KEFI Gold and Copper PLC · LSE:KEFI
KEFI Gold and Copper — KEFI Minerals — Investor Presentation (February 2018)
28 slides from KEFI Gold and Copper's investor presentation, February 2018
Slide 1: Update February 2018
Update Evised heading Disclaimer February 2018 Ethiopia Saudi Arabia One of the Saudi exploration sites Strong platform of partners, contractors & management Development Ready for 140,000oz lifting to 200,000oz pa Assembling financing for 2-year development from Q2-18 The Ethiopian development site
Slide 2: Disclaimer
Disclaimer The information contained in this document (“Presentation”) has been prepared by KEFI Minerals plc (the “Company”). While the information contained herein has been prepared in good faith, neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers g
Slide 3: Arabian Nubian Shield: Well Positioned
Arabian Nubian Shield Pro-developmentDisclaimer Countries Well Positioned Ethiopia • World’s highest growth country • Co-investing partner is Government • Tulu Kapi Project: permitted, contractors appointed. Now financing • Preparing to trigger development at 140,000oz pa from open pit • 2.1g/t open
Slide 4: Comparison of Current Market Capitalisation with GOE Entry Price, NPVs and Peer Stats
Comparison of Current Market Capitalisation With GOE Entry Price, NPV’s and Cantor Peer Stats 125 All columns show $’s for KEFI, assuming beneficial interest 55% of TK and 40% of JQ 100 • Lowest graphed basis for valuation is current market cap at 3.5p 75 • Highest graphed basis for valuation US$M e
Slide 5: Corporate Structure
Corporate Structure Parties shaded blue are under discussion Institutions Board Public Ausdrill Lycopodium 32% 3% 60% 5% KEFI Minerals plc contract 40% c. 75% KEFI Ethiopia New Investor $20M c. 75% c. 25% 60% Govt of Ethiopia $20M Al Rashid Saudi JV Tulu Kapi Gold Mines Finance SPV Bond Holders $140
Slide 6: Key Risk Management Features of the Project Finance Plan
Some of the Key Risk Management Features of the Project Finance Plan All consortium principals: • are listed companies or Government, providing transparency, regulated corporate governance and accountability at all levels and for all roles • Adopt both a project responsibility and a project investme
Slide 7: Status of Development Schedule
Status of Development Schedule Base Case Schedule First Gold Pour in Early 2020 Government and Community: • Mining Licence Issued, Bilateral Agreement signed, Permitted for development, operating, environmental and social • Project Company (TKGM) Shareholders Agreement signed. Mining Licence transfe
Slide 8: Exploration Pipeline
Exploration Pipeline Ethiopia • Tulu Kapi +5g/t underground deposit, open with potential for +1M oz (see diagram to right) • Tulu Kapi District within which follow-up drilling programs have been planned on numerous potential satellite deposits and a VHMS system with an historic 3% copper intercept S
Slide 9: Contacts
Contacts Local community consultation before development starts at Tulu Kapi Email: info@kefiminerals.com Website: www.kefi-minerals.com @kefiminerals KEFI Minerals plc 9
Slide 10: Appendices
KEFI MINERALS Appendices
Slide 11: Directors
Directors Harry Anagnostaras-Adams – Executive Chairman – B. Comm, MBA, Fellow of Australian Institute of Company Directors Harry was founder or co-founder of Citicorp Capital Investors Australia, investment company Pilatus Capital, Australian Gold Council, EMED Mining, KEFI Minerals and Cyprus-base
Slide 12: KEFI Senior Executive
KEFI Senior Executive Harry Anagnostaras-Adams - Executive Chairman see description under Directors John Leach - Finance see description under Directors Below are Senior Executives appointed Feb 20 18 to assume line responsibilities in March 2018, in the lead-up to planned development David Munro -
Slide 13: Development Planning Team
Development Planning Team Wayne Nicoletto, Managing Director, KEFI Ethiopia – BSc Metallurgy, Grad Dip Mineral Economics, Grad Dip Mining (WASM) Wayne has 30 years' experience in the mining industry as a Metallurgist and a General Manager, specialising in start-up and operation of gold mines in Afri
Slide 14: Ethiopia - A country on the rise
Ethiopia - A country on the rise 15 years of 7-10% GDP growth, with a HQ for African Union, provides UN pro-development culture. peacekeepers for region World’s fastest growing economy. Ranks ahead of Kenya, Mozambique Ethiopia is Second most populous country in and South Africa for Mining open for
Slide 15: Key Points of the Tulu Kapi Expansion Plan
Key Points of the Tulu Kapi Expansion Plan (100% of Tulu Kapi Gold Project – Open Pit only) Jan 18 Final 2017 DFS Update 2015 DFS 1.9-2.1Mtpa 1.5-1.7Mtpa 1.2Mtpa US$1,300/oz US$1,300/oz US$1,300/oz Average head grade 2.1g/t gold 2.1g/t gold 2.1g/t gold Total gold production 980K oz 980K oz 961K oz O
Slide 16: Tulu Kapi Project: Robust cost position
Tulu Kapi Project Robust cost position GFMS’s 2014 (Published in April 2015) All-In-Costs curve for the main global gold mining operations: 50% of gold mining sector is loss making on its own. All-in costs basis at $1,200 gold price versus Tulu Kapi All-in Costs $991/oz (including depeciation and am
Slide 17: Undervalued compared to peer group of pre-development companies
Undervalued compared to peer group of pre-development companies KEFI is today “FS completed” and is Financing to be “In Construction” EV/M&I Gold Company EV/NPV EV/Reserve EV/All Resource EV/Prod Resource Subgroup Averages (x) ($/oz) ($/oz) ($/oz) ($/oz) In Construction 1.19 155 100 61 159 FS comple
Slide 18: Optimised mine plan
Optimised mine plan Rapid delivery of cash flow maximising value Mine design and scheduling at Stage 1 Tulu Kapi has been developed over Stage 3 three stages in order to maximise cash flows over the initial three years (Stage 1) This will facilitate rapid build up of cash reserves, repayment of
Slide 19: Overall Development Funding
Overall Development Funding (including investment already made of c. $60M) US$M Total funding needs before project financing structure, including corporate and exploration 225 Extra funds required for project funding structure, mainly for interest during grace period 31 Total Applications 256 Financ
Slide 20: Organic Growth Pipeline
KEFI MINERALS ORGANIC GROWTH PIPELINE
Slide 21: Drilling at Tulu Kapi in Ethiopia
Drilling at Tulu Kapi in Ethiopia 21
Slide 22: Tulu Kapi - Mineral Resources and Ore Reserves
Tulu Kapi - Mineral Resources and Ore Reserves Tulu Kapi Mineral Resource totals 20.2 million tonnes at 2.65g/t Au, containing 1.72 Moz Au Open Cut Reserve totals 15.5Mt at 2.12 g/t Au for 1.05 Moz Au. (Data from Snowden resource report February 2015) Cut-off Tonnes Gold Ounces JORC (2012) Resource
Slide 23: Trenching at Tulu Kapi
Trenching at Tulu Kapi To sample one of the first lodes to be mined 23
Slide 24: Tulu Kapi – Underground Mine Potential
Tulu Kapi – Underground Mine Potential excluded from project economics at this stage Gold mineralisation may extend deeper and 600 to 800m further to the north - potential for 1Moz below open pit EXISTING UNDERGROUND RESOURCE Ore mined 320,000 tpa at 5.2g/t Life of Mine 4 years Gold production 47,60
Slide 25: Saudi Arabia: 40% JV with Al Rashid Family Artar
Saudi Arabia: 40% JV with Al Rashid Family “Artar” Red Hill at Jibal Qutman, In Saudi Arabia 25
Slide 26: Exploration projects in Saudi Arabia
Exploration projects in Saudi Arabia Includes most of a VHMS Belt ELA and MLA 26
Slide 27: Saudi Arabia: proprietary database
Saudi Arabia: proprietary database KEFI database includes the mineral occurrence data set (“MODS”) which contains the coordinates, exploration history and resource potential compiled by the BRGM and USGS, of the 5,002 MODS in the Arabian-Nubian Shield. This has allowed KEFI to rapidly field-assess a
Slide 28: Thank You
KEFI MINERALS THANK YOU
KEFI Minerals — Investor Presentation (February 2018) on 6ix