Slide 1: Q2 2014 Conference Call
Q2 2014 CONFERENCE CALL August 7, 2014 SSRI:NDAQ | SSO: TSX 1
Slide 2: Cautionary Notes
Cautionary Notes Cautionary Note Regarding Forward-Looking Statements This presentation contains “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and “forward-looking information” within the meaning of Canadian securities laws (collectively
Slide 3: Transformational Period
TRANSFORMATIONAL PERIOD Completed the Marigold mine acquisition - $268M Two large producing mines strongly positioned for the future Significantly increased silver-equivalent production and revenue Diversified commodity and geopolitical profile SSRI:NASDAQ SSRI:NDAQ | |SSO: SSO:TSX TSX 3
Slide 4: Marigold: Q2 2014
MARIGOLD: Q2 2014 Completed integration Produced 22,060 oz of gold, 10% ahead of guidance Reported cash costs of $1,103/oz of gold sold Operating efficiencies improving on load and haul fleet Mine optimization activities continue * Cash costs are a non-GAAP financial measure. Please see "C
Slide 5: Pirquitas: Q2 2014
PIRQUITAS: Q2 2014 Focused on operational excellence Produced 2.0M oz of silver and 9.3M lbs of zinc, on track to meet guidance Reported cash costs of $12.18/oz of silver sold Reduced cash costs guidance to between $12.00/oz and $13.00/oz of silver sold * Cash costs are a non-GAAP financial
Slide 6: Exploration: Advancing our Portfolio
EXPLORATION: Advancing our Portfolio Bonita Zone, San Luis Property, Peru: 5,000m drill program Drilling commenced August 2014 Surface exposure of veins 10 Priority Holes SSRI:NASDAQ SSRI:NDAQ | |SSO: SSO:TSX TSX 6
Slide 7: Exploration: Advancing our Portfolio
EXPLORATION: Advancing our Portfolio Marigold: 15,000m drill program in 2014 Pirquitas: Exploration activities to extend mine life SSRI:NASDAQ SSRI:NDAQ | |SSO: SSO:TSX TSX 7
Slide 8: Second Quarter Results
Second Quarter Results Q2 2014 Q1 2014 Silver Production 2.0Moz 1.9Mozs Silver Sales 1.9Moz 1.6Mozs Gold Production 22,060oz – Gold Sales 21,990oz – Revenue $64.3M $33.7M Income from Mine Operations $11.0M $5.9M Net Loss $7.3M $16.9M SSRI:NASDAQ SSRI:NDAQ | |SSO: SSO:TSX TSX 8
Slide 9: Financial Strength to Fund Growth
Financial Strength to Fund Growth Q2 2014 Cash $102M Current Assets* $527M Current Liabilities $100M Working Capital* $428M * Inclusive of Pretium Resources Inc. investment of $157 million and Argonaut Gold Inc. investment of $19 million as of June 30, 2014. SSRI:NASDAQ SSRI:NDAQ | |SSO: SSO:TSX TSX
Slide 10: Cash Costs: Lowered Pirquitas cost profile
Cash Costs: Lowered Pirquitas cost profile $13.58 $13.32 $13.03 $12.00 - $13.00 $12.36 $12.18 $11.75 Cash costs per payable ounce of silver sold Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014 2014 Guidance Note: Cash costs are a non-GAAP financial measure. Please see "Cautionary Note Regarding Non-
Slide 11: Marigold: 2014 Guidance (Q2 – Q4)
Marigold: 2014 Guidance (Q2 – Q4) Revised Original Gold production (oz) 105,000 – 115,000 105,000 – 115,000 Cash costs per payable ounce of gold sold $800 – $900 $1,000 – $1,100 Capital Expenditures $15M $20M Capitalized Stripping $20M – * Cash costs are a non-GAAP financial measure. Please see "Cau
Slide 12: Elements for growth
Key Goals for 2014 Successfully integrate and optimize Marigold Continue operational excellence at Pirquitas Define pathways for San Luis and Pitarrilla Maintain strong balance sheet and cost discipline Focus on growth opportunities Elements for growth SSRI:NASDAQ SSRI:NDAQ ||SSO: SSO:TSX
Slide 13: Q2 2014 Conference Call
Q2 2014 CONFERENCE CALL SSRI:NDAQ | SSO: TSX 13