ Provide drill platforms to infill and extend the current Resource 37
Slide 38: Processing
For personal use only PROCESSING 38
Slide 39: Processing Overview
Processing Overview 13Mtpa capacity For personal use only ▪ Processing primarily sulphides ore ▪ Crush, grind, flotation and CIL ▪ The majority of flotation concentrate is processed through ultra fine grinding (UFG) followed by CIL at Gidji. 39
Slide 40: Processing Overview
Processing Overview Key focus: For personal use only ▪ District milling optimisation commenced with Summary March Q (3mths) FYTD (9mths) Mt Charlotte ore treated at Kanowna Belle Throughput 2.8Mt 9.4Mt Head Grade 1.4g/t 1.3g/t ▪ March quarter included one-off planned 14 day mill shutdown to modernis
Slide 41: Exploration
For personal use only EXPLORATION 41
Slide 42: Exploration and Growth: Golden Mile extended
Exploration and Growth “Golden Mile” extended For personal use only ▪ Multiple opportunities within trucking distance of the Fimiston mill ▪ Mt Percy - Maiden Resource 8.1Mt @ 1.2g/t for 317koz - Near surface growth potential, ongoing drilling ▪ Little Wonder - Large shallow stockwork just 500m in
Slide 43: Exploration and Growth: World Class Growth Potential
Exploration and Growth World Class Growth Potential For personal use only ▪ 297km2 of tenure, hosting +30km of the Boulder-Lefroy structural corridor ▪ Limited focus on regional exploration potential on KCGM tenure over the past 20 years (opportunity) ▪ Strong progress made on key growth opportuniti
Slide 44: Near Mine Exploration Potential
Near Mine Exploration Potential Mature world class system, however, drill data is surprisingly sparse at depth For personal use only ~4,500oz per vertical ~44,000oz per vertical metre average mined metre average mined to date to date 44
Slide 45: Exploration - Mt Percy
Exploration - Mt Percy ▪ Located 4km north of the Fimiston processing plant and less than 1km north of Little Wonder For personal use only ▪ Multiple mineralisation styles ▪ Drilling has targeted bulk potential of the stockwork mineralisation 45
Slide 46: Exploration - Little Wonder
Exploration - Little Wonder ▪ Emerging area sitting only 500m in the footwall of the analogous Mt Charlotte mine For personal use only ▪ Large body of shallow stockwork mineralisation ▪ Outcrops at surface ▪ 182.4m @ 2.3g/t less than 300m from surface 46
Slide 47: Exploration - Jack's Reward
Exploration - Jack’s Reward ▪ Regional prospect located 5km south of the Fimiston mill For personal use only ▪ Drilling has identified strong Mt Charlotte style veining ▪ Moderate to strong sericite, ankerite and pyrite alteration associated with quartz veining 47
Slide 48: Exploration - Hannan's South and Shae
Exploration - Hannan’s South and Shae ▪ RC drill testing two targets: For personal use only ▪ The supergene and Super Pit hypogene mineralisation along strike / plunge of the Hannan’s South Jack’s Reward open pit ▪ Stockwork veined porphyry intrusions at Shae Hannan’s South ▪ Early outcomes: ▪ Abund
Slide 49: KCGM Project Pipeline
KCGM Project Pipeline For personal use only ▪ Strong pipeline of quality targets across all project stages ▪ A$12M committed in FY21 to test early-stage projects 49
Slide 50: Northern Star Resources Limited
Northern Star Resources Limited ASX Code: NST For personal use only The Australian gold miner – for global investors Investor Enquiries: Troy Irvin Level 1, 388 Hay Street, Subiaco 6008 Western Australia T: +61 8 6188 2100 E: investorrelations@nsrltd.com W: www.nsrltd.com 50
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