Igo Limited · ASX:IGO
Igo — Independence Group NL — Australian Nickel Conference 2017
26 slides from Igo's conference presentation, Oct 17, 2017
Slide 1: Australian Nickel Conference – Perth 2017 announcement
17/10/2017 For personal use only AUSTRALIAN NICKEL CONFERENCE – PERTH 2017 Please find attached a presentation to be given today by Peter Bradford, Managing Director and Chief Executive Officer, at the Australian Nickel Conference at the Pan Pacific hotel in Perth, Western Australia. The presentatio
Slide 2: Delivering Nova and Unlocking the Fraser Range
INDEPENDENCE GROUP NL For personal use only 2017 Australian Nickel Conference Delivering Nova and Unlocking the Fraser Range 17 October 2017
Slide 3: Cautionary statements & disclaimer
Cautionary statements & disclaimer • This presentation has been prepared by Independence Group NL (“IGO”) (ABN 46 092 786 304). It should not be considered as an offer or invitation to subscribe for or purchase any securities in IGO or as an For personal use only inducement to make an offer or invit
Slide 4: Great nickel market fundamentals, downstream processing, mine and exploration opportunity
For personal use only Great nickel Great nickel Great nickel Great nickel market downstream mine exploration fundamentals processing opportunity opportunity 3
Slide 5: Who we are, what we do, Delivering Nova, Unlocking the Fraser Range
For personal use only 1. Who we are 2. What we do 3. Delivering Nova 4. Unlocking the Fraser Range 4
Slide 6: Corporate Summary
Corporate Summary Post capex and positioned for strong FY18 For personal use only A$M FY17 FY16 Change % Share Ownership(4) Revenue 422 417 1% Substantial Holders Institutional Ownership Underlying EBITDA(1) 151 138 9% Mark Creasy 16% Australia 61% Net Profit after Tax 17 (59) n/a FIL 9% USA 26% Cas
Slide 7: A Company with Purpose
A Company with Purpose To create long-term shareholder value For personal use only IGO EBITDA Profile (A$M)(3) 600 600 500 500 400 400 300 300 200 200 100 100 0 0 Long (A$M) Jaguar (A$M) Tropicana (A$M) Nova (A$M) 6
Slide 8: Sustainability
Sustainability Focused on better outcomes for our people For personal use only ACSI Rating of ASX200 Sustainability Reporting(1) Ongoing Improvement in Key Lag Safety Metrics(2,3) 9 Leading 8 LTIFR 12 MMA Detailed 7 MTIFR 12 MMA 6 Moderate 5 Basic 4 3 No Reporting 2 Sector Sector ASX 200 1 Average L
Slide 9: Delivering Nova
For personal use only Nova Delivering 8
Slide 10: Nova: Low cost nickel-copper-cobalt mine
Nova Low cost nickel-copper-cobalt mine For personal use only Low cost High grade, thick, flat lying magmatic sulphide orebody Scale Average 26kt Ni, 11kt Cu & 1kt Co per annum Long life Initial 10 year mine life with huge exploration potential Fraser Range Located on Fraser Range (proximal to Tropi
Slide 11: Nova: Surface works and process plant completed
Nova For personal use only Surface works and process plant completed on time and on budget in late 2016 10
Slide 12: Nova: Commercial production achieved in July 2017
Nova For personal use only Commercial production achieved in July 2017 – only five years after discovery in July 2012 11
Slide 13: Nova: Ramped up to steady state
Nova For personal use only Now ramped up to steady state - 12 months earlier than the Definitive Feasibility Study and within 3% of Jan 2015 capex estimate 12
Slide 14: Nova Capitalised Development Costs
Nova Nova Capitalised Development Costs For personal use only Area Actual Budget(1) Variance Capex within 3% of Jan A$M A$M A$M(2) % 2015 uninflated estimate Process Plant 161 176 (15) (9%) included unbudgeted: Non-mine Infrastructure 90 99 (8) (8%) Mine Development 64 55 10 18% • Additional undergr
Slide 15: FY18 Guidance
FY18 Guidance(1) 100% owned magmatic Ni – Cu – Co mine For personal use only Overview 1.5Mtpa underground mine Production 25,000t Ni (contained metal in 11,000t Cu concentrate) 925t Co Operating Costs A$2.20/lb (payable) A$54M Capital Expenditure Development Sustaining Exploration Remnant Build 1) M
Slide 16: Nova Mine Design & Schedule
Nova Mine Design & Schedule For personal use only • Grade control 100% complete by end CY17 • Capital development substantially complete by end FY18 C5 Nova Bollinger 15
Slide 17: Nova Metallurgical Plant
Power station Nova Metallurgical For personal use only Plant Reagent Reagent shed mixing Water recovery Copper flotation Grinding/Milling Nickel flotation Concentrate shed Laboratory Crushing 16
Slide 18: Nova: Highly marketable concentrates
Nova For personal use only Highly marketable concentrates • Nickel conc grading 13.5% Ni • Copper conc grading 29% Cu • Offtake agreements in place for first three years • Nickel contracted 50/50 to BHP Nickel West & Glencore 17
Slide 19: Unlocking the Fraser Range
For personal use only Unlocking the Fraser Range 18
Slide 20: Exploration: Committed to growth through exploration
Exploration Committed to growth through exploration For personal use only FY18 Exploration Budget Fraser Range $20M $21M Nova Rest of Company $9M 1. Incremental in-mine additions 2. Nova ML step change discovery 3. Fraser Range “camp” potential demonstrated 19
Slide 21: Nova Exploration
Nova Exploration For personal use only Nova-Bollinger to be fully grade control drilled and de-risked by end-2017 Focus then shifts to identifying potential extensions… 20
Slide 22: Nova Exploration: work program and next steps
Nova Exploration For personal use only Initial work program completed: • Historical EM plates • Western mafic complex • Framework drilling on 2D seismic line - testing a number of reflective positions Next steps: • 3D seismic and targeting • Underground drilling 1) For further information refer to A
Slide 23: Fraser Range Exploration
Fraser Range Exploration New frontier with exploration focus only after Nova discovery For personal use only IGO has consolidated 12,000km2 on belt(1-5) Belt is underexplored • Prospective for Nova style intrusive hosted discoveries • Held by underfunded juniors at bottom of commodity price cycle 1)
Slide 24: Fraser Range South
Fraser Range South Fraser Range is a highly prospective – underexplored belt For personal use only 23
Slide 25: Summary: Nova in commercial production
• Nova in commercial For personal use only production • Transitioning to cash generation stage • Exploration spend increased with 60% to Nova and Fraser Range • FY18 promises to be a great year of delivery and discovery 24
Slide 26: igo.com.au
Nye Nad “AS WE GO FROM STRENGTH TO STRENGTH igo.com.au
Independence Group NL — Australian Nickel Conference 2017 on 6ix