Focus Minerals Ltd · ASX:FML
Focus Minerals — ASX Spotlight Conference, New York 2012
25 slides from Focus Minerals's conference presentation, Mar 1, 2012
Slide 1: Driving Sustainable Profitable Production
FFT:FZA ASX:FML FOCUS MINERALS LIMITED Driving Sustainable Profitable Production For personal use only Focus’ 1.2Mtpa Three Mile Hill processing plant in Coolgardie, WA ASX Spotlight Conference, New York ASX:FML Thursday 1st March 2012 focusminerals.com.au
Slide 2: Disclaimer and Competent Person's Statement
Disclaimer and Competent Person’s Statement This presentation is not a prospectus nor an offer for securities in any jurisdiction nor a securities recommendation. For personal use only The information in this presentation is an overview and does not contain all information necessary for investment d
Slide 3: Focus Minerals, A Dynamic Australian Gold Producer
Focus Minerals, A Dynamic Australian Gold Producer For personal use only 4 mines across Australia’s 2 largest gold producing regions On track to 175,000oz* of Gold in FY 2012 4.3Moz* Resource | 623,000oz* Reserve. Projected revenue of $250M* in FY 2012 * Based on 100% of Laverton production. Revenue
Slide 4: Reputation for Mining Success
Reputation for Mining Success For personal use only Focus has a reputation for taking projects into production First Company to Successfully Commercialise Coolgardie Turning Around Laverton Gold Project Recommissioned & Grew Recommissioned 1.2Mtpa Built 2 new mines at Acquired Crescent Gold in 2
Slide 5: Delivering Strong Production Growth
Delivering Strong Production Growth On track to deliver 175,000oz of gold in FY 2012 For personal use only Production Growth 250,000 200,000oz 200,000 175,000oz* 150,000 Ounces 100,000 62,296oz 72,830oz 50,000 41,401oz 4,456oz - FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 Tindals U/G Tindals O/P The Mount L
Slide 6: Now a Leading Australian Gold Producer
Now a Leading Australian Gold Producer 5th largest primary ASX listed Australian focused gold producer For personal use only On track to deliver 46,000oz* in March Quarter Dec. 11 Quarter Production 579,873 140000 120000 100000 ounces 80000 60000 40000 20000 0 * Based on 100% of Laverton production
Slide 7: Strong Operating Platform
Strong Operating Platform Early Stage Development For personal use only at Empress open pit 8
Slide 8: Strategic Operating Base
Strategic Operating Base Gold Production from Australia’s 2 largest gold producing regions: For personal use only Laverton Gold Project Wallaby / Granny Smith • Large Scale open pit Sunrise Dam mining • 1,200 sq km exploration 250km Coolgardie Region • 3 x Operating Mines • 2 x major exploration pro
Slide 9: Laverton Region
Laverton Region Large Scale multiple open pit operations producing at 100,000oz pa For personal use only Fish Mary Mac Hill ROM Pad Apollo 10
Slide 10: Crescent Acquisition Has Been a Game Changer
Crescent Acquisition Has Been a Game Changer For personal use only Transformative - Acquisition of Laverton Operations Doubled has completely transformed the Resource metrics of FML Bonus Tripled 1.5Mtpa Reserves Value Accretive mill - $59m in scrip for 100,000oz pa of production Laverton Gold Proje
Slide 11: Laverton -> Turnaround in Progress
Laverton -> Turnaround in Progress Invested $10m to recapitalise For personal use only Built 3 new production centres Mined record ounces – 36,000oz Dec Quarter On path to consistent production at 25,000oz per Quarter Mined Tonnes & Ounces 45,000 1,000,000 40,000 900,000 Takeover point 35,000 800,00
Slide 12: Laverton -> Driving to Production Stability & Profitability
Laverton -> Driving to Production Stability & Profitability For personal use only Ounces Mined Vs Cash Costs Production stability will drive 45,000 1,800 consistency 40,000 1,600 Reduced cash costs $130/oz. 35,000 1,400 in last 2 quarters 30,000 1,200 Targeting $1,250/oz. near Ounces 25,000 1,000 AU
Slide 13: Laverton -> Opportunity to Add Resources Quickly
Laverton -> Opportunity to Add Resources Quickly 381,000oz in reserve; 2.0Moz in resource - taken from 1.5 year mine life to 3 years since takeover For personal use only Multiple mineralised shear zones including 30km strike on Chatterbox shear 1KM 14
Slide 14: Laverton -> Massive Exploration Upside
Laverton -> Massive Exploration Upside Added 100,000oz at Apollo from a few months drilling – Large gaps in known resources For personal use only 15
Slide 15: Coolgardie Region operating mines + 1.2Mtpa mill
Coolgardie Region 3 operating mines + 1.2Mtpa mill For personal use only Tindals Underground Tindals Open Pits The Mount Underground Three Mile Hill Processing Plant 1.2 Mtpa Three Mile Hill Plant 16
Slide 16: Coolgardie -> Delivering Solid Production Profile
Coolgardie -> Delivering Solid Production Profile Stable production between 22-25,000oz For personal use only Coolgardie Production 300,000 30,000 250,000 25,000 Addition of two new mines 200,000 20,000 Tonnes Ounces 150,000 15,000 100,000 10,000 50,000 5,000 - - Dec 09 Q Mar 10 Q Jun 10 Q Sep 10 Q
Slide 17: Coolgardie -> Stable Cash Operating Costs
Coolgardie - > Stable Cash Operating Costs Stable cash operating costs between AUD$900/oz. -$1,100/oz. For personal use only Strong cash flow generation with gold at AUD$1,650/oz. Increasing Cash Margin 1,800 25,000 1,600 1,400 20,000 AU Dollars 1,200 Ounces 15,000 1,000 800 10,000 600 400 5,000 200
Slide 18: Coolgardie -> Sustainable for 5-10 Years
Coolgardie - > Sustainable for 5-10 Years For personal use only Significant Opportunity for Resource Growth: Added 600,000oz of resource (2.24Moz) Added 200,000oz of reserves (242,000oz) Whilst mining over 200,000oz of gold Only focused in 10 sq km project area Resource & Reserve Growth 2,500 300,00
Slide 19: Regional Exploration: Treasure Island
Regional Exploration: Treasure Island World class, project on Boulder-Lefroy fault – Australia’s biggest gold system For personal use only 20
Slide 20: Regional Exploration: Treasure Island
Regional Exploration: Treasure Island Similarities to 15Moz St. Ives to the north For personal use only 21
Slide 21: Strong Production & Exploration Pipeline
Strong Production & Exploration Pipeline The combined group has a strong portfolio of expanding mine operations and For personal use only a significant exploration pipeline of both greenfields and brownfields opportunities 3 x Major Regional 2 x Mining Regions 4 x Mines Exploration Projects La
Slide 22: Strategic Focus
Strategic Focus For personal use only 1. Capitalise on a Strong Production Platform 2. Cash flow generation 3. Add Value Through Exploration 4. Acquisition 5. Create value for Shareholders 23
Slide 23: Appendices
24 For personal use only Appendices
Slide 24: FML & CRE Combined Resources & Reserves
APPENDICES: FML & CRE COMBINED RESOURCES & RESERVES Measured Resources Indicated Resources Inferred Resources Total Resources For personal use only Tonnes Grade Tonnes Grade Tonnes Grade Tonnes Grade Ounces Ounces Ounces Ounces '000t Au g/t '000t Au g/t '000t Au g/t '000t Au g/t COOLGARDIE GOLD PROJ
Slide 25: Focus Minerals At A Glance
Focus Minerals At A Glance For personal use only ASX Code FML Board & Senior Executive Ordinary Shares 4,321M Chairman Don Taig Market Cap A$220m Non-Exec Director Phil Lockyer Unlisted Options 75M Non-Exec Director Bruce McComish Cash and Bullion $14.3M (31/12/11) Non-Exec Director Gerry Fahey Debt
Focus Minerals — ASX Spotlight Conference, New York 2012 on 6ix