St. Barbara Ltd. · ASX:SBM
St. Barbara — Corporate Update (January 2018)
41 slides from St. Barbara's corporate update, Jan 30, 2018
Slide 1: Presentation to analysts and investors at Leonora Operations
ASX Release / 30 January 2018 For personal use only Presentation to analysts and investors at Leonora Operations Attached is a presentation to analysts and investors attending site visits today and during February at Leonora Operations, Western Australia. Investor Relations Mr Alistair Reid Manager
Slide 2: Gwalia site visit presentation
Kous Kirsten, General Manager Leonora Operations / 30 January 2018 For personal use only Gwalia site visit presentation
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, s
Slide 4: Contents
Contents For personal use only Overview of St Barbara • Operations • Safety Gwalia Mine, Leonora, WA • History • Production • Innovation • Growth Exploration Appendices Adrian Diaz –Senior Resource Geologist (SBM) and Alexander Phillps 3/ (DDH1) at 2600 mbs deep drilling site, Jan 2018 Gwalia Site V
Slide 5: Overview of operations
Overview of operations ASX 200 Company (SBM), founded 1969 Consolidated production For personal use only • Shares on issue 515 M • Market Cap1 A$1,984 M • FY17 381 koz @ AISC3 A$907/oz • FY18F 365-385 koz @ AISC A$940-990/oz • Ore Reserves June 2017 4.3 Moz2 • Mineral Resources June 2017 9.6 Moz2 Si
Slide 6: Start safe, stay safe
Start safe, stay safe For personal use only Total Recordable Injury Frequency Rate2 Safety performance 6.0 • Increase in TRIFR to 2.4 to 31 Dec 2017 due to four low- 5.0 severity recordable injuries. 4.1 • Corresponding LTIFR of 0.7 to 31 Dec 2017 compares with gold mining industry average 2.4 2.1 o
Slide 7: Gwalia | not out!
Gwalia | 120 not out! For personal use only • From surface outcrop (first mined 1896) to current workings is approx. 3.5 km ‘straight line’ along shear • Herbert Hoover was the initial Gwalia mine manager (1897-1898), later a US President (1929-1933), noted angle of deposit – took mining underground
Slide 8: Gwalia production profile
Gwalia production profile Mined Grade For personal use only (g/t Au) 10.7 9.3 8.8 8.9 8.2 8.4 6.9 5.7 6.3 Reserve Grade3 7.8 g/t Au June 2017 FY17 production Production 267 265 • Production 265 koz 255 (koz) 248 • Mined grade 10.7 g/t Au 214 • AISC A$785/oz 185 183 AISC1 (A$/oz) 940 841 FY18 guidanc
Slide 9: Quarterly Gwalia production profile
Quarterly Gwalia production profile For personal use only AISC (A$/oz) Q2 Dec 2017 Production 872 816 859 • 62,835 oz (Q1 FY18: 64,283 oz) FY17 average A$785/oz 786 • AISC1 A$859/oz (Q1: A$816/oz) 716 • Mined grade of 11.2 g/t Au from Production (koz) higher grade sections of South 70.9 West Branch
Slide 10: Gwalia animation
For personal use only Gwalia animation Gwalia A rich history with a bright future Animation of Gwalia underground mine available at https://youtu.be/e7slJIjDLtc 9/ Gwalia Site Visit Presentation / January 2018
Slide 11: Gwalia Mining Strategy
Gwalia Mining Strategy Dual Lift Stoping in SWB Mining method For personal use only mining sequence manages the hanging wall • Long hole stoping with fill • North & South access on FY11 two dual lift levels gives 4 2 mining areas • Greater percentage of free 1 5 bogging increases productivity of eac
Slide 12: Stope Cycles targeting higher production
Stope Cycles targeting higher production Stope Cycle Time – 6 months per stope For personal use only • ‘Bogging’ (extracting ore from the stope) represents just under 50% of stope cycle time • Filling and curing around 30% of stope cycle time • Adjacent stopes (beside, above, below) cannot be develo
Slide 13: Gwalia Production Profile – 'Centre out' method
Gwalia Production Profile – ‘Centre out’ method Objective: Maximise production, constrained by: 1) Waiting for adjacent/above stope’s paste fill For personal use only to dry Plunge, centre 2) Geotech considerations – not too many of lode open stopes too close together = ‘Centre out’ method Historica
Slide 14: Resources & Reserves
For personal use only Gwalia Resources & Reserves Gwalia Gwalia Reserves Gwalia Resources A rich history with a bright future +406 +1,061 +268 +15 koz +316 koz -276 -274 5,087 2,133 1,808 3,896 June Mining Depth Geology Modifying June June Mining Depth Additions June 2016 depletion extension and fac
Slide 15: Ore Reserves
For personal use only Gwalia Ore Reserves Gwalia A rich Gwalia historyOre with a bright future Reserves 30 June 2016 200m depth Gwalia Ore Reserves extension of Ore 30 June 2017 Reserves Proved Probable Refer ASX announcement 23 August 2017 titled ‘Ore Reserves and Mineral Resources Statement 30 Jun
Slide 16: Ore Reserves
For personal use only Gwalia Ore Reserves Gwalia A rich history with a bright future Gwalia Ore Reserves 30 June 2016 200m depth Gwalia Ore Reserves extension of Ore 30 June 2017 Reserves Ore Reserves Grade (g/t) 4-6 6–8 8 – 10 10 – 12 >12 Refer ASX announcement 23 August 2017 titled ‘Ore Reserves a
Slide 17: Gwalia Ore Reserves
Gwalia Ore Reserves 0.4 For personal use only Gwalia 0.2 A rich history with a bright future 0.2 0.3 0.1 0.6 g/t Au 8.3 7.8 Ore Reserve FY17 production Design changes Design changes Design changes Dilution factors Depth Extension Ore Reserve Grade June (SWB above (WL & SGS above (ML above 1940) Grad
Slide 18: Gwalia Ore Reserves – The Sweet Spot
Gwalia Ore Reserves ‘The Sweet Spot’ For personal use only Gwalia • Deepest FY17 production A rich history with a bright future at 1,580 mbs • Planned FY18 mining primarily between 1,540 mbs and 1,620 mbs • Extend mine ~one level (40 meters) per annum • Reserve grade 7.8 g/t Au1 • Resource model has
Slide 19: Gwalia Extension Project update - on schedule
Gwalia Extension Project update - on schedule • Project includes new ventilation shafts • A$11M capex spent in Q2 Dec 2017 For personal use only Gwalia and underground crushing of waste, • Raise bore activities have commenced, A mixed rich history with a bright future with paste to fill emptied stop
Slide 20: Exploration | Gwalia Deep Drilling Program
Exploration | Gwalia Deep Drilling Program For personal use only Gwalia A rich history with a bright future Gwalia - March 2016 For full explanation and results refer to ASX release 23 January 2018 ‘Quarterly Report December 2017’ 19 / Gwalia Site Visit Presentation / January 2018
Slide 21: Exploration | Gwalia Deep Drilling Program
Exploration | Gwalia Deep Drilling Program For personal use only Gwalia A rich history with a bright future Gwalia - March 2016 For full explanation and results refer to ASX release 23 January 2018 ‘Quarterly Report December 2017’ 20 / Gwalia Site Visit Presentation / January 2018
Slide 22: Exploration | Gwalia Seismic
Exploration | Gwalia Seismic For personal use only GwaliaSeismic Exploration Gwalia A rich history with a bright future • Initial analysis has informed working theory of Gwalia’s mineralisation • Allows re-analysis of surrounding zone to identify analogous potential ‘repeats’ • 3 target areas identi
Slide 23: Gwalia Deeps 1540 – 1580 lode schematic
Gwalia Deeps 1540 – 1580 lode schematic For personal use only Gwalia A rich history with a bright future Gwalia - March 2016 Reproduced from ASX release 25 September 2017 ‘Denver Gold Forum 2017’ 22 / Gwalia Site Visit Presentation / January 2018
Slide 24: Appendices
For personal use only Appendices November 2017 – Gwalia management team visiting raisebore drilling site. 23 / Gwalia Site Visit Presentation / January 2018
Slide 25: Consolidated Production, Costs, Guidance Summary
Consolidated Production, Costs, Guidance Summary Production Summary Q4 Jun Year Q1 Sep Q2 Dec 1H Guidance Consolidated FY17 FY17 FY18 FY18 FY18 FY181 For personal use only Gwalia Production GwaliaA rich history with oz a bright 62,098 future 265,057 64,283 62,835 127,118 250 to 260 koz (prev. 245 to
Slide 26: Gwalia Operations
Gwalia Operations St Barbara Byrnecut – contract mining For personal use only • Responsible for • Byrnecut is part of Gwalia’s success • Planning • Started at Gwalia in Sep 2012 • Processing • Alliance agreement from Sep 2013 • Procurement • Approx. 200 employees • Commercial • Fleet: inc. • Approx.
Slide 27: Supporting the Leonora community
Supporting the Leonora community Sponsorships For personal use only • Golden Gift (athletic event) • Kambalda/Leonora Football Club • Goldfields Girl • Leonora Primary School • Apprenticeship program 26 / Gwalia Site Visit Presentation / January 2018
Slide 28: Exploration | Investment in exploration juniors
Exploration | Investment in exploration juniors For personal use only Gwalia Strategy Targeted investment in early to advanced stage gold A rich history with a bright through exploration future earn in arrangements, joint ventures or direct equity investments Catalyst Metals Limited • 16% holding in
Slide 29: Exploration | Summary of greenfields projects
Exploration | Summary of greenfields projects Pinjin, WA For personal use only Gwalia • A 16 hole RC and 163 hole Aircore drill program was A rich history with a bright future completed in Q2 • At Grahams Find, RC drilling returned narrow (2 to 6m) intercepts between 1 and 2 g/t Au, and Aircore dril
Slide 30: Gwalia operations
Gwalia operations For personal use only 29 / Gwalia Site Visit Presentation / January 2018
Slide 31: Gwalia operations
Gwalia operations For personal use only Gwalia A rich history with a bright future 30 / Gwalia Site Visit Presentation / January 2018
Slide 32: Gwalia operations
Gwalia operations For personal use only Gwalia A rich history with a bright future 31 / Gwalia Site Visit Presentation / January 2018
Slide 33: Ore Reserves Summary as at June 2017
Ore Reserves Summary as at 30 June 2017 For personal use only Proved Probable Total Project Tonnes Gold Ounces Tonnes Gold Ounces Tonnes Gold Ounces ('000) (g/t) ('000) ('000) (g/t) ('000) ('000) (g/t) ('000) Gwalia (WA) 2,308 9.8 725 6,248 7.0 1,408 8,556 7.8 2,133 Tower Hill (WA) - - - 2,572 3.7 3
Slide 34: Mineral Resources Summary as at June 2017
Mineral Resources Summary as at 30 June 2017 For personal use only Measured Indicated Inferred Total Project Tonnes Gold Ounces Tonnes Gold Ounces Tonnes Gold Ounces Tonnes Gold Ounces ('000) (g/t) ('000) ('000) (g/t) ('000) ('000) (g/t) ('000) ('000) (g/t) ('000) Gwalia (WA) 5,045 7.8 1,265 14,877
Slide 35: Predominantly institutional share register
Predominantly institutional share register For personal use only Australia Not analysed 35% 8% Institutional 88% Non Institutional USA 32% 4% UK 15% Other 10% Not analysed 8% Data as at 12 January 2018 34 / Gwalia Site Visit Presentation / January 2018
Slide 36: Substantial shareholders and broker coverage
Substantial shareholders and broker coverage Substantial Shareholders 1 Broker Research Coverage For personal use only Van Eck 9.7% Argonaut James Wilson M&G Investment Mgt 6.3% Vinva 5.2% Canaccord Reg Spencer Institutional Shareholders 2 85% Citi Trent Allen Shares on issue 515M Credit Suisse Mike
Slide 37: Board of Directors
Board of Directors For personal use only Gwalia Tim Netscher Bob Vassie Chairman– Non Executive Managing Director and CEO A rich history with a Director Appointed bright future February 2014 Appointed July 2014 Appointed Chairman July 2015 Mr Vassie is a mining engineer with over 30 Mr Netscher is a
Slide 38: Executive Leadership Team
For personal use only Executive Leadership Team Gwalia A rich history with a bright future Bob Vassie Garth Campbell-Cowan Rowan Cole Val Madsen Managing Director and CEO Chief Financial Officer Company Secretary GM Human Resources Appointed 2014 Joined 2006 Joined 2010 Joined 2013 Mr Vassie is a mi
Slide 39: Competent Persons Statement
Competent Persons Statement For personal use only Exploration Results The information in this presentation that relates to Exploration Results for Simberi and Pinjin is based on information compiled by Dr Roger Mustard, who is a Member of The Australasian Institute of Mining and Metallurgy. Dr Musta
Slide 40: Non-IFRS Measures
Non-IFRS Measures For personal use only We supplement our financial information reporting determined under International Financial Reporting Standards (IFRS ) wi th certain non -IFRS financial measures, including cash operating costs. We belie ve that these measures pro vide meaningful information t
Slide 41: Investor Relations Enquiries
Investor Relations Enquiries For personal use only Rowan Cole Company Secretary Alistair Reid Manager Investor Relations T: +61 3 8660 1900 E: info@stbarbara.com.au 40 / Gwalia Site Visit Presentation / January 2018