Igo Limited · ASX:IGO
Igo — Independence Group NL — Euroz Securities Conference 2013
43 slides from Igo's conference presentation, Mar 5, 2013
Slide 1: Growing a Great Australian Mining Company
GROWING A GREAT For personal use only AUSTRALIAN MINING COMPANY Euroz Securities Conference Presentation March 2013
Slide 2: Disclaimer
DISCLAIMER L For personal use only l Certain oral and written statements contained or incorporated by reference in this presentation, including information as to the future financial or operating performance of the Company and its projects, constitute forward-looking statements. All statements, othe
Slide 3: Financial Summary
FINANCIAL SUMMARY L For personal use only Capital Structure: ASX 200 Code : IGO 232.9M shares l Financials: Market Cap. (28/2/13): A$1,041M Cash (end Dec Qtr 2012): A$102.1M Debt (end Dec Qtr 2012): (A$16.2M) FY13 H1 NPBT: A$23.5M FY13 H1 NPAT: A$16.5M Substantial shareholders: 63 Institutions in To
Slide 4: Financing Facility
FINANCING FACILITY For personal use only Protection Against Uncertainty New Facility National Australia Bank A$170M A$130M Revolving Corporate Loan Available on a “as needs” basis Expires 31 Dec 2015 A$20M Asset Finance Replacement of an existing A$15M asset finance agreement A$20M Con
Slide 5: IGO Asset Pipeline
IGO ASSET PIPELINE L Combination of low cost cash flows from current operating mines with significant long-life For personal use only development projects and highly prospective exploration l l L Highly complementary management and technical capabilities, with proven successful track records of
Slide 6: IGO Major Projects
IGO MAJOR PROJECTS L For personal use only l 6
Slide 7: Tropicana Gold Project
TROPICANA GOLD PROJECT L L IGO 30%, AGA 70%, MANAGER For personal use only NEW AUSTRALIAN GOLD PROVINCE l l UNDER SAND DUNES Regional drilling First Ore Mark Up – Havana Pit 7
Slide 8: Tropicana Gold Project
TROPICANA GOLD PROJECT L IGO 30%, AGA 70%, MANAGER For personal use only l References : IGO & AGA 4/12/2012 ASX Releases for Tropicana Gold Project Mineral Resource Estimate IGO & AGA 27/7/2011 ASX Releases for Reserve Estimate 8
Slide 9: Tropicana Gold Project
TROPICANA GOLD PROJECT L IGO 30%, AGA 70%, MANAGER For personal use only PROJECT UNDER CONSTRUCTION: l Project 75% complete at 31st December 2012** First production estimated December Qtr 2013 Updated CAPEX Estimate IGO share A$246M – A$254M IGO Spend A$152M Estimate A$100M remaining** ^ I
Slide 10: Tropicana Gold Project: 2011 Domestic Gold Production
TROPICANA GOLD PROJECT L IN 2011 DOMESTIC GOLD PRODUCTION >100KOZ For personal use only l Gold Ounces Australian Mine Production 2011 900,000 Tropicana* (100%) 800,000 700,000 600,000 500,000 Tropicana* (30% IGO) 400,000 300,000 200,000 100,000 0 Source: * Based on BFS Production Years 1-3 10
Slide 11: Tropicana Gold Project: Upside Studies & Potential
TROPICANA GOLD PROJECT UPSIDE STUDIES & POTENTIAL LL For personal use only ll References : IGO & AGA 4/12/2012 ASX Releases for Tropicana Gold Project Mineral Resource Estimate IGO & AGA 27/7/2011 ASX Releases for Reserve Estimate 11
Slide 12: Tropicana Gold Project: Significant Down Plunge Potential
TROPICANA GOLD PROJECT L LL SIGNIFICANT DOWN PLUNGE POTENTIAL l For personal use only ll Drill widths approximate true widths 12
Slide 13: Tropicana Gold Project: Significant Regional Potential
TROPICANA GOLD PROJECT L LL SIGNIFICANT REGIONAL POTENTIAL l For personal use only ll Tenement Area 13,480 km2 Of the 60 Geochem Prospects ~ 32 Geochem Coverage over 7,000 km2 have been drilled with RC or DD Geochem Based Prospects ~ 60 Of the 32 Prospects drilled ~14 have drill intercepts
Slide 14: Tropicana Gold Project Fly Through
TROPICANA GOLD PROJECT L FLY THROUGH For personal use only l 15
Slide 15: Long Nickel Operation
LONG NICKEL OPERATION (IGO 100%) L For personal use only Record^ Annual 2012 Production – 9,995t Ni (2011/12 Guidance 8,800-9,200t Ni). l IGO produced over 83,000t Ni since acquisition. June 2012 Ore Reserve 41,900t Ni and Mineral Resource 76,600t Ni. Exploration success continues to add to
Slide 16: Long Nickel Operation: 10 Years of Low Cost Production
LONG NICKEL OPERATION (IGO 100%) L CELEBRATING 10Yrs OF LOW COST NICKEL PRODUCTION For personal use only l Net Margin 10 YEAR PRODUCTION AVERAGE Cash Cost + Royalties A$4.12/lb Realised Ni Price A$10.06/lb 16
Slide 17: Long Nickel Operation: Innovative Research and Development
LONG NICKEL OPERATION (IGO 100%) L INNOVATIVE RESEARCH AND DEVELOPMENT For personal use only l High powered TEM transmitter **exclusive to IGO** 10 x more powerful than conventional systems. Nickel sulphides are very Doubles search radius conductive and can be detection up to 200m. detected
Slide 18: Long Nickel Operation: Deposits & Targets
LONG NICKEL OPERATION (IGO 100%) DEPOSITS & TARGETS LONGITUDINAL PROJECTION L For personal use only l References: IGO 19/10/2012 ASX Release: Annual Report for Long Nickel Mine Mineral Resource and Ore Reserve Statement IGO 31/1/2013 ASX Release : Quarterly Activities Report to 31 December 2012 18
Slide 19: Jaguar Operation
JAGUAR OPERATION (IGO 100%) L PRODUCTION UPDATE & OPERATIONAL IMPROVEMENTS For personal use only ZINC-COPPER-SILVER ACTUAL GUIDANCE l FY 13 H1 OPERATION 2011/12 2012/13 ACTUAL Production (Zn Tonnes) 16,569 27,000 – 28,000 15,630 Production (Cu Tonnes) 7,257 5,000 – 6,000 2,567 Production (Ag ozs)
Slide 20: Jaguar & Bentley: Heavy Media Separation Plant
JAGUAR & BENTLEY (IGO 100%) L PRODUCTION UPDATE & OPERATIONAL IMPROVEMENTS For personal use only HEAVY MEDIA SEPARATION PLANT l Removes waste rock from diluted ore and stringer sulphides. Increases mill head-grade resulting in reduced processing costs. “Floats” “Sinks” Total tonnes treated 9
Slide 21: Jaguar & Bentley: Bentley Deposit
JAGUAR & BENTLEY (IGO 100%) L BENTLEY DEPOSIT New high grade mining plan For personal use only 2 years of developed long hole ore (lower cost) l Reference: IGO ASX Release 19/10/2012 for Annual Report: Jaguar/Bentley Operation Mineral Resource and Ore Reserve Statement 21
Slide 22: Jaguar & Bentley: Bentley Deposit
JAGUAR & BENTLEY (IGO 100%) L BENTLEY DEPOSIT For personal use only Discovered – 2008 Development – 2011 First Stoping – Sept Qtr 2012 l Bentley - Mineral Resource Total Tonnes Cu % Zn % Ag g/t Au g/t Total Resource 2,914,000 1.9 10.2 134 0.7 Bentley – Contained Metal Cu t Zn t Ag Moz Au oz Total
Slide 23: Jaguar & Bentley
JAGUAR & BENTLEY (IGO 100%) L Under-explored 50km long prospective Cu-Zn-Ag VMS corridor. High Prospectivity around existing 3 mines. For personal use only Six Cu-Zn-Ag alteration anomalies under- cover being systematically l tested. Golden Grove Gossan Hill : discovery history Bentley Deposit
Slide 24: Jaguar & Bentley Fly Through
JAGUAR & BENTLEY (IGO 100%) L FLY THROUGH For personal use only l 24
Slide 25: Stockman Project Overview
STOCKMAN PROJECT (IGO 100%) L OVERVIEW For personal use only Located 300kml NE of Melbourne Project Area 335 km2 Maiden Ore Reserve at Wilga and Currawong Recent gold discovery at Bigfoot Prospect, 300m north of Currawong Deposit. Regional Exploration potential for VMS and Gold Deposits 25
Slide 26: Stockman Project
STOCKMAN PROJECT (IGO 100%) L Currawong Deposit Wilga Deposit For personal use only l Stockman Total Tonnes Cu % Zn % Ag g/t Au g/t Total Ore Reserve 8,432,000 2.3 4.3 39 1.1 Total Resource 13,986,000 2.1 4.3 38 1.0 Reference: IGO ASX Release 19/10/2012 for Annual Report: Stockman Project Mineral Re
Slide 27: Stockman Project: Feasibility Study
STOCKMAN PROJECT (IGO 100%) L FEASIBILITY STUDY l For personal use only L l Two underground mines - Wilga and Currawong Feeding a 1Mtpa flotation plant over 9 years LOM Payable Metals 144,000t Cu, 229,000t Zn, 4.1Moz Ag & 44,000oz Au Recent gold discovery at Bigfoot prospect, 300m north of C
Slide 28: Stockman Project: Exploration Potential
STOCKMAN PROJECT (IGO 100%) L EXPLORATION POTENTIAL For personal use only l Near mine high grade “Bigfoot style” mineralisation Significant untested potential for VMS and Gold deposits Historical 1970s regional exploration never assayed for gold IGO high powered TEM system detected New “Eure
Slide 29: Karlawinda Gold Project
KARLAWINDA GOLD PROJECT (IGO 100%) L New Gold Province in Western Australia’s “Iron Ore Country” No historical gold workings For personal use only Close to infrastructure: major town, airport, sealed roads, majorl highway, gas pipeline, fresh water Similar geological setting to Tropicana 29
Slide 30: Karlawinda Gold Project: Francopan Prospect Discovery
KARLAWINDA GOLD PROJECT (IGO 100%) FRANCOPAN PROSPECT DISCOVERY L For personal use only l Drill intercepts are quoted as down hole widths, and not true widths 30
Slide 31: Karlawinda Gold Project: Prospective Gold Corridor
KARLAWINDA GOLD PROJECT (IGO 100%) L PROSPECTIVE GOLD CORRIDOR Scoping Study commenced. For personal use only Current Mineral Resource 674,300 oz Au l Potential to increase resources down dip and along strike. Reference: IGO 28/06/2012 ASX Release for Karlawinda Gold Project Mineral Resource E
Slide 32: De Beers Database
DE BEERS DATABASE (IGO 100%) L L Long term exploration asset to find new Australian mineral camps. 293,000 geochemical samples collected by De Beers over 30 years. l For personal use only IGO analysing samples for 57 elements including Ni, Cu, Pb, Zn, Au,l Ag, Pt, Pd, U, rare earths, Sn, Li, K
Slide 33: De Beers Database: Unlocking the Potential
DE BEERS DATABASE (IGO 100%) L L UNLOCKING THE POTENTIAL l For personal use only De Beers Targets Under Review l 69 Gold Anomalies 26 Base Metal Anomalies 16 Other/Strategic Metal Anomalies Anomalous base metal and sulphur rich gossan found by Independence Group geologists following upstream
Slide 34: IGO Strategic Objectives
IGO STRATEGIC OBJECTIVES Future Target : Sustainable Annual A$ 200M Cash flow from Operations For personal use only A$M Cashflow From Operations* 200 Target Annual Cashflow with Tropicana, Long & Bentley at full production 150 100 50 30.2 58.9 52.8 31.9 38.2 * Cashflow from Operations 0 does not a
Slide 35: IGO Transformation
IGO TRANSFORMATION L GROWING A GREAT For personal use only AUSTRALIAN MINING COMPANY l Planning for the Next Ten Years Continue and Improve our excellent safety record Target annual sustainable A$200M Cashflow from Operations Target Low cash costs Long: A$4.80-5.00lb Ni Jaguar: A$0.30-0.50lb
Slide 36: Contact Details
INDEPENDENCE GROUP L CONTACT DETAILS L l For personal use only l Perth Office Chris Bonwick, Managing Director Suite 4, Level 5, South Shore Centre 85 South Perth Esplanade South Perth, Western Australia, 6151 PO Box 496, South Perth, Western Australia, 6951 Telephone: +61 8 9238 8300 Facsimile: +61
Slide 37: Appendix: Reserves and Resources Statements
L For personal use only l APPENDIX RESERVES AND RESOURCES STATEMENTS 37
Slide 38: Reserves and Resources: Long Nickel Operation
RESERVES AND RESOURCES L For personal use only LONG NICKEL OPERATION Mineral Resources 30 June 2012 l 2012 Ore Reserve 30 June Cut-off 1% Ni at Economic Ni Cut-off Classification Tonnes Ni% Ni Tonnes Classification Tonnes Ni% Ni Tonnes LONG Measured 47,000 3.7 1,700 LONG Indicated 220,000 5.1 11,200
Slide 39: Reserves and Resources: Tropicana Gold Project JV
RESERVES AND RESOURCES L For personal use only TROPICANA GOLD PROJECT JV l Mineral Resources Ore Reserves December 2012 June 2011 Contained Contained Tonnes Grade Gold Tonnes Grade Gold Classification (Mt) (g/t)1 (Moz)2 Classification (Mt) (g/t)3 (Moz)4 Measured 29.8 2.1 2.03 Indicated 76.4 2.0 4.78
Slide 40: Reserves and Resources: Jaguar / Bentley Operation
RESERVES AND RESOURCES L For personal use only JAGUAR / BENTLEY OPERATION JAGUAR / BENTLEY OPERATION Mineral Resources 30 June 2012 l Ore Reserve 30 June 2012 Classification Tonnes Cu% Zn% Ag g/t Au g/t Classification Tonnes Cu% Zn% Ag g/t Au g/t JAGUAR Measured 429,000 2.5 4.4 61 - JAGUAR Proven 73
Slide 41: Reserves and Resources: Stockman Project
RESERVES AND RESOURCES L For personal use only STOCKMAN PROJECT l Mineral Resources 30 June 2012 Ore Reserve January 2013 Classification Tonnes Cu% Zn% Ag g/t Au g/t Classification Tonnes Cu% Zn% Ag g/t Au g/t CURRAWONG Indicated 9,548,000 2.0 4.2 42 1.2 Proven 0 0 0 0 0 Inferred 781,000 1.4 2.2 23
Slide 42: Reserves and Resources: Karlawinda Gold Project
RESERVES AND RESOURCES L For personal use only KARLAWINDA GOLD PROJECT : l BIBRA DEPOSIT (INFERRED RESOURCES - JUNE 2012) Tonnes Au Grade Contained Au Mineralisation Type (Mt) (g/t) (oz) Laterite 2.2 1.1 77,100 Upper Saprolite 0.9 1.1 31,000 Lower Saprolite 1.9 1.1 63,600 Transitional 2.1 1.0 68,200
Slide 43: Competent Persons Statements
COMPETENT PERSONS STATEMENTS L For personal use only l Notes: The information in this summary presentation that relates to Exploration Results is based on information compiled by Mr Christopher M Bonwick who is a full-time employee of the Company and is a member of the Australasian Institute of Mini
Independence Group NL — Euroz Securities Conference 2013 on 6ix