St. Barbara Ltd. · ASX:SBM
St. Barbara — RIU Sydney Resources Round-up 2010
44 slides from St. Barbara's conference presentation, May 11, 2010
Slide 1: Managing Director and CEO's Address to the RIU Sydney Resources Round-up
St Barbara Limited ACN 009 165 066 Level 14, 90 Collins Street, Melbourne VIC 3000 Locked Bag 9, Collins Street East, Melbourne VIC 8003 Tel +61 3 8660 1900 Fax +61 3 8660 1999 www.stbarbara.com.au For personal use only Managing Director and CEO’s Address to the RIU Sydney Resources Round- up We att
Slide 2: On the Path for Growth
For personal use only On the Path for Growth Tim Lehany Managing Director & CEO RIU Sydney Resources Round-up 11 May 2010
Slide 3: Disclaimer
Disclaimer For personal use only This presentation has been prepared by St Barbara Limited (Company). The material contained in this presentation is for information purposes only. This presentation is not an offer or invitation for subscription or purchase of, or a recommendation in relation to, sec
Slide 4: Overview
Overview For personal use only • WHO WE ARE • GOLD OPERATIONS • BUILT TO GROW • STRATEGY WILL DELIVER GROWTH • VALUE PROPOSITION • WHY ST BARBARA? On the Path for Growth – 11 May 2010 3
Slide 5: Who We Are
For personal use only Who We Are • Company Profile • Executive Team • Balance Sheet
Slide 6: Company Profile – Australian Producer Delivering Value
Company Profile – Australian Producer Delivering Value For personal use only Stock code: SBM Top 5 Australian based 200Kozpa+ producer ASX market cap: A$540M (.275c) Ordinary shares: 1,952M Significant holders: M&G Group 11.02% Templeton Resources 6.05% Producing operations 2 Reserves 2.6M ozs (June
Slide 7: New Executive Team Driving Value
New Executive Team Driving Value For personal use only On the Path for Growth – 11 May 2010 6
Slide 8: Leveraging Growth from Strengthened Balance Sheet
Leveraging Growth from Strengthened Balance Sheet For personal use only Cash: A$116M# Net Assets: A$390M# Convertible Notes: A$21.9M – SGX listed Other Liabilities: A$16M# Hedging: Core production 100% unhedged # As at 31 March 2010 On the Path for Growth – 11 May 2010 7
Slide 9: Gold Operations
For personal use only Gold Operations • Leonora • Southern Cross On the Path for Growth – 11 May 2010 8
Slide 10: St Barbara – Growing Production, Reducing Unit Costs
St Barbara – Growing Production, Reducing Unit Costs For personal use only Production Outlook Cost Outlook koz A$/oz 350 300-340 900 780-820 300 750 655-725 230-270 560-630 250 220-230 600 200 450 150 300 100 50 150 0 0 FY10 FY11 FY12 FY10 FY11 FY12 Note: Does not include King of the Hills productio
Slide 11: Leonora – Delivering Growth
Leonora – Delivering Growth For personal use only Gwalia Mine – Long life, low cost operation • High grade (9g/t), long life 8+ yrs • First quartile cash cost producer by FY12 • Open at depth • Opportunities for growth King of the Hills Mine • Development approved(<A$20M) • Production to commence Ju
Slide 12: Gwalia – Long Life, Cornerstone Asset
Gwalia – Long Life, Cornerstone Asset For personal use only On the Path for Growth – 11 May 2010 11
Slide 13: Gwalia – Producing Gold from a New Mine
Gwalia – Producing Gold from a New Mine For personal use only On the Path for Growth – 11 May 2010 12
Slide 14: Gwalia – Hitting Development Targets
Gwalia – Hitting Development Targets For personal use only On the Path for Growth – 11 May 2010 13
Slide 15: Gwalia – Mining Extensions Identified
Gwalia – Mining Extensions Identified For personal use only On the Path for Growth – 11 May 2010 14
Slide 16: Southern Cross – Reliable Producer Since 2005
Southern Cross – Reliable Producer Since 2005 For personal use only • Marvel Loch Underground – New lodes identified close to existing mine development – Drilling for depth extensions • Exciting potential of prospects in the province • Surplus plant capacity (>1Mtpa) On the Path for Growth – 11 May
Slide 17: Southern Cross – Marvel Loch Underground
Southern Cross – Marvel Loch Underground For personal use only On the Path for Growth – 11 May 2010 16
Slide 18: Built to Grow
For personal use only Built to Grow
Slide 19: Building Value
Building Value For personal use only • Revitalised operations • Strengthened financial position • Review of organisation capability and performance completed Revitalisation – FY10 Growth – FY11 Delivery to Promise On the Path for Growth – 11 May 2010 18
Slide 20: Building Value
Building Value For personal use only • Revitalised operations • Strong cash flows • Strengthened financial position from FY12 onwards • Review of organisation capability • Growth targets being pursued and performance completed • Exploration to deliver value Revitalisation – FY10 Growth – FY11 Delive
Slide 21: Strategy Will Deliver Growth
For personal use only Strategy Will Deliver Growth • Targeted Annual Production • Leveraging Growth On the Path for Growth – 11 May 2010 20
Slide 22: Targeted Annual Production
Targeted Annual Production For personal use only To achieve sustainable production of over 500,000 ounces of gold per annum by 2014. On the Path for Growth – 11 May 2010 21
Slide 23: Leveraging Growth
Leveraging Growth For personal use only Improving operational effectiveness (eg increasing Gwalia production rates) Extending current mine reserves Developing near mine opportunities (eg King of the Hills) Acquiring value accretive gold assets Focusing on value based exploration On the Path for Grow
Slide 24: Optimising Mining Operations
Optimising Mining Operations For personal use only IN MINE PROVINCE GREENFIELDS Maximise value of operating assets by extending mine life or increasing output Gwalia high grade areas • Improving resource recovery • Depth extension potential Marvel Loch grade/tonnage optimisation • Extensions identif
Slide 25: Utilising Production Bases
Utilising Production Bases For personal use only IN MINE PROVINCE GREENFIELDS Develop value accretive, near mine projects to leverage off existing capital infrastructure Leonora • King of the Hills development Southern Cross • Smaller open pit targets eg. Corinthian • Smaller(<500Koz), steep-plungin
Slide 26: Exploration Delivers Organic Growth
Exploration Delivers Organic Growth For personal use only IN MINE PROVINCE GREENFIELDS On the Path for Growth – 11 May 2010 25
Slide 27: Value Proposition
For personal use only Value Proposition • How We Compare On the Path for Growth – 11 May 2010 26
Slide 28: How We Compare
How We Compare For personal use only Koz Reserves and Reserve Grade g/t A$M Market Capitalisation Per Reserve Ounce 700 600 500 400 300 Mkt Cap/Res oz 200 100 0 KCN AVO DOM CAH SBM RSG OGC NGF Source: PCF Capital 31 December 2009 On the Path for Growth – 11 May 2010 27
Slide 29: Why St Barbara?
For personal use only Why St Barbara? On the Path for Growth – 11 May 2010 28
Slide 30: Why St Barbara?
Why St Barbara? For personal use only 1) St Barbara is Built to Grow • Revitalised operations • Clean balance sheet • Improved organisation capability • Cash operating costs to reduce and operating cash flows increase 2) Our Strategy is to Grow and Create Value • Organically • Acquisition 3) Value P
Slide 31: Competent Persons Statement
Competent Persons Statement For personal use only Competent Persons Statement Significant gold intersections and geological interpretations contained in this report have been compiled by Mr. Phillip Uttley. Mr. Uttley is a Fellow of The Australasian Institute of Mining and Metallurgy and is a full t
Slide 32: Investor Relations Enquiries
For personal use only On the Path for Growth Investor Relations Enquiries Ross Kennedy Executive General Manager, Corporate Services Xian Davies Senior Investor Relations Advisor Tel: +61 3 8660 1900 Email: xian.davies@stbarbara.com.au
Slide 33: Appendices
For personal use only Appendices On the Path for Growth – 11 May 2010 32
Slide 34: Southern Cross - Leveraged to the A$ Gold Price
Southern Cross - Leveraged to the A$ Gold Price For personal use only Production Outlook Cost Outlook koz A$/oz 140 115-120 110-130 110-130 1000 880-930 120 740-820 740-820 800 100 80 600 60 400 40 200 20 0 0 FY10 FY11 FY12* FY10 FY11 FY12 *Assumes conversion of resources to reserves On the Path for
Slide 35: Gwalia – Higher Volumes, Lower Unit Costs
Gwalia – Higher Volumes, Lower Unit Costs For personal use only • Increasing grades in FY11 and FY12 • First quartile cash cost by FY12 Production Outlook Cost Outlook koz A$/oz 250 800 670-700 190-210 570-630 200 600 445-500 150 120-140 105-110 400 100 200 50 0 0 FY10 FY11 FY12 FY10 FY11 FY12 On th
Slide 36: Gwalia – Value Increases With Depth
Gwalia – Value Increases With Depth For personal use only On the Path for Growth – 11 May 2010 35
Slide 37: Gwalia Mine - Stress Results Lower Than Expected
Gwalia Mine - Stress Results Lower Than Expected For personal use only On the Path for Growth – 11 May 2010 36
Slide 38: Leonora Land Holdings
Leonora Land Holdings For personal use only • 240km north of Kalgoorlie • Total Mineral Resources (incl. reserves) are 82.6 Mt @ 2.7g/t for 7.1 Moz (6/09) • King of the Hills located 42kms by road NNW of Gwalia • Tower Hill 2kms to Gwalia • Includes key ground along Keith Kilkenny lineament • Opport
Slide 39: Leonora: King of the Hills - Extension Targets
Leonora: King of the Hills - Extension Targets For personal use only On the Path for Growth – 11 May 2010 38
Slide 40: Leonora: Yerilla
Leonora: Yerilla For personal use only New area and conceptual targets •Close to an inferred buried granitoid (syenite) intruding mafic volcanics and sediments along the Keith– Kilkenny Lineament where intersected by east-west Proterozoic dyke On the Path for Growth – 11 May 2010 39
Slide 41: Southern Cross: Copperhead – Long projection old U/G Mines
Southern Cross: Copperhead – Long projection old U/G Mines For personal use only North South 120mbs 365mbs 425mbs Southern Series (South Limb) unmined from 200mbs and developed on 200m level spacing 100m 670mbs with diamond drilling (uncompiled) On the Path for Growth – 11 May 2010 40
Slide 42: East Lachlan – NSW Porphyry Cu-au Project
East Lachlan – NSW Porphyry Cu-au Project For personal use only • Regional structural interpretation completed of geophysical data • Similar geological setting and elements to the Cadia Ridgeway/North Parkes complexes On the Path for Growth – 11 May 2010 41
Slide 43: Gwalia Mine – Proven Mining Method
Gwalia Mine – Proven Mining Method For personal use only • 5m x 5m Ore Drive • 1.1m Boxhole slot • 89mm Upholes • Anfo and Emulsion • 2900 Loader (Teleremotes) • Trucks 50-60t Class • Paste Fill • Stoping above and below dyke On the Path for Growth – 11 May 2010 42
Slide 44: Experienced Board of Directors
Experienced Board of Directors For personal use only S J Colin Wise LL.B, FAICD, FAusIMM Chairman – Non-Executive Mr. Wise is an experienced corporate lawyer, consultant and company director with significant expertise in the mining and exploration industry and resources, energy and corporate sectors