Gem Diamonds Limited · LSE:GEMD
Gem Diamonds — Investor Presentation (February 2018)
12 slides from Gem Diamonds's investor presentation, February 2018
Slide 1: Investor Presentation February 2018
Investor Presentation February 2018 910 carat diamond recovered at Letšeng mine in January 2018
Slide 2: Disclaimer
Disclaimer 2 The following presentations are confidential and are being made only to, and are only directed at, persons to whom such presentations may lawfully be communicated (“relevant persons”). Any person who is not a relevant person should not act or rely on these presentations or any of their
Slide 3: Background
Background 3 Gem Diamonds Producer of large, high quality, exceptional Type II diamonds Clear focus on creating value through optimising the Letšeng mine Seeks to maximise revenue through its sales, marketing and manufacturing operation in Belgium Innovation projects focussed on reducing dia
Slide 4: Letšeng mine
Letšeng mine 4 Improvement in large diamond recoveries in 2017 and 2018 Business efficiency opportunities identified Continued optimisation of LoM plan Mining lease extension Operational results Haul trucks in the Satellite pipe at Letšeng open-pit mine Waste tonnes mined (millions) Ore to
Slide 5: Letšeng resource performance
Letšeng resource performance 5 Large diamond recoveries Number of diamonds 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 >100 carats 7 6 7 6 3 6 9 11 5 8 60-100 carats 18 11 11 22 17 17 21 15 21 19 30-60 carats 96 79 66 66 77 60 74 65 70 74 20-30 carats 108 111 101 121 121 82 123 126 83 113 To
Slide 6: Letšeng's recoveries in 2017
Letšeng’s recoveries in 2017 6 202.16 carats 53.29 carats 98.26 carats 126.45 carats 69.57 carats 71.17 carats 114.38 carats 104.54 carats
Slide 7: Letšeng's remarkable 2018 recoveries
Letšeng’s remarkable 2018 recoveries 7 2018 recoveries include: − high quality 910, carat D-colour Type IIa diamond, fifth largest diamond ever recovered globally − 149.43, 117.67 and 110.63 carat diamonds − 8.53 carat flawless pink diamond 117.67 carat diamond 910.98 carat diamond
Slide 8: Sales and marketing overview
Sales and marketing overview 8 Prices remain robust for Letšeng goods Average price of US$1 930 per carat achieved during 2017 (US$1 695 achieved in 2016) Letšeng 2017 sales highlights − Seven gem quality diamonds greater than 100 carats recovered − 38 diamonds sold for more than US$1.0m each,
Slide 9: Transforming our business
Transforming our business 9 Initiated a business transformation process On track to deliver annualised and once-off benefits of US$20.0m Ongoing identification of opportunities to increase this target Includes initiatives to: − Renegotiate major contracts and explore in-sourcing opportunitie
Slide 10: Innovation technology
Innovation technology 10 Reducing diamond damage remains a key value creation opportunity Innovative technologies designed to − Identify diamonds within kimberlite prior to crushing process − Liberate these diamonds through electric pulse technologies (in Collaboration with University of Johanne
Slide 11: Group cash balance and funding as at December 2017
Group cash balance and funding as at 31 December 2017 11 Net cash position of US$1.4m, a US$13.2m improvement from the Q3 2017 net debt position of US$11.8m US$47.7m cash on hand of which US$35.2m is attributable to Gem Diamonds US$46.3m of available facilities have been drawn down with US$36.
Slide 12: Thank you
Thank you www.gemdiamonds.com