Ssr Mining Inc. · NASDAQ:SSRM
Ssr Mining — Silver Standard Resources — Investor Presentation (February 2014)
28 slides from Ssr Mining's investor presentation, February 2014
Slide 1: Corporate Presentation
CORPORATE PRESENTATION February 2014 SSRI:NDAQ | SSO: TSX 1
Slide 2: Cautionary Notes
Cautionary Notes Cautionary Note Regarding Forward-Looking Statements: This presentation contains “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and “forward looking information” within the meaning of Canadian securities laws (collectivel
Slide 3: Our Business Portfolio
Our Business Portfolio San Luis del Cordero 9 Marigold 7 6 7. Maverick 5. Berenguela 4. Diablillos Springs 2 2. Pitarrilla 8 Exploration Development Production 1. Pirquitas 8. San Marcial 3. San Luis 3 5 9. Sunrise Lake 6. Candelaria 1 4 San Agustin Challacollo Snowfield Bowdens Brucejack Balanced g
Slide 4: Marigold Acquisition Summary
Marigold Acquisition Summary Acquisition of the Marigold mine in Nevada for $275M in cash Sellers: Goldcorp (66.7%) and Barrick (33.3%) Established mine with production of 162,000 oz of gold in 2013 (1) Achieves strategic goals to add operating cash flow and reserves Adds to experienced op
Slide 5: Strategic Rationale
Strategic Rationale Improves operating and political risk profile Generates immediate operating cash flow Enhances leverage to precious metals price Diversifies operating base in prolific gold-silver trend Leverages open-pit operating capabilities Adds strong technical and operating team
Slide 6: Marigold Mine: Overview
Marigold Mine: Overview Continuous production since 1988 Open pit, run-of-mine heap leach operation Significant capital expenditures recently Twin Creeks Goldstrike +$150M in 2012 and 2013 (2) MARIGOLD Maverick Springs Phoenix Cortez Strong safety and environmental practices Candelaria O
Slide 7: Marigold Mine: Reserves and Resources
Marigold Mine: Reserves and Resources Long-life mine with exploration upside Strong resource conversion and reserve growth since 2008 Historical mineral reserves and resources: Mineral Reserves & Resources (3) Tonnes Metal grade Contained metal (M tonnes) (g/t Gold) (M oz. Gold) Proven Mineral
Slide 8: Marigold Mine: Production History
Marigold Mine: Production History 90% 200 (6) 80% 73% 73% 73% 73% 73% 70% 162 70% Gold Ounces Produced ('000 oz) 154 150 144 147 144 137 60% Gold Recoveries (%) 50% 100 40% 30% 50 20% 10% 0 0% 2008 2009 2010 2011 2012 2013 Source: Goldcorp public filings. Consistent long-term operating track record
Slide 9: Marigold Mine: Financial Profile
Marigold Mine: Financial Profile $1,000 $200 $894 $900 $180 $784 $776 $800 $160 Earnings from Operations ($M) $678 $700 $140 Total Cash Cost ($ / oz) $608 $596 $600 $120 $101 $500 $92 $100 $400 $80 $300 $60 $44 $45 $200 $33 $40 $18 $100 $20 $0 $0 2008 2009 2010 2011 2012 2013 YTD (7) Source: Goldcor
Slide 10: Marigold Mine: Our Priorities Going Forward
Marigold Mine: Our Priorities Going Forward Transition plan to focus on staff and operation Mine optimization plan Integration of recently purchased, larger scale mining equipment Develop new mine plan with lower strip ratio and higher grade Detailed review of expansion economics Complet
Slide 11: Marigold Mine: Roadmap
Marigold Mine: Roadmap Q1 2014 Q2 2014 Q3 2014 Q4 2014 Integration Close Transaction Drilling Campaign NI 43-101 Announce File Report Resource Estimate NI 43-101 Announce File Report Technical Report Analyst Tour Planned approach to integration and future SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 11
Slide 12: Silver Standard: Enhanced Reserve Profile
Silver Standard: Enhanced Reserve Profile Silver Equivalent (8) Pro Forma Silver Equivalent Mineral Reserves Mineral Reserves Argentina Peru 9% 4% Argentina 14% USA 34% Peru 3% Mexico 54% Mexico 82% Total: 583M AgEq oz Total: 879M AgEq oz Lower geopolitical risk Note: Silver equivalent mineral reser
Slide 13: Silver Standard: Production Profile
Silver Standard: Production Profile 20.0 17.9 18.0 16.0 Silver Equivalent Production (Moz.) 14.0 12.0 Marigold 10.0 8.2 Pirquitas 8.0 6.0 4.0 2.0 0.0 2013 2013 Pro Forma (9) Doubles production at no dilution Note: Silver equivalent production calculated using only silver and gold ounces produced. Go
Slide 14: Multi-mine Producer with Capacity to Grow
Multi-mine Producer with Capacity to Grow Upgrades portfolio and diversifies risk Provides scale and operating cash flow No Silver Standard equity issuance Adds world-class operating team Focus on integration and transition plan SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 14
Slide 15: Pirquitas: Focused on Delivery
Pirquitas: Focused on Delivery Operations Cost and Optimization Continue to deliver predictable Lowered 2013 cash cost guidance performance Advanced cost restructuring program Completed transition to Phase 2 of Contracts the San Miguel Open Pit Operational performance Focus on operatin
Slide 16: Pitarrilla: Recent Accomplishments
Pitarrilla: Recent Accomplishments Acquired key surface rights Submitted environmental and operating permits applications Performed engineering and infrastructure work Pursued financing plan Pitarrilla Durango, Mexico SSRI:NASDAQ SSRI:NDAQ | |SSO: SSO:TSX TSX 16
Slide 17: San Luis: Advancing Toward Value
San Luis: Advancing Toward Value Feasibility study (2Q10) N Consolidated interest (3Q11) Cochabamba agreement (4Q11) Ecash Community EIA approved (3Q12) Ayelén Vein Ecash community agreement progressing Drilling the Bonita Zone San Simon Vein in 2014 Bonita Zone Cochabamba 3 km Community
Slide 18: Financial capacity for the future
Pro Forma Liquidity Cash $401 Plus: Marketable Securities $153 Total Cash and Marketable Securities $554 Less: Acquisition Cost ($275) Less: Transaction Costs ($4) Total Costs ($279) Available Liquidity $275 Financial capacity for the future Notes: All figures are in millions of U.S. dollars. Pretiu
Slide 19: Key Goals for 2014
Key Goals for 2014 Successfully integrate and optimize Marigold Advance operational excellence at Pirquitas Add resources and reserves at Pirquitas Define development pathways for San Luis and Pitarrilla Maintain strong balance sheet Maintain cost discipline throughout the organization
Slide 20: Building strength
BUILDING strength SSRI:NASDAQ SSRI:NDAQ | |SSO: SSO:TSX TSX 20
Slide 21: Appendices
APPENDICES SSRI:NASDAQ SSRI:NDAQ | |SSO: SSO:TSX TSX 21
Slide 22: Mineral Reserves
Mineral Reserves (as at December 31, 2012) Mineral Reserves Metal grade Contained metal Tonnes Silver Gold Lead Zinc Silver Gold (mil.) (g/t) (g/t) (%) (%) (mil. oz) (mil. oz) Proven 8.3 180.8 - - 0.51 48.1 - Pirquitas Probable 4.8 169.1 - - 1.03 25.9 - Stockpiles (a) 1.4 137.3 - - 0.74 6.1 - Pitarr
Slide 23: Mineral Resources: Measured & Indicated
Mineral Resources: Measured & Indicated (as at December 31, 2012) Measured & Indicated Mineral Resources (inclusive of Mineral Reserves) Metal grade Contained metal Tonnes Silver Gold Lead Zinc Copper Silver Gold (mil.) (g/t) (g/t) (%) (%) (%) (mil. oz) (mil. oz) Measured 11.1 150.3 - - 0.49 - 53.6
Slide 24: Mineral Resources: Inferred
Mineral Resources: Inferred (as at December 31, 2012) Inferred Mineral Resources Metal grade Contained metal Tonnes Silver Gold Lead Zinc Copper Silver Gold (mil.) (g/t) (g/t) (%) (%) (%) (mil. oz) (mil. oz) Pirquitas 2.8 160.5 - - 5.38 - 14.2 - Pitarrilla 22.1 62.1 - 0.21 0.49 - 44.1 - San Luis 0.0
Slide 25: Reserves & Resources: Notes to Tables
Reserves & Resources: Notes to Tables All estimates of Mineral Reserves and Mineral Resources in the Reserves and Resources are stated as at December 31, 2012 and have been prepared in accordance with NI 43-101 under the supervision of a Qualified Person named below for the respective properties. Mi
Slide 26: Reserves & Resources: Notes to Tables
Reserves & Resources: Notes to Tables Diablillos Mineral Resources estimate was completed by Gilles Arseneau, Ph.D., P.Geo., a Qualified Person, in accordance with the standards of NI 43-101, in a technical report completed by Wardrop, a TetraTech company, entitled “Technical Report on the Diablillo
Slide 27: Presentation Endnotes
Presentation Endnotes All amounts are in U.S. dollars unless otherwise stated. 1) As disclosed by Goldcorp in its news release dated January 8, 2014, grossed up to illustrate 100% production figures. 2) Based on ‘Expenditures for mining interests’, as disclosed by Goldcorp in its public filings, of
Slide 28: Corporate Presentation
CORPORATE PRESENTATION SSRI:NDAQ | SSO: TSX 28
Silver Standard Resources — Investor Presentation (February 2014) on 6ix