Regis Resources Limited · ASX:RRL
Regis Resources — Q2 2022 Earnings Presentation
27 slides from Regis Resources's earnings presentation, Jul 26, 2022
Slide 1: A Future With Growth
A FUTURE WITH GROWTH 1 Jim Beyer – Managing Director & CEO 26 July 2022 ASX:RRL
Slide 2: Cautionary Statement
2 CAUTIONARY STATEMENT This presentation contains only a brief overview of Regis Resources Limited and its associated The Company confirms that it is not aware of any new information or data that materially affects entities (“Regis or RRL") and their respective activities and operations. The content
Slide 3: June Quarter 2022
3 JUNE QUARTER 2022 Record quarterly gold production Gold production of 124koz at an AISC of $1,591/oz Duketon: 93koz gold produced at an AISC of $1,706/oz Tropicana: 31koz gold produced at an AISC of $1,157/oz FY22 production of 437koz at an AISC $1,556/oz FY22 gold production within guidance1 of 4
Slide 4: June Quarter 2022: Cash Build
4 JUNE QUARTER 2022 June quarter cash build of $64M Cash & Gold2 on Hand - 30 June 2022 $350m $134.2m $300m $250m $18.0m $231.3m ($55.7m) $213.3m ($15.9m) ($10.8m) $200m ($5.5m) $167.1m $150m $100m $50m - 2. Gold on hand at end of June quarter was 9,063oz valued at spot gold price of $2,637/oz.
Slide 5: FY23 Production Guidance
5 FY23 PRODUCTION GUIDANCE Building to a 500koz producer Operation Duketon Tropicana (30%) Group Production (koz) 320 - 355 130 - 145 450 - 500 AISC (A$/oz) 1,550 - 1,650 1,350 - 1,450 1,525 - 1,625 Growth Capital (A$M)1 85 - 90 60 - 65 145 - 155 Exploration and McPhillamys (A$M) 37 11 722 1. Growth
Slide 6: Investment Highlights
6 INVESTMENT HIGHLIGHTS Strong platform to launch future growth Strong Financial Position Long Life - Cash and Gold on hand: $231m - Reserve life of 9 Years - Net Debt: $69m - Net Debt to FY21 EBITDA: 0.17x Simplicity and Scale Robust Margins - 4th Largest producer on ASX - FY21 49% EBITDA Margin -
Slide 7: Progressive Approach To ESG
7 PROGRESSIVE APPROACH TO ESG On track to deliver FY22 commitments Lost Time Injury Frequency Rate 40% below WA industry average 23% female employees 27% of managerial and executive positions held by females 40% female directors Zero reportable environmental incidents Increasing rehabilitation rate
Slide 8: Key Elements of Value Growth
8 KEY ELEMENTS OF VALUE GROWTH Exploration Life Extension Growth Increasing Business Value McPhillamys Step Change Growth Grow Open Pits & Undergrounds New mines and extensions to existing mines Tropicana (30%) Moolart Well Garden Well Rosemont Time
Slide 9: Growth Outlook
9 GROWTH OUTLOOK A simple business with scale Targeting 500koz per year by FY25 June quarter FY22 at 124koz Group Production Targets (koz) 2 current reliable cash generating pillars Duketon up to ~350koz per year Tropicana up to ~150koz per year 450-500 450-500 500+ 500+ 437 373 FY23 Growth Capital
Slide 10: Key Elements of Value Growth
10 KEY ELEMENTS OF VALUE GROWTH Increasing Business Value Grow Open Pits & Undergrounds New mines and extensions to existing mines Tropicana (30%) Time
Slide 11: Tropicana Outlook
11 TROPICANA OUTLOOK Reliable cash flow generation with an increasing production profile FY23 Gold production of 130koz-145koz at AISC of $1350-$1450/oz Gold production increases to ~150koz from FY24 onwards Growth capex decreasing from FY24 onwards Mine life targeted to extend beyond 10+ years Stro
Slide 12: Mine Plan - Tropicana
12 MINE PLAN - TROPICANA Long term mine life with no end in sight Mill throughput at 9-10Mtpa (20% Underground, 50% Open Pit, 30% Stockpile) Boston Shaker Open Pit feed from Havana to commence in Tropicana FY23 at 1.5g/t reducing lower grade stockpile feed Underground feed from Boston Shaker and Tro
Slide 13: Near Mine Exploration – Tropicana
13 NEAR MINE EXPLORATION – TROPICANA Reserve growth underpins long term plan Boston Shaker looks to have bright future underground A A’ Dyke A-A’ Down plunge results intersected strong mineralisation demonstrating the robustness of the lodes which will continue to grow resources New intercepts inclu
Slide 14: Key Elements of Value Growth
14 KEY ELEMENTS OF VALUE GROWTH Increasing Business Value Grow Open Pits & Undergrounds New mines and extensions to existing mines Moolart Well Garden Well Rosemont Time
Slide 15: Duketon Outlook
15 DUKETON OUTLOOK Transitioned back to reliable production and cash generation FY23 Gold production of 320koz-355koz at AISC of $1550-$1650/oz Growth capex decreasing from FY24 onwards Mill throughput of 8-9Mtpa Duketon North at 2-2.5Mtpa Duketon South at 6-6.5Mtpa Underground ore feed at 1-1.3Mtpa
Slide 16: Near Mine Exploration – Duketon Underground
16 NEAR MINE EXPLORATION – DUKETON UNDERGROUND Behaving like a “typical” WA underground and replacing Reserves Underground Reserve growth outpaced depletion by 40koz in 2021 Under drilled area intercepts include: New intercepts include: 1m @ 23g/t 16.2m @ 3.9g/t (including 1m @ 202g/t) 2m @ 22g/t 6.
Slide 17: Near Mine Exploration – Duketon Open Pit
17 NEAR MINE EXPLORATION – DUKETON OPEN PIT Follow up drilling to continue through FY23 Ben Hur commences mining this year with prospects of further life extensions Thick, high-grade extensions down dip are expected to grow the open pit resources New intercepts include Deeper intercepts show early i
Slide 18: Key Elements of Value Growth
18 KEY ELEMENTS OF VALUE GROWTH Exploration Life Extension Growth Increasing Business Value McPhillamys Step Change Growth Time
Slide 19: McPhillamys – Approvals Progressing
19 MCPHILLAMYS – APPROVALS PROGRESSING One of Australia’s largest undeveloped open pit gold resources MINERAL RESOURCE Life-of-mine 2.29 Moz Au 10+ years ORE RESERVE 2.02 Moz Au PRODUCTION Up to ~200kozpa Au SATELLITE PROJECT Discovery Ridge 390koz Au Resource Multiple additional targets
Slide 20: A Future Of Growth: Belt Ounces
20 A FUTURE OF GROWTH On greenstone belts the longer you explore the more you find… Kalgoorlie- Norseman Belt >90% ownership of Laverton Belt entire belts 160Moz 40Moz Belt Ounces Leonora- Wiluna Murchison Belt 32Moz 32Moz Albany Fraser Southern Yilgarn Craton Archean Belt Cross 15Moz (Tropicana) 10
Slide 21: A Future Of Growth: Duketon Project
DUKETON PROJECT 21 A FUTURE OF GROWTH Under explored area is showing its potential Moolart Well Mill Promising results on the Rosemont South Trend Rosemont • 10m @ 110 g/t gold from 140m South Trend Rosemont Mill • Including 4m @ 274 g/t gold from 140m One drill hole Garden Well Mill • 8m @ 1.2 g/t
Slide 22: The Investment Case
22 The Investment Case The Regis recipe for outperformance Strong financial platform Generate robust operating cash flows Long Reserve life with a production growth profile Exclusively in Tier 1 locations Progressive approach to ESG Returning to consistent delivery to plan Opportunity Emer
Slide 23: A Future With Growth
A FUTURE WITH GROWTH 23 Jim Beyer – Managing Director & CEO 26 July 2022 ASX:RRL
Slide 24: Appendix – Duketon Exploration
24 APPENDIX – DUKETON EXPLORATION
Slide 25: Appendix – Tropicana Exploration
25 APPENDIX – TROPICANA EXPLORATION
Slide 26: Appendix – Reserve Table
26 APPENDIX – RESERVE TABLE ORE RESERVES as at 31 December 2021 (Regis Attributable) Gold Proved Probable Total Ore Reserve Competent Person3 Cut-Off Tonnes Gold Grade Gold Metal Tonnes Gold Grade Gold Metal Tonnes Gold Grade Gold Metal Project 1 Equity Type (g/t)2 (Mt) (g/t) (koz) (Mt) (g/t) (koz)
Slide 27: Appendix – Resource Table
27 APPENDIX – RESOURCE TABLE MINERAL RESOURCES as at 31 December 2021 (Regis Attributable) Gold Measured Indicated Inferred Total Resource Competent Person2 Cut-Off Tonnes Gold Grade Gold Metal Tonnes Gold Grade Gold Metal Tonnes Gold Grade Gold Metal Tonnes Gold Grade Gold Metal Project1 Equity Typ