Central Asia Metals Plc · LSE:CAML
Central Asia Metals — Minex Eurasia 2016 Conference
22 slides from Central Asia Metals's conference presentation, Nov 28, 2016
Slide 1: Central Asia Metals - Minex Eurasia 2016 Conference
CENTRAL ASIA METALS MINEX EURASIA 2016 CONFERENCE 28 November 2016, London
Slide 2: Disclaimer
DISCLAIMER This Document comprises an institutional update presentation (the “Presentation”) which has been prepared by and is the sole or regulatory requirement, and, in particular, it or any copy of it, should not be distributed directly or indirectly, by any means responsibility of Central Asia M
Slide 3: Introducing Central Asia Metals (CAML)
INTRODUCING CENTRAL ASIA METALS (CAML) H1 2016 interim dividend Listed AIM market of London Stock Exchange, IPO in September 2010, raised US$60m Copper producer with assets in Kazakhstan and Chile Production from Kounrad dump leach and SX-EW plant 5.5p Represents 26% gross revenue Kazakhstan
Slide 4: Share Price Performance Since IPO
SHARE PRICE PERFORMANCE SINCE IPO 250 12,000 250 225 10,000 200 200 175 8,000 LME Copper (US$/t.) 150 150 Share price (p) Price (p) 6,000 125 100 100 4,000 75 50 50 2,000 25 0 0 0 Sep 10 Mar 11 Sep 11 Mar 12 Sep 12 Mar 13 Sep 13 Mar 14 Sep 14 Mar 15 Sep 15 Mar 16 Sep 16 Sep 10 Mar 11 Sep 11 Mar 12 S
Slide 5: Returns to Shareholders
RETURNS TO SHAREHOLDERS Returned $82m to shareholders Returns to shareholders pence £m $m 136% of funds raised at IPO 2012 share buyback (pre-div.) 1.2 2.0 returned to shareholders 2012 special, annual & interim 10.7 9.0 14.2 2013 interim & final 9.0 9.6 15.6 90 2014 interim & final 12.5 13.6 21.8 8
Slide 6: Kounrad Resource
KOUNRAD RESOURCE STATISTICS 1,500m-wide and 500m-deep pit 1,500Mt of rock extracted over LOM 2.9Mt of copper produced 650Mt of ‘waste’ in surface dumps 20 to 45m-high dumps cover 22km2 HISTORY 1928 – Kounrad copper deposit discovery 1938 – Balkhash smelter starts production 1992 – Ka
Slide 7: Site Video
SITE VIDEO 7
Slide 8: Q3 2016 Production Update and Outlook
Q3 2016 PRODUCTION UPDATE AND OUTLOOK 4.5 60 4.0 50 Cumulative copper production (kt) Q3 2016 3.5 Quarterly copper production (kt) 3.0 40 Record quarterly copper production 4,102t (38% increase QoQ) 2.5 At end Q3 total copper production exceeds 51,000t 2.0 30 9 month copper cathode sales 10,64
Slide 9: Eastern Dump Resources, 2012-2019
EASTERN DUMP RESOURCES, 2012-2019 Dump 7 Tonnes In-situ Copper 43,060 Extracted to H1 2016 18,993 Forecast Dump 5 Tonnes 2,968 Expected recovery In-situ Copper 51% 60,774 Year 2016-17 Extracted to H1 2016 9,506 Forecast 17,842 Expected recovery Dump 6 Tonnes 45% Year 2016-18 In-situ Copper 14,610 Ex
Slide 10: Stage 2 Expansion into Western Dumps
STAGE 2 EXPANSION INTO WESTERN DUMPS Northern Dumps c.175,000t recoverable copper Expansion into Western Dumps, extends life of Kounrad Eastern Dumps operation beyond 2030 Leaching to commence Q2 2017 Phased increase in copper production from Western Dumps as Kounrad plant Eastern Dump produ
Slide 11: Kounrad - Firmly in the Lowest Quartile of the Cost Curve
KOUNRAD – FIRMLY IN THE LOWEST QUARTILE OF THE COST CURVE FULLY INCLUSIVE COST $0.97/lb C1 CASH COST OF PRODUCTION $0.40/lb 5.00 4.50 4.00 3.50 3.00 Cash cost $/lb 2015 CASH COSTS 2.50 2.00 1.50 1.00 0.50 CAML H1 2016 C1 cash cost $0.40/lb 0.00 0 20 40 60 80 100 Cumulative copper production Source:
Slide 12: Kounrad Financial Performance to Date
KOUNRAD FINANCIAL PERFORMANCE TO DATE Total / H1 2016 2015 2014 2013 2012 average 50 months 6 months 12 months 12 months 12 months 8 months* Sales, Cu tonnes 46,630 6,355 12,040 11,163 10,689 6,383 Production, Cu tonnes 47,210 6,908 12,071 11,136 10,509 6,586 Average sale price, $/t 6,428 4,903 5,33
Slide 13: Corporate and Social Responsibility (CSR)
CORPORATE AND SOCIAL RESPONSIBILITY (CSR) HEALTH & SAFETY No lost time injuries in H1 2016, total LTI free man hours exceeds 1 million Govt. health and safety inspections undertaken in H1 2016 ENVIRONMENTAL Govt. environmental checks undertaken during H1 2016 Western Dumps environmental prog
Slide 14: Shuak, Kazakhstan (CAML 80%)
SHUAK, KAZAKHSTAN (CAML 80%) CAML signed framework agreement to acquire Shuak copper- gold exploration project in November 2016 Licence area, 198km2 • Shuak extensively explored in Soviet times Contains three near term targets, with the priority area being Mongol V Pre-GKZ resource, c.327,00
Slide 15: Copper Bay Project, Chile (CAML 75%)
COPPER BAY PROJECT, CHILE (CAML 75%) PFS COMPLETED Q2 2015 15 JORC compliant indicated and inferred mineral resource estimate of 51.2Mt at 14 0.24% Cu 13 Indicative metallurgical recoveries 72.8% NPV $50m at $3.00/lb Cu price DFS PROGRESS – Q4 2016 TARGET COMPLETION 15 14 Further drilling fo
Slide 16: Business Development Well Placed for Growth Opportunities
BUSINESS DEVELOPMENT Over 100 opportunities reviewed in the past two years Seeking to grow the company through value accretive transactions in base metals and to enhance CAML’s ECM profile The geographic focus encompasses Kazakhstan and Latin America, with flexibility on other jurisdictions ba
Slide 17: Outlook
OUTLOOK PROFITABLE BUSINESS EBITDA margins >50% C1 cash cost of production in lowest quartile STRONG BALANCE SHEET Cash balance $30.2m at 30 June 2016 No debt HEALTHY CASHFLOWS Maintain dividend policy Nigel Hurst-Brown Non-Executive Chairmann Nick Clarke Chief Executive Officer Stage 2
Slide 18: Contacts
CONTACTS 11 Albemarle Street, London, W1S 4HH 11 Albemarle 11 +44 207 898 9001 info@centralasiametals.com Investor Relations contact Louise Wrathall louise.wrathall@centralasiametals.com www.centralasiametals.com 18
Slide 19: Appendices
APPENDICES CENTRAL ASIA METALS PLC
Slide 20: Structure and Ownership
STRUCTURE AND OWNERSHIP MAJOR SHAREHOLDERS AS OF 31 OCTOBER 2016 No. of shares % Holding CENTRAL ASIA METALS PLC MR KENGES RAKISHEV 21,211,751 19.01 (UK) HARGREAVE HALE 11,515,300 10.32 FIL INVESTMENT INTERNATIONAL 9,601,366 8.61 75% MAJEDIE ASSET MGT 8,039,355 7.21 100% 100% 80% (Currently 100%) 10
Slide 21: Board of Directors
BOARD OF DIRECTORS Robert Cathery Nick Clarke Nurlan Zhakupov Roger Davey Kenges Rakishev Non-Executive Director Executive Chairman Non-Executive Director Non-Executive Director Non-Executive Director Nigel Hurst-Brown Gavin Ferrar Nigel Robinson David Swan Deputy Chairman Business Development Direc
Slide 22: Directors' Biographies
DIRECTORS’ BIOGRAPHIES Nick Clarke Executive Chairman Robert Cathery Non-Executive Director Nick has over 40 years of mining experience, including 16 years spent within senior management positions in Robert became a member of the London Stock Exchange in 1967 and was managing director and Head of Oi