Slide 1: Didipio Operations Site Visit – Day 2
April 2016 Didipio Operations Site Visit – Day 2
Slide 2: Cautionary & Technical Statements
Cautionary & Technical Statements Cautionary Notes - Information Purposes Only The information contained in this presentation is provided by OceanaGold Corporation (“OGC”) for informational purposes only and does not constitute an offer to issue or arrange to issue, or the solicitation of an offer t
Slide 3: Process Plant Operations
PROCESS PLANT OPERATIONS
Slide 4: Processing Plant Flowsheet
Processing Plant Flowsheet 4
Slide 5: Production Graphs
Production Graphs OCEANAGOLD Milling History Concentrate Production History 1000000 500 35000 40 900000 450 300000 400 700000 350 600000 300 500000 250 MB Mill Tonnes Utilisation 400000 200 —Thrpughput TPH 300000 150 200000 100 100000 50 0 0 2013 Q1 2013 Q2 2013 Q3 2013 Q4 2014 Q1 2014 Q2 2014 Q3 20
Slide 6: Processing Cost per Tonne
Processing Cost per Tonne Processing Cost per Tonne 2013 2014 2015 Date Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 $/t $12.17 $8.94 $11.33 $11.09 $9.81 $13.60 $10.83 $10.91 $8.99 $8.75 $7.27 $8.34 Tonnes 448,703 727,536 672,921 729,135 750,627 640,616 849,656 870,616 831,771 938,318 905,879 905,500 Process
Slide 7: OHPL Routes Phase 1 and Phase 2
OHPL Routes Phase 1 and Phase 2 OHPL Specifications 69kV single circuit ▶ Steel pole structure with vertical transmission lines Conductor ▶ Phosphorous Conductor ▶ Diameter – 26.30mm 13.8kV single circuit ▶ Underbuilt horizontal transmission line Conductor ▶ Quail Conductor ▶ Diameter – 11.35mm Eart
Slide 8: Overhead Powerline
Overhead Powerline Length of Powerline ▶ 56 trained and experienced drivers ▶ 5 designated stop points along transportation route ▶ 10 and 5 equal time roster Capital Cost ▶ Approximately $15 million ▶ Supply cost $0.14 kWh to $0.15 kWh 8
Slide 9: Power Cost
Power Cost $/kWhr/t 2013 2014 2015 Date Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Power $/t $6.67 $5.41 $6.53 $6.27 $5.73 $7.02 $6.14 $6.18 $4.07 $4.63 $3.76 $4.15 kWhr/t 26.4 22.8 26.3 23.8 23.1 27.6 23.3 22.4 25.4 23.2 25.3 26.6 Tonnes 448,703 727,536 672,921 729,135 750,627 640,616 849,656 870,616 831,
Slide 10: Didipio Concentrate Production
Didipio Concentrate Production ▶ 100% of concentrate sold to Trafigura Pte. Ltd. ▶ Shipments made to smelters in Asia; typically Korea and Japan ▶ 14 Shipments in 2015 with total cargo of 107,128 DMT ▶ Gold grade in concentrate increasing, copper grade 24-25%, silver grade 90 g/t 10
Slide 11: Concentrate Logistics
Concentrate Logistics Concentrate Haulage ▶ 20 OGPI Concentrate Haul Trucks ▶ 56 trained and experienced drivers ▶ 5 designated stop points along transportation route ▶ 10 and 5 equal time roster 11
Slide 12: Concentrate Logistics
Concentrate Logistics Safety Innovation – HT CCTV Camera ▶ 4 way camera recording system installed in all trucks. Records entire journey and can be utilised for reviewing driver’s performance and incident investigation. 12
Slide 13: Concentrate Logistics
Concentrate Logistics Poro Port ▶ Poro Port is situated inside Poro Point Industrial Corporation (PPIC), along Pennsylvania Avenue, Poro Point, San Fernando, La Union ▶ 1.5 km from warehouse to wharf. ▶ Concentrate loaded via transport “skips” to vessel for Shipment to next port of destination. 13
Slide 14: Selling Costs
Selling Costs Concentrate Cost Per Tonne Q2 '13 Q3 '13 Q4 '13 2013 Q1 '14 Q2 '14 Q3 '14 Q4 '14 2014 Q1 '15 Q2 '15 Q3 '15 Q4 '15 2015 Haulage Cost to Export Port $ 194 $ 117 $ 73 $ 130 $ 66 $ 48 $ 51 $ 55 $ 56 $ 49 $ 46 $ 38 $ 47 $ 45 Port to Smelter Costs per DMT $ 210 $ 193 $ 204 $ 201 $ 264 $ 286
Slide 15: Plant Enhancements
Plant Enhancements 2016 ▶ Mill Lube cooling water recirculation (Env - reduce raw water use - completed) ▶ Arc Flash Protection at PowerStation (safety improvement- completed) ▶ Smart System for Mill Feed Control (Production improvement – more tonnes) ▶ Alternate Gravity table to suit our GRG (Recov
Slide 16: Community Relations & Communications
COMMUNITY RELATIONS & COMMUNICATIONS
Slide 17: Social Investment Framework
Social Investment Framework ▶ Tripartite collaboration in Infrastructure formulation of plans and policies ▶ Consultation process Environment Education ▶ Community involvement in Central planning and implementation Steering Committee ▶ Empowering the community to make decisions and manage Business H
Slide 18: Investments
2015 Spend on Community Investments US$4.2 million investment in community programs & initiatives in 2015 Infrastructure Assistance Education Capacity Building Sports and Socio-Cultural Development Enterprise Development Health and Nutrition 18
Slide 19: Infrastructure
Infrastructure 200 infrastructure projects implemented in 2015 Roads & Drainage Local Water Systems School Building Solar Dryer Elem. Mini Gym Day Care Center Waiting Shed & Storage Building Health Center 19
Slide 20: Education
Education ▶ 229 scholars from residents of host and neighboring communities ▶ First Mining Engineer Scholar graduated in June 2015 ▶ 48 teachers’ salaries subsidised ▶ Trainings for teachers and students 20
Slide 21: Capacity Building
Capacity Building Annual Assessment & Planning Workshop Nueva Vizcaya Young Leaders Congress ERT Training UG Trainees 21
Slide 22: Capacity Building – Cont.
Capacity Building – Cont. Underground Metalliferous Mining Simulator ▶ Upgrading local skills to support Didipio UG Operations ▶ Training output: Australian industry recognized Certificate II in Underground Metalliferous Mining ▶ First batch of 15 trainees graduated in November 2015 22
Slide 23: Enterprise Development – DiCorp
Enterprise Development – DiCorp ▶ Didipio Community Development Corporation (DiCorp) employs more than 300 from local communities. ▶ Awarded contracts in camp catering, catering supplies, housekeeping, laundry and employee shuttle services, manpower pool, road maintenance, copper concentrate haulage
Slide 24: Enterprise Development – Cont.
Enterprise Development – Cont. ▶ Organized 8 community cooperatives that serve as conduit for funds allocated for small enterprises ▶ Established new community hardware store managed by a cooperative ▶ Supported existing small businesses (poultry, swine raising, fish farming) ▶ Collaborate with Gram
Slide 25: Communications
Communications Communications Department ▶ Regular updating of internal and external stakeholders ▶ Information campaigns at regional, provincial, municipal and barangay levels Publications and AV Presentations Events/Community Activities Press Releases Mine Tours 2015 – 2,914 total participants Pre
Slide 26: 2016 Plan
2016 Plan Infrastructure Human Resource US$4M US$1M ▶ Community Water System ▶ Support to K to 12 Program ▶ Didipio Family Health Centre ▶ College Scholarship (200+ students) ▶ 2.2 km provincial road concreting ▶ Salary/Subsidy 43 Teachers, 63 ▶ Sanitary Landfill Health Workers ▶ 3-story high school
Slide 27: Exploration
a) OCEANAGOLD EXPLORATION
Slide 28: OceanaGold's Philippine Tenements
OceanaGold’s Philippine Tenements North Luzon Didipio Tenements Tenements North Luzon Didipio ▶ Over 80k hectares of prospective ground Surigao ▶ Received the five Surigao Tenements year extension to the exploration period of the Didipio FTAA this March 2016 28
Slide 29: Didipio FTAA-001 Exploration History
Didipio FTAA-001 Exploration History ▶ 1975 Gold was first discovered. Locals by panning around Didipio hill. Ground staked by Victoria Consolidated. ▶ 1977 First regional exploration by Victoria Consolidated – Copper in panned concentrate highly anomalous in Didipio. ▶ 1983 Geophilippines identifie
Slide 30: Didipio 3-D Geology
Didipio 3-D Geology ▶ NW-SE trending co-axial intrusions with high aspect ratio (V:H) ▶ Produced three stages of porphyry Cu- Au mineralisation From Wolfe and Cooke (2011) 30
Slide 31: Didipio – Resource Geology
Didipio – Resource Geology Resource Estimate Section Showing Major Lithology Pit Topo as of 12-Apr-16 Stage 6 Monzonite Final Pit ≥ 1.50 AuEQ ≥ 0.52 AuEQ Breccia ≥ 0.30 AuEQ ▶ High grades in the quartz sulfide breccia (Stage 3) above the Bufu syenite and in the Bufu Balut dykes (Stage 2) Balut dykes
Slide 32: Mine Permit Area Exploration
Mine Permit Area Exploration Chinichinga ▶ 13,057.4m of San Pedro drilling since 2013 True Blue ▶ Tested the True Didipio Au-Cu Blue, Morning Luminag Star, D’Beau, Luminag, and San Pedro Morning Star D’Beau prospects ▶ 30.4 line-km of IP/MT survey using Titan24 in 2014 Mining Permit Area IP/ MT Surv
Slide 33: Mine Permit Area Exploration
Mine Permit Area Exploration Geology, Geochemistry with 2016 Drilling ▶ 2,900m of proposed drilling for 2016 San Pedro True Blue ▶ Follow-up drilling Didipio Au-Cu on Morning Star Luminag and Luminag MSDH217 (ongoing) Morning Star D’Beau MSDH216 (completed) Mining Permit Area Monzonite Anomalous Roc
Slide 34: Mine Permit Area Exploration
Mine Permit Area Exploration Geophysics with 2016 Drilling ▶ 2,900m of Chinichinga proposed drilling San Pedro True Blue for 2016 ▶ Testing new Didipio Au-Cu targets at Luminag MSDH217 Chinichinga and San Pedro MSDH216 D’Beau prospects Background Image: Ground Magnetics Mining Permit Area Ground Mag
Slide 35: San Pedro Prospect
San Pedro Prospect Trench ID Width (m) GOLD (g/t) COPPER (%) Trench 1 30 0.95 0.04 Trench 2 30 0.83 0.05 Trench 3 15 0.79 0.09 Trench 4 10 0.36 0.13 Trench 5 10 0.50 0.05 Trench 8 20 0.21 0.14 ▶ An area of anomalous gold- copper in historical Mining Permit Area Trench 1 trenching to be tested by dri
Slide 36: Didipio FTAA-001 Regional Geology
Didipio FTAA-001 Regional Geology Tadjie Napartan Nabilaan ▶ FTAA 13,212 hectares Cabinwangan Malong Upper Mogambos ▶ PDMF 975 Tucod hectares Binogawan ▶ 5 Year renewal Malabing ▶ Porphyry Cu-Au Papaya deposit with Capisaan significant D’Fox Didipio Au-Cu upside for further discovery Didipio FTAA-00
Slide 37: Didipio FTAA-001 Regional Geophysics
Didipio FTAA-001 Regional Geophysics Napartan Nabilaan ▶ Airborne Tadjie magnetics Cabinwangan Mogambos survey Upper Malong Tucod mapped broad lithologic and alteration Malabing features as Binogawan well as Papaya Capisaan structures Background Image: Reduced to Pole Magnetics Didipio Au-Cu D’Fox D
Slide 38: Didipio FTAA-001 Drainage Geochemistry
Didipio FTAA-001 Drainage Geochemistry Napartan Nabilaan ▶ Several Au-Cu- Tadjie As stream Mogambos sediment Cabinwangan Malong Upper Tucod anomalies highlighted Binogawan large number Malabing Didipio Au-Cu of targets Papaya Capisaan D’Fox Didipio FTAA-001 Cu anomaly in Stream Mineral Deposit Sampl
Slide 39: Didipio FTAA-001 Soil Geochemistry
Didipio FTAA-001 Soil Geochemistry ▶ Follow up soil surveys over Mogambos TNN prospective Cabinwangan Upper Tucod targets delineated MMB gold-copper anomalies Papaya Capisaan Didipio Au-Cu D’Fox Didipio FTAA-001 Mineral Deposit +200 ppm Cu Other OGC Tenements 30 50 80 100 200 >1000 0 3 Soil Grid Min
Slide 40: Didipio FTAA-001 Rock Geochemistry
Didipio FTAA-001 Rock Geochemistry ▶ Rock chip sampling Mogambos TNN support Upper Tucod stream and Cabinwangan soil anomalies MMB Papaya Capisaan Didipio Au-Cu D’Fox Au ppm in Rocks Didipio FTAA-001 Mineral Deposit >= 1.0 Other OGC Tenements +0.1 % Cu in Rocks 0.5 to < 1.0 0 3 Mining Permit Area 0.
Slide 41: D'Fox Prospect
D’Fox Prospect Drilling Highlights: Drill Hole From Width (m) GOLD (g/t) COPPER (%) FDDH17 31 27 0.33 0.30 67 53 0.31 0.21 130 31 0.29 0.24 FDDH90 180 48 0.31 0.25 FDDH91 149 81 0.71 0.27 239 63 0.67 0.24 FDDH105 244 105 0.66 0.34 355 45 0.74 0.34 FDDH109 315 63 0.25 0.15 40m @ 0.59 g/t Au & 0.19% C
Slide 42: Papaya Prospect
Papaya Prospect ▶ Located 12km Wst of Didipio ▶ Grid soil sampling delineated 1.42 g/t Au, 18.8 g/t Ag 2km x 1km Au-Cu (±Pb-Zn-V) and 6.81% Cu anomaly coincides with sericite-clay alteration 2m @ 1.48 g/t Au Rock samples returned 2m @ 1.91 g/t Au ▶ anomalous gold-copper in 30m @ 0.70 g/t Au and 0.1
Slide 43: Mogambos Prospect
Mogambos Prospect ▶ Located 4km Nth of Didipio ▶ Grid soil sampling delineated Au-Cu anomalies largely coincident with mapped diorite/monzonite intrusions 1.6 KM 1.56 g/t Au and 0.4 % Cu * ▶ Main anomaly measures 1km by 200-400m wide ▶ Drilling planned for 2016 to 1 KM test geochemical anomalies MAP
Slide 44: Upper Tucod Prospect
Upper Tucod Prospect ▶ Located 8km NW of Didipio 15.1 g/t Au and 0.1 % Cu * ▶ Mapped gold-silver bearing base-metal rich veins peripheral to diorite/monzonite intrusions 1.02 g/t Au * 1.90 g/t Au and 8.13 g/t Au * 0.8 % Cu ▶ Au-Cu anomaly delineated by grid soil sampling 1.73 g/t Au, 141 g/t Ag and
Slide 45: TNN, MMB and Upper Tucod Prospects
TNN, MMB and Upper Tucod Prospects 27.1 g/t Au and 27 g/t Ag ▶ Located 10km NW of Didipio, 1.90 g/t Au and along Tatt’s fault trend 0.8 % Cu 19.0 g/t Au and 8.0 g/t Ag ▶ Significant Large area of Au- Cu soil anomalism and 1.70 g/t Au, 206 g/t Ag and 12 % Cu, supporting mineral rock samples. 1.48 g/t
Slide 46: www.oceanagold.com
y / www.oceanagold.com 4) Innovation ¢ Performance ¢ Growth OCEANAGOLD