Igo Limited · ASX:IGO
Igo — Independence Group NL — Australian Nickel Conference 2018
31 slides from Igo's conference presentation, Oct 23, 2018
Slide 1: Australian Nickel Conference 2018
INDEPENDENCE GROUP NL Australian Nickel Conference 2018 For personal use only Peter Bradford, Managing Director and CEO 23 October 2018 ASX:IGO / ADR:IIDY 1
Slide 2: Cautionary Statements & Disclaimer
Cautionary Statements & Disclaimer • This presentation has been prepared by Independence Group NL (“IGO”) (ABN 46 092 786 304). It should not be considered as an offer or invitation to subscribe for or purchase any securities in IGO or as an inducement to make an offer or invitation with respect to
Slide 3: Talking Points
Talking Points: • Making a Difference – the IGO Way For personal use only • People and approach to ESG • Reshaped portfolio: high quality Nova & Tropicana • Our vision for the future and our strategic focus on minerals critical to energy storage ─ Renewable energy ─ Nova downstream processing to pro
Slide 4: Making a Difference
a = © @ D = © ‘= O Q = @ oe — © UL MAKING A DIFFERENCE \We believe in a world where people power makes amazing things happen. Where technology opens up new horizons and clean energy makes the planet a better place for every generation to come. We are bold, passionate, fearless and fun -a smarter, ki
Slide 5: People
For personal use only People 5
Slide 6: Mining Activity Vs Mining Engineering Enrolments
Mining Activity Vs Mining Engineering Enrolments(1,2) For personal use only We need more mining people 9,000,000 350 8,000,000 • Several years of rhetoric 300 perpetuated a myth that the Mining Engineering Enrolments 7,000,000 Gold & Iron Ore Production 6,000,000 250 mining boom had busted 5,000,000
Slide 7: Need for greater conversation about attracting new entrants to the industry
There is a need for greater For personal use only conversation about how we attract new entrants to the industry • Role for individual companies, industry associations, government • Increase awareness and interest in mining at the high school level • Change perceptions of mining 7
Slide 8: Part of the IGO Difference is our focus on people
Part of the IGO Difference For personal use only is our focus on people • Strong sense of purpose • Empowered people who act like owners of the business, and are owners of the business, and want to make a difference • Focus on diversity because it is the right thing to do 8 8
Slide 9: Safety & Sustainability
Safety & Sustainability 2018 ACSI Rating of ASX200 Sustainability Reporting(5) Key Lag Safety Metrics(1,2,4) For personal use only 8.0 7.0 Leading 6.0 LTIFR 12 MMA MTIFR 12 MMA 5.0 Detailed 4.0 Moderate 3.0 2.0 Basic 1.0 0.0 No Reporting Sep‐15 Dec‐15 Mar‐16 Jun‐16 Sep‐16 Dec‐16 Mar‐17 Jun‐17 Sep‐17
Slide 10: Reshaped Portfolio
For personal use only Reshaped Portfolio 10
Slide 11: Focus on high quality, long life assets
Focus on high quality, long For personal use only life assets that deliver great Share Ownership financial outcomes Substantial Holders(1) Mark Creasy 16% Institutional Ownership(3) Australia 70% FIL 9% USA 22% T Rowe Price 8% Europe 5% CBA 6% ROW 3% ASX IGO Ausbil 5% Base Perth, WA Share Price Perf
Slide 12: Future portfolio to focus on minerals critical to energy storage
Future portfolio to focus on minerals critical to energy storage For personal use only IGO EBITDA Profile (A$M)(1) 600 500 400 300 200 100 - FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19E FY20E FY21E Long (A$M) Jaguar (A$M) Tropicana (A$M) Nova (A$M) 1) Macquarie Research – 29 Aug 2018 12
Slide 13: Tropicana
For personal use only Tropicana 13 13
Slide 14: Tropicana
Tropicana For personal use only Tropicana Production (100%) & AISC • 30% IGO & 70% AngloGold Gold production (oz) AISC (A$/oz) 600,000 1,200 Ashanti (managers) • 330km NE of Kalgoorlie 500,000 1,000 • Higher gold production and 400,000 800 lower costs expected in FY19 300,000 600 • ~8.0 Mtpa of ore
Slide 15: Tropicana value drivers
Tropicana value drivers For personal use only • Grade streaming drives FY19- FY20 gold production and costs • Long Island underpins mine life 6MW Ball Mill • Additional ball mill delivers higher throughput rate and improved gold recovery ─ Commissioning by end CY18 • Boston Shaker Underground Pre-fe
Slide 16: Nova
For personal use only Nova 16
Slide 17: Nova Ni-Cu-Co Operation
Nova Ni-Cu-Co Operation • 100% IGO For personal use only • 140km east of Norseman • Delivers scale, low cost, long mine life and exploration upside • Five years from discovery to commercial production • First year of commercial production completed in FY18 • Mining and processing activities fully ra
Slide 18: Nova de-risked
Nova de-risked For personal use only Nova Directional Production and Cash Costs • Delivered nameplate capacity Nickel Production in Concentrate (kt) Cash Cost (A$/lb) of 1.5Mtpa and demonstrated 30 3.0 sprint capacity to 1.8Mtpa 2.5 • LOM grade control complete 20 2.0 • Resource model performing 1.5
Slide 19: Nova Underground Mine Design & Drilling
Nova Underground Mine Design & Drilling For personal use only 19
Slide 20: Our Vision For The Future
For personal use only Our Vision For The Future 20
Slide 21: Future success for IGO
Future success for IGO For personal use only Globally Globally relevant supplier of metals that are critical to the Relevant energy storage industry Vertically Vertical integration to produce battery grade nickel and Integrated cobalt sulphate and cathode precursors Quality Quality products manufact
Slide 22: Nova Solar Farm
Nova Solar Farm For personal use only • Agreement with Zenith Energy to build 12.5GWh solar farm • First fully integrated commercial hybrid diesel/Solar PV facility in Australia • Includes state-of-the-art PV modules, single axis tracking, inverters, communications and control system technology • Co
Slide 23: Nickel sulphate hexahydrate crystals produced from Nova nickel concentrate
Nickel sulphate hexahydrate crystals produced from For personal use only Nova nickel concentrate • Demonstrated technical feasibility of process route • Pre-feasibility underway • Delivers multiple benefits: ─ Increase in payable metal ─ Increased concentrator recovery ─ Higher price for nickel as n
Slide 24: Discovery
For personal use only Discovery 24
Slide 25: A$51M committed to discovery in FY19
A$51M committed to discovery in FY19 For personal use only Nova A$12.0M Tropicana A$3.0M Long A$33.0M A$2.5M Greenfields, Generative & Other Best in Class exploration and discovery capability 25
Slide 26: FY19 drilling underway!
For personal use only FY19 drilling underway! • Completed the largest 3D seismic program ever undertaken in Australia over the Nova Mining Lease • New AMT and Squid EM • Full geological reassessment • Collaborative R&D • FY19 20,000m drilling program underway 26
Slide 27: Why explore the Fraser Range?
September 2015 Why explore the Fraser Range? For personal use only • Multiple magmatic intrusions • Ni/Cu anomalism reported by multiple explorers along belt • Disseminated and blebby sulphides Empirical evidence demonstrates belt is fertile 1) Classic Minerals ASX Releases: 29 Aug 2013, 12 Dec 2013
Slide 28: Systematic exploration over ~15,000km2 of consolidated tenure
February 2018 October 2018 For personal use only Systematic exploration over ~15,000km2 of consolidated tenure • Multiple EM platforms • Bedrock geochem using Aircore • Gravity survey & mapping • Progressively drilling targets while continuing regional exploration Creasy Silver Knight(1) discovery d
Slide 29: Lake Mackay belt scale greenfields exploration project
Lake Mackay is a 12,800km2 For personal use only belt scale greenfields exploration project for IGO • Polymetallic intersections in drilling at Grapple & Bumblebee • Rock chip samples from Grimlock prospect confirm results with up to 2.5% Co, 1.1% Ni, 46.4% Mn(1) • Spectrem airborne EM survey commen
Slide 30: To conclude
To conclude: For personal use only • IGO is founded on people with passion and a strong sense of purpose • Demonstrated track record in exploration, development and operating capability • World-class assets at Nova and Tropicana delivering a strong balance sheet and free cashflow • Poised for transf
Slide 31: For personal use only
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Independence Group NL — Australian Nickel Conference 2018 on 6ix