China Gold International Resources Corp. Ltd. · HKEX:2099
China Gold International Resources — Q2 2012 Earnings Presentation
27 slides from China Gold International Resources's earnings presentation, Dec 3, 2012
Slide 1: China Gold International Resources Ltd 2012 Q2 Corporate Presentation
(TSX:CGG HK:2099) China Gold International Resources Ltd 2012 Q2 Corporate Presentation
Slide 2: Forward Looking Statement
Forward Looking Statement This presentation contains “forward looking statement’s” within the meaning of the United States private securities litigation reform act of 1995 and “forward looking information” within the meaning of applicable Canadian securities legislation. Such forward-looking stateme
Slide 3: Corporate Overview
Corporate Overview 2
Slide 4: About China Gold International
About China Gold International Strategy In Place For Organic And Accretive Growth Inner Mongolia Canadian based gold and copper producer CSH Gold Mine Operating two producing mines in China: Tibet Baotou CSH Gold Mine - Inner Mongolia Region Jiama Copper-Polymetallic Mine Lhasa (Cu-Mo-Au-Ag-
Slide 5: Support From Major Shareholder
Support From Major Shareholder China Gold International and China National Gold Group China Gold International (CGG) China National Gold Group (CNG) • Canadian based and listed on TSX & HKEX • Large-scale, central level state-owned enterprise • ONLY Flagship overseas listing vehicle of China • Large
Slide 6: China Gold International At A Glance
China Gold International At A Glance TSX: CGG HKSE: 2099 Share Capital Summary (As of 06.30.12) Major Shareholders (As of 09.07.12) Analyst Coverage (As of 09.07.12) Issued and Outstanding 396.2 M China National Gold Group 39.33% GuoSen Securities Fully Diluted 396.3 M Van Eck Associates Credit Suis
Slide 7: Resources and Production
Resources and Production CSH Mine Resources Jiama Copper Resources Gold Copper Ore Grade Content Ore Percent Content Category (mt) (g/t) (koz) Category (mt) (% Cu) (kt) Measured 96.7 0.68 2,114 Measured 64.6 0.82 527.2 Indicated 133.6 0.61 2,620 Indicated 941.4 0.38 3,555.6 Total M&I 230.3 0.64 4,73
Slide 8: Company Officers and Directors
Company Officers and Directors Sun Zhaoxue Song Xin Wu Zhanming Chairman and Executive CEO and Executive Director Liu Bing VP Business Development Director Non-Executive Director Executive Director ~27 years experience ~26 years experience ~10 years experience ~10 years experience He Ying Bin, Ian G
Slide 9: Mine Portfolio
Mine Portfolio - CSH Gold Mine - Inner Mongolia - Jiama Copper- Polymetallic Mine - Tibet Region 8
Slide 10: CSH Gold Mine
CSH Gold Mine Baiyunebo One of China’s largest gold mines Inner Mongolia CSH Mine Located in Inner Mongolia of China, approximately 210km northwest of the city of Baotou Principal product: Gold dore bars with silver as a by- product Well-established basic infrastructure with excellent acces
Slide 11: CSH Gold Mine: Growing Gold Resource
CSH Gold Mine Growing Gold Resource to Support Production Expansion 59,145 m exploration program concluded on schedule in 2011 Based on the drilling results, the Company is planning to expand the CSH operation. CSH Mine Resources A full evaluation on the mine's potential for gold mineralizatio
Slide 12: CSH Gold Mine: Steady Increase of Production
CSH Gold Mine Steady Increase of Production 2011-2012 Quarterly Gold Production (oz) First 6 Months Gold Production in 2012 (oz) 45,000 41,297 80,000 37,519 69,678 40,000 36,985 35,848 70,000 33,830 35,000 55,259 60,000 30,000 50,000 25,000 17,740 40,000 20,000 *Cash Cost 30,000 US $778/oz Au 15,000
Slide 13: Jiama Polymetallic Mine
Jiama Polymetallic Mine One of China’s largest Cu-Mo-Au-Ag-Pb-Zn mines Located approximately 68 kilometers northeast of Tibet Lhasa, Tibet Commercial production began in September 2010 Metrorkongka Two Phase Development plan: Jiama Mine Phase I is complete: an open-pit and Lhasa City undergr
Slide 14: Jiama Polymetallic Mine Reserves and Resources
Jiama Polymetallic Mine Reserves and Resources Jiama Resources Grade Contained Metal Ore Cu Mo Au Ag Pb Zn Cu Mo Au Ag Pb Zn Category (mt) (%) (%) (g/t) (g/t) (%) (%) (kt) (kt) (t) (t) (kt) (kt) Measured 64.6 0.82 0.06 0.33 15.60 0.06 0.04 527.2 35.8 21.1 1,007 36.7 25.4 Indicated 941.4 0.38 0.04 0.
Slide 15: Jiama: Huge Resource Potential to Support Production Expansion
Jiama Polymetallic Mine Huge Resource Potential to Support Production Expansion Mineral Deposit Exploration Permit Area Three types of mineralized bodies – Skarn Two Exploration Hornfels Permits Area: Total Mining Permit Area: Porphyry 143.3km2 2.9km2 All three remain open along strike and
Slide 16: Jiama Polymetallic Mine Production profile
Jiama Polymetallic Mine Production profile 2011 Annual Copper Production (lb) First Six Months Copper Production (lb) 30,000,000.00 21,600,000 - 10,200,000.00 10,059,540 - 25,300,000 25,000,000.00 10,000,000.00 21,563,193 9,800,000.00 20,000,000.00 9,600,000.00 15,000,000.00 9,400,000.00 *Cash Cost
Slide 17: Financial Highlights
Financial Highlights 16
Slide 18: 2012 Q2 Financial Performance
2012 Q2 Financial Performance Three months ended June 30, 2012 Revenue Net Profit ($ in Millions) ($ in Millions) 100 92.9 30 27.4 76.5 25 80 20 60 15 12.6 40 10 20 5 0 0 Q2 2011 Q2 2012 Q2 2011 Q2 2012 Earnings per Share Mine Operating Earnings ($ in Millions) 0.080 45.0 40.4 0.067 40.0 0.070 0.060
Slide 19: 2012 First Half Financial Performance
2012 First Half Financial Performance Six months ended June 30, 2012 Revenue Net Profit ($ in Millions) ($ in Millions) 180 32 154 30.9 160 31 140 128 30 120 29 100 28 80 27 26 60 26 40 25 20 24 0 23 H1 2011 H2 2012 H1 2011 H2 2012 Earnings per Share Operating Profit ($ in Millions) 0.076 0.075 43.5
Slide 20: Business Outlook
Business Outlook 20
Slide 21: Growth Plan – Organic Strategy
Growth Plan – Organic Strategy Organic Growth Strategy 2012 Production Forecast Jiama - Copper Polymetallic Mine Jiama - Copper Polymetallic Mine Expand current 6,000tpd processing capacity 21,559,200-25,346,000 lbs Copper Feasibility study expected by H2 2012 30,154,277 lbs Copper equivalen
Slide 22: Growth Plan - Accretive Strategy
Growth Plan - Accretive Strategy International Acquisition Strategy Aggressive acquisition strategy while achieving organic growth High-quality mineral assets in targeted areas Property Acquisition Criteria Geography Resources Scale Development Stage Type of Mine Give priority to Large-scale
Slide 23: Environmental Protection and Community Development
Environmental Protection and Community Development 23
Slide 24: “Green Mine” Named by Chinese Government
“Green Mine” Named by Chinese Government Jiama Copper-Polymetallic Mine 24
Slide 25: International Best Practice
International Best Practice Environmental Protection and Community Development Plan Zero Discharge Dry-heaping of tailings Rehabilitation Community Development Plan 25
Slide 26: A Regional Benchmark in China
A Regional Benchmark in China The Tibet Autonomous Region Government has determined that any new mine operators entering the region must follow the high HSE standards set and implemented at the Jiama Mine site by CGG Jiama Mine is covered by major medias in China and won many exceptional awards
Slide 27: Investment Highlights
Investment Highlights Strong support from controlling shareholder - CNG, the largest gold producer in China Two producing mines and a pipeline of acquisition targets Huge exploration potential providing significant resource and reserve upside Clearly defined production growth profile Inter
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