Peninsula Energy Limited · ASX:PEN
Peninsula Energy — Q1 2017 Earnings Presentation
14 slides from Peninsula Energy's earnings presentation, May 3, 2017
Slide 1: Quarterly Results Webcast Presentation ASX cover letter
For personal use only 3 May 2017 Companies Announcement Office Via Electronic Lodgement PENINSULA ENERGY LIMITED QUARTERLY RESULTS WEBCAST PRESENTATION Peninsula Energy Limited (Peninsula) held an investor update webcast including the attached presentation to cover the March quarter and path forward
Slide 2: Q1 - CY2017 Results
For personal use only Lance Plant Site – Wyoming, USA Q1 - CY2017 Results 03-May-2017 ASX:PEN
Slide 3: Disclaimer & Competent Person
Disclaimer & Competent Person For personal use only This presentation is provided on the basis that the Company nor its representatives make any warranty (express or implied) as to the accuracy, reliability, relevance or completeness of the material contained in the Presentation and nothing containe
Slide 4: Agenda
Agenda For personal use only • Quarterly Highlights 1. Board & Management Changes 2. Uranium Sales 3. Uranium Market 4. Production 5. Costs 6. Financial Position 7. Debt Facilities & Gearing 8. CY2017 Outlook Winter image of Devils Tower National Monument, Wyoming.to Reservoir beside Mine Unit 1 Mr
Slide 5: Board & Management Changes
Board & Management Changes For personal use only • The Board completed a planned transition at the end of the quarter • Mr Wayne Heili replaced Mr John (Gus) Simpson as MD & CEO • Mr Warwick Grigor and Mr Richard Lockwood stepped down • Mr David Coyne joined the Board as Finance Director • The new P
Slide 6: Uranium Sales
Uranium Sales For personal use only • 250,000 pounds of U3O8 sold at an average US$54/lb 150,000 lbs purchased Contracted to purchase a further 300,000 lbs p.a. over next 3 years at average cost of US$25/lb 100,000 lbs of Lance Production 5
Slide 7: Uranium Market Notes
Uranium Market Notes For personal use only • Production Restraint is becoming a common theme • The big miners have cut back production by 10-12% in Q1 CY17 • Kazatomprom, Cameco, Areva, Paladin, more • Demand for carbon-free nuclear power continues to grow • Utilities have >800 m lbs U3O8 of uncover
Slide 8: Production Results
Production Results • 25,293 lbs produced in quarter For personal use only • Following operating strategy announced in Q416 • Three new Header Houses (#’s 5, 6 &7) commissioned • Two of the three new houses now contributing to production • HH #7 in re-circulation prior to production • Flow rates stab
Slide 9: Production Planning
Production Planning • Tightly Controlled Development Activities and Costs For personal use only • Seven header houses operating • House #8 is under construction and is due online in Q2 CY2017 • Well drilling is active in house #9 • Technical Team Focussed on Optimising Operating Parameters • Filtrat
Slide 10: Costs
Costs For personal use only • Significant progress made on sustainable cost reductions Payments for: Actual Actual F’cast (US$’000) Dec Qtr CY16 Mar Qtr CY17 Jun Qtr CY17 Exploration & Evaluation 514 285 300 Development 2,442 1,435 1,400 Production 3,531 4,130 3,700 Sales, Admin & Corporate(1) 1,054
Slide 11: Strong Financial Position
Strong Financial Position Cash Balances and Movement For personal use only US$m 35 30 25 20 15 10 5 0 31 Dec 16 SPP (Net) Cash from U3O8 Production Explor. & Devel Inventory Corp & Other 31 Mar 17 Sales Purchases Costs Finance • Successful Share Purchase Plan • Cash received from U3O8 sales made in
Slide 12: Finance Facilities & Gearing
Finance Facilities & Gearing Working Capital For personal use only US$7.5m overdraft; US$3.5m drawn Repaid in full 1st week April US$7.5m TFF; US$3.2m drawn Trade finance smooths cashflows Finance Leases / Mortgages Individual agreements US$1.2m outstanding at 31 Mar 17 2-4 year terms Surety Bonds C
Slide 13: Outlook & Closing Remarks
Outlook & Closing Remarks Very strong committed cash margins secured For personal use only Sales and purchases at fixed prices Significant contract sales book that supports long-term revenue outlook Average sale price US$54/lb Forecasting cash positive Q2 CY2017 Maintaining a healthy cas
Slide 14: Contact Details
For personal use only REGISTERED OFFICE Unit 17, Level 2, 100 Railway Road Subiaco, Western Australia 6008 Australia www.pel.net.au info@pel.net.au FURTHER INFORMATION Wayne Heili Managing Director +61 8 9380 9920 Contact Details 13