Sundance Resources — Troy Resources — Diggers & Dealers Conference 2014
25 slides from Sundance Resources's conference presentation, Aug 6, 2014
Slide 1: Diggers & Dealers Conference
Diggers & Dealers Conference Kalgoorlie 6 August 2014
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Troy Resources Limited (Troy). Summary of information: This presentation contains general and background information about Troy’s activities current as at the date of the presentation and should not be considered to be comprehensive or to comprise al
Slide 3: Background
Background • Listed on ASX in 1987 as an explorer, TSX in 2008. • 195M shares on issue. • Graduated to miner in 2000 with the Sandstone Mine in WA. • Early mover into South America opening Sertão in 2002. • Today two operating gold mines: • Andorinhas, Para State, Brazil • Casposo, San Juan Province
Slide 4: Our strategy stays the same
Our strategy stays the same • Focus on high grade. • In prospective ground where we can add ounces. • Start with small scalable plant. • Use second hand equipment where possible. • Minimise capex. • Get into production quickly and use cash flow to expand and explore. 4 Troy Resources Limited
Slide 5: The strategy stays the same… …but the Company has evolved and grown
The strategy stays the same… …but the Company has evolved and grown Sandstone, Western Australia: Au - O/C Sertao, Brazil: Au - O/C Andorinhas, Brazil: Au O/C & UG Casposo, Argentina: O/C & UG Au & Ag, Merrill Crowe 5 Troy Resources Limited
Slide 6: Company Overview
Company Overview Market Statistics Hedging (to April 2015) Oz Price (US$/oz) Share Price (on ASX) close 31 July A$ 0.795 Gold 14,000 $1,300 Shares on Issue m 195.1 Silver 270,000 $19.46 Market Capitalisation A$m 155.1 Silver 1,260,000 $19.40 Cash (30 June 2014)1 A$m 43.2 New Debt Facility Debt (30 J
Slide 7: Andorinhas Operations
Andorinhas Operations • FY2014: 31,205z gold at C1 Cash Cost US$856/oz gold. • June Qtr 2014: C1 Cash Cost of US$893/oz and AISC of US$1,165/oz. • Underground Mine nearing the end of its life. • New open pit permitted extending mine life through 2015. • Guidance FY2015: Up to 30,000oz Au. • Iron ore
Slide 8: Casposo Operational Highlights
Casposo Operational Highlights • FY2014: 62,742oz gold at C1 cash cost of US$390/oz gold net of 2.48Moz silver credits (by- product). • FY2014: Record annual gold equivalent production at Casposo – up 9.0% to: 101,734oz Au_Eq at C1 Cash Cost of US$735/oz Au_Eq (co-product). • June Qtr 2014: C1 Cash
Slide 9: Casposo Underground Mine Operational Status
Casposo Underground Mine Operational Status • Change to shanty back profile in the sill drives. • Increased use of cable bolts to secure the walls. • Shotcrete used where required. • Stope mining sequence being revised to allow for cemented rock fill. • Increased focus: – Development of smooth wall
Slide 10: Casposo Near Mine Exploration Potential Along Strike to Southeast
Casposo Near Mine Exploration Potential Along Strike to Southeast 10 Troy Resources Limited
Slide 11: Brownfields Exploration Targets to the Northwest
Brownfields Exploration Targets to the Northwest 11 Troy Resources Limited
Slide 12: Karouni Project Development Highlights
Karouni Project Development Highlights • Completion of new up to A$100M debt facility that finalises the funding requirements for Karouni. Tranche A - A$70M immediately available, Tranche B A$30M - subject to conditions precedent. • Site preparation work on going. • All mobile equipment has been ord
Slide 13: Preliminary Feasibility Study – Open Cut Project Highlights
Preliminary Feasibility Study – Open Cut Project Highlights (assuming US$1250/oz gold) • Three year open pit mine life with annual average gold production of 101,000 ounces. • Conventional CIL plant and gravity gold recovery treating a nominal 1Mtpa. • Ore tonnes sourced: Smarts - 68% and Hicks - 32
Slide 14: PFS Production Schedule and Mill Grade
PFS Production Schedule and Mill Grade 14 Troy Resources Limited
Slide 15: Proposed Site Infrastructure Plan
Proposed Site Infrastructure Plan 15 Troy Resources Limited
Slide 16: Karouni – Smarts Open Cut Development Plan
Karouni – Smarts Open Cut Development Plan The Smarts Pit is expected to produce 1,774,000 tonnes of plant feed at 4.70g/t gold, have a mining strip ratio of 9.6:1 and be mined to a depth of 120m. 16 Troy Resources Limited
Slide 17: Karouni Scoping Study PEA Vs Open Cut PFS
Karouni Scoping Study PEA Vs Open Cut PFS • Jan 2014 - Preliminary Economic Assessment (PEA) / JORC Scoping Study considered both the open cut and underground mining of the Smarts and Hicks Indicated and Inferred Resources. • April 2014 - we reported the PFS would be split into two parts with the Op
Slide 18: Smarts Underground Target - A Work in Progress
Smarts Underground Target - A Work in Progress 18 Troy Resources Limited
Slide 19: Smarts - New Generalised Mineralisation Model
Smarts - New Generalised Mineralisation Model • Infill drilling of Smarts Deeps confirmed both lithological and structural control to mineralisation: • Hangingwall gold in lithic tuff/ metasediments. • Footwall gold in metasediments. • Shear gold in mafic volcanics. 19 Troy Resources Limited
Slide 20: Brownfield Targets – Within Trucking Distance of Proposed Plant Site
Brownfield Targets – Within Trucking Distance of Proposed Plant Site 20 Troy Resources Limited
Slide 21: Deposits Locations on Geology with Targets and Ground Magnetics Grid
Deposits Locations on Geology with Targets and Ground Magnetics Grid 21 Troy Resources Limited
Slide 22: Brownfields Drilling has Commenced
Brownfields Drilling has Commenced 22 Troy Resources Limited
Slide 23: Summary
Summary Karouni: • Project is fully funded with development well under way – First gold expected before the end of FY2015. • Brownfields drilling commenced at Karouni. • Infill drilling of Smarts Underground Target in progress. Casposo: • Underground exploration drilling focused on extensional targe
Slide 24: Thank You
WWW.TROYRES.COM.AU TROY RESOURCES LIMITED THANK YOU
Slide 25: Qualifying Statements
Qualifying Statements Competent Person’s Statement Karouni The information in this presentation that relates to Exploration Results, Mineral Resources or Ore Reserves for the Karouni project is based on, and fairly represents, information and supporting documentation prepared by Mr Peter J Doyle, Vi