Acacia Mining plc Bank of America Merrill Lynch Global Metals and - PowerPoint PPT Presentation

Acacia Mining plc Bank of America Merrill Lynch Global Metals and Mining Conference May 2017

Important Notice This presentation includes “forward - looking statements” that express or imply Although Acacia’s management believes that the expectations reflected in such expectations of future events or results as opposed to historical facts. These forward-looking statements are reasonable, Acacia cannot give assurances that statements include, financial projections and estimates and their underlying such statements will prove to be correct. Accordingly, investors should not place assumptions, statements regarding plans, objectives and expectations with reliance on forward-looking statements contained in this presentation. respect to future production, operations, costs, projects, and statements Any forward-looking statements in this presentation only reflect information regarding future performance. Forward-looking statements are generally available at the time of preparation. Subject to the requirements of the Disclosure identified by the words “plans,” “expects,” “anticipates,” “believes,” “intends,” and Transparency Rules and the Listing Rules or applicable law, Acacia explicitly “estimates” and other similar expressions . disclaims any obligation or undertaking publicly to update or revise any forward- All forward-looking statements involve a number of risks, uncertainties and looking statements in this presentation, whether as a result of new information, other factors, many of which are beyond the control of Acacia, which could cause future events or otherwise. Nothing in this presentation should be construed as a actual results and developments to differ materially from those expressed in, or profit forecast or estimate and no statement made should be interpreted to mean implied by, the forward-looking statements contained herein. Factors that could that Acacia’s profits or earnings per share for any future period will necessarily cause or contribute to differences between the actual results, performance and match or exceed its historical published profits or earnings per share. Mineral achievements of Acacia include, but are not limited to, changes or developments reserves and mineral resources estimates contained in this presentation have in political, economic or business conditions or national or local legislation or been calculated as at 31 December 2016 in accordance with National Instrument regulation in countries in which Acacia conducts - or may in the future conduct - 43-101 as required by Canadian securities regulatory authorities. Canadian business, industry trends, competition, fluctuations in the spot and forward price Institute of Mining, Metallurgy and Petroleum (CIM) definitions were followed of gold or certain other commodity prices (such as copper and diesel), currency for mineral reserves and resources. The reserves and resources figures stated are fluctuations (including the US dollar, South African rand, Kenyan shilling and estimates. No assurances whatsoever can be given that the indicated quantities of Tanzanian shilling exchange rates), Acacia’s ability to successfully integrate metal will be produced and totals stated may not add up due to rounding. acquisitions, Acacia’s ability to recover its reserves or develop new reserves, You are reminded that you have received this presentation on the basis that you including its ability to convert its resources into reserves and its mineral are a person to whom this presentation may be lawfully made and delivered. You potential into resources or reserves, and to process its mineral reserves may not and are not authorised to: (i) reproduce or publish this presentation; or successfully and in a timely manner, Acacia’s ability to complete land (ii) distribute, disclose or pass on this presentation to any other person, in whole acquisitions required to support its mining activities, operational or technical or in part, by any medium or in any form, in breach of any applicable securities difficulties which may occur in the context of mining activities, delays and laws. BY ACCEPTING THIS PRESENTATION, YOU ACKNOWLEDGE AND technical challenges associated with the completion of projects, risk of trespass, AGREE TO THE CONTENTS OF THIS DISCLAIMER AND YOU AGREE TO BE theft and vandalism, changes in Acacia’s business strategy and ongoing BOUND BY THE FOREGOING LIMITATIONS. implementation of operational reviews, as well as risks and hazards associated with the business of mineral exploration, development, mining and production and risks and factors affecting the gold mining industry in general. Bank of America Merrill Lynch Global Metals and Mining Conference 2 May 2017

Company Overview A leading African asset portfolio with a high-grade R&R of 27.5Moz Our Assets Business Overview  High-grade open pit / UG mine North Mara  At least 10 year mine life West Kenya Project Kenya  High grade U/G mine nearing Bulyanhulu geological potential  At least 18 year mine life North Mara Kenieba Belt JVs Tanzania Mali Bulyanhulu  Low-grade open pit which Tanzania Houndé Belt JVs Burkina Faso Buzwagi completes mining at end of 2017 Buzwagi Tanzania  Will process stockpiles until 2020 Nyanzaga Project Tanzania  Maiden high-grade resource Exploration declared in West Kenya Producing mines Exploration properties  Built a pan-African portfolio Bank of America Merrill Lynch Global Metals and Mining Conference 3 May 2017

Our Operating Philosophy Creating a sustainable competitive advantage based on core competencies  We run de-centralised operations and outsource any function where we can’t be a world leader  Four areas we will never outsource:  Technical prowess  Discovery  Leadership  Government and Community relationship  Capital allocation is centralised and led by the CEO  Operational focus on creating sustainable free cash flow Bank of America Merrill Lynch Global Metals and Mining Conference 4 May 2017

We have transformed our business At this stage, despite current concentrate ban, we continue to expect further production and AISC improvement in 2017 1,800 900 AISC Progression vs Production 850-900 1,500 1,561 850 830 1,346 1,200 800 Production (koz) AISC (US$/oz) 1,112 1,105 900 750 732 958 880-920 719 600 700 642 300 650 626 0 600 2012 2013 2014 2015 2016 2017E AISC Gold production (1) 2017 chart represents mid-point of guidance range Bank of America Merrill Lynch Global Metals and Mining Conference 5 May 2017

Q1 2017 Performance Continuing strong operational performance, financials impacted by ban Production  Gold production of 220koz, 15% higher 250 than Q1 2016 Production (koz) 200 100 97 91  Gold sales were 35koz lower than production 75 150 113  Primarily as a result of the Tanzanian 100 63 79 80 78 Government’s directive stopping the export of 53 50 metallic mineral concentrate 60 43 42 40 37 0  AISC was below previous quarter at Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Buzwagi Bulyanhulu North Mara US$934/oz  EBITDA of US$82 million, 25% higher All In Sustaining Cost per Ounce than Q1 2016 1,200  Due to sales lagging production and 1,000 998 959 958 indirect tax outflows net cash decreased 938 926 934 921 800 901 $ / ounce 878 854 to US$196 million 600 400 200 0 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 AISC AISC ex RSU Bank of America Merrill Lynch Global Metals and Mining Conference 6 May 2017

North Mara – Tanzania A leading asset in Africa, driving free cash flow Production & Head Grade Implied 2017  High-grade open pit and underground 378 guidance 400 7 mine comprising two deposits: 6 Production (koz) 287 274 300 257 5 Grade (g/t)  Gokona – transitioned open pit to underground 4.52 4 operations in mid 2015 3.57 200 3.48 3.48 3  Nyabirama - open pit with U/G potential 2 100 1  Record year in 2016 driven by ramp up of 0 – U/G 2013 2014 2015 2016 2017E Production (OP) Production (UG) Head Grade  Guiding for 2017 production to be up to 10% lower than 2016 with AISC up to 10% higher All In Sustaining Cost per Ounce  Extensive drill programmes underway to 1,600 prove up at least a 10 year life at +300koz 1,400 1,227 1,200 per annum Implied 2017 947 915 $ / ounce 1,000 guidance 733 800 600 400 659 623 590 200 410 0 2013 2014 2015 2016 2017E Cash Cost Sustaining Capital Capitalised Development Other Bank of America Merrill Lynch Global Metals and Mining Conference 7 May 2017

Extensive Brownfields Opportunities Targeting reserves to support at least a 10 year life at greater than 300koz per annum Gokona Nyabirama 9 Targeting resource extensions  Significant drill programmes underway over the next two years  Initial results under Gokona include 19.4m @ 64.7g/t and 9.0m @ 59.9g/t  Already extended high grade structures beneath Nyabirama to a vertical depth of approximately 950m  Targeting transition to U/G on completion of the open pit in 2021 Bank of America Merrill Lynch Global Metals and Mining Conference 8 May 2017