Orosur Mining Inc. · TSXV:OMI
Orosur Mining — Q2 2011 Earnings Presentation
17 slides from Orosur Mining's earnings presentation, January 2011
Slide 1: Latin America Focused Gold Mining And Exploration
Latin America Focused Gold Mining And Exploration David Fowler CEO & Director January 2011 1
Slide 2: Cautionary Statement
Cautionary Statement This presentation contains certain information that constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan plan," "expect expect," "intend intend," "believe believe," "anticipate" anticipate and other similar words,
Slide 3: Agenda
Agenda • Corporate Overview • Key Results and guidance • Arenal Deeps • Exploration and Development Projects • Summary
Slide 4: Corporate Profile
Corporate Profile AIM/TSX-V AIM/TSX V OMI Share O/S: 65,206,555 Share F/D: 68,989,609 12 Month Hi/Low $C 1.50 - $C 0.29 Market Cap: C$ 98 Million £ 60 Million Cash: US$ 13.9 Million Debt: Negligible
Slide 5: Achievements and Plans
Achievements and Plans • Gold production, cash costs and cash generation for Q2 and H1 in accordance with guidance g • Arenal Deeps project approved and significant progress made in implementing and financing project. • Significant gold mineralisation drilled at Vaca Muerta Muerta. • Sobre Saliente
Slide 6: Financial Results Q2
Financial Results Q2 Key Results Summary Three Months Ended First Half Ended November 30 November 30 2010 2009 2010 2009 p Operatingg Results Gold produced Ounces 12.576 13.580 25.513 26.753 Average cash cost US$/oz 790 871 815 875 Average price received US$/oz 1.332 1.065 1.268 990 Financial Result
Slide 7: Financial Performance
Financial Performance • Gold p production of 25,513 , ounces for H1-10/11,, in line with guidance • H1-10/11 cash costs per ounce of $US 815, down 7% year on year reflecting: – Lower tonnes mined – Cost reduction initiatives • Working capital – Operational Cashflows $US 10.5 m – Cash $US 13.9 13 9 m
Slide 8: Outlook
Outlook • San Gregorio S G i Production P d i target for f FY10 off 55 55,000 000 ounces. – Higher grade ore expected in H2 from Veta Sur and Zapucay • Average cash costs for FY10 expected at $US 825 per ounce – H1 costs better than expected – 2011 financial year royalty rate expected to increase in
Slide 9: San Gregorio Project
San Gregorio Project San Gregorio system has produced approximately 1Moz from open pits 1.4 mtpa processing plant with experienced workforce 9
Slide 10: Arenal Deeps - Achievements Completed
Arenal Deeps - Achievements Completed • Board approval for the Arenal Deeps Underground project project. • Award of mining development contract to Redpath. – development of approx 2 km of decline, 8 km of lateral d development l t and d stope t preparation ti – expected to be completed in approx 30
Slide 11: Arenal Deeps - Implementation Calendar
Arenal Deeps - Implementation Calendar Q1 2011 • Environmental approvals for the project from DINAMA, the relevant authority in Uruguay. • Delivery of initial mobile equipment. • Completion of portal • Initial electrical supply delivered • Commencement of development • Debt financing for between $US
Slide 12: Vaca Muerta
Vaca Muerta The Vaca Muerta project is located 55 km ESE direction far from Minas de Corrales town and 85 km by road of the San Gregorio Mine facilities. • 28 drill holes have been completed. This drilling included 23 reverse circulation and 5 diamond totaling 2,736 meters (1,958m RC, 778m DD). •
Slide 13: Vaca Muerta - Potential
Vaca Muerta - Potential • The mineralized zone has a strike length of 425 meters and has been tested down to a vertical depth of 120 m. Continues to be open down dip and along strike to the NW. • Associated with an gold/arsenic, soil geochemical anomaly. Significant anomalies along strike and adjace
Slide 14: Sobresaliente
Sobresaliente • Four discrete orebodies defined to date 5 km north of the mine. • Up to 100 m of veined / stockworked granitoids intercepted in historical drilling. • Alth Although h wide, id ththese orebodies have discrete extensions along strike (typical 150-200 m). Overall mineralized i li d ttre
Slide 15: Phase 2 Drilling at Pantanillo
Phase 2 Drilling at Pantanillo • Phase 1 drill program during 2010 defined 1.05 m ounces of measured and indicated resource. • Planning to start phase 2 drill program at end of January 2011 • 3,500 metres to focus on oxide mineralization around Pantanillo Norte and at Pantanillo Sur • Additional 3,5
Slide 16: Anillo
Anillo • Surface exploration in north east sector completed in H1. • C Concentrated t t d on surface f mapping, i sampling, trenching and a ground magnetic and VLF geophysical survey • OMI completed 2,497 metres (16 holes) of reverse circulation drilling at Anillo. Results from g are expected drilli
Slide 17: Summary
Summary • Production, cash costs and cash generation on target in H1. • Arenal Deeps approved with good progress on implementation • Significant gold mineralisation discovered at Vaca Muerta • Si ifi Significant t exploration l ti activity ti it planned l d ffor H2 • Diversified South American growt