Burgundy Diamond Mines Ltd · ASX:BDM
Burgundy Diamond Mines — Euroz Hartleys Conference 2024
25 slides from Burgundy Diamond Mines's conference presentation, Mar 13, 2024
Slide 1: Burgundy Diamond Mines
BURGUNDY DIAMOND MINES 13 MARCH 2024 Burgundy Diamond Mines limited ASX: BDM BURGUNDYDIAMONDS.COM A reliable producer of premium diamonds to the global luxury market Burgundy Diamond Mines is a premier global diamond company that proudly produces and delivers ethically sourced diamonds from its worl
Slide 2: Important Notice and Disclaimer
IMPORTANT NOTICE AND DISCLAIMER This Presentation is given on behalf of Burgundy Diamond Mines Limited (ASX: BDM) (ABN 33 160 017 390) (Burgundy or Company). By accepting, accessing or reviewing this Presentation, you acknowledge and agree to the terms set out in this Important Notice and Disclaimer
Slide 3: Important Notice and Disclaimer
IMPORTANT NOTICE AND DISCLAIMER Financial information Certain financial data included in this Presentation is 'non IFRS financial information’ and "non-GAAP" financial measures under Regulation G of the U.S. Securities Exchange Act of 1934, as amended. These measures are used internally by managemen
Slide 4: Overview
OVERVIEW 01 Diamond Industry Overview 02 About Burgundy 03 Our Cornerstone Asset 04 Burgundy Achievements 05 Burgundy Strategy AP Appendix 4
Slide 5: Diamond Industry Overview
01 Diamond Industry Overview 5
Slide 6: Global Production (Mcts)
INVESTMENT THESIS Natural diamond production6 Global annual diamond production of ~120 Mcts Includes Russian mines 200 - Burgundy contributes ~4% of this global supply which is the largest in the G71 Paul Global Production (Mcts) Zimnisky G7 sanctions against Russian diamond imports taking effec
Slide 7: About Burgundy
@) 2 About Burgundy
Slide 8: Company Snapshot
COMPANY SNAPSHOT Yellowknife Sorting & Valuation Largest listed pure play diamond company with significant performance and growth potential Ekati Mine Naujaat JV Project Cornerstone producing asset and significant project in Canada, polishing facility in Perth, rough sales in Belgium Already playing
Slide 9: Burgundy Positioned to Rerate vs Listed Diamond Peers
BURGUNDY POSITIONED TO RERATE VS LISTED DIAMOND PEERS Peers Peer Average Burgundy CY Q4 2023 Revenue ($US) CY Q4 2023 Net Income (US$) EV/EBITDA1 $200,000 $20,000 8.00 $150,000 6.00 $0 $100,000 4.00 -$20,000 $50,000 2.00 $0 -$40,000 0.00 Peer 1 Peer 2 Peer 5 Peer 1 Peer 2 Peer 5 Peer 1 Peer 2 Peer 3
Slide 10: Our Cornerstone Asset
03 Our Cornerstone Asset 10
Slide 11: Ekati: A Tier Asset of Global Significance
EKATI: A TIER 1 ASSET OF GLOBAL SIGNIFICANCE Asset highlights Top 6 diamond mine globally based on production carats recovered in 20231 Top 4 diamond mine globally based on Mineral Resources (M+I)2; largest outside of a major (De Beers, Alrosa) In 2023, 5.2 Mcts were sold from Ekati, deliverin
Slide 12: Access and Infrastructure
Airstrip and ACCESS AND INFRASTRUCTURE Ekati is supported by legacy BHP infrastructure (top quartile third party condition assessment) Access Winter road - Road access to Ekati is by winter ice road that is seasonal in nature - Open ~8 weeks per year, from February until the end of March - Fuel, l
Slide 13: Exploration Potential
Inset Map EXPLORATION POTENTIAL Considerable number of targets within Burgundy’s portfolio Ekati: Naujaat (40% JV): 125 kimberlites on the Ekati property 12.5 Ha Q1-4 kimberlite1 9 kimberlites mined to date with 10th in progress (Point Lake) located near tidewater and Number of interesting t
Slide 14: Burgundy Achievement
04 Burgundy Achievement 14
Slide 15: Exceptional Financial Results
EXCEPTIONAL FINANCIAL RESULTS Three months ended 31 December 2023 (All currency figures in US dollars unless otherwise stated) CY Q4-2023 CY Q3-2023 Variance Cash $M 94.4 45.5 107% Diamond inventories $M 120.6 156.9 -23% Bank loans and $M 73.8 73.8 - borrowings Other obligations (capital $M 55.7 60.
Slide 16: Strong Operational Performance
STRONG OPERATIONAL PERFORMANCE Three months ended 31 December 2023 CY Q4-2023 CY Q3-2023 Variance Total tonnes mined Wmt 4.25 6.38 -33% Ore tonnes mined Wmt 1.1 0.87 26% Tonnes processed Dmt 1.05 0.99 6% Carats recovered Mcts 1.23 1.03 19% Grade Cts/t 1.17 1.05 12% Rough diamond inventories Mcts 1.3
Slide 17: Significant Progress on Ekati Mine Life Extensions
SIGNIFICANT PROGRESS ON EKATI MINE LIFE EXTENSIONS New mine plan set to be published by year end 1 Point Lake: Pit optimisation study Pre-strip commenced in preparation for production by Q4 2024 2 Misery: 3 Ore body at depth appears to be thicker than originally modelled1 Geotechnical and or
Slide 18: Burgundy Successfully Renegotiates Reclamation Surety Bonds
BURGUNDY SUCCESSFULLY RENEGOTIATES RECLAMATION SURETY BONDS Burgundy and surety providers have an agreement Significantly improved proposed terms1 in-principle to extend payment schedule from 6 200 months to 4 years 157 150 New surety established for Point Lake (phase 1) with $US Payment payment
Slide 19: 2024 Guidance
2024 GUIDANCE Operating and Sales Continued strong operating and sales forecast for 20241 CY 2024 CY 2024 CY 20232 Low High Total Tonnes Mined wMt 21.1 14.7 15.7 Ore Tonnes Mined wMt 4.6 4.2 4.7 Tonnes Processed dMt 4.2 4.0 4.4 Carats Sold M Carats 4.7 4.9 5.3 Carats Recovered M Carats 5.1 4.9 5.3
Slide 20: Burgundy Strategy
05 Burgundy Strategy 20
Slide 21: Corporate Strategy
CORPORATE STRATEGY Strategy underpinned by three achievable objectives 1 Ekati operations Mine life additions – multiple conventional open pit and underground options are underway to support During Burgundy’s due diligence significant mine life extension period, several areas of improvement Oper
Slide 22: Appendix
AP Appendix 22
Slide 23: Peer Comparison Information (Slide 9)
PEER COMPARISON INFORMATION (SLIDE 9) Mineral Resources1 and Ore Reserves table (attributable basis) Attributable 2023 Mineral Resources and Ore Reserves References Mineral Resources (M+I)1 Ore Reserves Company Information source (Mct) (Mct) Peer 1 2.43 Undisclosed S&P Market Intelligence S&P Market
Slide 24: Peer Comparison Information (Slide 11)
PEER COMPARISON INFORMATION (SLIDE 11) Production, Mineral Resources1 and Ore Reserves table (100% basis) Project Production volume, Mineral Resources and Ore Reserves References 2023 production Mineral Resources Ore Reserves Company Project Location volume estimate2 Production source Mineral Resour
Slide 25: Questions
QUESTIONS BURGUNDY DIAMOND MINES LIMITED ASX: BDM ABN: 33 160 017 390 WWW.BURGUNDYDIAMONDS.COM CONTACT P: +61 8 6313 3945 INFO@BURGUNDYDIAMONDS.COM 25
Burgundy Diamond Mines — Euroz Hartleys Conference 2024 on 6ix