Ssr Mining Inc. · NASDAQ:SSRM
Ssr Mining — Silver Standard Resources — Investor Presentation (February 2015)
36 slides from Ssr Mining's investor presentation, Feb 24, 2015
Slide 1: Precious Metals Growth Corporate Presentation
PRECIOUS METALS GROWTH Corporate Presentation 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 (collectively
Slide 3: Why Silver Standard?
Why Silver Standard? ASSETS CAPITAL MANAGEMENT Two large mines Increased cash Experienced team balance to $185M Focused portfolio In-country expertise $105M in marketable Free cash flow securities Deliver to plan Elements for Growth SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 3
Slide 4: Delivering Now and for the Future
Delivering Now and for the Future 2010 – 2011 2012 2013 2014 Invested capital Delivering Pirquitas Cost re-based Growth $211M Pretium Pirquitas exceeds Pirquitas cost re- $268M Marigold IPO guidance structuring mine acquisition $265M convertible Pirquitas reserves Pitarrilla feasibilit
Slide 5: Strong Underlying Performance in 2014
Strong Underlying Performance in 2014 Cash and cash equivalents ($ million) $396 Marigold Mine Acquisition $185 $135 $102 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Operating activities generated $69 million Marigold generated $39 million of income from mine operations SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX
Slide 6: Balanced Growth Portfolio
Balanced Growth Portfolio 10 1 8 7 7. Candelaria 11 3 9 1. Marigold 8. Maverick Springs 5. Diablillos 3. Pitarrilla 9. San Marcial 2. Pirquitas 6. Berenguela 4 4. San Luis 6 10. Sunrise Lake 2 5 11. Parral + $570M SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 6
Slide 7: Marigold: Established Gold Mine
MARIGOLD ESTABLISHED GOLD MINE SSRI:NDAQ | SSO: TSX 7
Slide 8: Our Second Operating Mine
Our Second Operating Mine Open pit, run-of-mine heap leach operation Conventional truck and shovel equipment Gold doré Twin Creeks Goldstrike MARIGOLD Maverick Springs Continuous operation since 1988 Phoenix Cortez Carlin Trend Strong safety and environmental practices Battle Mountain- Eur
Slide 9: Cash Costs: Achieving Efficiencies at Marigold
Cash Costs: Achieving Efficiencies at Marigold $1,103 $997 Cash costs per payable $838 ounce of gold sold * $725 - $800 $665 Q2 2014 Q3 2014 Q4 2014 2014 2015 Guidance * 2014 cash costs are for the nine months ending December 31, 2014. Cash costs are a non-GAAP financial measure. Please see "Caution
Slide 10: Increased Efficiencies: Loading Capacity
Increased Efficiencies: Loading Capacity Rope Shovel Availability +41% Rope Shovel Utilization 100% 90% +18% 90% 80% 80% 70% 70% 60% 60% 50% 50% Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Tonnes Moved per Day Rope Shovel Cost per Tonne 210 +16% $0.20 Loaded $0.18 190 $0.16 $0.14
Slide 11: Mineral Resources and Reserves Estimate
Mineral Resources and Reserves Estimate Probable 138.6 Mt grading 0.49 g/t gold Mineral Reserves* Contained gold of 2.32 Moz Indicated 250.9 Mt grading 0.51 g/t gold Mineral Resources* Contained gold of 4.16 Moz Inferred 18.2 Mt grading 0.44 g/t gold Mineral Resources Contained gold of 0
Slide 12: Opportunity from Resource to Reserve
Opportunity from Resource to Reserve Mackay Pit (2) Red Dot Resource Illustrative potential pit shell Marigold Cross-Section W (looking north) E SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 12
Slide 13: Marigold Going Forward
Marigold Going Forward Resource delineation and upgrade Operational excellence focused on mining costs and practices Exploration for oxide and sulphide mineralization Focused on costs and exploration SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 13
Slide 14: Cash Flow and Production Growth in 2015
Cash Flow and Production Growth in 2015 Acquired Marigold mine April 2014 Guidance 2015 * Achieved record Q4 2014 Gold 160,000 – production 175,000 oz production of +67,000 ounces gold Cash costs per payable $725 – ounce of gold $800 / oz Produced 129,615 ounces gold in sold ** 2014 (April – D
Slide 15: Pirquitas: Large Open-Pit Silver Mine
PIRQUITAS LARGE OPEN-PIT SILVER MINE SSRI:NDAQ | SSO: TSX 15
Slide 16: Proven Capability and Delivery
Proven Capability and Delivery 100% owned and operated silver and zinc mine 2010: Invested capital 2011/12: Delivered predictable production Pirquitas Mine Jujuy, Argentina 2013: Improved cost structure, completed push back 2014: Repositioned on cost curve, record annual production Diablil
Slide 17: Exploration Emphasis at Pirquitas
Exploration Emphasis at Pirquitas Targeting satellite deposits to the mine Ongoing surface exploration program Commenced underground Mineral Reserves evaluation Performing technical studies for a pushback of the open pit Evaluating metallurgical performance of low grade ore Focus on mine l
Slide 18: Actively Managing Costs Down for Long-Term
Actively Managing Costs Down for Long-Term $19.70 Cash costs per payable $16.88 ounce of silver sold $12.87 $11.50 – $12.50 $12.08 2011 2012 2013 2014 2015 Guidance Note: Cash costs are a non-GAAP financial measure. Please see "Cautionary Note Regarding Non-GAAP Measures” in this presentation. Infor
Slide 19: Strong Production in 2015
Strong Production in 2015 Argentina 2015 Guidance * President elections – Oct. 2015 9.0 – 10.0M oz Ag production Managing through the transition 10 – 12M lb Zn production Anticipated improving business $11.50 – $12.50 / oz cash cost ** environment post-election (per payable ounce of silv
Slide 20: San Luis: Dual Option to Value
San Luis: Dual Option to Value Ancash Region, Peru Going forward N Focused on the Bonita Zone Pursuing community agreements Ecash Community Already secured Ayelén Vein EIA Feasibility study San Simon Vein Bonita Zone Cochabamba 3 km Community SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 20
Slide 21: Pitarrilla: Large Option
Pitarrilla: Large Option Parral Mining District Open pit project Chihuahua Conventional flotation and leaching Pitarrilla Project Durango 695M oz silver Mineral Resources Mexico (Measured and Indicated) Redefining way forward Continued exploration of land position Water moratorium One of
Slide 22: Strong Liquidity Position
Strong Liquidity Position $290M CASH AND MARKETABLE SECURITIES $265M CONVERTIBLE NOTES Note: Cash and marketable securities are as at December 31, 2014. SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 22
Slide 23: Strong Technical and Commercial Experience
Strong Technical and Commercial Experience Management Team John Smith Gregory Martin Alan Pangbourne John DeCooman President, CEO SVP and Chief SVP, Operations VP, Business Development and Director Financial Officer and Strategy Nadine Block Kelly Stark-Anderson Jon Gilligan Ed Kirwan Bruce Huber VP
Slide 24: Why Silver Standard in 2015
Why Silver Standard in 2015 Capable Corporate level management team free cash flow Focus on operational Strong balance excellence sheet Maintain cost Strategy for growth discipline SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 24
Slide 25: SSRI:NDAQ SSRI:NDAQ | SSO: SSO:TSX
SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 25
Slide 26: San Luis Project
San Luis Project San Luis Feasibility Study Results (June 2010) 3.5-year life: Underground mine Avg. annual 1.9M oz Ag production: 78,000 oz Au Cash cost: $313 / oz Au Resources (M+I): 9.0M oz Ag at 578.1 g/t 0.35M oz Au at 22.4 g/t Capital: $90 -$100M Mill throughput: 400 tpd NPV: $39
Slide 27: Mineral Reserves
Mineral Reserves (as at December 31, 2014) Mineral Reserves Location Tonnes Silver Gold Zinc Silver Gold millions g/t g/t % million oz million oz Proven Mineral Reserves San Luis Peru 0.06 604.5 28.3 1.1 0.05 Total 1.1 0.05 Probable Mineral Reserves Pirquitas Argentina 5.37 220.10 0.47 38.0 Pirquita
Slide 28: Mineral Resources: Measured and Indicated
Mineral Resources: Measured and Indicated (as at December 31, 2014) Mineral Resources Location Tonnes Silver Gold Lead Zinc Copper Silver Gold millions g/t g/t % % % million oz million oz Measured Mineral Resource (Inclusive of Proven Mineral Reserves) Pitarrilla Mexico 20.30 95.40 62.3 San Luis Per
Slide 29: Mineral Resources: Inferred
Mineral Resources: Inferred (as at December 31, 2014) Mineral Resources Location Tonnes Silver Gold Lead Zinc Copper Silver Gold millions g/t g/t % % % million oz million oz Inferred Mineral Resources Pirquitas UG Argentina 2.85 174.0 3.61 15.9 Marigold U.S. 18.20 0.44 0.26 Pitarrilla Mexico 22.10 6
Slide 30: Reserves & Resources: Notes to Tables
Reserves & Resources: Notes to Tables All estimates set forth in the Mineral Reserves and Mineral Resources table have been prepared in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects (“NI 43-101”). The estimates of Mineral Reserves and Mineral Resources for
Slide 31: More Capacity, More Efficiency
More Capacity, More Efficiency Shovel Capacity (Cubic Yards) 150 100 3 Shovels + 109% 2 Shovels 50 0 2012 2014 Hauling Capacity (Tonnes) Haul Truck Maintenance (Hours) 5,000 Maintain 20 Wash 18 Trucks + 50% - 50% 12 Trucks 2,500 10 0 0 2012 2014 2012 2014 New, large scale equipment adds significant
Slide 32: Marigold Site Overview
Marigold Site Overview Plant and Administrative Facilities N (2) Leach Pads Terry Pit Mackay Pit Target Pit Basalt – Antler Backfilled Pit 1 km SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 32
Slide 33: Marigold 2014 Drilling Results
Marigold 2014 Drilling Results (2) Note: See news release dated October 15, 2014 for selected drill hold highlights and reference data for the Marigold exploration drill program. SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 33
Slide 34: Notes
Notes (2) SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 34
Slide 35: Notes
Notes (2) SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX TSX 35
Slide 36: Corporate Presentation
CORPORATE PRESENTATION SSRI:NDAQ | SSO: TSX 36
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