Northern Star Resources Ltd · ASX:NST
Northern Star Resources — Investor Presentation (September 2015)
24 slides from Northern Star Resources's investor presentation, September 2015
Slide 1: Northern Star Resources: An Australian gold miner for global investors
Northern Star Resources An Australian gold miner – for global investors September 2015
Slide 2: Disclaimer
Disclaimer Competent Persons Statements The information in this announcement that relates to exploration results, data quality, geological interpretations and Mineral Resource estimations for the Company’s Kanowna, EKJV, Kundana and Carbine Project areas is based on information compiled by Darren Co
Slide 3: Introduction - Third biggest Australian listed Gold Miner
Introduction - Third biggest Australian listed Gold Miner We are the third-biggest gold miner on the Australian stock exchange by both market cap and production Paulsens & Ashburton Tanami Project +5Moz Gold Camp Market cap is A$1.3B and we are on Operations +3Moz Gold Camp track to produce 535koz-5
Slide 4: A business first, mining is how we deliver value
A business first, mining is how we deliver value The Company has averaged a Return on Equity of 43% per annum for the last 5 years whilst acquiring world class mines Generated a record A$185.6M underlying free cash flow in FY15, increased dividend by 43% in FY15 to A$5cps Grown production by 175% to
Slide 5: Efficiently Allocating Capital – Organically & Inorganically
Efficiently Allocating Capital – Organically & Inorganically NST has averaged a Return on Invested Capital of 29% through a combination of organic and inorganic value adding growth; through the acquisition of low-cost, high margin gold mines Across the portfolio of assets NST to date has achieved an
Slide 6: FY2015 - Key Operating Highlights
FY2015 - Key Operating Highlights Key Operational Outcomes Gold Mined Gold Sold AISC improved by increased by 154% increased by 177% 3% to A$1,065/oz to 622koz to 581koz Key Resource Outcomes Measured and 2.7Moz addition to Total Resources Indicated Resources Resource base at increased by 44% increa
Slide 7: FY2015 Key Financial Highlights
FY2015 Key Financial Highlights Sales revenue: A$845.6m up 185% on FY14 Underlying Net Profit: A$108.8m up 198%, including one off acquisition costs of A$12.8m and restructuring expenses of A$4.2m for a statutory NPAT of A$91.9m Underlying EBITDA of A$331m up 220% on FY14 Cash flow from operating ac
Slide 8: FY2016: Production and Cost Guidance
FY2016: Production and Cost Guidance Key FY2016 forecasts: Total gold production of 535,000-570,000oz All-in sustaining costs of A$1,050-A$1,100/oz A$74m to be spent on Investing Capital for FY16 following on from the great successes in FY15, including; A$35m for targeted drilling to bring m
Slide 9: Group Production Growing Next Year
Group Production Growing Next Year Group production potentially growing organically next year, heading to a 700koz per annum producer in FY18, subject to the following assumptions; Central Tanami Project commencing production in calendar year 2017 and ramping up to +75kozpa by FY19 Kanowna produ
Slide 10: Jundee: still one of Australia's best mines
Jundee: still one of Australia’s best mines Purchased from Newmont for A$82.5 million, settled in July 2014 FY2015 gold sold 223,727oz at an AISC of A$1,008/oz, well above guidance FY2016 guidance 210,000-220,000oz at AISC of A$1,000-A$1,050/oz Resources 1.35Moz, up 166% and Reserves 0.6Moz, up 45%
Slide 11: Kundana: A corridor of riches
Kundana: A corridor of riches Part of the 2nd purchase from Barrick Gold for A$75 million, settled 1 March 2014 FY2015 gold sold 103,051oz at an AISC of A$711/oz, within guidance FY2016 guidance 100,000-110,000oz at AISC of A$850-A$900/oz Resources 1.6Moz, up 134% and Reserves 0.45Moz, up 61% even a
Slide 12: Kanowna Belle: A great Goldfields address
Kanowna Belle: A great Goldfields address Part of the 2nd purchase from Barrick Gold for A$75 million, settled 1 March 2014 FY2015 gold sold 96,223oz at an AISC of A$1,021/oz, well above guidance FY2016 guidance 80,000-85,000oz at AISC of A$1,050- A$1,100/oz Resources 1.2Moz, up 8% and Reserves 0.2M
Slide 13: Plutonic: Rebuilding the Mine
Plutonic: Rebuilding the Mine Purchased from Barrick Gold for A$25 million, settled February 2014 FY2015 gold sold 80,141oz at an AISC of A$1,550/oz FY2016 guidance 75,000-80,000oz at AISC of A$1,350-A$1,400/oz Resources 1.5Moz, up 2% and Reserves 0.2Moz, up 34% after mining 96koz in FY15 Maiden Her
Slide 14: Paulsens: The Founding Asset
Paulsens: The Founding Asset FY2015 gold sold 77,642oz at an AISC of A$1,264/oz FY2016 guidance 70,000-75,000oz at AISC of A$1,175-A$1,275/oz Resources 0.4Moz, up 7% and Reserves 0.1Moz, after mining 76koz in FY15 Pipeline of additional feed; Low grade stockpiles, Belvedere and Peake 14 Page 14
Slide 15: Central Tanami Project: Next Tier of Production Growth
Central Tanami Project: Next Tier of Production Growth Northern Star has now settled its six mine, a JV on the 2.7Moz Central Tanami Project with Tanami Gold NL* Historically produced 2.1Moz from top 125m, last major production was from Newmont in 2005 when it produced 610,000oz over a 4 year period
Slide 16: Why invest in Northern Star
Why invest in Northern Star Highly profitable: underlying net profit A$108.9m in FY15; underlying free cashflow A$185.6m; total dividend of A$5cps Strong balance sheet: no debt; A$178m in cash, bullion and investments Emphasis on shareholders: TSR 227% past five years & return on equity of 32% FY15
Slide 17: Northern Star Resources: Contact Details
Northern Star Resources An Australian Mid Cap gold miner – for global investors Contact Details: Luke Gleeson – Investor Relations +61 8 6188 2100 Email – info@nsrltd.com / Website – www.nsrltd.com September 2015
Slide 18: Team with a track record
Team with a track record Shares Options Board – Successful record in discovering and developing mines Total 600M 4.3M BILL BEAMENT Managing Director (Mining Engineer) * As at 24 September 2015 Non-Executive Chairman – Independent CHRIS ROWE (Barrister and Solicitor) Share price: A$2.48 Non-Executive
Slide 19: FY2015 Resources (Part 1)
FY2015 Resources (Part 1) MINERAL RESOURCES 'PAULSENS GOLD PROJECT Surface Paulens Belvedere Meriin Mt Clement (20%) Underaround Upper Pausens 1a Voyager (Voy, Voy2, Tir) 52 Stockpiles iz Gold in Cireuit Subtotal Poulson 8% [ASHBURTON GOLD PROJECT Surface Mt Ovmpus Peake Wough Hectric Dingo Romulus
Slide 20: FY2015 Resources (Part 2)
FY2015 Resources (Part 2) MINERAL RESOURCES As at 30 June 2015 MEASURED INDICATED INFERRED TOTAL RESOURCES Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Based on attributable ounces Au (000's) (gpt) (000's) (000's) (gpt) (000's) (000's) (gpt) (000's) (000's) (gpt) (
Slide 21: FY2015 Resources (Part 3)
FY2015 Resources (Part 3) MINERAL RESOURCES As at 30 June 2015 MEASURED INDICATED INFERRED TOTAL RESOURCES Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Based on attributable ounces Au (000's) (gpt) (000's) (000's) (gpt) (000's) (000's) (gpt) (000's) (000's) (gpt) (
Slide 22: FY2015 Reserves (Part 1)
FY2015 Reserves (Part 1) ORE RESERVES As at 30 June 2015 PROVED PROBABLE TOTAL RESERVES Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Based on attributable ounces Au (000's) (gpt) (000's) (000's) (gpt) (000's) (000's) (gpt) (000's) PAULSENS GOLD PROJECT Underground Upper Paulsens 5 7.2
Slide 23: FY2015 Reserves (Part 2)
Zone 19 : Baltic 26 6.2 5 3 3.9 0 29 6.0 6 Zone 61 : Caribbean 69 5.4 12 104 4.6 15 173 4.9 28 Zone 124 : Spur - Area 134 87 6.0 17 40 7.3 9 128 6.4 26 FY2015 Reserves (Part 2)Zone 124 : Cortez - Med - Adr Zone 124 North : Pacific 11 0 8.4 11.2 3 0 17 49 4.7 8.5 3 14 28 50 6.1 8.5 6 14 Zone 124 Nort
Slide 24: FY2015 Reserves (Part 3)
East Kundana Joint Venture (EKJV) Underground FY2015 Reserves (Part 3) Raleigh (50%) Rubicon / Hornet (51%) 89 107 13.1 10.2 38 35 17 180 10.6 7.3 6 42 106 287 12.7 8.4 43 77 Pegasus (51%) 3 4.8 0 1,219 7.9 310 1,222 7.9 310 Stockpiles 49 8.4 13 49 8.4 13 ORE RESERVES Subtotal EKJV 248 10.8 86 1,416
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