DOCSLIB.ORG

Corporate Presentation

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Corporate Presentation CORPORATE PRESENTATION January, 2021 TSX:EDV DISCLAIMER AND FORWARD LOOKING STATEMENTS Cash cost per ounce and all-in sustaining cash cost per ounce are non-GAAP important factors that could cause actual results to differ materially from performance measures with no standard meaning under IFRS. This those contained in forward-looking statements, there may be other factors presentation contains “forward-looking statements” including, but not limited that cause results not to be as anticipated, estimated or intended. There can to, statements with respect to Endeavour’s plans and operating performance, be no assurance that such statements will prove to be accurate, as actual the estimation of mineral reserves and resources, the timing and amount of results and future events could differ materially from those anticipated in estimated future production, costs of future production, future capital such statements. Accordingly, readers should not place undue reliance on expenditures, and the success of exploration activities. Generally, these forward-looking statements. Please refer to Endeavour’s most recent Annual forward-looking statements can be identified by the use of forward-looking Information Form filed under its profile at www.sedar.com for further terminology such as “expects”, “expected”, “budgeted” and “ forward-looking information regarding the risks affecting Endeavour and its business. statements, while based on management’s best estimates and assumptions, are subject to risks and uncertainties that may cause actual results to be Clinton Bennett, Endeavour's Vice President of Technical Services, a Member materially different from those expressed or implied by such forward-looking of the Australasian Institute of Mining and Metallurgy, is a “Qualified Person” statements, including, but not limited to, risks related to the successful as defined by National Instrument 43 101 Standards of Disclosure for Mineral integration of acquisitions, risks related to international operations, risks Projects (“NI 43 101”) and has reviewed and approved the technical related to general economic conditions and credit availability, actual results of information in this news release. current exploration activities, unanticipated reclamation expenses, changes in project parameters as plans continue to be refined, fluctuations in prices of metals including gold fluctuations in foreign currency exchange rates, increases in market prices of mining consumables, possible variations in ore reserves, grade or recovery rates, failure of plant, equipment or processes to operate as anticipated, accidents, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the mining industry, delays in the completion of development or construction activities, changes in national and local government regulation of mining operations, tax rules and regulations, and political and economic developments in countries in which Endeavour operates. Although Endeavour has attempted to identify TABLE OF CONTENTS 1 ENDEAVOUR OVERVIEW 2 TERANGA COMBINATION 3 OUTLOOK & RESULTS 4 COVID-19 RESPONSE 5 DETAILS BY MINE AND PROJECT 6 ESG 7 WEST AFRICA INSIGHTS 8 APPENDIX Note: All amounts are in US$, except where indicated, and may differ from MD&A due to rounding. 01 SECTION 1 ENDEAVOUR OVERVIEW CORPORATE PRESENTATION ENDEAVOUR MINING OVERVIEW A premier diversified West African gold producer Top 15 6 GLOBAL GOLD MINES PRODUCER 915-1,010koz $900-950/oz 2021 PRODUCTION TARGET 2021 AISC TARGET 23Moz 10Moz M&I RESOURCES P&P RESERVES ~4,700 EMPLOYEES 5 CORPORATE PRESENTATION COMPANY PROFILE Shareholder Distribution Ticker TSX:EDV Shares outstanding as at September 30, 2020 163m RETAIL LA MANCHA MANAGEMENT INSTITUTIONAL Share price as at January 26, 2021 C$26.48 Europe Market cap as at January 26, 2021 US$3.4bn Net cash as at December 31, 2020 ~US$70m Other North America 5% 24% 1% 70% Share Price Performance Top Shareholders Volume Endeavour S&P TSX Global Gold Rank Institution name % of S/O 550 500 1 La Mancha 24.1% 450 2 BlackRock Investment Management (UK) 11.4% 400 3 Van Eck Associates 10.1% 350 4 Fidelity International 3.1% 300 250 5 Ninety One UK 2.3% 200 6 Ruffer LLP 2.1% 150 7 The Vanguard Group 2.0% Share price rebased to 100 to rebased price Share 100 8 Condire Investors 2.0% 50 9 RBC Global Asset Management 1.9% 10 Elliott Management 1.7% 30-Jun-16 30-Jun-17 30-Jun-18 30-Jun-19 30-Jun-20 30-Sep-19 30-Sep-16 30-Sep-17 30-Sep-18 30-Sep-20 31-Dec-15 31-Dec-16 31-Dec-17 31-Dec-18 31-Dec-19 31-Dec-20 31-Mar-16 31-Mar-17 31-Mar-18 31-Mar-19 31-Mar-20 6 CORPORATE PRESENTATION CREATE A PREMIER DIVERSIFIED WEST AFRICAN GOLD PRODUCER STRATEGIC OBJECTIVES STRATEGIC PILLARS <$850/oz Diversification All-in sustaining cost across multiple countries and mines +10 YEARS Production visibility from operating assets +20% ROCE with strong capital allocation discipline 700koz to 1Moz Annual production 7 CORPORATE PRESENTATION PRODUCTION AND AISC PROFILE Focused on long-term sustainable production at low cost INVESTMENT DEBT REDUCTION DIVIDEND PHASE PHASE PHASE 1,066koz 915-1,010koz IN PRODUCTION Mana Boungou 727koz Ity CIL 663koz 651koz Karma 593koz Houndé 516koz Agbaou $922/oz $886/oz ~$900 $866/oz $843/oz $818/oz ~$871/oz DIVESTED / CEASED - Tabakoto 950/oz Ity HL Nzema Youga 2015 2016 2017 2018 2019 2020 2021 Ity HL Youga divested Houndé completed Tabakoto divested Ity CIL SEMAFO acquisition acquired Karma acquired Kalana acquired construction Nzema divested completed FY-2020 Pro Forma with SEMAFO assets 8 CORPORATE PRESENTATION OPERATIONAL EXCELLENCE 1 Hands-on management model with teams close to operations Senior Management Sebastien de Montessus CEO & Director SENEGAL 2h40 GAMBIA MALI Karma Henri de Joux Mine Interim CFO BURKINA FASO EVP People, Culture & IT Ouagadougou GUINEA- Bamako Mana BISSAU Mine Boungou Mark Morcombe Kalana Houndé Mine Mine COO GUINEA Project 2h 2h Bantou Project Morgan Carroll SIERRA EVP Corporate Finance & Fetekro 2h General Counsel LEONE CÔTE Project 1h35 D’IVOIRE GHANA 35min Patrick Bouisset Ity Mine EVP Exploration & Growth LIBERIA Agbaou Mine Abidjan Pascal Bernasconi Operations Office EVP Public Affairs, CSR & hours Flight time Security 200km 9 CORPORATE PRESENTATION OPERATIONAL EXCELLENCE 1 Safety is our top priority Lost Time Injury Frequency Rate(1) (on a rolling 12-months basis) 1.10 0.12 Lost Time Injury Frequency Rate 0.40 0.29 0.16 0.12 0.12 3 LTIs Over the past 12 months Industry FY-2016 FY-2017 FY-2018 FY-2019 2020 average (2) Trailing 12 months (1) Lost Time Injury Frequency Rate= (Number of LTIs in the Period X 1,000,000)/ (Total people hours worked for the period) (2) GMR Research 2020 report dated June 2020 10 CORPORATE PRESENTATION OPERATIONAL EXCELLENCE 1 Focused on growing local talent Employee breakdown1 Expats Nationals GENERAL MANAGERS 95% 75% site workforce 3 out of 4 are West African are nationals 0% 25% in 2017 in 2018 SITE WORKFORCE HEAD OF DEPARTMENTS % 95% 42% 75 2,327 out of 2,479 15 out of 36 GMs are are nationals are nationals 93% 95% 33% 36% West African in 2017 in 2018 in 2017 in 2018 1. Excludes SEMAFO assets. 11 CORPORATE PRESENTATION OPERATIONAL EXCELLENCE 1 Adoption of World Gold Council’s Responsible Gold Mining Principles Adopted from the World Gold Council Responsible Gold Mining Principles › An overarching framework that sets out clear expectations as to what constitutes responsible gold mining › Designed to provide confidence to investors, supply chain participants and investors that gold has been produced responsibly › Implementing companies will be required to publicly disclose conformance and obtain external assurance on this › Reflects the commitment of the world’s leading gold mining companies to responsible mining 12 CORPORATE PRESENTATION OPERATIONAL EXCELLENCE 1 Eighth consecutive year of meeting guidance Production, on a 100% basis, in koz All-in sustaining costs, in $/oz EDV Guidance Standalone EDV +TGZ Guidance 1,500 1,400 ASSETS TGZ 1,300 1,200 1,100 1,010 1,000 900 922 800 886 869 ~870 700 843 600 818 1,066 915 500 - 400 1,010 727 663 300 593 651 466 516 200 100 0 2014 2015 2016 2017 2018 2019 2020 2021 2014 2015 2016 2017 2018 2019 2020 2021 1. All amounts include discontinued operations, 2020 amounts Pro Forma with SEMAFO assets 13 CORPORATE PRESENTATION OPERATIONAL EXCELLENCE 1 Slotted SEMAFO’s assets within our well-established West African operating model INSIGHTS Lean Corporate Head Office › Potential annual synergies of $35 to $40 million General managers are empowered › Identified synergies are in the and reply on strong Group Support Functions areas of procurement and supply chain optimization, corporate and in-country G&A Mine Site savings, centralization of technical services and functions across the group Planning & › Estimated that synergies will Community Processing be progressively fully unlocked Budgeting in 2021 Geology HSE & Security Supply Chain based in West Africa West in based Group support functions support Group People HR, IT, Finance Mining Development 14 CEO CORPORATEINTRODUCTION PRESENTATION PROJECT DEVELOPMENT 2 Strong construction track record MOST RECENT MINE BUILDS COMPLETION NZEMA, GHANA, BUILT IN 2010 AGBAOU, CÔTE D’IVOIRE, BUILT IN 2014 ON-SCHEDULE HOUNDÉ, BURKINA FASO, BUILT IN 2017 ITY CIL, CÔTE D’IVOIRE, BUILT IN 2019 ON-BUDGET 0 LTIs 15 CORPORATE PRESENTATION PROJECT DEVELOPMENT 2 Strong exposure across asset lifecycle 13 Greenfields Exploration 4 Projects 6 Mines Daoukro Cluster Côte d’Ivoire Kofi Trend Siguiri Bondoukou Cluster Karma Mali Guinea Côte d’Ivoire Nabanga Burkina Faso Fetekro Côte d’Ivoire Houndé Mana Fougadian Barrick JV KORHOGO Sia/Sianikou Mali Côte d’Ivoire Côte d’Ivoire Houndé Trend Ity Agbaou Kalana Mali Liguidi Liptako Mt. Ba/Gueya Bantou Boungou Burkina Faso Niger Côte d’Ivoire Tiepleu Ity trend Burkina Faso IMMEDIATE CASH FLOW NEAR-TERM GROWTH LONG-TERM UPSIDE FROM PRODUCTION FROM PROJECTS FROM GREENFIELD EXPLORATION 16 CORPORATE PRESENTATION PROJECT DEVELOPMENT 2 Attractive organic growth opportunities INSIGHTS › Endeavour continues to build optionality within its portfolio by progressing exploration and NAME Kalana Fetekro Bantou Nabanga studies in its project pipeline.
Load more

Recommended publications
  • 2013 Global Gold Price Report Annually, Pwc Surveys Gold Mining Companies from Around the World
    www.pwc.com/ca/mining 2013 Global Gold Price Report Annually, PwC surveys gold mining companies from around the world. This year, we contacted executives from a cross-section of senior, mid-tier and junior gold mining companies representing 35 million ounces of gold mined in 2012 and 35 million ounces expected to be mined in 2013. Inside 1 Survey participants 14 Interview with Randy Smallwood, President and CEO, Silver Wheaton Corporation 2 PwC’s point of view 17 Global silver price survey responses 4 Gold price performance 18 Deals activity in 2012 6 Interview with Jamie Sokalsky, President and CEO, Barrick Gold Corporation 20 Gold deal activity 8 Gold miners’ cash allocation and capital 22 Mining in South Africa — 2013 outlook investment strategies Back Contact information 10 Mine planning data ii Global gold price Global silver price survey participants survey participants We would like to thank the senior executives from the companies We would like to thank the senior executives listed below for participating in our Global Gold Price Survey. from the companies listed below for participating in our Global Silver Price Survey. Agnico-Eagle Mines Ltd McEwen Mining Inc Coeur d’Alene Mines Corp Amara Mining plc Midway Gold Corp Endeavour Silver Corp B2Gold Corp New Gold Inc First Majestic Silver Corp Barrick Gold Corp Newmont Mining Corp Fortuna Silver Mines Inc Caledonia Mining Corp Northern Star Mining Corp Great Panther Silver Ltd Cerro Grande Mining Corp OceanaGold Corp Impact Silver Corp Centerra Gold Inc Orvana Minerals Corp Pan American
    [Show full text]
  • St Barbara Limited
    St Barbara Limited ACN 009 165 066 Level 10, 432 St Kilda Road, Melbourne VIC 3004 Locked Bag 9, Collins Street East, Melbourne VIC 8003 Tel +61 3 8660 1900 Fax +61 3 8660 1999 www.stbarbara.com.au Notice of 2012 Annual General Meeting The Annual General Meeting of the Company will be held at 11.00 am (Melbourne time) on Thursday 22 November 2012, in the State Library of Victoria Conference Centre, Entry 3 in La Trobe Street between Russell and Swanston Streets, Melbourne. The 2012 Annual Report, Notice of Annual General Meeting and Proxy Form are attached, as distributed to shareholders today. Ross Kennedy Executive General Manager Corporate Services Company Secretary 22 October 2012 For personal use only 1 Annual Report 2012 For personal use only Contents 01 Introduction 04 Chairman and Managing Director & CEO’s Joint Report 06 Operations Report 08 Discovery and Growth 09 Chief Financial Offi cer’s Review 10 People, Environment, Safety & Social Responsibility 11 Board of Directors 12 Executives 13 Ore Reserves and Mineral Resources Statements 18 Corporate Governance 21 Financial Statements Highlights Gold Production Revenue 338,879 ounces – 31% $541 million – 50% 2012 2012 2011 2011 2010 2010 2009 2009 2008 2008 0 50,000 100,000 150,000 200,000 250,000 300,000 350,000 0 150,000 300,000 450,000 600,000 NPAT EPS $130 million – 90% 40 cents per share (1) – 90% For personal use only 2012 2012 2011 2011 2010 2010 2009 2009 2008 2008 -90 -60 -30 0 30 60 90 120 150 -40 -20 0 20 40 (1) Shares adjusted for 6:1 consolidation in November 2010 Introduction 2012 was an historic year for St Barbara.
    [Show full text]
  • Annual Report 08 | 09 Corporate Directory
    ANNUAL REPORT 08 | 09 CORPORATE DIRECTORY ALLIED GOLD LIMITED Auditors Nominated Advisor (UK) ABN 86 104 855 067 BDO Kendalls Audit & Assurance Beaumont Cornish Limited (WA) Pty Ltd 5th Floor, 10-12 Copthall Ave 128 Hay Street London EC2R 7DE Directors Subiaco WA 6008 Mark Victor Caruso UK Broker Executive Chairman Share registry Mirabaud Securities Limited Computershare Investor Serivces Pty Ltd 21 St JamesÕ Square Gregory Hugh Steemson Level 2, London SW1Y 4JP Non-executive Director Reserve Bank Building United Kingdom 45 St Georges Terrace Anthony Carmel Lowrie Perth, Western Australia Non-executive Director UK Share Registrars WA 6000 Computershare Investor Services Plc Frank Terranova PO Box 82 Executive Director Solicitors The Pavillions Steinpres Paganin Bridgwater Road Montague House Level 4, Bristol, BS99 7NH Non-executive Director Next Building, 16 Milligan Street United Kingdom Perth, Western Australia CONTENTS Company Secretary WA 6000 Mr Peter Torre Stock Exchange Listing Registered Office The company is listed on the Australian Stock Exchange Limited and LondonÕs Alternative Unit B9, 431 Roberts Road, Investment Market under the trading code Subiaco, ALD and AGLD respectively. Western Australia, 6008. Telephone : +617 3252 5911 Facsimile: +61 7 3252 3552 E-mail: [email protected] Web: www.alliedgold.com.au @kkhdcFnkcAnnual Report 2009 @kkhdcFnkcAnnual Report 2009 EXECUTIVE CHAIRMAN’S REPORT Executive Chairman’s Report / 1 Dear Shareholders, by Barrick Gold Corporation pursuant to its exploration alliance with Allied Gold.
    [Show full text]
  • 2020 Annual Report
    ASX Release / 18 September 2020 2020 Annual Report The 2020 Annual Report for St Barbara Limited is attached, as distributed to shareholders today. The Annual Report complements, and should be read in conjunction with, information contained in the Annual Report Company’s corresponding Sustainability Report and Corporate Governance Statement, both released today and available at www.stbarbara.com.au. Integrated suite of annual reporting Corporate Sustainability Governance Report Statement Investor Relations Mr David Cotterell Manager Investor Relations +61 3 8660 1900 ASX: SBM Media Relations Mr Ben Wilson GRACosway +61 407 966 083 ADR: STBMY Authorised by Mr Rowan Cole Company Secretary St Barbara Limited Level 10, 432 St Kilda Road, Melbourne VIC 3004 T +61 3 8660 1900 F +61 3 8660 1999 ACN 009 165 066 Locked Bag 9, Collins Street East, Melbourne VIC 8003 W www.stbarbara.com.au ANNUAL REPORT 2020 St Barbara Limited ABN 36 009 165 066 OUR BUSINESS We are St Barbara – a growing gold company with a global outlook. An ASX 200 company, our gold mining operations are located in Australia, Canada and Papua New Guinea. As we operate our business and care for our people, we are guided by our five commitments and values-led culture. At St Barbara, doing the right thing is important to all of us. Our commitments SAFETY EMPOWERED PEOPLE STRONGER RESPECTING THE GROWING ALWAYS DIVERSE TEAMS COMMUNITIES ENVIRONMENT SUSTAINABLY Zero harm is always We are an employer We strive to help our We are committed Growing our business our target. Zero harm of choice committed communities thrive, to caring for the sustainably, where it to all people as we to inclusion and grow and prosper.
    [Show full text]
  • Gold Developers: Growth Beyond the Gold Price
    Gold developers: growth beyond the gold price Amarillo Gold (AGC CN): Initiating with BUY rating and C$0.70/sh PT RISK RATING: HIGH Ascot Resources (AOT CN) Initiating with BUY rating and C$1.80/sh PT RISK RATING: HIGH Euro Sun Mining (ESM CN): Initiating with BUY rating and C$1.05/sh PT RISK RATING: HIGH Rio2 (RIO CN): Initiating with BUY rating and C$1.60/sh PT RISK RATING: HIGH Geopacific Resources (GPR AU): Maintain BUY rating and A$1.95/sh PT RISK RATING: HIGH Sabina Resources (SBB CN): Maintain BUY rating and C$3.65/sh PT RISK RATING: HIGH We think underlying growth, not gold price, will be the key share price driver in the next two years, so we highlight six growth stocks here that at or near DFS. Explorers are seeing discoveries following drill-funding, but this is speculative, and exposed to current frothy valuations. Producers’ 3Q20 cash-flow inflection was impressive, but needs US$2,100/oz for a QoQ repeat and is exposed to rising AISC. Developers offer the sweet spot given (a) this equity-hungry catalyst- light sector missed some of the producer / explorer re-rate, (b) ability to re-rate into production at a flat gold price, and (c) a re-rate bar higher than ever. Specifically, Tier 1/2 producers currently trade at 9.2-12.0% FCF yield; the six developers covered average Y2 45% FCF yield, presenting a simple investment case. In fact, as miners lower cut-off grades and catch up strip, we would suggest delivered FCF yields will contract.
    [Show full text]
  • Australia Deal List
    Australia: Representative Transactions Transactions by the Dorsey & Whitney Australia practice group (2005 onwards) M&A Transactions Advised Pfizer Inc. on the purchase of Catapult Genetics. Advised Bolsini Gold NL and Palmarejo on their sale to Coeur D’Alene Mines Corporation. Advised Sino Gold Mining Limited on its stock‐for‐stock acquisition of Golden China Resources Corporation valued at CAN$100 million (including debt assumed). Advised Sino Gold Mining Limited on its US$90 million acquisition of an exploration license covering a gold deposit in China. Advised Ammtec Ltd. on its acquisition of Purity Systems Inc. Advised Business Resource Services Inc. on its takeover by Westpac Banking Corporation. Advised Robert Bosch on its acquisition of Pacifica Group Ltd. Advised Shed Productions Limited on its acquisition of Screentime Partners Limited. Advised Coltivare LLC on its sale to Global Ethanol. Advised Hunt Technologies Inc. on its takeover by the Bayard Group. Advised IAMGOLD Corporation on its acquisition of Gallery Gold Limited. Advised Wall Street Associates Limited and its Hong Kong affiliate on its sale to Talent2 International Limited. Advised Absalus Inc. on its takeover by Evogenix. Representative transactions of Australia team lawyers prior to joining Dorsey & Whitney (1993 – 2004) Rule 144A Equity Offerings Advised Bradken on its A$245 million initial public offering (“IPO”) on the Australian Stock Exchange (“ASX”) and US private placement. Advised Deutsche Bank, Citigroup and UBS Warburg on Zinifex’s IPO on the ASX and US private placement. Advised Promina Group and Royal & SunAlliance on Promina Group’s A$1.9 billion IPO on the ASX and US private placement.
    [Show full text]
  • Global Gold & Precious Metals
    Global Gold & Precious Metals Primer Equity | Global | Gold & Precious Metals 09 April 2013 Gold & gold industry primer Michael Jalonen, CFA >> Research Analyst Merrill Lynch (Canada) Gold primer overview This tome is intended as a desk reference for generalists or new analysts Jason Fairclough >> Research Analyst covering the precious metals space. This primer sheds light on the key long term MLI (UK) themes driving supply and demand for bullion. In addition, we tackle subjects germane to gold including geology, exploration techniques for discovering gold Stephen Gorenstein >> deposits, types of deposits, reserve and resource classifications, and the mining Research Analyst and processing of gold deposits. And, we identify macroeconomic and industry- Merrill Lynch (Australia) specific variables that drive gold stocks. Michael Widmer Metals Strategist Global gold supply and demand fundamentals overview MLI (UK) We review the key drivers and characteristics of global gold supply and demand. The key components of gold supply are mine production and scrap disposals. The Daniel Lian >> world’s top three gold producing countries in 2011 were China at 371 tonnes, Research Analyst MLI (UK) Australia at 258 tonnes, and the United States at 233 tonnes. Most recycled gold generated originates from jewelry. Over the past several years demand for gold Avishkar Nagaser >> fell into four categories. Jewelry accounts for the largest share of final demand at Research Analyst around 40-45%; industrial and dental uses account for approximately 13%; Merrill Lynch (South Africa) investment accounts for 30%; and, central bank purchases are 5% of demand. Thomas Mengel >> Research Analyst Gold producer fundamentals Merrill Lynch (South Africa) The total market capitalization of the global gold sector is $282 billion.
    [Show full text]
  • Presentation to Deutsche Bank Dbaccess Gold Corporate Day
    ASX Release / 19 September 2013 Presentation to Deutsche Bank dbAccess Gold Corporate Day Attached is a presentation being given today to the Deutsche Bank dbAccess Australia Gold Corporate Day in Sydney. Ross Kennedy Executive General Manager Corporate Services Company Secretary St Barbara Limited Level 10, 432 St Kilda Road, Melbourne VIC 3004 T +61 3 8660 1900 F +61 3 8660 1999 ACN 009 165 066 Locked Bag 9, Collins Street East, Melbourne VIC 8003 W www.stbarbara.com.au ROSS KENNEDY, EGM CORPORATE SERVICES / 19 September 2013 dbAccess Australia Gold Corporate Day Disclaimer This presentation has been prepared by St Barbara Limited (“Company”). The material contained in this presentation is for information purposes only. This presentation is not an offer or invitation for subscription or purchase of, or a recommendation in relation to, securities in the Company and neither this presentation nor anything contained in it shall form the basis of any contract or commitment. This presentation is not financial product or investment advice. It does not take into account the investment objectives, financial situation and particular needs of any investor. Before making an investment in the Company, an investor or prospective investor should read this document in its entirety, consider whether such an investment is appropriate to their particular investment needs, objectives and financial circumstances, seek legal and taxation advice appropriate to their jurisdiction and consult a financial adviser if necessary. The Company is not licensed to provide financial product advice in respect of the Company’s securities. This presentation may contain forward-looking statements that are subject to risk factors associated with exploring for, developing, mining, processing and sale of gold.
    [Show full text]
  • St Barbara Mining (SBM.AX) – Good Company but Fully Priced
    24 March 2016 Asia Pacific/Australia Equity Research Precious Metals St Barbara Mining (SBM.AX / SBM AU) Rating NEUTRAL Price (23-Mar,A$) 2.19 INITIATION Target Price (A$) 2.15 Target price ESG risk (%) 0.0 Market cap (A$mn) 1,084.3 Good company but fully priced Yr avg. mthly trading (A$mn) 78.1 Projected return: ■ St Barbara operates the high grade, high margin Gwalia underground Capital gain (%) -1.8 mine (Leonora, WA) and the historically marginal but now cash generative Dividend yield (net %) 0.0 open pit mine, Simberi (PNG). A significant turnaround in production, Total return (%) -1.8 cash flow and outlook has been delivered under the leadership of MD *Stock ratings are relative to the relevant country benchmark. ¹Target price is for 12 months. Bob Vassie. Value has been created through: simple operational [V] = Stock Considered Volatile (see Disclosure Appendix) improvements at Gwalia; achievement of design capacity utilisation at Research Analysts Simberi; divestment of the loss making Gold Ridge (Solomons) operation and Michael Slifirski 61 3 9280 1845 debt reduction from strong cash flow. [email protected] ■ With organic growth absent, continued operational improvements and Nick Herbert, CFA mine life extension will be key value drivers. We expect existing 61 3 9280 1754 [email protected] operations will continue to generate strong free cash for remaining mine life, and assume conceptual implementation of an alternative haulage system at Gwalia will facilitate production growth and extend mine life by conceptually adding 1.2Moz to reserves at depth. ■ Aside from alternative haulage, growth options appear to be early stage concepts and exploration success dependent.
    [Show full text]
  • The Mineral Industry of Papua New Guinea in 2010
    2010 Minerals Yearbook PAPUA NEW GUINEA U.S. Department of the Interior August 2012 U.S. Geological Survey THE MINERAL INDUSTRY OF PAPUA NEW GUINEA By Susan Wacaster Copper, gold, and silver were the major commodities the previous 12 months. In the period of July, August, and produced in Papua New Guinea in 2010. The country was September, mineral sector sales increased by 17.5% following estimated to be the 10th ranked producer of gold in the world, a decrease of 19.2% in the previous three months; this increase and its gold production total, which was similar to that of such was attributable to the higher international prices for copper, countries as Brazil and Peru, accounted for about 2.4% of the crude oil, and gold and to increased production from the Ok world total. Primary geologic structures that contributed to the Tedi Mine, the Simberi Island Mine, and the Tolukuma Hill formation of economic mineral occurrences include continental Mine (Bank of Papua New Guinea, 2011, p. 2, 7–8). cratons, volcanic island arc terrain, and a central collisional fold belt. The Wau Graben formed in the central fold belt coincident Government Policies and Programs with volcanic activity that resulted in significant gold and silver deposits (George, 2011; Harmony Gold Mining Ltd., 2011, The Mineral Resources Authority Act of 2005 provided p. 155). for the establishment of the Mineral Resources Authority and Other metallic mineral resources that may occur in defined the agency’s powers and functions. Those functions subeconomic deposits, had not yet been extensively explored, or included (1) promoting the development and exploitation of the were under development included chromium, cobalt, iron ore, country’s mineral resources; (2) overseeing the administration manganese, molybdenum, nickel, platinum-group elements, and and enforcement of the Mining Development Act of 1955, zinc.
    [Show full text]
  • 2014 Annual Report
    Annual Report 2014 ST BARBARA LIMITED 30 JUNE 2014 St Barbara at a glance ˃ St Barbara has three mining operations: ˃ Leonora Operations in Western Australia ˃ Simberi Operations in Papua New Guinea ˃ Gold Ridge Operations in the Solomon Islands ˃ Leonora Operations comprises the Gwalia and King of the Hills underground mines. The Gwalia underground mine is St Barbara’s cornerstone asset. The Gwalia deposit has an Ore Reserve grade of 8.2 g/t Au, an expected mine life of at least nine years, and remains open at depth. Gwalia compares favourably against other ASX listed gold mines on grade, reserve size, production and cost per ounce ˃ Simberi Operations has an open pit mine, and a recently completed plant expansion. The target production run‐rate is 100,000 ounces per year, following completion of identified post‐commission works which are now underway. Oxide and sulphide Ore Reserves provide the potential for Simberi to become a long‐term cash generating asset ˃ Gold Ridge Operations remains suspended following torrential rain and floods in April 2014, and the Company is negotiating to transfer Gold Ridge to the Solomon Islands Government ˃ St Barbara has one of the largest Ore Reserve positions of any mid‐tier ASX listed gold company, with 5.2 million ounces of contained gold. In FY15: ˃ deep drilling is planned at Gwalia, which remains open at depth ˃ prospective near mine targets are planned to be drilled at Simberi ˃ St Barbara’s primary safety measure, total recordable injury frequency rate, reduced 32% to 4.1 at June 2014, the
    [Show full text]
  • 2020 Annual Report
    ASX Release / 18 September 2020 2020 Annual Report The 2020 Annual Report for St Barbara Limited is attached, as distributed to shareholders today. The Annual Report complements, and should be read in conjunction with, information contained in the Annual Report Company’s corresponding Sustainability Report and Corporate Governance Statement, both released today and available at www.stbarbara.com.au. Integrated suite of annual reporting Corporate Sustainability Governance Report Statement For personal use only Investor Relations Mr David Cotterell Manager Investor Relations +61 3 8660 1900 ASX: SBM Media Relations Mr Ben Wilson GRACosway +61 407 966 083 ADR: STBMY Authorised by Mr Rowan Cole Company Secretary St Barbara Limited Level 10, 432 St Kilda Road, Melbourne VIC 3004 T +61 3 8660 1900 F +61 3 8660 1999 ACN 009 165 066 Locked Bag 9, Collins Street East, Melbourne VIC 8003 W www.stbarbara.com.au ANNUAL REPORT 2020 For personal use only For personal use only St Barbara Limited ABN 36 009 165 066 OUR BUSINESS We are St Barbara – a growing gold company with a global outlook. An ASX 200 company, our gold mining operations are located in Australia, Canada and Papua New Guinea. As we operate our business and care for our people, we are guided by our five commitments and values-led culture. At St Barbara, doing the right thing is important to all of us. Our commitments SAFETY EMPOWERED PEOPLE STRONGER RESPECTING THE GROWING ALWAYS DIVERSE TEAMS COMMUNITIES ENVIRONMENT SUSTAINABLY Zero harm is always We are an employer We strive to help our We are committed Growing our business our target.
    [Show full text]