Peninsula Energy Limited · ASX:PEN
Peninsula Energy — Q2 CY2017 Earnings Presentation
14 slides from Peninsula Energy's earnings presentation, Jul 26, 2017
Slide 1: Quarterly Results Webcast Presentation announcement
For personal use only 26 July 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 June quarter at 11.30am AEST
Slide 2: June Quarter Results 2017
For personal use only June Quarter Results 2017 Webcast │ 26 July 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. Focus Areas during the Quarter 2. Uranium Market 3. Lance Project Production 4. Karoo Project 5. Costs 6. Corporate Financial Position 7. Corp. Debt Facilities & Gearing 8. CY2017 Outlook Kudu buck at Karoo NP, South Africa – June 2017 Mr Wayne
Slide 5: Focus Areas During June Quarter
Focus Areas During June Quarter For personal use only • Delivered First Ever Quarter of Positive Free Cash Flow Generation • Implementation of Production Improvement Plan • Lixiviant mix optimization • Wellfield pattern reversals • Consistency in operations • Tight Cost Control • Completed move to s
Slide 6: Uranium Market Overview
Uranium Market Overview For personal use only • Uranium price has been weak but is now firming up on fundamentals • Production restraint • Utilities have an estimated uncovered demand of >800 million pounds U3O8 over next 10 years • China forecast to double nuclear capacity to 58 GWe by 2020/2021 •
Slide 7: Lance - Improved Production Results
Lance - Improved Production Results • 30,574 lbs produced in the quarter For personal use only • 44,059 lbs dried & drummed in the quarter • Following operating strategy announced in 4Q16 • Header house 7 turned to CPP during the quarter • Header house 8 build completed, house in recirculation mode
Slide 8: Lance Focal Points
Lance Focal Points • Orderly Development Activities and Related Costs For personal use only • Seven header houses supply CPP • House #8 turned to CPP on 13 July • Drilling complete for house #9; infield piping installation ongoing • Technical Team Focus on Optimising Operations • Injection side filt
Slide 9: Karoo Projects (South Africa)
Karoo Projects (South Africa) • Technical Studies For personal use only • Progressed key activities to support a PFS • Draft mine plan, production plan and costs estimates prepared • Review and optimisation ongoing • Current uranium price environment challenging for hard rock mines such as Karoo • M
Slide 10: Quarter over Quarter Cost Reductions
Quarter over Quarter Cost Reductions For personal use only • Committed to continued sustainable cost reductions Payments for: Actual Actual Actual F'cast (US$'000) Dec Qtr CY16 Mar Qtr CY17 Jun Qtr CY17 Sep Qtr CY17 Exploration & Evaluation 514 285 213 500 Development & PPE 2,442 1,435 2,258 1,350 P
Slide 11: Strong Corporate Financial Position
Strong Corporate Financial Position Cash Balances and Movement For personal use only 20.0 18.0 16.0 14.0 12.0 US$' million 10.0 8.0 6.0 4.0 2.0 0.0 31 Mar 17 Overdraft Net Sales Production Explor. & Corp & Finance Misc US 30 Jun 17 Repayment Inventory Proceeds Costs Devel Other Costs Finance Finance
Slide 12: Corporate Debt Facilities & Gearing
Corporate Debt Facilities & Gearing Working Capital For personal use only US$7.5m overdraft; US$0.0m drawn Repaid in full 1st week April US$7.5m TFF; US$1.0m drawn Trade finance smooths cash flows US Finance Leases / Mortgages Individual agreements US$1.5m outstanding at 30 Jun 17 2-4 year terms Sur
Slide 13: Outlook & Closing Remarks
Outlook & Closing Remarks Uranium production company with globally significant project resource base For personal use only Significant contract sales book that supports long-term revenue outlook Sales and purchases at fixed prices, Average sales price of US$54/lb • Very strong committed cash m
Slide 14: Contact Details
For personal use only Contact Details REGISTERED OFFICE Unit 32/33, Level 3, 22 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 13