St. Barbara Ltd. · ASX:SBM
St. Barbara — Q3 FY22 Earnings Presentation
37 slides from St. Barbara's earnings presentation, Apr 28, 2022
Slide 1: Briefing Book
> 4 stBarbara Briefing Book
Slide 2: Disclaimer
2 Disclaimer This presentation has been prepared by St Barbara Limited (“Company”). The material contained in this presentation is for information purposes only. This presentation is not an offer or invitation for subscription or purchase of, or a recommendation in relation to, securities in the Com
Slide 3: A growing gold company with a global outlook
3 A growing gold company with a global outlook Three operations with pathway to greater than 10 years of operating life
Slide 4: Our sustainability framework underpins our business
4 Our sustainability framework underpins our business
Slide 5: We are taking action across our sustainability commitments
We are taking action across our sustainability commitments Target is Zero Harm We are the only mining Delivering on action Carbon neutral by Growing our business TRIFR1 - 3.9 in company to be a plan to address risks 2050 and by 2025 at sustainably, where it FY21 and trending WGEA2 Employer of of Mod
Slide 6: Safety always
6 Safety always TOTAL RECORDABLE INJURY FREQUENCY RATE (TRIFR)1 5.0 3.9 Safety 3.6 3.0 Always 2.7 2.8 2.1 Zero harm is always our target. Zero harm to all people as we responsibly operate our assets to their full potential. This focus FY18 FY19 FY20 FY21 Q1 Q2 Q3 on safety guides FY22 FY22 FY22 ever
Slide 7: 2022 Bloomberg Gender Equality Index (GEI) Inclusion
7 2022 Bloomberg Gender Equality Index (GEI) Inclusion “Inclusion in the GEI matters to us because it brings transparency to gender-related practices and policies at publicly listed companies thereby increasing the breadth of environmental, social and governance data available to investors. We are p
Slide 8: St Barbara's three uplifts progressing as planned
8 St Barbara’s three uplifts progressing as planned Three stages of uplift for St Barbara FY22 + FY21 - 22 Uplift 3: Grow through acquisitions and exploration FY20 - 21 Acquire assets with a scalable Uplift 2: Execute brownfield production outlook and capture Uplift 1: Deliver Building expansion pro
Slide 9: To deliver these uplifts we have defined the priorities and capabilities required
9 To deliver these uplifts we have defined the priorities and capabilities required Uplift 2: Uplift 3: Uplift 1: Execute brownfield Grow through acquisitions Deliver Building Brilliance in operations and extend mine life expansion projects and exploration Our Operate safely and Empower our Operate
Slide 10: Aspirational Gold Production (koz)
10 Aspirational production of ~600kozpa 700 600 1. Leonora: aspirational production of ~270kozpa once the proposed 2.1Mtpa processing facility is installed comprising 180kozpa from Gwalia Underground and Aspirational Gold Production (koz) 500 90kozpa from near mine and/or acquired properties ~270 40
Slide 11: Key achievements Q3 FY22
11 Key achievements Q3 FY22 • Group gold production steady at 61,819 oz • All-in Sustaining Cost1 of A$2,290/oz • Acquisition of Bardoc Gold completed • Increasing Group Ore Reserves by 7% to 6.2Moz and Group Mineral Resource by 22% to 16.5Moz • Accelerated development of the Zoroastrian deposit to
Slide 12: Leonora Operations
12 Leonora Operations AISC FY22 Guidance (A$/oz) Leonora 1,513 1,456 1,933 1,611 1,568 1,916 • Production of between 180 to Operations 200koz PRODUCTION • AISC of A$1,605 to A$1,720/oz (koz) • Sustaining capex of A$55 to A$65M 80 91 88 100 • Growth capex of A$10 to A$15M 65 41 H1 H2 H1 H2 H1 Q3 FY20
Slide 13: Turning around operational performance at Gwalia
13 Turning around operational performance at Gwalia 1,600 • FY16 to FY18 – Declining performance Ore and Waste movement to 1,400 1,200 • Fewer tonnes moved to surface surface (kt) 1,000 • Limited development metres 800 600 • Waste material stored underground 400 • FY19 to FY20 – Turnaround 200 • Mov
Slide 14: Accelerating Leonora Province Plan
14 Accelerating Leonora Province Plan 1. Tower Hill – 600koz increase in mineral resources 2. Expanding processing plant from 1.4 to 2.1mtpa 3. Installing refractory processing capability 4. Bardoc Gold acquired • Two mines ready for development • Supported by rail and road infrastructure 5. Near-Le
Slide 15: Tower Hill grows Mineral Resource by 600koz
Tower Hill grows Mineral Resource by 600koz Plan view of Tower Hill deposit Long section view of Tower Hill deposit Change in Indicated and Inferred Mineral Resource Million Tonnes Grade Million Ounces (g/t) Previous Tower Hill Underground (as at 30 June 2021) 5.1 3.8 0.6 Current Tower Hill Open Pit
Slide 16: Creating a unique processing hub
Creating a unique processing hub Increasing processing capacity to 2.1Mtpa and adding refractory capability N Free Milling Refractory ROM Pad ROM Pad Additional 3-stage CIL Tank Crushing New Ball Refractory Tails (~95% Ore Flotation Tailings Mill Ball Milling mass flow) Storage 2.1 Mtpa Facility Fre
Slide 17: Acquisition of Bardoc Gold complete
Acquisition of Bardoc Gold complete Railway from Bardoc tenements to Leonora About Bardoc Gold Bardoc tenement overview • 3.0Moz Mineral Resources & 0.4Moz Ore Reserves Aphrodite 25.5Mt @ 2.0g/t for 1.7Moz • Large contiguous tenement package Grafters located ~180km south of Leonora by 319kt @ 1.3g/t
Slide 18: Two new underground mines ready to be developed
18 Two new underground mines ready to be developed Zoroastrian underground mine Aphrodite underground mine Total Mineral Resources 1.6Mt @ 4.0 g/t Au 6.7Mt @ 3.6 g/t Au Capital cost to develop1 Estimated A$15M Estimated A$30M Ore type Free-mill Refractory Mining method Longhole open stoping Longhole
Slide 19: Filling the Leonora processing plant
19 Filling the Leonora processing plant Ore mining Mine rate being Mineral Resources evaluated Mtpa Tonnes (Mt) Grade (g/t Au) Moz Au Gwalia 1.1 25.2 5.8 4.7 Underground Zoroastrian 0.3 - 0.51 1.6 4.0 0.2 Underground Aphrodite 0.9 - 1.01 6.7 3.6 0.8 Underground2 Harbour Lights2 1.1 – 2.1 12.9 1.5 0.
Slide 20: Potential new shallower mining front at Gwalia
20 Potential new shallower mining front at Gwalia
Slide 21: Simberi Operations
21 Simberi Operations Simberi Operations AISC FY22 Guidance (A$/oz) 4,064 1,717 1,543 1,863 2,621 • Production of between 25 to 30koz • AISC of A$3,200 to A$3,600/oz1 PRODUCTION (koz) • Sustaining capex of A$5 to A$10M • Growth capex of A$35 to A$40M 50 54 44 30 10 H1 H2 H1 H2 H1 Q3 FY20 FY20 FY21 F
Slide 22: Sulphide project
22 Sulphide project Feasibility Study highlights below: Forecast Gold Production (koz) • Initial capital expenditure of US$170 M • Payback period of ~3 years • Life of mine averages • Gold production of ~160 koz per annum • AISC of US$896 per ounce • NPV of US$220 M (post-tax) at a real discount rat
Slide 23: Atlantic Operations
23 Atlantic Operations AISC FY22 Guidance (A$/oz) 2,013 Atlantic 887 968 1,002 1,062 1,447 • Production of between 55 to 65koz Operations • AISC of A$1,650 to A$1,850/oz1 PRODUCTION (koz) • Sustaining capex of A$5 to A$10M • Growth capex of A$15 to A$20M 51 55 54 47 32 11 H1 H2 H1 H2 H1 Q3 FY20 FY20
Slide 24: Atlantic Projects overview – Beaver Dam & Fifteen Mile Stream
24 Atlantic Projects overview – Beaver Dam & Fifteen Mile Stream Beaver Dam • On track to submit round 3 information request for EIS by Q1 FY23 Fifteen Mile Stream • Modelling and sampling underway for first round information request for EIS
Slide 25: Profitable despite Simberi being offline
25 Profitable despite Simberi being offline H1 FY22 Financial Results Cash flow from Underlying EBITDA1 Underlying NPAT1 (A$ M) (A$ M) operating activities (A$ M) 103 15 19 EBITDA Margin1 EPS Gearing ratio (%) (Underlying, A$ cents ) (Debt/Equity)2 31 2 13% 1. Non-IFRS financial measures, the detail
Slide 26: Strong underlying profit improvement at Leonora offset by Simberi
26 Strong underlying profit improvement at Leonora offset by Simberi A$ M 68 40 (84) 10 (8) 11 6 (2) (2) 15 (24) H1 FY21 Gross Gross Gross Exploration Corporate D&A Finance & Other Income Tax H1 FY22 Profit Profit Profit Costs & FX Expense Leonora Simberi Atlantic Royalties
Slide 27: Strong cashflow generated from two operations
27 Strong cashflow generated from two operations A$ M 100 37 (33) (62) (19) 133 $42M cash contributions from operations after (34) sustaining and growth capex 44 (23) 94 (22) (13) (14) Cash Leonora Simberi Atlantic Growth Exploration Corporate Income Investments Dividends Other Financing Cash Jun 20
Slide 28: Indicative operating cost breakdown by site
28 Indicative operating cost breakdown by site Leonora Simberi Atlantic Shipping Equipment Hire Reagents 4% Reagents 14% 5% Contractors 9% Contractors 19% 18% Other Other Energy 7% 9% 4% Reagents Contractors 2% 38% Energy Other 8% Energy 10% Materials 13% 16% Materials Equipment Hire 28% 7% Material
Slide 29: Delivering the Leonora Province Plan
29 Delivering the Leonora Province Plan Acquisition of Bardoc Gold complete Group Ore Reserves up 7% to 6.2Moz Group Mineral Resources up 22% to 16.5Moz Zoroastrian first production targeted Q1 FY24 Continued strong drilling results from Old South Gwalia
Slide 30: Consolidated production, costs and guidance summary
30 Consolidated production, costs and guidance summary Production Summary Q3 Mar Q4 Jun Year Q1 Sep Q2 Dec Q3 Mar Guidance Consolidated FY21 FY21 FY21 FY22 FY22 FY22 FY22 St Barbara’s financial year is Qtr to Qtr to Year to Qtr to Qtr to Qtr to Year to 1 July to 30 June 31 Mar 2021 30 Jun 2021 30 Ju
Slide 31: Hedging summary as at 31 March 2022
31 Hedging summary as at 31 March 2022 Financial Volume Price Type Delivery Delivery Year Ounces $/oz schedule Apr 22 to Dec 22 37,336 C$2,050 European call options Apr 2022 to Dec 2022 Monthly Apr 22 to Jun 22 30,000 A$2,465 Forwards Apr 2022 to Jun 2022 Monthly
Slide 32: Ore Reserves Summary at 31 December 2021
Ore Reserves Summary at 31 December 2021 Proved Probable Total Tonnes Gold Ounces Tonnes Gold Ounces Tonnes Gold Ounces Region Project ('000) (g/t) ('000) ('000) (g/t) ('000) ('000) (g/t) ('000) Gwalia, (WA) 1,543 7.3 361 11,318 4.8 1,761 12,862 5.1 2,121 Australia Aphrodite, (WA) 2,782 3.6 322 2,78
Slide 33: Mineral Resources Summary at 31 December 2021
Mineral Resources Summary at 31 December 2021 Measured Indicated Inferred Total Tonnes Gold Ounces Tonnes Gold Ounces Tonnes Gold Ounces Tonnes Gold Ounces Region Project ('000) (g/t) ('000) ('000) (g/t) ('000) ('000) (g/t) ('000) ('000) (g/t) ('000) Gwalia Deeps 3,776 5.8 704 18,946 5.7 3,492 2,485
Slide 34: Competent persons statement
34 Competent persons statement Exploration Results The information in this presentation that relates to Exploration Results is based on information compiled by Dr Roger Mustard, who is a Member of The Australasian Institute of Mining and Metallurgy. Dr Mustard is a full-time employee of St Barbara a
Slide 35: Non-IFRS Measures
35 Non-IFRS Measures We supplement our financial information reporting determined under International Financial Reporting Standards (IFRS) with certain non-IFRS financial measures, including cash operating costs. We believe that these measures provide meaningful information to assist management, inv
Slide 36: Investor Relations enquiries
Investor Relations enquiries Chris Maitland Head of Investor Relations T: +61 3 8660 1914 M: +61 477 120 070 E: info@stbarbara.com.au Scheduled ASX Announcements 27 July 2022 Q4 June 2022 Quarterly Report
Slide 37: StBarbara
StBarbara