Slide 1: Quarterly Results June 2014
For personal use only Quarterly Results June 2014
Slide 2: Forward looking statements
Forward looking statements These materials prepared by Evolution Mining Limited (or “the Company”) include forward looking statements. Often, but For personal use only not always, forward looking statements can generally be identified by the use of forward looking words such as “may”, “will”, “exp
Slide 3: June 2014 quarter highlights
June 2014 quarter highlights For personal use only Production Evolution’s best quarterly result for FY2014 of 111,899oz gold equivalent1 delivered at an average cash cost of A$747/oz (US$697/oz2) and AISC3 of A$1,057/oz (US$986/oz2) Corporate Strong cash position with a cash plus unsold dore of
Slide 4: FY2014 highlights
FY2014 highlights For personal use only Record annual production of 427,703 ounces gold equivalent¹ – a 9% increase compared to FY2013 and in-line with original and unchanged guidance of 400,000 – 450,000 ounces gold equivalent FY2014 average C1 cash cost of A$772 per ounce (US$709/oz2), at the
Slide 5: Reliability and consistency
Reliability and consistency For personal use only Eleven consecutive quarters of consistent, reliable operating performance A portfolio of five assets delivering operational stability and predictability Gold Production FY2011 – FY2014 427,703 oz 392,886 oz 346,979 oz 302,842 oz FY2011 FY2012 FY2
Slide 6: FY14 guidance achieved
FY14 guidance achieved For personal use only koz Au Eq A$/oz A$/oz A$M 860 480 1,180 210 840 200 460 1,150 820 190 440 180 800 1,120 420 170 780 1,090 160 400 760 150 1,060 380 740 140 360 720 1,030 130 Production C1 Cash Cost AISC Capex Actual Guidance 6
Slide 7: All-in sustaining costs
All-in sustaining costs For personal use only Group AISC (A$/oz) A$18/oz A$4/oz A$76/oz A$1,178/oz A$20/oz A$1,070/oz AISC FY2013 C1 Cash cost Royalty Sustaining Capex Admin Expenses AISC FY2014 Note: In FY13 AISC was reported as A$1,228/oz (included Discovery costs). In FY14, AISC definition exclud
Slide 8: FY2015 Guidance
For personal use only FY2015 Guidance
Slide 9: FY15 production guidance
FY15 production guidance For personal use only Similar production levels to FY2014 Lower production from Mt Carlton as a result of grade Higher production from Pajingo and Edna May Globally competitive costs : C1 cash costs A$750 – A$820/oz (US$695 – US$760/oz¹ ) AISC A$1,050 – A$1,130/oz (U
Slide 10: FY2015 capex guidance
FY2015 capex guidance Sustaining capital guidance of A$55M – A$75M For personal use only Major capital guidance of A$80M – A$100M Bulk of major capital expenditure associated with open pit cut backs at Mt Rawdon (10Mt of waste) and Edna May (6Mt of waste) A$M FY2015 Capex Breakdown 60 50 40 30
Slide 11: Operations
For personal use only Operations
Slide 12: Improved safety performance
Improved safety performance For personal use only Group Safety Performance 25.0 30 Sustained improvement through FY2014 and the lowest 20.0 25 level since Evolution’s formation Number of TRI's 15.0 20 A Group-wide program aimed TRIFR 10.0 15 at reducing vehicle incidents, was completed by over 9
Slide 13: FY14 production and sales
FY14 production and sales For personal use only Units Sep Quarter Dec Quarter Mar Quarter Jun Quarter FY14 FY14 FY14 FY14 FY14 Gold produced1 oz 107,195 107,201 101,408 111,899 427,703 By-product Silver produced oz 234,259 60,388 191,827 68,729 555,203 C1 Cash Cost2 A$/oz 769 764 811 747 772 C3 Tota
Slide 14: Real achievement in reducing costs
Real achievement in reducing costs For personal use only Total Spend - FY14 vs FY13 Total Spend (A$M) FY13 FY14 % Actual Actual Change Cracow 145.8 108.7 -25 Moved to owner miner 1 July 2013 Pajingo 140.8 82.5 -41 Campaign milling, no open pit mining Edna May 130.6 103.9 -20 Reprioritisation o
Slide 15: Cracow
Cracow For personal use only Consistent gold production of 23,376oz in June quarter (Mar qtr: 24,321oz) FY2014 gold production of 95,064oz at cash cost A$726/oz and AISC A$1,057/oz FY2014 cost saving of A$18M (or A$190/oz) as a result of moving to owner miner on 1 July 2013 Discovery of Impe
Slide 16: Pajingo
Pajingo For personal use only June quarter production of 16,495oz of gold (Mar qtr: 15,068oz) FY2014 gold production of 60,766oz at cash cost A$894/oz and AISC A$1,274/oz Restructure of operation reduced total site costs by 41% in FY2014 High quality exploration targets identified through 3D
Slide 17: Edna May
Edna May For personal use only June quarter gold production of 22,035oz (Mar qtr: 17,879oz) FY2014 gold production of 80,165oz at cash cost A$1,017/oz and AISC A$1,205/oz Plant throughput capacity and reliability improved following installation of variable speed SAG mill in March 2014 Strong
Slide 18: Mt Rawdon
Mt Rawdon For personal use only Robust June quarter gold production of 29,800oz (Mar qtr. 18,033oz) FY2014 production of 103,755oz at cash cost A$670/oz and AISC A$854/oz Annual cost saving of ~$A5M through implementation of smarter drill and blast program Further cost savings expected in FY
Slide 19: Mt Carlton
Mt Carlton For personal use only June quarter gold equivalent production of 20,193oz (Mar qtr. 26,109oz) Outstanding FY2014 production of 87,952oz Au eq. at cash cost A$634/oz and AISC A$844/oz – well in excess of production guidance of 65,000 – 75,000oz at C1 A$700 – A$750/oz Mill throughput
Slide 20: Exploration
For personal use only Exploration
Slide 21: Exploration Highlights
Exploration Highlights For personal use only Exploration expenditure of A$6.0M for the quarter and A$16.8M in FY14 – 28,623m drilled Farm-in and joint venture arrangement entered into with Emmerson Resources Ltd over the Tennant Creek gold-copper project Completion of 3D seismic surveys - Crac
Slide 22: Cracow Exploration
Cracow Exploration For personal use only 3D Seismic survey completed: first- pass processing very promising Seismic calibration drilling identified new epithermal structure – Anomalous gold, silver and tellurium results – Quartz-adularia veining identified 3D paleo-stress model completed – Are
Slide 23: Pajingo Exploration
Pajingo Exploration For personal use only 2D seismic line proof of concept drilling - awaiting results 3D seismic survey completed – processing and interpretation underway Exploration review and targeting underway Location of Vera Nancy fault 3km depth Post-mineral normal faults Syn-mineral in
Slide 24: Mt Carlton Exploration
Mt Carlton Exploration For personal use only Capsize IP chargeability, alteration zone Castle IP chargeability, alteration zone High sulphidation deposits targeted - favourable structural setting, alteration and stratigraphic unit - drilling at Castle prospect underway IP program extends the Cap
Slide 25: Financials
For personal use only Financials
Slide 26: Financials
Financials For personal use only FY2014 revenue from operations of A$634M Sales of 424,116 gold equivalent ounces at an average price A$1,442/oz Strong cash flow from operating activities of A$93M FY2014 Cash Flow A$M 250 245.0 152.0 200 150 100 13.2 16.8 19.4 50 12.4 13.4 31.5 0 13.7 30 June
Slide 27: Capital Discipline
Capital Discipline For personal use only Total capital expenditure in FY14 of A$152M - well below the lower end of guidance of A$160M to A$185M - reflects strong discipline from sites to prioritise, reduce and reschedule projects Gold hedge book stands at 164,319oz at average A$1,597/oz Cash i
Slide 28: Summary
Summary For personal use only Best quarterly performance of FY2014 Record annual production - in line with production and cost guidance AISC and AIC substantially reduced 80,000m of exploration drilling planned in FY15 focusing on drill targets identified through 4D studies Strong financia
Slide 29: Evolution Mining
For personal use only Evolution Mining ASX Code: EVN www.evolutionmining.com.au
Slide 30: Appendix - Production Summary
Appendix - Production Summary June 2014 Quarter Units Cracow Pajingo Edna May Mt Rawdon Mt Carlton Total / Average For personal use only UG lateral development - capital m 597 602 - - - 1,199 UG lateral development - operating m 1,149 663 - - - 1,812 Total UG lateral development m 1,746 1,265 - - -
Slide 31: Competent Person Statement
Competent Person Statement For personal use only The information in this statement that relates to the exploration results listed in the table below is based on work compiled by the person whose name appears in the same row, who is employed on a full-time basis by Evolution Mining Limited and is a m