St. Barbara Ltd. · ASX:SBM
St. Barbara — Casimir Capital 2nd Annual Australian Mining Conference 2012
42 slides from St. Barbara's conference presentation, Mar 26, 2012
Slide 1: Presentation to Casimir Capital Australian Mining Conference
St Barbara Limited ACN 009 165 066 Level 10, 432 St Kilda Road, Melbourne VIC 3004 Locked Bag 9, Collins Street East, Melbourne VIC 8003 Tel +61 3 8660 1900 Fax +61 3 8660 1999 www.stbarbara.com.au For personal use only Presentation to Casimir Capital Australian Mining Conference New York Attached i
Slide 2: About St Barbara Limited
About St Barbara Limited St Ba rba ra was established in 1969, and is one of Aus tralia’s mos t profi table ASX listed gold produces and expl orers . St Ba rba ra has three mines and two processing plants , a t Leonora and Southern Cross, in the For personal use only Eastern Goldfields region of Wes
Slide 3: Proven Performance, Creating Value
For personal use only Proven Performance, Creating Value Garth Campbell-Cowan, CFO Casimir Capital 2nd Annual Australian Mining Conference 26 March 2012 1
Slide 4: Forward statements
Forward statements For personal use only This presentation has been prepared by St Barbara Limited (“Company”). The This presentation has been prepared by the Company based on information material contained in this presentation is for information purposes only. This available to it and has not been
Slide 5: Outline
Outline For personal use only • St Barbara overview • Proven performance • Gwalia Mine – high quality asset • Growing value in the business • What to expect in 2H FY 12[1] • Appendices [1] FY 12 = financial year to 30 June 2012 Proven Performance, Creating Value – March 2012 3
Slide 6: St Barbara at a glance
St Barbara at a glance For personal use only • Australian gold producer and explorer • Australasian and SE Asia focus • FY 12 guidance: production 320,000-350,000 ounces • Ore Reserves 2.8 Moz (14.7 Mt @ 5.8 g/t Au) contained gold [1] • 2 operations, 3 mines, including Gwalia mine • Proven developme
Slide 7: Proven performance
For personal use only Proven performance Proven Performance, Creating Value – March 2012 5
Slide 8: Proven performance – translating production into profit
Proven performance – translating production into profit For personal use only Gold Production Underlying Profit Per Ounce [1] +64% 346 FY 08 to FY 11 258 211 239 231 63 157 154 1 -186 FY 08 FY 09 FY 10 FY 11 1H 1H FY 08 FY 09 FY 10 FY 11 1H 1H FY FY 12 12 FY 12 FY 12 koz A$M Financial years to 30 Ju
Slide 9: Profit by mine
Profit by mine * For personal use only Southern Cross Gwalia King of the Hills 53 Gwalia % 47 77% 37 56% 27 28 62% 17 14 12 34% 4 FY 09 FY 10 FY 11 1H 1H A$M FY FY 12 12 * Reportable segment profit before income tax Proven Performance, Creating Value – March 2012 7
Slide 10: Delivering cash flow – half on half
Delivering cash flow – half on half For personal use only Sales Revenue Cash Flow From Operations +44%* +65%* 94 249 187 173 60 57 1H FY 11 2H FY 11 1H FY 12 1H FY 11 2H FY 11 1H FY 12 A$M A$M Half year results Half year results * 1H FY12 1H FY11 * 1H FY12 1H FY11 Proven Performance, Creating Value
Slide 11: Delivering value per share
Delivering value per share For personal use only EPS Cash Flow From Operations Per Share $0.37 $0.36 $0.29 $0.21 $0.26 $0.14 $0.11 -$0.14 FY 10 FY 11 1H 1H FY 12 F* FY FY 12 12 FY 09 FY 10 FY 11 1H 1H A$ FY FY 12 12 * IRESS broker consensus 19 Mar 2012 A$ Shares adjusted for 6:1 consolidation Nov 20
Slide 12: Strong cash position – and growing
Strong cash position – and growing For personal use only • Net cash backing per share A$0.33 [1] Cash & Debt 110 • Debt to equity ratio < 1% [1] • Gross tax losses A$342M [2], not 79 expecting to pay tax for at least 2 years • Ability to fund exploration and potential development projects from cash
Slide 13: Gwalia Mine: high quality
For personal use only Gwalia Mine: • high quality • 8+ g/t Au [1] • 10+ year life [2] [1] At 30 June 2011, Ore Reserves of 6.9 Mt @ 8.9 g/t Au containing 2.0 Moz of gold. [2] Based on Ore Reserves. Proven Performance, Creating Value – March 2012 11
Slide 14: Gwalia Mine - high quality, long life, rich gold deposit
Gwalia Mine - high quality, long life, rich gold deposit For personal use only • Ore Reserves of 6.9 Mt at Gwalia 8.9 g/t Au containing 2.0 Moz of gold • Mineral Resources extended to 1,840 mbs, open to north, south and at depth • Indicative 10+ year mine life based on Ore Reserves • Forecast sustai
Slide 15: Growing value in the business
For personal use only Growing value in the business Proven Performance, Creating Value – March 2012 13
Slide 16: Increasing exploration activity 2H FY
Increasing exploration activity 2H FY 12 – targeting new discoveries to leverage value For personal use only • Drilling for new discoveries • 5,000+ km2 of prospective land • Targets planned to be drilled in 2H FY 12 Exploration 22 22 Total Total 12 11 Drilling Drilling FY 11 A$M FY 12 F Proven Perf
Slide 17: Regional strategies: Leonora
Regional strategies to leverage value from existing infrastructure For personal use only Leonora • King of the Hills successfully developed • Near mine and regional exploration for more options Proven Performance, Creating Value - March 2012 15 15
Slide 18: Regional strategies: Southern Cross
Regional strategies to leverage value from existing infrastructure For personal use only Southern Cross • Net cash generator • On-going drilling to build optionality • Strategic options being evaluated Proven Performance, Creating Value - March 2012 16 16
Slide 19: Exploration at East Lachlan, NSW
Exploration at East Lachlan, NSW -targeting copper-gold porphyry deposits For personal use only • Large and prospective land position • Encouraging results from first drilling program • Follow-up detailed gravity surveys of two areas largely completed • Interpretation of results underway • Subject t
Slide 20: What to expect in 2H FY
What to expect in 2H FY 12 For personal use only • Increased profitability and cash generation • Delivery of FY 12 Guidance • Disciplined capital management • On market share buy back implemented • Cash resources available to generate shareholder value • Creation of value opportunities • Leonora hoi
Slide 21: Appendices
Appendices For personal use only Proven Performance, Creating Value - March 2012 19
Slide 22: FY Guidance
FY 12 Guidance For personal use only King of Marvel Gwalia Total the Hills Loch Leonora Leonora S’thn Cross Gold koz 175-190 55-60 90-100 320-350 production Cash operating 1,170 [1] A$/oz 610-640 710-750 790-830 cost -1,220 Capex A$M 55-60[2] 20-25 10-15 85-100 [1] Non-IFRS measure, calculation in A
Slide 23: Sound first half FY
Sound first half FY 12 – real production growth, real profit growth For personal use only • Half on Half comparison (1H FY 12 vs 1H FY 11) • Production up 24% to 154koz • NPAT up 12% to A$47M • Underlying NPAT [1] up 86% to A$53M • EPS up 12% to A$0.14 • Cash flow from operations up 65% to A$94M • C
Slide 24: Board and management
Board and management - experienced, talented, capable For personal use only Experienced, independent Board • 6 directors • Extensive mining and public company experience • Mining, exploration, legal, financial expertise Experienced, capable management team • Revitalised team under new MD&CEO appoint
Slide 25: Board of Directors
Board Boardof Directors of Directors For personal use only S J Colin Wise Phillip C Lockyer Chairman – Non Executive Director– Non Executive Mr Wise is an experienced corporate lawyer, consultant Mr Lockyer is an experienced mining engineer and and company director with significant expertise in the
Slide 26: Executive Management
Executive Management Executive management For personal use only Tim Lehany Ross Kennedy Managing Director Executive General Manager Corporate and Chief Executive Officer Services / Company Secretary Tim joined St Barbara in March 2009, and has over 20 years Ross has been with St Barbara since 2004.
Slide 27: Disciplined capital management adding value
Disciplined capital management adding value For personal use only Capex* • Internal growth funded 119 from cash flows 93 • Decision on potential Gwalia hoisting shaft in Q4 FY12 • Decisions based on robust investment criteria • Capital management FY 11 FY 12 F ** reviewed regularly with the A$M Boar
Slide 28: Two gold processing plants and three mines diversify operating risk
Two gold processing plants and three mines diversify operating risk For personal use only Leonora Operations Southern Cross Operations Ore Reserves: Ore Reserves: 11.2 Mt @ 7.0g/t Au for 2.5 Moz 1,2 3.5 Mt @ 2.1g/t Au for 233 koz 1 Mineral Resources: Mineral Resources: 27.0 Mt @ 6.2g/t Au for 5.4 Mo
Slide 29: Gwalia - growing production, improving margins and returns
Gwalia - growing production, improving : . St Barbara margins and returns as grade increases UMiTeD Growing Gwalia Production Increasing Gwalia Grade Declining Cash Cost 175-190 9 8.0-8.5 git Au 134 6.3 g/t Au 109 765 610-640 FY 10 FY 11 FY 12F FY 11 FY 12F koz AG$/oz FY12F = Guidance ft see Remeasu
Slide 30: Reserves and production growth
Reserves and production growth For personal use only Reserves and Production 3,069 2,906 2,756 2,574 2,300 Reserves koz 335 [at year end] 258 239 231 Production koz [for year] 171 157 FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 F* 515,000 ounces of Indicated and Inferred Resources added in FY11 at Gwalia be
Slide 31: King of the Hills Mine
King of the Hills Mine For personal use only • Satellite underground mine • Successfully developed and commissioned May 2011 • Opportunity to fully use Gwalia mill capacity and generate increased cash flow • Production rate of 55,000 to 60,000 ounces p.a. • Life of 4 ½+ years [1] • Deposit open to t
Slide 32: Long life, high grade reserves
Long life, high grade reserves For personal use only 5,000 koz 7 6 4,000 5 3,000 4 3 2,000 2 1,000 1 0 0 Based on most recently disclosed company filings as at 10 February 2012 Proven Performance, Creating Value - March 2012 30
Slide 33: Gwalia Mine trend
Gwalia Mine trend For personal use only • Structural geology Drill targets Savannah review identified Open pit Harbour Lights outlines prospective targets close to Gwalia N Tower Hill • Drilling of priority targets planned in Gwalia Footwall FY 12 (subject to Leonora Central permits) : - Gwalia Nort
Slide 34: Strong institutional share register, wide broker coverage
Strong institutional share register, wide broker coverage For personal use only Top 100 Shareholding Structure Australia, 32% Private 7% USA, 28% Unallocated / not analysed 10% UK, 21% Institutions 83% Europe, 3% Asia, 3% Other / not analysed, 13% Analysis and geographic spread of Top 100 Shareholde
Slide 35: Strong institutional share register, wide broker coverage
Strong institutional share register, wide broker coverage For personal use only Significant Shareholders [1] Broker Research Coverage Argonaut Securities Troy Irvin M&G Investment Mgt 18.1% Baillieu Ray Chantry Franklin Resources 6.0% Citi Craig Sainsbury Hunter Hall 5.3% CLSA James Stewart Institut
Slide 36: Mineral Resources Statement
Mineral Resources Statement As at 30 June 2011* For personal use only Region Category Measured Indicated Inferred Total Project Tonnes Gold Grade Contained Tonnes Gold Grade Contained Tonnes Gold Grade Contained Tonnes Gold Grade Contained Gold Gold Gold Gold kt Au g/t koz kt Au g/t koz kt Au g/t ko
Slide 37: Ore Reserves Statement
Ore Reserves Statement As at 30 June 2011* For personal use only Region Category Proved Probable Total Tonnes Gold grade Gold Tonnes Gold grade Gold Tonnes Gold grade Gold Project kt Au g/t koz kt Au g/t koz kt Au g/t koz Leonora Gwalia Deeps 2,015 7.1 460 4,902 9.6 1,512 6,917 8.9 1,973 Tower Hill
Slide 38: Competent Persons Statement
Competent Persons Statement For personal use only References to Mineral Resources and exploration results presented in References to Ore Reserves presented in this document have been this document have been produced in accordance with The Australasian produced in accordance with The Australasian Cod
Slide 39: Non-IFRS Measures
Non-IFRS Measures For personal use only 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 and underlying net profit after tax. We believe tha
Slide 40: Non-IFRS Measures
Non-IFRS Measures For personal use only 31 Dec 11 30 Jun 11 31 Dec 10 30 Jun 10 30 Jun 09 NPAT to Underlying NPAT [1] A$000 A$000 A$000 A$000 A$000 Sales revenue 249,315 359,575 172,950 296,760 281,129 EBITDA (including significant items) 88,937 125,190 67,146 33,793 39,701 EBIT (including significa
Slide 41: Non-IFRS Measures
Non-IFRS Measures For personal use only 31 Dec 11 30 Jun 11 31 Dec 10 30 Jun 10 30 Jun 09 Significant items [1] A$000 A$000 A$000 A$000 A$000 Net fair value gains/(losses) on gold options (7,464) 12,946 9,641 (19,513) 1,515 Realised gain on derivates 635 525 - - - Profit on sale of Tarmoola processi
Slide 42: Investor Relations Enquires
Investor Relations Enquires For personal use only Ross Kennedy Executive General Manager Corporate Services E: ross.kennedy@stbarbara.com.au Rowan Cole General Manager Corporate Services E: rowan.cole@stbarbara.com.au T: +61 3 8660 1900 www.stbarbara.com.au ASX: SBM Proven Performance, Creating Valu
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