KEFI Gold and Copper PLC · LSE:KEFI
KEFI Gold and Copper — KEFI Minerals — Investor Presentation (October 2015)
24 slides from KEFI Gold and Copper's investor presentation, October 2015
Slide 1: Emerging Gold Miner in the Arabian-Nubian Shield
EMERGING GOLD MINER IN THE ARABIAN-NUBIAN SHIELD OCTOBER 2015
Slide 2: Disclaimer
DISCLAIMER The information contained in this document (“Presentation”) has been prepared by KEFI Minerals plc (the “Company”). While the information contained herein has been prepared in good faith, neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers g
Slide 3: The Highly Prospective Arabian-Nubian Shield
THE HIGHLY PROSPECTIVE ARABIAN-NUBIAN SHIELD (‘ANS’) Focused on gold and copper in the ANS: • Similar geology to world-class gold district of Australia • Significant surge in exploration success over past 10 years • ANS emerging with a globally significant metal endowment • Limited modern exploratio
Slide 4: An Emerging Leader in the ANS
AN EMERGING LEADER IN THE ANS Ethiopia: 100% of KEFI Minerals Ethiopia with Gov’t right to 5% free carry • Acquired Tulu Kapi Gold Project Dec 2013 for US$5/oz resource • KEFI has overhauled Tulu Kapi to DFS-standard and entered into mining agreement • Now formalising project contracting and financi
Slide 5: Focus on Building Solid Cash Flow Base with Exploration Leverage
FOCUS ON BUILDING SOLID CASH FLOW BASE WITH EXCEPTIONAL EXPLORATION LEVERAGE Spun off from EMED KEFI developed Gold inventory = Mining in 2006 with proprietary 1.9Moz resources focus on Middle East geological database 1.0Moz reserves and North Africa for ANS (attributable) + Underground Tulu Kapi NP
Slide 6: Ethiopia: Tulu Kapi Gold Project
ETHIOPIA TULU KAPI GOLD PROJECT
Slide 7: Ethiopia: Thriving Economy, Prioritised Mining Sector
ETHIOPIA: THRIVING ECONOMY PRIORITISED MINING SECTOR • Dynamic economy: GDP grew by 8.5% p.a. over the past 5 years. Main economic partners: China, Germany, Saudi Arabia, USA, Belgium • Large country: Ethiopia’s land footprint >Spain + France, population >95M • Diverse mineral resource endowment: Ne
Slide 8: Tulu Kapi Returns Improved and Development Funding Reduced
TULU KAPI RETURNS IMPROVED AND DEVELOPMENT FUNDING REDUCED KEFI halved the First ten years of After-tax NPV 8% of capex, reduced unit gold production = US$174M (£108M), costs and continues 960,000oz at AISC EBITDA of US$48M to improve of US$760/oz (at US$1,250/oz gold) Tulu Kapi Plus high-grade Majo
Slide 9: Saudi Arabia
KEFI SAUDI ARABIA MINERALS
Slide 10: The Kingdom of Saudi Arabia
THE KINGDOM OF SAUDI ARABIA • Saudi Arabia is largely unexplored with few companies exploring for gold • Saudi partner, Abdul Rahman Saad Al Rashid & Sons (‘ARTAR’), is a major local group providing administrative, logistical and financial support • G&M (KEFI 40%, ARTAR 60%) has proprietary database
Slide 11: Jibal Qutman: Gold Discovery, A Set of Shallow Open Pits
JIBAL QUTMAN: GOLD DISCOVERY A SET OF SHALLOW OPEN PITS • Jibal Qutman EL was granted in July 2012 • Rapidly delineated initial JORC Resource in 2013 • Resource increased to 0.73Moz in 2015 • Mineralisation in 6 areas: Main, South, West, 3K Hill, 4K Hill and Red Hill • Ongoing exploration to delinea
Slide 12: Hawiah Exploration Licence Recently Granted, With Rapid Progress
HAWIAH EXPLORATION LICENCE RECENTLY GRANTED, WITH RAPID PROGRESS • New c. 95km2 Hawiah EL granted in Dec 2014 • Hosted in Wadi Bidah volcanic-hosted massive sulphide (‘VHMS’) Mineral district • Gold-bearing gossans at surface and strong geophysical anomalies indicate potential for very large Cu-Au-Z
Slide 13: KEFI's Record of Tight Capital Management
KEFI’S RECORD OF TIGHT CAPITAL MANAGEMENT Shareholders: Odey (14%), Standard Life (7%), Board (6%), Ausdrill (4%) Partners: Government is 5% partner in Ethiopia. Al Rashid family (ARTAR) is 60% partner in Saudi Arabia US$ million (approx.) Peak funding requirement for a 1.2Mtpa operation 130 Per DFS
Slide 14: Key Milestones
KEY MILESTONES Tulu Kapi, Ethiopia Jibal Qutman and Hawiah, Saudi Arabia H1-2015: H1-2015: • Mining Agreement signed • Jibal Qutman – sufficient oxide gold resource confirmed • Completed Tulu Kapi DFS for heap leach development • Value-enhancing initiatives with contractors • Hawiah – geophysics del
Slide 15: Contacts
CONTACTS Harry Anagnostaras-Adams, Executive Chairman Mobile: +357 99457843 Jeff Rayner, Exploration Director Wayne Nicoletto, Head of Operations England - Registered office Cyprus - Group corporate team Ethiopia - Development and exploration teams Saudi Arabia - Exploration team Turkey - Support Em
Slide 16: Share Capital
SHARE CAPITAL Existing Issued Share Capital 1,744,447,480 Market cap on 15 Oct at 0.55p £9.59M Outstanding incentive options(1.3p-7.1p strike) 81,450,000 As a % of existing Issued Share Capital 4.7% Outstanding broker warrants (1p-5p strike) 57,797,831 As a % of existing Issued Share Capital 3.3% Ma
Slide 17: Directors of KEFI Group Companies
DIRECTORS OF KEFI GROUP COMPANIES Ian Plimer Harry Anagnostaras-Adams Non-Executive Deputy Chairman Executive Chairman Numerous geology Professorships including Founder or co-founder Citicorp Capital Investors Newcastle, Melbourne, Munich and Adelaide Australia, Pilatus Capital, Australian Gold Coun
Slide 18: Experienced Development Team
EXPERIENCED DEVELOPMENT TEAM Simon Cleghorn Sergio di Giovanni Resources Manager Metallurgist & Dev. Manager KSA (B. Eng. Min. Exploration & Mining Geology (Hons.) (BSc. Murdoch, Perth, MAUSIMM). Over 23 years’ WA School of Mines). Over 21 years in mining experience in operations in Australia, Asia,
Slide 19: Mining Agreement, Mining Licence and Major Permits
MINING AGREEMENT MINING LICENCE AND MAJOR PERMITS • Mining Agreement includes: • Fiscal arrangements: income tax rate for mining of 25%, royalty of 7%, entitlement to deduct historical and future capital expenditure, and 5% Government free-carried interest. Stabilisation of fiscal arrangement to pro
Slide 20: Tulu Kapi Resources and Reserves
TULU KAPI RESOURCES AND RESERVES Ore Reserve for Tulu Kapi Probable Cut-off Tonnes Gold Contained Gold Reserve (g/t gold) (millions) (g/t) (million ounces) High Grade 0.9 12.0 2.52 0.98 Low Grade 0.5 3.3 0.73 0.08 Total 15.4 2.12 1.05 Mineral Resource for Tulu Kapi Resource Tonnes Gold Contained Gol
Slide 21: Jibal Qutman Mineral Resources
JIBAL QUTMAN MINERALS RESOURCES Mineral Resources for Jibal Qutman (Estimated in May 2015) Category Tonnes Gold Contained Gold (millions) (g/t) ('000 ounces) Indicated 8.3 0.86 229 Oxide Inferred 2.8 0.64 58 Sub-Total 11.1 0.80 287 Indicated 9.7 0.86 269 Sulfide Inferred 7.6 0.72 176 Sub-Total 17.3
Slide 22: Appendix – Competent Person Statement
APPENDIX – COMPETENT PERSON STATEMENT The information in this presentation that relates to exploration results, Mineral Resources and Ore Reserves is based on information compiled by Mr Jeffrey Rayner. He is the Exploration Director of KEFI Minerals and a Member of the Australasian Institute of Mini
Slide 23: Low-Cost Heap Leach for Jibal Qutman, Added Nearby EL Applications
LOW-COST HEAP LEACH FOR JIBAL QUTMAN ADDED 4 NEARBY EL APPLICATIONS Development Studies on Jibal Qutman: PFS completed in March 2014 based on CIL processing plant Now focusing on heap leaching shallow oxide gold ore to lower capex, speed up the timetable and allow more open-pit oxide discoveries to
Slide 24: Hawiah: SP Geophysical Survey Outline of Large Potential Metal-Bearing Body
HAWIAH: SP GEOPHYSICAL SURVEY OUTLINE OF LARGE POTENTIAL METAL-BEARING BODY 3D Long Section of Hawiah Self-Potential Anomaly Self potential survey results include a 400mV chargeability contour at +125m depth over 800m of strike within a +125mV chargeability contour over 2,000m of strike - indicating