Centerra Gold Inc. · TSX:CG
Centerra Gold — FY2004 Earnings Presentation
12 slides from Centerra Gold's earnings presentation, Jan 27, 2005
Slide 1: 2004 Year-End Conference Call
2004 Year-End Conference Call January 27, 2005 1 Speakers ! Len Homeniuk President and Chief Executive Officer ! David Petroff Executive Vice President and Chief Financial Officer 2
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements contained in this presentation which are not historical facts are forward looking statements that involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed o
Slide 3: 2004 in Review: A Year of Significant Accomplishments
2004 in Review: A Year of Significant Accomplishments Corporate objectives met ! Successfully completed IPO – Largest gold IPO on the TSX since 1994 – 5th largest on the TSX in 2004 ! Increased ownership in both Kumtor and Boroo ! Eliminated long-term debt and gold hedge positions 5 2004 in Review:
Slide 4: Good exploration results; Reserves & Resources
2004 in Review: A Year of Significant Accomplishments Good exploration results ! Increased reserves at both Kumtor and Boroo – Extending mine life by approximately one year ! Significantly upgraded and expanded the Gatsuurt and REN projects ! A gold price of $375 per ounce was used for all of the re
Slide 5: Reserve Objectives; Kumtor 2004 Review
Reserve Objectives Property Objectives Kumtor Add 1 – 1.5 million ozs Boroo/ Boroo/Gatsuurt Add 1 million ozs REN 3 – 4 million ounces 9 2004 in Review: A Year of Significant Accomplishments Kumtor: ! Surpassed production milestone of five million ozs of gold ! Total production of 657,329 ozs ! Cash
Slide 6: Boroo 2004 Review
2004 in Review: A Year of Significant Accomplishments Boroo ! Successful ramp-up; consistent above-design capacity operations ! Total production of 245,701 ozs ! Cash cost of US$149 per oz ! Excellent safety and environmental performance 11 Speakers ! David Petroff Executive Vice President and Chief
Slide 7: Ownership Interest and Fourth Quarter Income Statement
Centerra’s Ownership Interest* * As Reflected in the Statement of Earnings 2004 2003 Q1 Q2 Q3 Q4 Year Kumtor 33% 33% 100% 100% 33% Boroo - 53% 95% 95% - 13 Income Statement Fourth Quarter US$ millions 2004 2003 Revenue 88 30 Cost of sales 43 14 Depreciation, depletion and reclamation 21 5 Exploratio
Slide 8: Income Statement and Balance Sheet
Income Statement US$ millions 2004 2003 Revenue 247 82 Cost of sales 110 47 Depreciation, depletion and reclamation 54 15 Exploration 15 7 Interest and other ( 8) 1 Administration 12 4 64 8 Other expenses 8 - Income tax expense - 1 Minority interest 5 ( 2) Net earnings 51 9 Earnings per common share
Slide 9: Cash Flows; Sensitivity to the Gold Price
Cash Flows Fourth Quarter Year US$ millions 2004 2003 2004 2003 Cash provided (used) by operations 25 ( 1) 89 24 Investing activities ( 4) ( 11) 13 ( 60) Financing activities 1 9 41 26 Increase (decrease) in cash 22 ( 3) 143 ( 10) Cash at the beginning of the period 131 13 10 20 Cash at the end of t
Slide 10: 2005 Outlook - Production, Cash Cost, Exploration and Capital
2005 Outlook - Production & Cash Cost Forecast 2005 Q1 Year Ounces poured - 100% - Kumtor 131,000 512,000 - Boroo 63,000 250,000 - Total 194,000 762,000 Total cash cost - US$ per ounce - Kumtor $ 252 $ 255 - Boroo $ 199 $ 179 - Consolidated $ 235 $ 230 19 Outlook 2005 - Exploration and Capital Expen
Slide 11: Priorities for 2005
Speakers ! Len Homeniuk President & CEO 21 Priorities for 2005 ! Continue to evaluate various avenues of growth ! Pursue optimal production at Kumtor and Boroo ! Initiate and complete feasibility study on Gatsuurt property 22
Slide 12: Question Period
Question Period 23 centerrsrs Centerreccel hon