A stronger future together ACACIA MINING PLC ANNUAL REPORT & ACCOUNTS 2018 Acacia Mining plc Annual Report & Accounts 2018
Strategic report Governance Group at a glance 1 Governance overview 70 Our lasting legacy 4 Board of Directors 72 CEO statement 10 Executive Leadership Team 74 Q&A with the Independent Interim Chair 16 Corporate governance report 75 Market overview 18 Committee reports 80 Our business model 22 Remuneration report 87 Our strategy 24 Other information 102 Key performance indicators 26 Directors’ responsibilities statement 106 Risk management 30 Reserves and resources 107 Principal risks and uncertainties 32 Financial statements Performance review Independent Auditors’ report to the Operating review 36 members of Acacia Mining plc 112 Financial review 50 Consolidated financial statements 119 Sustainability review 56 Notes to the consolidated financial statements 124 Parent company financial statements 164 Notes to the parent company financial statements 168
Shareholder information Glossary of terms 179 Shareholder enquiries 185 STRATEGIC REPORT
At the core of Acacia are excellent assets and great people and, while we continue to work through the uncertain operating environment, we maintain a strong focus over what we can control. We have demonstrated our commitment Acacia is one of the to manage the business, develop our largest gold producers in Africa. We have three people and build long-term partnerships mines, all located in north-west Tanzania, and with our local communities, governments a portfolio of exploration projects across the and other key stakeholders. continent.
Operating performance Exploration and development SEE PAGE 36 SEE PAGE 44
Strong cost discipline Sustainability and partnerships SEE PAGE 50 SEE PAGE 56
ACACIA MINING PLC ANNUAL REPORT & ACCOUNTS 2018 1 Highlights Over the past year Acacia has successfully stabilised the business with a focus on optimising operational performance. At the same time, we have continued to demonstrate our long-term commitment to the development of Tanzania, its people and its mining industry.
For more information, visit our website www.acaciamining.com
Financial highlights Operational highlights Sustainability highlights
Revenue Gold production Sustainable Communities investment US$664m 521,980oz 2017: US$752m 2017: 767,88 oz US$8.8m* 2017: US$8.2m
Cash position Cash cost Localisation of workforce US$ m US$680/oz* 96.2%* 130 2017: 96.2% 2017: US$81m 2017: US$5 87/oz
EBITDA All-in sustaining cost ("AISC") Total Reportable Injury Frequency Rate (“TRIFR”) US$226m* US$905/oz* * 2017: US$257m 2017: US$875oz 0.19 2017: 0.45 Net earnings
*Non-IFRS measures are defined in US$59m the Glossary of Terms on page 182 2017: (US$707m)
2 ACACIA MINING PLC ANNUAL REPORT & ACCOUNTS 2018 STRATEGIC REPORT
Where we operate - Tanzania Gold Doré Production 2018 01 North Mara 336,055oz 02 Buzwagi 145,440oz 03 Bulyanhulu 40,485oz Concentrate Stockpile 185,800oz of gold Valued at 12.1mlbs US$247m of copper at average 2018 spot metal prices 158,900 oz of silver
P Bulyanhulu A P North Mara Buzwagi