Slide 1: Resource drill-out, Monty copper-gold discovery
For personal use only Resource drill-out, Monty copper-gold discovery December 2015 Quarterly Report Presentation and Webcast – 28 January 2016 Access this presentation at http://webcasting.brrmedia.com/broadcast/56944abb2ac671c40a8c5881 or www.sandfire.com.au
Slide 2: Forward-Looking Statements
For personal use only Forward-Looking Statements This presentation has been prepared by Sandfire Resources NL. This document contains background information about Sandfire Resources NL current at the date of this presentation. The presentation is in summary form and does not purport be all inclusive
Slide 3: Agenda
Agenda For personal use only • Highlights • Safety • Mining • Processing • Sales • Operating Costs • Guidance • Exploration • Summary and Outlook 3
Slide 4: December 2015 Quarterly Highlights: Production and Operations
December 2015 Quarterly Highlights For personal use only Production ahead of guidance; Monty VMS discovery on track for maiden resource; debt reduced further Production and Operations • 17,642t copper and 9,420oz gold produced; C1 US$1.02/lb • Mining and milling rates continue above nameplate at 1.6
Slide 5: December 2015 Quarterly Highlights: Exploration
December 2015 Quarterly Highlights For personal use only Production ahead of guidance; Monty VMS discovery on track for maiden resource; debt reduced further Exploration • Resource drilling in progress at Monty VMS discovery: maiden Mineral Resource on track for March Quarter • High-grade bornite zo
Slide 6: December 2015 Quarterly Highlights: Corporate and Financial
December 2015 Quarterly Highlights For personal use only Production ahead of guidance; Monty VMS discovery on track for maiden resource; debt reduced further Corporate and Financial • DeGrussa Finance Facility balance further reduced to $75M ($50M Revolver Facility and $25M Amortising Facility) • Ca
Slide 7: Safety
Safety For personal use only Continued sound safety perfomance • Total Recordable Injury Frequency Rate (TRIFR) of 2.7 at Quarter-end (vs. 8.9 at September 2015 Quarter-end) • Pleasing safety performance reflecting the work on initiatives to improve safety performance including development of safety
Slide 8: Mining Overview
Mining Overview For personal use only Production rates on target Underground production and mine development • Total ore production for the Quarter of 399,940 tonnes grading 4.8% Cu • Production rates ~1.6Mtpa • Mine remains in balance between production and back-fill • Conductor 4 and 5 Decline dev
Slide 9: Processing
Processing For personal use only Processing rates on target Mill throughput • 403,806 tonnes milled at average head feed grade of 4.8% Cu • Milling rates continue to match enhanced capabilities of the milling circuit Recovery • Quarterly copper recovery of 91.2%; Gold recovery 43.0% • Opportunities
Slide 10: Sales
Sales For personal use only Copper & Gold Sales • Quarterly sales of 15,143 tonnes of contained copper and 7,147 ounces of contained gold • High quarter end concentrate holding (23,800t) due to early January 2016 shipment and sale 10
Slide 11: Unit Operating Costs
Unit Operating Costs For personal use only C1 and total production costs Unit costs – DeGrussa Mine Q2 FY2016 (US$/lb) Commentary Mining (net of development) 0.35 Solid quarterly copper production Processing 0.30 Increased mining and milling capacity Business services 0.14 Transport, treatment and r
Slide 12: Exploration Overview
Exploration Overview For personal use only Drilling focused on emerging VMS discovery at Monty; testing of other priority targets underway • Main focus of Doolgunna exploration is ongoing diamond/RC drilling at high- grade Monty discovery, ~10km east of DeGrussa on the Talisman farm-in • Drilling co
Slide 13: Monty – new high-grade VMS copper-gold discovery
Monty – new high-grade VMS copper-gold discovery For personal use only • 12,186m of diamond drilling and 7,171m of RC drilling completed during the Quarter 13
Slide 14: Monty – Vertical Longitudinal Projection
Monty – Vertical Longitudinal Projection For personal use only 14
Slide 15: Monty – Cross Section Projection
Monty – Cross Section Projection For personal use only 15
Slide 16: Summary & Outlook
Summary & Outlook For personal use only Strong quarter and outlook; robust balance sheet; growth through exploration and discovery success • H1FY2016 production and cost performance: • 34,280t copper, 17,305oz gold production at C1 cost of US$1.02/lb • Outlook for remainder of FY2016: • FY2016 guida
Slide 17: Contact Details: Sandfire Resources NL
For personal use only Contact Details: Sandfire Resources NL Registered Office and Principal Place of Business Level 1, 31 Ventnor Avenue, West Perth, Western Australia 6005 T +61 8 6430 3800 F +61 8 6430 3849 www.sandfire.com.au 17