Ramelius Resources Limited · ASX:RMS

Ramelius Resources — Investor Presentation (February 2017)

31 slides from Ramelius Resources's investor presentation, Feb 6, 2017

  1. Slide 1: Investor Presentation February 2017

    For personal use only Ramelius Resources Limited (ASX:RMS) Mark Zeptner - Managing Director Investor Presentation February 2017

  2. Slide 2: Qualification: Forward Looking Statements

    Qualification Forward Looking Statements For personal use only This presentation contains certain forward looking statements with respect to Ramelius Resources Limited’s (Ramelius or the Company) financial condition, results of operations, production targets, exploration targets and other matters th

  3. Slide 3: 2016 - Proven to be a reliable producer

    2016 - Proven to be a reliable producer  Consistently achieving and exceeding Guidance For personal use only Ramelius Resources Limited • Investor Presentation • February 2017 3

  4. Slide 4: 2017 - Maintaining the momentum

    2017 - Maintaining the momentum For personal use only  Debt-free with Net Cash & Gold of A$95M {US$71M*} (as at December 31, 2016)  Record gold production for June ’16 Qtr and surpassed in September ‘16 Qtr  12 Consecutive quarters of production guidance achieved – December ’16 Qtr  Positive Net

  5. Slide 5: Strong capital position - primed for growth

    Strong capital position - primed for growth For personal use only Corporate Structure (ASX: RMS) Board Shares on Issue 525M Robert Kennedy Market Cap A$315M (US$236M) Non Executive Chairman (at $0.60 per share, $A:US$ 0.75) Liquidity 30-day 4.5M shares Mark Zeptner 31 Cash & Gold Estimate A$95M (US$

  6. Slide 6: Operational locations - Western Australia

    Operational locations - Western Australia For personal use only Mt Magnet - mines & mill Mill Capacity 1.7Mtpa Resource 1.9Moz Reserve 312koz Grade 1.9g/t Life 4 years A$1,250/oz AISC (US$938/oz) New Blackmans open pit & Water Tank Hill underground Grade (Blackmans) 2.0g/t Life 1 year Grade (WTH/St

  7. Slide 7: Capital requirements

    Capital requirements  Exploration brought forward (4 drill rigs at Mt Magnet), Milky Way development mid-2017 For personal use only Project H2 FY2017 FY2017 FY2018 FY2019 FY2020 Titan open pit A$4.5M - Water Tank Hill underground A$11.5M A$7.3M Blackmans open Blackmans open pit pit A$1M - Mt Mt Mag

  8. Slide 8: Production targets

    Production targets* For personal use only  Life of Mine Plan a “Work in Progress” with revised Vivien, Milky Way timing and Morning Star upgrades being evaluated *1FY2020 Production Targets contain Inferred Mineral Resources (6% of Vivien and 2% of overall LoM), refer to slide 29 for further detail

  9. Slide 9: Operations

    For personal use only Operations

  10. Slide 10: Operations - Mt Magnet gold mine

    Operations - Mt Magnet gold mine For personal use only Gold camp history • Gold discovered 1891, town gazetted 1895 • Production >6Moz • Hill 50 mine (2.1Moz) → Galaxy • Morning Star (1.4Moz) • Operation closed 2007 Ramelius’ history • Galaxy area focus of mining since 2011 • Plant refurbished 2012

  11. Slide 11: Operations - Mt Magnet gold mine

    Operations - Mt Magnet gold mine For personal use only Ramelius Resources Limited • Investor Presentation • February 2017 11

  12. Slide 12: Operations - Blackmans open pit

    For personal use only Operations - Blackmans open pit Ramelius Resources Limited • Investor Presentation • February 2017 12

  13. Slide 13: Operations - production & costs

    Operations - production & costs For personal use only Ramelius Resources Limited • Investor Presentation • February 2017 13

  14. Slide 14: Mine Life Extensions - Mt Magnet gold mine

    Mine Life Extensions - Mt Magnet gold mine • Gold mineralisation For personal use only  Banded Iron (BIF) hosted (Galaxy, Water Tank Hill)  Porphyry hosted (Milky Way)  Combination (Morning Star, Boomer) • Underground Resources (*not included in Life of Mine)  Morning Star (0.5Mt @ 4.7g/t for 79

  15. Slide 15: Mine Life Extensions - Water Tank Hill

    Mine Life Extensions - Water Tank Hill  Commenced November 2016, underground drilling planned for late 2017 For personal use only Ore Reserve Physicals June 2016 Mine Life 2 years Resource 105koz Ore Reserve 53koz Grade 5.0 g/t Recovery 92.0% PFS Financials June 2015 A$11.5M Up Front Capital (US$8.

  16. Slide 16: Mine Life Extensions - Morning Star targets

    Mine Life Extensions - Morning Star targets  Opportunity exists to grow current open pit Reserves & underground Resources For personal use only Historical Production • Mining ceased in July 2005 (gold price A$550/oz) • Multiple lodes, with geological understanding increasing with additional drillin

  17. Slide 17: Mine Life Extensions - Morning Star open pits

    Mine Life Extensions - Morning Star open pits Current open pit Ore Reserve For personal use only • Morning Star – 478,000kt @ 2.8g/t for 43koz (Mineral Resource of 1,770kt @ 1.8g/t for 103koz) • Numerous additional hits between Morning Star & Black Cat South pit, south of Black Cat pit & below both

  18. Slide 18: Mine Life Extensions - Morning Star underground

    Mine Life Extensions - Morning Star underground For personal use only Current u/g Mineral Resources Morning Star Upper • Nil Resources – New Target • 10m @ 6.56g/t (~80m from decline) Black Cat Deeps • Nil Resources – New Target • 4m @ 2.05g/t (undrilled zone) Morning Star Deeps • 528,000 tonnes @ 4

  19. Slide 19: Mine Life Extensions - Morning Star Deeps

    Mine Life Extensions - Morning Star Deeps For personal use only 2017 Plan • Current Resource 79koz (from 980–1,200mbs) • Exploration Target of 225-275koz @ 4-6g/t2  Based on 500ovm between 1,000–1,500mbs  Diamond drill rig on site, commenced 1st hole • Mine re-entry costs to be based on WTH actual

  20. Slide 20: Mine Life Extensions - Porphyry targets

    Mine Life Extensions - Porphyry targets For personal use only  Exploring for large, low strip ratio porphyry hosted deposits • Milky Way • Mineral Resource of 3,918kt @ 1.3g/t for 164koz • Ore Reserve of 1,875kt @ 1.3g/t for 78koz • Stellar & Stellar West • Mineral Resources of 1,271kt @ 1.6g/t for

  21. Slide 21: Operations - Vivien gold mine

    Operations - Vivien gold mine For personal use only  Resource upgrade January 2017, revised mine plan during this March 2017 Quarter 300-295 Bench Ramelius Resources Limited • Investor Presentation • February 2017 21

  22. Slide 22: Mine Life Extension - Vivien gold mine

    Mine Life Extension - Vivien gold mine  Almost in position to commence deeper drilling program For personal use only • Infill drilling completed • New resource model generated • Dec-16 Mineral Resource 854kt @ 7.2g/t for 198koz • (Jun-16 Mineral Resource 791kt @ 7.1g/t for 180koz) • Additional ounc

  23. Slide 23: Exploration

    For personal use only Exploration

  24. Slide 24: Exploration - project locations

    Exploration - project locations For personal use only Ramelius Resources Limited • Investor Presentation • February 2017 24

  25. Slide 25: Exploration - Tanami JV (NT)

    Exploration - Tanami JV (NT) → Ramelius 85% For personal use only • 1,700km2 of highly prospective geology • Tychean (ASX: TYK) free carried through to DTM • Strategic land holding within 100km of;  Newmont’s +20Moz Callie Gold Mine, and  Granites Treatment Plant • Highland Rocks - granted Decembe

  26. Slide 26: Significantly undervalued gold producer

    Significantly undervalued gold producer  RMS well below average EV/Production multiple based on 135,000 ounces in FY17 For personal use only  Discrepancy even larger at 150,000 ounces per annum Australian Gold Producers | FY17 Production Multiples $5,000 $4,000 Production Multiples (A$ per oz) $3,

  27. Slide 27: FY2017 key focus areas

    FY2017 key focus areas For personal use only • Extensional drilling at Mt Magnet (ongoing) & Vivien (Feb ‘17) Mine-life extensions  ~A$10M brownfields exploration in H2 FY2017 • Greenfields exploration follow up in the Tanami (Apr ‘17) • Accelerate commencement; Fast-track project  Water Tank Hill

  28. Slide 28: Appendices

    Appendices For personal use only Ramelius Resources Limited • Investor Presentation • February 2017 28

  29. Slide 29: Production Targets, Mineral Resources & Ore Reserves Note

    Production Targets, Mineral Resources & Ore Reserves Note For personal use only For detailed information relating to Mineral Resources and Ore Reserves see ASX Release (RMS) 30 September 2016, ‘Resources and Reserves Statement’ and ASX Release (RMS) 31 January 2017, ‘December 2016 Quarterly Activiti

  30. Slide 30: Mineral Resource Statement

    Mineral Resource Statement For personal use only For detailed information relating to Mineral Resources see ASX release (RMS) 30 Sept 2016, ‘Resources and Reserves Statement’. No material change has occurred. Ramelius Resources Limited • Investor Presentation • February 2017 30

  31. Slide 31: Ore Reserve Statement

    Ore Reserve Statement For personal use only For detailed information relating to Ore Reserves see ASX release (RMS) 30 Sept 2016, ‘Resources and Reserves Statement’. No material change has occurred. Ramelius Resources Limited • Investor Presentation • February 2017 31

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