Caledonia Mining Corporation Plc · AMEX:CMCL
Caledonia Mining — Investor Presentation (January 2021)
22 slides from Caledonia Mining's investor presentation, January 2021
Slide 1: Corporate Presentation 2021
Corporate Presentation 2021 PROFITABLE GOLD PRODUCTION, FUTURE GROWTH
Slide 2: Disclaimer
Disclaimer This presentation does not constitute, or form part of, any offer to sell or issue or any solicitation of any offer to purchase or subscribe for, any shares in Caledonia Mining Corporation Plc (“Caledonia”), nor shall it (or any part of it) or the fact of its distribution, form the basis
Slide 3: A Strategy Focused on Genuine Returns for our Shareholders
A Strategy Focused on Genuine Returns for our Shareholders Central Shaft: 37% increase Commited to Attractive new near-term, in production by return money opportunities low-risk growth 2022 to shareholders in Zimbabwe NYSE/AIM: CMCL 3
Slide 4: Caledonia Mining: An Overview
AN ESTABLISHED MINE WITH SUBSTANTIAL PLANNED PRODUCTION GROWTH AND COST REDUCTION Caledonia Mining 90,000 950 80,000 AN OVERVIEW 900 70,000 60,000 850 Production (oz) A HIGHLY PROFITABLE CASH GENERATIVE GOLD AISC ($/oz) 50,000 PRODUCER WITH A STRONG GROWTH PROFILE 800 40,000 30,000 750 • Established
Slide 5: Dividend
Dividend COMMITED TO RETURN MONEY TO SHAREHOLDERS QUARTERLY DIVIDEND PAYMENTS 12 Quarterly dividend of 10 US$0.11 (11c) 60% increase in dividend since Oct 2019 8 Annualised yield of 2.3% US Dollars 6 4 Dividend payer since 2 2012 0 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2
Slide 6: Growth Potential v Dividend Yield
Growth Potential v Dividend Yield CALEDONIA HAS HUGE GROWTH POTENTIAL WHEN COMPARED TO ITS DIVIDEND PAYING PEERS 9.0% 8.0% CENTAMIN PLC 7.0% 6.0% YIELD 5.0% 4.0% REGIS RESOURCES LTD INDUSTRIAS PENOLES SAB DE CV 3.0% NEWMONT CORP ST BARBARA LTD EVOLUTION MININGS LTD CALEDONIA MINING GOLD FIELDS LTD-S
Slide 7: Corporate Overview: Listing and Trading
LISTING AND TRADING Corporate Overview Share price $18.05 STRONG, EXPERIENCED MANAGEMENT TEAM AND BOARD OF DIRECTORS (7th January 2021) Market Cap $218m (7th January 2021) RELATIVE PERFORMANCE VS GDXJ SHAREHOLDERS 52 week low/high (US$) 6.51– 29.39 800 12M Avg. daily liquidity 4% 70,654 (shares/day)
Slide 8: Environment, Social & Governance
Environment, Social & Governance CALEDONIA IS A SOCIALLY CONSCIOUS & RESPONSIBLE BUSINESS CORPORATE GOVERNANCE & ETHICS HEALTH & SAFETY OUR PEOPLE • We operate on Honesty, Integrity, Respect & • We aim for a zero-harm work environment with • 99% of our employees are Zimbabwean, and our Trust, and ou
Slide 9: COVID-19
COVID-19 Donations to the Chamber of Mines and communities in 2020 to assist Operations during the 3-week lockdown (in early April) ran at with the 93% of planned production and Covid-19 pandemic production in the whole of Q2 was only 1.2% below plan No Effect on 2020 Production COVID-19 restriction
Slide 10: Solar PV Project
Solar PV Project OUR DRIVE TOWARDS A MORE SUSTAINABLE FUTURE The project is APPROVED THE CONSTRUCTION OF A 12MW SOLAR PLANT AT A COST OF expected to reduce APPROXIMATELY $12 MILLION Caledonia’s GHG emissions, improve • Expected to reduce Blanket’s dependence on grid power and improve the quality rel
Slide 11: Central Shaft
Central Shaft NEAR-TERM GROWTH 11
Slide 12: Investing in growth to 80koz/year from 2022
Investing in growth to 80koz/year from 2022 CONSTRUCTING A NEW MINE BELOW THE CURRENT WORKINGS (2015 TO 2021) Central Shaft will 6m diameter, 4-compartment shaft Shaft sinking completed in July 2019; result in a major from surface to 1,200m shaft equipping completed improvement in Commissioning on t
Slide 13: New Central Shaft drives development of sub-750m zones
New Central Shaft drives development of sub-750m zones CONSTRUCTING A NEW MINE BELOW THE CURRENT WORKINGS CENTRAL SHAFT NO. 4 SHAFT JETHRO SHAFT 22 LEVEL (750M) Plan illustrative and not to scale NYSE/AIM: CMCL 13
Slide 14: Strong free cash flows expected from 2020 onwards
Strong free cash flows expected from 2020 onwards DECLINING CAPEX AND INCREASING CASH GENERATION Historic Data Budget @ M&I Resources only as 45 $1,600/oz per NI 43-101 Technical Report 40 35 • Production post 2022 is expected to come from a combination of Measured, Indicated and Inferred 30 Resourc
Slide 15: Zimbabwe
Zimbabwe ATTRACTIVE NEW OPPORTUNITIES 15
Slide 16: The Zimbabwe Opportunity: Glen Hume
The Zimbabwe Opportunity GLEN HUME Option agreement with right to explore for up to 15 months and subsequently to acquire the mining claims over the area The total consideration would be $5 million and a 1% net smelter royalty Attractive grass roots exploration project covering approximately 350 hec
Slide 17: The Zimbabwe Opportunity: Connemara North
The Zimbabwe Opportunity CONNEMARA NORTH Acquired an option for a The total consideration Previously owned by First Before 2001 it produced period of 18 months with would be $5.3 million Quantum Minerals and approximately 20,000 the right to explore and to (payable in cash or shares) was placed on c
Slide 18: CSR
CSR A RESPONSIBLE MINER 18
Slide 19: Corporate Social Responsibility
Corporate Social Responsibility CALEDONIA IS A SOCIALLY CONSCIOUS RESPONSIBLE BUSINESS OUR CSR STRATEGY IS DESIGNED TO DELIVER A STRATEGIC, SUSTAINABLE RESPONSE TO SOME COMMUNITY NEEDS. OUR FOCUS AREAS ARE DEFINED UNDER THE FOLLOWING FIVE SUSTAINABILITY PILLARS: Women & Youth Education Health Agricu
Slide 20: Outlook
Outlook A COMPANY IN THE ASCENDANCE 20
Slide 21: Strategy & Outlook
Strategy & Outlook INCREASED FREE CASH FLOW TO GROW DIVIDENDS AND INVEST FOR FURTHER PRODUCTION Increase production to 80,000 ounces Increased cash flows due to higher Continued deep level exploration to per annum from 2022 production, lower unit costs and extend the life of mine beyond 2034 reduced
Slide 22: Contacts
Website: www.caledoniamining.com Twitter: @CaledoniaMining Contacts Share Codes: NYSE American – CMCL / AIM London SE – CMCL Caledonia Mining Investment Research London Financial PR: Blytheweigh Mark Learmonth, CFO WH Ireland: www.whirelandplc.com Tim Blythe Tel: +44 (0) 1534 679800 Cantor Fitzgeral
Caledonia Mining — Investor Presentation (January 2021) on 6ix