Ramelius Resources Limited · ASX:RMS
Ramelius Resources — Denver Gold Forum 2019
23 slides from Ramelius Resources's conference presentation, Sep 17, 2019
Slide 1: Ramelius Resources Denver Gold Forum 2019
Ramelius Resources Limited For personal use only Mark Zeptner Managing Director ASX:RMS DENVER GOLD FORUM 2019 September 2019 DENVER GOLD FORUM • SEPTEMBER 2019 1
Slide 2: Forward Looking Statements and Competent Persons Statement
QUALIFICATION Forward Looking Statements For personal use only This presentation contains certain forward looking statements with respect to Ramelius Resources Ltd’s (Ramelius) financial condition, results of operations, production targets and other matters that are subject to various risks and unce
Slide 3: Corporate Summary
CORPORATE SUMMARY Key Metrics Share Price Performance For personal use only $1.60 40 ➢ Shares on Issue: 658M Vivien Exploration Update $1.40 35 ➢ Market Cap @ A$1.175/sh: US$531M $1.20 30 1 Moz Mine Plan ➢ Cash & Gold*: US$73M $1.00 Explaurum 25 Share Price (AUD) Volume (millions) Acquisition FY19 C
Slide 4: FY2019 Key Financial Highlights
FY2019 KEY FINANCIAL HIGHLIGHTS For personal use only • EBITDA: US$77.1M (2018: US$87.3M) Earnings • NPAT: US$15.0M (2018: US$21.1M) • Cash from Operating Activities: US$94.1M (2018: US$81.7M) Cashflow • Net Mine Cash Flow: US$48.6M (2018: US$33.3M) • Cash & Bullion: US$73.4M (2018: US$65.6M) Balanc
Slide 5: 2019 Resources & Reserves by Production Centre
2019 RESOURCES & RESERVES BY PRODUCTION CENTRE Mt Magnet/Vivien Resources & Reserves1 For personal use only ➢ Mineral Resources 2.34Moz ➢ Ore Reserves 0.40Moz Edna May/Marda & Tampia Resources & Reserves1 ➢ Mineral Resources 1.73Moz ➢ Ore Reserves 0.44Moz Total Resources & Reserves1 (at 30 June 2019
Slide 6: Resources & Reserves Growth
RESOURCES & RESERVES1 GROWTH Historical Resources and Reserves ✓ Regular resource and reserve For personal use only replenishment via organic exploration 4,500 840 900 and strategic acquisitions 4,000 800 698 ✓ Explaurum (Tampia) Acquisition 3,500 1,200 700 • Mineral Resources - 460koz 3,000 1,100 6
Slide 7: Two Key Production Centres
TWO KEY PRODUCTION CENTRES Mt Magnet Production Centre Edna May Production Centre For personal use only ➢ Comprises a number of open pit and underground ➢ Comprises the Edna May underground, operations Greenfinch open pit project and substantial low grade stockpiles - all within 1km radius ➢ Complem
Slide 8: Long Term Production Outlook - One Million Ounces
LONG TERM PRODUCTION OUTLOOK* - ONE MILLION OUNCES OVER 5 YEARS Production Target Profile ✓ FY19 production confirmed For personal use only 300 $1,000 ~200,000oz production rate 300 Prior 914 Mine Life 1500 Year 876 872 859 Mine Life Extensions 852 Extensions 819 ✓ 250 1250 FY20 production guidance
Slide 9: Margins Increasing - Cost Control & Improving Gold Price
MARGINS INCREASING - COST CONTROL & IMPROVING GOLD PRICE Gold Production with Realised Gold Price and AISC ✓ Very consistent AISC profile For personal use only over past 5 years, varying less 240 $1,500 than 5% over timeframe 200 208 $1,250 ✓ 197 ASIC margin increased 42% over 5 years 160 AISC margi
Slide 10: Exploration Upside
For personal use only EXPLORATION UPSIDE DENVER GOLD FORUM • SEPTEMBER 2019 10
Slide 11: Exploration - Mt Magnet
EXPLORATION - MT MAGNET ➢ Mt Magnet continues to deliver For personal use only ➢ New Eridanus open pit 4km south of Hill 50/Galaxy area ERIDANUS RESERVE 3.1Mt @ 1.1g/t Au (110,000oz) ➢ Latest Ore Reserve*: ▪ 3.1Mt @ 1.1 g/t Au for 110,000oz ➢ Porphyry host with 60m wide granodiorite mineralised to 3
Slide 12: Exploration - Decision to Extend Vivien
EXPLORATION - DECISION TO EXTEND VIVIEN Vivien Extension Mine Design For personal use only ➢ Resource modelling below 140 Level has resulted in additional Resources & Reserves*; ▪ Resource of 250kt @ 5.8g/t Au for 48koz Au ▪ Reserve of 197kt @ 4.8g/t Au for 30koz Au ➢ Board approval to extend; ▪ Dec
Slide 13: Exploration - Edna May Underground
EXPLORATION - EDNA MAY UNDERGROUND ➢ Ore development currently in For personal use only progress, stoping commenced at 250mbs ➢ High grade Jonathan and Fuji Lodes below current Ore Reserve* 400mbs: ▪ 7m at 4.93 g/t Au from 521m ▪ 7m at 8.95 g/t Au from 508m ▪ 5.4m at 5.67 g/t Au from 480m ▪ 4m at 3.
Slide 14: Exploration - Edna May Regional
EXPLORATION - EDNA MAY REGIONAL ➢ Edna May itself delivering impressive returns: For personal use only ▪ US$52.8M cash generated from operations on US$26.4M purchase price in 21 months ➢ Symes’ Find initial Mineral Resource estimate of 0.54Mt @ 1.9g/t Au for 34,000oz Au1 ➢ The first significant disc
Slide 15: Project Development Update
PROJECT DEVELOPMENT UPDATE Marda Gold Project Ramelius Cash Flow by Project (USD) For personal use only 80 ➢ Initial Mineral Resources and Ore Reserve1 Still in Operation To Be Developed ▪ Resource 4.8Mt @ 2.0g/t Au for 300koz 60 45 ▪ Reserves 1.1Mt @ 2.4g/t Au for 89koz 40 ➢ Additional conversion t
Slide 16: Strategic Focus
STRATEGIC FOCUS • Continue to focus on meeting guidance and controlling costs For personal use only Operational Excellence • Ensure new developments deliver the best possible returns • US$13.7M exploration budget - Mt Magnet and Edna May High Impact Exploration • Continue to explore opportunities ar
Slide 17: Ramelius - Breaking into a Gallop
RAMELIUS – “BREAKING INTO A GALLOP” For personal use only Sunrise at Edna May gold mine DENVER GOLD FORUM • SEPTEMBER 2019 17
Slide 18: Appendices
For personal use only APPENDICES DENVER GOLD FORUM • SEPTEMBER 2019 18
Slide 19: 2019 Mineral Resource Statement
2019 MINERAL RESOURCE STATEMENT MINERAL RESOURCES AS AT 30 JUNE 2019 - INCLUSIVE OF RESERVES Project Deposit Measured Indicated Inferred Total Resource For detailed information relating to Mineral For personal use only t g/t oz t g/t oz t g/t oz t g/t oz Galaxy Group 92,000 1.8 5,400 4,100,000 1.6 2
Slide 20: 2019 Ore Reserve Statement
2019 ORE RESERVE STATEMENT ORE RESERVE STATEMENT AS AT 30 JUNE 2019 For detailed information relating to Ore Reserves For personal use only Project Mine Proven Probable Total Reserve see ASX Releases (RMS) “Resources and Reserves t g/t oz t g/t oz t g/t oz Statement 2019”, 10 September 2019 and “Viv
Slide 21: 2019 Financials - Results & Analysis
2019 FINANCIALS - RESULTS & ANALYSIS ➢ Gold production of 196,679oz Cumulative EPS - 5 Years For personal use only 20 ➢ Revenue up 3% to US$242.4 million Annual EPS (US Cents) 15 15.3 ➢ EBITDA of US$77.1 million with EBITDA 10 12.7 margin of 31.8% 8.7 5 6.4 2.4 0 5 Year History of Profit FY15 FY16 F
Slide 22: 2019 Financials - Improved 2nd Half Performance
2019 FINANCIALS - IMPROVED 2ND HALF PERFORMANCE For personal use only H1 H2 Full Year % KPI Units 31 Dec 2018 30 June 2019 2019 Change Gold Production Oz 104,051 92,628 196,679 (10.9%) Gold Sales Oz 107,636 95,682 203,318 (11.1%) Revenue US$’000 124,928 117,425 242,353 (6.0%) Average Price Received
Slide 23: 2019 Financials - Cash Flow
2019 FINANCIALS - CASH FLOW KEY POINTS: For personal use only ➢ Cash US$65.8 million up 36% ➢ Cash & Bullion US$73.4 million up 12% ➢ US$69.1 million on growth capital: ▪ US$40.0 million on mine development ▪ US$16.0 million on project acquisitions ▪ US$13.1 million on exploration ➢ Strong balance s