32 slides from St. Barbara's earnings presentation, Jan 23, 2013
Slide 1: Presentation on the December 2012 Quarter
St Barbara Limited ACN 009 165 066 Level 10, 432 St Kilda Road, Melbourne VIC 3004 Locked Bag 9, Collins Street East, Melbourne VIC 8003 Tel +61 3 8660 1900 Fax +61 3 8660 1999 www.stbarbara.com.au For personal use only Presentation on the December 2012 Quarter Attached is a presentation to analysts
Slide 2: December 2012 Quarterly Report Highlights
For personal use only December 2012 Quarterly Report Highlights Tim Lehany, Managing Director & CEO 23 January 2013 1
Slide 3: Disclaimer
Disclaimer For personal use only This presentation has been prepared by St Barbara Limited (“Company”). The material contained in this presentation is for information purposes only. This presentation is not an offer or invitation for subscription or purchase of, or a recommendation in relation to, s
Slide 4: Q2 Highlights
Q2 Highlights For personal use only • Gwalia gold production up 28% • Gold production at Gold Ridge, Simberi and consolidated expected to increase in Q3 and Q4 • Infrastructure improvements continue at Gold Ridge and Simberi • Southern Cross Operations ceased operations, placed on care and maintenan
Slide 5: Aggregate Quarterly Output
Aggregate Quarterly Output For personal use only • For illustration only, this chart Aggregate Output All Operations compares total output on a 130 quarterly basis from 1 July 115 120 17 2012, noting that St Barbara 19 19 15 acquired the Pacific 97 93 12 15 14 11 Operations on 7 Sep 2012 28 24 25 14
Slide 6: St Barbara Attributable Gold Production
St Barbara Attributable Gold Production For personal use only St Barbara Attributable Gold Production • This chart only includes production attributable to 99 93 St Barbara, incorporating 86 11 84 28 78 production from the 4 13 25 24 4 Pacific Operations from 16 12 19 14 17 the date of acquisition,
Slide 7: Gwalia
Gwalia St Barbara’s cornerstone mine For personal use only Gold Production 54 46 • Increased production in line 44 44 with expectation 34 • Full year guidance maintained FY 12 FY 12 FY 12 FY 13 FY 13 Q2 Dec Q3 Mar Q4 Jun Q1 Sep Q2 Dec koz 6 December 2012 Quarterly Report Highlights
Slide 8: Gwalia: Grade up, costs down
Gwalia Grade up, costs down For personal use only Grade Mined Grade • Q2 mined grade 7.7 g/t Au in accordance with mine schedule 10.5 • Majority of ore sourced from 9.3 lower grade areas of South 8.1 7.7 7.5 7.4 West Branch and South Gwalia Series • Reserve grade 8.7 g/t Au Costs • Q2 costs improved
Slide 9: King of the Hills
King of the Hills Delivering to plan For personal use only Gold Production 17 16 16 14 • Production in line with 13 expectations • 2,000 ounces mined, not processed for quarter • Q2 cash operating costs $829/oz • Opportunities to expand mineral resources to be drill FY 12 FY 12 FY 12 FY 13 FY 13 Q2
Slide 10: Southern Cross Operations
Southern Cross Operations Sold following planned closure For personal use only Gold Production 28 25 • Underground mining 24 ceased in October 2012 19 • Processing ceased in November 2012 12 • Operations placed on care and maintenance • Sale agreement announced Jan 2013, for $22.5M (plus assumption
Slide 11: Gold Ridge Operations
Gold Ridge Operations Difficult quarter, performance now improving For personal use only Gold Production • Q2 production in line with 19 19 expectations published n 17 Pacific Operations FY13 14 Guidance update 11 • Mining performance and daily throughput rates increasing towards end of Q2 • New tru
Slide 12: Simberi Operations
Simberi Operations Preparing for growth For personal use only Gold Production • Ore mined increased 17% to 15 15 592 kt in Q2 14 13 12 • Production anticipated to increase with completion of oxide processing expansion project due April 2013 • New power generators to be commissioned January 2013, wil
Slide 13: Exploration intensity maintained
Exploration intensity maintained Plan to explore 10 targets in Q3 For personal use only Exploration spend $20-25M ≈ 70% in Australia Simberi Simberi ≈ 30% in Pacific Operations • Ore bodies open Active drilling programs • Near mine targets for exploration ≈ 20 targets planned for FY13 Gold Ridge • S
Slide 14: Gold Ridge exploration
Gold Ridge exploration Testing upside potential For personal use only • Gold Mineralisation intercepted below and north of the Dawsons deposit at Gold Ridge, Solomon Islands. • Results from hole GDC044 included (all intercepts down-hole, details in Table 1): • 67m @ 1.5 g/t Au from 125m, inc. 9m @ 4
Slide 15: Gold Ridge exploration: new prospecting licences
Gold Ridge exploration New, strategic prospecting licences For personal use only • Following the end of the quarter, St Barbara entered into an agreement with joint-venture partners Newmont and SolGold to acquire four Prospecting Licences (PL) located SW of the Gold Ridge mine on Guadalcanal Island.
Slide 16: Cash and debt as expected
Cash and debt as expected Well capitalised for development For personal use only • Bank debt facilities increased from $120 to $150 million • Better aligns the facility with working capital and investment requirements of the Pacific Operations • Provided by Barclays and Deutsche • Term of up to 4 ye
Slide 17: Conclusion
Conclusion For personal use only • Production in line with guidance • Focus on restoring and improving infrastructure, mining and processing reliability at Gold Ridge and Simberi • Production expected to increase in Q3 and Q4 • FY13 guidance issued in December 2012 maintained • Drilling programs tar
Slide 18: Appendices
Appendices For personal use only 17 December 2012 Quarterly Report Highlights
Slide 19: Consolidated Guidance
Consolidated Guidance Gold production attributable to St Barbara [1] For personal use only Q3 FY13 Q4 FY13 FY13 Gold Production koz 371-401 • Leonora 230-250 • Southern Cross 31 • Gold Ridge 16-18 23-25 55-60 • Simberi [2] 16-18 20-22 55-60 Cash Operating Costs A$/oz • Leonora 710-745 • Southern Cro
Slide 20: Outlook – strong Q3 and Q4
Outlook – strong Q3 and Q4 For personal use only FY13 Attributable Production Indicative Guidance Profile • Guidance for the production of all operations attributable to St Barbara for FY13 is approximately 371,000 to 401,000 ounces of gold. 24% 20% FY 13 FY 13 FY 13 FY 13 Q1 Sep Q2 Dec Q3 Mar Q4 Ju
Slide 21: Overview: Three gold operations underpinned by long life ore reserves
Overview: Three gold operations underpinned by long life ore reserves and prospective for growth For personal use only Reserves: 5.7 Moz 4 Simberi Resources: 16.6 Moz 4 Simberi FY13F production: • Low strip open pit mine • aggregate 400 koz 2 • Expanding production Gold Ridge capacity to 100 koz p.a
Slide 22: Aggregate Quarterly Output
Aggregate Quarterly Output For personal use only Production Summary Jun Qtr Sep Qtr Dec Qtr Consolidated FY12 FY13 FY13 Gold Production Gwalia oz 54,340 34,293 43,745 King of the Hills oz 16,393 15,935 12,709 Southern Cross oz 28,083 19,176 12,292 Gold Ridge oz 16,845 14,079 10,654 Simberi oz 14,602
Slide 23: St Barbara Attributable Gold Production
St Barbara Attributable Gold Production For personal use only Production Summary Sep Qtr Dec Qtr Consolidated FY13 FY13 Production Gwalia oz 34,293 43,745 King of the Hills oz 15,935 12,709 Southern Cross oz 19,176 12,292 Gold Ridge1 oz 4,057 10,654 Simberi1 oz 4,269 13,291 Consolidated oz 77,730 92
Slide 24: Gwalia
Gwalia For personal use only Production Summary Jun Qtr Sep Qtr Dec Qtr Gwalia FY 12 FY13 FY13 Underground ore mined t 161,989 137,693 178,150 Grade g/t 10.5 7.4 7.7 Low grade ore & stockpiles t 19,957 45,841 51,235 Grade g/t 2.3 1.4 1.1 Ore milled t 181,943 185,125 230,241 Grade g/t 9.6 6.0 6.2 Rec
Slide 25: King of the Hills
King of the Hills For personal use only Production Summary Jun Qtr Sep Qtr Dec Qtr King of the Hills FY12 FY13 FY13 Underground ore mined t 136,486 114,358 99,106 Grade g/t Au 4.0 4.3 4.7 Ore milled t 133,482 117,559 91,531 Grade g/t Au 4.0 4.4 4.6 Recovery % 95 95 95 Gold production oz 16,393 15,93
Slide 26: Marvel Loch
Marvel Loch For personal use only Production Summary Jun Qtr Sep Qtr Dec Qtr Marvel Loch FY12 FY13 FY13 Underground ore mined t 235,966 175,471 79,277 Grade g/t Au 3.2 2.2 2.1 Ore milled t 501,394 456,949 343,528 Grade g/t Au 2.0 1.5 1.3 Recovery % 88 88 85 Gold production oz 28,083 19,176 12,292 Ca
Slide 27: Gold Ridge
Gold Ridge For personal use only Production Summary Jun Qtr Sep Qtr Dec Qtr Gold Ridge FY12 FY13 FY13 Ore mined t 532,253 420,005 451,389 Grade g/t 1.5 1.4 1.3 Ore milled t 472,609 435,081 373,159 Grade g/t 1.5 1.4 1.4 Recovery % 76 74 65 Gold production oz 16,845 14,079 10,654 Cash Operating Costs
Slide 28: Simberi
Simberi For personal use only Production Summary Jun Qtr Sep Qtr Dec Qtr Simberi FY 12 FY13 FY13 Ore mined t 521,236 503,728 591,532 Grade g/t 1.1 1.1 1.0 Ore milled t 482,440 464,261 432,402 Grade g/t 1.1 1.1 1.1 Recovery % 83 83 89 Gold production oz 14,602 13,733 13,291 Cash Operating Costs $ per
Slide 29: Start safe, stay safe
Start safe, stay safe For personal use only Safety 14.8 12.5 11.1 • TRIFR includes Pacific 9.0 Operations from September 7.6 6.4 2012 FY 09 FY 10 FY 11 FY 12 Q1 Q2 TRIFR FY 13 FY 13 (rolling 12 month average Total Recordable Injury Frequency Rate) Note: TRIFR for Sep 2012 initially reported as 6.1 b
Slide 30: Investor Relations Enquiries
Investor Relations Enquiries For personal use only Ross Kennedy Executive General Manager Corporate Services E: ross.kennedy@stbarbara.com.au Rowan Cole General Manager Corporate Services E: rowan.cole@stbarbara.com.au T: +61 3 8660 1900 29 December 2012 Quarterly Report Highlights
Slide 31: Competent persons statement
Competent persons statement For personal use only The information in this report that relates to Company-wide Exploration Results and Mineral Resources in Australia is based on information compiled by Mr. Phillip Uttley, who is a Fellow of The Australasian Institute of Mining and Metallurgy. Phillip
Slide 32: Non-IFRS Measures
Non-IFRS Measures For personal use only We supplement our financial information reporting determined under International Financial Reporting Standards (IFRS) with certain non-IFRS financial measures, including cash operating costs. We believe that these measures provide meaningful information to ass