Kgl Resources Limited · ASX:KGL

Kgl Resources — Kentor Gold — Melbourne Resources Round Up 2010

23 slides from Kgl Resources's conference presentation, Sep 23, 2010

  1. Slide 1: Kentor Gold - Melbourne Resources Round Up

    For personal use only Kentor Gold Melbourne Resources Round Up 23 September 2010

  2. Slide 2: Central Asia - Kyrgyzstan

    KYRGYZ REPUBLIC Central Asia - Kyrgyzstan For personal use only 2

  3. Slide 3: Tien Shan Gold Belt

    KYRGYZ REPUBLIC Tien Shan Gold Belt For personal use only Talas Valley 3

  4. Slide 4: Kyrgyz Republic

    KYRGYZ REPUBLIC Kyrgyz Republic For personal use only  Country well connected by rail – direct rail access to markets in Kazakhstan, China, R Russia i anddEEurope  Long history of gold mining (Kumtor production 500,000oz per annum)  Population 5 million  Other Western companies active in the res

  5. Slide 5: Political Situation in Kyrgyz Republic

    KYRGYZ REPUBLIC Political Situation in Kyrgyz Republic For personal use only  April 2010 Revolution - overthrow of corrupt government  Rosa Otunbaeva appointed as interim President  June 2010 ethnic violence in south of country between Uzbek and Kyrgyz  27th June 2010 successful referendum to ad

  6. Slide 6: Overview (cont'd)

    ANDASH PROJECT Overview (cont’d) For personal use only ( t’d)  Easy topography – low elevation  Good road access  Nearby rail  Nearby power  Nearby water  Above: View from Andash orebody looking south 6

  7. Slide 7: Development Timetable

    ANDASH PROJECT Development Timetable For personal use only Quarter Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar 2009 2009 2010 2010 2010 2010 2011 2011 2011 2011 2012 Due Diligence sds Acquisition Funding df Feasibility Study Project Finance Construction Commissioning 7

  8. Slide 8: Feasibility Study Results March 2010

    ANDASH PROJECT Feasibility Study Results March 2010 For personal use only  1.6mtpa to 3.2mtpa throughput  Simple and conventional open pit and flotation plant  3 stage crush, crush grind, grind float process  Average annual production: – 70,000 oz Au and 7,400t Cu – High grade concentrate 24.5%

  9. Slide 9: Project Economics (KGL 90%)

    ANDASH PROJECT Project Economics (KGL 90%) For personal use only  Cash cost US$29/oz Au Cost component (US$/t) Phase 1 Phase 2 (1 5mtpa) (1.5mtpa) (3mtpa) ( ft Cu (after C credits dit and d royalty) lt ) Mining 3.46 3.46  Capital Cost US$96m Processing 8.62 7.09  Base Case NPV US$130m G&A 3.38 1.

  10. Slide 10: Andash Licence Area

    ANDASH PROJECT Andash Licence Area For personal use only 9.9m @ 7.9g/t Au 8m @ 6 g/t Au 57m @ at 1.5g/t Au, 1.4% Cu 10

  11. Slide 11: Open Pit and Ore Body

    ANDASH PROJECT Open Pit and Ore Body For personal use only  Wide ore body, bulk mining  Outcrops  Low strip ratio 0.72:1 Gold Grade (g/t) 11

  12. Slide 12: Andash Long Section through Block Model

    ANDASH PROJECT Andash Long Section through Block Model For personal use only  Low strip ratio  Base of pit follows footwall  High grade starter pit Gold g/t 12

  13. Slide 13: Andash Cross Section

    ANDASH PROJECT Andash Cross Section 320 m E For personal use only 13

  14. Slide 14: Andash JORC Resource & Reserve

    ANDASH PROJECT Andash JORC Resource & Reserve For personal use only Andash JORC Resource Estimate Grade Metal Category Type Tonnage (kt) Au (g/t) Cu (%) Au (oz) Cu (t) Oxide 923 0.88 0.50 26,114 4,638 Measured Sulphide 3,160 1.21 0.47 122,932 14,900 Oxide 810 0.85 0.43 22,136 3,510 Indicated Sulphid

  15. Slide 15: 360o Movie from Plant Site

    360o Movie from Plant Site For personal use only

  16. Slide 16: Commissioning of Mining Equipment

    ANDASH PROJECT Commissioning of Mining Equipment For personal use only  Komatsu Moscow maintenance contract  All machines commissioned  New oils and filters  No major defects found 16

  17. Slide 17: Project Funding

    ANDASH PROJECT Project Funding For personal use only  In advanced discussions to finalise terms with international banks re project debt of US$50 US$50m  Project Capital Cost US$96m  Targeting 50% debt and 50% equity  Expect to mandate a bank to provide debt within next two weeks 17

  18. Slide 18: Aktash Option - Proximity to Andash Project

    AKTASH OPTION Proximity to Andash Project For personal use only Location of Aktash Deposit in relation to Andash 18

  19. Slide 19: Commercial Terms of Aktash Option

    AKTASH OPTION Commercial Terms of Aktash Option For personal use only  18 month exclusive option, US$200k for first year, US$200k for last six months  KGL obliged to drill 1,500 metres  KGL to complete JORC compliant resource estimate  Payment to exercise option to acquire 100% – US$19 per ounce

  20. Slide 20: Aktash Option - Advanced Project

    AKTASH OPTION Advanced Project For personal use only  11,000 metres of drilling to date  3 adits developed by Soviets, totalling 2,500m of underground workings  JORC Exploration target of 2 to 5Mt @ 2 to 3.5g/t Au, 0.3 to 0.7% Cu and 8 to 12g/t Ag*  *The potential quantity and grade is conceptua

  21. Slide 21: Board & Management

    BOARD & MANAGEMENT Experienced Board For personal use only John Barr AM, MAICD Chairman,, Non-Executive ((Former director Oxiana,, Transurban,, Acacia and Iluka)) Simon Milroy B.Eng (Mining) Managing a ag g Director ecto ((Formerly o e yG GM Project oject Development e e op e t for o Pan a Aust, ust

  22. Slide 22: Reasons to Invest - Key Investor Questions

    REASONS TO INVEST Key Investor Questions For personal use only  Is it there? •Jorc Reserves •40m 40m x 40m Diamond Drilling •Underground adits  Can you get it out? •Low Strip Ratio Open Pit •Standard Flotation •Low technical risks  Are there any environmental issues? •Minimal •Can drink the taili

  23. Slide 23: Key Contacts

    KEY CONTACTS For more information contact For personal use only Simon Mil Si Milroy on +61 7 31213206 or visit www.kentorgold.com ASX Code: KGL Level 36, Riparian Plaza, 71 Eagle St, Brisbane, QLD, AUSTRALIA 4000 Competent Persons Statement: Fax: +61 7 3121 3030 The Exploration Results, Ore Reserves

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