Northern Star Resources Ltd · ASX:NST
Northern Star Resources — Explorers Conference 2012
14 slides from Northern Star Resources's conference presentation, Feb 21, 2012
Slide 1: Explorers Conference Presentation
For personal use only Explorers Conference Presentation The year Northern Star catches up with its peers as a gold mid- mid- cap producer February 2012
Slide 2: Disclaimer – Competent Persons Statements
Disclaimer Competent Persons Statements The information in this announcement that relates to Paulsens and Mt Olympus mineral resource estimation, exploration results, data quality, geological interpretations, For personal use only potential for eventual economic extraction and estimates of explorati
Slide 3: Corporate and Asset Overview
Corporate and Asset Overview +80,000oz Western Australian Gold Producer For personal use only Market cap: $382m based on 352m shares at $1.08, plus 24m options Cash/Bullion on hand: $41.7m as 31 Dec 11 $80 million after February placement Debt free and un-hedged Top 20 hold 50% Key production asset:
Slide 4: Paulsens – Corner Stone Asset
Paulsens – Corner Stone Asset Paulsens started production in 2005 has produced 500,000oz in For personal use only 6.5 years to 2011 at an average gold production of 70-80,000ozpa Life of Mine Cash Cost of $560/oz Average monthly total site cost of $5M or 3,000oz to breakeven Acquired by Northern Sta
Slide 5: Paulsens – Corner Stone Asset (continued…)
Paulsens – Corner Stone Asset (continued…) Changed out Mining and Crushing Contractors with in-house team For personal use only Dropped total cost per tonne by 30% 5
Slide 6: Paulsens – Corner Stone Asset (continued…)
Paulsens – Corner Stone Asset (continued…) Exceeded 2011 guidance by 15% , generated $46M surplus For personal use only CY2012 guidance 75-80,000oz at $600-650 cash cost, generating $35M surplus cash even after $15M expansion capital expenditure New Resource of 318,000 oz, underpinned by key Voyager
Slide 7: Growing production to 200,000ozpa
Growing production to 200,000ozpa For personal use only Two staged approach to 200,000oz per annum Stage 1 - Grow Paulsens to 100,000ozpa Increase plant capacity from 350,000 to 450,000tpa Expansion funding is secured First production increase to flow in Dec 2012 Most major lead time items have been
Slide 8: Significant Exploration Upside
Significant Exploration Upside No other sizeable deposit within 50km radius of the Paulsens mine For personal use only 1,300km² of Tenements, numerous targets 100% owned and JV’s No other operational gold processing plant within 400km radius Cheroona copper/gold project, 80km from Sandfire discovery
Slide 9: Significant Exploration Upside (continued…)
Significant Exploration Upside (continued…) Paulsens in/near mine Exploration delivering early results For personal use only Found two Gabbro Offset positions similar geology as Paulsens Potential to replicate the Paulsens orebody which has produced 500,000oz Ore grade intercepts up to 14gpt receive
Slide 10: Board of Directors
Board of Directors Successful record in discovering and developing mines 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 the incumbent mining contractor. Establ
Slide 11: Senior Management
Senior Management BERNIE SOSTAK – General Manager of Geology For personal use only Geologist with over 20 years in the Gold Industry with extensive experience in mine geology, resource estimations, planning and general operations management in underground and open pit. Held senior management roles w
Slide 12: Ten Reasons to Follow Northern Star
Ten Reasons to Follow Northern Star 1. Exceeded CY2011 guidance by 15%, generated $46m surplus For personal use only cashflow, CY2012 to deliver $35m surplus after expansion capital 2. Debt-free (minor equipment HP), un-hedged and $80m in cash after placement 3. Outstanding drilling results at Pauls
Slide 13: Ten Reasons to Follow Northern Star
Ten Reasons to Follow Northern Star 7. Significant exploration potential with a $20M program over the For personal use only next 12 months, yielding early result such as new gabbro offsets 8. Strong cashflow/balance sheet means NST is ideally placed to capitalise on falling asset values and uncertai
Slide 14: Appendix
Appendix 1 For personal use only Measured Indicated Inferred Total 31 December 2011 Tonnes Grade Tonnes Grade Tonnes Grade Tonnes Grade Oz Au (,000) (g/t) (,000) (g/t) (,000) (g/t) (,000) (g/t) (,000) Open Pit 573 2.5 169 2.5 742 2.5 61 Paulsens Upper Levels 136 7.1 32 5.0 168 6.7 36 Voyager 1 57 11