Resolute Mining Limited · ASX:RSG
Resolute Mining — 121 Mining Investment Conference, London, May 2017
32 slides from Resolute Mining's conference presentation, May 9, 2017
Slide 1: Mine Gold. Create Value.
For personal use only Mine Gold. Create Value. Investor Presentation – 121 Mining Investment Conference, London, May 2017
Slide 2: Cautionary Statement
Cautionary Statement For personal use only This presentation includes certain statements, estimates and projections with respect to the future performances of Resolute. Such statements, estimates and projections reflect various assumptions concerning anticipated results, which assumptions may prove
Slide 3: Mine Gold. Create Value.
For personal use only Mine Gold. Create Value. 3
Slide 4: Corporate Summary
Corporate Summary (ASX:RSG) For personal use only Shares on issue 736,982,768 Share Price 2.5 Share Price A$1.15 2 Market Capitalisation A$848M (US$628M) 1.5 $AUD Average daily volume 9.4M Shares 1 Cash and bullion A$282M (US$212M) at 31 Mar 2017 0.5 Debt A$9M (US$7M) at 31 Mar 2017 0 Jan Feb Apr Ma
Slide 5: Mine Gold. Create Value.
Mine Gold. Create Value. For personal use only Developing Exploration >10 year gold mines Success Syama Underground Nafolo discovery at Syama Ravenswood Bibiani drilling success Expansion Project Reducing Robust Cash, All-In Sustaining Bullion & Listed Costs (AISC) Investments through innovation A$2
Slide 6: Production up, costs down
Production up, costs down For personal use only A significant upgrade to FY17 production guidance FY17 gold shipped guidance maintained at • Original Guidance: 300koz at US$934/oz 325koz • Updated Guidance: 325koz at US$865/oz FY17 production guidance • Improved production and cost performance $ FY1
Slide 7: Improving financial performance
Improving financial performance For personal use only A financial turnaround driven by free cashflow generation A$M A$M EBITDA Gross Profit $100 $120 $90 $100 $80 $70 $80 $60 $50 $60 $40 $40 $30 $20 $20 $10 $0 $0 1H15 2H15 1H16 2H16 1H17 1H15 2H15 1H16 2H16 1H17 A$M Diluted EPS A$M Cash, bullion & i
Slide 8: Developing long life assets
Developing long life assets For personal use only Three large-scale 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
Slide 9: Targeting 500kozpa by 2020
Targeting 500kozpa by 2020 For personal use only Extensive development & exploration pipeline • Ambition to be producing Growth Projects 500kozpa by 2020 Syama Underground Syama Project 85 • Through an extensive Bibiani Gold Mine Ravenswood Exp. pipeline of organic growth Brownfields Project (REP) E
Slide 10: Sector leading growth rate
Sector leading growth rate For personal use only Best in class gold production CAGR over the next 5 years • Resolute has the highest gold Compound Annual Growth Rate (2016-2021) production compound annual growth 15% rate (CAGR) over the next 5 years 10% 5% • Resolute is well-positioned with West 0%
Slide 11: Growth projects timeline
Growth projects timeline A pathway to growth across three assets For personal use only FY18 FY18 FY18 FY18 FY19 FY19 FY19 FY19 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Syama Gold Mine Syama Underground Development Ore Mining Production Ore Mining Project 85 Construction & Commissioning Operational Project Low Carbon
Slide 12: Syama Gold Mine
Syama For personal use only Gold Mine Key Statistics Commissioned 2009 Ownership 80% LOM AISC - Underground US$881/oz Production Rate - Sulphide 2.4Mtpa (170kozpa) Production Rate - Oxide 1.5Mtpa (70kozpa) Underground Mine Life 12 years Total Reserves 3.1Moz Total Resources 6.0Moz 12
Slide 13: Syama Gold Mine: One of Africa's premier gold mines
Syama Gold Mine One of Africa’s premier gold mines For personal use only • Syama’s size, tenor and 10 Kibali endowment makes it one of Sukari Ahafo Fekola Bulyanhulu Africa’s premier gold mines Log Contained Gold (Moz) Akyem Loulo Ity Hounde Syama Ahafo North Gounkoto • The 8Moz Syama orebody Geita
Slide 14: Syama Gold Mine: Resolute's success story
Syama Gold Mine Resolute’s success story in geology, mining & metallurgy For personal use only Syama Production History Syama Resource & Reserve Growth 250,000 85 7.0 80 6.0 Resource & Reserve (Moz) 200,000 Gold Production (ozpa) Overall Recovery (%) 75 5.0 150,000 70 4.0 65 3.0 100,000 60 2.0 50,00
Slide 15: Going underground at Syama
Going underground at Syama: For personal use only developing a robust, long life flagship gold mine Initial All-In Sustaining Cost 12 year US$881 mine life per ounce 15
Slide 16: Syama Underground
Syama Underground West Africa’s first large-scale Sublevel Cave (SLC) For personal use only • Excavation of the surface boxcut has commenced (on track for completion in late CY17) • Mine development has commenced on the first production level (1130 Level) • First ore from development ore drives has
Slide 17: Syama Satellite Operations
Syama Satellite Operations Resolute’s unsung production asset For personal use only • Record MarQ 2017 production run rate of ~110kozpa and YTD AISC of US$646/oz • Current 1.5Mtpa run rate oxide circuit processing oxide and transitional ore from satellite open pit operations • Significant exploratio
Slide 18: Syama Project 85
Syama Project 85 Targeting overall recoveries above 85% For personal use only Calcine CIL tanks Flotation tails thickener • Project design, procurement and construction on schedule, construction 35% complete • Staged commissioning of Project 85 remains on track for the end of March 2018 18
Slide 19: Ravenswood Gold Mine
Ravenswood For personal use only Gold Mine Key Statistics Acquired 2004 Ownership 100% LOM AISC US$880/oz Process Capacity - Current 2.8Mtpa Nameplate Capacity 5.0Mtpa Production Post 2020 +130kozpa Mine Life 13 years Total Reserves 1.8Moz Total Resources 4.3Moz 19
Slide 20: Ravenswood Expansion Project
Ravenswood Expansion Project Bulk-tonnage open pit mining For personal use only • Reserves: 69.7Mt @ 0.8g/t (1.8Moz) • Resources: 172.4Mt @ 0.8g/t (4.3Moz) • Life of Mine strip ratio of 1.3:1 • Beneficiation of low grade ore (0.3 - 0.7g/t Au) • Bulk open pit mining costs (~A$3.50/t) • Owner operator
Slide 21: Bibiani Gold Mine
Bibiani For personal use only Gold Mine Key Statistics Acquired 2014 Ownership 90% LOM AISC US$858/oz Mining Rate 1.2Mtpa Proposed Annual Production >100koz Initial Mine Life 5 years Pre-production capex US$72M Timeline to production 9 months Total Reserves 0.6Moz Total Resources 1.8Moz 21 Developme
Slide 22: Bibiani Gold Mine: Phase two drilling success
Bibiani Gold Mine Phase two drilling success For personal use only • A substantial gold deposit: • Production to date of >4Moz • 1.8Moz Total Resource • Phase 2 drilling underway to upgrade inferred resources to an indicated category • Phase 2 drilling has intersected mineralisation better than the
Slide 23: Extending a 6Moz gold system
Extending a 6Moz gold system High grade intercepts near existing infrastructure For personal use only Open Open Open Mineralisation open at depth with excellent intersections in deepest holes 23
Slide 24: Exploration: exploring world class tenure
Exploration: exploring world class tenure in West Africa and Australia For personal use only Exploring 4,200km2 of prospective tenure across Australia & Africa Active drilling programs in Mali, Ghana, Cote d’Ivoire & Queensland 24
Slide 25: Nafolo prospect
Nafolo prospect Game changing new discovery For personal use only • Adjacent to 8Moz Syama Deposit • Untested along strike and at depth • Potential to transform Syama operation Syama long section – Nafolo discovery 25
Slide 26: Nafolo prospect: Four holes in
Nafolo prospect Four holes in…a major new discovery For personal use only 26
Slide 27: Resolute focus on growth
Resolute focus on growth Exploration and Business Development For personal use only • Investments in Kilo Goldmines (KGL.tsx-v), Manas Resources (MSR.asx) and Oklo Resources (OKU.asx) • Exposure to prospective tenure in Mali, Tanzania and Democratic Republic of Congo (DRC) • Backing good teams in th
Slide 28: Invest in Resolute
Invest in Resolute For personal use only • Strong balance sheet and ongoing operational cash flow generation • New executive team leading cultural and performance transformation • Exciting new discovery at Nafolo • Large long life mines • Organic production growth to ~500kozpa • Syama Underground Mi
Slide 29: Appendix 1: Peer Benchmarking
For personal use only Evolution 299 Northern Star 1,098 Notes: Source: Centamin 262 Regis 705 Roxgold 251 Centamin 612 Northern Star 237 Evolution 606 OceanaGold 192 OceanaGold 554 B2Gold 186 Roxgold 496 (1) Resource inclusive of reserve. Regis 175 B2Gold 488 Endeavour 153 Saracen 469 EV / Reserve (
Slide 30: Appendix 2: Mineral Resources Statement 2016
Appendix 2: Mineral Resources Statement 2016 For personal use only MEASURED INDICATED INFERRED TOTAL Group share MINERAL RESOURCES 1 kt g/t koz kt g/t koz kt g/t koz kt g/t koz koz Ravenswood (Australia) 100% Sarsfield (insitu) 2 46,453 0.8 1,186 39,024 0.7 892 22,192 0.7 521 107,669 0.8 2,599 2,599
Slide 31: Appendix 3: Updated Ore Reserves Statement 2016
Appendix 3: Updated Ore Reserves Statement 2016 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 1,818 0.8 46 846 0.9 25 2,664 0.
Slide 32: Your gold awaits
For personal use only Your gold awaits Mine gold. Create value. ASX:RSG | www.rml.com.au 32
Resolute Mining — 121 Mining Investment Conference, London, May 2017 on 6ix