St. Barbara Ltd. · ASX:SBM
St. Barbara — Q3 FY2013 Earnings Presentation
29 slides from St. Barbara's earnings presentation, Apr 23, 2013
Slide 1: March 2013 Quarterly Report Highlights
For personal use only March 2013 Quarterly Report Highlights Tim Lehany, Managing Director & CEO 23 April 2013 1
Slide 2: Disclaimer
Disclaimer For personal use only This presentation has been prepared by St Barbara Limited (“Company”). The material contained in this presentation is for information purposes only. This presentation is not an offer or invitation for subscription or purchase of, or a recommendation in relation to, s
Slide 3: March 2013 Quarter (Q3) Highlights
March 2013 Quarter (Q3) Highlights Strong improvement in Pacific Operations For personal use only • Pacific Operations total gold production up 22% on Dec quarter, driven by increased ore volume mined and milled at both Simberi and Gold Ridge • Consolidated gold production up 8% on Dec quarter for c
Slide 4: St Barbara Attributable Gold Production
St Barbara Attributable Gold Production For personal use only St Barbara Attributable Gold Production • Q on Q increase in gold production from Pacific 99 93 Operations 87 86 11 28 78 4 13 14 • Attributable production 25 4 16 12 15 includes Pacific 19 17 13 17 Operations from date of 16 acquisition,
Slide 5: Gwalia: St Barbara's cornerstone mine
Gwalia St Barbara’s cornerstone mine For personal use only Gold Production • Drill and blast issues early in 54 Q3 resulted in decreased tonnes and lower grades in first 44 44 6 weeks 41 34 • Production improved significantly from mid-Feb with 19 koz produced in March • June quarter forecast for hig
Slide 6: Gwalia: Within usual parameters
Gwalia Within usual parameters For personal use only Grade Mined Grade • Q3 mined grade 8.2 g/t Au • Majority of ore sourced from 10.5 South West Branch (SWB) and 9.3 8.2 Main Lode 7.4 7.7 • Q4 will come from SWB Costs • Q3 cash op. cost A$814 / oz • Est. annual costs within 10% of upper end of orig
Slide 7: King of the Hills: Delivering to plan
King of the Hills Delivering to plan For personal use only Gold Production • Strong gold production of 17 17 koz 16 17 16 • Move to Western Flank successfully implemented 13 • Selective mining methods effective • Tonnage mined up 31% and milled up 44% Q on Q • Q3 cash operating costs A$892 / oz – im
Slide 8: Gold Ridge Operations
Gold Ridge Operations 31% increase in production For personal use only • Ore milled +21% Gold Production Mined grade +15% Production + 31% 19 17 • Lowest cash cost in 3 quarters ($1,393 / oz) anticipated to fall 14 14 • New truck fleet improving 11 mining efficiencies • Grade control and sampling le
Slide 9: Simberi Operations
Simberi Operations Best performance in 12 months For personal use only Gold Production • Ore milled up 12% 15 15 15 • Mill availability up from 79% in 14 13 Jan to 93% in March through preventative maintenance • Oxide processing expansion commissioning in May • New power generators successfully comm
Slide 10: Exploration intensity maintained
Exploration intensity maintained Plan to focus on 7 targets in Q4 For personal use only Exploration spend $20-25M ≈ A$4m in Australia in Q3 Simberi Simberi ≈ A$3m in Pacific Operations in Q3 • Ore bodies open Active drilling programs • Near mine targets for exploration ≈ 20 targets planned for FY13
Slide 11: Simberi, Tatau & Tabar Islands
Simberi, Tatau & Tabar Islands Testing priority targets in PNG For personal use only • Botlu & Patan defining potential targets for mine resource extension • Mt Siro diamond drilling testing extensions to known mineralisation • Mt Tiro identifying new untested anomalies • Benesa two untested anomali
Slide 12: Gold Ridge exploration
Gold Ridge exploration Extending near mine resources For personal use only • Grade control, resource extension and sterilisation drilling around existing pits at Dawsons and Valehaichichi • Diamond drilling to confirm extensions to Namachamata open pit in the Charivunga zone • Geological mapping has
Slide 13: Company is well capitalised
Company is well capitalised For personal use only • Senior Secured Note issue for US$250 million completed • 5 year term • Coupon 8.875% • No performance covenants or repayments on the notes • All other bank debt facilities repaid (Red Kite gold loan remains) • At 31 March 2013: • A$120 million cash
Slide 14: All operations sustainable at current gold prices
All operations sustainable at current gold prices For personal use only • Pacific Operations • Significant growth capex completed • Gold Ridge cash operating costs Q4 estimated < A$1,300 / oz • Simberi cash operating costs Q4 estimated < A$1,100 / oz • Focus on lowering cash outflows • No need for s
Slide 15: Cash movement Q3
Cash movement Q3 For personal use only 233 26 (6) (150) (7) (13) 120 (17) (5) (7) 66 Cash Net cash Repayment Interest and Leonora Pac Ops Pac Ops Corp, Integ, Working Exploration Cash Dec 12 from note debt fcility finance net cash net cash project S'thn Cross, cap m'ment Mar 13 issue in A$ costs flo
Slide 16: Consolidated Guidance FY
Consolidated Guidance FY 13 Gold production attributable to St Barbara [1] For personal use only Gold Cash Operating Capex Production Costs koz A$/oz $M • Gwalia 175-180 740-770 47-50 • King of The Hills 55-60 810-830 20-25 • Southern Cross 31 1,440-1,445 0 • Gold Ridge 50-55 1,450-1,620 17-20 • Sim
Slide 17: Conclusion
Conclusion For personal use only • Pacific Operations showing marked improvement in production and costs • Strong and stable financial position • Drilling programs continuing on portfolio of quality exploration targets • Production expected to further increase strongly in Q4 March 2013 Quarterly Rep
Slide 18: Appendices
Appendices For personal use only March 2013 Quarterly Report Highlights 18
Slide 19: All operations set for strong Q4
All operations set for strong Q4 For personal use only FY13 Attributable Production Indicative Guidance Profile Guidance for the production of all operations attributable to St Barbara for FY13 is approximately 366,000 to 386,000 ounces of gold. 25% 23% 21% FY 13 FY 13 FY 13 FY 13 Q1 Sep Q2 Dec Q3 M
Slide 20: Three gold operations underpinned by long life ore reserves
Overview: Three gold operations underpinned by long life ore reserves and prospective for growth For personal use only Reserves: 5.6 Moz 4 Simberi Resources: 14.2 Moz 4 Simberi FY13F production: • Low strip open pit mine • aggregate 396 koz 2 • Expanding production Gold Ridge capacity to 100 koz p.a
Slide 21: St Barbara Attributable Gold Production
St Barbara Attributable Gold Production For personal use only Production Summary Sep Qtr Dec Qtr Mar Qtr Consolidated FY13 FY13 FY13 Production Gwalia oz 34,293 43,745 40,772 King of the Hills oz 15,935 12,709 16,940 Southern Cross oz 19,176 12,292 - Gold Ridge1 oz 4,057 10,654 13,984 Simberi1 oz 4,
Slide 22: Gwalia Production Summary
Gwalia For personal use only Production Summary Sep Qtr Dec Qtr Mar Qtr Gwalia FY13 FY13 FY13 Underground ore mined t 137,693 178,150 156,898 Grade g/t 7.4 7.7 8.2 Low grade ore & stockpiles t 45,841 51,235 12,402 Grade g/t 1.4 1.1 1.6 Ore milled t 185,125 230,241 171,086 Grade g/t 6.0 6.2 7.7 Recov
Slide 23: King of the Hills Production Summary
King of the Hills For personal use only Production Summary Sep Qtr Dec Qtr Mar Qtr King of the Hills FY13 FY13 FY13 Underground ore mined t 114,358 99,106 129,869 Grade g/t Au 4.3 4.7 4.1 Ore milled t 117,559 91,531 132,130 Grade g/t Au 4.4 4.6 4.2 Recovery % 95 95 95 Gold production oz 15,935 12,70
Slide 24: Gold Ridge Production Summary
Gold Ridge For personal use only Production Summary Sep Qtr Dec Qtr Mar Qtr Gold Ridge FY13 FY13 FY13 Ore mined t 420,005 451,389 470,356 Grade g/t 1.4 1.3 1.5 Ore milled t 435,081 373,159 451,993 Grade g/t 1.4 1.4 1.6 Recovery % 74 65 61 Gold production oz 14,079 10,654 13,984 Cash Operating Costs
Slide 25: Simberi Production Summary
Simberi For personal use only Production Summary Sep Qtr Dec Qtr Mar Qtr Simberi FY13 FY13 FY13 Ore mined t 503,728 591,532 620,676 Grade g/t 1.1 1.0 1.0 Ore milled t 464,261 432,402 484,723 Grade g/t 1.1 1.1 1.1 Recovery % 83 89 89 Gold production oz 13,733 13,291 15,122 Cash Operating Costs $ per
Slide 26: Start safe, stay safe
Start safe, stay safe For personal use only Safety • Lowest incidence of recordable 14.8 injuries in recent history 12.5 11.1 9.0 • TRIFR includes Pacific 7.6 6.4 Operations from September 5.5 2012 FY 09 FY 10 FY 11 FY 12 Q1 Q2 Q3 TRIFR FY 13 FY 13 FY 13 (rolling 12 month average Total Recordable In
Slide 27: Investor Relations Enquiries
Investor Relations Enquiries For personal use only Ross Kennedy Executive General Manager Corporate Services E: ross.kennedy@stbarbara.com.au Rowan Cole General Manager Corporate Services E: rowan.cole@stbarbara.com.au T: +61 3 8660 1900 March 2013 Quarterly Report Highlights 27
Slide 28: Competent persons statement
Competent persons statement For personal use only The information in this report that relates to Company-wide Exploration Results and Mineral Resources in Australia is based on information compiled by Mr. Phillip Uttley, who is a Fellow of The Australasian Institute of Mining and Metallurgy. Phillip
Slide 29: Non-IFRS Measures
Non-IFRS Measures For personal use only We supplement our financial information reporting determined under International Financial Reporting Standards (IFRS) with certain non-IFRS financial measures, including cash operating costs. We believe that these measures provide meaningful information to ass