Regis Resources Limited · ASX:RRL
Regis Resources — Investor Presentation (January 2019)
34 slides from Regis Resources's investor presentation, Jan 25, 2019
Slide 1: Corporate Update - January 2019
ASX:RRL For personal use only CORPORATE UPDATE - JANUARY 2019 JIM BEYER – Managing Director & CEO
Slide 2: Cautionary Statement
2 CAUTIONARY STATEMENT For personal use only This presentation contains only a brief overview of Regis Resources Limited and its the same information in the same form and context, until the consent is withdrawn or associated entities (“Regis or RRL") and their respective activities and operations. T
Slide 3: Corporate Overview
3 CORPORATE OVERVIEW CAPITAL STRUCTURE 12 MONTH SHARE PRICE PERFORMANCE For personal use only ASX Code RRL 12 $5.50 Issued capital1 507.7 million shares 10 $5.00 8 A$2,51B Millions Market capitalisation2 $4.50 $AUD US$1,81B 6 $4.00 A$207M 4 Cash and gold on hand3 US$149M $3.50 2 Borrowings3 Nil 0 $3
Slide 4: Investment Highlights
4 INVESTMENT HIGHLIGHTS For personal use only Proven Australian gold producer and explorer Achieved record gold production in FY2018 361,373 oz gold at A$901/oz AISC Among the lowest cost gold producers globally FY2019 Production Guidance of 340,000 - 370,000oz gold production at A$985-$1,055/oz AIS
Slide 5: Highlights FY2018
5 HIGHLIGHTS FY2018 For personal use only 86% 86% increase in Ore Reserves to 4.06 million ounces STRONG DIVIDEND GROWTH 11% 11% increase in ounces produced to Dividend payments increased by 7% to 16 cents per 361,373 oz share, putting cumulative dividend payments at A$326 million since 2013 26% Net
Slide 6: Industry Leader in Low Cost Production
6 INDUSTRY LEADER IN LOW COST PRODUCTION For personal use only $1,300 ALL-IN SUSTAINING COSTS 2019E (US$/OZ) International peers Australian peers AISC $1,200 $1,100 $1,000 AISC (US$/oz) $900 $800 $700 $600 $500 $400 Source: Canaccord Genuity. FX Assumption – 0.72AUD/1USD
Slide 7: Quality Projects in Prolific Mining Regions
7 QUALITY PROJECTS IN PROLIFIC MINING REGIONS For personal use only DUKETON OPERATIONS (10Mtpa) MCPHILLAMYS PROJECT • Moolart Well Operation • Development project • Rosemont Operation to an open pit mine • Garden Well Operation ~200kozpa gold. • DFS target completion 2019
Slide 8: Years of Growth
8 10 YEARS OF GROWTH Production and reserve growth through exploration success and targeted acquisitions For personal use only 2009 2019 $50m equity raising Garden Well & Debt facility fully Multiple satellite pits McPhillamys Maiden UG development plus $50m debt Rosemont development repaid by 2013
Slide 9: Our People
9 OUR PEOPLE For personal use only We continue to drive a performance based culture, underpinned by our values We create a workplace where all our people can perform to their full potential everyday Our investment in developing our people is delivering results We strive to deliver exceptional busine
Slide 10: Sustainability
10 SUSTAINABILITY We create value through our social leadership For personal use only A demonstrated commitment to the effective environmental management of all activities Board focus on ESG and Safety Creating an inclusive and diverse workplace Consistent sustainability performance Engage and suppo
Slide 11: Production & Reserve Growth
11 PRODUCTION & RESERVE GROWTH For personal use only CONSISTENTLY STRONG MARGINS, GOOD COST CONTROL REPLACING RESERVES AND STEADY OUTPUT GROWTH 4.5 370 2000 370 4.06 4.0 361 1800 2019 360 Guidance 3.5 1600 350 McPhillamys Deposit 3.0 1400 340 340 Ounces (million) 1200 330 Ounces (000's) A$ per ounce
Slide 12: Growth Strategy Continues
12 GROWTH STRATEGY CONTINUES For personal use only Underground Rosemont Garden Well Tooheys Well Gloster Baneygo Optimisation Optionality Garden Well Baneygo Tooheys Well Gloster Open Pits Expansion Development Expansion Expansion $1400-$1600/oz Discovery New Projects McPhillamys Ridge Active projec
Slide 13: Development: Rosemont Underground
DEVELOPMENT 13 ROSEMONT UNDERGROUND - DEVELOPMENT For personal use only Pre-production A$29 million capital Cumulative A$39 million cash outflow Average 480 - 600ktpa mining rate Operating A$1,154/oz cost Mine plus 3 years Life Portal March Q 2019 development HIGH GRADE ORE DELIVERY COMMENCES FY2019
Slide 14: Exploration: Rosemont Underground Extensions
EXPLORATION 14 ROSEMONT UNDERGROUND - EXTENSIONS For personal use only CENTRAL ZONE PROVIDES UG EXPANSION POTENTIAL • Drilling extends high grade mineralisation outside of the resource envelopes • Results are within 50m of planned development Recent Highlights: • 4m @ 18.8 g/t Au • 17m @ 6.3 g/t Au
Slide 15: Studies: McPhillamys Gold Project
STUDIES 15 MCPHILLAMYS GOLD PROJECT - NSW An organic growth project For personal use only • 100% owned and one of Australia’s larger undeveloped open pittable gold resources • Project Located 250km west of Sydney, • Mineral Resource 2.31Moz of gold • Ore Reserve 2.03 Moz of gold • Environmental Impa
Slide 16: Studies: McPhillamys Gold Project
STUDIES 16 MCPHILLAMYS GOLD PROJECT For personal use only 250 ANNUAL GOLD PRODUCTION AND MILLED GRADE 1.6 1.4 200 1.2 Ounces (000’s) (g/t) Au 150 1 0.8 100 0.6 0.4 50 0.2 0 0 Yr1 Yr2 Yr3 Yr4 Yr5 Yr6 Yr7 Yr8 Yr9 Ounces Recovered Milled Grade (g/t) PRE-FEASIBILITY STUDIES RESULTS1 Ore milled (Million
Slide 17: Exploration: Discovery Ridge Project
EXPLORATION 17 DISCOVERY RIDGE PROJECT For personal use only OPEN PIT SATELLITE PROJECT • Located 32km southwest of McPhillamys • Mineral Resource1 – 31.8Mt @ 1.1 g/t Au for 501koz • Infill drilling results have confirmed historical gold intersections • Broad lower grade intercepts contain higher gr
Slide 18: Growth Strategy Continues
18 GROWTH STRATEGY CONTINUES Historical shallow open pit discovery success meant deeper drilling low priority For personal use only Underground Rosemont Garden Well Tooheys Well Gloster Baneygo Optimisation Optionality Garden Well Baneygo Tooheys Well Gloster Open Pits Expansion Development Expansio
Slide 19: Why Still So Much Prospectivity?
EXPLORATION 19 WHY STILL SO MUCH PROSPECTIVITY? Because we have literally only just scratched the surface For personal use only Shallow exploration drilling has discovered ~7.7Moz since 2006 Virtually no deep exploration undertaken beyond Rosemont and Garden Well Only 5% of drill holes deeper than 2
Slide 20: Highlights Q2 FY2019
20 HIGHLIGHTS Q2 FY2019 For personal use only FY2019 Guidance unchanged with gold production in the mid to upper QUARTERLY Q2 FY2019 Q1 FY2019 range of 340,000 - 370,000 oz and AISC at the lower end of guidance PRODUCTION SUMMARY between A$985-1055/oz Ore Mined Mt 2.8 3.0 Quarter production of 90,48
Slide 21: Investment Highlights
21 INVESTMENT HIGHLIGHTS For personal use only Consistent production performance from the Duketon Operations in Western Australia continues Enviable portfolio of growth projects with McPhillamys and Discovery Ridge being one of Australia’s largest undeveloped open pittable gold resources Maintaining
Slide 22: Further information
For personal use only Further information: Jim Beyer | Managing Director & CEO + 61 8 9442 2200 22
Slide 23: Appendix: JORC Compliant Ore Reserve Estimates
APPENDIX 1 JORC COMPLIANT ORE RESERVE ESTIMATES 31 MARCH 2018 For personal use only APPENDICES 23
Slide 24: Project Pipeline
24 PROJECT PIPELINE For personal use only Moolart Well Ext. Baneygo – Idaho Gloster UG McPhillamys Dogbolter - Anchor Garden Well UG Discovery Ridge Gloster OP Baneygo Moolart Well OP Duketon Regional Garden Well OP Expansion Garden Well OP Rosemont UG Tooheys UG Gard
Slide 25: Future Growth Opportunities: Underground
For personal use only U NDERGROUND OPPORTUNITIES FUTURE GROWTH OPPORTUNITIES UNDERGROUND
Slide 26: Exploration: Garden Well Underground
EXPLORATION 26 GARDEN WELL UNDERGROUND For personal use only HIGH-GRADE SOUTHERN PLUNGE HIGHLIGHTS UG POTENTIAL • Zone of continuous mineralisation up to 10m true widths & 300m N-S strike • Extends mineralisation >300m below surface Recent Highlights: • 17m @ 5.0 g/t Au • 14m @ 3.9 g/t Au • 6m @ 2.9
Slide 27: Exploration: Tooheys Well Underground
EXPLORATION 27 TOOHEYS WELL UNDERGROUND For personal use only HIGHER-GRADE SHOOT BEGINNING TO TAKE SHAPE Significant intercepts extending mineralisation >200m below pit design and has a strike length of >200m Recent Highlights: • 6m @ 5.1 g/t Au • 4m @ 5.0 g/t Au • 13m @ 3.6 g/t Au • 11m @ 3.8 g/t A
Slide 28: Exploration: Baneygo Underground
EXPLORATION 28 BANEYGO UNDERGROUND For personal use only LIMITED DRILLING BELOW OPEN PIT RESOURCES DEMONSTRATES EARLY UG POTENTIAL • 5km of economic open pit mineralisation (1km longer than Rosemont) • Quartz dolerite host, same geology and mineralisation style as Rosemont • Drill coverage analogous
Slide 29: Future Growth Opportunities: Open Pits
For personal use only FUTURE GROWTH OPPORTUNITIES OPEN PITS
Slide 30: Studies: Open Pit - Garden Well Expansion
STUDIES 30 OPEN PIT – GARDEN WELL EXPANSION For personal use only OPEN PIT EXPANSION STUDIES COMMENCED • Southern extension contains significant high grade mineralisation • Stage 6 cutback has the potential to add ~10mt to OP mine plan • UG vs OP economic analysis set to provide final pit design alo
Slide 31: Resources and Reserves
For personal use only RESOURCES AND RESERVES
Slide 32: Group Ore Reserves
APPENDIX 1 JORC COMPLIANT 32 GROUP ORE RESERVES ORE RESERVE ESTIMATES 312018) (31 March MARCH 2018 For personal use only
Slide 33: Group Mineral Resources
APPENDIX 2 33 JORC COMPLIANT MINERAL RESOURCES 31 MARCH 2018 33 GROUP MINERAL RESOURCES (31 March 2018) For personal use only
Slide 34: Further information
For personal use only Further information: Jim Beyer | Managing Director & CEO + 61 8 9442 2200 34
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