Slide 1: 2023 Half Year Financial Results & MROR
Inspired people creating a premier global gold company 2023 HALF YEAR FINANCIAL RESULTS & MROR Jake Klein – Executive Chair Lawrie Conway – Chief Executive Officer and Managing Director Glen Masterman – VP Discovery 16 February 2023 1 Image: Ernest Henry flotation cell
Slide 2: Forward Looking Statement
FORWARD LOOKING STATEMENT These materials prepared by Evolution Mining Limited (or “the Company”) include forward looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as “may”, “will”, “expect”, “intend”, “plan”, “
Slide 3: Highlights
HIGHLIGHTS STRONG SIGNIFICANT HIGH QUALITY RESOURCES & 1 2 FINANCIAL 3 PORTFOLIO RETURNS RESERVES… AND GROWING Mineral Resources ~14 Years 39% 30.3Moz cont. Au Average Mine Life EBITDA Margin 1.8Mt cont. Cu Low cost, high Sector leading Ore Reserves margin assets in H1 FY23 AISC Margin 10.0Moz cont.
Slide 4: Sustainability
Mt Rawdon Pumped Hydro Project – more SUSTAINABILITY information at https://mtrawdonhydro.com.au ▪ Keeping our people healthy and safe ▪ TRIF1 improvement of ~13% since start of FY23 ▪ Safeguarding our social licence to operate ▪ Committed to our Net Zero target2 and supporting our local communities
Slide 5: High Quality Portfolio
HIGH QUALITY PORTFOLIO 1,600 Australian Gold Producers2 AISC Margin ($/oz) 1,534 ▪ High-quality portfolio in Tier 1 jurisdictions 1,400 1,200 ▪ Sector leading cost and margin position 1,103 1,000 1,016 1,011 986 928 800 887 873 ▪ Significant cash flow generation from high margin600 747 741 and curre
Slide 6: Financial Highlights
FINANCIAL HIGHLIGHTS Financials Units H1 FY23 H1 FY22 Change Statutory Profit after tax $M 101 91 11% Underlying Profit after tax $M 103 100 3% EBITDA $M 446 393 13% EBITDA Margin % 39% 44% (11%) Mine Operating Cash Flow $M 477 396 20% Capital Investment $M 390 273 43% Gearing % 31% 13% 143% Earning
Slide 7: Net Profit Up 11%
NET PROFIT UP 11% ◼ Material positive impact from full ownership of Ernest Henry throughout the half-year ◼ Higher gold revenue being driven by higher production at Cowal and Red Lake plus higher realised gold price ◼ Change in operating costs evenly split between the impacts of inflation and volume
Slide 8: Cost Drivers
FY23 AISC Sensitivities FY23 Cash flow Sensitivities COST DRIVERS ($/oz) ($M) Grade (+/- Au Price (-/+ 5%) 43 – 48 A$100/oz) 65 – 70 ◼ Discipline on cost management & capital allocation Cu Price Cu Price (-/+ ◼ Sector leading AISC (+/- 80 – 90 A$1,100/t) 58 – 63 A$1,100/t) ◼ Capital investment under
Slide 9: Strong Cash Margins
STRONG CASH MARGINS EBITDA Margin (%) 45% 39% ▪ Sector leading group cash margins underpinned by 33% high-margin assets ▪ Ernest Henry (60%) and Cowal (54%) ▪ Red Lake margins improving ▪ Mungari maintaining margins despite impacts of 1Q FY23 2Q FY23 1H FY23 tight WA labour market ▪ Increasing margi
Slide 10: Dividends and Debt
Cumulative Dividends ($M) DIVIDENDS AND DEBT ▪ FY23 Interim Dividend ▪ Fully franked 2.0 cents per share (~$37M) 1,053 1,090 943 ▪ Considers: 732 ▪ Performance and outlook of the business 459 298 7 21 43 87 171 ▪ Balance sheet position FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 H1 ▪ Plan
Slide 11: Mungari Future Growth Project
MUNGARI FUTURE GROWTH PROJECT Current state Future Growth Project Future potential 4.2Mtpa 2Mtpa ✓ Simple plant design processing processing capacity capacity ✓ Unlocks regional Key Upcoming ore sources ~30 Milestones months Cost Optimisation Gold ✓ Lower processing build and Preliminary Production
Slide 12: Ernest Henry – Significant Growth Potential
ERNEST HENRY – SIGNIFICANT GROWTH POTENTIAL ◼ Significant increase in Mineral Resources achieved at a discovery cost of $5 per ounce gold equivalent 1 ◼ Mineral Resource updated as at December 2022 2 ̶ 36% increase in contained copper to 1.2 million tonnes ̶ 37% increase in contained gold to 2.3 mil
Slide 13: Resources and Reserves
RESOURCES AND RESERVES December Red Lake Cowal Mungari Mt Rawdon Ernest December 2021 Henry 2022 Resource Resource December Red Lake Cowal Mungari Mt Rawdon Ernest December 2021 Henry 2022 Resource Resource 13 See the Appendix of this presentation for information on Evolution’s Mineral Resources and
Slide 14: Growth Since Inception
GROWTH SINCE Group Mineral Resources growth since inception (koz) INCEPTION Divestments Depletion Growth Gold Mineral Resources growth of 336% Acquisitions Gold Ore Reserves growth of 186% ▪ Reinforces strategy of identifying and acquiring assets in the right geological address where strong Evolutio
Slide 15: Summary
SUMMARY SECTOR LEADING COST AND MARGIN POSITION OPERATING CASHFLOWS FUNDING GROWTH PROJECTS ROBUST BALANCE SHEET AND LIQUIDITY HIGH-QUALITY RESOURCES & RESERVES 15
Slide 16: Appendix
Evolution MINING — ae ON ae —
Slide 17: Sustainability Principles
SUSTAINABILITY PRINCIPLES The objective of our sustainability efforts is to deliver long-term stakeholder value through safe, low-cost gold production in an environmentally and socially responsible manner Be an employer of choice Demonstrate robust risk Contribute positively to Actively manage clima
Slide 18: FY23 Guidance & FY24 Outlook
FY23 GUIDANCE & FY24 OUTLOOK Production AISC $/oz Sustaining Major FY23 Guidance (+/-5%) (+/-5%) Capital Capital Group 720,000 $1,240 $190 - $240M $530 - $600M Cowal 275,000 $1,250 $40 - $50M $325 - $360M Ernest Henry 82,500 ($2,600) $65 - $80M $35 - $45M Red Lake 160,000 $1,880 $50 - $60M $130 - $1
Slide 19: Group Gold Mineral Resources at 31 December 2022
GROUP GOLD MINERAL RESOURCES AT 31 DECEMBER 2022 Gold Measured Indicated Inferred Total Resource Dec 21 Resource Gold Gold Gold Gold Gold Gold Gold Gold Cut-off Tonnes Tonnes Tonnes Tonnes CP6 Project Type Grade Metal Grade Metal Grade Metal Grade Metal Gold Metal (g/t Au) (Mt) (Mt) (Mt) (Mt) (g/t)
Slide 20: Group Gold Ore Reserves at 31 Dec 2022
GROUP GOLD ORE RESERVES AT 31 DEC 2022 Gold Proved Probable Total Reserve Dec 21 Competent Reserves Cut-off Tonnes Gold Gold Metal Tonnes Gold Grade Gold Metal Tonnes Gold Gold Metal Person8 Gold Metal Project Type (g/t Au) (Mt) Grade (g/t) (koz) (Mt) (g/t) (koz) (Mt) Grade (g/t) (koz) (koz) Cowal1,
Slide 21: Group Resources & Reserves at 31 December 2022
GROUP RESOURCES & RESERVES AT 31 DECEMBER 2022 Group Mineral Resource – contained copper Copper Measured Indicated Inferred Total Resource Dec 21 Resources Copper Copper Copper Copper Copper CP1 Tonnes Tonnes Copper Tonnes Copper Tonnes Copper Copper Project Type Cut-off Grade Metal Metal Metal Meta
Slide 22: Evolution Mining
Evolution MINING