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Disclaimer EVANDER GOLD MINES A Subsidiary of Pan African Resources - - PowerPoint PPT Presentation

P eople A ction R esults Evander Gold Mining Visit 12/02/2015 The African Focused Precious Metals Producer Disclaimer EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. The African Focused Precious Metals Producer This


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The African Focused Precious Metals Producer

People Action Results

Evander Gold Mining Visit

12/02/2015

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The African Focused Precious Metals Producer

This presentation is provided on a confidential basis. The name 'Presenter' refers to Pan African Resources PLC and its advisors, subsidiaries or affiliated companies. This presentation has not been filed, lodged, registered or approved in any jurisdiction and recipients of this document should keep themselves informed of and comply with and observe all applicable legal and regulatory requirements. Statements or assumptions in this presentation as to future matters may prove to be incorrect. The Presenter makes no representation or warranty as to the accuracy of such statements or

  • assumptions. Circumstances may change and the contents of this presentation may become outdated as a result, and the Presenter has no obligation to update the presentation or correct any

inaccuracies or omissions in this presentation. Recipients should not treat this presentation as advice relating to legal, taxation or investment matters and are advised to consult their own professional advisers. This presentation may not be reproduced in whole or in part, nor may any of its contents be divulged to any third party without the prior consent in writing of the Presenter. The recipient acknowledges that neither it nor the Presenter intends that the Presenter act or be responsible as a fiduciary to the recipient, its management, stockholders, creditors or any

  • ther person. Each of the recipient and the Presenter, by accepting and providing this presentation respectively, expressly disclaims any fiduciary relationship and agrees that the recipient is

responsible for making its own independent judgments with respect to any transaction and any other matters regarding this presentation. Furthermore, the information contained in this presentation may also qualify as “inside information” as defined in the Securities Services Act, 36 of 2004 (“SSA”). In terms of the SSA, it is a criminal offence for a person who knows that he or she has inside information to –

  • deal directly or indirectly or through an agent for his or her own account, or for the account of another person, in listed securities to which the inside information relates;
  • disclose the inside information to another other than in the proper course of a person’s employment, profession or duties; and
  • encourage or cause another person to deal or discourage or stop another person from dealing in the listed securities to which the inside information relates.

The Presenter makes no representations as to the actual value which may be received in connection with a transaction nor the legal, tax or accounting effects of consummating a transaction. Unless the expressly contemplated hereby, the information in this presentation does not take into account the effects of a possible transaction or transactions involving an actual or potential change of control, which may have significant valuation and other effects. The Presenter shall not have any liability for any loss suffered due to reliance being placed on this presentation, the information contained herein or the oral presentations referred to. This presentation is for information purposes only and does not constitute an offer or invitation to subscribe for or purchase any securities, and neither this presentation nor anything contained therein nor the fact of its distribution shall form the basis or be relied on in connection with or act as any inducement to enter into any contract or commitment whatsoever.

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Disclaimer

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Agenda

  • Introduction to PAR
  • Safety & Health
  • Introduction to EGM
  • Location
  • History
  • Geology
  • Reserves & Resources
  • Evander 8#
  • Infrastructure
  • ETRP
  • Future Projects
  • Discussion

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

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1 2 3 Source: Company website and filings Notes: (1) Excluding: c.2 million oz of Au in surface resources and 423 koz of surface reserves from Evander; 79koz in surface, outside area and slime dump resources and 136koz in surface and slime dump reserves from Barberton; and 686koz

  • f PGM-4E resource and 62koz of PGM-4E reserves from Phoenix Platinum

Phoenix is a tailings retreatment plant designed to extract 12,000oz of platinum group metals per annum from chrome tailings

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The acquisition of Evander in 2013 was transformational for PAR as it paves the way for the company to become a mid-tier gold producer with a strong, long term project pipeline. Evander is producing c.95,000oz per annum

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Barberton is a low cost, high grade, greenstone belt producing operation which has contributed significantly to PAR’s successful track record. Barberton mines produce c.95,000oz Au and Barberton Tailings Retreatment Project (“BTRP”) produces c.20,000 oz Au per annum

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Pan African Resources is an unhedged junior gold producer with quality assets in South Africa

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

The African Focused Precious Metals Producer

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

SAFETY & HEALTH

The African Focused Precious Metals Producer

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Safety

“Phase 4”

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Safety History - LTIFR

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

29.9 18.94 19.11 17.72 10.39 7.41 3.72 4.00 2.90 4.08

0.00 5.00 10.00 15.00 20.00 25.00 30.00 35.00 2004 - 2005 2005 - 2006 2006 - 2007 2007 - 2008 2008 - 2009 2009 - 2010 2010 - 2011 2011 - 2012 2012 - 2013 2013 - 2014

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LTIFR

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

4.08

  • 1.57
  • 0.52

3.09 3.00 10.17 5.25 2.04

  • 2.04
  • 2.77

2.39 Year End 2014 Jul-14 Aug-14 Sep-14 Quarter 1 Oct-14 Nov-14 Dec-14 Quarter 2 Jan-15 Feb-15 Mar-15 Quarter 3 Apr-15 May-15 Jun-15 Quarter 4 YTD B/M

LTIFR

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Location & History

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Evander Operations Location map

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

  • Union Corporation Limited

: until 1980

  • Gencor Group

: 1981 - 1988

  • Genmin Group

: 1989

  • Gengold Group

: 1990 - 1995

  • Goldfields

: 1996 – 1997

  • Harmony

: 1998 – 2013

  • Pan African Resources

: 28th February 2013

History

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Evander Operations

History

Operation Tons milled Grade Gold Gold (Mt) (g/t) (Tonnes) (Moz) Winkelhaak Mine 74.7 7.55 565 18 Kinross Mine 66.7 6.82 455 15 Leslie Mine 41.4 6.25 259 8 Bracken Mine 26.4 8.78 232 7 Total 209.3 7.22 1 511 49

Historical production (up to June 2014)

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

Geology

Evander Operations – Geology

Walter Seymore

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

Geology

200 km 100 km 50 km 0 km

Witwaters Rand Basin

Evander Basin

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

Geology

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

Geology

In flow of gold barring material

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

Geology

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

Reserves & Resources

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Reserves & Resources

Rolspruit Evander South Poplar

8 # 7 # 9 # Leslie

Winkelhaak Bracken

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

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EGM Reserves & Resources

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

As at 30 June 2014

Resource

Tonnes Grade Contained Gold Evander Gold Mining Category million g/t Tonnes Moz Measured 3.10 13.14 40.7 1.309 Indicated 259.83 2.28 593.4 19.08 Inferred 34.14 8.52 291.0 9.35 Total Evander Gold Mining Total 297.06 3.11 925.1 29.74 As at 30 June 2014

Reserve

Tonnes Grade Contained Gold Evander Gold Mining Category million g/t Tonnes Moz Kimberley Reef Proved 2.35 6.84 16.1 0.52 Probable 66.78 3.61 241.0 7.75 Total Evander Gold Mine Total 69.13 3.72 257.0 8.26

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

Evander 8#

  • Geology
  • Infrastructure
  • Mining Method
  • Processing Plant
  • Our People
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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

8 Shaft - Geology

Evander 8 Shaft

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Evander 8 Shaft Grade Distribution

25 Level HIGH GRADE AREA

24 Level LOW GRADE AREA

Lubbe Payshoot

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Grade Distribution

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

8 Shaft

Underground samples & Block Model (cmg/t) LOW GRADE AREA

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

8 Shaft

Evander 8 Shaft Production

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

8 Shaft - Geology

No 8 Shaft

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

Infrastructure

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24 L 17 L 18 L 16 L 15 L 19 L 23 L 20 L 21 L 22 L 25 L

Raise bore Holes

8# 7#

5 MW BAC 17 Lev 150 m³ Fan 2 Fridge Plants New Decline 23 – 26 Level

14 L 13 L 12 L 11 L

5 MW BAC 18 Lev 17 – 24 Vent Shaft

26 L

Evander Operations

Evander 8 Shaft re-engineered

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

Infrastructure

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

ETRP

(Evander Tailings Retreatment Plant)

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Background – ETRP

(Evander Tailings Retreatment Plant)

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

  • Mining started in the Evander basin in 1958
  • A total of 203Mt of tailings @ an average grade of 0.32 g/t on surface
  • First tailings pre-feasibility done by Harmony in 1998
  • Project to cover:
  • Refurbish Kinross metallurgical plant to nameplate capacity (240ktpm)
  • Maintain current run-of-mine (ROM) processing profile (40ktpm)
  • Fill plant capacity with tailings to 200ktpm (current surface sources will

be depleted)

  • Allow flexibility for future ROM increases
  • Deposit tailings on Winkelhaak tailings storage facility (TSF)
  • Utilise current Evander Gold Mines (EGM) infrastructure
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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Project Category Tons Grade Au Content (Mt) (g/t) (kg) (Moz) Kinross TSF Indicated Mineral Resource 57.81 0.32 18,556 0.60

SAMREC compliant resources signed off by competent person : Barry Naicker – Group Mineral Resource Manager

ETRP Resources

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Grade distribution of the Kinross Dam

ETRP

Kinross Dam

Dam 1

Dam 2 Dam 3

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

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Dam 3 Dam 2 Dam 1

TSF Plant

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

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  • Hydraulic re-mining of Kinross TSF
  • commence with high grade dam no. 1
  • Slurry pumped to Kinross processing plant
  • Current thickener arrangements are suited for tailings density control
  • Sufficient water is available for the current water reticulation circuit
  • Plant tailings to be discarded on Winkelhaak TSF
  • New tailings transfer line and return water line commissioned
  • Low operating costs due to common services and overheads –

financial model based on incremental costs

  • Winkelhaak TSF was refurbished and modified for cyclone deposition
  • Current TSF capacity of 23Mt at Winkelhaak (10 years)

ETRP : Re-mining and TSF considerations

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Conclusion

  • Low risk implementation project
  • Flexibility – Fluctuating ROM
  • Construction phase completion – October 2014
  • Full production expected in June 2015
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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Evander Operations

EGM Projects

  • Elikhulu
  • Poplar
  • Evander South
  • Rolspruit
  • 9# & 2010 Payshoot
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Major Projects

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Elikhulu

“The Big One”

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EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

ELIKHULU

Location Plan

Photo of all 3 dams

Kinross Dam Leslie Dam Winkelhaak Dam

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ELIKHULU

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Evander “Elikhulu” Project: (1 000 000t / month)

  • Re-treatment of the tailings storage facilities of Kinross, Leslie &

Winkelhaak

  • Re-evaluated in 2009 / 2010
  • Kinross – 42 holes drilled
  • Leslie – 90 holes drilled

included 39 sonic drilled holes

  • Winkelhaak – 38 holes drilled
  • Grade model developed (signed off by SRK)
  • Pre-feasibility treatment rate of 12 Mt per annum
  • Test work indicated potential recoveries of above 40%
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ELIKHULU

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

  • In House Pre-Feasibility completed in 2010

– Test work done by SGS Labs – Test work indicated the following recoveries:  Kinross: 47.8%  Leslie: 40.7%  Winkelhaak: 47.9% – Stand alone plant – Treatment rate of 12 million tonnes per annum

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ELIKHULU

Mineral Resources EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Category Tonnes Grade Gold Ounces (Mt) (g/t) (kg) (Moz) Measured

  • Indicated

205 0.29 60 1.9 Inferred

  • Total

205 0.29 60 1.9

Mineral resources

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ELIKHULU

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

  • Elikhulu feasibility

– New TSF site selection complete (agreement reached with Sasol) – EIA studies for TSF and plant (use Winkelhaak plant footprint) – Compile and submit EMP – Negotiate water off-take with Sasol (33 ml / day make-up required) – Amend WULA – Construction – approximately 18 months

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Major Projects

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Poplar

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POPLAR

Location Plan EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

POPLAR

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POPLAR

Back ground EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

  • Previously drilled however limited information available (core lost / incomplete information)
  • 12-month drilling program conducted in FY11 (Dec 2010)

– 23 Holes (20 106 meters) – 77 reef intersections – Indicated additional drilling required

  • Geological model updated using combination of historical and new information (May 2011)
  • Resource occurs at a depth of 500 to 1300 meters below surface
  • Resource likely extends into Taung prospecting right (to be transferred)
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POPLAR

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Surface Bore Holes Grade Distribution

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POPLAR

Mineral Resources EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Category Tonnes Grade Gold Ounces (Mt) (g/t) (kg) (Moz) Measured

  • Indicated

15.8 7.60 120 3.9 Inferred 6.7 6.92 46 1.5 Total 22.5 7.40 167 5.4

Mineral resources

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Major Projects

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Evander South

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EVANDER SOUTH

Location Plan EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

EVANDER SOUTH

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EVANDER SOUTH

Back ground EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

  • Previously extensively drilled by AAC (Core and logs preserved and available)
  • Harmony concluded a 24-month drilling programme in early FY10 (Oct 2009)

– 43 Holes (24 700 meters) – 99 reef intersections

  • Geological model updated using in FY10 and signed off by SRK
  • Resource occurs at a depth of 250 to 1200 meters below surface
  • Evander South is covered by two prospecting rights

– MP 30/5/1/1/2/(248) PR – renewal and S102 application submitted – MP30/5/1/1/2(4272) PR – Granted but still needs to be executed

  • Pre-Feasibility completed by SRK in July 2010
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EVANDER SOUTH

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Surface Bore Holes Grade Distribution

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EVANDER SOUTH

Mineral Resources EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc. Category Tonnes Grade Gold Ounces (Mt) (g/t) (kg) (Moz) Measured

  • Indicated

11.4 8.79 100 3.2 Inferred 9.8 6.35 62 2.0 Total 21.2 7.66 162 5.2

Mineral resources

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Major Projects

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Rolspruit

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ROLSPRUIT

Location Plan EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

ROLSPRUIT

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ROLSPRUIT

Back ground EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

  • Rolspruit lies north of Evander 8 Shaft and is the down dip extension of the payshoot
  • Rolspruit is a high grade orebody at depth of between approximately 1 800 and 2 800m

below surface

  • Historically a total of 47 drill holes were drilled (with some 170 deflections) – not all

intersected the payshoot

  • In addition geological information from Evander 8 Shaft was extrapolated into the Rolspruit

Area

  • A process was initiated during FY2011 to update the geological model and the

Pre-Feasibility Study

  • The Pre-Feasibility Study has been completed in Aug 2011
  • Objective of the PFS was to show viability and to maintain reserve status
  • PFS was based on a Single Option, 120 000 tons per month operation (not optimised)
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ROLSPRUIT

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Surface Bore Holes

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ROLSPRUIT

Mineral Resources EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

Category Tonnes Grade Gold Ounces (Mt) (g/t) (kg) (Moz) Measured

  • Indicated

24.4 10.92 267 8.6 Inferred 0.9 9.17 9 0.3 Total 25.4 10.86 275 8.9 Category Tonnes Grade Gold Ounces (Mt) (g/t) (kg) (Moz) Proven

  • Probable

23.4 8.60 201.0 6.5 Total 23.4 8.60 201.0 6.5

Mineral reserves Mineral resources

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ROLSPRUIT

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

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Other Projects

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

9# & 2010 Payshoot

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EGM Other Projects

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

2010 Payshoot 9 Shaft Project

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Evander Operations

Questions

EVANDER GOLD MINES A Subsidiary of Pan African Resources Plc.

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The African Focused Precious Metals Producer

THANK YOU