Kingsrose Mining Ltd · ASX:KRM
Kingsrose Mining — Investor Presentation (February 2012)
21 slides from Kingsrose Mining's investor presentation, Feb 29, 2012
Slide 1: Exceptional grades, exceptional costs, exceptional growth
Exceptional grades, exceptional costs, exceptional growth Corporate Presentation March 2012
Slide 2: Kingsrose – Strategic Focus
Kingsrose – Strategic Focus • Specialist Miner • Focus on, non-mechanized, narrow vein mining. • Geological Focus • “Rim of Fire” • Bonanza Grade, Low Sulphidation Epithermals • Key Project • Way Linggo (85%) in Sumatra, Indonesia
Slide 3: Kingsrose … Way Linggo on the “Rim of Fire”
Kingsrose … Way Linggo on the “Rim of Fire” • Located in the Rim of Fire and on the Trans Sumatra Fault Zone • World’s second-most significant source of gold deposits – Tertiary Age 3
Slide 4: Kingsrose … The Approach
Kingsrose … The Approach • Developing Country – A need to be socially responsible. • Respect for local customs, cultures and beliefs • Local workforce – 4 expats only • Focus on regional economic output and employment multipliers. • Sustainable outputs from training, education and social programs. •
Slide 5: Kingsrose … Rewarding our Shareholders
Kingsrose … Rewarding our Shareholders • Capital Appreciation. • Over 500% share price increase in 3 years • Organic Growth – self funding a $14m Good Liquidity exploration budget this year from cash flow • Dividends • Announced intent to pay an interim dividend in June Qtr 2012 5
Slide 6: Way Linggo Mine – the growth
Way Linggo Mine – the growth • Orebody drilled just 350m along strike and 200m vertically • Epithermal veins continuous in all directions • Evidence of fluid telescoping system • Possible extensions to extend ore system 250m 150m 6
Slide 7: Way Linggo Process Plant
Way Linggo Process Plant • Free milling ore (non-refractory) • 140,000tpa conventional plant • Crushing > milling > leach >merrill-crowe > smelting > gold & silver dore. • Gold and silver refined at refinery in Java, Indonesia. • SAG mill installed mid-2011 to de-bottleneck materials handling issues
Slide 8: Way Linggo – The scorecard
Way Linggo – The scorecard 2011 C year Steady State Expanded Capability Mill Tonnes t 106,410 140,000 200,000 Gold grade g/t 12.9 11.0 11.0 Gold Produced oz 40,497 45,000 64,000 Mining Cost US$/t 66 50 48 Process Cost US$/t 88 76 71 Admin Cost US$/t 29 19 14 Operating Cost US$/t 183 145 133 Cash Cos
Slide 9: Organic Growth – Exploration Strategy
Organic Growth – Exploration Strategy • Corporate Objective – to self-fund exploration and project development • Mining operation is built – focus now moved toward exploration and extending life and/or expanding scale. • Exploration Strategy & Budget – US$14m for 2011-12 year, 11+ drill rigs • Build
Slide 10: Immense exploration upside
Immense exploration upside • 100sqkm 4th Generation Contract of Work • 15 defined epithermal zones/ 15 exploration targets targets • Epithermal veins exist 3 exploration and/or outcrop priorities Talang cluster • Strong gold and Way Linggo mine associated metal Semung Kecil anomalism exists. • 11 ri
Slide 11: Talang Santo – Major Cluster of Epithermal Veining
Talang Santo – Major Cluster of Epithermal Veining • The first priority target to be extensively drill tested was successful. • Located just 7km north of Way Linggo with a haul road in place. • Resource Estimate (Inferred) 879,000t @ 5.9 g/t Au & 14.6g/t Ag 166,000oz Gold & 413,000oz Silver • Drill-
Slide 12: Talang Santo – Ore system expanding
Talang Santo – Ore system expanding Latest drill results - mineralisation is open to the west, east & at depth 350m 600m 12
Slide 13: Talang Santo – Ore system expanding
Talang Santo – Ore system expanding Comparison to Way Linggo 250m 150m 350m 600m 13
Slide 14: Talang Santo – The Second Mine
Talang Santo – The Second Mine • Development starts - just 9 months after the first significant drill result. • Trial mining has commenced – ore production expected to supplement Way Linggo ore feed late in June quarter 2012. 14
Slide 15: Way Linggo – Total Mineral Resource Estimate (JORC)
Way Linggo – Total Mineral Resource Estimate (JORC) Classification Tonnes Au g/t Ag g/t Au oz Ag oz Measured Way Linggo 467,400 12.44 166.8 186,940 2,506,500 Indicated Way Linggo 182,800 6.09 84.5 35,790 496,600 Inferred Way Linggo 60,200 3.77 38.1 7,300 73,700 Subtotal Way Linggo 710,000 10.24 135.
Slide 16: Exceptional growth – Aggressive drilling program
Exceptional growth – Aggressive drilling program • Drill testing of other priority Targets: • Extensions to the Way Linggo Mine • Semung Kecil – on 3rd hole, high grade epithermal floats. • Way Sapta – a structural look-alike to Way Linggo – good outcropping veins. • Rowo Rejo – big sinter and brecc
Slide 17: Corporate Summary
Corporate Summary Board Members Corporate Structure Market ASX John Morris Chairman Share Code KRM Chris Start Managing Director Listed Option Code KRMO Tim Spencer Finance Director Share Price $1.30 Bill Phillips Director 52 week high/low $0.90 - $1.96 Peter Cook Director Shares on Issue 273 Millio
Slide 18: Kingsrose – Achieving and Performing
Kingsrose – Achieving and Performing • Our Achievements • In 3 years – acquired, permitted, designed, developed and delivered production from the Way Linggo mine. • Emerged as one of the lowest cost gold miners in the world. • Developed the project with a socially responsible, technically appropriat
Slide 19: Why Invest in Kingsrose?
Why Invest in Kingsrose? Exceptional Grade Specialist high-grade narrow vein miners – We chase profit not ounces. Exceptional Cost Sub- US$200/oz after silver credits, Project EBITDA US$16.7m Dec 2011 Quarter Exceptional Growth Second mine at Talang Santo – exceptional prospectivity Rewarding our Sh
Slide 20: Disclaimer
Disclaimer General Disclaimer • This presentation has been prepared by Kingsrose Mining Limited (“Kingsrose” or the “Company”). It should not be considered as an offer or invitation or inducement to subscribe for or the purchase of any securities in the Company. This presentation contains forecasts
Slide 21: Board of Directors – Highly Experienced & Successful
Board of Directors – Highly Experienced & Successful Mr. Morris has over 36 years experience in exploration, project development and management of public listed resource companies. John Morris He has held prior directorships in a number of gold and base metals public companies in Australia and overs
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