Capricorn Metals Ltd · ASX:CMM
Capricorn Metals — Bell Potter Unearthed February 2024
24 slides from Capricorn Metals's conference presentation, Feb 15, 2024
Slide 1: High margin, long mine life gold business with compelling growth
High margin, long mine life gold business with compelling growth February 2024 Corporate Presentation capmetals.com.au 1
Slide 2: Disclaimer & Competent Persons Statement
Disclaimer & Competent Persons Statement GENERAL The purpose of this presentation is to provide general information about Capricorn Metals Limited (“Capricorn” or the Such risks include, but are not limited to resource risk, metals price volatility, currency fluctuations, increased production costs
Slide 3: Who is Capricorn Metals?
Who is Capricorn Metals? History of CMM management group 1995 – 2018 • Two ASX listed gold mining companies • 5 projects built & operated in Australia and Ivory Coast • ~$120m equity raised, >$3bn equity value & $400m dividends Deep & sustained value delivered. How? • In house resource estimate, dev
Slide 4: Capricorn Metals Corporate Summary
Capricorn Metals Corporate Summary Capital Structure Directors and Management Shares on issue (ASX:CMM) 377.4 million Mark Clark – Executive Chairman Kim Massey – CEO Performance rights 2.1 million Mark Okeby – Non Exec Dir Paul Thomas – COO Myles Ertzen – Non Exec Dir Tony Hinkley – GM Operations S
Slide 5: Karlawinda Gold Project
Karlawinda Gold Project Capricorn’s cornerstone asset & template for development of Mt Gibson
Slide 6: Karlawinda Gold Project - snapshot
Karlawinda Gold Project - snapshot Mine type Open pit Plant type 3 stage crush + ball mill CIL processing Throughput 4.0 – 5.0 Mtpa Reserve grade 0.8g/t1 Recovery 93% Strip ratio (w:o) 3.9 Mine life 10 years Ore reserves 1.25Moz1 Mineral resources 2.23Moz1 FY24 guidance 115 – 125koz A$1,270 – 1,370/
Slide 7: Validation of Karlawinda performance – 2.5 years of operations
Karlawinda performance – 2.5 years of operations First gold bar 30 June 2021 Validation of CMM approach • Built on time and budget during COVID ✓ FS parameters & costings robust • First quarter 24.3koz @ <A$1,200/oz AISC ✓ Successful construction • Cash positive & self-sufficient from day 1 ✓ Rapid
Slide 8: KGP – Capricorn’s cornerstone asset and strong cash generator
KGP – Capricorn’s cornerstone asset and strong cash generator Q2FY24 FY23 Ore mined (‘000 BCM) 511 2,443 Waste mined (‘000 BCM) 2,693 10,129 Stripping ratio (w:o) 5.3 4.15 Ore mined (‘000 t) 1,280 5,807 Ore milled (‘000 t) 1,057 4,219 Head Grade (g/t) 1.00 0.96 Recovery (%) 89.4 93.0 H1FY24 continue
Slide 9: KGP Reserve – 10+ years and further growth potential
KGP Reserve – 10+ years and further growth potential Reserves 1.25 million ounces • Mine life ~10 years • Strip ratio 3.9 Resource 2.23 million ounces • Down dip extensions of Reserve Gold prices used • Reserve - A$1,900 (US$1,235) • Resource - A$2,200 (US$1,430) Ultimate depth of ORE/MRE pits • Res
Slide 10: Unlocking the endowment of the KGP region
Unlocking the endowment of the KGP region Scale, Prospectivity & Access • 2,445 square kms of tenure (>100km E-W) • Tenure covers margin of Sylvania Inlier & Pilbara Cratons • Geological setting formative of Bibra >2Moz gold deposit • Limited regional drilling - 97% of drilling within 4km (50km2) of
Slide 11: Unlocking the endowment of the KGP region
Unlocking the endowment of the KGP region Near mine focus Refining geological model & exploration strategy - finding gold within 5km of Bibra. • Berwick 8m @ 14.9g/t from 74m • Muirfield 12m @ 3.54g/t from 20m • Vedas 13m @ 2.19g/t from 140m • Carnoustie 5m @ 4.09g/t from 149m Regional focus Heritag
Slide 12: Mt Gibson Gold Project
Mt Gibson Gold Project Robust & executable project of genuine scale Compelling growth for Capricorn
Slide 13: Mt Gibson Gold Project (MGGP) – the story so far
Mt Gibson Gold Project (MGGP) – the story so far Unique opportunity • Prime location in Murchison, WA • 280km northeast of Perth & <10km off Great Northern Hwy • Historical (1986-99) gold production >868koz, 14 pits avg depth 60m • Closed when gold price cA$450/oz & “off the grid” for 30 years Capri
Slide 14: Maiden Ore Reserve Estimate (ORE) 1.45Moz
Maiden Ore Reserve Estimate (ORE) 1.45Moz1 Probable & Total Cut-off Tonnes Grade Ounces (g/t) (Mt) (g/t) (koz) Oxide 0.4 6.2 0.8 168 Transitional 0.4 7.0 0.9 192 Fresh 0.4 35.5 1.0 1,091 48.7 0.9 1,450 A$1,900/oz (US$1,235) gold price used in Reserve estimate • Conservative, c A$1,000/oz below curre
Slide 15: PFS Highlights – a mine in the making
PFS Highlights – a mine in the making Strong Long Low Cost Low Strong Low Production Mine Life High Margin Capital Cost Financials Technical Profile (post capex/pretax) @ GP A$2750/oz Risk 152kozpa for 10 years AISC 5mpta plant NPV5 Open pit first 7.5 yrs 1.45Moz ORE A$1,420/oz A$260m A$828m Strip r
Slide 16: Mt Gibson – Karlawinda Repeated
Mt Gibson – Karlawinda Repeated Karlawinda Mt Gibson The sequel is just as good as the original… Mine type Open pit Open pit Jurisdiction Western Australia Western Australia Larger Mineral Resources & Ore Reserves Mineral Resource 2.23Moz1 3.24Moz1 Ore Reserve 1.25Moz1 1.45Moz1 Avg. Annual productio
Slide 17: Strong Resource Conversion to ORE & Potential for More
Strong Resource Conversion to ORE & Potential for More MGGP RESOURCE1 Indicated Inferred Total (koz) (koz) (koz) 2,655 588 3,244 Update provides a strong basis for ORE upgrade targeted in Q3 • Increase from 2.76Moz to 3.24Moz (18%) • 82% of MRE now Indicated MRE extension • Excellent data density -
Slide 18: Strong Resource Conversion to ORE & Potential for More
Strong Resource Conversion to ORE & Potential for More Drilling continues to deliver • > 230,000 metres drilled since Jan22 • Adding ounces and significant value • Grown MRE by 1.16Moz (56%) in 2 yrs • Jan22-Oct22 focus was on MRE infill for maiden ORE • Focus since turned to extensional drilling •
Slide 19: Strong Resource Conversion to ORE & Potential for More
Strong Resource Conversion to ORE & Potential for More Drilling continues to deliver • > 230,000 metres drilled since Jan22 • Adding ounces and significant value • Grown MRE by 1.16Moz (56%) in 2 yrs • Jan22-Oct22 focus was on MRE infill for maiden ORE • Focus since turned to extensional drilling •
Slide 20: Underground potential emerging
Underground potential emerging Underground potential emerging • 2023 drilling at Orion intersected broad high-grade mineralisation • Also intersected deeper +2m true thickness high and bonanza grade: • 14m @ 12.85g/t from 208m incl 5m @ 30.38g/t • 17m @ 9.16 g/t from 228m incl 4m @ 35.78g/t • 20m @
Slide 21: Investment Highlights
Investment Highlights Capricorn is a high margin, long mine life gold business with compelling growth • KGP has established Capricorn as one of Australia’s lowest cost gold producers • Consistent operational performance and industry leading cashflow per ounce of production • MGGP is a high-quality d
Slide 22: Mineral Resources
Mineral Resources Indicated Inferred Total Mineral Resources Gold Gold Gold Gold Gold Gold Tonnes Tonnes Tonnes Deposit Type Cut-Off Grade Metal Grade Metal Grade Metal (Mt) (Mt) (Mt) (g/t) (koz) (g/t) (koz) (g/t) (koz) KGP4 Open Pit 0.3 < 80.4 0.7 1,880 17.0 0.6 349 97.4 0.7 2,228 MGGP Open Pit 0.4
Slide 23: Ore Reserves
Ore Reserves Notes: 1. Ore Reserves are a subset of Mineral Resources. 2. Ore Reserves are estimated using a gold price of A$1900/ounce. 3. Ore Reserves are estimated using cut-off grades between 0.3g/t and 0.4g/t Au. 4. The above data has been rounded to the nearest 100,000 tonnes, 0.1 g/t gold gra
Slide 24: Capricorn Metals Ltd (ASX: CMM)
Capricorn Metals Ltd (ASX: CMM) Level 3, 40 Kings Park Road West Perth, WA enquiries@capmet.com.au +61 8 9212 4600 www.capmetals.com.au ABN: 84 121 700 105
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