Slide 1: 2012 First Quarter Results Conference Call Presentation
2012 First Quarter Results Conference Call Presentation April 27, 2012
Slide 2: Cautionary Note
Cautionary Note Cautionary Notes a) Information Purposes Only The information contained in this presentation is provided by OceanaGold Corporation (“OGC”) for informational purposes only and does not constitute an offer to issue or arrange to issue, or the solicitation of an offer to issue, securiti
Slide 3: Q1 2012 Highlights
Q1 2012 Highlights Revenue $88.6m @ average gold price of $1,708 per ounce 51,852 ounces gold sold at cash operating cost $1,126 per ounce Full year guidance unchanged EBITDA $23.3m Didipio Project going very well – more key milestones achieved Blackwater drilling successful - high grade
Slide 4: Q1 2012 Operational Summary
Q1 2012 Operational Summary Safety: 4 LTI’s. Commenced new safety program Gold production of 50,842 ounces, 23% lower vs Q4 2011 Planned maintenance - availabilities were lower as expected Less ore mined as expected – replaced with low grade stockpiles FRUG ground movement - Suspended stop
Slide 5: Pro forma net cash flow per ounce sold
Pro forma net cash flow per ounce sold Per ounce Au sold Q1 2012 Q4 2011 Q1 2011 Average Gold Price Rec’d $1,708 $1,705 $1,401 Cash Cost reported $1,126 $8901 $687 Pre strip cash expenditure $161 $121 $256 capitalised to Balance Sheet Total Cost/oz (incl pre-strip ) $1,287 $1,011 $943 Pro forma net
Slide 6: A closer look at cash costs
A closer look at cash costs Main reason lower ounces sold plus: Higher electricity and plant maintenance (planned shutdowns) Stronger NZD vs. USD ($0.83 Q1/11 vs. $0.79 Q4/11) Low grade ore from stockpile expensed Offset by capitalised mining costs & corporate costs in NZ Expect Cash costs t
Slide 7: Operations: Macraes Open Pit & Frasers Underground
Operations: Macraes Open Pit & Frasers Underground Macraes Goldfield Q1 2012 Q4 2011 Q1 2011 Gold Produced (oz) 34,851 44,451 44,157 Open pit ore mined (Mt) 0.932 1.651 1.413 Underground ore mined (Mt) 0.157 0.243 0.206 Mill Feed (Mt) 1.392 1.471 1.457 Mill Feed grade (g/t) 0.98 1.14 1.13 Recovery (
Slide 8: Frasers Underground Access Redevelopment
Frasers Underground Access Redevelopment Restricted access to some stoping areas Secondary access for new sub- panel largely completed in Q1 Southern Bypass expedited Outside main stoping area Safer and shorter access to future stopes Access to multiple stoping areas in H2 2012 Long te
Slide 9: Operations: Reefton
Operations: Reefton Reefton Q1 2012 Q4 2011 Q1 2011 Goldfield Gold Produced (oz) 15,991 21,299 21,514 Ore Mined (Mt) 0.319 0.416 0.386 Mill Feed (Mt) 0.415 0.432 0.419 Mill Feed grade (g/t) 1.44 1.89 1.84 Recovery (%) 83.2% 81.3% 82.4% Gold production 25% lower vs Q4 2011 from lower mill grade - i
Slide 10: Development: Didipio Project on Track
Development: Didipio Project on Track Over 1,000 contractors & employees on site, >97% Filipinos Process Plant and Infrastructure Engineering design complete Concrete pouring >50% complete, progressing ~5% per week Key long lead time items shipped and arrived on site Steel erection under
Slide 11: Didipio Construction Progress March 2012
Didipio Construction Progress March 2012 Tank base concentrate handling area Tailings thickener formworks Plant site overview Equipment on site TSF crusher lay down area Unloading of ball mill shipment enroute to site 11
Slide 12: Didipio Project Key Schedule
Didipio Project Key Schedule On track to commission Q4 2012, full year production 2013 2011 2012 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Site access road • First ore in mills • Commissioning Construction camp1 complete Operations village Mining infrastructure Tailings Storage Facility Storage Sheds Power station Crush
Slide 13: Didipio: Community Relations
Didipio: Community Relations DiCorp awarded major contract for access road maintenance Education – basic journalism for Didipio high school students Infrastructure upgrade – major drainage system Medical missions – ongoing sponsorships, 641 patients benefitted during Q1 Environmental progr
Slide 14: Exploration
Exploration Q1 2012 exploration spend $3.8m Reefton Focus on greenfield and brownfield exploration drilling Diamond drilling at Blackwater and Globe Progress Initial results from Blackwater reported subsequent to quarter end Macraes Underground drilling continued down dip in Panel 2
Slide 15: Blackwater Project Reefton
Blackwater Project Reefton High grade quartz reef intersected 650m down plunge Initial results WA21A intersected 1.0m (est true width 0.5m) of 23.3g/t Au Additional drill holes planned to test continuity at depth 15
Slide 16: Financial Summary
Financial Summary — » /
Slide 17: Group Results Q1 2012
Group Results Q1 2012 Q1 2012 Q4 2011 Q1 2011 $m $m $m Revenue 88.6 106.6 90.7 Operating Costs (65.3) (62.9) (46.7) EBITDA 23.3 43.7 44.0 Dep’n & Amortisation (21.8) (21.5) (18.9) Net Interest (4.0) (3.5) (2.8) Earnings before tax (2.5) 18.6 22.3 Income Tax (1.3) (4.3) (7.5) Net Earnings (3.9) 14.3
Slide 18: Q1 2012 Cash Flows
Q1 2012 Cash Flows Operating cash flows decreased from Q4 2011 due to lower ounces sold Investing cash flows included: Didipio Project construction $42.9m Pre stripping capex: $9.7m Sustaining & Rehab capex: $8.3m Exploration: $3.8m Cash on hand as at March 31, $123.3m, in line with ou
Slide 19: Cash Flows March 31, 2011
Cash Flows March 31, 2011 Q1 2012 Q4 2011 Q1 2011 $m $m $m Opening cash balance 170.0 163.4 181.3 Operating cash inflows 24.1 56.0 47.2 Capital expenditure (68.4) (47.7) (29.4) Financing cash outflows (3.6) (4.6) (5.1) Forex effect 1.2 2.9 (0.5) Net cash (decrease)/increase (46.7) 6.6 12.2 Closing c
Slide 20: Outlook
Outlook Didipio construction ramping up and on schedule to commission in Q4 2012 2012 Guidance unchanged FY Production guidance 230,000 to 250,000 ounces Au FY cash costs of US$900 to $980 per ounce (NZD/USD = $0.80) H2 Gold Production > H1 Gold Production Access to Macraes Open Pit stag
Slide 21: OceanaGold
OCEANAGOLD INNOVATION, PERFORMANCE & GROWTH