Northern Star Resources Ltd · ASX:NST
Northern Star Resources — Resources Rising Stars 2010
20 slides from Northern Star Resources's conference presentation, Sep 28, 2010
Slide 1: Resources Rising Stars Presentation cover letter
28 September 2010 For personal use only Manager Announcements Company Announcements Office ASX Limited 20 Bridge Street Sydney NSW 2000 Dear Sir, RESOURCES RISING STARS PRESENTATION Northern Star Resources Ltd (ASX:NST) is very pleased to release to the market today a presentation on the Paulsens Go
Slide 2: Emerging Australian Gold Producer and Explorer
For personal use only Emerging Australian Gold Producer and Explorer Resources Rising Stars Presentation 2010
Slide 3: Disclaimer
DISCLAIMER Competent Persons Statements The information in this announcement that relates to exploration results, data quality, geological interpretations and potential for eventual economic extraction, is based on information compiled by or under the supervision of Brook Ekers, (Member AIG), who is
Slide 4: Our Vision
Our Vision… For personal use only “To build a quality mining & exploration company focused on creating profits for shareholders...”
Slide 5: Company Profile
Company Profile CAPITAL STRUCTURE For personal use only 283M shares on issue 79M options Market Capitalisation $48M (24 September 2010) (Undiluted & @ 17 cents per share) Cash/Bullion at Bank $8 Million SUBSTANTIAL SHAREHOLDERS Top 20 52% Top 100 78% InvestMet Limited 50% Board of D
Slide 6: Quality Management - disciplines covered
Quality Management - disciplines covered Successful record in discovering and developing mineral resources. For personal use only Bill Beament (Managing Director) Mining Engineer Former General Manager – Operations for 12 mines across WA, including 3.5 years involvement at Paulsens overseeing mining
Slide 7: Investment Highlights
Investment Highlights Purchased Paulsens – high grade, high margin gold mine For personal use only established mine infrastructure (replacement value in excess of $30M) Great Operational and Financial Success since takeover added approximately 30,000 ounces to current mine plan paying debt and
Slide 8: Paulsens History – For the Record
Paulsens History – “For the Record” Mid 2005 full scale production, project hedged @ A$627/oz until Dec08 For personal use only 365koz from past 5 years production (end 2009), averaged 70-80koz pa CY 2009, generated A$39M EBITDA (A$1,200/oz gold price) Life of mine cash cost A$538/oz, Total Cost <A$
Slide 9: Resources
Resources Voyager 1 Zone - 314,000t @12.8g/t for 128,700 oz (pre-mining 2010) For personal use only Indicated 89,700 oz and Inferred 39,000 oz (4g/t cut-off) 1,000 ounces per vertical metre 67% historical conversion of mined vs. resource model Site management has a strong history of extending re
Slide 10: Stage 1 – Plan Pay off Acquisition
Stage 1 – Plan “Pay off Acquisition” Details For personal use only Mine Plan 65,000 oz, generates $44M surplus Milling from June 2010 to Early 2011 Mine 65,000 oz from Voyager 1 lode to 705 level, payout all debt and Intrepid Mines Include more of the Voyager 1 Resource into the current mine pla
Slide 11: Stage 1 – Status (End of Aug 2010)
Stage 1 – Status (End of Aug 2010) Gold mined, poured and sold are all +20% above acquisition model 20% positive reconciliation factor on grade and gold recoveries averaging 97% For personal use only Site costs as per acquisition model and Capital Development completed 57% of the gold in the plan ha
Slide 12: Stage 1 - Acquisition and Finance Details
Stage 1 - Acquisition and Finance Details $40M total consideration, re-payment milestones; For personal use only 75% of Intrepid Mines consideration has been paid $11M performance based payments remaining No further payments after 62,500oz of production – Jan 2011 $15M debt facility, re-paymen
Slide 13: Stage 2 – Plan
Stage 2 – Plan Contains the depth extension of the Voyager 1 lode below the For personal use only 705 level Currently comprises an Inferred Resource of 110,000t @ 11g/t for 39,000 oz Allocated $5.5M to extend mine life via decline extension and a purpose built drill drive at the 705 level Maintain
Slide 14: Stage 2 – Status (Sep 2010) since takeover
Stage 2 – Status (Sep 2010) since takeover First level has been confirmed with 10-15,000oz (royalty free), level access is underway Decline is 25 metres vertically below the bottom level of Stage 1 (705mRL) For personal use only 300 metre long 705 drill drive is 65% completed 1,000m of Drilling to t
Slide 15: Stage 3 – Find and Develop year mine life
Stage 3– “Find and Develop 5 year mine life” Target Voyager 2 lode, which is the plunge extension of the mineralisation at Paulsens Recently completed preliminary drilling with significant assay result of; For personal use only 3.4m @ 1.5g/t (true thickness 2.4m) inc. 0.44m @ 5.99g/t Intersection
Slide 16: Potential to Grow – Other In-Mine Areas
Potential to Grow – “Other In-Mine Areas” Unmined & Remanent resources left behind when modelled at A$627/oz. For personal use only Pre-mining resource contained 600koz only 400koz has been mined. Top 100m of ore body has not been mined, potential additional mill feed Repetitions above and below cur
Slide 17: Potential to Grow – Regionally
Potential to Grow – “Regionally” Extremely unusual for no other sizeable deposit within 50km radius of the For personal use only Paulsens mine “lone soldier” Acquisition includes 365km2 of Tenements Numerous targets 100% owned Only operational gold processing plant in the Ashburton/South Pilbara Num
Slide 18: Exploration – Artemis (Mt Clement JV 20%)
Exploration – Artemis (Mt Clement JV 20%) Indicated Resource 40,600oz located only 35km from Paulsens processing For personal use only plant on granted Mining Leases Gold Resource contained in a flat - lying oxidised strata bound horizon within 50m of surface; mineralisation open in all directions 8
Slide 19: Exploration – Cheroona Gold/Copper
Exploration – Cheroona Gold/Copper Located 80km from Sandfire Resources DeGrussa copper-gold discovery For personal use only Similar geological setting to DeGrussa, including 18km strike of the Narracoota Volcanics Highly prospective for VMS style Au-Cu with historic rock chips up to 10g/t Au and lo
Slide 20: Emerging Australian Gold Producer and Explorer
For personal use only Emerging Australian Gold Producer and Explorer Bill Beament – Managing Director [email protected] www.nsrltd.com Ph (08) 6241 1866
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