Slide 1: December 2014 Half-Year Results Webcast
For personal use only December 2014 Half-Year Results Webcast – 26 February 2015 Access this presentation at: http://webcasting.brrmedia.com/broadcast/133635 http://www.sandfire.com.au
Slide 2: Forward-Looking Statements
For personal use only Forward-Looking Statements • This presentation has been prepared by Sandfire Resources NL. This document contains background information about Sandfire Resources NL current at the date of this presentation. The presentation is in summary form and does not purport be all inclusi
Slide 3: Operations Update
For personal use only Operations Update Mike Spreadborough – Chief Operating Officer 3
Slide 4: 1HFY2015 production; FY2015 guidance and business development
1HFY2015 in Review For personal use only 1HFY2015 production; FY2015 guidance and business development • 1HFY2015 production: 31,413t copper and 17,737oz gold; C1 US$1.22/lb • Processing plant optimisation programs delivering results • Underground mining impacted by water ingress; production and dev
Slide 5: Mid-Quarter Update
1HFY2015 in Review For personal use only Mid-Quarter Update • Mine production running at +1.5Mtpa rates • Mine grade on target for guidance • ROM stocks restored: exceeding 50,000t at 6% Cu • First C4 development ore intersected; development program on target for first stope ore from early FY2016 •
Slide 6: Processing Improvements
1HFY2015 in Review For personal use only Processing Improvements • Pebble crusher operation has allowed increased scatting out of the SAG mill leading to improved grind optimisation and throughput • SAG screen has reduced recycle load on the SAG mill and balance operation of the SAG and Ball mill; s
Slide 7: Financial Results for 1HFY2015
For personal use only Financial Results for 1HFY2015 Matthew Fitzgerald – Chief Financial Officer 7
Slide 8: Headline Financial Results for the Half-Year Ended 31 December 2014
Headline Financial For personal use only Results for the Half- • Sales revenue of $264.2M Year Ended 31 • Strong cash flow from operating activities of $100.3M December 2014 ($112.8M prior to payments for exploration and evaluation expenses) Sandfire maintains dividend • DeGrussa Mine earnings befor
Slide 9: Income Statement Review – Key Results
December 2014 Half Year Presentation – Headline Income For personal use only Income Statement Review – Key Results ($’000) Dec 2014 Dec 2013 Sales revenue 264,236 249,609 Profit before net finance and income tax 50,279 55,943 Net finance expense (5,407) (8,190) Profit before income tax 44,872 47,753
Slide 10: Commodity Prices and Exchange Rate
Commodity Prices and Exchange Rate Market rates – copper and gold For personal use only 10
Slide 11: Income Statement Review – Operating Segments
December 2014 Half Year Presentation Income Statement Review – Operating Segments For personal use only DeGrussa Mine Other Operations Group ($’000) 1HFY2015 Exploration Other 1HFY2015 Sales revenue 264,236 - - 264,236 Metal and price adjustment gains (losses) (13,621) - - (13,621) Other income 4,31
Slide 12: Balance Sheet
December 2014 Half Year Presentation Balance Sheet Review For personal use only ($‘000) Dec 2014 Jun 2014 ASSETS • Cash – includes $17M relating Cash and cash equivalents 45,760 57,590 to finance facility Trade and other receivables 12,487 14,531 Inventories 27,865 36,501 • Inventories – Port and si
Slide 13: Balance Sheet
December 2014 Half Year Presentation Balance Sheet Review For personal use only ($’000) Dec 2014 Jun 2014 LIABILITIES Trade and other payables 33,028 45,359 • Finance facility – $30M repaid during 1HFY2015, $130M Interest bearing liabilities 128,932 75,979 remaining (current) Provisions 2,891 2,672
Slide 14: Cash Flow
December 2014 Half Year Presentation Cash Flow Review For personal use only 14
Slide 15: 2HFY2015 key drivers
2HFY2015 key drivers For personal use only Expecting a strong second half to FY2015 • Mine grade, plant and recovery improvements to drive ~4kt higher Cu production than 1HFY2015 • Once-off water ingress costs of $7.7 million in 1HFY2015 • ~13,000t Cu sales remains subject to QP pricing at 31 Decemb
Slide 16: Summary and Outlook
Summary and Outlook For personal use only Continued strong outlook for the remainder of FY2015 and beyond • 1HFY2015 production: 31,413t copper; 17,737oz gold; C1 US$1.22/lb • Plant optimisation projects delivering immediate results • Strong and consistent outlook for remainder of FY 2015: • FY2015
Slide 17: Contact Details: Sandfire Resources NL
For personal use only Contact Details: Sandfire Resources NL Registered Office and Principal Place of Business Level 1, 31 Ventnor Avenue, West Perth, Western Australia 6005 T +61 8 6430 3800 F +61 8 6430 3849 www.sandfire.com.au 17