Centerra Gold Inc. · TSX:CG
Centerra Gold — Q2 2019 Earnings Presentation
22 slides from Centerra Gold's earnings presentation, Jul 31, 2019
Slide 1: Second Quarter Results Conference Call
Second Quarter Results Conference Call – July 31, 2019 TSX: CG www.centerragold.com
Slide 2: Senior Management
Senior Management Industry Background Experience • Appointed Chief Executive Officer in November, 2015 SCOTT PERRY • President and Chief Executive Officer in January 2018 +22 years President and Chief Executive Officer • Former Chief Executive Officer at AuRico Gold GORDON REID • Appointed Chief Ope
Slide 3: Caution Regarding Forward-Looking Information
Caution Regarding Forward-Looking Information Information contained in this document which are not statements of historical facts, and the documents incorporated by reference herein, may be “forward-looking information” for the purposes of Canadian securities laws. Such forward-looking information i
Slide 4: Second Quarter Results – Scott Perry, President & CEO
Second Quarter Results – July 31, 2019 Scott Perry - President & CEO TSX: CG www.centerragold.com
Slide 5: Q2 2019 Corporate Highlights
Q2 - 2019 Corporate Highlights Safety – Kumtor Mine Contractor Workforce Achieved 1-year Without a Lost Time Injury Mount Milligan Mill Operated at 53,500 Tonnes Per Calendar Day During Q2 Q2 2019 Consolidated Gold Production of 199,578 Ounces and Copper Production of 20.4 Million Pounds Cen
Slide 6: Q2 2019 ESG Operations Update
Q2 - 2019 ESG Operations Update Concluded ‘Leading from Within’ gender diversity program and conducted company-wide employee survey to measure internal engagement Maintained and strengthened our “Social Licence to Operate” at all operations with no social interruptions for ~72 consecutive months No
Slide 7: Q2 2019 Corporate Update
Q2 - 2019 Corporate Update YTD 2019 Cash Flow (US$MM’s) Liquidity Profile June 30, 2019 (US$MM’s) 350 176 90 300 500 250 35 63 200 152 140 US$715MM 150 100 50 140 75 0 1 1 2018 YE Cash Kumtor + MTM Net Debt Oksut Spend Dev Projects, Q2 2019 Cash FCF Repayments G&A & Other 2 3 3 Cash Reserves Corpora
Slide 8: Q2-2019 Financial Highlights
Q2-2019 Financial Highlights1 Quarter Ended Quarter Ended (in thousands, except ounces, per share amounts, and average realized price2) June 30, 2019 June 30, 2018 Revenue $340,510 $243,315 Total gold ounces sold 198,287 140,427 Total copper pounds sold (000’s) 18,700 12,668 Cash provided by (used i
Slide 9: Q2-2019 Other Financial Highlights
Q2-2019 Other Financial Highlights Gold Sales of 198,287 ounces / Copper Sales of 18.7 million pounds in Q2 2019 Q2 2019 AISC1 of $716 per ounce (Kumtor $562/oz. and Mount Milligan $938/oz.) Q2 2019 Cash Provided by Operations of $91MM ($0.31 per share) Q2 2019 Cash Provided Operations Before Workin
Slide 10: Second Quarter Operating Results – Gordon Reid, COO
Second Quarter Operating Results – July 31, 2019 Gordon Reid - VP & COO TSX: CG www.centerragold.com
Slide 11: Q2-2019 Operating Highlights
Q2-2019 Operating Highlights Q2 2019 gold production - Kumtor 151,065 ounces, Mount Milligan 48,513 ounces Q2 2019 copper production - Mount Milligan 20,397,000 pounds Mount Milligan throughput 53,500 tonnes per calendar day (58,200 tonnes per operating day) On track to produce 55,000 tonnes per cal
Slide 12: Öksüt: Q2-2019 Construction Update
Öksüt: Q2-2019 Construction Update Admin Area Construction Mine Haul Roads Crusher and Stockpile Area ADR Plant Heap Leach Pad 1A+1B Liner Install Chemical Storage Shed Construction July 2019 12
Slide 13: Looking Forward – Scott Perry
Second Quarter Results – July 31, 2019 Looking Forward – Scott Perry TSX: CG www.centerragold.com
Slide 14: Centerra: 2019 Production, AISC, and Other Guidance
Centerra: 2019 Production, AISC1, and Other Guidance June 2019 FY 2019 FY 2019 Consolidated YTD Actuals New Guidance Prior Guidance Gold Production in Koz 383 Koz 705 - 750 Koz 690 - 740 Koz Kumtor 301 Koz 550 - 575 Koz 535 - 565 Koz MTM 82 Koz 155 - 175 Koz 155 - 175 Koz Copper Production in Mlb 32
Slide 15: Centerra: 2019 Capex and Depreciation Guidance
Centerra: 2019 Capex and Depreciation Guidance June 2019 FY 2019 FY 2019 (US $M) YTD Actuals New Guidance Prior Guidance Total Capital, excluding capitalized stripping(1) $105 $275 $275 Sustaining Capex (1) 41 100 91 Kumtor 20 45 45 Mount Milligan 20 45 37 Others (Thompson Creek Mine, Endako Mine (7
Slide 16: Centerra: Low-Cost Asset Base
Centerra: Low-Cost Asset Base Positioned to generate cash flow through the gold price cycles AISC Industry Curve (By-P roduct Basis) $2,500 25% 50% 75% 100% $2,250 $2,000 Centerra Gold AISC, net (US$/oz Au) $1,750 (US$713-743/oz Au) Kemess Underground $1,500 (US$244/oz)(1) Kumtor $1,250 (US$635-68
Slide 17: Centerra: Built For Success
Centerra: Built For Success Corporate Highlights Consensus Asset NAV Breakdown U.S. 2018 actual gold production 730koz, copper production 2% Turkey 47Mlbs, at AISC1 of $754 per ounce 10% 2018 Portfolio optimization2: • Sold royalty assets for $155MM; • Sold silver stream on Kemess Project for $45MM
Slide 18: Q & A Session and Appendix
Second Quarter Results – July 31, 2019 Q & A Session and Appendix TSX: CG www.centerragold.com
Slide 19: Centerra: Revised 2019 Guidance
Centerra: Revised 2019 Guidance 2019 Revised Production Guidance Units Kumtor Mount Milligan(1) Centerra Gold Total Gold Payable Production(2) (Koz) 550 – 575 155 – 175 705 – 750 Copper Total Copper Payable Production(3) (Mlb) – 65 – 75 65 – 75 2019 Revised All-in Sustaining Unit Costs (5) Kumtor Mo
Slide 20: Centerra: 2019 Guidance Sensitivities
Centerra: 2019 Guidance Sensitivities Impact on Impact on ($ millions) ($ per ounce sold) Change Net Earnings AISC(2) on by-product Costs(3) Revenues Cash flows (after tax) basis Gold price $50/oz 1.8 – 2.0 14.4 – 16.4 12.6 – 14.4 12.6 – 14.4 2–3 Copper price 10% 0.3 – 0.4 7.5 – 9.7 7.2 – 9.3 7.2 –
Slide 21: Centerra: Mineral Reserves - Proven & Probable
Centerra: Mineral Reserves - Proven & Probable1 Gold Mineral Reserves Proven Probable Total Proven and Probable Property Tonnes Grade Contained Tonnes Grade Contained Tonnes Grade Contained (kt) (g/t) Gold (koz) (kt) (g/t) Gold (koz) (kt) (g/t) Gold (koz) Mount Milligan 211,649 0.4 2,600 235,913 0.3
Slide 22: TSX: CG www.centerragold.com
TSX: CG www.centerragold.com