Oceanagold Corporation · TSX:OGC

Oceanagold — Investor Presentation (June 2012)

28 slides from Oceanagold's investor presentation, June 2012

  1. Slide 1: Corporate Presentation

    Corporate Presentation June 2012

  2. Slide 2: Cautionary Notes

    Cautionary Notes Cautionary Notes - Information Purposes Only The information contained in this presentation is provided by OceanaGold Corporation (“OGC”) for informational purposes only and does not constitute an offer to issue or arrange to issue, or the solicitation of an offer to issue, securiti

  3. Slide 3: Corporate Overview

    Corporate Overview Market Overview (12 June 2012) Market Capitalisation ~US$560M Shares Outstanding 262.8M Non-listed Options 6.9M Average Daily Trading Volume (last 90 days) 1.48M Cash (as at March 31, 2012) US$123M Convertible Bonds 5.75% (Maturity - Dec 2012) A$53M Convertible Bonds 7.0% (Maturit

  4. Slide 4: OceanaGold Vision 2016

    OceanaGold Vision 2016 Our Values: Respect Integrity Teamwork Innovation Action Accountability • High performing, growth orientated, Asia Pacific gold company • Explore, develop and operate quality assets in a safe & sustainable manner Our Vision 2016 Enablers • Innovative team culture • Annual prod

  5. Slide 5: Building the Growth Pipeline

    Building the Growth Pipeline Operations • Steady New Zealand operations with strong leverage to gold price • H2 2012 production > H1 2012 production • FY2012 Production guidance of 230-250k oz Au @ cash costs of US$900- $980/oz Development • Didipio Project construction commenced June 2011. Currentl

  6. Slide 6: OceanaGold Today

    OceanaGold Today EXPERIENCED GOLD PRODUCER ORGANIC GROWTH STRATEGY ASIA PACIFIC FOCUS • Solid production growth with declining cash cost Luzon Didipio Philippines Baguio profile Didipio Stage II Manila • FY2012 Guidance of 230- 250K oz Au @ US$900- $980 / oz cash costs Mindanao • High grade gold - c

  7. Slide 7: Current Producing Assets

    Current Producing Assets Successful long term presence in New Zealand MACRAES FRASERS REEFTON Macraes Frasers Reefton Mine Type Open Pit Underground Open Pit Resources1 Gold (Moz) 4.55 1.19 1.20 Reserves1 Gold (Moz) 1.41 0.18 0.37 Estimated mine life ~2019 ~2017 ~2015 - 2017 Gold production (koz) ~1

  8. Slide 8: Blackwater Exploration (Reefton)

    Blackwater Exploration (Reefton) Favourable results from initial drilling with potential for 750koz Au • Commenced in 2011 to test continuity of mineralization below level of historic workings • Initial drill results of high grade quartz reef, intersected 1.0m of 23.3 g/t Au • 4 holes to ascertain g

  9. Slide 9: Didipio Project

    Didipio Project Didipio Project Metrics Location ~240 km from Manila Annual production Gold: 100 koz Lepanto / Goldfields Copper: 14 kt (LOM avg.) Reserves Gold: 1.68 Moz Philex Copper: 229 kt Ore: 50.7 Mt @1.03 g/t Au and 0.45% Cu Cash costs Years 1-6: (US$79)/oz Au1 Avg. LOM: US$372/oz Au1 LOM 16

  10. Slide 10: Didipio Project

    Didipio Project Construction commenced June 2011 • Concrete pour commenced Nov 2011 • Mining & TSF construction commenced Jan 2012 • Structural steel erected Q1 2012 • Major equipment arrival on-site Mar 2012 • Commissioning Q4 2012 10 OceanaGold Corporation

  11. Slide 11: Didipio Project Key Schedule

    Didipio Project Key Schedule On-track to commission Q4 2012, full year production 2013  Completed 2011 2012 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Site access road  • First ore in mills • Commissioning Construction camp1  complete Operations village  Mining infrastructure Tailings Storage Facility Storage Sheds 

  12. Slide 12: Didipio Construction Progress

    Didipio Construction Progress May 2012 TSF construction of pump sump Primary crusher, conveyor & ROM pad Concentrate handling tank Cleaning of ball mill surfaces Sediment pond Tailing thickener concrete and steel works 12 OceanaGold Corporation

  13. Slide 13: Didipio Construction Progress

    Didipio Construction Progress June 2012 Plant Site Overview Tailings Storage Facility – Phase 1 Primary Crusher Ball and Sag Mills Flotation Structural Framing Operations Village Admin Building 13 OceanaGold Corporation

  14. Slide 14: Didipio Stage II Concept

    Didipio Stage II Concept 6 300 5 250 • Increase plant Throughput Mtpa 4 200 capacity by more Gold '000 oz 3 150 than 40% from 3.5 2 100 Mtpa to 5 Mtpa • Increased production: 1 50 0 0 2013E 2014E 2015E 2016E – 150 koz Gold Throughput Gold Production Total Gold Equivalent Production – 20 kt Copper •

  15. Slide 15: Significant Exploration Opportunities

    Significant Exploration Opportunities Significant near-mine exploration potential, part of 2012 drill program Mogambos • Additional porphyry systems in the • Exploration team established in exploration lease country; awaiting drill permits • Multiple drilling targets • Forecast spend $5 -10M / year

  16. Slide 16: Sustainability & Community Engagement

    Sustainability & Community Engagement Delivering long term sustainable benefits to local communities • Commitment to sustainability beyond life of mine • >20 years community and environmental track record in New Zealand • Actively delivering health, environmental, social and community programs to re

  17. Slide 17: Social Development & Management Plan

    Social Development & Management Plan Developed the SDMP benefitting Didipio and nine regional communities • Signed in January 2012 • Through our FTAA, 1.5% of operating costs to the SDMP • Approximately US$1.5 million per year of spend on SDMP projects in areas that include: – Health, education, inf

  18. Slide 18: Didipio Community Development Corporation

    Didipio Community Development Corporation Our strategy to invest in and enable the community to build capacity • Didipio Community Development Corporation (DiCorp) shareholders are long-term residents of Didipio • DiCorp modelled on similar successful community corporations in Papua New Guinea and n

  19. Slide 19: Didipio Community Involvement

    Didipio Community Involvement Kasibu Fiesta with sponsored sports team Agricultural planting program Site visit with local government Skills training program graduation Typhoon food relief aid DiCorp skills training ceremony 19 OceanaGold Corporation

  20. Slide 20: Aus Gold Production & Cash Cost Profile

    Aus Gold Production & Cash Cost Profile Source: Macquarie Research, April 2012 20 OceanaGold Corporation

  21. Slide 21: EV/Reserves Multiples

    EV/Reserves Multiples EV/Reserve Au EV/Reserve Au-Eq 2,000 2,000 1,500 1,500 US$/oz US$/oz 1,000 1,000 Average: Average: US$559/oz US$548/oz 500 500 - - AuRico AuRico B2Gold Regis OceanaGold Allied B2Gold Regis OceanaGold Allied Aura Aura Kingsgate Kingsgate Alamos St Barbara Alamos St Barbara Medus

  22. Slide 22: Experienced Management Team

    Experienced Management Team Mick Wilkes MD & Chief Executive Officer • 27 years industry experience • Developed major projects in Australia and SE Asia • Strong Operations background in hard rock mining • Strong in Community and Government relations • Extensive SE Asian experience Mark Chamberlain C

  23. Slide 23: Looking ahead

    Looking ahead • Growth outlook is golden – Increased production (300 – 350 koz Au/yr) – Decreasing cash cost profile (US$500 - $600/oz net of Cu1) • Didipio project is on-schedule to commission Q4 2012 • Strong cash flows  examine other opportunities to acquire development stage projects • Continue

  24. Slide 24: OceanaGold

    i a 4) OCEANAGOLD oceanagold.com PC Innovation Performance Growth

  25. Slide 25: Board of Directors

    Board of Directors Jim Askew (Chairman) - Mr. Askew is a mining engineer with over 35 years broad international experience as a Director/CEO for a wide range of international publicly listed mining, mining finance, and other mining related companies. He has served on the board of numerous resource p

  26. Slide 26: Financial Summary

    Financial Summary Year Ended 31 December Q1 2012 Q4 2011 Q1 2011 FY2011 Statement of Operations Revenue US$M 88.8 106.6 90.7 395.6 EBITDA US$M 23.3 43.7 44.0 163.9 Operating profit / (Loss) US$M 3.0 22.6 24.4 78.5 Net Earnings / (Loss) US$M (3.9) 14.3 14.8 44.2 Operations snapshot Gold Produced oz 5

  27. Slide 27: Pro forma net cash flow per ounce sold

    Pro forma net cash flow per ounce sold Per ounce Au sold Q1 2012 Q4 2011 Q1 2011 Average Gold Price Rec’d $1,708 $1,705 $1,401 Cash Cost reported $1,126 $8901 $687 Pre strip cash expenditure $161 $121 $256 capitalised to Balance Sheet Total Cost/oz (incl pre-strip ) $1,287 $1,011 $943 Pro forma net

  28. Slide 28: Mineral Resources and Reserves

    Mineral Resources and Reserves RESOURCE MEASURED INDICATED MEASURED & INDICATED INFERRED RESOURCE Au Au Au Au AREA Mt Au g/t Cu % Cu Mt Mt Au g/t Cu % Cu Mt Mt Au g/t Cu % Cu Mt Mt Au g/t Cu % Cu Mt Moz Moz Moz Moz MACRAES TOTAL 26.29 1.41 1.19 . . 76.76 1.10 2.71 . 103.04 1.18 3.90 . . 49.4 1.2 1.8

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