Triple Flag Precious Metals Corp. · TSX:TFPM
Triple Flag Precious Metals — Investor Presentation (December 2023)
33 slides from Triple Flag Precious Metals's investor presentation, December 2023
Slide 1: Corporate Presentation
CORPORATE PRESENTATION December 2023 December 2023 TSX:TFPM | NYSE:TFPM
Slide 2: Cautionary Statements
CAUTIONARY STATEMENTS This presentation does not constitute an offer to sell or a solicitation of an offer to purchase any security in any jurisdiction Cautionary Note Regarding Forward-Looking Information and Statements: This presentation contains “forward-looking information” within the meaning of
Slide 3: Triple Flag Overview
OVERVIEW TRIPLE FLAG OVERVIEW Track record, continued organic growth and firepower to grow value Leading Sustainability $2.8B 100-115 koz +140 koz Ratings 2023E GEOs 5 Year Average Outlook 2 Market Cap 1 Guidance 2 (2024E – 2028E) Leading Insider 234 Assets $0.21/sh ~$650M Ownership and Alignment 32
Slide 4: Summary: Proven Business Model
OVERVIEW SUMMARY PROVEN BUSINESS MODEL Providing investors high-upside, low-risk exposure to precious metals Free Cash Flow Generation No capital expenditure exposure Diversification Large portfolio diversified by jurisdiction, operator, underlying commodity Optionality Price leverage, new discoveri
Slide 5: Strong Financials
OVERVIEW STRONG FINANCIALS Operating Cash Flow Free Cash Flow 1 Net Earnings and Gross Profit Margin and (US$M) (US$M) Adjusted EBITDA 2 Asset Margin 3 (US$M) (% of revenue) $153 $153 $151 92% 91% 91% 90% 89% 87% 91% $123 $120 $118 $120 $118 $118 $96 57% $84 $84 55% 51% $56 $55 $48 $46 44% $32 $34 $
Slide 6: Our Approach
OVERVIEW OUR APPROACH What sets Triple Flag apart Disciplined Growth Shareholders First Culture Committed to sustainably growing value per We are shareholders and owners first and Analysis-intensive, adaptable, inclusive share through patient investments foremost transparent engagement model Strong
Slide 7: Asset Portfolio
Asset Portfolio TSX:TFPM | NYSE:TFPM 7
Slide 8: Portfolio Overview
8ASSET PORTFOLIO PORTFOLIO OVERVIEW Diversified portfolio of streams and royalties in top-tier jurisdictions Portfolio of 234 Assets Streams and royalties 32 Producing Assets Streams and royalties Strong Development and Exploration Pipeline Note: Asset count includes 32 producing assets and 202 asse
Slide 9: Pure Play Precious Metals
ASSET PORTFOLIO PURE PLAY PRECIOUS METALS High-quality diversification Asset Commodity Geography Consensus NAV Consensus NAV Consensus NAV Cornerstone assets with diversified 94% Precious 78% Americas production and Metals and Australia development Northparkes 24% Gold 75% Australia 32% RBPlat 9% Si
Slide 10: Diversified Production
ASSET PORTFOLIO DIVERSIFIED PRODUCTION Northparkes Cerro Lindo RBPlat Fosterville Young-Davidson Buritica Australia Peru South Africa Australia Canada Colombia Au/Ag Stream Cu Mine Ag Stream Zn/Pb/Cu Mine Au Stream PGM Mine Au Royalty Au Mine Au Royalty Au Mine Ag Stream Au Mine Beta Hunt Camino Roj
Slide 11: Leading Operators and Partnerships
ASSET PORTFOLIO LEADING OPERATORS AND PARTNERSHIPS Exposure to leading group of operators Long-term partnership approach focused on synergistic deals and value beyond capital Mining backgrounds with deep experience and global networks across the industry TSX:TFPM | NYSE:TFPM 11
Slide 12: Growth and Track Record
Growth and Track Record TSX:TFPM | NYSE:TFPM 12
Slide 13: Growth and Track Record
GROWTH AND TRACK RECORD GROWTH AND TRACK RECORD On track to achieve GEOs guidance range for 2023 Gold Equivalent Ounces (koz) +140 GEOs koz 100-115 GEOs koz 84 85 100+ Assets in Various Stages of Development 63 42 33 34 2017A 2018A 2019A 2020A 2021A 2022A 2023E 5 Year Avg 5 Year Growth Growth 2024E
Slide 14: Organic Growth Pipeline
GROWTH AND TRACK RECORD ORGANIC GROWTH PIPELINE Robust organic growth profile from expansions, development projects, and long-term exploration Expansions Exploration: 154 Assets Selected Development Assets Including Including Northparkes Queensway Project Mining of high gold grade E31 and E22 deposi
Slide 15: Delivering Sector Leading Profile
GROWTH AND TRACK RECORD DELIVERING SECTOR LEADING PROFILE Track record of GEOs growth and disciplined capital deployment Indexed GEOs 1,2 Capital Deployment Since 2017 3 US$B 4.50 4 4.00 3.50 Peer 1 3.00 Peer 2 2.50 Peer 4 5 Peer 5 5 Peer 3 2.00 Peer 1 5 1.50 Peer 4 Peer 3 6 Peer 2 4 1.00 Peer 5 0.5
Slide 16: Robust Value Creation
GROWTH AND TRACK RECORD ROBUST VALUE CREATION High return on cornerstone producing assets All figures in US$M Investment $250 Investment $75 Cerro Lindo Fosterville 2016 Investment Return $243 $181 $424 2018 Investment Return $87 $54 $141 Cash Flow to Q3/23 Analyst NAV Cash Flow to Q3/23 Analyst NAV
Slide 17: Northparkes Cornerstone Asset
Northparkes Cornerstone Asset TSX:TFPM | NYSE:TFPM 17
Slide 18: Northparkes
CORNERSTONE ASSET NORTHPARKES 54% gold and 80% silver stream Flagship gold and silver stream on the Northparkes copper open pit and underground mine in Australia Owned and operated by CMOC (80%) and Sumitomo (20%) JV Operating since 1993 with long history of reserve replacement Commenced ope
Slide 19: Northparkes
CORNERSTONE ASSET NORTHPARKES High-quality efficient underground infrastructure and mining methods Highly mechanized and efficient block caving and sub-level caving supplemented by open pit mining Current production from E48 and E26 caves plus E31 open pits In 2015, Northparkes achieved a mile
Slide 20: Northparkes
CORNERSTONE ASSET NORTHPARKES Increasing gold grades from E31 and E22 Northparkes Gold Grades Proven and Probable Reserves Gold Grade (g/t) by Deposit December 31, 2022 Gold Grade (g/t) – 0.20 0.40 0.60 0.80 1.00 1.20 E31N Oxide 1.10 E31N Sulfide 0.69 E31 Sulfide 0.44 E22 0.39 E28NE Sulfide 0.28 Sul
Slide 21: Northparkes
CORNERSTONE ASSET NORTHPARKES Long history of reserve replacement and mine life extension with +1 Moz of gold produced since 2001 Historical Gold Reserves and Cumulative Production Since 2001, 100%-basis 1,500 1,000 500 0.9 Moz of gold reserves (Proven and Probable) as at December 31, 2022 1 Gold (k
Slide 22: Northparkes
CORNERSTONE ASSET NORTHPARKES Decades of mineral deposits and an entire mineral field to continue to explore Stream Area: 1,060 km2 Mining Licences: 26 km2 Significant exploration potential on 1,060 km2 land position Under-explored with limited drilling below 200 metres on the mining licenses
Slide 23: Sustainability Leadership
Sustainability Leadership TSX:TFPM | NYSE:TFPM 23
Slide 24: Sustainability
SUSTAINABILITY LEADERSHIP SUSTAINABILITY Long-term success of our organization, the mining industry and host communities Inaugural MSCI ESG Rating of AA Amongst the leaders in the gold sector Risk Rating of 8.9 from Sustainalytics 1 Ranked 3rd of 117 companies in the global precious metals s
Slide 25: Top Sustainability Rankings
SUSTAINABILITY LEADERSHIP TOP SUSTAINABILITY RANKINGS Contributing to a responsible and sustainable mining sector Copyright ©2022 Sustainalytics. All rights reserved TSX:TFPM | NYSE:TFPM 25
Slide 26: Summary
Summary TSX:TFPM | NYSE:TFPM 26
Slide 27: Summary
SUMMARY DISCIPLINED AND DIVERSIFIED, QUALITY, ROBUST CASH FLOW AND GOLD FOCUSED PURE PLAY PORTFOLIO EMBEDDED GROWTH FOCUSED ON GROWING MANAGEMENT AND POSITIONED FOR CASH FLOW AND ASSET SHAREHOLDER PREMIUM VALUATION VALUE PER SHARE ALIGNMENT Eskay Creek TSX:TFPM | NYSE:TFPM 27
Slide 28: Appendix
Appendix TSX:TFPM | NYSE:TFPM 28
Slide 29: Leadership Team
APPENDIX LEADERSHIP TEAM Deep experience and networks in senior executive, commercial, sustainability and accounting roles Shaun Usmar Sheldon James Dendle Eban Bari Warren Beil Katy Board John Cash Leshan Daniel Chief Executive Officer Vanderkooy SVP, Corporate VP, Finance General Counsel VP, Talen
Slide 30: Experienced Board
APPENDIX EXPERIENCED BOARD Diverse capabilities with deep mining and investing backgrounds and networks Dawn Whittaker Susan Allen Timothy Baker Geoff Burns Mark Cicirelli Director & Chair Director & Committee Chair 1 Director & Committee Chair 2 Director Director Peter O’Hagan Blake Rhodes Shaun Us
Slide 31: 2023E Guidance
APPENDIX 2023E GUIDANCE On track to achieve GEOs guidance range for 2023 2023E Guidance Gold Equivalent Ounces (GEOs) 1 100 – 115 koz Depletion $65 – 71M G&A (Cash) $16 – 17M G&A (Non-cash) ~$5M Australian tax rate 2 ~25% Figures in US$M unless otherwise noted 1) 2023E outlook on stream and royalty
Slide 32: Non-IFRS Measures
APPENDIX NON-IFRS MEASURES Gold Equivalent Ounces (“GEOs”) GEOs are a non-IFRS measure that is based on stream and royalty interests and calculated on a quarterly basis by dividing all revenue from such interests for the quarter by the average gold price during such quarter. The gold price is determ
Slide 33: Reconciliation to IFRS Measures
APPENDIX RECONCILIATION TO IFRS MEASURES Gold Equivalent Ounces (“GEOs”) Adjusted EBITDA 2023 Three months ended Nine months ended ($ thousands, except average Three September 30 September 30 gold price and GEOs Three months ended months ended Three months Nine months ended ($ thousands) 2023 2022 2
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