Slide 1: Q2 Results Presentation 2023
Q2 Results Presentation 2023
Slide 2: Disclaimer and forward looking statements
Disclaimer and forward looking statements THIS PRESENTATION DOES NOT CONSTITUTE, OR FORM PART OF, ANY OFFER TO SELL OR ISSUE OR ANY SOLICITATION OF ANY OFFER TO PURCHASE OR SUBSCRIBE FOR, ANY SHARES IN CALEDONIA MINING CORPORATION PLC (“CALEDONIA”), NOR SHALL IT (OR ANY PART OF IT) OR THE FACT OF IT
Slide 3: Presentation Team
Presentation Team Mark Learmonth, Victor Gapare, Chester Goodburn, Chief Dana Roets B.Sc., Chief Operating Chief Executive Officer and Executive Director Financial Officer Officer and Director Director Maurice Mason, Vice President Camilla Horsfall, Vice President NYSE/AIM/VFEX: CMCL 3 Corporate Dev
Slide 4: Results
Results Summary 3 months ended June 30 6 months ended June 30 2022 2023 Change (%) 2022 2023 Change (%) Production (ounces) 20,091 18,512 -7.9% 38,606 34,653 -10.2% Average gold price ($ per ounce)1 1,840 1,949 5.9% 1,844 1,909 3.5% Revenue ($’m) 37.0 37.0 0.11% 72.1 66.5 -7.8% Gross Profit ($’m) 2
Slide 5: Overview
Overview • Production at Blanket was below target due to operational issues • Production improved in late June and in July: 7,829 ounces produced in July. • Re-iterate 2023 production guidance of 75,000 - 80,000 ounces of gold. • On-mine cost of $1,084 per ounce, a 56.7% increase on $692 per ounce i
Slide 6: Safety
Safety Blanket Mine Safety Statistics Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2021 2021 2022 2022 2022 2022 2023 2023 Classification Fatal 0 0 1 0 0 0 1 0 Lost time injury 0 2 0 2 1 1 0 5 Restricted work activity 1 1 0 1 1 2 6 7 First aid 1 0 2 3 0 0 1 0 Medical aid 6 8 6 3 1 2 4 0 Occupational illness 0 0 0 0 0 0
Slide 7: Safety
Safety Bilboes Oxide Mine Safety Statistics Q1 Q2 2023 2023 Classification Minor injury 0 2 Lost time injury 0 0 Occupational Health 0 0 Property Damage Incidents 6 6 Environmental Incidents 1 2 Total 7 10 Incidents 9 15 Near misses 2 5 Lost Time Injury Frequency Rate 0 0 • No major safety incidents
Slide 8: Review of Results
Review of Results Profit or loss for 6 months ended June Blanket Bilboes oxide Other1 Consolidated ($’m) H1 H1 H1 H1 H1 H1 2 H1 H1 Change (%) 2022 2023 2022 2023 2022 023 2022 2023 Revenue 72.1 64.2 - 2.3 - - 72.1 66.5 -7.8% Lower revenue due to lower production. Royalty (3.6) (3.3) - (0.1) - - (3.6
Slide 9: Review of Operations - Blanket
Review of Operations - Blanket Tonnes Milled & Grade (2012 – Q2 2023) Q2 2023 tonnes milled was lower than planned due to: poor blasting, big boulders, tramming in problems, and a hang-up in the ore pass Ounces Produced & Recovery (2012 – Q2 2023) system NYSE/AIM: CMCL 9
Slide 10: Review of Results: Production Costs
Review of Results Production Costs 3 months ended 6 months ended June 30 June 30 Change Change ($’m) 2022 2023 2022 2023 (%) (%) Blanket 14.3 16.5 16.1% 27.9 31.8 14.0% Wages and salaries1 6.0 5.6 -6.7% 11.5 11.9 3.5% Increased headcount offset by lower production bonuses. Consumables1 5.6 6.6 17.9%
Slide 11: Review of Results: Cost per ounce
Review of Results Cost per ounce *Calculated over consolidated ounces and not individual mine ounces as per section 10 of MD&A published August 10,2023 • Calculated over consolidated ounces and not individual mine ounces as per section 10 of the MD&A • On-mine cost per ounce increased due to Bilboes
Slide 12: Review of Results: Administrative expenses
Review of Results Administrative expenses ($’000's) 3 months ended June 30 6 months ended June 30 Change 2022 2023 2022 2023 Change (%) (%) Investor relations 269 159 -40.9% 394 322 -18.3% Audit fee 68 70 2.9% 136 139 2.2% $3.1m increase due to the Bilboes advisory fees on the Advisory service fees
Slide 13: Review of Results: Taxation Q2
Review of Results Taxation Q2 ($’000’s) Zimbabwe South Africa UK Bilboes Total Income tax 1,488 64 - - 1,552 Withholding tax - management fees - 41 - - 41 - deemed dividend 91 - - - 91 Deferred tax (402) (53) - 44 (411) CHZ dividends to GMS - - - - - Total Taxation charge 1,177 52 - 44 1,273 Cash ta
Slide 14: Review of Results: Cash Flow
Review of Results Cash Flow 3 months ended June 30 6 months ended June 30 Change ($’m) 2022 2023 2022 2023 Change (%) (%) Cash flow before working capital 13.5 4.9 -63.7% 27.0 4.9 -81.9% Reduction due to higher costs at Blanket and outflow at the Bilboes oxide mine Working capital 4.8 (4.9) -202.1%
Slide 15: Review of Results: Cash
Review of Results Cash Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sep 30, Dec 31, Mar 31, Jun 30, ($’m) 2022 2022 2022 2022 2023 2023 2023 2023 2023 2023 Zimbabwe 2.2 3.2 2.1 8.1 5.8 8.9 0.9 (2.2) (9.7) (7.3) South Africa 1.7 3.2 1.7 0.6 1.9 0.9 0.9 0.7 1.1 0.8 UK/Jersey 9.1 10.4 9.2 7.5 6.7 1
Slide 16: Review of Results: Balance Sheet
Review of Results Balance Sheet ($’m) Dec 31, 2022 Jun 30, 2023 Non-current assets 196.8 269.3 Increased investment in E&E assets due to the Bilboes acquisition. Current assets (excl. cash) 31.7 31.8 Increased cash on hand due to equity raises and issue of solar loan notes; Cash and equivalents 6.7
Slide 17: July 2023
Review of July 2023 Blanket • Tonnes milled: 71,419 • Grade: 3.63g/t • Gold Recovery: 93.6 • Gold produced: 7,829 ounces - annualised rate of over 93,000 ounces which supports the maintenance of annual production guidance for Blanket • $715 on mine cost per ounce • Cash inflow from operations before
Slide 18: Exploration
Exploration Blanket Encouraging results from the underground drilling program at Blanket which currently targets the Eroica ore body. Initial results indicate that the Eroica ore body has better grades and widths than expected. Highlights of the results include: Orebody Orebody Intersection Core Len
Slide 19: Environment, Social & Governance
Environment, Social & Governance • Increasing investor attention in an evolving regulatory framework • Sustainable business practices aligned with our corporate strategy. • 2022 ESG report published on the Company website • Environmental: • 12.2 MWac solar plant provides 24% of Blanket's average dai
Slide 20: Outlook
Outlook The immediate strategic focus is to: • maintain production at Blanket at the targeted range of 75,000 - 80,000 ounces for 2023; • continue deep level drilling at Blanket with the objective of upgrading inferred mineral resources, thereby extending the life of mine; • complete the Caledonia f
Slide 21: Contacts
Contacts Website: www.caledoniamining.com Twitter: @CaledoniaMining Investment Research Cenkos Securities: www.cenkos.com Liberum: www.liberum.com Share Codes: NYSE American / AIM / VFEX – CMCL Cantor Fitzgerald: www.cantor.com Standard Bank: www.standardbank.com Caledonia Mining VFEX Advisor: IH Gr