Kingsgate Consolidated Limited · ASX:KCN
Kingsgate Consolidated — Non-Deal Roadshow (February 2009)
19 slides from Kingsgate Consolidated's roadshow presentation, February 2009
Slide 1: Ramping-up to Full Capacity
Ramping-up to Full Capacity Investor Presentation February 2009
Slide 2: Disclaimer
Disclaimer Forward Looking Statements: These materials include forward looking statements. Forward looking statements inherently involve subjective judgment & analysis & are subject to significant uncertainties, risks & contingencies, many of which are outside of the control of, & may be unknown to,
Slide 3: Additional Disclaimers
Additional Disclaimers Competent Person’s Statement: Information in this presentation that relates to Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation, is based on information compiled by Ron James, who is an employee of the Kingsgate Group and is
Slide 4: Kingsgate's Turn-around
Kingsgate’s Turn-around Gold Production Increasing Full capacity Mar Qtr 125-150,000 oz/yr rate Cash costs ~US$350/oz in CY09 Large expanding asset Chatree Growing reserves / resources Expanding to double throughput Solid balance sheet & cashflow Gold Belt Major new discovery in Gold Belt
Slide 5: Growing Thai Gold
Growing Thai Gold Chatree North Mining Leases Thai focus - listed in ASX 200 Key asset - Chatree Gold Mine Gold producer for 7 years Mine life a further 7-10+ years Rural area; good infrastructure US$30 million debt facility ASX:KCN Mkt Cap: ~US$280M Shares: 93 million + 9M options
Slide 6: Production Growth
Production Growth Full production in Mar-June Qtr ‘09 Successful ramp-up Increased grade to ~2g/t to full capacity Transition: old to new mining areas Higher grade & higher tonnage will Costs reducing bring reduced costs: ~US$350/oz Grade increasing -> lowest quartile gold producer Production rate 1
Slide 7: Production Ramp-up Success
Production Ramp-up Success Dec’08 Qtr Production: 12,771 ozs Successful Jan’09 Production: 10,900 ozs Ramp-up to Jan’09 Cash Costs: US$370/oz Full production Costs decrease to ~US$350/oz New mining areas opening up C North A Pit K East
Slide 8: Access to Higher Grades
Access to Higher Grades Mining A Hill -> A Pit Mining A Pit / A Hill Higher grades to lift gold head grade Resource Development drilling for 1st – Higher grades time on west side Mining A Hill Drilling [email protected]/t
Slide 9: Access to Higher Grades
Access to Higher Grades Mining at C North Mining C North Higher grades (>3g/t) – Higher grades soon commence late in Mar Qtr’09 Mining High Grade >3g/t
Slide 10: Large Asset – Chatree North
Large Asset – Chatree North Average LARGE gold deposits are ~4 Moz Chatree system ~5 Moz (incl. mined to date) Drilling will increase Resources/Reserves Kalgoorlie 3 mi Pits could become a Super Pit (same scale) Thai Super Pit Current status: 1.4Moz Reserve 3.2Moz Resource 1mile
Slide 11: Resource Growth - in Leases
Resource Growth - in Leases Issara Mining Limited A Pit Chatree North (Looking south) Current drilling areas Q Pits Q East trend Planned Pit shells
Slide 12: Resource Growth - in Leases
Resource Growth - in Leases Issara Mining Limited Higher grades to lift gold A Pit Head Grade Current drilling areas Q Pits Q East trend Planned Pit shells
Slide 13: "A" Pit – Chatree North
“A” Pit – Chatree North Resource ‘A’ Pit Reserve ‘A’ Pit 1.8 Moz Gold 1.1 Moz Gold 18 Moz Silver Mining A Pit A East Immediate drill target 30m @ 16g/t gold Higher grade 12m @ 1oz gold + 10oz silver underground potential
Slide 14: Excellent Track Record
Excellent Track Record World’s Safest Gold Mine AusIMM award World’s best ISO standards Only mining company granted Social Accountability SA8000 Zero Environmental Incidents Community projects Training focus - 99% Thai 23% women in management High quality, stable workforce
Slide 15: Expansion: De-risking Process
Expansion: De-risking Process Review underway to de-risk expansion & financing Increase resource base during process Already purchased/delivered grinding mills Current Plant Plant Expansion 2.4 mtpa + 2.6 mtpa Expanded Total 5 mtpa Expansion Plant Area
Slide 16: New Discoveries
New Discoveries Phitsanulok Province Regional drilling started Resistivity Anomalous New discoveries as large or Granted Zones Phetchabun greater than Chatree Province 1st discovery made in Chatree 42 Chatree North North mi initial drilling of high Chatree priority target Phichit Large gold-
Slide 17: Chokdee Prospect - Chatree Size?
Chokdee Prospect - Chatree Size? Chatree Resource Growth Chokdee 1.2Moz 2000 Prospect 2.0Moz 2003 Chatree 3.6Moz 2005 4.6Moz 2006 3 mi Potential 5-10Moz 4+ mi 2 mi ~ Soil Geochemical Anomalies 4+ mi
Slide 18: Chokdee Discovery
Chokdee Discovery Section line Rockchips up to 1,030 g/t gold
Slide 19: Future's Improving
Future’s Improving Successful Ramp-up Production Growth Full Production during next 2 Qtrs Higher Grades Costs will reduce to ~US$350/oz Drilling extensions to orebodies Resource Growth Areas have never been drilled Extend mining areas Resource growth within leases New Discoveries New discovery: Cho
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