St. Barbara Ltd. · ASX:SBM
St. Barbara — H1 FY2023 Earnings Presentation
36 slides from St. Barbara's earnings presentation, Feb 22, 2023
Slide 1: Presentation on the FY23 Half Year Report and audio webcast
22 February 2023 Presentation on the FY23 Half Year Report and audio webcast Mr Dan Lougher, Managing Director & CEO, will brief analysts and investors on the Half Year Report FY23 at 10:00 am Australian Eastern Daylight Time (UTC + 11 hours) on Wednesday 22 February 2023. Analysts and investors can
Slide 2: FY23 Half Year Presentation
FY23 Half Year Presentation Dan Lougher Managing Director and CEO Lucas Welsh Chief Financial Officer 22 February 2023
Slide 3: Agenda
Agenda • Introduction and safety • H1 FY23 overview • Financial results • Creating a leading Australian gold house • Reserves and Resources update • Q&A
Slide 4: Disclaimer
3 Disclaimer This presentation has been prepared by St Barbara Limited (“Company”). The material contained in this presentation is for information purposes only. This presentation is not an offer or invitation for subscription or purchase of, or a recommendation in relation to, securities in the Com
Slide 5: Acknowledgement of Country
4 Acknowledgement of Country We at St Barbara acknowledge the First Nations people of the ancestral lands on which we operate in Australia, Canada and Papua New Guinea. We pay our respects to all First Nations people, and to Elders past, present, and emerging.
Slide 6: Safety always
5 Safety always TOTAL RECORDABLE INJURY FREQUENCY RATE (TRIFR)1 5.0 4.6 4.7 3.9 3.4 3.0 2.1 FY18 FY19 FY20 FY21 FY22 Q1 FY23 Q2 FY23 1. Total Recordable Injury Frequency Rate (12 month avg.), total recordable injuries per million hours worked Atlantic Operations Emergency Response Team confined spac
Slide 7: H1 FY23 overview
H1 FY23 overview
Slide 8: H1 FY23 snapshot
7 H1 FY23 snapshot AISC • Gold production of 125koz at AISC1 of $2,576 per (A$/oz) ounce 2,576 • Statutory loss $(407)M 2,124 Underlying loss $(9)M 1,605 1,641 1,539 1,391 1,349 • $372M post tax non-cash impairments at Atlantic and Simberi • Ore Reserve grown 13% to 6.5Moz and Mineral Resource incre
Slide 9: Financial results
Financial results Chief Financial Officer – Lucas Welsh
Slide 10: Financial overview of H1 FY23
9 Financial overview of H1 FY23 Statutory NPAT Underlying NPAT1 Underlying EBITDA1 (A$ M) (A$ M) (A$ M) (407) (9) 44 Underlying Cash flow from Net Debt1,2 EBITDA Margin1 operating activities (A$ M) (%) (A$ M) 14 6 117 1. Non-IFRS financial measures, the details of these are set out in the Supplement
Slide 11: Significant Items
10 Significant Items Significant Items ($M) H1 FY23 Atlantic impairment ($420M pre-tax) Call option fair value movements (1) • Pause in permitting for Beaver Dam for further Business development costs (2) discussion and consequent care and maintenance costs at Touquoy Expected credit loss (23) • Inc
Slide 12: Lower production at Leonora driving underlying net profit result
11 Lower production at Leonora driving underlying net profit result Movement in underlying net profit ($M) 15 9 (9) 7 29 36 7 0 (29) (83) H1 FY22 Gross Gross Gross Explor’n Corp Costs D&A Finance & FX Income Tax H1 FY23 Profit Profit Profit & Royalties Expense Leonora Simberi Atlantic
Slide 13: Cash position impacted by lower production
12 Cash position impacted by lower production • $4.7M Operating cash contribution after growth • $20M drawn down from debt facility during January capex 2023 in light of lower than expected production from Gwalia • Operating cash flows impacted by lower production at Leonora and Atlantic 3 2 (13) 99
Slide 14: Creating a leading Australian gold house
Creating a leading Australian gold house Merger of St Barbara and Genesis to form Hoover House Demerger of St Barbara’s non-Leonora assets to form Phoenician Metals
Slide 15: Creating a leading Australian gold house
14 Creating a leading Australian gold house Logical regional consolidation - 100% focus on the +65Moz Leonora District1 • 14.7Moz Mineral Resources / 3.1Moz Ore Reserves2 • Operational flexibility via unique optimisation of mines and mills • “Capital-light” business - A$400m eliminated / deferred3 •
Slide 16: Focus on Leonora – right ores in the right mills
15 Focus on Leonora – right ores in the right mills Processing Ore source Current size1 Benefits to Hoover House shareholders facility Resource: 27.6Mt @ 5.5g/t for 4.9Moz The addition of Ulysses Underground enables “quality > quantity” mining strategy Gwalia Underground PRODUCING Reserve: 12.6Mt @
Slide 17: Phoenician Metals overview
16 Phoenician Metals overview Phoenician Metals to realise the value of non-core assets for St Barbara shareholders Phoenician Metals is to be established with: ▪ High calibre management team dedicated to extracting value from Phoenician Metals ▪ 5.9Moz in Mineral Resources / 3.5Moz in Ore Reserves
Slide 18: Phoenician Metals strategic focus
17 Phoenician Metals strategic focus Corporate Atlantic operations Establish a distinctive corporate culture and identity focused on value Actively manage investment portfolio to enhance value Exploration of Back Creek (NSW) project Atlantic Prioritise development of Fifteen Mile Stream and target d
Slide 19: Reserves and Resources update
Reserves and Resources update
Slide 20: Ore Reserves increased by 0.8Moz
19 Ore Reserves increased by 0.8Moz Movement in Gold Ore Reserves (koz) 6,540 97 322 +13% 5,784 560 (149) 69 (89) (54) Dec-21 Gwalia Gwalia Simberi Atlantic Tower Hill Aphrodite Zoroastrian Dec-22 depletion design depletion depletion changes
Slide 21: 2.9Moz increase in Mineral Resources since December 2021
20 2.9Moz increase in Mineral Resources since December 2021 Movement in Gold Mineral Resources (koz) 16,355 3,021 +21% 13,494 (132) (131) (109) (130) 145 (141) 386 (48) Dec-21 Gwalia Gwalia Simberi Simberi Atlantic Gwalia Gwalia Harbour Bardoc Dec-22 depletion density optimal depletion depletion Sha
Slide 22: Preparing for regional consolidation
21 Preparing for regional consolidation Creating a leading Australian gold company – Hoover House Realising value of overseas assets – Phoenician Metals Remain on target to achieve bottom end FY23 guidance Leading Ore Reserve and Mineral Resource position continues to grow
Slide 23: St Barbara
St Barbara
Slide 24: Supplementary slides
Supplementary slides
Slide 25: Exploration results
24 Exploration results The information in this presentation that relates to Exploration Results is based on information compiled by Dr Roger Mustard, who is a Member of The Australasian Institute of Mining and Metallurgy. Dr Mustard is a full-time employee of St Barbara and has sufficient experience
Slide 26: Non-IFRS measures
25 Non-IFRS measures We supplement our financial information reporting determined under International Financial Reporting Standards (IFRS) with certain non-IFRS financial measures, including cash operating costs. We believe that these measures provide meaningful information to assist management, inv
Slide 27: Investor Relations enquiries
Investor Relations enquiries Chris Maitland Kasun Liyanaarachchi Head of Investor Relations Manager - Investor Relations T: +61 3 8660 1914 T: +61 8 9380 7854 M: +61 477 120 070 M: +61 499 538 252 E: chris.maitland@stbarbara.com.au E: kasun.liyanaarachchi@stbarbara.com.au E: info@stbarbara.com.au Sc
Slide 28: Appendix A – Pro-forma snapshot as at December 2022
27 Appendix A – Pro-forma snapshot as at 9 December 2022 Pro-forma entities St Barbara Genesis Equity raising Hoover House Phoenician Share price A$ $0.65 $1.20 $1.20 30-day VWAP A$ $0.61 $1.24 No. ordinary shares1 M 817 410 229 Market Capitalisation A$M 531 490 275 % shareholding in MergeCo % 37.8%
Slide 29: Appendix B – Dacian update
28 Appendix B – Dacian update Genesis owns approximately 80.1% of Dacian Dacian owns strategic 2.9Mtpa processing plant in the heart of the Leonora district Dacian strategic review continues with Dacian seeking expressions of interest for access to Mt Morgans Mill from ~March quarter of CY2023 throu
Slide 30: Appendix C – Combined Ore Reserves
29 Appendix C – Combined Ore Reserves Hoover House Ore Reserves by deposit Proved Probable Total Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Deposit (000’s) (g/t Au) (000’s) (000’s) (g/t Au) (000’s) (000’s) (g/t Au) (000’s) St Barbara1 Gwalia 2,121 5.1 345 10,525 5.0 1,696 12,647 5.0
Slide 31: Appendix C – Combined Ore Reserves
30 Appendix C – Combined Ore Reserves Phoenician Metals Ore Reserves by deposit Proved Probable Total Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces Deposit (000’s) (g/t Au) (000’s) (000’s) (g/t Au) (000’s) (000’s) (g/t Au) (000’s) St Barbara1 Simberi Oxide 2,091 1.3 86 5,488 1.1 194 7,
Slide 32: Appendix D – Combined Mineral Resources
Appendix D – Combined Mineral Resources 31 Hoover House Mineral Resources by deposit Measured Indicated Inferred Total Deposit Tonnes (000’s) Grade (g/t Au) Ounces (000’s) Tonnes (000’s) Grade (g/t Au) Ounces (000’s) Tonnes (000’s) Grade (g/t Au) Ounces (000’s) Tonnes (000’s) Grade (g/t Au) Ounces (
Slide 33: Appendix D – Combined Mineral Resources
32 Appendix D – Combined Mineral Resources Phoenician Metals Mineral Resources by deposit Measured Indicated Inferred Total Tonnes Grade (g/t Ounces Tonnes Grade (g/t Ounces Tonnes Grade (g/t Ounces Tonnes Grade (g/t Ounces Deposit (000’s) Au) (000’s) (000’s) Au) (000’s) (000’s) Au) (000’s) (000’s)
Slide 34: Appendix E – Production target material assumptions
33 Appendix E – Production target material assumptions Pursuant to Listing Rule 5.16, Genesis and St Barbara (as applicable) provide the following information in respect of the material assumptions on which the “300koz pa” production target is based. This information also applies in respect of the “
Slide 35: Appendix E – Production target material assumptions
Appendix E – Production target material assumptions 34 • Mining – Open pit For the open pit production targets, conventional mechanised open pit mining equipment utilising hydraulic excavators and rear dump trucks remains and continues to be the selected mining method. In terms of open pit wall angl
Slide 36: St Barbara
St Barbara