Slide 1: Capital Raising to Fund Growth
For personal use only Capital Raising to Fund Growth Jeff Quartermaine Managing Director & CEO 20 June 2016 ASX/TSX: PRU Not for release or distribution in the United States www.perseusmining.com 1
Slide 2: Cautionary Statements
Cautionary Statements For personal use only Nature of this document This presentation has been prepared by Perseus Mining Limited (Perseus or Company). This presentation has been prepared in relation to a proposed accelerated pro rata non-renounceable entitlement offer (Entitlement Offer) and instit
Slide 3: Cautionary Statements
Cautionary Statements For personal use only Disclaimer No representation or warranty, express or implied, is made by Perseus that the material contained in this presentation will be achieved or prove to be correct. Except for statutory liability which cannot be excluded, each of Perseus, its directo
Slide 4: Cautionary Statements
Cautionary Statements For personal use only All production targets for the EGM and the SGP referred to in this presentation are underpinned by estimated Ore Reserves which have been prepared by competent persons in accordance with the requirements of the JORC Code. The Company confirms that all mate
Slide 5: Cautionary Statements
Cautionary Statements For personal use only Future Work Perseus intends to complete a feasibility study on the YGP including a NI 43-101 technical report as soon as possible, with completion expected 12-15 months from commencement in April 2016. The feasibility will be focussed on increasing geologi
Slide 6: Executive Summary
Executive Summary For personal use only Perseus is undertaking an equity raising of up to approximately A$102 million (US$75 million) ● Institutional placement to raise up to A$61 million (US$45 million)1 ● A pro-rata 1 for 10 accelerated non renounceable entitlement offer to raise up to approximate
Slide 7: Equity Raising Overview
Equity Raising Overview For personal use only ● Equity Raising to raise up to approximately A$102 million (US$75 million), comprising: – A 15% institutional placement to raise up to approximately A$61 million (US$45 million) (Placement); and – A 1 for 10 pro-rata accelerated non-renounceable entitle
Slide 8: Timetable
Timetable For personal use only Time / Date (AEST1 unless otherwise stated) Trading halt and announcement of Equity Raising Aftermarket, Monday, 20 June 2016 Placement and Institutional Entitlement Offer book build opens 5:30pm, Monday, 20 June 2016 Placement and Institutional Entitlement Offer book
Slide 9: Sources and Uses
Sources and Uses (15 months from 31 March 2016 to 30 June 2017) For personal use only The Offer, combined with existing cash and proposed debt facility anticipated to fund Perseus’s growth capital until mid-2017, following which Edikan and Sissingué (once in production) expected to be strongly cashf
Slide 10: Debt Funding Update
Debt Funding Update For personal use only • Perseus has mandated Macquarie Bank and BNP Paribas to provide a term debt facility of US$60 million on a 50/50 basis – Continues Perseus’ banking relationship with Macquarie Bank who financed Edikan – Bank technical due diligence underway, site visits hav
Slide 11: Market Metrics
Market Metrics For personal use only Pre-Placement and Post-Placement and Key Information Entitlement Offer Entitlement Offer3 Share price (A$) 0.565 n/a Shares outstanding (m) 815.5 1019.34 Warrants outstanding (m)1 143 143 Market capitalisation (A$m) 461 5635 Cash (A$m)2 66 1686 Debt (A$m)2 - - En
Slide 12: Investment Highlights
Investment Highlights For personal use only Successful diversified West African gold producer, developer and explorer: • Producing Edikan Gold Mine, LOMP envisages average production of 222,000 ounces per annum at US$865 per ounce AISC1 over 7.5 years providing substantial leverage to the gold price
Slide 13: Our Strategy for Creating Value for Shareholders
Our Strategy for Creating Value for Shareholders For personal use only Drive increased Mitigate geopolitical productivity at Edikan Generate optimal risks through multi through further shareholder value country projects and optimisation and through staged excellent long term in- focussed capital cou
Slide 14: A Diversified West African Development and Operational Portfolio
A Diversified West African Development and Operational Portfolio² For personal use only Our Locations Assets Overview Sissingué (86%)1 • Large scale gold mine in production since early 2012 M&I Mineral Resource: 0.9Moz • LOM avg. production 222,000 ounces over a Ore Reserve: 0.4Moz 7.5 year life, an
Slide 15: Edikan Gold Mine: The flagship of the company
Edikan Gold Mine:The flagship of the company For personal use only Overview • Open pit gold mine in southern Ghana in operation for over 4 years • Average gold production of 222,000 ounces pa estimated over the remaining 7.5 year life • Average AISC over LOMP estimated at US$865 per ounce, significa
Slide 16: Edikan June Quarter 2016 – Interim Update
Edikan June Quarter 2016 – Interim Update For personal use only June 2016 Half Year guidance In late April 2016, June 2016 Half Year guidance revised to 75,000-90,000 ounces and full year to 152,000-167,000 due to: × Lower than anticipated reconciliation between Resource model and mill grades × Limi
Slide 17: Edikan – the way forward
Edikan – the way forward For personal use only Current LOMP envisages a material increase in gold production in FY2017 compared to FY2016 with the increase in production weighted towards the second half of FY2017 as grades improve Parameter Units Guidance FY2017 2017 per LOMP Dec 16 Half Jun 17 Half
Slide 18: Progressive improvement expected over the course of FY2017
Progressive improvement expected over the course of FY2017 For personal use only Based on current LOMP significant improvements to production and AISC are expected post plant upgrade in October 2016 Gold Production (ounces) All in site cost (US$/oz) 30,000 2,000 Plant upgrade shutdown Production cos
Slide 19: Edikan: Short term spend for long term gain
Edikan: Short term spend for long term gain1 For personal use only Intensive re-investment through to December 2016 including • Facilities required to access to all mining areas/mining infrastructure • Processing infrastructure (including plant improvements and power station) • Waste Stripping • Tai
Slide 20: Edikan: Expected Strong Cash Generation from FY2018 Onwards
Edikan: Expected Strong Cash Generation from FY2018 Onwards For personal use only Updated Life of Mine Plan – released 19 April 2016 • 7.5 years of production from 1 July 2016 • Average annual production of 258,000 ounces for 5 years from FY2017, with average annual gold production over life of mine
Slide 21: Sissingué Gold Project: Near Term Growth
Sissingué Gold Project: Near Term Growth For personal use only Overview • Development ready project in northern Côte d’Ivoire • Ore Reserves of 0.43Moz of gold (5.5Mt at 2.4g/t) • Forecast average annual production of 75,000 ounces at a LOM All-In Site Cost of US$632 per ounce • Capital payback esti
Slide 22: Yaouré Gold Project: Medium Term Growth
Yaouré Gold Project: Medium Term Growth For personal use only Overview • DFS stage development project in central Côte d’Ivoire • Measured and Indicated Mineral Resources of 5.2Moz (104.1Mt at 1.54g/t)* (see cautionary statement below) • Potential for large scale, long life, low cost production • Id
Slide 23: Yaouré: Substantial Mineral Resource Ideally Located for Large Scale Production
Yaouré: Substantial Mineral Resource Ideally Located for Large Scale Production For personal use only Brownfield site Grid power within 5km Dual carriageway within 40km Water supply within 5km Skilled workforce 23
Slide 24: Strong Pipeline from Exploration to Production
Strong Pipeline from Exploration to Production For personal use only Production Edikan Construction Sissingué Feasibility Study Esuajah S. Yaouré Pre-Feasibility / Concept Study Mampong Dadieso Grumesa Baomahun Advanced Bélé Exploration Bokitsi Mbengué Mahalé Zouan-Hounien Nkotumso Initial Explorati
Slide 25: Material Increase in Share Price Following Amara Transaction
Material Increase in Share Price Following Amara Transaction For personal use only Perseus one year share price performance (ASX) Announcement of business combination with Amara Mining plc • Share price has performed strongly since announcement of Amara transaction on 29 February 2016 – transaction
Slide 26: Key Milestones for Remainder of CY2016
Key Milestones for Remainder of CY2016 For personal use only Edikan capital enhancement project Current stage of the relocation housing and plant upgrade scheduled for completion in December 2016 quarter Completion of Equity Raising and announcement of credit approval of Sissingué financing package
Slide 27: Perseus: Transforming into a Mid-Tier Gold Producer
Perseus:Transforming into a Mid-Tier Gold Producer For personal use only Successful West African-focused gold Producing mine and strong Large Ore Reserve and Mineral producer development pipeline Resource inventory Experienced Board with clear strategy Robust balance sheet – strong cash for growth p
Slide 28: Key Risks
Key Risks For personal use only There are a number of risks, both specific to the Company and of a general nature, which may, either individually or in combination, affect the future operational and financial performance of the Company and the value of its securities. These include risks that are wi
Slide 29: Key Risks
Key Risks For personal use only Operating Cost Increases at the EGM Costs at the EGM are affected by labour costs and the price of input consumables, such as fuel and electricity, as well as explosives, tyres, and spare parts which influence escalation of contract mining costs. Any increases in the
Slide 30: Key Risks
Key Risks For personal use only Permitting and Licencing The Company’s mining, development and exploration activities are dependent upon the grant, or as the case may be, the maintenance or renewal of appropriate licences, concessions, leases, permits and regulatory consents which may be withdrawn o
Slide 31: Key Risks
Key Risks For personal use only Insurance and Uninsured Risks Although the Company maintains insurance to protect against certain risks in such amounts as it considers reasonable, its insurance will not cover all the potential risks associated with its operations. The Company may also be unable to m
Slide 32: Contact Us
Contact Us For personal use only ASX/TSX: PRU www.perseusmining.com Jeff Quartermaine Managing Director & CEO +61 8 6144 1700 Cathy Moises Investor Relations (Australia) +61 412 196 350 cathy.moises@perseusmining.com Nathan Ryan Media Relations (Australia) +61 420 582 887 32
Slide 33: Appendices
For personal use only APPENDICES 33
Slide 34: Experienced Board with Complementary Skillset
Experienced Board with Complementary Skillset For personal use only Reginald Gillard Jeff Quartermaine Colin Carson Non-Executive Chairman Managing Director and CEO Executive Director More than 30 years’ experience in accounting More than 25 years’ experience in financial and Director of numerous Au
Slide 35: Edikan Mineral Resources and Reserves
Edikan Mineral Resources and Reserves* For personal use only 5.1Moz of gold in Measured & Indicated Mineral Resources (144.8Mt at 1.1g/t) INCLUDING PLUS 2.3Moz of gold 2.0Moz of gold in Proven in Inferred & Probable Reserves Mineral Resources (58.4Mt at 1.2g/t) (61.4Mt at 1.0g/t) * As at 1 March 201
Slide 36: Edikan Mineral Resources and Reserves
Edikan Mineral Resources and Reserves* For personal use only INCLUDING 36 * As at 1 March 2016
Slide 37: Sissingué Mineral Resources and Reserves
Sissingué Mineral Resources and Reserves* For personal use only 880koz of gold in Measured & Indicated Mineral Resources (16.0Mt at 1.7g/t) INCLUDING PLUS 429koz of gold 63koz of gold in Proven in Inferred & Probable Reserves Mineral Resources (5.5Mt at 2.4g/t) (1.1Mt at 1.7g/t) *As at 30 June 2015
Slide 38: Sissingué Mineral Resources and Reserves
Sissingué Mineral Resources and Reserves* For personal use only INCLUDING * As at 30 June 2015 38
Slide 39: Yaouré Mineral Resources and Reserves
Yaouré Mineral Resources and Reserves1,2 For personal use only 5.2Moz of gold in Measured & Indicated Mineral Resources (104.1Mt at 1.5g/t) (see cautionary statement below) INCLUDING PLUS 3.2Moz of gold 2.2Moz of gold in Proven in Inferred & Probable Reserves Mineral Resources (62.3Mt at 1.6g/t) (47
Slide 40: Yaouré Mineral Resources and Reserves
Yaouré Mineral Resources and Reserves1,2 For personal use only INCLUDING PLS 1. Cautionary statement: These estimates are historical/foreign estimates and are not reported in accordance with the JORC Code. A qualified person has not completed sufficient work to classify these estimates as current mi
Slide 41: International Offer Restrictions
International Offer Restrictions For personal use only This presentation does not constitute an offer of new ordinary shares (New Shares) of the Company in any jurisdiction in which it would be unlawful. In particular, this presentation may not be distributed to any person, and the New Shares may no
Slide 42: International Offer Restrictions
International Offer Restrictions For personal use only Malaysia This presentation may not be distributed or made available in Malaysia. No approval from, or recognition by, the Securities Commission of Malaysia has been or will be obtained in relation to any offer of New Shares. The New Shares may n
Slide 43: International Offer Restrictions
International Offer Restrictions For personal use only Switzerland The New Shares may not be publicly offered in Switzerland and will not be listed on the SIX Swiss Exchange (SIX) or on any other stock exchange or regulated trading facility in Switzerland. This presentation has been prepared without