ARIANA RESOURCES PLC | NOVEMBER 2019
C O R P O R A T E P R E S E N T A T I O N
N O V E M B E R 2 0 1 9
A R I A N A R E S O U R C E S P L C C O R P O R A T E P R E S E N - - PowerPoint PPT Presentation
A R I A N A R E S O U R C E S P L C C O R P O R A T E P R E S E N T A T I O N N O V E M B E R 2 0 1 9 ARIANA RESOURCES PLC | NOVEMBER 2019 DISCLAIMER The content of information contained in these slides and the accompanying verbal
ARIANA RESOURCES PLC | NOVEMBER 2019
N O V E M B E R 2 0 1 9
ARIANA RESOURCES PLC | NOVEMBER 2019
The content of information contained in these slides and the accompanying verbal presentation (together, the “Presentation”) has not been approved by an authorised person within the meaning of the Financial Services and Markets Act 2000 (“FSMA”). Reliance upon this Presentation for the purpose of engaging in any investment activity may expose an individual to a significant risk of losing all of the property or other assets invested. If any person is in any doubt as to the contents of this Presentation, they should seek independent advice from a person who is authorised for the purposes of FSMA and who specialises in advising in investments of this kind. This Presentation is being supplied to you solely for your information. This Presentation has been prepared by, and is the sole responsibility of, Ariana Resources plc (the “Company”). The directors of the Company have taken all reasonable care to ensure that the facts stated herein are true to the best of their knowledge, information and belief. This Presentation does not constitute, or form part of, an admission document, listing particulars or a prospectus relating to the Company, nor does it constitute, or form part of, any
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R O B U S T F I N A N C I A L S
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US US$84m total revenue (since Apr 2017*) US US$1,452/oz average revenue per gold
58K 58Koz
US US$330-612/oz z operating cash cost range to date
*April ‘17 to end September ‘ 19
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O P E R A T I O N A L D E L I V E R Y
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Average = $663/oz
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7 * PRODUCTION: Red Rabbit Project Area EXPLORATION & DEVELOPMENT: Ivrindi & Kizilcukur* DEVELOPMENT: Salinbas Project Area B *Kizilcukur can be sold into Red Rabbit JV at 3 x exploration cost A A B C EXPLORATION: Cyprus C
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§ Gold – silver producer with strong cash flows since production start in April 2017 § US$84m total revenue (since Apr 2017*) § 58Koz produced (since Apr 2017*) § US$1,452/oz average revenue per gold ounce to Q3 2019 § US$330-612/oz operating cash cost range to date
§ Further resource growth via hub & spoke approach to development of projects within haulage distance of Kiziltepe § Opportunity to increase production from 20,000oz to 50,000oz through further expansion at Kiziltepe and/or development of Tavsan
*April ‘17 to end September ‘ 19
JORC Reserves & Resources (undepleted) 1.1M tonnes for 140,000oz Au eq. (Proven & Probable) 368Koz global resource Mine Life 6 years (10 yr potential) Production Rate up to 25,000 oz Au + 200,000 oz Ag p.a. Processing Capacity
In-pit grade 3.1 g/t Au; 39.8 g/t Ag C1 Cash Costs LOM average: US$600/oz Royalty State Right + 2.5% NSR to Franco Nevada
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Kiziltepe vein model showing latest Whittle pit
* Increased following resource update for Kepez on 31 May 2018
LIFE OF MINE +10 year potential including satellite deposits JORC RESOURCE INCREASE 368,000 oz Au equivalent* TONNAGE INCREASE
subsidiary veins not currently forming part of the mine plan* JORC EXPLORATION TARGET
vein extensions across Kiziltepe that have not been drill tested % OF VEIN SYSTEM DRILLED 15% representing 5km out of 34km of mapped veins
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Pre-tax case at US$1,250/oz, as at November 2016 Scoping by Auralia Mining Consulting Pty. Ltd. *revised by Tetra Tech as of April 2018
Mine Life 4 years Processing Capacity 675,000 tonnes ore p.a. In-pit grade 1.6 g/t Au; 3.0 g/t Ag C1 Cash Costs LOM average: US$630/oz Royalty State Right + 2% NSR to Sandstorm Gold
Net-present value (8%) US$42m Internal Rate of Return 80% Payback (initial US$20M capex) 1.1 years
4Mt for 168,900oz Au (Measured, Indicated & Inferred)* T A V S A N S E C T O R
30 koz p.a.
300,000oz Au of which 200,000oz Au open-pittable
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Pre-tax case at US$1,250/oz, as at November 2015 Scoping by Auralia Mining Consulting Pty. Ltd.
Mine Life 10 years Production Rate 50,000 oz Au p.a. In-pit grade 2.0 g/t Au; 10.2 g/t Ag C1 Cash Costs US$770/oz Royalty State Right + 2% NSR to Eldorado Gold
Net-present value (8%) US$108m Internal Rate of Return 28% Payback (initial US$53M capex) 3.3 years
Salinbas: 10Mt @ 2.0 g/t Au and 10.2 g/t Ag (Inferred & Indicated) Ardala: 16Mt @ 0.6 g/t gold, with copper (0.22%) and molybdenum (0.014%) zones
Partially explored project area with much
contained within project licences
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Tar Target et Tonnag Tonnage e (t) El Element Gr Grade ( (g/t) /t) Contained Metal (oz) z) Fr From
To To Fr From
To To Fr From
To To Salinbas North 19,370,000 29,055,000 Au 2.0 2.5 1,246,000 2,335,000 Ag 10.0 15.0 6,228,000 14,012,000 Salinbas South 2,535,000 5,070,000 Au 2.0 2.2 163,000 359,000 Ag 10.0 12.0 815,000 1,956,000 Salinbas Main Extension 169,000 338,000 Au 2.0 3.0 11,000 33,000 Ag 10.0 15.0 54,000 163,000 Global Total Ounces s Au 1,419,000 2,727,000 Global Total Ounces s Ag 7,097,000 16,131,000
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§ Only AIM/LSE resources company providing exposure to Europe’s largest gold producing country § 15 years proven track record unlocking asset potential and de-risking projects through innovative low cost exploration programs § Consistent achievement against JV financial targets: § c.US$10m per quarter JV revenue § US$26m JV repayments to finance provider § US$4m returned to Ariana from JV to date § Well-funded for future growth via JV with minimal dilution risk to shareholders § Significant production longevity potential through expanded operations at Kiziltepe and second mine development at Tavsan § Multi-million ounce gold potential and major project development at Salinbas § Regional diversification in low-risk European jurisdictions § Potential for dditional revenue streams through investments, notably in technology-metals § A business built on solid foundations, poised for rapid growth and diversification
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*April ‘17 to end September ‘ 19
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Exchange AIM: AAU Market Capitalisation (GBP) £22.3m Shares in issue 1,059.7m Options 64m Share Price 2.10p Min-Max Price (52 week) 1.00 – 2.60p Average volume (3 mth) 1.30m Dr Kerim Sener Managing Director 1.85% Michael de Villiers Executive Chairman 5.18% William Payne Non-Exec. Director 0.88% Chris Sangster Non-Exec. Director 0.35%
31% 31% 23% 23% 17% 17% 12% 12% 10% 10% 7% 7%
HARGREAVES LANSDOWN BARCLAYS DIRECT INVESTING INTERACTIVE INVESTOR NOMINEES HSDL NOMINEES LIMITED SHARE NOMINEES LTD JIM NOMINEES LIMITED
ARIANA RESOURCES PLC | NOVEMBER 2019 Laboratory CIL Processing Plant Arzu South Open Pit
§ Resource: 4.2Mt for 368Koz Au eq. § 50:50 JV with Proccea Construction
§ 170 staff employed by operating company Zenit Madencilik § Strong community & government support – largest single investment
§ Strategic Investment Status § State-of-the-art processing facility & tailings dam § US$33m Construction capital loan
to be fully repaid by April 2020
Mine Administrative Buildings
Sındırgı
Population: 12,673 in 2010
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Contacts:
Ariana Resources PLC T: +44 (0) 207 407 3616 E: info@arianaresources.com
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