Perseus Mining Limited · ASX:PRU
Perseus Mining — Investor Presentation (April 2019)
34 slides from Perseus Mining's investor presentation, Apr 8, 2019
Slide 1: West African Gold Producer, Developer and Explorer
WEST AFRICAN GOLD PRODUCER, DEVELOPER and EXPLORER CORPORATE PRESENTATION 8 APRIL 2019 ASX/TSX: PRU www.perseusmining.com PERSEUS MINING LIMITED| WWW.PERSEUSMINING.COM
Slide 2: Cautionary Statements
CAUTIONARY STATEMENTS Caution Regarding Forward Looking Information: This report contains forward-looking information which is based on the assumptions, estimates, analysis and opinions of management made in light of its experience and its perception of trends, current conditions and expected develo
Slide 3: A Compelling Investment Opportunity
A COMPELLING INVESTMENT OPPORTUNITY West African gold producer, developer & explorer Multi-mine, multi-jurisdiction operations Gold production growing to ~500,000oz pa by 2022 Balance sheet capacity and strong cash flows to fund growth Experienced board & management team and Strong social licence to
Slide 4: Simple Corporate Strategy for Value Creation
SIMPLE CORPORATE STRATEGY FOR VALUE CREATION INVEST IN ASSETS INVEST IN PEOPLE Acquire and replenish through organic or Lead, motivate and continuously up-skill inorganic means, a geopolitically diverse our operating & management teams portfolio of mineral resources Consistently produce DEVELOP MINE
Slide 5: Near Term Guidance
NEAR TERM GUIDANCE GUIDANCE FY 2019 PARAMETER UNITS Dec 18 Half Jun 19 Half Full Year Gold Production ounces 130-150,000 130-150,000 271-291,000 All-In Site Costs $US/ounce 950 – 1,150 850 – 1,000 925 – 1,000 December 2018 Half actual production was 140,555 ounces at an AISC of US$999 per ounce, mid
Slide 6: March 2019 Quarter in Line with Guidance
MARCH 2019 QUARTER IN LINE WITH GUIDANCE Reconciled March 2019 Quarter gold production of 67,144 ✓ ounces, including: • 44,680 ounces from Edikan • 22,464 ounces from Sissingué March 2019 production was 5% more than in the corresponding ✓ quarter in 2018 ✓ A total of 69,139 ounces of gold was poured
Slide 7: Calendar Year 2018 Highlights
CALENDAR YEAR 2018 HIGHLIGHTS ✓ Gold Production up 39% to 288,463 ounces - in line with guidance AISC 10% lower at US$994 per ounce - in line with guidance ✓ Cash and bullion up 103% to A$92 million. Net Cash increased ✓ 221% from -A$19 million to +A$23 million Turnaround of Edikan Gold Mine continu
Slide 8: Improved Operating Performance
IMPROVED OPERATING PERFORMANCE Production (oz) AISC (USD/oz) 100,000 $2,000 80,000 $1,600 60,000 $1,200 40,000 $800 20,000 $400 - $- Dec 16 Mar 17 Jun 17 Sep 17 Dec 17 Mar 18 June 18 Sep 18 Dec 18 Mar 19 Qtr Qtr Qtr Qtr Qtr Qtr Qtr Qtr Qtr Qtr Edikan Sissingué AISC USD/oz (RHS) PERSEUS MINING LIMITE
Slide 9: Improving Financial Position
IMPROVING FINANCIAL POSITION At 31 March 2019 USD million $100 $40 Cash on hand US$58 million $80 $20 Cash & Bullion US$81 million $60 $- Bank debt US$44.5 million $40 $(20) Net Cash & Bullion US$36 million $20 $(40) Strong future cashflows Borrowing capacity US$150 million $0 $(60) Dec-17 Mar-18 Ju
Slide 10: Attractive Long-Term Growth
ATTRACTIVE LONG-TERM GROWTH1 Production (koz pa) AISC (US$/oz) GROWTH DERIVED FROM 600 1,200 EXISTING ASSET BASE 500 400 800 NEW RESERVES IMPROVE GROWTH PROFILE 300 200 400 SUCCESSFUL EXECUTION 100 KEY TO DELIVERY 0 0 2018* 2019 2020 2021 2022 Year Ending 30 June Edikan Sissingué Yaouré AISC USD/OZ
Slide 11: Two Producing Gold Mines
TWO PRODUCING GOLD MINES OUR LOCATIONS PRODUCING ASSETS Côte d’Ivoire - Sissingué (86%)1 West Africa M&I Mineral Resource: 0.5Moz Ore Reserve: 0.4Moz SISSINGUÉ GOLD MINE (5+ YEARS) Africa Ghana - Edikan (90%) 2 M&I Mineral Resource: 3.0Moz Ore Reserve: 1.6Moz EDIKAN GOLD MINE (6+ YEARS) Notes: 1 Ore
Slide 12: Edikan Gold Mine
EDIKAN GOLD MINE PERSEUS’S FIRST OPERATING MINE Large scale, multi open-pit mining operation ✓ Produced more than 1.35Moz gold to date ✓ 3.0 Moz M&I Mineral Resources incl. 1.6 Moz of P&P Ore Reserves1 ✓ Updated LOMP delivering lower AISC and improved cash flow ✓ ✓ Mine life of 6 years with strong p
Slide 13: Sissingué Gold Mine
SISSINGUÉ GOLD MINE PERSEUS’S NEWEST MINE ✓ High-grade, low-cost, multi open-pit mining operation ✓ 0.5Moz M&I Minerals Resources incl. 0.4Moz of P&P Ore Reserves1 ✓ Successful development and ramp up in production in Q1 2018 ✓ Low AISC and strong positive cashflow ✓ Potential to extend mine life No
Slide 14: Development Asset
DEVELOPMENT ASSET PROJECTS West Africa YAOURÉ GOLD OPEN PIT DEVELOPMENT PROJECT (8.5+ YEARS) Africa YAOURÉ GOLD Côte d’Ivoire - Yaouré (90%)1, 2 UNDERGROUND DEVELOPMENT PROJECT M&I Open Pit Mineral Resource: 1.9Moz (? YEARS) Ore Reserve: 1.5Moz Inferred Underground Resource: 0.6Moz Notes: 1 Ore Rese
Slide 15: Yaouré Gold Project
YAOURÉ GOLD PROJECT NEXT GOLD MINE Economically attractive - IRR of 27% and 32 month payback period at ✓ US$1,250/oz gold Technically robust - 3.3Mtpa plant with average annual gold production ✓ of 215,000 ounces at an AISC of US$734/oz for first 5 years Excellent location - Close to excellent exist
Slide 16: Yaouré Gold Project: Decision to Mine Imminent
YAOURÉ GOLD PROJECT Decision to Mine Imminent 2017 Positive DFS completed in October 2017 2018 FEED Study completed October 2018 Committed Letter of Offer for a US$150 million corporate revolving 2019 debt facility signed with a syndicate of 3 banks on 05/04/19 Final permitting approval due early Q2
Slide 17: Near Mine and Greenfields Exploration
NEAR MINE AND GREENFIELDS EXPLORATION EXPLORATION FOCUS West Africa 1. EDIKAN – NEAR MINE Africa 2. SISSINGUÉ & YAOURÉ – NEAR MINE 3. CÔTE D’IVOIRE - REGIONAL Granted Permits Applications Mines 100km Gold Deposits PERSEUS MINING LIMITED| WWW.PERSEUSMINING.COM 17
Slide 18: Edikan Exploration Details
EDIKAN EXPLORATION DETAILS Resistivity Esuajah NE Fobinso Esuajah Nth Esuajah Sth Esuajah Gap AG Fetish Fetish & Bokitsi Ext. Bokitisi Mampon Chirawewa Saa NE Huntado Abreshia & Dadieso NE Dadieso Edikan – near mine exploration targets Esuajah Gap – Grade shells g/t; 0.5, 0.8, 1.2 and 2.0 view looki
Slide 19: Sissingué Exploration Details
SISSINGUÉ EXPLORATION DETAILS West East South Sissingué – Fimbiasso South AC drilling Sissingué – near mine exploration targets PERSEUS MINING LIMITED| WWW.PERSEUSMINING.COM 19
Slide 20: Yaouré Exploration Details – Mine Extension Targets
YAOURÉ EXPLORATION DETAILS – MINE EXTENSION TARGETS S9 Angovia 2 CMA South Yaouré – pit extension targets Yaouré – near pit drill targets PERSEUS MINING LIMITED| WWW.PERSEUSMINING.COM 20
Slide 21: Yaouré – Underground Model
YAOURÉ – UNDERGROUND MODEL Inferred UG Resource1: 1.1Mt @ 6.2g/t for 595koz Notes:. 1. Based on 5 November 2018 Underground Mineral Resources estimate, reported at a COG of 2.0g/t gold, 46% overlaps the Open Pit Resources above PERSEUS MINING LIMITED| WWW.PERSEUSMINING.COM 21
Slide 22: Yaouré Exploration Details – Underground Sections
YAOURÉ EXPLORATION DETAILS – UNDERGROUND SECTIONS PERSEUS MINING LIMITED| WWW.PERSEUSMINING.COM 22
Slide 23: Yaouré Exploration Details – Near Mine Targets
YAOURÉ EXPLORATION DETAILS – NEAR MINE TARGETS CMA NE GOVISOU Akasou AKAKRO Degbreze SAYIKRO KKG AKASOU Allekran Yaouré – Highly prospectively corridors and strong regolith geochemistry Yaouré West – Significant regolith geochemical targets with no drilling PERSEUS MINING LIMITED| WWW.PERSEUSMINING.
Slide 24: Contacts
CONTACTS APPENDICES ASX/TSX: PRU www.perseusmining.com Jeff Quartermaine Andrew Grove Managing Director & CEO GM Business Development & +61 8 6144 1700 Investor Relations +61 414 011 383 Panoramic view of the Yaouré site, Perseus’s third mine development. PERSEUS MINING LIMITED| WWW.PERSEUSMINING.CO
Slide 25: Capital Structure
CAPITAL STRUCTURE As at 5 April 2018 AUD USD Shareholder base as at 23 January 2019 1 Franklin Templeton Investments (USA) 7.7% ASX Share price per share 0.46 0.33 2 Ruffer LLP 5.8% 3 Van Eck Associates Corp. 5.4% Shares outstanding 1,043 m 1,043 m 4 Australia Super Fund 5.2% 5 RDV Corporation 4.8%
Slide 26: Experienced Board of Directors & Management Team
EXPERIENCED BOARD OF DIRECTORS & MANAGEMENT TEAM Sean Harvey Jeff Quartermaine Colin Carson Non-Executive Chairman Managing Director and CEO Executive Director John McGloin Sally-Anne Layman Non-Executive Director Non-Executive Director PERSEUS MINING LIMITED| WWW.PERSEUSMINING.COM 26
Slide 27: Calendar Year 2018 Production Statistics
CALENDAR YEAR 2018 PRODUCTION STATISTICS Calendar Year 2018 Production Statistics Parameter Unit Edikan Sissingué Group 2 Gold Production & Sales Total material mined tonnes 34,868,075 5,634,555 40,502,630 Total ore mined tonnes 10,130,554 1,588,704 11,719,258 Average ore grade mined g/t gold 1.09 1
Slide 28: Perseus Group Mineral Resources and Ore Reserves
PERSEUS GROUP MINERAL RESOURCES AND ORE RESERVES PERSEUS GROUP MINERAL RESOURCES Measured Indicated Measured + Indicated Inferred Project Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz 1 Edikan 37.3 1.19
Slide 29: Edikan Mineral Resource Estimate
EDIKAN MINERAL RESOURCE ESTIMATE1 EDIKAN MINERAL RESOURCES as at 30 June 2018 Measured Indicated Measured + Indicated Inferred Deposit Deposit Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Type Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz 1, 2, 3
Slide 30: Edikan Ore Reserve Estimate
EDIKAN ORE RESERVE ESTIMATE1 EDIKAN MINERAL RESOURCES as at 30 June 2018 Measured Indicated Measured + Indicated Inferred Deposit Deposit Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Type Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz 1, 2, 3 AF Ga
Slide 31: Sissingué Mineral Resource Estimate
SISSINGUÉ MINERAL RESOURCE ESTIMATE1 SISSINGUÉ MINERAL RESOURCES as at 31 August 2018 Measured Indicated Measured + Indicated Inferred Deposit Deposit Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Type Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz
Slide 32: Sissingué Ore Reserve Estimate
SISSINGUÉ ORE RESERVE ESTIMATE1 SISSINGUÉ ORE RESERVES as at 31 August 2018 Proved Probable Proved + Probable Deposit Deposit Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Type Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz 3,5 Sissingué Open pit 4.3 2.10 289 0.1 2.1 10 4.4 2.1 299 4,
Slide 33: Yaouré Mineral Resource Estimate
YAOURÉ MEASURED + INDICATED MINERAL RESOURCE ESTIMATE YAOURÉ MINERAL RESOURCES Measured Indicated Measured + Indicated Inferred Deposit Deposit Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Type Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz CMA Ope
Slide 34: Yaouré Ore Reserve Estimate
YAOURÉ ORE RESERVE ESTIMATE YAOURÉ ORE RESERVES as at 30 June 2018 Proved Probable Proved + Probable Deposit Deposit Quantity Grade Gold Quantity Grade Gold Quantity Grade Gold Type Mt g/t gold koz Mt g/t gold koz Mt g/t gold koz 1,2 CMA Open Pit 20.7 1.97 1,310 20.7 1.97 1,310 Yaouré1,2 Open Pit 4.