Focus Minerals Ltd · ASX:FML
Focus Minerals — Investor Presentation (April 2011)
23 slides from Focus Minerals's investor presentation, Apr 6, 2011
Slide 1: Aggressively Expanding into a Rising Gold Price
6 April 2011 ASX: FML For personal use only www.focusminerals.com.au Focus Minerals Limited Aggressively Expanding into a Rising Gold Price Campbell Baird: Chief Executive Officer
Slide 2: Disclaimer and Competent Person's Statement
Disclaimer and Competent Person’s Statement For personal use only This presentation is not a prospectus nor an offer for securities in any jurisdiction nor a securities recommendation. The information in this presentation is an overview and does not contain all information necessary for investment d
Slide 3: Focus Minerals: A Rapidly Expanding Gold Producer
Focus Minerals: A Rapidly Expanding Gold Producer For personal use only Profitable Gold producer based in Western Australia’s Eastern Goldfields Producing profitably for 3 years Resource base of 2.1 million ounces 1.3Mtpa processing facility Will have 3 producing mines (2 commencing in H1) Funded de
Slide 4: Focus is a Growth Business
Focus is a Growth Business Focus has been reinvesting profits into an aggressive mine expansion For personal use only programme Revenue Growth EBITDA Growth Normalised EPS 80,000,000 25,000,000 0.40 60,000,000 20,000,000 15,000,000 0.20 40,000,000 10,000,000 20,000,000 5,000,000 0.00 0 FY 09 FY 10 F
Slide 5: Focus Minerals At A Glance
Focus Minerals At A Glance For personal use only ASX Code FML Ordinary Shares 2,882m Market Cap A$262m Unlisted Options 84m Cash and Bullion $8.6m (31/12/10) Debt $0.0m Enterprise Value $216.4m Price range 12 month A$0.04 – A$0.10 Average Daily Volume (3m) 43.7m shares Board & Senior Executive Share
Slide 6: Asset Location
Asset Location For personal use only Greater Coolgardie Three Mill Hill treatment plant 1.2Mtpa processing facility Tindals Mining Centre • Underground & open pits The Mount Underground Mine Treasure Island Gold Project 6
Slide 7: Proven Track Record in Mine Development
Proven Track Record in Mine Development For personal use only End of 2008 Start of 2011 • 1 producing mine • 3 producing mines • Toll treating • 1.3Mtpa processing plant • Produced 17,445oz • Will produce 100,000oz pa • $20m Debt. 35Koz Hedge • No debt or hedging position 2 Yrs. • 2.1Moz global Reso
Slide 8: Strategic Asset Summary
Strategic Asset Summary For personal use only Three Mile Hill • 1.3 Mtpa plant in Coolgardie • Processing at +100,000tpm since June 2010 Processing Plant • < 5km from Tindals Mining Centre. 85km from The Mount • Underground operation has been engine room of Focus – strong cash Tindals Mining generat
Slide 9: Three Mile Hill Treatment Plant
Three Mile Hill Treatment Plant For personal use only Largest processing plant in Coolgardie region delivering Focus significant strategic value 1.2Mtpa plant currently operating at 1.3Mtpa Processing at +100,000tpm since June 2010 Spent $22M recommissioning & took to full nameplate capacity inside
Slide 10: Tindals Mining Centre: 85,000oz pa Operation
Tindals Mining Centre: 85,000oz pa Operation For personal use only Tindals Mining Centre has been the engine room of the Focus business Total Resource of 10.9Mt @ 2.8g/t for 1Moz Total Reserve of 1.5Mt @ 3.1g/t for 152,000oz Stable underground production profile Commencing open pits in April 2011 Si
Slide 11: Tindals Underground: 55,000oz pa
Tindals Underground: 55,000oz pa For personal use only 5 main ore bodies Gold endowment of 2,500oz per vertical metre Empress Consistent performer for business Tindals Producing at 55,000oz pa Currently has 2 years of reserves extendable on drilling Cyanide Resource: 2.6Mt @ 4.6g/t for 378,000oz Res
Slide 12: Tindals Open Pits: 30,000oz pa
Tindals Open Pits: 30,000oz pa For personal use only • Multiple open pit deposits providing low cost ore feed to mill • Commence development of first three pits in April 2011 • Target 30,000oz pa to be sustainable over 5 years • Resource: 8.3Mt @ 2.3g/t for 608,000oz • Reserve: 389,000t @ 2.1g/t for
Slide 13: Big Blow Open Pit with UG Expansion Potential
Big Blow Open Pit with UG Expansion Potential For personal use only 13
Slide 14: Greater Coolgardie Exploration
Greater Coolgardie Exploration For personal use only Region has produced >2.5Moz over the last 100 years First time whole region has been controlled by one entity Massively underexplored – significant mine life extension potential Greater Coolgardie Resource of 11.3Mt @ 1.9g/t for 694,000 ounces Gre
Slide 15: The Mount: Spearheading Next Stage of Expansion
The Mount: Spearheading Next Stage of Expansion For personal use only New high-grade Underground Mine just commenced production 85km to south of Three Mile Hill plant Significant boost to Focus’ production profile at +60,000oz pa 15
Slide 16: The Mount: +60,000oz pa
The Mount: +60,000oz pa For personal use only • 15 parallel high grade ore zones • Commenced mining German Lode • Commenced cross cutting ore structures in preparation for expansion • Inferred Resource – 2.1Mt @ 5.5g/t for 370,000oz • Reserve - 69,000t @ 8.0g/t for 18,000oz • Trial mining delivered
Slide 17: Greenfields Exploration: Treasure Island Gold Project
Greenfields Exploration: Treasure Island Gold Project For personal use only World class gold project on the Boulder-Lefroy Fault Biggest gold producing system in Australia 100% ownership. 210 sq. km of tenements Surface sample grades include: 58.9g/t, 53.7g/t & 48.4g/t Multiple vein arrays of +300m
Slide 18: Treasure Island Gold Project
Treasure Island Gold Project For personal use only 18
Slide 19: Strategic Growth Plan
Strategic Growth Plan current For personal use only 50,000oz 77,000oz 100,000oz +130,000oz +?????oz Calendar 2009 Calendar 2010 On track 2011 Target 2012 Target 2013 Production from Tindals underground mine & stockpiles Tindals Underground | 45,000tpm @ 3.5g/t The Mount | 30,000tpm @ 5.5g/t Tindals
Slide 20: Mine Life
Mine Life For personal use only 15 Years Treasure Island Gold Project at Lake Cowan TBA The Mount 10 Years 2.1Mt @ 5.5g/t 370,000oz Greater Coolgardie 11.3Mt @ 1.9g/t 694,000oz Tindals OP 8.3Mt @ 2.3g/t 5 Years 608,000oz Tindals UG 2.5Mt @ 4.6g/t 378,000oz 20
Slide 21: Investment Summary
Investment Summary For personal use only Rapidly emerging profitable mid-tier gold producer currently operating at 100,000oz No debt or hedging Significant production profile with 3 producing mines & 1.3Mtpa processing plant Substantial resource base with ability to extend reserve life Man
Slide 22: FML Resources & Reserves as at 30th September 2010
FML Resources & Reserves as at 30th September 2010 For personal use only 22
Slide 23: Aggressively Expanding into a Rising Gold Price
For personal use only AGGRESSIVELY EXPANDING INTO A RISING GOLD PRICE 23