Slide 1: June 2018 Quarterly Report Presentation and Webcast – 27 July 2018
For personal use only June 2018 Quarterly Report Presentation and Webcast – 27 July 2018 Access this presentation at: http://webcasting.brrmedia.com/broadcast/5b2aeea449e38c1023dbd10f or http://www.sandfire.com.au 1
Slide 2: Important Information and Disclaimer
Important Information and Disclaimer Forward-Looking Statements For personal use only 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
Slide 3: Competent person’s statements
Competent person’s statements DeGrussa and Monty Mineral Resource For personal use only The information in this report that relates to the DeGrussa Mineral Resource is based on information compiled by Mr Callum Browne who is a Member of The Australasian Institute of Mining and Metallurgy. Mr Browne
Slide 4: Competent person’s statements: Exploration Results Doolgunna
Competent person’s statements Exploration Results Doolgunna For personal use only The information in this report that relates to Exploration Results is based on information compiled by Mr. Shannan Bamforth who is a Member of The Australasian Institute of Mining and Metallurgy. Mr Bamforth is a perma
Slide 5: Agenda
Agenda For personal use only ► Highlights ► Safety ► Operations ► Development ► Guidance and costs ► Exploration ► Summary 5
Slide 6: June 2018 Quarterly Highlights
June 2018 Quarterly Highlights Production and Operations For personal use only ► June 2018 Quarter: 17,867t copper and 9,548oz gold produced; C1 US$0.80/lb ► FY2018: 64,918t copper and 39,273oz gold produced; C1 US$0.93/lb ► FY2019 guidance: 63-67kt of contained copper, 37-40koz of contained gold; C
Slide 7: Safety
Safety ► Total Recordable Injury Frequency Rate (TRIFR) of 7.1 at Quarter-end For personal use only (vs. 6.4 at March 2018 Quarter-end) ► Principal hazard management – key theme to improve safety culture ► Focus continues to be applied to improving safety leadership, culture and assurance of critica
Slide 8: Operations – Mining
Operations – Mining For personal use only Underground production ► Total ore production for the Quarter of 412,116 tonnes grading 4.7% Cu ► Total ore production for FY2018 of 1.67M tonnes grading 4.3% Cu ► Mine remains in balance between production and back-fill ► FY2019 ore to come from DeGrussa an
Slide 9: Operations – Processing
Operations – Processing Mill throughput For personal use only ► Quarter: 391,909 tonnes milled at average feed grade of 5.0% Cu ► FY2018: 1.64M tonnes milled at average feed grade of 4.3% Cu Recovery ► Quarter: Copper recovery of 91.8%; Gold recovery 47.5% ► FY2018: Copper recovery of 91.4%; Gold re
Slide 10: Operations – Capital programs
Operations – Capital programs For personal use only Additional concentrate thickener & filter ► Commencing commissioning early Q1 FY2019 ► Increases peak concentrate capacity to 400,000tpa ahead of Monty ore blending from late Q2 FY2019 10
Slide 11: Development – Monty Copper-Gold Project
Development – Monty Copper-Gold Project For personal use only ► Sandfire is Manager of the Springfield JV – interests Sandfire 70%/Talisman 30% ► In principle agreement reached to acquire Talisman’s 30% interest in the Springfield JV – refer announcement ► Decline works progressing 11
Slide 12: Operations – Sales
Operations – Sales ► June 2018 Quarter: Sales of 72,512 tonnes of concentrate (dry) containing 17,515 tonnes of For personal use only copper (16,778 tonnes payable) and 10,085 ounces of gold (9,325 ounces payable) ► FY2018: Sales of 260,765 tonnes of concentrate (dry) containing 62,918 tonnes of cop
Slide 13: Operations – FY2018 Unit Operating Costs
Operations – FY2018 Unit Operating Costs Q4 For personal use only Unit costs – DeGrussa Mine FY2018 FY2018 Commentary (US$/lb) (US$/lb) Mining (net of development) 0.35 0.44 C1 costs assisted by: - High copper production Processing 0.26 0.30 - Cost control - Higher mining grades Business services 0.
Slide 14: Development and Growth – Black Butte Copper Project, USA
Development and Growth – Black Butte Copper Project, USA For personal use only ► 78% stake in Black Butte Copper Project, central Montana (via stake in Sandfire Resources America Inc) ► Advanced, high quality copper project in stable jurisdiction: – Mineral Resource: 18Mt at 3.3% Cu, 14g/t Ag, 0.10%
Slide 15: Doolgunna Exploration Overview
Doolgunna Exploration Overview ► Exploration continuing as a priority along highly prospective VMS For personal use only corridor that hosts the DeGrussa and Monty deposits: – Intersected the prospective sequence and sulphide and transitional mineralisation in the Auris Minerals Ltd farm in project
Slide 16: Doolgunna Exploration Overview
Doolgunna Exploration Overview ► Exploration advancing at multiple prospects within Greater Doolgunna area: For personal use only ► 47,572m AC/RAB drilling ► 6,307m RC drilling ► 4,915m surface DD drilling ► Total Tenure – 6,276km2 16
Slide 17: Summary & Outlook
Summary & Outlook For personal use only ► Production and cost performance – FY2018 strong result: 64,918t copper and 39,273oz gold produced; C1 US$0.93/lb – FY2019 guidance: 63-67kt of contained copper, 37-40koz of contained gold; C1 costs US$1.00-1.05/lb – Monty under development; first ore schedul
Slide 18: 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 18