Bellevue Gold Limited · ASX:BGL
Bellevue Gold — RIU Explorers Conference 2022
52 slides from Bellevue Gold's conference presentation, February 2022
Slide 1: RIU Explorers Conference 2022
RIU Explorers Conference 2022 High-grade Bellevue Gold Project in WA fully funded to first production
Slide 2: Disclaimers & Compliance Statements
Disclaimers & Compliance Statements This Presentation has been prepared by Bellevue Gold Limited (Company) and is authorised by the Managing Director of Bellevue Gold Limited. DISCLAIMER This Presentation has been prepared by the Company based on information from its own and third party sources and
Slide 3: Disclaimers & Compliance Statements
Disclaimers & Compliance Statements JORC COMPLIANCE STATEMENTS It is a requirement of the ASX Listing Rules that the reporting of ore reserves and mineral resources in Australia comply with the Joint Ore Reserves Committee’s Australasian Code for Reporting of Mineral Resources and Ore Reserves ("JOR
Slide 4: Investment Highlights
Investment Highlights The recently completed funding solution now see BGL fully funded into production with total liquidity of $373m to fund the $254m capex from FS2 and a budget of $21m-$26m for further exploration over the coming 18 months One of the highest-grade, lowest cost mines in Australia w
Slide 5: The BGL Value Proposition: Exploiting Our Competitive Advantages
The BGL Value Proposition: Exploiting Our Competitive Advantages One of Australia’s highest-grade gold mines, with exciting exploration potential and an accelerated development timeline that is fully funded to production: “Real People, Real Profits, Real Growth” 3.0Moz 2.4 MozFCF A$1.8b + 10.0g/t at
Slide 6: BGL joining an exclusive gold club
BGL joining an exclusive gold club • There are only 7 other assets globally in Tier 1 jurisdictions that produce over 180kozpa with a head grade over 5g/t • FS2 will see the project produce over 200kozpa for the first 5 years and a LOM average of 183kozpa for 8.1 years • Further Resource conversion
Slide 7: BGL on the cusp - Share Price Performance During Construction
BGL on the cusp- Share Price Performance During Construction • Post the announcement of construction development, the selected comparable companies experienced a significant re- rate or an average increase of 163% over this period • With the commencement of the camp construction this puts BGL on the
Slide 8: Board and management – a proven team of mine builders
Board and management – a proven team of mine builders Kevin Tomlinson Steve Parsons Fiona Robertson Shannon Coates Michael Naylor Non- Executive Independent Managing Director Non-Executive Independent Non-Executive Independent Chief Financial Officer and Chairman Director Director Executive Director
Slide 9: Exploration development strategy delivering outperformance
Exploration development strategy delivering outperformance • BGL’s outperformance has been delivered by exploration growth and also by expanding the mining inventory • This process is set to continue in 2022 with further growth and optimisation studies occurring 4. BGL outperformance vs GDXJ index 1
Slide 10: A deposit that continues to grow in every direction
A deposit that continues to grow in every direction • Since the Tribune discovery hole in November 2017, the Resource has grown at a compound annual growth rate of 81% • The recent Lucknow discovery extends the strike to over 5km and the Lucien discovery sits 300m beneath the Deacon lode; and the de
Slide 11: Further growth potential - Mining Shape Optimiser shapes not in mine plan
Further growth potential- Mining Shape Optimiser shapes NOT currently in mine plan • Of the 3Moz Global Resource only 50% of the Resource is in the current 1.5Moz mine plan • The areas in red highlight the immediate conversion potential based on the same economics from the Stage 2 Feasibility Study
Slide 12: Bellevue Gold project Feb 2022 Fly-through
Bellevue Gold project Feb 2022 Fly-through click here 12
Slide 13: Optimising FS2 – Further enhancing the project economics
Optimising FS2 – Further enhancing the project economics Key de-risking events achieved on the project, focus shifted to optimisation and further de-risking, productivity and cost benefits Study FS2 Optimisation Outcome Potential Benefit Parameters Less up-front development MINING De-risks ramp-up,
Slide 14: Positioned for high margin, low capital intensive growth beyond 1Mtpa
Positioned for high margin, low capital intensive growth beyond 1Mtpa • The current 1Mtpa plant was designed for the potential for further growth above the 1mtpa nameplate capacity • The 33% upscaling to 1Mtpa from 750ktpa nameplate capacity was achieved for a total spend of $12m Processing Plant •
Slide 15: A consistent delivery of the project since July 2020
A consistent delivery of the project since July 2020 • The company is continually delivering into the dual track development and exploration strategy by adding value through growth in the Resource and an upgraded study that has increased the value of the project by $701m in 6mths • Current developme
Slide 16: Forecast to be Australia's lowest greenhouse gas emitter/oz
BGL - Forecast to be Australia’s lowest greenhouse gas emitter/oz • Bellevue is forecast to become the lowest emitter on a per ounce basis in Australia; the Stage 2 Feasibility Study shows a forecasted greenhouse gas intensity of 0.202 t CO2e / oz. This has improved by ~30% due to the planned integr
Slide 17: Appendices
Appendices Click here for the 3D Inventum model
Slide 18: Bellevue gold project - Fully funded to production
Bellevue gold project - Fully funded to production • Fully funded to production with total liquidity of $373m to fund the dual track strategy of project development and exploration with $254m capex from the updated FS2 study and $21m-$26m budgeted for exploration • Macquarie was Bellevue’s first ins
Slide 19: Forecast to deliver sector-leading financial returns
BGL – Forecast to deliver sector-leading financial returns • BGL’s production is forecast to commence in FY23 and set to deliver sector-leading profitability compared to its ASX listed peer group • BGL will be leading the peer group in EBITDA Margin and AISC margin on a per ounce basis LTM EBITDA Ma
Slide 20: Forecast to become a Top Australian gold mine
BGL – Forecast to become a Top 20 Australian gold mine • The updated Stage 2 Feasibility Study shows BGL is forecast to enter the Top 20 largest producing gold mines in Australia • 21% uplift in LOM average production compared to the Stage 1 Feasibility Study released in February 2021 • BGL is forec
Slide 21: Forecast to enter the bottom quartile on AISC vs peers
BGL – Forecast to enter the bottom quartile on AISC vs peers • The Stage 2 DFS positions BGL in the bottom cost quartile with a forecast LOM All In Sustaining Cost (AISC) of A$1,014/oz • In the first 5 years of production the project will average an AISC of A$922/oz 2,104 2,034 1,942 1,964 1,744 1,7
Slide 22: FS2 vs FS1 – optimisation study post FS2 will add more value
FS2 vs FS1 – optimisation study post FS2 will add more value Stage 2 Study delivers a significant improvement in all key project metrics, including production, life of mine, costs, free cash flow, profit and return metrics; all without a material change in capital costs Key LOM Production Statistics
Slide 23: Organic growth set to deliver further outperformance
Organic growth set to deliver further outperforma • Since the discovery hole in November 2017, the Resource has grown at a compound annual growth rate of 81% at a discovery cost of A$18/oz BGL Resource Growth (koz) † BGL Resource per Share (oz/Msh) † † . 3,000 koz 2,410 koz 1,040 koz 3,493 690 koz 2
Slide 24: Bellevue Gold Project Fly-through
Bellevue Gold Project Fly-through Click Here 24
Slide 25: Development & de-risking continues a rapidly growing Resource
Development & de-risking continues a rapidly growing Resource • FS2 further de-risks the project with 5 independent mining areas accessed prior to production (Deacon, Viago, Armand, Marceline and Tribune) with the total A$1,502m of capital and operating costs incorporated into the A$1,014/oz AISC •
Slide 26: Dual track strategy delivering value with the FS2 study
Dual track strategy delivering Value with the FS2 study • Bellevue’s dual track strategy of exploration and a pathway to production continues to unlock value • In only 6 months FS2 has added A$701m, or a 65% increase in free cash flow and increased the IRR to 72% (pre-tax) • Further exploration will
Slide 27: Lowest capital intensity vs global developer peer group
BGL – Lowest capital intensity vs global developer peer group • BGL’s capital intensity of A$1,459/oz ranks it as the least capital intense development gold projects of scale Capital Intensity (A$/koz) of key large scale development projects 13,080 7,800 5,825 4,867 4,346 3,427 3,602 2,740 2,941 2,0
Slide 28: FS2 delivers substantial production growth
BGL – FS2 delivers substantial production growth • Updated Stage 2 Feasibility Study provides for a forecast production increase of 21% over the life of the project • Significant increase to production demonstrated within six months of previous study, with significant cashflow generation from year 2
Slide 29: Outstanding forecast EBITDA and free cash flow generation
Outstanding forecast EBITDA and free cash flow generation The Bellevue mine design and project has been optimised on profitability and free cash flow and not grade and the project generates an average LOM FCF/oz of A$1,405/oz (pre tax and post commissioning) Pre-tax and at a spot gold price scenario
Slide 30: A Robust, Independent Feasibility Study
A Robust, Independent Feasibility Study On the pathway to production Bellevue has engaged industry leading experts to assist and drive the Feasibility Studies Studies, mine design, scheduling Non-processing infrastructure Process plant and infrastructure Geotechnical engineering Metallurgical testwo
Slide 31: Fully Funded to Production
Fully Funded to Production Pre-Production Capital Expenditure (A$M) Site and Sustaining Capital 66 Processing Plant 82 Open Pit 14 Underground1 132 Capitalised operating costs 19 Capitalised revenue (61) Sub Total 252 Contingency2 15 Total 267 Variations to FS1 include optimisation of underground ca
Slide 32: Conventional mining methods
Conventional mining methods Sub Horizontal Lodes (13% LOM Ounces) • Areas with footwall dips < 45o utilise a modified cut and fill method with sub level stoping • Primary development is driven along strike of the ore zones, the ore is then stripped out (up to 4.2m) • The primary drive is filled with
Slide 33: Project Operating Costs
Project Operating Costs Operating Costs A$M A$/T Milled A$/oz Produced Operating Costs (post-production) • Underground & Open Pit Mining – Rates supplied by UG & OP Mining 649 81.99 438 competitive Request for Quotation (RFQ) processes. Costs include recovery of ore and delivery to surface ROM Pad,
Slide 34: Updated 3D Inventum video & Site Flyover Video
BGL – Site Updated 3D Inventum video & Site Flyover Video 3D Inventum Link Click Below Project Flyover Link Click Below https://inventum3d.com/c/BGL/Bellevue https://bellevuegold.wistia.com/medias/w9cw1f5wk2 34
Slide 35: Corporate Summary
Corporate Summary Building Strong Foundations ASX Code Current Share Price A$0.87 BGL ASX 300 Market Capitalisation ~ A$897M Shares on issue ~1,031m Cash1 ~ A$173m Management & consultant options & ~34m performance rights unlisted Top 20 Shareholders ~ 63% Shareholder Summary2 Total Global & Austral
Slide 36: Tier 1 location in world-class gold belt
Tier 1 location in world-class gold belt Bellevue has Major Landholding of Over 2,780km² Excellent infrastructure: Historically significant producing region: • Services at Leinster, Leonora and Wiluna • Major gold deposits & producing gold mines in proximity to Bellevue’s Projects (Agnew Gold • Dail
Slide 37: A$21-26m exploration budget: An organic pipeline of growth
A$21-26m exploration budget: An organic pipeline of growth Bellevue discovery to resource growing at a compound annual growth rate of 81%. Armand Lode discovered August 2020, Marceline Lode discovered recently post the first Feasibility Study, multiple advanced targets ready for further Resource gro
Slide 38: Bellevue's economic contributions to society to grow with FS2
Bellevue’s economic contributions to society to grow with FS2 • Since the ‘discovery hole’ in November 2017, Bellevue has injected over A$88m into the Australian economy • During construction and operation, our Stage 1 Feasibility Study forecasts to generate A$2.3 billion into the economy, including
Slide 39: BGL's approach to ESG = no greenwashing
BGL’s approach to ESG = no greenwashing • Our Stage 1 Feasibility Study estimated that the gas power station would contribute 73% of the mine’s overall emissions • The latest plans for the Bellevue power station will further reduce emissions, whilst maintaining reliability and meeting power demands
Slide 40: ESG & the opportunity to be best in class corporate citizens
ESG & the opportunity to be ‘best in class’ corporate citizens BGL is evaluating all options on the pathway to development - Smart blasting ✓ - Use of renewable electricity (eg. Climate consideration examples: - Energy efficient grinding ✓ solar, batteries) to power - Bushfires ✓ - Running compresso
Slide 41: Bellevue is an industry leader in diversity
Bellevue is an industry leader in diversity Bellevue has a Cultural Heritage Management Plan and a Diversity Policy • Bellevue is leading the Australian mining sector for gender diversity and has a 0% gender pay-gap for like-for-like roles • Key metrics of our diversity results include: o 40% female
Slide 42: Why Bellevue? - Click Here
eS BELLEVUE GOLD Why Bellevue?- Click Here 4 - #BELIEVE
Slide 43: Values and Vision
Values and Vision “To create a standout gold mining and exploration company that is an industry benchmark” At Bellevue we believe we have a unique opportunity to develop a standout gold mining company that is the benchmark for others to be measured against. We believe our four key values are fundame
Slide 44: The sustainability pathway – a vision to be best in class
The sustainability pathway – a vision to be best in class Begin TCFD TCFD gap Develop climate Climate considerations analysis and risks and for new infrastructure, TCFD phase 3: phase 1: integrate identify Refresh TCFD staged action opportunities efficiency options and benchmarking plan register fue
Slide 45: Bellevue's leading commitment on efficient energy use
Bellevue’s leading commitment on efficient energy use • The Bellevue Gold Project has been designed to optimize energy use and reduce environmental impact • Modeling places the project as of one of the most efficient gold mines, based on forecast energy use (GJ) per ounce produced • Since the Stage
Slide 46: Energy-emissions intensity – Bellevue is leading the way
Energy-emissions intensity – Bellevue is leading the way • Energy-emissions intensity is the factor of emissions per unit of energy produced, such as tonnes of CO2e per GJ • This trend shows that off-grid mines, powered by a gas-fired power station have a lower energy-emissions intensity than grid-c
Slide 47: Scope 1 and 2 emissions of Australian gold mines
Scope 1 and Scope 2 emissions of Australian gold mines • The annual greenhouse gas emissions of Australian gold mines is plotted below • Due to the project’s low carbon emission intensity, Bellevue will have one of the lowest total greenhouse gas emissions per year of any Australian gold mine • Bell
Slide 48: Bellevue's community contributions and PACE values
Bellevue’s community contributions and PACE values Our commitment to the Communities in which we operate is the ‘C’ in our PACE values Bellevue is committed to supporting Aboriginal 2020 BELLEVUE GOLD people with pathways to employment. We offer trainees the opportunity to gain work experience in CO
Slide 49: Processing Plant Overview
Processing Plant Overview 49
Slide 50: Non Process Infrastructure
Non Process Infrastructure Infrastructure requirements • New office and facilities to support the mine activities • New 330-person camp located north of the project area with access from the Goldfields Highway • Potable water sourced, treated and distributed around the site (has been secured and cur
Slide 51: Mineral Resource and Ore Reserve Estimates
Mineral Resource and Ore Reserve Estimates INDEPENDENT JORC 2012 RESOURCE AND RESERVE ESTIMATES FOR THE BELLEVUE GOLD PROJECT 3.5g/t gold lower cutoff, totals rounded to reflect acceptable position Tonnes Grade Contained Ounces Mineral Resource (Mt) (g/t Au) (Moz) Indicated Mineral Resources 3.9 11.
Slide 52: Share Price Performance During Construction
Share Price Performance During Construction Capricorn Metals West African Resources Atlantic Gold Roxgold Pretium Resources Construction timeline Construction commences 13-Mar-20 01-Jan-19 03-Jun-16 07-Apr-15 19-Jan-16 Commercial production 02-Sep-21 30-Jun-20 05-Mar-18 04-Oct-16 01-Jul-17 At constr