Kgl Resources Limited · ASX:KGL
Kgl Resources — Kentor Gold — Investor Presentation (September 2011)
31 slides from Kgl Resources's investor presentation, Sep 27, 2011
Slide 1: Kentor Gold Investor Presentation Update
For personal use only Kentor Gold September 2011 Investor Presentation Update
Slide 2: Corporate Structure
Corporate Structure For personal use only KENTOR GOLD 80% 100% Andash Mining Company (Kyrgyz Republic) Jinka Minerals (Australia) 100% 100% 100% 100% Kyrgyz Republic Andash Burnakura Gabanintha Jervois Gold Copper Gold Gold Copper Silver Gold Lead Zinc X Jervois X X Burnakura & Gabanintha
Slide 3: Andash Project
ANDASH PROJECT Andash Project For personal use only 1.6mtpa to 3.2mtpa throughput Simple and conventional open pit and flotation plant 3 stage crush, grind, float process Average annual production: – 70,000 oz Au and 7,400t Cu – High grade concentrate 24.5% Cu and 72 g/t Au No deleterious
Slide 4: Project Economics (KGL 80%)
ANDASH PROJECT Project Economics (KGL 80%) For personal use only Operating Costs (US$/t) Capital Cost US$96m * Cost component Phase 1 Phase 2 (US$/t) (1.5mtpa) (3mtpa) Cash cost US$29/oz Au Mining 3.46 3.46 (after Cu credits and royalty - Copper US$2.75/lb) Processing 8.62 7.09 G&A 3.38 1.69 1
Slide 5: Project Funding
ANDASH PROJECT Project Funding For personal use only Project Capital Cost US$96m ($83m left to spend) Macquarie Bank debt facility of US$50m No compulsory hedging Cash in the bank US$43m (end of June 2011) 5
Slide 6: Andash
ANDASH PROJECT Andash For personal use only Fully funded through to production Developing one of the world‟s lowest cost gold mines Growing the resource base Negotiations with local community 12 month construction programme 6
Slide 7: Location of Australian Projects
Location of Australian Projects For personal use only Burnakura (100%) 50km south of Meekatharra Gabanintha (100%) 45km southeast of Meekatharra Jervois (100%) 280km northeast of Alice Springs 7
Slide 8: Burnakura Gold Project
BURNAKURA PROJECT Burnakura Gold Project For personal use only 100% Interest – 48 km2 mining licenses Open Pit mining ceased in 1998 (Gold price US$440/oz) CIP plant placed on care and maintenance in Oct 2009 8
Slide 9: Burnakura Project
BURNAKURA PROJECT Burnakura Project For personal use only 9
Slide 10: Long Section along NOA Pits
BURNAKURA PROJECT Long Section along NOA Pits For personal use only 10
Slide 11: Burnakura Resource
BURNAKURA PROJECT Burnakura Resource For personal use only Burnakura Inferred Resource 0.5 g/t Au cut off 1.5 g/t Au cut off Deposit Mt Au g/t Au koz Mt Au g/t Au koz NOA 5.3 1.8 307 2.2 3.0 212 Alliance 1.9 1.3 79 0.4 2.7 35 Lewis Reward 1.2 1.1 42 0.2 2.3 15 Authaal 1.2 1.2 46 0.2 2.8 18 Federal C
Slide 12: Crushing and Heap Leaching Equipment
BURNAKURA PROJECT Crushing and Heap Leaching Equipment For personal use only Note: Photographs of equipment on site at the Indee mine site 12
Slide 13: Burnakura Expansion Plans
Burnakura Expansion Plans For personal use only Phase 4 Gold Production (ounces) Flotation of copper-gold concentrate Phase 3 Expand CIL plant to 500ktpa Phase 2 Heap Leach Phase 1 Restart Existing CIL to 250ktpa June 2012 Time 13
Slide 14: Burnakura Exploration
BURNAKURA PROJECT Burnakura Exploration For personal use only 60 hole Air Core drilling programme completed in September 2011 (blue circles) 8,000m RC drill programme commenced at NOA pits 14
Slide 15: Gabanintha Copper-Gold Project
GABANINTHA PROJECT Gabanintha Copper-Gold Project For personal use only • Mining stopped at base of oxidation • All pits have gold and copper ore at the base • Mining ceased when gold price was US$460/oz 15
Slide 16: Cross section through Terrells open pit
GABANINTHA PROJECT Cross section through Terrells open pit For personal use only Base of Oxidation 16
Slide 17: Gabanintha Inferred Gold resource estimates by deposit area
GABANINTHA PROJECT Gabanintha Copper-Gold Project For personal use only Gabanintha Inferred Gold resource estimates by deposit area 0.5 g/t Au cut off 1.5 g/t Au cut off Au Au Au Au Deposit Kt Kt g/t koz g/t koz 170 1.1 6 30 2.3 2 Tumblegum 1,200 1.1 42 230 2.3 17 Canterbury 1,500 1.2 58 370 2.4 29
Slide 18: Gabanintha Copper-Gold Project
GABANINTHA PROJECT Gabanintha Copper-Gold Project For personal use only • 4.5 Mt @ 1.4 g/t Au (203,000 oz) • High grade component of 1.3Mt @ 2.9 g/t gold for 121,000 oz • Mineralisation remains open at depth • Resource includes 450,000 tonnes @ 0.5% copper 18
Slide 19: Jervois Base Metals Project
JERVOIS PROJECT Jervois Base Metals Project For personal use only • 100% Interest • Land Holding 38 km2 • 12km of prospective strike 19
Slide 20: Reward prospect looking east
JERVOIS PROJECT Reward prospect looking east For personal use only Outcropping Copper Ore
Slide 21: Reward looking south
JERVOIS PROJECT Reward looking south For personal use only
Slide 22: Drilling at Bellbird north
JERVOIS PROJECT Drilling at Bellbird north For personal use only RC Drilling at Bellbird North August 2011 22
Slide 23: Maiden JORC Resource
JERVOIS PROJECT Maiden Jorc Resource For personal use only Initial Inferred Copper Resource of 8.8Mt @ 1.3% Cu and 26.7 g/t Ag 113,000t of contained copper and 7.5 m oz contained silver Resource calculation limited to 200m below surface DEPTH EXTENT OF RESOURCE ESTIMATE 23
Slide 24: Jervois Inferred Resource
Jervois Project Jervois Inferred Resource For personal use only Jervois Inferred Resource Cu Ag Ag Cu cut-off Deposit MTonnes Cu Tonnes % g/t ozs % Reward 4.4 1.3 59,000 30.6 4,380,458 0.5 Bellbird 3.4 1.3 45,000 8.0 870,921 0.5 Green Parrot 0.7 1.0 7,000 93.5 2,073,050 0.3 Bellbird North 0.3 0.7 2,
Slide 25: For personal use only
For personal use only • Diamond Drilling completed September 2011 • Copper ore hosted in magnetite 25
Slide 26: Marshall – Reward Long Section
JERVOIS PROJECT Marshall – Reward Long Section For personal use only 26
Slide 27: Project Development Schedule
Project Development Schedule For personal use only OCT 11 Burnakura Internal Feasibility MAR 12 Construction JUN 12 Commissioning Production DEC 11 Andash Community Relations DEC 12 Construction MAR 13 Commissioning Production DEC 11 Jervois Scoping Study DEC 12 Feasibility Study MAR 13 Finance & Ap
Slide 28: Kentor Group Resources
Kentor Group Resources For personal use only Grade Grade Grade Copper Silver Tonnes (mt) Au g/t Cu% Ag g/t Gold (oz) (t) (Oz) Andash 0.38 0.93 0.25 11,350 950 Jervois 8.8 1.3 26.7 113,000 7,600,000 Burnakura 10.6 1.5 516,000 Gabanintha 4.5 1.4 203,000 Total Inferred Resources 24.28 0.85 0.47 26.7 73
Slide 29: Planned work programme 2011
Planned work programme 2011 For personal use only • JORC compliant resource estimation at Burnakura, Jervois and Gabanintha - Completed • Feasibility study at Burnakura • Air core and RC drilling at Burnakura and Gabanintha • Jervois infill drilling program - Completed • Update the resource estimate
Slide 30: Key Contacts
KEY CONTACTS For more information contact For personal use only Simon Milroy on +61 7 31213206 or visit www.kentorgold.com ASX Code: KGL Level 9, 40 Creek Street, Brisbane, QLD, AUSTRALIA 4000 Fax: +61 7 3121 3030 Forward-Looking Statements: This presentation includes certain “Forward-Looking Statem
Slide 31: Competent Persons Statements
For personal use only Competent Persons Statements The information in this report that relates to mineral resource estimation for Gabanintha and Burnakura is based on work completed by Mr Jonathon Abbott who is a full-time employee of Hellman & Schofield Pty Ltd and a member of the Australasian