Slide 1: AMEC Forum 2017
For personal use only ASX:WGX AMEC Forum 2017
Slide 2: General Disclaimer
The Newly Minted – Top 10 Australian Gold Producer For personal use only General Disclaimer This presentation has been prepared by Westgold Resources Limited (“Westgold” or the “Company”). It should not be considered as an offer or invitation or inducement to subscribe for or the purchase of any sec
Slide 3: Westgold – 6 months old!!
Westgold – 6 months old!! For personal use only • Westgold – the demerged gold division of Metals X Limited. • A West Australian gold producer (current run-rate ~300,000ozpa) with expanding operations. • Large Gold Inventory: Total Mineral Resource Estimate* (as at 30 June 2016) 15.4 million Oz (2
Slide 4: Corporate Profile
Corporate Profile For personal use only Corporate structure (ASX:WGX) Board Issued Shares 304.7 million, 11 million empl. opts Non-executive Chairman Peter J. Newton Share Price A$ 1.90 Managing Director Peter G. Cook Market Cap A$ 580 million At June 6, Director of Operations Steve Norregaard 2017
Slide 5: Gold Production Profile – Westgold Group
Gold Production Profile – Westgold Group For personal use only Gold Production Dec 2016 Qtr - 75,134 oz (~300,000ozpa run-rate) 5 Key Gold Projects Gold Production Forecast Calendar 2017 - Revised 300,000+ (under review) 4 Producing, 1 at Pre-feasibility Stage Quarterly Gold Prod'n and A$ Costs 80,0
Slide 6: Ramping to 400,000+ozpa Production Rate
RAMPING TO 400,000+ozpa Production Rate For personal use only Target Grow th in Gold Output Underground mines don’t die, they just get deeper!! 500,000 450,000oz 450,000oz 430,000oz 450,000 340,000oz 400,000 Under review!! ANNUALISED GOLD OUTPUT 350,000 ----------------------------------------------
Slide 7: Milestones for Calendar 2017 – Westgold Group
Milestones for Calendar 2017 – Westgold Group For personal use only • Commission Fortnum plant in June 2017 Quarter. 5 Key Gold Projects • Start open pit mining at Yarlaweelor Group Open Pits • Re-establish underground production from the Starlight underground 4 Producing, 1 at Pre-feasibility Stage
Slide 8: Growth & Sustaining Capital to achieve expansions (CY2017f)
Growth & Sustaining Capital to achieve expansions (CY2017f) For personal use only • HGO - Higginsville Plant up-grade (est. A$15M) Upgrade crushing and grinding capacity to 1.8Mtpa. • FGP - Fortnum Gold Project (est. A$15M) Complete plant & infrastructure Refurb and dewater and refurb Starlight decl
Slide 9: Asset Rich – Westgold Group
Asset Rich – Westgold Group For personal use only Dominant Land Positions 4 Processing Plants in 2 Prolific Goldfields 5.5Mtpa Capacity Murchison Goldfield Eastern Goldfield 9
Slide 10: Murchison Gold Projects (100% WGX)
Murchison Gold Projects (100% WGX) For personal use only Central Murchison Gold Project (CMGP) Fortnum Gold Project (FGP) Resource* - 108.7 Mt @ 2.2g/t = 7.74 million oz’s Resource* - 29.7 Mt @ 1.8g/t = 1.75 million oz’s Reserves* - 22.8 Mt @ 2.6 g/t = 1.93 million oz’s Reserves* - 5.4 Mt @ 2.0 g/t
Slide 11: Eastern Goldfields Projects
Eastern Goldfields Projects For personal use only South Kalgoorlie Operations (SKO) – (potential sale) 1.2 million tpa CIL Plant Higginsville Gold Operations (HGO) 1.3 million tpa CIL Plant 11
Slide 12: Higginsville Gold Operations
Higginsville Gold Operations For personal use only Higginsville Gold Operations (HGO) Resource* - 33.6 Mt @ 2.0g/t = 2.2 million oz’s Reserves* - 7.57 Mt @ 1.78 g/t = 0.43 million oz’s Producing at ~70,000 + ozpa run-rate ( getting back to 100,000ozpa +with expanded capacity) Multiple feed sources f
Slide 13: South Kalgoorlie Operations (SKO) – potential sale
South Kalgoorlie Operations (SKO) – (potential sale/merger with RNC Minerals) For personal use only SKO Gold Prod'n & A$ Costs 30,000 1400 QTR GOLD PROD'N OZ 25,000 1200 1000 20,000 COST PER OZ 800 15,000 600 10,000 400 5,000 200 0 0 Jun Q 2016 Sep Q 2016 Dec Q 2016 Mar Q 2017 Gold Prod'n 10,756 15,
Slide 14: Rover Project - Prefeasibility Stage
Rover Project - Prefeasibility Stage For personal use only Virgin IOCG Discovery. Blind from surface. Bonanza Grades in broader poly-metallic halo. Prolific Production area. Good Infrastructure • roads • gas • water • nearby town • Rail Capital Investment to establish a circa 60,000oz gold eq. proje
Slide 15: Significant Announcement of Today
Significant Announcement of Today For personal use only Westgold has reached agreement to acquire specialist underground mining contractor Australian Contract Mining (“ACM”) in a ~$30m deal. The move is part of the core objective of Westgold to lower its mining costs to the lowest possible denominat
Slide 16: Why invest in Westgold - Competitive Peer Metrics
Why invest in Westgold - Competitive Peer Metrics For personal use only 16 Enterprise Value/Cashflow - Australian 100,000 oz+ Producers 14 12 EV = Hundred millions Reserves = Millions 10 8 Average 6.4 EV/FCF 6 4 2 0 Northern Ramelius Resolute Beadell St Barb Westgold Evolution Regis Silver Lake Ocea
Slide 17: Why invest in Westgold ?? - Arguably the most growth
Why invest in Westgold ?? - Arguably the most growth For personal use only 18 16 15.4 15.3 14 14 12.1 12 10 9.3 9.1 MIllion Oz's 8.6 8.4 8 5.9 6 5.6 5.5 4 4 3.5 3.2 2.9 2.2 2.1 2 2 1.3 1.5 0.4 0.4 0 RMS RSG BDR SBM WGX EVN RRL NST SLR OGC SAR Resources 2.2 12.1 3.5 9.1 15.4 14 8.6 9.3 3.2 15.3 8.4 R
Slide 18: Why invest in Westgold ?? - A bigger option on gold price
Why invest in Westgold ?? - A bigger option on gold price For personal use only ENTERPRISE VALUE PER RESOURCE OUNCE OF GOLD $289.50 $228.80 $181.30 $174.10 A$ PER OUNCE $127.50 Average A$135/oz $98.90 $97.30 $96.80 $81.50 $65.40 $42.20 RMS RSG BDR SBM W GX EVN RRL NST SLR OGC SAR ENTERPRISE VALUE PE
Slide 19: Total Gold Inventory by JORC Category & Project
Total Gold Inventory by JORC Category & Project For personal use only For full details please refer to the announcement ”Annual Update – Mineral Resource & Ore Reserve as at 30 June 2016” released by Metals X Limited (ASX:MLX) on 18 August 2016. 19
Slide 20: Newly minted Top Australian Gold Producer
For personal use only ASX:WGX Newly minted Top 10 Australian Gold Producer Peter Cook Steve Norregaard Rod Corps Managing Director Operations Director Investor Relations peter.cook@westgold.com.au steve.norregaard@westgold.com.au rod.corps@westgold.com.au