Slide 1: Cowal Site Visit
COWAL SITE VISIT For personal use only C R A I G FAW C E T T – G E N E R A L M A N A G E R 4 APRIL 2019
Slide 2: Forward Looking Statement
FORWARD LOOKING STATEMENT For personal use only These materials prepared by Evolution Mining Limited (or “the Company”) include forward looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as “may”, “will”, “expect
Slide 3: A Clear and Consistent Strategy
A CLEAR AND CONSISTENT STRATEGY For personal use only Focused portfolio of 6 – 8 assets Upgrade the quality of our asset portfolio Reduce costs and grow free cash flow per share Extend reserve life Ernest Mt Carlton Henry Deliver consistent returns to shareholders Mt Rawdon Cracow Mungari Cowal A gl
Slide 4: Evolution Cowal Contribution – Snapshot to Evolution Group
EVOLUTION COWAL CONTRIBUTION SNAPSHOT TO EVOLUTION GROUP For personal use only ASX code EVN Production Operating Cash Flow H1 FY19 (ounces) H1 FY19 (A$M) Market capitalisation(1) A$6.1B Average daily turnover(2) A$40M Cowal Cowal Net debt(3) A$41M 29% 31% Payout of 50% of Dividend policy after tax e
Slide 5: Cowal – Our Cornerstone Asset
COWAL – OUR CORNERSTONE ASSET For personal use only ▪ Sustainable, reliable, low-cost production ▪ Implementing a pathway to 300kozpa ▪ Exploration success delivering transformational, organic growth ▪ Under-explored region offering immense untapped potential 5
Slide 6: Asset Optimisation Since Acquisition
ASSET OPTIMISATION SINCE ACQUISITION For personal use only 878koz at an Gold production1 average AISC A$852/oz Net mine cash flow1 A$468M or A$533/oz Mine life extended by 8 years 2024 → 2032 Ore Reserves increased by 2.4Moz2 1.6Moz → 3.0Moz Plant throughput increased by 800ktpa prior to 7.2Mtpa → 8
Slide 7: Cowal – A World Class Deposit
COWAL – A WORLD CLASS DEPOSIT For personal use only Approximately 40km north-east of West Location Wyalong in New South Wales, Australia Mining Lease (ML 1535 & ML561) encompasses an area of 2,886 hectares and Property lies within Evolution’s total property holding of ~14,200 hectares Commencement M
Slide 8: Focused on Safety
FOCUSED ON SAFETY For personal use only Total recordable injury frequency (TRIF) of 7.66 Cowal TRIF 12 MMA - Comparison Graph Key initiatives to improve safety performance 7.88 Safety Superintendent and Sustainability Manager 6.28 have commenced 7.66 ◼ Contractor competencies tracking system in 4.26
Slide 9: Responsible Mining
RESPONSIBLE MINING For personal use only Meeting strict environmental compliance obligations ◼ ISO14001 certified ◼ International Cyanide Management Institute certification ◼ Annual independent audits and internal compliance reviews ◼ Lake Cowal Conservation Centre environmental studies, monitoring
Slide 10: Permitting Pathway to 300kozpa
PERMITTING PATHWAY TO 300KOZPA For personal use only Permitting required Mod 12 Approved Mod 13 Approved Mod 14 Approved to unlock further potential ▪ Operations ▪ Operations ▪ Underpins current ▪ Permitting of permitted to 2024 extended to 2032 LOM underground mine with plant ▪ Approval of Stage ▪
Slide 11: Pathway to 300kozpa – Stage H cutback and Float Tails Leach
PATHWAY TO 300KOZPA For personal use only Stage H cutback on track ▪ Delivers over 1.3 million ounces from E42 open pit ▪ Planned material movement ahead of schedule ▪ Capital stripping scheduled for completion in FY21 Float Tails Leach project Stage H cutback ▪ Commissioned in March 2019 quarter ▪
Slide 12: Pathway to 300kozpa – Integrated Waste Landform and plant expansion
PATHWAY TO 300KOZPA Bulk earthworks progress For personal use only Integrated Waste Landform (IWL) ▪ Tailings solution to support plant expansion to 9.8Mtpa ▪ Financial savings of ~$80 million over Life of Mine ▪ More robust structure and ability to facilitate future expansions in one final landform
Slide 13: Pathway to 300kozpa – GRE46 Underground Exploration Decline
PATHWAY TO 300KOZPA For personal use only GRE46 Underground exploration decline - organic growth enabler ▪ Enables resource definition and exploration drilling of GRE46 and Dalwhinnie ▪ Permitted December 2018 quarter ▪ Contract awarded to Pybar ▪ Development commenced March 2019 ▪ New equipment (<5
Slide 14: Tracking Productivity Improvement
TRACKING PRODUCTIVITY IMPROVEMENT For personal use only Productivity Improvement Benefits (A$M) Key Projects in H1 FY19 ▪ Mining 3.0 ▪ Reduced blasting explosives consumption 2.5 ▪ Reduced cost of haul truck tyres ▪ Processing operations 2.0 ▪ Reduced flocculants cost ▪ Reduce Cyanide destruct cost
Slide 15: Increasing Plant Throughput
INCREASING PLANT THROUGHPUT For personal use only Tonnes per hour 1,050 1,025 1,000 975 950 925 900 875 850 Production (Tonnes per hour) Series1 15
Slide 16: Innovation
INNOVATION For personal use only GlyCat™ ▪ Technology that uses glycine and cyanide during the cyanidation process of gold ore ▪ Cost savings through significant reduction in cyanide consumption ▪ Fast tracked glycine lab trials involving leach and float test to commence with Mining and Process Solu
Slide 17: Discovery
DISCOVERY For personal use only Driving transformational growth ▪ Since March 2018 site visit: ▪ Maiden underground Mineral Resource at GRE46 of 5.9Mt at 3.17g/t Au for 603koz ▪ Discovered Dalwhinnie mineralisation ▪ Commitment to develop an exploration decline to further delineate underground resou
Slide 18: Regional Setting
REGIONAL SETTING For personal use only ▪ World class gold-copper geologic setting ▪ Large under-explored landholding in the Junee- Narromine Belt of the Macquarie Arc Volcanics ▪ Multiple target styles: ▪ Polymetallic epithermal vein deposits (eg E42, GRE46) ▪ Porphyry copper-gold deposits (alkalic
Slide 19: Near Mine Resources
NEAR MINE RESOURCES For personal use only E46 Resource 172koz E42 Galway Regal, E46 Open Pit Reserves 3.0Moz Resource 486koz Resource 4.1Moz Past Production 2.8Moz GRE46 UG Total E42 Endowment Resource >6Moz 604koz E41W Resource 295koz E41E Resource December 2017 235koz Resource 5.8Moz Au Reserves 3
Slide 20: E42 and GRE46 Results
E42 AND GRE46 RESULTS 2 kilometres For personal use only Planned exploration decline 6.0(4.2)@10.1 1535DD342A Stage G 19.0(11.7)@6.7 3.2(2.1)@29.1 1.6@58.2 current surface 1535DD348A 1535DD348A 1535DD324 10.0(7.8)@9.5 Stage H final pit shell 1535DD352A Dec 2017 46.0(27.2)@7.8 11.0(5.2)@6.5 1535DD348
Slide 21: East Girral Prospect
EAST GIRRAL PROSPECT For personal use only East Girral (100% EVN) ▪ 15km west of E42 Main Target ▪ Large 7km long geochemical gold anomaly Area identified in aircore drilling ▪ Coincident pathfinder results reinforcing target quality ▪ Awaiting full results from last phase of aircore drilling ▪ New
Slide 22: Discovery Objectives
DISCOVERY OBJECTIVES For personal use only ▪ Discover additional high grade feed to displace lower grade open pit ore ▪ Find a standalone operation or a deposit of sufficient size to support a major plant expansion ▪ Find a copper-gold porphyry deposit as a standalone or partner for Marsden which co
Slide 23: Delivering Pathway to 300kozpa
DELIVERING PATHWAY TO 300KOZPA For personal use only Underground Integrated Exploration Waste Decline Plant Landform 300KOZPA+ Expansion Stage H Cutback Float Tails Leach 250KOZPA 23
Slide 24: Key Takeaways
KEY TAKEAWAYS For personal use only Current Ore Reserves and mine plan to 2032 Development of underground exploration decline commenced Projects underway to achieve a consistent production rate in excess of 300kozpa for 20+years 24
Slide 25: Appendix
For personal use only APPENDIX
Slide 26: Cowal Dec 2017 Mineral Resources and Ore Reserves
COWAL DEC 2017 MINERAL RESOURCES AND ORE RESERVES EVOLUTION 2017 GOLD ORE RESERVES For personal use only Cowal Gold Mineral Resources - December 2017 Measured Indicated Inferred Total Resource Mineral Resource Tonnes Grade Tonnes Grade Tonnes Grade Tonnes Grade Cont. Cont. Metal Cont. Metal Cont. Me
Slide 27: History of Cowal
HISTORY OF COWAL For personal use only 1988 2000 2002 2006 2015 2017 2019 North Limited North Limited is Homestake Mining First gold is Evolution Mining Mine life is extended Underground decline undertakes extensive acquired by Rio merges with Barrick poured in April acquires Cowal Gold to 2032 comm
Slide 28: Near Mine Resource Development – Marsden
NEAR MINE RESOURCE DEVELOPMENT - MARSDEN For personal use only ◼ Provides additional long term optionality ◼ Acquired from Newcrest in August 2016 ◼ Pre-feasibility Study ◼ Core across key sections re-logged ◼ Re-estimation of Resource model ◼ Key considerations ◼ Ore processing ◼ Detailed design an
Slide 29: Process Equipment
PROCESS EQUIPMENT For personal use only ◼ Power supplied by AGL ◼ Mineral liberation/recovery ◼ Crushing ◼ Method: flotation, regrind, CIL of concentrate ◼ Primary crushing: Metso 54-75 Superior MK- and Float tails ◼ Equipment: 2 x SK1200 and 10 x OK200TC II gyratory crusher (flotation), Metso Verti
Slide 30: Process Flowsheet
PROCESS FLOWSHEET Milling Cyclones Stockpile Pebble Flash Flotation For personal use only Ore Cells (covered) Crushers Feed Primary Crusher SAG Mill Ball Mill Flotation Cells FTL Thickener Flotation Tail CIL Cyanide Regrind Deslime Destruct Cyclones Cyclones Reactor LF Thickener TSF Concentrate CIL
Slide 31: Mining Fleet
MINING FLEET ▪ ▪ For personal use only Haulage/mine trucks Shovels/excavators/loaders − 16 x Cat 789C Dump Trucks − 1 x Liebherr 9400 Excavator − 2 x Cat 785 Dump Trucks − 1 x Liebherr 994B Excavator ▪ Drilling equipment − 1 x Hitachi EX3600 Excavator − 5 x Atlas Copco D65 (Hired) − 1 x Hitachi EX12
Slide 32: Safety, Health and Wellness Culture
SAFETY, HEALTH AND WELLNESS CULTURE For personal use only Project Arrive Alive ▪ Fatigue management identified as a major operational risk ▪ Industry leading fatigue management policy and practices developed ▪ Strong emphasis on education and awareness to enable self-regulation ▪ Enhancement of rost
Slide 33: For personal use only
For personal use only Evolution MIINTINE