Red 5 — Investor Presentation (October 2015)
21 slides from Red 5's investor presentation, October 2015
Slide 1: A growing, low-cost gold producer in the Philippines
A growing, low-cost gold producer in the Philippines Investor Presentation and Company Update – October 2015 Mark Williams, Managing Director and Joe Mobilia, Chief Financial Officer ASX Code: RED
Slide 2: Presentation Overview: 5 Key Pillars
Presentation Overview: 5 Key Pillars ASX-listed gold producer operating in the Philippines 1. Low-cost production from open pit operations at Siana – Forecast to produce 181,000oz at AISC of US$740-790/oz from July 2015 – Open pit JORC 2012 resources of 490,000oz (2.6g/t Au), reserves of 181,000 rec
Slide 3: Corporate Snapshot
Corporate Snapshot Unhedged and debt-free ASX-listed gold producer operating in the Philippines ASX Code RED Directors and Management Share price (as at 23 October 2015) A$0.075 Kevin Dundo – Chairman Issued shares 759.5M Mark Williams – Managing Director Market capitalisation (at 7.5 cps) ~A$56.9M
Slide 4: Siana Gold Project – Location
Siana Gold Project – Location Located in a highly prospective and well-established mining region 4
Slide 5: Low-cost open pit production
Low-cost open pit production Forecast to produce 181,000oz at AISC of US$740-790/oz 1. Revised open pit mining strategy completed in Low cost open pit September 2015 following a comprehensive Technical production Review 2. Underground Updated mining strategy includes modified pit wall potential
Slide 6: Open Pit Mining Schedule and Production Guidance
Open Pit Mining Schedule and Production Guidance Financial year forecast production profile 1. 2015/16 financial year forecast production profile: Low cost open pit Quarter Estimated Au oz production recovered 2. September 2015 quarter (Actual) 17,737 Underground potential December 2015 quarter 10-1
Slide 7: Mining – East Pit Wall Material Movement
Mining – East Pit Wall Material Movement Rapid and effective response to recent material movement on eastern side of open pit 1. Low cost open pit Significant movement of material occurred in East production pit wall in July 2015 2. Focused management plan rapidly implemented Underground to miti
Slide 8: Siana Gold Project – Revised Mining Strategy
Siana Gold Project – Revised Mining Strategy Detailed hydrological and geotechnical review underpins new open pit mine schedule 1. Low cost Pit redesign based on independent open pit production geotechnical review 2. Staged cut-back of the East and West pit Underground walls, Stages 2, 3 and 4 p
Slide 9: Tailings Management System
Tailings Management System Strong tailings management system Knight Piesold (KP) engaged as Tailings Storage 1. Low cost open pit Facility (TSF) specialist since late 2013 production Three TSFs either built or upgraded under the 2. Underground construction management of KP from mid-2014 to poten
Slide 10: Siana – Opportunity to transition to long-term underground mine
Siana – Opportunity to transition to long-term underground mine A blueprint to deliver future growth at Siana • Original Underground Feasibility Study 1. Low cost completed in 2009 open pit production • Underground Technical Review commenced in 2015, utilising Mining One 2. Underground potential • C
Slide 11: Siana – Opportunity to transition to long-term underground mine
Siana – Opportunity to transition to long-term underground mine A blueprint to deliver future growth at Siana 1. Low cost open pit Pre-Feasibility Study will assess the preferred mining methods using conventional production jumbo drill-and-blast for tunnel development and stoping of either: 2. Under
Slide 12: The Future – Exploration and Growth
The Future – Exploration and Growth Surigao del Norte – one of the most mineralised provinces in one of the most mineralised countries globally 1. • Exploration plans and targets identified Low cost open pit • Preparations underway for increased near- production mine and regional exploration activit
Slide 13: Mapawa Project
Mapawa Project Maiden resource paves the way for Scoping Study; longer term exploration upside 1. Low cost 20km north of Siana open pit production JORC 2012 Indicated and Inferred Mineral Resource for LSY deposit of 2. Underground 8.8Mt @ 1.0g/t Au for 289,000oz potential Resource based on 13,
Slide 14: Mapawa Project
Mapawa Project Maiden resource paves the way for Scoping Study; longer term exploration upside 1. Low cost Planned Scoping Study to assess medium open pit term potential to mine higher grade ore production from Mapawa to provide incremental mill 2. feed to the Siana Gold Project during the Undergr
Slide 15: Processing Plant
Processing Plant Only modern operating gold plant in a highly endowed world-class mining region 1. Low cost Modern 1.1Mtpa gravity and carbon-in-leach (CIL) open pit processing facility production Originally constructed in 2011 – total CAPEX of US$53M 2. Underground potential Heart of the plan
Slide 16: Management Track Record – Recent Achievements
Management Track Record – Recent Achievements Realising our potential at Siana and beyond 1. Construction of new tailings storage Gold produced has exceeded forecast in all Low cost facility and modifications to existing TSF’s Quarters in 2015 open pit production completed on time and under-budg
Slide 17: EV/Reserve and EV/Resource multiples vs ASX-listed peers
17 EV/Reserve (A$/oz) EV/Resource (A$/oz) $50 $100 $150 $200 $0 $100 $200 $300 $400 $500 $600 $700 $0 Northern Star $961 Evolution $188 Evolution $463 PanTerra $164 Northern Star $161 Regis $427 Regis $113 Troy $289 Doray $107 Alkane $280 Alkane $100 Aurelia $248 St Barbara $87 OceanaGold $237 Troy
Slide 18: Presentation Overview: 5 Key Pillars
Presentation Overview: 5 Key Pillars ASX-listed gold producer operating in the Philippines 1. Low-cost production from open pit operations at Siana – Forecast to produce 181,000oz at AISC of US$740-790/oz from July 2015 – Open pit JORC 2012 resources of 490,000oz (2.6g/t Au), reserves of Red 5 has a
Slide 19: Disclaimer and Competent Person’s Statement
Disclaimer and Competent Person’s Statement Competent Person’s Statement for JORC 2012 Mineral Resource and Ore Reserve This information was prepared and first disclosed under the JORC Code 2004. It has The information in this report that relates to Mineral Resources and Ore Reserves at not been upd
Slide 20: Disclaimer and Competent Person’s Statement
Disclaimer and Competent Person’s Statement Mineral Resource and Ore Reserve – Siana Underground Forward-Looking Statements This information was prepared and first disclosed under the JORC Code 2004. It has Certain statements made during or in connection with this statement contain or not been updat
Slide 21: Thank you
Thank you Mark Williams (Managing Director) Australia Philippines Kevin Dundo (Chairman) Red 5 Limited Greenstone Resources Corporation Level 2, 35 Ventnor Avenue Level 5, NOL Tower Web: www.red5limited.com West Perth, Western Australia 6005 Commerce Ave E-mail: info@red5limited.com Ph: + 61 8 9322