Igo Limited · ASX:IGO
Igo — Independence Group NL — Australian Nickel Conference 2016
21 slides from Igo's conference presentation, Oct 20, 2016
Slide 1: Australian Nickel Conference
INDEPENDENCE GROUP NL For personal use only PETER BRADFORD, MANAGING DIRECTOR AND CEO Australian Nickel Conference 20 October 2016
Slide 2: Cautionary statements & disclaimer
Cautionary statements & disclaimer For personal use only • This presentation has been prepared by Independence Group NL (“IGO”) (ABN 46 092 786 304). It should not be considered as an offer or invitation to subscribe for or purchase any securities in IGO or as an inducement to make an offer or invit
Slide 3: Investment highlights
Investment highlights Australian diversified mining company (ASX:IGO) For personal use only Three operating mines in Western Australia QUALITY DIVERSIFIED Diversified portfolio with exposure to gold, nickel, zinc, copper, cobalt and silver ASSETS Focus on high-margin assets that deliver cash f
Slide 4: IGO assets
IGO assets Consistent high-margin production with platform for growth For personal use only DISCOVERY PROJECT DEVELOPMENT OPERATIONS Generative exploration to deliver Commissioning of the world-class Tropicana (Au) organic growth Nova Ni-Cu-Co Project • Albany Fraser/ Tropicana Tropicana Lon
Slide 5: Market profile
Market profile Strong domestic institutional support + growing international profile For personal use only Corporate Structure Share Ownership • Shares on issue: 587M • Substantial Holders(2) • Share price 52 Week Range: Mark Creasy 17% Van Eck 12% Low A$1.98 20 January 2016 FIL Limited 10%
Slide 6: Balance sheet and funding
Balance sheet and funding Strong balance sheet with pro-forma net cash of A$50M For personal use only Nova Plant construction Pro-forma cash of A$325M(2) complete(3) Nova Ore commissioning Debt drawn of A$271M(1) underway(3) Tropicana mill A$279M undrawn debt facilities(1) expansion to 7.5Mtpa 1) Re
Slide 7: IGO portfolio on a page
IGO portfolio on a page Strong platform of growth For personal use only A$M Macquarie Research EBITDA Profile A$M 600 600 500 500 400 400 300 300 200 200 100 100 0 0 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17e FY18e FY19e FY20e Western Australia Long (A$M) Jaguar (A$M) Tropicana (A$M) Nova (A
Slide 8: Nova Project: World class Ni-Cu-Co project
Nova Project World class Ni-Cu-Co project IGO 100% magmatic Ni – Cu For personal use only 1.5Mtpa underground mine Overview Process plant complete Ore commissioning underway Resource 30 June 2016(1) 325,000t Ni, 134,000t Cu Reserve 30 June 2016(1) 275,000t Ni, 112,000t Cu 9,000 to 10,000t Ni, Produc
Slide 9: Nova Project: Ore commissioning commenced four weeks ahead of schedule
Nova Project Ore commissioning commenced four weeks ahead of schedule For personal use only • Preliminary operating guidance for Nova provided through to FY19 • Additional opportunities exist to improve mining production and processing rates • These further enhancements will be pursued following com
Slide 10: Nova Project: Significant value unlocked with improved mining flexibility
Nova Project Significant value unlocked with improved mining flexibility For personal use only Further value unlocked at Nova through • Optimisation Study, December 2015(1) • Accelerated Development of Bollinger, July 2016(2) A cumulative 51% increase in NPV relative to the DFS unlocked through: • I
Slide 11: Accelerated development of the Bollinger Decline
Nova Project Accelerated development of the Bollinger Decline For personal use only Nova Mining Schedule 11
Slide 12: In mine and brownfields exploration opportunities
Nova Project In mine and brownfields exploration opportunities For personal use only • Areas identified and prioritised for in mine exploration • Untested geophysical targets • Potential to extend known Mineral Resources • Some areas require additional work to define targets 12
Slide 13: Long Mine
Long Mine High grade underground nickel on the Kambalda dome For personal use only IGO 100% high-margin underground nickel Overview Average grade project to date of 3.8% Ni Consistent low cost producer Resource 30 June 2016(1) 66,000t Ni Reserve 30 June 2016(1) 14,000t Ni Production Guidance FY17 7,
Slide 14: Jaguar Mine
Jaguar Mine VMS Corridor with cluster of orebodies For personal use only Overview IGO 100% High grade Underground Cu – Zn VMS Resource 30 June 2016(1) 51,000t Cu, 256,000t Zn & 13.1Moz Ag Reserve 30 June 2016(1) 16,000t Cu, 137,000t Zn & 6.7Moz Ag 39,000 to 43,000t Zn in concentrate Production Guida
Slide 15: Tropicana Gold Mine
Tropicana Gold Mine One of Australia’s leading open-pit gold mines For personal use only JV IGO 30% with AngloGold Ashanti 70% Overview Open pit with potential for expansion 7+ years current LOM Resource 30 June 2016(1) 7.5Moz (100%) 2.2Moz (30%) Reserve 30 June 201)(1) 2.4Moz (100%) 0.7Moz (30%) (1
Slide 16: Tropicana pits
Tropicana pits Four contiguous pits extending over a five kilometre strike For personal use only 16
Slide 17: Tropicana near mine exploration
Tropicana near mine exploration Long Island Study mining concept For personal use only 100km drilling completed beneath existing pits • Positive results at Boston Shaker, Havana and Havana South • New high grade shoot at Havana South Long Island study targeting step change to mine life • Based on st
Slide 18: Tropicana regional exploration
Tropicana regional exploration Leveraging knowledge from operations For personal use only • Tropicana hosts a unique style of mineralisation • Using innovative exploration and knowledge transfer from mine geology • Improved understanding on the mineralisation controls • JV committed to realising the
Slide 19: Exploration
Exploration IGO remains committed to delivering growth through exploration For personal use only A$33M exploration budgeted across portfolio • Targeting provinces that can deliver multiple gold and base metals projects • Increasing focus on generative and greenfields projects FY17 Exploration Budget
Slide 20: Sustainability
Sustainability Continued strengthening and improvement across the business For personal use only ACSI Assessment of IGO’s Sustainability Reporting 20
Slide 21: IGO Summary
IGO Summary Diversified mining company delivering cash flow and growth For personal use only QUALITY DIVERSIFIED ASSETS Outlook and catalysts for value recognition • Tropicana processing capacity to reach 7.0 – 7.5Mtpa • Long Island Study results throughout H1 FY17 • Nova ore commissioning and first
Independence Group NL — Australian Nickel Conference 2016 on 6ix