Slide 1: Half Year Financial Results Presentation
Half Year Financial Results Presentation for the half year ended 30 June 2021
Slide 2: Important notices and disclaimers
Important notices and disclaimers This presentation contains information about Resolute Mining Limited (Resolute or the Company) and its activities that is current as at the date of this presentation unless otherwise stated. The information in this presentation remains subject to change without noti
Slide 3: Half Year in Review
Half Year in Review ▪ Key Board, executive and management appointments ▪ Syama underground mining, processing and roaster throughput at highest levels ▪ Mako continuing to achieve targets ▪ Implementation of productivity and efficiency initiatives ▪ Tabakoroni underground resource update ▪ Debt repa
Slide 4: Operational and Financial Overview
Operational and Financial Overview Revenue EBITDA $261m $78m Net loss Operating after tax cash flow $220m $69m Gold Average price production received 163,118oz $1,723/oz All-in sustaining costs $1,277/oz 2021 Resolute Half Year Financial Results
Slide 5: Multi asset production base
Multi asset production base Syama Sulphide contribution improving with cutback affecting Mako production 217,946 oz 208,495 oz at an AISC $1,020/oz at an AISC $1,090/oz 11,046 177,191 oz 28,557 at an AISC of $1,074/oz 163,118 oz at an AISC of $1,277/oz 85,663 87,187 84,068 63,506 56,679 28,932 34,18
Slide 6: Group Earnings Profile
Group Earnings Profile Mako Operational EBITDA Margin ▪ Reducing EBITDA margin in line with expectations given the cutback to access 65% higher grade ore 55% Syama ▪ Improving EBITDA margin reflecting improved efficiencies and cost performance 35% 30% Group ▪ Overall EBITDA margin down 5% reflecting
Slide 7: Earnings Analysis
Earnings Analysis Profit and Loss Analysis H1 21 H1 20 1 (#039;000s) Group Group Revenue Revenue 261,311 305,291 ▪ Gold sales 151.5koz at average realised price of $1,723/oz (H1 20: Cost of sales excluding depreciation and amortisation (132,689) (153,208) 212,668oz at $1,427/oz). ▪ Ounces sold reflect:
Slide 8: Cash Flow Analysis
Cash Flow Analysis Operating activities of $41.6m support Capex of $37.4m and debt repayments of $29.7m 2021 Resolute Half Year Financial Results
Slide 9: Strengthening balance sheet and hedge book
Strengthening balance sheet and hedge book Balance sheet improvement Gold hedging Forward Sales ▪ $29.7m in debt repayments including $20m voluntary debt repayment on (at 30 June 21): Revolving Credit Facility Forward Price ($/oz) Delivery (oz) ▪ $20m capacity on $150m Revolving Facility Sept 2021 Q
Slide 10: Key initiatives
Key initiatives Production and processing focus Systems Implementation of key systems and process which support improved consistency, production and cost reduction ▪ Management operating system development and adoption across Syama ▪ On-Stream Analyser implementation to improve process control and r
Slide 11: Renewal of Team
Renewal of Team Addition of broad new skill set, expertise and experience during 2021 Board ▪ Vast resources sector experience ▪ Multiple technical and operational competencies Executive ▪ Regional proximity to operations CEO, COO, CFO, Co Sec ▪ Strengthened regional and community relationships Seni
Slide 12: Syama Gold Mine
Syama Gold Mine Long life asset with significant gold resource endowment and exploration potential Mineral Resources 7.6Moz Ore Reserves 3.3Moz LOM AISC US$1,000/oz Current Mine Life 11 years Plant Capacity 4Mtpa Target Site Production 250-300koz pa 2021 Resolute Half Year Financial Results
Slide 13: Mako Gold Mine
Mako Gold Mine High margin open pit with near mine exploration optionality Mineral Resources 965koz Ore Reserves 780koz LOM AISC US$900/oz Mine Life 6 years Plant Capacity 2.1Mtpa Target Site Production 120-140koz pa 2021 Resolute Half Year Financial Results
Slide 14: Exploration: Mali
Exploration: Mali Controls 85km strike length of highly endowed Syama Greenstone Belt Syama Oxide Exploration ▪ Exploration success at A21, Alpha and Beta in the north together with Tabakoroni extends mining ▪ Excellent recently announced intersections at Syama North • 14m @ 10.05g/t Au - SERC138 7m
Slide 15: Exploration: Senegal
Exploration: Senegal Near Mine exploration focus to support the capital investment in the operation Mako ▪ Mako mine life extended to 2027 ▪ Several near-mine targets on Mine Lease ▪ Mako NW target, soil anomaly 2g/t parallel to Mako mine Mako Regional ▪ Increasing ground holdings adjacent to Mako o
Slide 16: Exploration: Regional
Exploration: Regional Early stage exploration projects in Guinea Kourouba JV ▪ 4km Au soil anomaly ▪ Extensive artisanal workings ▪ AC program just completed with modest results Niagassola ▪ Large untested Au soil anomaly ▪ Auger drilling underway Kouroussa ▪ Untested Au soil anomaly ▪ No drilling t
Slide 17: Strategic Investments in Africa
Strategic Investments in Africa Resolute’s strategic investment portfolio comprises of the following investments in publicly listed companies 15% Value: Objective stake $16.9 million Establish a portfolio of investments in emerging gold explorers to provide potential for medium term growth 21% Value
Slide 18: Portfolio Updates
Portfolio Updates Bibiani Gold Mine Resolute completed the sale of the Bibiani Gold Mine to Asante Gold Corporation (Asante) for total cash consideration of $90 million ▪ $30m cash received ▪ $30m in six months from Completion ▪ $30m in twelve months from Completion Ravenswood Gold Mine1 ▪ A$50m Pro
Slide 19: Value through sustainability
Value through sustainability Environmental Stewardship ▪ Wildlife protection in the World Heritage Listed Niokola Koba National Park in Senegal ▪ Hybrid modular power station at Syama anticipated to reduce emissions by 20% Sustainable Development ▪ Multiple livelihood generation programs (nurseries,
Slide 20: 2021 guidance
2021 guidance Guidance updated to reflect first half performance and expectations for the remainder of the year. Guidance Gold Production (oz) AISC (/oz) Gold Production Forecast 315,000 - 340,000 $1,290 - $1,365 Syama Sulphide 132,500 - 145,000 $1,295 - $1,415 Syama Oxide 67,500 – 75,000 $1,325 - $
Slide 21: Outlook
Outlook Capitalise on strong foundation and existing investments ▪ People, systems and processes ▪ Reliable delivery on production and costs ▪ Disciplined capital management to simplify balance sheet ▪ Unlock near mine exploration potential and value ▪ Committed to Responsible Gold Mining Principles
Slide 22: Contact Follow Us
Reporting Calendar 29 October 2021 September Quarterly Activities Report 20 January 2022 December Quarterly Activities Report 24 February 2022 Full Year Financial Results Contact Follow Us Stuart Gale | Managing Director & CEO EMAIL: contact@rml.com.au PHONE: +61 8 9261 6100 WEB | www.rml.com.au