Igo Limited · ASX:IGO
Igo — Independence Group NL — Denver Gold Forum 2012
40 slides from Igo's conference presentation, Sep 11, 2012
Slide 1: Growing a Great Australian Mining Company
For personal use only GROWING A GREAT AUSTRALIAN MINING COMPANY DENVER GOLD FORUM 2012 Chris Bonwick, Managing Director 9 – 12 September 2012
Slide 2: Disclaimer
DISCLAIMER L For personal use only l Certain oral and written statements contained or incorporated by reference in this presentation, including information as to the future financial or operating performance of the Company and its projects, constitute forward-looking statements. All statement, other
Slide 3: Company History
COMPANY HISTORY L For personal use only 2000 Independence Group NL founded l 2002 Listed on ASX (IGO) 2002 Acquisition: Long Nickel Mine (IGO 100%) 2005 Discovery: Tropicana Gold Project (IGO 30%) Discovery: McLeay Nickel Deposit at Long (IGO 100%) 2008 Discovery: Moran Nickel Deposit at Long (IGO 1
Slide 4: Financial Summary
FINANCIAL SUMMARY L For personal use only Capital Structure: ASX 200 Code: IGO 232.9M shares l Financials: Market Cap. (06/09/12): A$770.8M Cash (30/06/12): A$192.0M Debt (30/06/12): (A$23.4M) Hedge Book (30/06/12): A$23.9M Substantial shareholders: JCP Investment Partners: 13.2% (As advised to IGO
Slide 5: Share Price History
SHARE PRICE HISTORY L Six exploration discoveries since IGO’s inception For personal use only Monthly average share price to 31/07/12 l 5
Slide 6: IGO Major Projects
IGO MAJOR PROJECTS L For personal use only l 6
Slide 7: Tropicana Gold Project (JV)
TROPICANA GOLD PROJECT (JV) IGO 30%, AGA 70%, MANAGER L For personal use only l NEW AUSTRALIAN GOLD PROVINCE UNDER SAND DUNES Regional drilling Preparation for mining 7
Slide 8: Tropicana Gold Project (JV) - Under Construction
TROPICANA GOLD PROJECT (JV) L For personal use only PROJECT UNDER CONSTRUCTION: l Project 50% complete at 30 June 2012 First production estimated December Qtr 2013 ^ IGO attributable production years 1-3 : 141-147,000 oz Au pa ^ Cash costs years 1-3 : A$580-600/oz Au Current gold price (31 Jul 2012)
Slide 9: Tropicana Gold Project (JV) - Site Photos
TROPICANA GOLD PROJECT (JV) L For personal use only SITE PHOTOS: l Site aerial view CIL tank construction Accommodation village Dry mess 9
Slide 10: Tropicana Gold Project - BFS Comparison
TROPICANA GOLD PROJECT (JV) L For personal use only Comparison BFS – November 2010 Current l Reserves 3.45Moz Au 3.91Moz Au Resources 5.01Moz Au 6.41Moz Au Capital Cost Estimate $740M real $740M real $775 nominal $775 nominal Operating Costs LOM (real) A$730/oz incl. royalties A$730/oz incl. royalti
Slide 11: Tropicana Upside Studies & Potential
TROPICANA GOLD PROJECT (JV) L UPSIDE STUDIES & POTENTIAL For personal use only November 2011 Mineral Resource: 88.3Mt @ 2.3g/t Au = 6.41Moz l (A$1,400/oz) June 2011 Open Pit Reserve: 56.4Mt @ 2.2g/t Au = 3.91Moz (A$1,210/oz) Reference : AGA 27 Jul 2011 ASX Release for Reserve Estimate and IGO 29 Nov
Slide 12: Tropicana Upside Studies & Mine Potential
TROPICANA GOLD PROJECT (JV) L UPSIDE STUDIES & MINE POTENTIAL For personal use only Potential Upside to BFS Pit Designs: Inclusion of Boston Shaker pit l Underground operations at Havana, Tropicana and Boston Shaker Joining of pits between Havana and Tropicana Expanded Pit Shell New discovery Explor
Slide 13: Havana Open Cut & Underground Mine Potential
TROPICANA GOLD PROJECT (JV) L HAVANA OPEN CUT & UNDERGROUND For personal use only MINE POTENTIAL l Reference : AGA 27 Jul 2011 ASX Release for Reserve Estimate and IGO 29/ Nov 11 ASX Release for Open Pit and Havana Deeps Underground Resource Estimates 13
Slide 14: Boston Shaker & Swizzler Significant Intercepts
TROPICANA GOLD PROJECT (JV) BOSTON SHAKER & SWIZZLER L For personal use only SIGNIFICANT INTERCEPTS l Drill widths approximate true widths 14
Slide 15: Tropicana Gold Project (JV)
TROPICANA GOLD PROJECT (JV) L For personal use only l 15
Slide 16: Tropicana Fly Through
TROPICANA GOLD PROJECT (JV) L FLY THROUGH For personal use only l 16
Slide 17: Karlawinda Gold Project (IGO 100%)
KARLAWINDA GOLD PROJECT (IGO 100%) L 207% Increase in Resource announced June 2012 to 674,300oz Au. For personal use only New Gold Province in Western Australia’s “Iron Ore Country”. No historical gold workings. l Under cover. Close to infrastructure: major town, airport, sealed roads, major highway
Slide 18: Francopan Prospect Discovery
KARLAWINDA GOLD PROJECT (IGO 100%) FRANCOPAN PROSPECT DISCOVERY L For personal use only l Drill intercepts are quoted as down hole widths, and not true widths 18
Slide 19: Bibra Prospect Cross-Section
KARLAWINDA GOLD PROJECT (IGO 100%) BIBRA PROSPECT CROSS-SECTION L For personal use only Scoping Study commenced. l Potential to increase resources down dip and along strike. Reference: IGO 28 Jun 2012 ASX Release – Karlawinda Gold Project 19
Slide 20: Bibra Prospect Gram x Metre Contours
KARLAWINDA GOLD PROJECT (IGO 100%) BIBRA PROSPECT GRAM X METRE CONTOURS L For personal use only Currently seven untested anomalies for follow-up regional exploration l Reference: IGO 28 Jun 2012 ASX Release – Karlawinda Gold Project 20
Slide 21: Karlawinda Fly Through
KARLAWINDA GOLD PROJECT (IGO 100%) FLY THROUGH L For personal use only l 21
Slide 22: Current Production Assets
For personal use only CURRENT PRODUCTION ASSETS 22
Slide 23: Long Nickel Operation (IGO 100%)
LONG NICKEL OPERATION (IGO 100%) L For personal use only Record* Annual Production – 9,995Ni t. l IGO produced 83,883t Ni since acquisition. June 2011 largest ever Ore Reserve (58,100t Ni) and Resource (83,000t Ni). Exploration success in new areas of Moran East and Long North. Long North, Moran Sou
Slide 24: Long Nickel Quarterly Cash Costs & Revenue
LONG NICKEL OPERATION (IGO 100%) QUARTERLY CASH COSTS & REVENUE L For personal use only Remains a low cost nickel producer l 24
Slide 25: Jaguar & Bentley Production Update
JAGUAR & BENTLEY (IGO 100%) L PRODUCTION UPDATE For personal use only Jaguar & Bentley 2011/12 Guidance 2011/12 Actual Performance l zinc-copper-silver against Guidance Mines Production (Zn Tonnes) 15,500 – 16,500 16,569 0.4% Production (Cu Tonnes) 7,500 – 8,500 7,257 3.2% Production (Ag ozs) 400,00
Slide 26: Innovation in Exploration
For personal use only INNOVATION IN EXPLORATION 26
Slide 27: Mine Geophysics - TEM Equipment
MINE GEOPHYSICS – TEM EQUIPMENT (IGO 100%) L For personal use only Innovative research and development l High powered TEM transmitter **exclusive to IGO** 10 x more powerful than conventional systems. Nickel sulphides are very Doubles search radius conductive and can be detection up to 200m. detecte
Slide 28: De Beers Database (IGO 100%)
DE BEERS DATABASE (IGO 100%) L L Long term exploration asset to find new Australian mineral camps. For personal use only 293,000 geochemical samples collected by DeBeers over 30 years. IGO analysing samples for 57 elements including Ni, Cu, Pb, Zn, Au, ll Ag, Pt, Pd, Ur, rare earths, Sn, Li, K etc.
Slide 29: De Beers Database - 2009 Gold Analysis
DE BEERS DATABASE (IGO 100%) L L IGO 2009 gold analysis of De Beers samples For personal use only collected before the discovery of the ll Plutonic Gold Mine (WA). Sample storage No buy-back or royalties in future mineral discoveries 29
Slide 30: IGO Asset Pipeline
IGO ASSET PIPELINE L For personal use only Combination of low cost cash flows from current operating mines with l significant long-life development projects and highly prospective exploration Highly complementary management and technical capabilities, with proven successful track records of explorat
Slide 31: Contact Details
INDEPENDENCE GROUP L CONTACT DETAILS For personal use only l Perth Office Chris Bonwick, Managing Director Suite 4, Level 5, South Shore Centre 85 South Perth Esplanade South Perth, Western Australia, 6151 PO Box 496, South Perth, Western Australia, 6951 Telephone: +61 8 9238 8300 Facsimile: +61 8 9
Slide 32: Long Nickel Operation Fly Through
LONG NICKEL OPERATION (IGO 100%) FLY THROUGH L For personal use only l 32
Slide 33: Appendix: Reserves and Resources Statements
For personal use only APPENDIX RESERVES AND RESOURCES STATEMENTS 26
Slide 34: Reserves and Resources - Long Nickel Operation
RESERVES AND RESOURCES L For personal use only LONG NICKEL OPERATION Mineral Resources 30 June 2011 l Ore Reserve 30 June 2011 1,2 2 Undiluted at 1% Ni Cut-off at Economic Ni Cut-off Classification Tonnes Ni% Ni Tonnes Classification Tonnes Ni% Ni Tonnes LONG Measured 26,000 5.6 1,500 LONG Indicated
Slide 35: Reserves and Resources - Tropicana Gold Project JV
RESERVES AND RESOURCES L For personal use only TROPICANA GOLD PROJECT JV l Mineral Resources Ore Reserve November 2011 June 2011 Contained Contained Tonnes Grade Gold Tonnes Grade Gold 1 2 3 4 Classification (Mt) (g/t) (Moz) Classification (Mt) (g/t) (Moz) Measured 28.2 2.1 1.95 Indicated 49.4 2.0 3
Slide 36: Reserves and Resources - Jaguar / Bentley Operation
RESERVES AND RESOURCES L For personal use only JAGUAR / BENTLEY OPERATION JAGUAR / BENTLEY OPERATION Mineral Resources 30 June 2011 l Ore Reserve 30 June 2011 Classification Tonnes Cu% Zn% Ag g/t Au g/t Classification Tonnes Cu% Zn% Ag g/t Au g/t JAGUAR Measured 373,000 3.5 5.9 81 - JAGUAR Proven 35
Slide 37: Reserves and Resources - Stockman Project
RESERVES AND RESOURCES L For personal use only STOCKMAN PROJECT l Mineral Resources 30 June 2011 Classification Tonnes Cu% Zn% Pb% Ag g/t Au g/t CURRAWONG Indicated 9,130,000 2.0 4.2 0.8 42 1.2 Inferred 305,000 1.4 4.1 0.6 34 0.5 Total 9,435,000 2.0 4.2 0.8 42 1.2 WILGA Indicated 2,368,000 2.1 5.5 0
Slide 38: Reserves and Resources - Bibra Deposit
RESERVES AND RESOURCES L For personal use only BIBRA DEPOSIT (INFERRED RESOURCES - JUNE 2012) l Tonnes Au Grade Contained Au Mineralisation Type (Mt) (g/t) (oz) Laterite 2.2 1.1 77,100 Upper Saprolite 0.9 1.1 31,000 Lower Saprolite 1.9 1.1 63,600 Transitional 2.1 1.0 68,200 Sub-total 7.1 1.1 239,900
Slide 39: Reserves and Resources - Rosie Nickel Resources
RESERVES AND RESOURCES L For personal use only ROSIE NICKEL RESOURCES l Maiden Mineral Resources > 1.0 Ni - December 2011 Classification Oxidation Tonnes Ni (% ) Ni (t) Cu (% ) Pt (g/t) Pd (g/t) Pt+Pd (g/t) Indicated Fresh 685,000 1.9 13,300 0.4 0.8 1.1 1.9 Transitional 30,000 1.6 500 0.3 0.7 1.2 1.
Slide 40: Competent Persons Statements
COMPETENT PERSONS STATEMENTS L For personal use only l Notes: The information in this summary presentation that relates to Exploration Results is based on information compiled by Mr Christopher M Bonwick who is a full-time employee of the Company and is a member of the Australasian Institute of Mini