Resolute Mining Limited · ASX:RSG
Resolute Mining — Shareholder Meeting (November 2017)
37 slides from Resolute Mining's shareholder meeting presentation, Nov 28, 2017
Slide 1: Mine Gold. Create Value. Annual General Meeting 2017
For personal use only Mine Gold. Create Value. Annual General Meeting 2017 | Presentation to Shareholders Perth, Western Australia, Tuesday, 28 November 2017
Slide 2: Important Notices and Disclaimers
Important Notices and Disclaimers For personal use only Not an offer of securities This presentation contains a summary of information about Resolute and its activities that is current as at the date of this presentation unless otherwise stated. The information in this presentation is general in nat
Slide 3: Important Notices and Disclaimers: Competent Person Statement
Important Notices and Disclaimers For personal use only Competent Person Statement The information in this presentation that relates to the Exploration Results, Mineral Resources and Ore Reserves is based on information compiled by Mr Andrew Goode who is a member of the Australasian Institute of Min
Slide 4: Mine Gold.
Mine Gold. For personal use only FY17 329,834oz A$1,132/oz Total Gold Production All-In Sustaining Cost (AISC) 317,242oz A$1,717/oz Total Gold Sold Average Price Received (A$/oz) 4
Slide 5: Create Value.
Create Value. For personal use only FY17 A$541M A$177M Revenue from gold and silver sales Gross profit from operations A$166M Net Profit after tax $A290M Cash, Bullion & Listed Investments 5
Slide 6: FY17 financial highlights
Create Value. For personal use only FY17 49% Return on Equity 18.6 c $A136M Diluted earnings per share Net financing cash inflow A$186M Net operating cash inflow $A128M Net investing cash outflow 6
Slide 7: Three years running…
Three years running… For personal use only Track record of strong operating performance FY15 FY16 FY17 Original Guidance 315koz 315koz 300koz Production Actual 329koz 315koz 330koz ✔ ✔ ✔ (oz) Achieved Original Guidance A$1,280/oz A$1,280/oz A$1,280/oz AISC Actual A$1,094/oz A$1,200/oz A$1,132/oz ✔ ✔
Slide 8: Increasing profits from operations
Increasing profits from operations For personal use only Strong operating performance reflected in financial results A$M Gross Profit from Operations 200 180 160 140 120 100 A$167M A$177M 80 60 40 A$71M 20 - Jun-15 Jun-16 Jun-17 8
Slide 9: Increasing AISC margin
Increasing AISC margin For personal use only Active sales and lower costs deliver increasing AISC margin A$/oz All-In Sustaining Cost & Average Price Received 2,000 1,800 A$1,717/oz A$1,624/oz 1,600 A$1,467oz 1,400 A$424/oz A$585/oz A$373/oz 1,200 1,000 800 600 A$1,200/oz A$1,132/oz A$1,094/oz 400 2
Slide 10: Balance Sheet Strength
Balance Sheet Strength For personal use only A financial turnaround driven by free cashflow generation A$M Cash & bullion net of debt 300 250 200 150 A$248M 100 50 A$75M 0 -A$64M -50 -100 Jun-15 Jun-16 Jun-17 10
Slide 11: Investing for a long term future
Investing for a long term future For personal use only Free cashflow after significant capital expenditure A$M FY2017 Cash Flows 410 390 370 350 330 310 290 270 250 230 210 190 170 150 130 110 90 Cash & Syama Ravenswood Debt/Equity Exploration Capital Investing Bibiani Corporate Cash & Bullion Proje
Slide 12: Resolute gold dividend
Resolute gold dividend For personal use only Resolute has an innovative partnership with The Perth Mint to provide shareholders the unique opportunity to receive dividend payments in gold. 2.0 cents per share dividend in cash or gold Your gold awaits 12
Slide 13: Mine Gold. Create Value.
For personal use only Mine Gold. Create Value. 13
Slide 14: Long life, large scale assets
Long life, large scale assets For personal use only Three assets across Australia and West Africa Syama Gold Ravenswood Bibiani Gold Mine Gold Mine Mine Mali, West Africa Queensland, Australia Ghana, West Africa Resolute has a successful A successful operating history Resolute acquired the Bibiani G
Slide 15: Syama Gold Mine
mr personal use oni Syama Gold Mine ies Resolute » Pal)
Slide 16: Syama Gold Mine Operation Highlights
Syama Gold Mine For personal use only Operation Highlights FY17 Operating Performance Ore Mined Ore Milled Head Grade Recovery Total Production AISC (t) (t) (g/t) (%) (Gold oz) A$/oz Syama Sulphide 1,215,153 2,106,371 2.59 69.8 136,000 1,001 Syama Oxide 1,319,596 1,340,097 2.84 83.2 101,830 960 Syam
Slide 17: Syama Gold Mine Overview
Syama Gold Mine 7.5Moz Total For personal use only Overview Resource* 2.9Moz Total Reserve Production Rate Sulphide Oxide 12 Year Underground Mine Life 2.4Mtpa 1.5Mtpa (170kozpa) (70kozpa) US$881/oz LOM AISC - Underground * Includes upgraded Syama U/G resource – see ASX Ann. 23 October 2017 17
Slide 18: Rapid Underground Development
Rapid Underground Development Syama Underground ahead of schedule For personal use only • Underground mine development has advanced more than 6km • Semi-automated drilling with Sandvik DD422i allowing longer rounds and more rapid underground development with less overbreak 18 18
Slide 19: Syama Underground
Syama Underground For personal use only A world class sublevel cave in the making… Syama (8Moz) Nafolo 19
Slide 20: A major gold discovery at Syama
A major gold discovery at Syama Exciting new discovery at Nafolo For personal use only • Adjacent to 8Moz Syama deposit • Potential to transform Syama operation • Untested to the south and at depth • All drillholes to date have intersected gold mineralisation • Remains open in all directions 20
Slide 21: A world class opportunity
A world class opportunity 10Moz and counting, 80km of strike untested below ~200m For personal use only • Resolute controls an 80km strike length of the 10Moz Syama shear zone • Majority of exploration to date has been focused on shallow oxide open pit orebodies • Significant exploration upside belo
Slide 22: Syama Gold Mine: One of Africa's premier gold mines
Syama Gold Mine One of Africa’s premier gold mines For personal use only Randgold Acacia Centamin Newmont Resolute Randgold Kibali Bulyanhulu Sukari Ahafo Syama Loulo 19.7Moz 18.7Moz 12.9Moz 10.4Moz 10.0Moz 9.9Moz Goldfields AngloGold Goldfields AngloGold Iamgold Randgold Tarkwa Geita Damang Iduapri
Slide 23: Ravenswood Gold Mine
mr personal use ong Ravenswood Gold Mine ats Resolute ' aes)
Slide 24: Ravenswood Gold Mine Operation Highlights
Ravenswood Gold Mine For personal use only Operation Highlights FY17 Operating Performance Ore Mined Ore Milled Head Grade Recovery Total Production AISC (t) (t) (g/t) (%) (Gold oz) A$/oz FY17 Actual 2,366,159 1,995,293 1.54 93.1 92,004 1,406 FY18 Production Guidance Gold Production AISC AISC (oz) (
Slide 25: Ravenswood Gold Mine Overview
Ravenswood Gold Mine Overview For personal use only 4.3Moz Total Resource Production Rate Post 2020 1.8Moz Total Reserve +130kozpa 13 Year Mine Life 2.8Mtpa 5.0Mtpa LOM Process Capacity - Current Nameplate Capacity A$1,166/oz AISC 25
Slide 26: Ravenswood Expansion Project (REP)
Ravenswood Expansion Project (REP) For personal use only Current status and continuous improvement Current status: Continuous improvement: • 13 year mine life, 1.8Moz in reserves • Owner operator, larger equipment potential to • Processing plant capacity of 5Mtpa drive lower mining costs • Currently
Slide 27: Sarsfield and Buck Reef West
Sarsfield and Buck Reef West For personal use only Two large scale, bulk tonnage open pits Sarsfield Buck Reef West 27
Slide 28: Bibiani Gold Mine
mr personal use ony Bibiani O Gold Mine e Accra ats Resolute 28
Slide 29: Bibiani Gold Mine Overview
Bibiani Gold Mine For personal use only Overview Mining Rate 2.5Moz Total Resource* 1.2Mtpa 0.6Moz Total Reserve LOM >100koz Proposed Annual Production US$858/oz AISC US$72M Pre-production capex 5 Year 9 months Initial Mine Life Timeline to production * Includes upgraded Bibiani resource – see ASX A
Slide 30: Bibiani Gold Mine: Phase two drilling success
Bibiani Gold Mine Phase two drilling success For personal use only 30
Slide 31: Exploration for growth
Exploration for growth For personal use only Exploring to expand the business, not stay in business Exploration Expenditure $40 Egypt $35 Mali $30 Democratic Republic $25 of the Congo Côte d’Ivoire $20 $15 Tanzania Ghana $10 $5 $0 FY15 FY16 FY17 FY18 31
Slide 32: Looking for New Opportunities
Looking for New Opportunities For personal use only Africa: the future is gold 32
Slide 33: Platform for Growth
Platform for Growth Transformation enables bold ambition For personal use only • Resolute has mined more than 8 million ounces from 9 Gold mines in Australia and Africa • Operating expertise, build experience, and success in development • Strongest Balance sheet position in the Company’s history • L
Slide 34: Corporate Summary
Corporate Summary (ASX:RSG) For personal use only Shares on issue 741,477,595 1.9 Share Price 1.7 Share Price A$1.04 as at 27 Nov 2017 1.5 Market Capitalisation A$771M (US$586M) 1.3 $AUD Average daily volume 8.0M Shares 1.1 Cash, bullion, investments A$230M (US$176M) at 30 Sept 2017 0.9 0.7 Debt A$2
Slide 35: Appendix 1: Mineral Resources Statement 2017
Appendix 1: Mineral Resources Statement 2017 For personal use only Group MEASURED INDICATED INFERRED TOTAL MINERAL RESOURCES 1 share kt g/t koz kt g/t koz kt g/t koz kt g/t koz koz Ravenswood (Australia) 100% Sarsfield (insitu) 2 45,522 0.8 1,168 38,497 0.7 882 22,079 0.7 518 106,098 0.8 2,568 2,568
Slide 36: Appendix 2: Ore Reserves Statement 2017
Appendix 2: Ore Reserves Statement 2017 For personal use only PROVED PROBABLE TOTAL Group share ORE RESERVES kt g/t koz kt g/t koz kt g/t koz koz Ravenswood (Australia) 100% Sarsfield (insitu) 2 28,450 0.8 747 18,640 0.7 423 47,090 0.8 1,170 1,170 Nolans East 1,543 0.8 37 612 0.7 14 2,155 0.7 51 51
Slide 37: Mine Gold. Create Value.
For personal use only Mine Gold. Create Value. www.rml.com.au 37
Resolute Mining — Shareholder Meeting (November 2017) on 6ix