Perseus Mining Limited · ASX:PRU
Perseus Mining — European Gold Forum 2017
33 slides from Perseus Mining's conference presentation, Apr 4, 2017
Slide 1: European Gold Forum
For personal use only European Gold Forum Jeff Quartermaine Managing Director & CEO Zurich 4 April 2017 ASX/TSX: PRU www.perseusmining.com 1
Slide 2: Cautionary Statements
Cautionary Statements For personal use only Disclaimer No representation or warranty, express or implied, is made by Perseus that the material contained in this presentation will be achieved or prove to be correct. Except for statutory liability which cannot be excluded, each of Perseus, its directo
Slide 3: Cautionary Statements – Yaouré
Cautionary Statements For personal use only Yaouré All information in this report in the Annual Group Ore Reserves and Mineral Resources Statement concerning the YGP are reported as Foreign Estimates as defined in the ASX Listing Rules in accordance with ASX Listing Rules 5.12.1 to 5.12.10 and as Hi
Slide 4: Snapshot of Perseus Mining Limited
SNAPSHOT OF PERSEUS MINING LIMITED For personal use only West African focussed gold producer, developer and explorer Large Mineral Resource / Ore Reserve inventory Strong production growth profile Debt Clean balance sheet available to fund growth Very experienced board & management team ……translates
Slide 5: Perseus's Value Proposition
For personal use only PERSEUS’S VALUE PROPOSITION 5
Slide 6: Capital Structure
Capital Structure For personal use only As at 29 March 2017 ASX Share price A$0.31 ps Shares outstanding 1,033 m Warrants outstanding1 131 m Market capitalisation A$315 m Cash 2 A$55 m Debt - Enterprise value A$260 m Note: 1. 143,050,770 warrants were issued as part of the Amara acquisition consider
Slide 7: Underperformance Can Create Opportunity
UNDERPERFORMANCE CAN CREATE OPPORTUNITY For personal use only 7
Slide 8: Relative Value Is Clear
RELATIVE VALUE IS CLEAR For personal use only Ev/Reserves (A$/oz) Ev/Reserves (A$/oz) EV/FY18E Production (A$/oz) Ev/FY18E Production (A$/oz) 500 4,000 450 3,500 B2Gold 476 B2Gold 3,640.7 400 Roxgold 411 Centamin 3,431.9 SEMAFO 265 3,000 Roxgold 3,351.4 350 Mining Acacia 254 Acacia Mining2,644.2 Wit
Slide 9: Value Proposition Is Clear
VALUE PROPOSITION IS CLEAR For personal use only • Average covering broker values Perseus at $0.55/share vs. current price of $0.31/share. Indicates that Perseus’s shares are currently trading at a discount of ~ 45% to broker valuation. • Neither broker valuations nor current share price reflect val
Slide 10: Growth Path Is Clear
GROWTH PATH IS CLEAR For personal use only Annual Gold Production & AISC 600 2,000 500 1,600 400 US$ per ounce ‘000 ounces 1,200 300 800 200 400 100 0 0 2016 2017 2018 2019 2020 2021 Edikan (LHS) Sissingue (LHS) Yaoure (EST) (LHS) AISC USD/OZ (RHS) Gold Price (RHS) 10
Slide 11: Why Will the Future for Perseus Be Better?
WHY WILL THE FUTURE FOR PERSEUS BE BETTER ? For personal use only FIVE CRITICAL SUCCESS FACTORS INCLUDING: Physical Assets Human Assets …..Linked by a clearly defined and credible Debt Financial Assets corporate strategy…. Social Licence Gold market 11
Slide 12: Physical Assets
PHYSICAL ASSETS For personal use only Our Locations Assets Overview Sissingué (86%)1 • Large scale open-pit gold mine since 2012 M&I Mineral Resource: 0.8Moz • Low grade (1.1g/t) multi pit mining operation • Efficient processing plant involving gravity, Ore Reserve: 0.4Moz Edikan flotation and CIL g
Slide 13: Edikan Gold Mine: The Established Flagship of the Company
Edikan Gold Mine:The established flagship of the company For personal use only • Multi-pit, open cut gold mining operation in southern Ghana. • Produced 1,000,000th ounce of gold in early March 2017. • 5.0 Moz in M&I Mineral Resources including 2.1 Moz in P&P Ore Reserve at 31 December 2016. • Recen
Slide 14: Edikan Site Layout
For personal use only Edikan Site Layout 14
Slide 15: Edikan Plant - Major Upgrade Completed in October 2016
Edikan Plant - Major upgrade completed in October 2016 For personal use only 15
Slide 16: A Material Turn Around in Operating Performance Is Underway
A material turn around in operating performance is underway….. For personal use only December 2016 March 2017 June 2017 Half Key Parameter Units Quarter1 Quarter2 Year3 Gold Production k ounces 32.223 48-49 90-110 All in Site Costs4 US$/0unce 1,847 1,080-1,120 1,000-1,220 Notes: 1. Actual 2. Current
Slide 17: Updated Edikan Life of Mine Plan
Updated Edikan Life of Mine Plan For personal use only Parameter Units Average per year Total Ex-Pit Mining FY18-221 Life of Mine1 Notes: 1. Perseus has a financial year Total ore + waste mined Mt 34.7 156.1 that ends on 30 June. FY18- Waste mined Mt 25.4 114.5 22 represents the next 5 year period f
Slide 18: Sissingué Gold Mine – Providing Perseus with Near Term Growth
Sissingué Gold Mine – Providing Perseus with near term growth For personal use only • Development project in northern Côte d’Ivoire combining the Sissingué, Bélé East and West deposits. • 0.8 Moz in M&I Mineral Resources including 0.4 Moz in P&P Ore Reserves at 31 March 2017. Excellent potential to
Slide 19: Sissingue Gold Mine – Planned Layout
Sissingue Gold Mine – Planned Layout For personal use only 19
Slide 20: Sissingué Gold Mine under Construction
Sissingué Gold Mine under construction For personal use only 20
Slide 21: Updated Sissingué Life of Mine Plan
Updated Sissingué Life of Mine Plan For personal use only Parameter Units Average per year Total Ex-Pit Mining FY18-211,2 Life of Mine Total ore + waste mined Mt 6.7 25.0 Waste mined Mt 5.1 19.2 Ore mined Mt 1.6 5.8 Head grade g/t gold 2.1 2.1 Strip ratio t:t 3.2 3.3 Processing Quantity ore processe
Slide 22: Yaouré Gold Project: Providing Perseus with Medium Term Growth
Yaouré Gold Project: Providing Perseus with medium term growth For personal use only • DFS stage development project in central Côte d’Ivoire, located on a brownfields site, close to excellent existing infrastructure. • Measured and Indicated Mineral Resources of 5.2Moz (104.1Mt at 1.54g/t)*. • Pote
Slide 23: Yaouré Gold Project – Current Site Activities
Yaouré Gold Project – Current Site Activities For personal use only 23
Slide 24: The Future: Strong Pipeline from Exploration to Production
The Future: Strong Pipeline from Exploration to Production For personal use only Production Edikan Construction Sissingué /Bélé Feasibility Study Esuajah S. Yaouré Pre-Feasibility / Mampong Concept Study Dadieso Grumesa Advanced Bokitsi Exploration Mahalé Mbengué Zouan-Hounien Nkotumso Initial Explo
Slide 25: Human Assets – Management Team
HUMAN ASSETS – Management team For personal use only Role Team Member Chief Executive Officer & Managing Director Jeffrey Quartermaine Executive Director – Commercial Services Colin Carson Experienced and Nana Prah Agyensaim VI Chairman – Perseus Ghana capable senior Chief Operating Officer Chris Wo
Slide 26: Human Assets – Board of Directors
HUMAN ASSETS – Board of Directors For personal use only Sean Harvey Jeff Quartermaine Colin Carson Non-Executive Managing Director Executive Director Chairman and CEO Significant management and M&A More than 25 years’ experience in financial and Director of numerous Australian public experience with
Slide 27: Financial Assets
FINANCIAL ASSETS For personal use only • Cash and bullion of AUD67.5 million and no external borrowings at 31 Dec 2016. • Hedge book as at 31 December 2016, includes gold forward sales for 165,973 ounces at a weighted average price of US$1,287/ounce – i.e. in the money. • Edikan currently cash posit
Slide 28: Social Licence to Operate
SOCIAL LICENCE TO OPERATE For personal use only • Perseus’s strong ‘social licence’ to operate in both Ghana and Côte d’Ivoire is built on trust and delivering on promises. • Strong social licence from local community is a critical defence against negative external forces e.g. security threats, ille
Slide 29: Social Licence to Operate
SOCIAL LICENCE TO OPERATE For personal use only • In Ghana, recently commissioned a 201 structure housing estate to house families impacted by mining activities. Change of government also likely to enhance relations with the bureaucracy. • In Côte d’Ivoire, at earlier stage of relations but very enc
Slide 30: Market for Gold
MARKET FOR GOLD For personal use only … lots of factors at work, but recent strength and medium to long term outlook seems promising… 30
Slide 31: Our Strategy for Creating Value for Shareholders
Our Strategy for Creating Value for Shareholders For personal use only Optimise Drive increased shareholder value Leverage the skills and productivity at Edikan through successful experience of our through further optimisation and development and operating team and operation of multiple, Board to de
Slide 32: Why Will the Future Be Better for Perseus's Shareholders?
Why will the future be better for Perseus’s share holders? For personal use only • The five ingredients for success and the linking strategy currently exist within Perseus • Our team is capable of executing our well thought out and credible corporate strategy • Strong evidence exists of improved ope
Slide 33: Contact Us
Contact Us For personal use only ASX/TSX: PRU www.perseusmining.com Jeff Quartermaine Managing Director & CEO +61 8 6144 1700 Cathy Moises Investor Relations (Australia) +61 412 196 350 cathy.moises@perseusmining.com Nathan Ryan Media Relations (Australia) +61 420 582 887 33