St. Barbara Ltd. · ASX:SBM
St. Barbara — 24th Denver Gold Forum (September 2013)
38 slides from St. Barbara's conference presentation, Sep 23, 2013
Slide 1: Presentation to Denver Gold Forum
ASX Release / 23 September 2013 For personal use only Presentation to Denver Gold Forum Attached is a presentation by Tim Lehany, Managing Director and CEO, to the Denver Gold Forum in Colorado, USA, to be delivered on Wednesday 25 September. Ross Kennedy Executive General Manager Corporate Services
Slide 2: St Barbara – Australia/Pacific Gold Producer & Explorer
TIM LEHANY, MANAGING DIRECTOR & CEO / 25 September 2013 For personal use only 24th Denver Gold Forum St Barbara – Australia/Pacific Gold Producer & Explorer
Slide 3: Forward statements
Forward statements For personal use only This presentation has been prepared by St Barbara Limited (“the Company”). The material Investors are cautioned not to place undue reliance on such statements. contained in this presentation is for information purposes only. This presentation is not an This p
Slide 4: Overview – well positioned to grow from existing assets
Overview – well positioned to grow from existing assets ˃ Strongly performing Australian For personal use only Operations ˃ Gwalia & King of the Hills, WA ˃ Significant growth potential Pacific Operations ˃ Simberi, Papua New Guinea ˃ Gold Ridge, Solomon Islands ˃ Exploration focus to leverage value
Slide 5: Diversified Australia-Pacific gold producer
Diversified Australia-Pacific gold producer - established operations in three countries For personal use only Simberi PNG Simberi SI ˃ Low strip open pit mine ˃ FY14F production: Gold Ridge 85 - 100 koz ˃ Near mine targets for Leonora exploration ˃ Two underground mines: ˃ Gwalia Mine FY14F producti
Slide 6: Leonora Operations, Australia
Leonora Operations, Australia - underpinning Company cash generation For personal use only 5/ 24th DENVER GOLD FORUM / 25 September 2013
Slide 7: Gwalia Mine, Leonora
Gwalia Mine, Leonora - cornerstone asset & reliable cash margin generator For personal use only ˃ Ore Reserves 6.6 Mt @ 8.3 g/t Au for 1.75 Moz 1 ˃ 9+ year mine life ˃ Deposit open at depth ˃ Steady state mining operation ˃ FY12 185 koz ˃ FY13 183 koz ˃ FY14F 180 - 195 koz ˃ Strong cash margins with
Slide 8: King of the Hills, Leonora, WA
King of the Hills, Leonora, WA - reliable satellite mine to complement Gwalia ore ˃ Underground mine approx. 40 km from Gwalia processing plant For personal use only by road ˃ Provides 500 ktpa of ore to utilise available Gwalia mill capacity ˃ Reliable gold production of 55+ kozpa in FY12, FY13, FY
Slide 9: Pacific Operations
Pacific Operations – completing the turnaround & realising growth opportunities For personal use only 8/ 24th DENVER GOLD FORUM / 25 September 2013
Slide 10: Pacific Operations - prospective mines and large under explored ground positions
Pacific Operations - prospective mines and large under explored ground positions ˃ Pacific Operations acquired 7 September 2012 For personal use only ˃ Turnaround opportunity to apply St Barbara operating capability ˃ Extensive under-explored prospective land holdings ˃ As previously reported, turna
Slide 11: Simberi Operations, Papua New Guinea
Simberi Operations, Papua New Guinea For personal use only Plant expansion will deliver higher production and lower unit costs 10 / 24th DENVER GOLD FORUM / 25 September 2013
Slide 12: Simberi Operations, Papua New Guinea
Simberi Operations, Papua New Guinea ˃ Small island in New Ireland Province For personal use only ˃ Open pit mining since 2008 ˃ Supportive, experienced local workforce ˃ Oxide plant expansion to 3.5 Mtpa complete (except for thickener) ˃ New circuit to be commissioned during October at 2.0 Mtpa und
Slide 13: Simberi Operations, Papua New Guinea
Simberi Operations, Papua New Guinea For personal use only Expected production increase in ˃ Oxide plant expansion to 3.5 Mtpa FY14 from plant expansion expected to lift sustainable gold production to 100 kozpa run rate 120 (see slide 11) 100 ˃ Upgrade of mining fleet underway 80 to increase asset u
Slide 14: Gold Ridge Operations, Solomon Islands
Gold Ridge Operations, Solomon Islands For personal use only Established open pit operations in Charivunga Valley 13 / 24th DENVER GOLD FORUM / 25 September 2013
Slide 15: Gold Ridge, Solomon Islands
Gold Ridge, Solomon Islands For personal use only Expected production increase in ˃ 2.5 Mtpa processing plant and open FY14 from improved operating pits located in highly mineralised 100 performance Charivunga Valley, close to Honiara ˃ Lift in gold production expected 80 through; 60 ˃ Improved mini
Slide 16: Exploration
Exploration For personal use only Leveraging value from current operations 15 / 24th DENVER GOLD FORUM / 25 September 2013
Slide 17: Exploration: focus on adding to near mine reserves
Exploration: focus on adding to near mine reserves Exploration spend FY14F $20-25M For personal use only ≈ 40% in Australia Tabar Island Group ≈ 60% in Pacific Operations (inc. Simberi) Simberi > Active drilling programs on defined ˃ Ore bodies open at depth PNG targets SI ˃ Near mine targets for ex
Slide 18: Exploration: Multiple targets identified at Simberi
Exploration: Multiple targets identified at Simberi - drilling underway For personal use only Simberi Island ˃ Focus on identifying additional oxide resources through drilling ˃ Significant gold results from trenching and drilling at Botlu and Pigicow on near-mine prospects1 Tatau Island ˃ Significa
Slide 19: Exploration: Gold Ridge, Solomon Islands
Exploration: Gold Ridge, Solomon Islands - drilling identified targets to test land prospectivity For personal use only Extending near mine resources Guadalcanal Island ˃ Drilling has commenced on the highly mineralised Charivunga zone at Gold Ridge mine, with encouraging gold results including GDC0
Slide 20: Ore Reserves and Mineral Resources
Ore Reserves and Mineral Resources -amongst the highest of any ASX mid-tier gold company For personal use only Significant Ore Reserves Diversified portfolio of Ore and Mineral Resources 1 Reserves 1 13.22 Leonora, Simberi, WA PNG 41% 42% 7.61 5.24 2.53 FY 12 FY 13 Gold Ridge, Mineral Resources Ore
Slide 21: FY14 Objectives Australian Operations
FY14 Objectives Australian Operations – continuing strong cash generation ˃ Forecast gold production 235 - 255 koz (see slide 26) For personal use only ˃ Continuing business improvement ˃ Drilling to test for mine life extensions ˃ Gwalia – mining new drill drive for FY15 extensional drilling progra
Slide 22: FY14 Objectives Pacific Operations
FY14 Objectives Pacific Operations - lifting operational performance and planning for growth ˃ Forecast gold production 160 – 190 koz (see slide 26) For personal use only ˃ Applying St Barbara operating capability: ˃ plans, systems, controls ˃ Lifting production and reducing unit costs ˃ Simberi: co
Slide 23: Company is well capitalised
Company is well capitalised - financing in place to deliver strategy Senior Secured Note issue for US$250 million completed March 2013 For personal use only ˃ 5 year term, no amortisation, coupon 8.875% p.a. At 30 June 2013 ˃ A$129 million cash 1 ˃ A$328 million interest bearing liabilities – inc. n
Slide 24: What distinguishes St Barbara…
What distinguishes St Barbara… ˃ Diversified portfolio of gold operations in Australia / Pacific For personal use only region ˃ All mines open at depth or along strike ˃ Prospective exploration targets at each operation ˃ Drill testing planned FY14 ˃ Strong financial position ˃ Focus on generating l
Slide 25: St Barbara: Australia / Pacific gold producer
St Barbara: Australia / Pacific gold producer For personal use only 24 / 24th DENVER GOLD FORUM / 25 September 2013
Slide 26: Appendices
Appendices For personal use only 25 / 24th DENVER GOLD FORUM / 25 September 2013
Slide 27: FY14 guidance & currencies
FY14 guidance & currencies For personal use only Gold production Cash operating cost 1 Capex koz A$/oz A$M Gwalia 180 – 195 720 – 750 45 – 50 King of the Hills 55 – 60 1,040 – 1,090 12 – 15 Gold Ridge 75 – 90 1,100 – 1,190 14 – 18 Simberi 85 – 100 900 – 990 20 – 25 Total 395 – 445 880 – 940 91 – 108
Slide 28: FY14 indicative quarterly guidance production profile
FY14 indicative quarterly guidance production profile For personal use only FY14 Production Indicative Quarterly Guidance Profile 27% 25% 25% 23% ˃ Consolidated production is anticipated to increase gradually throughout FY14 FY 14 FY 14 FY 14 FY 14 Q1 Sep Q2 Dec Q3 Mar Q4 Jun Actual Indicative % of
Slide 29: High proportion of global institutional investors
High proportion of global institutional investors Top 100 Shareholding Structure For personal use only UK, 31% Private 8% USA, 28% Unallocated / not analysed 10% Australia, 22% Europe, 5% Institutions Asia, 2% 82% Other / not analysed, 12% Analysis and geographic spread of Top 100 Shareholders as at
Slide 30: Strong, long term shareholders; wide broker coverage
Strong, long term shareholders Wide broker coverage For personal use only Significant Shareholders 1 Broker Research Coverage M&G Investment Mgt 19% Argonaut Securities Troy Irvin Van Eck Associates 8% Baillieu Holst Sophie Spartalis Canaccord Luke Smith Baker Steel Capital Managers 7% Citi Daniel S
Slide 31: Mineral Resources Summary as at June 2013
Mineral Resources Summary as at 30 June 2013 For personal use only Category Measured Indicated Inferred Total Region Project Tonnes (k) Au g/t k oz Tonnes (k) Au g/t k oz Tonnes (k) Au g/t k oz Tonnes (k) Au g/t k oz Leonora Gwalia Deeps 5,521 6.1 1,088 7,422 9.9 2,362 1,467 7.2 341 14,410 8.2 3,791
Slide 32: Ore Reserves Summary as at June 2013
Ore Reserves Summary as at 30 June 2013 For personal use only Category Proved Probable Total Region Project kt Au g/t koz kt Au g/t koz kt Au g/t koz Leonora Southern Cross - - - - - - - - - Gwalia Deeps 1,670 8 424 4,900 8.4 1,330 6,570 8.3 1,754 Tower Hill 2,572 3.7 306 2,572 3.7 306 King of the H
Slide 33: Competent Persons Statement
Competent Persons Statement For personal use only Exploration Results The information in this presentation that relates to Exploration Results is based on information compiled by Mr Phillip Uttley, who is a Fellow of The Australasian Institute of Mining and Metallurgy. Mr Uttley is a full-time emplo
Slide 34: Board of Directors: Chairman and MD & CEO
Board of Directors: Chairman and MD & CEO For personal use only S J Colin Wise Timothy J Lehany Chairman – Non Executive Managing Director & CEO Appointed 2004 Appointed 2009 Mr Wise is an experienced corporate lawyer, consultant and Mr Lehany joined St Barbara in 2009, and has over 25 company direc
Slide 35: Board of Directors: Non-Executive Directors
Board of Directors: Non-Executive Directors Douglas W Bailey Phillip C Lockyer For personal use only Director– Non Executive Director– Non Executive Appointed 2006 Appointed 2006 Mr Bailey was the Chief Financial Officer of Woodside Mr Lockyer is an experienced mining engineer and Petroleum Ltd betw
Slide 36: Executive Leadership Team
Executive Leadership Team Average tenure 5 years Tim Lehany Ross Kennedy Managing Director & CEO Executive General Manager Corporate Services/ Company Secretary For personal use only Joined 2009 Joined 2004 Tim has over 25 years extensive operating experience with a number of mining companies, inclu
Slide 37: Non-IFRS Measures
Non-IFRS Measures For personal use only We supplement our financial information reporting determined under International Financial Reporting Standards (IFRS) with certain non-IFRS financial measures, including cash operating costs. We believe that these measures provide meaningful information to ass
Slide 38: Investor Relations Enquiries
Investor Relations Enquiries For personal use only Ross Kennedy Executive General Manager Corporate Services E: ross.kennedy@stbarbara.com.au Rowan Cole General Manager Corporate Services E: rowan.cole@stbarbara.com.au T: +61 3 8660 1900 www.stbarbara.com.au ASX: SBM 37 / 24th DENVER GOLD FORUM / 25