Slide 1: Full Year 2016 Results Presentation
Consistently Delivering On Commitments February 24, 2017 Full Year 2016 Results Presentation
Slide 2: Cautionary & Technical Statements
Cautionary & Technical Statements Cautionary Notes - Information Purposes Only The information contained in this presentation is provided by OceanaGold Corporation (“OGC”) for informational purposes only and does not constitute an offer to issue or arrange to issue, or the solicitation of an offer t
Slide 3: 2016 Achievements
2016 Achievements Consistently delivering on commitments RECORD ANNUAL REVENUE RECORD ANNUAL NET PROFIT $628.6 $136.5 million million 2016 PRODUCTION 2016 AISC 416,741 $708 ounces per ounce sold ACHIEVED GUIDANCE: Five consecutive years SOLID FINANCIALS: Record earnings, increased cash flows HAILE C
Slide 4: Consolidated Production Profile
Year-on-Year Comparison Consolidated Production Profile 46 Gold production (koz.) 20 419 (69) 417 REVENUE: 24% STEADY YoY PRODUCTION EBITDA: 47% 2015 Didipio Waihi Macraes and 2016 Reefton NET PROFIT: 157% Consolidated All-In Sustaining Costs 1000 18% REDUCTION GOLD PRICE RECEIVED: 8% 900 868 IN COS
Slide 5: Consistent Positive Results
Consistent POSITIVE Results Consistently delivering industry leading return on invested capital Annual Return on Invested Capital(1) 18 16 14 Positive ROIC each year 12 10 8 6 4 2 0 2010 2011 2012 2013 2014 2015 2016 3-YR AVERAGE ANNUAL ROIC(1): 13.3% 2017E ROIC(2): 18.7% 1. Source: Bloomberg 2. Sou
Slide 6: Ongoing Focus on Safety
Ongoing Focus on Safety Total Recordable Injury Frequency Rate* 14 12 10 8 6 4 2 0 2011 2012 2013 2014 2015 2016 *Note. Total Recordable Injury Frequency Rate = (number of recordable injuries / number of man hours worked) x 1,000,000 6
Slide 7: Haile Commissioning
Haile Commissioning Advancing Haile to commercial production First Gold Bars from Haile Gold Mine Members of the Haile Development and Commissioning teams 7
Slide 8: Haile Process Plant
Haile Process Plant Grinding and Processing Circuit, February 1 2017 PLANT UTILISATION: YTD utilisation rate > 60% ramping up well; MTD utilisation rate >80% SEQUENTIAL FOCUS: Oxide/transitional ore: Grinding, leaching, thickener, refining & tailings Sulphide ore: flotation and fine grind POSITIVE R
Slide 9: Haile Mining
Haile Mining Mill Zone Pit STEADY STATE MINING: Achieving planned rates of 60,000 tonnes per day and higher POSITIVE RECONCILITATION: More tonnage, slightly better grades MINING MULTIPLE PITS: Ore bound at Mill Zone pit, commenced stripping Snake pit GROWING INVENTORY: Sulphide stockpile growing 9
Slide 10: Operational Performance
2016 OPERATIONAL PERFORMANCE
Slide 11: Didipio Overview
Didipio Overview 2016 Production Gold Produced Copper Produced OPERATING COSTS 50,000 5,972 6,272 7,000 2016 2015 Copper Production (tonnes) 45,000 6,000 5,114 Gold Production (oz) 40,000 35,000 5,000 Mining costs (US$/t 3,765 2.54 2.35 30,000 4,000 mined) 25,000 Processing costs (US$/t 3,000 8.45 8
Slide 12: 2016 Didipio Physicals
2016 Didipio Physicals 2016 Mining Physicals 2016 Ore Mined Grade Total Ore Mined Waste Mined Ore Mined Grade Gold Ore Mined Grade Copper 8,000,000 1.20 0.60 0.51 0.52 0.44 0.45 Copper Grade (%) 6,000,000 0.90 Gold Grade (g/t) Tonnes Mined 0.40 4,000,000 5,564,339 5,535,009 4,347,840 1,885,581 0.60
Slide 13: Didipio Mine Plan
Didipio Mine Plan UNDERGROUND DEVELOPMENT: Progressing to plan OPEN PIT MINING: Expected to cease H2 2017 UNDERGROUND CAPEX: Slightly higher initial capex costs; increased scope, timing of expenditures 13
Slide 14: Philippines Update
Philippines Update OPERATIONS CONTINUE WITHOUT INTERRUPTION “AUDIT PROCESS” UPDATE: Received suspension order on Feb 14, 2017 citing “… petition of the Local Government of Nueva Vizcaya for the cancellation of the FTAA; alleged damages to houses caused by the blasting operation; and the potential ad
Slide 15: Didipio in 2017
Didipio in 2017 2017 GUIDANCE 2017 CAPEX (USD million) Gold Production oz 110,000 – 130,000 Non-Sustaining 60 – 65 Copper Production tonnes 15,000 – 17,000 Sustaining + 8 – 10 Pre-strip/capitalised mining AISC per oz sold $130 – $180(1) Cash Costs per oz sold ($20) – $40(1) Exploration Under review
Slide 16: Waihi 2016 Overview
Waihi 2016 Overview Achieved 2016 Guidance 2016 Production 40,000 35,000 30,000 25,000 ounces 20,000 15,000 10,000 5,000 36,983 26,540 23,225 29,280 0 Q1 Q2 Q3 Q4 MINING: Sourced ore solely from the Correnso vein while stoping commenced in the Daybreak vein. Ore drive development continued at the Em
Slide 17: 2016 Waihi Physicals
2016 Waihi Physicals 2016 Mining Physicals 2016 Processing Physicals Total Ore Mined Total Waste Mined Ore Mined Grade Mill Feed Mill Feed Grade 200,000 10.0 160,000 8.80 10.0 8.72 8.54 7.76 8.50 7.77 Ore Mined Grade (g/t) 7.13 Mill Feed Grade (g/t) 40,440 8.0 7.20 8.0 150,000 120,000 55,400 Tonnes
Slide 18: Waihi in 2017
Waihi in 2017 2017 GUIDANCE 2017 CAPEX (USD million) Gold Production oz 110,000 – 120,000 Non-Sustaining 2–3 Sustaining + AISC per oz sold $740 – $790 10 – 14 Pre-strip/capitalised mining Cash Costs per oz sold $460 – $510 Exploration 12 – 15 PRODUCTION: Steady with H1 similar to H2 EXPLORATION: Inc
Slide 19: Waihi Exploration Program
Waihi Exploration Program Significant exploration Extensiveprogram planned exploration for at Waihi to Waihi in 2017 continue MARTHA PROJECT 5 drill rigs testing extensions beneath REGIONAL EXPLORATION Martha Pit WKP, other targets in ONE MILLION-OUNCE Coromandel district TARGET UNDERGROUND DRILLING
Slide 20: 2016 Macraes Overview
2016 Macraes Overview 2016 Gold Production 50,000 40,000 30,000 ounces 20,000 10,000 34,511 31,941 40,182 42,453 0 Q1 Q2 Q3 Q4 MINING: Less waste, more ore available from the Coronation Pit PROCESSING: Continued higher recoveries ORGANIC GROWTH: Advanced Coronation North and now in mine plan, advanc
Slide 21: 2016 Macraes Physicals
2016 Macraes Physicals 2016 Mining Physicals 2016 Processing Physicals Total Ore Mined Total Waste Mined Ore Mined Grade Mill Feed Mill Feed Grade 12,000,000 1.16 1.20 1,600,000 1.20 1.05 0.90 0.84 0.99 1.04 1.00 1.00 Ore Mined Grade (g/t) Mill Feed Grade (g/t) 9,000,000 0.90 1,200,000 0.90 tonnes t
Slide 22: Macraes in 2017
Macraes in 2017 2017 GUIDANCE 2017 CAPEX (USD million) Gold Production oz 180,000 – 190,000(1) Non-Sustaining – Sustaining + AISC per oz sold $950 – $1,000 45 – 52 Pre-strip/capitalised mining Cash Costs per oz sold $600 – $650 Exploration 5–8 PRODUCTION: H2 > H1 on the back of higher grade ore from
Slide 23: Macraes Exploration
Macraes Exploration Exploration on 35-km of strike 30,000 m of drilling planned in 2017 Look to continue to discover extensions of life of mine Primary targets Coronation North – ongoing Frasers Underground – ongoing Golden Point – Q1 2017 Lot’s Wife – Q2 2017 Ounce – Q3 2017 Advancing the Gold-Tung
Slide 24: Financial Performance
a) OCEANAGOLD 2016 FINANCIAL PERFORMANCE
Slide 25: Financial Position (as at Dec 31, 2016)
Financial Position (as at Dec 31, 2016) Cash (Exclusive of $ 94.6m(1) marketable securities) Undrawn Facility Total Liquidity $69m $27m $96m Equipment Leases (2) $52m Drew down $30.0m of the facility offset by Total Debt Drawn Facility repaying $3.9m of capital leases $325m $273m Notes: 1. Based on
Slide 26: Dividend Declared
Dividend Declared DIVIDEND PAYMENT Ordinary Dividend per common share or CDI US$0.01 per share (now semi-annual) Aggregate payment ~US$6m Payment Currencies USD, CAD, AUD, NZD & GBP DIVIDEND PAYMENT FREQUENCY: Now paid semi-annually, $0.02/sh annual payment maintained RECORD DATE: March 7, 2017 clos
Slide 27: 2016 Financial Summary
2016 Financial Summary 2016 Financial Performance 2016 Metal Sales Q1 Q2 Q3 Q4 Gold Sales ($m) Copper Sales ($m) 169.8 161.1 150.4 147.4 28.2 23.1 26.6 26.8 77.9 77.3 61.6 66.9 140.5 144.6 39.7 42.6 126.7 123.6 30.7 23.5 Revenue ($m) EBITDA ($m) Net Profit ($m) Q1 Q2 Q3 Q4 Revenue decreased QoQ EBIT
Slide 28: Consolidated Financial Results
Consolidated Financial Results Q4 2016 Q3 2016 Q4 2015(2) 2016 2015 Gold production (ounces) 102,428 88,975 119,500 416,741 419,153 Gold sales (ounces) 105,658 98,195 125,246 437,146 401,350 Copper production (tonnes) 3,765 5,114 5,591 21,123 23,109 Copper sales (tonnes) 4,960 5,596 5,597 21,413 22,
Slide 29: 2016 Cash Flows
2016 Cash Flows 2016 Capital Expenditure 2016 Cash Flow Performance Breakdown Q1 Q2 Q3 Q4 Non-sustaining Sustaining Capitalised Mining Exploration* 122.5 140 116.3 120.7 117.2 115.4 120.7 103.7 120 91.5 93.9 79.8 100 80 US$m 60 31.7 29.4 40 20 0 Operations Cash Flows ($m) Investing Cash Flows ($m) Q
Slide 30: Looking ahead to 2017
Looking ahead to 2017 Production Profile Didipio Macraes Reefton Waihi Haile AISC 700,000 900 600,000 850 Gold Production (oz) 800 500,000 750 400,000 700 300,000 650 200,000 600 100,000 550 0 500 2013A 2014A 2015A 2016A 2017E NEAR TERM CATALYSTS: Haile commercial production, optimisation study SIGN
Slide 31: www.oceanagold.com
y / www.oceanagold.com 4) Innovation ¢ Performance ¢ Growth OCEANAGOLD