Regis Resources Limited · ASX:RRL
Regis Resources — Diggers & Dealers Mining Forum 2018
35 slides from Regis Resources's conference presentation, Aug 6, 2018
Slide 1: Regis Resources Ltd – Diggers & Dealers Mining Forum August 2018
For personal use only 1 1 REGIS RESOURCES LTD DIGGERS & DEALERS MINING FORUM AUGUST 2018
Slide 2: Disclaimer & Competent Persons Statement
DISCLAIMER & COMPETENT PERSONS 22 STATEMENT For personal use only This presentation contains only a brief overview of Regis Resources Limited and its associated entities (“Regis or RRL") and their respective activities and operations. The contents of this presentation, including matters relating to
Slide 3: Regis – Where Are We At?
3 QUALITY AUSTRALIAN GOLD BUSINESS For personal use only REGIS – WHERE ARE WE AT? Operational excellence continues to deliver strong cash-flow Industry leading dividend payer Exploration has only scratched the surface at Duketon Rosemont UG is just the beginning Significant value to be unloc
Slide 4: Corporate: Capital Structure and Operations Snapshot
44 CORPORATE CAPITAL STRUCTURE For personal use only Shares on issue 504m Last price A$4.24 Market capitalisation A$2,139m Daily turnover (no. shares) 7m Unlisted options rights 8m OPERATIONS SNAPSHOT Duketon operations (WA) 10Mtpa for 350kozpa Resources (total) 7.9Moz SHARE PRICE & VOLUME Reserves
Slide 5: Review of FY2018 Operations
REVIEW OF FY2018 OPERATIONS For personal use only 55 DUKETON CONTINUES TO DELIVER STRONG CASHFLOW FY18 FY17 Ore mined (Mbcm) 4.6 4.6 Waste mined (Mbcm) 20.1 25.6 Stripping ratio (w:o) 4.4 5.6 Ore mined (Mtonnes) 10.6 10.8 Ore milled (Mtonnes) 10.0 9.8 Head grade (g/t) 1.19 1.11 Recovery (%) 94 93 Go
Slide 6: Industry Leading Dividends
INDUSTRY LEADING DIVIDENDS For personal use only 66 COMMITMENT TO DIVIDENDS Dividends Declared Regis has paid 57 cps - A$285 million 16 14 in fully franked dividends since Oct 13 12 cents per share 8 Dividend yield on those payments has 10 8 9 averaged 3.9%* (5.6% grossed up for 6 4 8 franking c
Slide 7: The Duketon Growth Story
THE DUKETON GROWTH STORY 7 For personal use only The open pit growth is not finished: Over the last 3 years we have more than replaced the >1Moz* of production in OP reserves Reserves estimated at $1,400/oz GP so there is significant inherent leverage to further production given the low operat
Slide 8: Rosemont Underground Project
ROSEMONT UNDERGROUND 88 PROJECT For personal use only
Slide 9: Rosemont Maiden Underground Resource
ROSEMONT MAIDEN 99 UNDERGROUND RESOURCE For personal use only INFERRED RESOURCES AT 2.0G/T CUT-OFF GRADE Gold Gold Resource extends to a maximum of only 150 metres Tonnes below open pit designs Project Grade Metal (Mt) (g/t) (koz) Grade control drilling and detailed geological mapping in the act
Slide 10: Rosemont Underground Mine: Board Approves Development
ROSEMONT UNDERGROUND MINE For personal use only 10 10 BOARD APPROVES DEVELOPMENT Sept18Q Development commencing current quarter with permitting, ordering of long lead capital items and underground mining contract tendering process. Sept18Q Update MRE (and resource categories) for recent infill & ext
Slide 11: Expanded Rosemont Operation: Mined Tonnes and Ounces
ROSEMONT UNDERGROUND MINE For personal use only 11 11 EXPANDED ROSEMONT OPERATION Rosemont Rosemont Rosemont Total Open-pit South U/G Main U/G Total Mined Tonnes (kt) 8,485 1,145 666 10,296 Mined Grade (g/t) 1.3 3.0 4.8 1.7 Total Ounces (koz) 356 112 102 570
Slide 12: Expanded Rosemont Operation: Operating Cost
ROSEMONT UNDERGROUND MINE For personal use only 12 12 EXPANDED ROSEMONT OPERATION Operating cost Open-pit Underground Total $/ounce $/ounce $/ounce Mining 407 790 554 Operating mine development capital Nil 158 61 Milling 448 132 326 Royalties (at $1,650 gold price) 74 74 74 Total operating cost 929
Slide 13: Expanded Rosemont Operation: Capital Cost
ROSEMONT UNDERGROUND MINE For personal use only 13 13 EXPANDED ROSEMONT OPERATION Capital cost Open-pit Underground Total $M $M $M Preproduction capital Nil $29.4 $29.4 LOM development capital Nil $9.7 $9.7 Total capital cost Nil $39.1 $39.1 Maximum cumulative cash outflow Nil $38.5 $38.5
Slide 14: Expanded Rosemont Operation: Mining Rate
ROSEMONT UNDERGROUND MINE For personal use only 14 14 EXPANDED ROSEMONT OPERATION Open-pit Underground Total ‘000 tpa ‘000 tpa ‘000 tpa Average mining rate 1,500 – 1,620 480 – 600 2,100 At LOM grades of the OP and UG operation (once UG mining at full mining capacity) the combined operation is expe
Slide 15: Rosemont Underground: Potential for Mine Extension
ROSEMONT UNDERGROUND 15 15 POTENTIAL FOR MINE EXTENSION ROSEMONT UNDERGROUND LONG SECTION For personal use only EXPLORATION AND EXPANSION FROM WITHIN THE DRIVE First phase underground operation approved This business generates a good return & pays for all the start up and mine access capital G
Slide 16: Rosemont Underground: Potential for Resource Extension
ROSEMONT UNDERGROUND 16 16 POTENTIAL FOR RESOURCE EXTENSION For personal use only Resource covers less than 1.3km of 4km strike and max depth of 150m below open pit designs Infill and extensional drilling continuing Many target areas drilling would be best done from within an underground mine
Slide 17: Rosemont Underground: Q4 Drilling – Confirming the Potential
ROSEMONT UNDERGROUND 17 17 Q4 DRILLING – CONFIRMING THE POTENTIAL DRILL RESULTS IN Q4 For personal use only Gold hosted in a steeply east dipping 345° trending quartz-dolerite unit Gold mineralised quartz-dolerite unit is up to 80m wide. Q4 drilling 71 DD & RC holes for 22,907m Q4 Results:
Slide 18: Rosemont Underground: Q4 Drilling – Confirming the Potential
ROSEMONT UNDERGROUND 18 18 Q4 DRILLING – CONFIRMING THE POTENTIAL DRILL RESULTS IN Q4 For personal use only Gold hosted in a steeply east dipping 345° trending quartz-dolerite unit Gold mineralised quartz-dolerite unit is up to 80m wide. Q4 drilling 71 DD & RC holes for 22,907m Q4 Results:
Slide 19: Garden Well Underground: Multiple High Grade Shoots
GARDEN WELL 19 19 UNDERGROUND PROJECT For personal use only MULTIPLE HIGH GRADE SHOOTS BELOW GARDEN WELL PIT At least 4 high grade zones below southern end of GW pit Including a new high grade shoot 300m south of the current pit design, 200m below surface and open down plunge
Slide 20: Garden Well Underground: Significant Underground Target
GARDEN WELL 20 20 UNDERGROUND PROJECT For personal use only SIGNIFICANT UNDERGROUND TARGET Very significant underground target below southern end of GW open pit Zone of continuous mineralisation 4-10m true widths & 300m N-S strike 100 – 300m below surface, dipping east and open to south Regi
Slide 21: Garden Well Underground: Significant Q4 Results
GARDEN WELL 21 21 UNDERGROUND PROJECT For personal use only SIGNIFICANT Q4 RESULTS Programme continued in Q4 with 15 holes completed for 2,999 metres Significant results during the quarter include: 11m @ 6.06 g/t Au from 340m 8m @ 5.52 g/t Au from 342m 9m @ 3.42 g/t Au from 358m 3m @ 7.8
Slide 22: Duketon at Depth – Mature and Well Drilled?
DUKETON AT DEPTH – THE NEXT CHAPTER For personal use only 22 22 DUKETON MATURE AND WELL DRILLED?? Since 2006 Regis has drilled 1,400,000 metres at Duketon This drilling has built total resources (before mining depletion) to 7.7 million oz 7.5 of 7.7Moz have been open pit resources Modest und
Slide 23: Duketon at Depth – Mature and Well Drilled?
DUKETON AT DEPTH – THE NEXT CHAPTER For personal use only 23 23 DUKETON MATURE AND WELL DRILLED?? Since 2006 Regis has drilled over 1,400,000 metres at Duketon This drilling has built total resources (before mining depletion) to 7.7 million oz 7.5 of 7.7Moz have been open pit resources Modes
Slide 24: Drill Holes Deeper Than 100m
DRILL HOLES DEEPER THAN 100M For personal use only 24 24
Slide 25: Drill Holes Deeper Than 200m
DRILL HOLES DEEPER THAN 200M 25 25 15% OF TOTAL METRES For personal use only
Slide 26: Drill Holes Deeper Than 300m
DRILL HOLES DEEPER THAN 300M 26 26 7% OF TOTAL METRES For personal use only
Slide 27: Drill Holes Deeper Than 400m
DRILL HOLES DEEPER THAN 400M 27 27 3% OF TOTAL METRES For personal use only
Slide 28: Duketon at Depth – Pursuing This Opportunity
DUKETON AT DEPTH – THE NEXT CHAPTER For personal use only 28 28 PURSUING THIS OPPORTUNITY Very limited drilling below 300m at Duketon Where we have drilled we see prospective geological settings and encouraging gold grades Concerted campaign of drilling at Rosemont has proved the underground t
Slide 29: Rosemont Seismic Survey
ROSEMONT SEISMIC SURVEY For personal use only 29 29 SEISMIC SURVEY - INVESTMENT DECISION IN Q1 Rosemont high grade shoots associated with stockwork veining % of stockwork veining highest within the thickest parts of the quartz dolerite Initial synthetic modelling by HiSeis indicates variations
Slide 30: McPhillamys (NSW) – Organic Growth Project
30 McPHILLAMYS (NSW) For personal use only 30 ORGANIC GROWTH PROJECT Located in Central-West NSW Well established gold mining district Cadia, Cowal, Northparkes +45Moz* Gold resource 2.31Moz Gold reserve 2.03 Moz One of Australia’s larger undeveloped open pit opportunities PFS complete
Slide 31: McPhillamys: EIS and DFS Update
31 McPHILLAMYS For personal use only 31 EIS AND DFS UPDATE EIS – work continuing with most areas nearing completion subject to SEARs requirements PEA formally submitted to DPE: Triggers DPE to provide Regis with SEARs SEARs allow EIS to be appropriately focussed to enable regulatory assessme
Slide 32: McPhillamys: Discovery Ridge Expected to Deliver Significant Value
32 McPHILLAMYS 32 DISCOVERY RIDGE EXPECTED TO DELIVER SIGNIFICANT VALUE TO MGP For personal use only 100% owned Discovery Ridge deposit located 32km away from McPhillamys by major highway MRE of 13.84Mt @ 1.1g/t for 501koz* Remaining results returned from Q3 RC drilling: • 35m @ 2.54g/t Au fro
Slide 33: Recap of Presentation
RECAP OF PRESENTATION For personal use only 33 33 Q4 gold production 92,008 ounces at AISC of A$982/oz Another very strong operational quarter at the Duketon project FY18 production 361,373 oz at AISC of $901/oz Production at upper end of FY18 guidance & AISC below bottom of guidance Recor
Slide 34: Appendix: JORC Compliant Ore Reserve Estimates March 2018
APPENDIX 1 JORC COMPLIANT 34 34 ORE RESERVE ESTIMATES 31 MARCH 2018 For personal use only Group Ore Reserves as at 31 March 2018 Gold Proved Probable Total Ore Reserve Competent Cut-Off Tonnes Gold Grade Gold Metal Tonnes Gold Grade Gold Metal Tonnes Gold Grade Gold Metal Project Type Person3 (g/t)2
Slide 35: Appendix: JORC Compliant Mineral Resources March 2018
APPENDIX 2 35 35 JORC COMPLIANT MINERAL RESOURCES 31 MARCH 2018 For personal use only Group Mineral Resources as at 31 March 2018 Gold Measured Indicated Inferred Total Resource Competent Cut-Off Tonnes Gold Grade Gold Metal Tonnes Gold Grade Gold Metal Tonnes Gold Grade Gold Metal Tonnes Gold Grade
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