Pan African Resources Plc · LSE:PAF
Pan African Resources — Precious Metals Summit Geneva 2012
24 slides from Pan African Resources's conference presentation, April 2012
Slide 1: Precious Metals Summit Geneva 2012
Pan African Resources plc Precious Metals Summit Geneva 11-13 April 2012 The African Focused Precious Metals Producer
Slide 2: Disclaimer
Disclaimer Statements in this presentation, other than historical facts, that address, without limitation, exploration activities, mining potential and future plans and objectives of Pan African Resources plc (“Pan African”) are “forward-looking statements” and “forward looking information” that inv
Slide 3: Overview
Overview • South African focused precious metals Significant Shareholders producer Shanduka Gold 25.34% • Produces 95,000 oz of gold per annum Coronation Fund Managers 11.35% Investec Asset Management 9.92% • Targeting 12,000 oz of platinum in Allan Gray Investment Council 8.70% 2012/2013 Directors
Slide 4: Geographic Location of mining operations and projects
Geographic Location of mining operations and projects 4
Slide 5: Board and Management Team
Board and Management Team Board Keith Spencer A Mining Engineer, Keith has over 35 years mining experience, including Gold Fields of South Africa, Non Executive Chairman Deelkraal Gold Mine and Metorex. Phuti Mahanyele Currently Chief Executive of Shanduka Group, Pan African’s BEE partner and previo
Slide 6: Interim Results to December 2011
Pan African Resources plc Interim Results to December 2011 The African Focused Precious Metals Producer
Slide 7: Interim Results for the six months ended Dec 2011
Interim Results for the six months ended 31 Dec 2011 Revenue Attributable profit/ (loss) 60,000 16,000 £14.5 million £51.2 million 14,000 50,000 12,000 40,000 £38.3million 10,000 £ (000) £ (000) £29million £7.6 million 30,000 8,000 £24.9million 6,000 £4.8 million 20,000 4,000 £3.9 million 10,000 2,0
Slide 8: Barberton Mines
Pan African Resources plc Barberton Mines The African Focused Precious Metals Producer
Slide 9: Review of Barberton Gold Mining Operations
Review of Barberton Gold Mining Operations • Produces 95,000 oz of gold per annum with an average headgrade of 10.65g/t • Cash cost of less than US$800/oz delivering US$10 million free cash flow per month • Pipeline of new projects will increase to 120,000 oz per annum from 2013 • Developing a 12Mt
Slide 10: Review of Barberton Gold Mining Operations: Production statistics
Review of Barberton Gold Mining Operations Production statistics Gold sold 180,000 12 60,000 160,000 10 50,000 140,000 120,000 8 40,000 100,000 Tons milled Oz of gold 6 30,000 80,000 60,000 4 20,000 40,000 2 10,000 20,000 0,000 0 0,000 6 months ended 6 months ended 6 months ended 6 months ended 6 mo
Slide 11: Review of Barberton Gold Mining Operations: Cash cost breakdown
Review of Barberton Gold Mining Operations Cash cost breakdown (excluding capex) Gold sold 6 months ended 31 December 2010 6 months ended 31 December 2011 4% 4% 7% 7% 10% 10% 46% 46% 8% 8% 10% 10% 15% 15% Total cost £22,949,762 Total cost £23,201,120 ZAR – 176,199/kg ZAR – 192,397/kg US$ – 767/oz US
Slide 12: Total cash cost vs. average gold price received
Total cash cost vs. average gold price received (ZAR/kg) 450,000 400,000 350,000 300,000 ZAR/kg 250,000 200,000 150,000 100,000 50,000 0,000 6 months ended 31 December 2008 6 months ended 31 December 2009 6 months ended 31 December 2010 6 months ended 31 December 2011 Company cash cost Average gold
Slide 13: Review of the Barberton Gold Tailings Retreatment Project
Review of the Barberton Gold Tailings Retreatment Project Satellite image showing the Bramber tailings dump (top left) and the Harper South tailings dump (top right) and the Fairview main office and plant complex (middle right) 13
Slide 14: Milestones achieved
Milestones achieved \ PAN AFRICAN RESOURCES Ga Key event Achievement Completion date Comments BTRP mineral resource estimate Final resource statement completed 30 June 2011 SAMREC code 2009 edition compliant resource by GeoLogix Mineral Resource Consultants (Pty) Ltd Metallurgical test work review D
Slide 15: Phoenix Platinum
Pan African Resources plc Phoenix Platinum The African Focused Precious Metals Producer
Slide 16: Review of the Phoenix Platinum Retreatment Operations
Review of the Phoenix Platinum Retreatment Operations • Phoenix Chrome Tailings Retreatment Plant was completed in November 2011, on budget and ahead of schedule • First concentrates produced in November 2011 with full production of 1,000 oz PGMs per month expected from May 2012 • South Africa’s low
Slide 17: Evander
Pan African Resources plc Evander The African Focused Precious Metals Producer
Slide 18: Overview of Evander Gold Mines: 50:50 Joint Venture with Wits Gold
Overview of Evander Gold Mines: 50:50 Joint Venture with Wits Gold • Proposed acquisition of Harmony’s Evander Gold Mines for a total consideration of up to ZAR 1.7 billion (£139 million) • Includes: • Newly upgraded underground infrastructure • An attributable reserve of 3.8Moz at a recovered grade
Slide 19: Mineral Resource Management
Mineral Resource Management Gold resource (gross in situ) – Pan African Resources PLC 31 December 2010 31 December 2011 1,680koz 1,650koz 2,240koz 1,390koz g/t: 7.50 g/t: 5.91 g/t: 2.43 g/t: 3.03 25% 36% 36% 39% 36% 28% 1,310koz 2,040koz Total: 4,640koz g/t: 6.09 g/t: 3.11 Total: 5,670koz Measured I
Slide 20: Mineral Resource Management
Mineral Resource Management Evander resource (gross in situ) – and reserves (recovered) Reserves Resources 10% 5% 5% 7.56 g/t 0.33 g/t 0.29 g/t 17% 11.61 g/t 0,82 0,41 24% 1,9 3.92 g/t 5,83 8,11 34% 11.75 10.74 g/t 85% 20% 6,83 6.79 8.08 g/t 6.43 g/t Total: 8,0 Moz Total: 34,4 Moz 8 Shaft Rolspruit
Slide 21: Pan African Outlook
Pan African Outlook • Continue to produce gold at Barberton Mines at lowest possible cash cost • Build-up production at Phoenix Platinum to 12,000 oz of PGMs per annum • Commence construction of a 1.2Mt per annum Barberton Tailings retreatment plant • Complete Evander transaction • Continue to grow
Slide 22: Strategic Overview
Strategic Overview • Gold and Platinum producer with a focus on: – Low cost base – High margin productivity and efficiency improvements – Significant growth potential • Strong balance sheet and access to capital • Shanduka Resources as highly regarded empowerment shareholder • Positioned to capitali
Slide 23: Quality ore-bodies, Experienced Management, Skilled Workforce
Quality ore-bodies + Experienced Management + Skilled Workforce = Significant Shareholder Return (as demonstrated by 5 years of consecutive delivery) 23
Slide 24: Thank you
Thank you The African Focused Precious Metals Producer
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