Kingsgate Consolidated Limited · ASX:KCN
Kingsgate Consolidated — Investor Presentation (September 2017)
24 slides from Kingsgate Consolidated's investor presentation, September 2017
Slide 1: Chile - Exploration & Development Overview
CHILE - EXPLORATION & DEVELOPMENT OVERVIEW September 2017
Slide 2: Disclaimer
These materials include forward looking statements. Forward looking statements inherently involve subjective judgment & analysis & are subject to significant uncertainties, risks & contingencies, many of which are outside of the control of, & may be unknown to, the Company. Actual results and develo
Slide 3: Kingsgate Today
Kingsgate Today Australian ASX Listed (KCN.ASX) : Market Cap ~ A$62 million1 (US$49.6 million) Cash ~ A$22 million2 (US$17.6 million) Full year results ~ A$7.1 million profit3 (US$5.7 million) Debt ~ A$0 1. As at 12 Sept 2017. 2. As reported @ 30 June 2017. Calc. @ US$/$A ex rate of 0.80. Key Assets
Slide 4: Beyond
Kingsgate is an Australian based company with a long and successful history of operating gold and silver mines, with a former operating mine in Thailand and an exploration and development portfolio in Chile. Strategic pivot towards South America Australian portfolio divested in 2016, focus on Chile
Slide 5: Board & Senior Management
Board & Senior Management Management Ross Coyle Chief Financial Officer & Company Secretary Board Alistair Waddell VP Corporate Development & Exploration Ross Smyth-Kirk Executive Chairman Leonardo Hermosilla Peter Alexander Non-Exec Director VP Project Development Jamie Gibson Peter Warren Non-Exec
Slide 6: Chile – The Future: Building a portfolio in a great location
CHILE – The Future Building a portfolio in a great location Alistair Waddell VP – Corporate Development and Exploration 20+ years experience in exploration & mining Former CEO GoldQuest Mining Corp. & VP Greenfields Exploration for Kinross Gold Corp. Leonardo Hermosilla VP – Project Development 30+
Slide 7: Chile & Maricunga Belt – A Great Address
Chile & Maricunga Belt – A Great Address Chile – A premier jurisdiction Favored mining investment destination Worlds largest copper producer Top 20 global gold producer7 Maricunga Belt - New discoveries Defined total gold resources of >100 Moz AuEq Most historical exploration completed in the south
Slide 8: Nueva Esperanza History
NUEVA ESPERANZA HISTORY Project History Historic bonanza silver production pre-Kingsgate Consolidation of district and resources by Kingsgate in 2011 Kingsgate project breakthroughs in 2015 Gold discovery at Chimberos Structural cost reduction in power Teterita Deposit History Arqueros Chimberos Chi
Slide 9: Nueva Esperanza Today
Nueva Esperanza Today Feasibility Study in progress – Due H1 2018 Water offtake agreement in place Power options available Close to international all-weather highway Brownfields Exploration ongoing 45Km² of prospective alteration Grid Power Options Nueva Water secured 9
Slide 10: Nueva Esperanza – Three Resources Defined To-Date
NUEVA ESPERANZA – THREE RESOURCES DEFINED TO-DATE North Teterita Chimberos Arqueros Camp 1 Km 10
Slide 11: Nueva Esperanza - Chimberos
Nueva Esperanza - Chimberos Open pit mine 1998-99 - Kinross Gold processed at La Coipa mine High sulphidation mineralisation hosted in Palaeozoic sediments and breccia's Bonanza grades - sections of >1,000 g/t Ag 40 Moz Ag & 31 koz Au mined (700 koz Au EQ6010 @ 5.1 g/t Au EQ) Kingsgate discovered we
Slide 12: Nueva Esperanza - Arqueros
Nueva Esperanza - Arqueros High sulphidation gold-silver mineralisation hosted in vuggy silica mantos and ledges Previously mined underground 1999-2004 - 289 koz Au EQ6011 @ 7.4 g/t Au EQ) Current open pit resource: 200 koz Au & 46 Moz Ag (7.4 Mt @ 0.36 g/t Au & 82 g/t Ag) Arqueros North Silver bear
Slide 13: Nueva Esperanza - Teterita
Nueva Esperanza - Teterita Teterita High sulphidation silver mineralisation hosted in silicified volcanics Manto style oxidised mineralisation 5.7 Mt @ 92 g/t Ag (16.8 Moz Ag) Geological interpretation of Teterita Open pit - Near-surface with low strip; feeder zones yet to be discovered 13
Slide 14: Nueva Esperanza Development Scenario
NUEVA ESPERANZA Development scenario Conventional mining, processing and layout Mining from three pits: Arqueros, Teterita & Chimberos Processing Flow Sheet is conventional: Includes SAG and ball mills, agitation leach and Merrill- Crowe to produce doré Fit for purpose design (Ausenco) Environmental
Slide 15: Pre-Feasibility Study Key Outcomes
Pre-Feasibility Study Key Outcomes First 5 Macro Assumptions Life of Mine Years Robust economics Gold Price US$/oz 1,200 1,200 Silver Price US$/oz 19 19 Long life Project and Operating parameters Investment Capital (initial) US$M 206 Short payback period Life of Project Years 11.6 Gold Produced Koz
Slide 16: Nueva Esperanza Exploration
NUEVA ESPERANZA EXPLORATION Multiple Target Styles New concepts Evolving geological models dictating exploration strategy – Focus on dome margins Mature district – 35 years exploration – Full potential of historical data not realised Similar geology to nearby La Coipa (Kinross Gold) 16
Slide 17: Nueva Esperanza District ~45Km² Alteration
Nueva Esperanza District ~45Km² Alteration 17
Slide 18: Nueva Esperanza Cerro Blanco West Target
NUEVA ESPERANZA Cerro Blanco West Target • New brownfields discovery • Priority drill target 2017-18 field season • Validation of the innovative bedrock geochemistry campaigns New zone discovered May 2017 Significant shallow resistivity anomaly open to North and South with essentially no previous dr
Slide 19: Chile Regional Exploration
CHILE REGIONAL EXPLORATION Greenfields Exploration Greenfields exploration program initiated 2016 Northern Maricunga belt Focused on high-level epithermal precious metal deposits similar to Nueva Esperanza Numerous concessions applied for and granted. 2017-18 field season focused on generating drill
Slide 20: Nueva Esperanza Calendar 2017 Workflow
Nueva Esperanza Calendar 2017 workflow Feasibility work streams -> enhance economics Exploration -> value add Progressing feasibility work streams Continue to build multi-layers of Technical, environmental & community inputs for district geology, geochemistry, permitting alteration etc. Infill drill
Slide 21: Kingsgate Challenges & Opportunities for 2018
Kingsgate Challenges & Opportunities for 2018 Strategic Restore value to Thai business Investigate optimal corporate structure Daylight value for our projects Chile Deliver Feasibility Study and permitting outcomes Unlock prospective exploration potential Assess new project opportunities 21
Slide 22: Thank You
Kingsgate Consolidated Limited THANK YOU
Slide 23: Appendix: Competent Person Statement
COMPETENT PERSON STATEMENT The information relating to Nueva Esperanza Ore Reserves is extracted from an announcement by Kingsgate titled “Nueva Esperanza, Chile – Definitive Feasibility Study Delivers Strong Results” dated 17 March 2014. The information relating to Nueva Esperanza Mineral Resources
Slide 24: Mineral Resource and Ore Reserve Statement as at 30 June 2016
Mineral Resource and Ore Reserve Statement as at 30 June 2016 24
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