Slide 1: The newest Philippines gold producer
For personal use only RED 5 Limited The newest Philippines gold producer 15 March 2012 RED 5 Li m i t ed
Slide 2: First gold poured 3 February 2012
First gold poured 3 February 2012 For personal use only No debt, no hedging Slide 2 RED 5 Li m i t ed
Slide 3: Disclaimer
Disclaimer For personal use only Important Notices Nothing in this presentation should be construed as an offer to sell, or the solicitation of an offer to buy, any securities of Red 5 Limited. The information in this presentation is given in a summary form and does not purport to be complete. This
Slide 4: Red5 presenter
Red5 presenter For personal use only Greg Edwards – Managing Director Slide 4 RED 5 Li m i t ed
Slide 5: Company highlights
Company highlights For personal use only • Guidance production – 18,000 ounces to June 2012 and 75,000 ounces for 12 months ending June 2013 • Commissioning almost complete with commercial production expected to be declared 1 April 2012. • Forecast cash costs sub $350 per ounce, low relative t
Slide 6: Red 5 at a glance
Red 5 at a glance... For personal use only RED – ASX: A$2.27 Market Cap: A$291m Issued Shares: 128.4m Cash (29 February 2012) A$10m Enterprise Value (post construction, per 2009 LOM production ounce): US$349/oz No debt, hedge or FX positions Substantial Shareholders Baker Steel Capital Managers: 8.6
Slide 7: The Philippines
The Philippines For personal use only Resource rich area - providing a number of key growth opportunities • Third largest gold mineral endowment • Fourth largest copper mineral endowment The Philippines has strong investment ratings • Standard & Poor’s rating: BB+ • Fraser Institute: Safest Coun
Slide 8: Surigao del Norte – highly prospective
Surigao del Norte – highly prospective For personal use only Slide 8 RED 5 Li m i t ed
Slide 9: Siana gold mine fast facts
Siana gold mine fast facts For personal use only Red 5 beneficial Interest 100% Location Philippines – Surigao del Norte, Mindanao Island Capital cost to first gold US$87million Commercial production declaration date April 2012 for interim throughput at 750,000tpa Resources (as at September 2011) To
Slide 10: Production guidance
Production guidance For personal use only 4 months to June 2012 12 months to June 2013 Ounces produced 18,000 75,000 Cash cost per sub US$ 475 sub US$ 340 ounce* Total cost per sub US$ 680 sub US$ 655 ounce Capital US$10.3 million US$25.3 million development Sustaining capital US$1.2 million US$1.6
Slide 11: Siana site layout
Siana site layout For personal use only Slide 11 RED 5 Li m i t ed
Slide 12: Commissioning phase nears conclusion
Commissioning phase nears conclusion For personal use only Modifications to handle sticky ore - completed Power plant (stand-by) – fully operational Process plant throughput/availability improving daily Dewatering of pit – almost complete First gold pour achieved on 3 February 2012 Comme
Slide 13: Photo gallery
Photo gallery For personal use only Slide 13 RED 5 Li m i t ed
Slide 14: Siana long term initial mine plan – subject to review
Siana long term initial mine plan – subject to review For personal use only Tonnes Gold Gold Silver Silver (M) g/t ounces g/t ounces Stockpile 0.08 1.33 3,549 10.67 28,000 Open Pit 3.10 3.42 341,000 8.71 870,000 Underground 3.36 5.83 630,000 9.12 986,000 Total 6.55 4.6 975,000* 8.9 1,885,000 Data ba
Slide 15: Siana new Resource
Siana new Resource For personal use only Mineral Resource (as at September 2011) Gold Contained Silver Contained Category Tonnes Grade Gold Grade Silver (million) (g/t) (‘000 oz) (g/t) (‘000 oz) Indicated Resource Stockpiles 0.1 1.2 4 8.7 31 Open Pit 9.6 2.5 765 4.5 1,379 Underground 0.9 6.7 199 12.
Slide 16: Mine plan opportunities
Mine plan opportunities For personal use only New Resource – 0.8g/t cut-off grade in pit (previously 1.1g/t) – 81% classified as Indicated category (previously 60%) – open pit accounts for 83% of tonnes and 65% – of the ounces (previously 48% and 31% respectively) – additional 526,000 ounces avail
Slide 17: New positions in the pit
New positions in the pit For personal use only Previously unidentified mineralisation noted in north east corner of pit Follow-up drilling (SMDD128) intersects 10 metres at 4.0g/t just 15 metres below current cut back bench Further intersections in most eastern panels – 7 metres at 11.8 g/t an
Slide 18: Underground mining
Underground mining For personal use only Commencing probably project year 8 onwards Underhand cut and fill (top down) Road header in ore Active stope level (more productive in soft ground than conventional drill and blast) - additional benefit less explosive on site Drill and blast for hard
Slide 19: Resource panels – upside potential?
Resource panels – upside potential? For personal use only Panels 1-3 represent 89% of LOM plan Panels 4 – 10 insufficiently drilled from surface due to length of angled hole and cost. Best drilled from underground Slide 19 RED 5 Li m i t ed
Slide 20: Siana long section – unfinished business
Siana long section – unfinished business For personal use only Slide 20 RED 5 Li m i t ed
Slide 21: Siana and near mine growth opportunities
Siana and near mine growth opportunities For personal use only First drilling at Siana in over two years Northern (SMDD136 -8), southern (SMDD139,143), Eastern (SMDD143, 145, 148, 152, 154, 155 and 128) Near mine exploration - north Spandonis (4 holes) and south Dayano (5 holes) Two rigs employe
Slide 22: Mapawa exploration
Mapawa exploration For personal use only Red 5 100% beneficial Interest Philippines Location (30km north of Siana project) Initial shallow drilling has Exploration confirmed gold cap above gold-copper porphyry Exploration Will be results driven Budget Promising initial copper-gold porphyry intersect
Slide 23: Mapawa IP – more work required
Mapawa IP – more work required For personal use only Slide 23 RED 5 Li m i t ed
Slide 24: Production profile changing
Production profile changing For personal use only Mapawa Oxide Material Siana Resource Conversion Open pit production ?? Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Dec-18 Dec-19 Dec-20 Dec-21 Slide 24 RED 5 Li m i t ed
Slide 25: On-going community support
On-going community support For personal use only Red 5 has taken an active role in local community relations Projects include: Clean water project Health assistance Education programs Welfare programs Agricultural assistance Infrastructure assistance Security assistance0 Slide 25 RED 5
Slide 26: Finances
Finances For personal use only Project funded to first gold pour by equity Cash as at 29 February, $10.0 million Remaining forecast build spend $ 10.2 million Gold sales commence late March 2012 Sprott Resource Lending Partnership term sheet Slide 26 RED 5 Li m i t ed
Slide 27: Summary
Summary For personal use only Share price to re-rate as Red 5 moves into production Low cash costs relative to peers mine life Resource growth potential at Siana extending current second Early drilling at Mapawa confirmed the potential for a project in close proximity to Siana Strong relat
Slide 28: Competent Persons Statement
Competent Persons Statement For personal use only The information in this Public Report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on, and accurately reflects, information compiled by Mr Rohan D Williams who is a full time employee of Red 5 Limited and is a Membe
Slide 29: Contact details
Contact details For personal use only Australia Philippines Level 2, 35 Ventnor Avenue Greenstone Resources Corporation West Perth, Western Australia 6005 Level 5, NOL Tower PO Box 1911 West Perth, WA 6872 Commerce Ave, cnr Acacia Ave Ph: + 61 8 9322 4455 Madrigal Business Park Muntinlupa City