Resolute Mining Limited · ASX:RSG
Resolute Mining — ASA Perth Investor Forum 2018
36 slides from Resolute Mining's conference presentation, Sep 4, 2018
Slide 1: The Syama Transformation Story
For personal use only The Syama Transformation Story Mine Gold. Create Value. ASA Perth Investor Forum | September 2018
Slide 2: Important Notices and Disclaimers
Important Notices and Disclaimers For personal use only This presentation contains information about Resolute Mining Limited (Resolute or the Company) and its activities that is current as at the date of this presentation unless otherwise stated. The information in this presentation remains subject
Slide 3: Resolute is Committed to ASA's Principles
Resolute is Committed to ASA’s Principles For personal use only 2018 ASA Focus Issues Remuneration Disclosure Skin in the Game Board Composition Shareholder Participation 2
Slide 4: Gold is a unique asset (World Gold Council quote)
For personal use only “GOLD is a unique asset: highly liquid, yet scarce; it’s a luxury good as much as an investment” -World Gold Council 3
Slide 5: Growing Demand for Gold
Growing Demand for Gold For personal use only Global investment demand for gold worldwide has grown by an average of 18% per year since the turn of the century Average Annual Gold Demand ~4,100t Volume ~US$175Bn Value Source: Thomson Reuters GFMS, World Gold Council. Average volume based on 10-year
Slide 6: Strong Regional Demand for Gold
Strong Regional Demand for Gold For personal use only Emerging market central banks have tripled their gold holdings over the past decade Global Demand Estimates by Region Source: Thomson Reuters GFMS, World Gold Council. 5
Slide 7: Gold is a High Performance Investment
Gold is a High Performance Investment For personal use only A Source of Return Gold’s Long Term Performance Compared to Other Financial Assets 10 Average Annual Return 5 0 -5 Since 1971 20-year 10-year US Cash US Bond Aggregate US Stocks EAFE stocks Commodities Gold (US$/oz) Source: Bloomberg, NBER,
Slide 8: Resolute Gold Dividend
Resolute Gold Dividend For personal use only Commitment to Shareholder Returns Dividend Policy and FY18 Dividend • Dividend Policy provides for a minimum of 2% of revenue in Start building up annual dividend • FY18 dividend of 2.0c per share totals A$14.8m which your GOLD today equates to 3.3% of FY
Slide 9: Mine Gold. Create Value.
For personal use only Mine Gold. Create Value. FY19 Guidance Portfolio Global Mineral Resources Market Landholding 300koz at 3 Mines 16.5Moz Capitalisation 5,300 A$913m US$960/oz Multiple Strategic Global Ore Reserves km2 (A$1,280/oz) Investments 5.9Moz 8 Note: Global Ore Reserves and Global Mineral
Slide 10: Recent Announcements
Recent Announcements For personal use only Syama DFS Update delivers >300kozpa at US$746/oz LOM AISC (14 year life) Development progressing well at Syama Underground; on track for sub-level caving by December 2018 Ravenswood Expansion Project delivers 115kozpa at US$823/oz LOM AISC (14 year life) Bi
Slide 11: Corporate Summary
Corporate Summary (ASX:RSG) For personal use only Capitalisation A$ US$ Price Performance and Trading Share Price $1.21 $0.90 YTD Daily Trading Averages : Volume: 6.4m / Value: A$7.7m Shares Outstanding 757.5m Market Capitalisation $913m $676m Cash, Bullion, Investments $112m $83m Borrowings $33m $2
Slide 12: Extensive Reserve and Resource Growth
Extensive Reserve and Resource Growth For personal use only Resolute has added ~8Moz to its Global Resource since 2010 Global Mineral Resources FY18 Reserves Contribution (Moz) 5.9 2010 2018 8.1Moz 16.5Moz 5.3 Global Ore Reserves 2010 2018 2.4Moz 5.9Moz Discovery Cost of A$34.5 per Reserve Ounce 11
Slide 13: Significant Investment Enables Transformation
Significant Investment Enables Transformation For personal use only Mine Life (Years) Operating Clear Pathway to 500kozpa (koz) 2014 2018 Statistics • +300kozpa 500 • US$746/oz AISC Syama 6 14 • Fully automated sub- level caving Annual Gold Production (koz) 400 • ~115kozpa Ravenswood 4 14 • US$823/o
Slide 14: Resolute Portfolio
Resolute Portfolio For personal use only Syama Ravenswood Bibiani Strategic Gold Mine Gold Mine Gold Mine Investments A world class, fully automated sub-level Proven producing asset with multiple Recent feasibility study update Multiple strategic positions in highly cave gold mine on track to be del
Slide 15: Syama Gold Mine
For personal use only Syama Gold Mine Syama Gold Mine 14
Slide 16: Syama Gold Mine
Syama Gold Mine For personal use only Sub-level caving from December 2018 FY18 Summary Statistics DFS Update • Production: 194koz LOM AISC reduced to US$746/oz (from US$881/oz) • Cash Cost: A$1,196/oz (US$928/oz) UG Probable Reserve increased by 38% to 3.0Moz • AISC: A$1,286/oz (US$998/oz) • Average
Slide 17: For personal use only
‘s AMA NINE? MA ARRIGA = Os oe
Slide 18: Sub Level Cave Mining at Syama
Sub Level Cave Mining at Syama For personal use only A world class sub-level cave gold mine in the making • Controlled, high-productivity ore delivery • Full automation maximises operating efficiencies • Early access to ore without leaving a crown pillar below the open pit • A flexible method with a
Slide 19: Syama Underground DFS Update
Syama Underground DFS Update For personal use only Overview Improvements made to all aspects of Syama Redesign and rescheduling of mine plan 38% increase in UG Ore Reserves to 3.0Moz Mine life extended to 2032 Introduction of autonomous mining Site power generation facilities improved Lower mining a
Slide 20: Automation in Mining and Resolute's Partnership with Sandvik
Automation in Mining and Resolute’s Partnership with Sandvik For personal use only 19
Slide 21: Automation at Syama
Automation at Syama For personal use only There are significant benefits associated with automation and the connected communication and information technology systems Increased machine productivity and performance Reduction in number of machines required leading to capital and maintenance savings Re
Slide 22: New Automated Underground Equipment arriving at Syama
New Automated Underground Equipment arriving at Syama For personal use only 21
Slide 23: For personal use only
For personal use only 22
Slide 24: For personal use only
For personal use only 23
Slide 25: Active, Multi-Rig Exploration Program
Active, Multi-Rig Exploration Program For personal use only Resolute controls 80km strike length of Syama greenstone belt 24
Slide 26: Nafolo: A Major Gold Discovery at Syama
Nafolo: A Major Gold Discovery at Syama For personal use only Extension potential for existing Syama underground • Remains open in all directions • Untested to the south and at depth • All drillholes to date have intersected gold mineralisation • Nafolo mineralisation can potentially be accessed fro
Slide 27: Tabakoroni: High Grade UG Mine Potential
Tabakoroni: High Grade UG Mine Potential For personal use only Numerous wide high grade gold intersections • Located 35km south of Syama • TARD621 returned 41m at 12.15g/t Au: displays the significant grades and widths seen in the main zone mineralisation • The current drilling program is ongoing wi
Slide 28: Tabakoroni: Standalone UG Mine Potential
Tabakoroni: Standalone UG Mine Potential For personal use only Coherent High Grade Zones >50 gram metres Visible gold in new Tabakoroni core samples 27
Slide 29: Syama Gold Mine
Syama Gold Mine For personal use only A world class fully automated underground gold mine in the making Mine Life Production AISC 14 Years +300kozpa US$746/oz 28
Slide 30: Ravenswood Gold Mine
For personal use only Ravenswood Gold Mine 29
Slide 31: Ravenswood Gold Mine
Ravenswood Gold Mine For personal use only Multiple open pits underpin long-term production FY18 Summary Statistics Project Study Update • Production: 90koz Significant enhancements to Ravenswood Expansion Project • Cash Cost: A$1,330/oz (US$1,019/oz) • AISC: A$1,394/oz (US$1,071/oz) All required ap
Slide 32: Bibiani Gold Mine
For personal use only Bibiani Gold Mine Bibiani Gold Mine 31
Slide 33: Bibiani Gold Mine
Bibiani Gold Mine For personal use only Potential for a long life, high margin project with robust economics Study Update – July 2018 Reserves Resources Environmental Permit Authorisation received 0.6Moz 2.5Moz Mineral Resource of 2.5Moz of gold (3.6 g/t Au) Potential for ~100kozpa over a 10 year mi
Slide 34: Strategic Investments in Africa
Strategic Investments in Africa For personal use only Objective Establish a portfolio of investments in emerging 19% stake 27% stake gold explorers to expand our project pipeline and provide a source of medium term potential growth opportunities 27% stake 17% stake Focus Equity investments in well m
Slide 35: Invest in Resolute
Invest in Resolute For personal use only Transformation enables bold ambition Proven operator: Resolute has mined more than 8Moz from 9 gold mines in Australia and Africa Long life, low cost, large scale assets: 14 year life at operating assets; clear pathway to 500kozpa; AISC of US$746/oz at Syama
Slide 36: Contact
For personal use only John Welborn Level 2, Australia Place Managing Director & CEO 15-17 William St Perth, Western Australia 6000 Jeremy Meynert General Manager – T: +61 8 9261 6100 Business Development & F: +61 8 9322 7597 Mine Gold. Create Value. Investor Relations E: contact@rml.com.au