presentation to 2018 denver gold forum for personal use only · 24/09/2018 · presentation to...

ASX Release / 24 September 2018

Investor Relations Mr David Cotterell Manager Investor Relations +61 3 8660 1959 ASX: SBM Media Relations Mr Tim Duncan Hinton & Associates +61 3 9600 1979 ADR: STBMY St Barbara Limited Level 10, 432 St Kilda Road, Melbourne VIC 3004 T +61 3 8660 1900 F +61 3 8660 1999 ACN 009 165 066 Locked Bag 9, Collins Street East, Melbourne VIC 8003 W www.stbarbara.com.au

Presentation to 2018 Denver Gold Forum

Garth Campbell-Cowan, Chief Financial Officer, will present to the Denver Gold Forum in Colorado, USA, on Monday 24 September 2018. A webcast of the presentation will be available on the Denver Gold Forum website at www.denvergoldforum.org/webcast/ from Friday 28 September 2018, and subsequently on the St Barbara website from 1 October 2018 (webcast dates AEST, UTC + 10).

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http://www.denvergold.org/company-webcast/dgf18/131/

https://stbarbara.com.au/investors/webcast/

Denver Gold Forum 2018

GARTH CAMPBELL-COWAN, CFO 23-26 September 2018

Ticker ASX: SBMADR STBMY (5 ORD = 1 ADR)

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Forward Statements

This presentation has been prepared by St Barbara Limited (“the Company”). The material contained inthis presentation is for information purposes only. This presentation is not an offer or invitation forsubscription or purchase of, or a recommendation in relation to, securities in the Company and neitherthis presentation nor anything contained in it shall form the basis of any contract or commitment. Thispresentation is not a financial product or investment advice. It does not take into account theinvestment objectives, financial situation or particular needs of any investor. Before making aninvestment in the Company, an investor or prospective investor should read this document in itsentirety, consider whether such an investment is appropriate to their particular investment needs,objectives and financial circumstances, seek legal and taxation advice appropriate to their jurisdictionand consult a financial adviser if necessary. The Company is not licensed to provide financial productadvice in respect of the Company’s securities.

This presentation may contain forward-looking statements that are subject to risk factors associatedwith exploring for, developing, mining, processing, sale of gold, as well as financing, hedging andsovereign risk matters. Forward-looking statements include those containing such words as anticipate,estimates, forecasts, guidance, outlook, should, will, expects, plans or similar expressions. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks,uncertainties, assumptions and other important factors, many of which are beyond the control of theCompany. It is believed that the expectations reflected in these statements are reasonable but they maybe affected by a range of variables and changes in underlying assumptions which could cause actualresults or trends to differ materially. Nothing in this document is a promise or representation as to thefuture. Actual results may vary from the information in this presentation and any variation may bematerial. Past performance is not an indication of future performance. Statements or assumptions in thispresentation as to future matters may prove to be incorrect and any differences may be material. TheCompany does not make any representation or warranty as to the accuracy of such statements orassumptions. Investors are cautioned not to place undue reliance on such statements.

This presentation has been prepared by the Company based on information available to it and has notbeen independently verified. No representation or warranty, express or implied, is made as to thefairness, accuracy, completeness or correctness of the information, opinions and conclusions containedin this presentation. To the maximum extent permitted by law, none of the Company or its subsidiariesor affiliates or the directors, employees, agents, representatives or advisers of any such party, nor anyother person accepts any liability for any loss arising from the use of this presentation or its contents orotherwise arising in connection with it, including without limitation, any liability arising from fault ornegligence on the part of the Company or its subsidiaries or affiliates or the directors, employees,agents, representatives or advisers of any such party.

The Company estimates its Ore Reserves and Mineral Resources in accordance with The AustralasianCode for Reporting of Exploration Results, Mineral Resources and Ore Reserves 2012 Edition ("JORCCode"), which governs such disclosures by companies listed on the Australian Securities Exchange. TheJORC Code differs in several significant respects from Industry Guide 7 of the US Securities and ExchangeCommission (“SEC”), which governs disclosures of mineral reserves in registration statements andreports filed with the SEC. In particular, Industry Guide 7 does not recognise classifications other thanProved and Probable Reserves, and the SEC does not permit mining companies to disclose MineralResources in SEC filings.

The Company’s fiscal year (‘FY’) is 1 July to 30 June, e.g. FY18 = 1 July 2017 to 30 June 2018.

The Company uses Australian dollar presentation currency for reporting purposes. Financial figures are inAustralian dollars unless otherwise stated. Several items in this presentation are shown in US dollars toaid comparison. US$ in this presentation converted from previously published A$ results using FXrates used in preparation of published quarterly reports and financial statements as follows:

Averages: FY18 = 0.7751, FY17 = 0.7539, FY16 = 0.7281, FY15 = 0.8319, FY14 = 0.9178.

30 Jun spot rates: 2018 = 0.7407, 2017 = 0.7695, 2016 = 0.7452, 2015 = 0.7713, 2014 = 0.9430(Thomson Reuters). All forward looking estimates converted at A$1.00 = US$0.75 per initial FY19guidance released in June 2018 Quarterly Report.

For reference, at 20 September 2018 A$1.00 = US$0.7260 www.rba.gov.au.

Australian Securities Exchange (ASX) Listing code “SBM”

American Depositary Receipts (ADR OTC code “STBMY”) through BNY Mellon,

www.adrbnymellon.com/dr_profile.jsp?cusip=852278100

Title slide picture: Paste aggregate fill (PAF) chamber at GwaliaPublished 21 September 2018

Denver Gold Forum 23 - 26 September 2018

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http://www.rba.gov.au/

http://www.adrbnymellon.com/dr_profile.jsp?cusip=852278100

Denver Gold Forum 23 - 26 September 20183 /

Contents

• Overview• Safety• FY18 Financial Highlights• Balance Sheet• Operations & Growth Projects

o Gwaliao Simberi

• Exploration• Strategy• Conclusion

Gwalia mineFor

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Corporate Overview

FX conversion per note on page 2. 1. As at 20 September 2018. 2. 3 months to 20 September 2018, Deutsche Bank. 3. Basic underlying EPS. 4. As at 30 June 2018. Balance comprised A$226.4 M cash and A$116.2 M term deposits (maturing October 2018 to January 2019). 5. Refer ASX announcement 27 August 2018 titled ‘Ore Reserves and Mineral Resources Statements 30 June 2018’. Mineral Resources are reported inclusive of Ore Reserves. 6. Non IFRS measure, refer Appendix. 7. FY19 guidance in Q4 June 2018 Quarterly Report.

Consolidated Gwalia SimberiFY18A 403 koz @ AISC6 A$891/oz

(US$691/oz)268 koz @ AISC A$802/oz

(US$622/oz)135 koz @ AISC A$1,068/oz

(US$828/oz)

FY19F7 350 to 375 koz @ AISC A$1,030 to 1,100/oz(US$773 to $825/oz)

245 to 260 koz @ AISC A$920 to $980/oz(US$690 to $735/oz)

105 to 115 koz @ AISC A$1,275 to A$1,375/oz(US$960 to $1,030/oz)

ASX 200 (ASX: SBM; ADR: STBMY), est. 1969

Commodity Gold (Au)

Market cap1 A$2.0B @ A$3.80/sh (US$1.4B)

Shares1 521 M

Liquidity2 3.7 M/day (0.7%)

FY18 EPS3 A$0.39 (US$0.30)

FY18 Dividend A$0.12 (US$0.09)

Cash and term deposits4 A$343 M (US$254 M)

Debt Nil

Ore Reserves (JORC) 5 3.9 Moz

Mineral Resources 5 9.2 Moz

Australia

PapuaNew Guinea

Simberi

Leonora(Gwalia mine)

4 / Denver Gold Forum 23 - 26 September 2018

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St Barbara Safety Focus

1. Total Recordable Injury Frequency Rate (12 month avg), total recordable injuries per million hours worked.2. Industry Lost Time Injury Frequency Rate (LTIFR) data per Department of Mines, Industry Regulation and Safety report

titled ‘Safety Performance in the Western Australian Mineral Industry’ for 2016-2017.

6.0

4.1

5.0

2.1

1.2

2.1

FY 13 FY 14 FY15 FY16 FY17 FY18

Total Recordable Injury Frequency Rate1

• TRIFR corresponds to 9 low range injuries in last 12 mths• Corresponding LTIFR (lost time/ ’serious’ injury

frequency rate) of 0.5 to 30 June 2018 compares with gold mining industry average of 2.12 Pump isolation at Gwalia plant

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FY18 Financial Highlights

FX conversion per note on page 2. 1. Non IFRS measure, refer corresponding slide in Appendix. EBITDA Margin calculated from page 4of the 2018 Directors’ and Financial Report. FY18 cash contribution ÷ FY18 ounces of gold sold reported page 4 of the 2018 Directors’ and Financial Report. 2. Balance comprises A$226.4 M cash and A$116.2 M term deposits (maturing between October 2018 and January 2019).

•Record annual production and record low AISC1

•Cornerstone Gwalia mine with Life of Mine Plan to FY31•Simberi mine life extension to FY21

Operational excellence

•4th consecutive record profit, NPAT of A$227 M (US$176 M) •EBITDA margin of 51%1

•A$842/oz (US$653/oz) cash contribution1

Financial performance

•Debt free•A$343 M (US$254 M) cash at bank and term deposits2

•A$0.12 (US$0.09) fully franked dividend for FY18

Capital management

•Life of mine extension projects or studies at both mines•Broad range of exploration projects •A$21 M (US$16 M) in equity investments

Growth


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49

26

47

2.1

44

32

50

3.1

12

37

39

51

Dividend yield (%)

Dividend per share(A$ cents)

Return on Equity (%)

EPS (basic, A$ cents)

EBITDA margin (%)

FY18

FY17

FY16

2,3

2

1,2

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FY18 Key Financial Metrics

Denver Gold Forum 23 - 26 September 20181. Underlying, refer corresponding slide in appendix2. Non-IFRS measure, refer corresponding slide in appendix3. Based on share price of FY18: A$3.99 on 21 August 2018 and FY17: A$2.91 on 22 August 2017

1,2

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Australian Gold Peer Comparison – NPAT1 and FCF2


SBM

RSG RRL

OGC

EVNSAR

NST0%

2%

4%

6%

8%

10%

12%

14%

0.0 1.0 2.0 3.0 4.0 5.0 6.0

NPA

T vs

Mar

ket C

ap.1

(%)

Market Capitalisation (A$B)

1. Australian gold peers (market cap A$0.8B to A$5.5B) as at 18 September 2018. NPAT and production figures from company reports. 2. Macquarie Research – Australian Gold Miners report published 17 September 2018 (with permission). Non-IFRS measure. Free cash flow (FCF) defined as operating cash flow minus capex, exploration and investments. Yield = FCF for FY18 ÷ market cap.

• Gwalia and Simberi both delivered strong contributions to FY18 profitability • St Barbara ranks favourably with Australian gold peers

Bubble size = FY18 gold production SBM

RRL

EVNSAR

OGCNSTRSG

0%

2%

4%

6%

8%

10%

12%

14%

0.0 1.0 2.0 3.0 4.0 5.0 6.0

Free

Cas

h Fl

ow Y

ield

2(%

)

Market Capitalisation (A$B)

Bubble size = FY18 gold production

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Balance Sheet

Denver Gold Forum 23 - 26 September 20181. Amounts rounded to nearest $ million. Balance comprises A$226.4 M cash and A$116.2 M term deposits (maturing between October 2018 and January 2019). FX conversion per note on page 2.

-325-268

-169

75 59102 124

168

86

-400

-300

-200

-100

0

100

200

300

FY14 FY15 FY16 FY17 FY18

US$M

Term deposits

Cash

Debt

254

Cash and term deposits at FY18 of A$343 M1 (US$254 M) , no debtHedging in place:

• FY19: 76 koz forward contracts at A$1,750/oz (US$ 1,313/oz) between October 2018 and June 2019• FY20: 50 koz forward contracts at A$1,750/oz (US$ 1,313/oz) between July and December 2019

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Gwalia Production, Cost and Grade Profile

FY19F AISC is midpoint of guidance, released 26 July 2018 in Q4 June 2018 Quarterly Report. AISC is a non IFRS measure, refer Appendix. June 2018 Reserve grade 7.5 g/t Au, refer ASX announcement released 27 August 2018 titled ‘Ore Reserves and Mineral Resources Statements 30 June 2018’. FX conversion per note on page 2.

Gwalia – Absorption Chiller Plant

83109

131

185 183214

248267 265 268

245260

863700

570 592 622713

FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19F

6.95.7 6.3

8.8 8.2 8.4 8.9 9.3 10.712.5

10.5

Mined Grade(g/t Au)

Reserve Grade7.5 g/t Au June 2018

Production(koz)

AISC(US$/oz)

Jumbo inserting ground support at Gwalia – June 2018

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Animation of Gwalia underground mine available at https://youtu.be/xnnxRwKy6gk

Gwalia Animation


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Gwalia Extension Project Update – On Schedule

1. FX conversion per note on page 2. Details contained in ASX announcement 27 March 2017 ‘Gwalia Extension Project approved’. Project commenced Q3 Mar 2017. PAF involves mixing paste from surface with waste crushed underground to fill stope cavities.

• Gwalia Extension Project (GEP) consists of two main components, a ventilation upgrade and paste aggregate fill (PAF)1

• Budget of A$100 M (US$75 M) with planned completion in Q2 December FY201

• On schedule and within budget, approximately 50% complete. A$40 M (US$31 M) spent on project to date

• Raise bore activities progressing to schedule, first shaft hole complete and second surface shaft underway

• Paste aggregate fill (PAF) completion due Q3 March FY19

• FY19F capex of A$55 to A$58 M (US$41 to US$44 M)

Above: Isometric view of proposed PAF crushing circuit, notionally at 1420 mbs.


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Gwalia Mass Extraction – PFS

For details refer to ASX release 26 July 2018 ‘Quarterly Report Q4 June FY18’Denver Gold Forum 23 - 26 September 2018

• Pre-feasibility Study announced Feb 2018

• Comprises selective “island pillar” mining and hydraulic hoisting

• Utilises increased ventilation from GEP

• Supports mine life to FY31

• Feasibility study now due March 2019, expanded to consider alternative flow sheets

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Exploration – Gwalia Deeps, Seismic and 2600 mbs Targets


Gwalia Deep Drilling

• Hole to 2,600mbs completed in Q4 FY18

• Daughter hole targeting step out at 2,600mbs

Gwalia Seismic Exploration

• Drill program completed in Q4 June FY18 showed shearing and alteration similar to the Gwalia deposit

• Downhole surveys completed and data processing underway

• Drilling of 3rd hole planned for FY19

For full explanation and results refer to ASX release 26 July 2018 ‘Quarterly Report Q4 June FY18’

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Simberi Production and Cost Profile

1. AISC is a non IFRS measure, refer corresponding slide in Appendix. FX conversion per note on page 2. 2. FY19F AISC is midpoint of guidance, released 26 July 2018 in Q4 June 2018 Quarterly Report.Denver Gold Forum 23 - 26 September 2018

44

80

110 116

135

105115

FY14 FY15 FY16 FY17 FY18 FY19F

Production(koz)

AISC1

(US$/oz)

2,111

1,218941 895 828 994

2 Simberi processing plant, June 2018 – photo by Anna Mote

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Simberi Sulphide – Potential Long Life Mine Extension

1. Taken from 2016 Simberi Sulphide PFS. PFS level of accuracy ±30%. For full explanation refer to Q3 March 2016 Quarterly Report released 19 April 2016.

2. Ore Reserves and Mineral Resources Statements 30 June 2018 release 27 August 2018 3. For full explanation and results refer to ASX release 26 July 2018 ‘Quarterly Report Q4 June FY18’

Samat,134 koz

Botlu,111 koz

Pigibo, 57 koz

Pigiput1,003 koz

Sorowar, 78 koz

Modelled ultimate pit shells1 with associated sulphide reserves

• Focused exploration for sulphide ore underway to improve project economics

• Sorowar not drilled at depth previously

• Early Sorowar drill results indicate high grade sulphide gold present3

1.4 Moz Sulphide Reserve @ 3.5 g/t Au,

3.1 Moz Sulphide Resource @ 1.8 g/t Au 2

Distribution of 1.4 Moz Sulphide Reserve


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Exploration – Sorowar Pit, Simberi Island

For full explanation and results refer to ASX release 26 July 2018 ‘Quarterly Report Q4 June FY18’Denver Gold Forum 23 - 26 September 2018

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Mine Life Extension


2021

2020

2018

2031

2024

2024

2015 2020 2025 2030

FY18

FY17

FY16

Simberi(Oxide)

FY18

FY17

FY16

Gwalia

Life of Mine Extensions

Mine life as published in relevant Annual Report, based on corresponding Ore Reserves and Mineral Resources Statements

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Exploration – FY19 Guidance – US$16 to US$20 million

US$7 – US$9 million Leonora• Gwalia Deep Drilling • Greater Gwalia Area & Seismic• Leonora RegionalUS$3 – US$4 million Pinjin WA • Aircore drilling of identified targets

US$6 – US$8 million PNG• Simberi Oxides/Sulphides and

Porphyry• Tatau SulphidesIn addition to guidance, Newcrest Option and farm in agreement, drilling copper-gold porphyry targets

FX conversion per note on page 2. Total guidance A$21-27M, Leonora A$9-12M, Pinjin A$4-5M, PNG A$8-10M.For full explanation and results refer to ASX release 26 July 2018 ‘Quarterly Report Q4 June FY18’


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Simberi Island Group (PNG)Pinjin, Western Australia

For full explanation and results refer to ASX release 26 July 2018 ‘Quarterly Report Q4 June FY18’

Leonora, Western Australia

Exploration Activities


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Strategy for the next 5 years – “stronger for longer”

Diversify production base Seeking a portfolio of robust operations

Sustainable long life operations Aiming for above average mine life at bottom-third AISC

Quality growth pipelineActively add, manage and progress assets in all phases of the pipeline

Talented people who deliverSupport and work with our people to continue to achieve extraordinary results

Trusted to operateOur various stakeholders trust us everywhere we choose to operate


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Growth Pipeline

Feasibility Construction ProductionExplorationAu

stra

liaO

vers

eas

Greater Gwalia

Pinjin

Back Creek

16%

Catalyst Metals

18%.

Peel Mining

Au

Tabar Is Group

Cu-Au, OFA with NCM1

Tabar Is Group

Tower Hill

Simberi Sulphide

Inorganic growthEvaluating exploration, project, development and operating assets in a range of sizes in Australia and overseas

Gwalia Extension

Gwalia Mine

Simberi Mine


Gwalia GMX

10%

Prodigy Gold2

12%

Duketon Mining

Projects owned 100% St Barbara interest as noted

1. Option and Farm-in Agreement with Newcrest announced 14 November 20162. Formerly ABM Resources

.

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Conclusion

• Record year again – production, costs, profit and cash flow

• NPAT A$227 M (US$176 M)

• A$0.12 cps (US$0.09) total FY18 dividends

• A$343 M (US$254 M) cash at bank1, no debt

• Mine life extended at both operations

• Fully funded near-term growth options

• Exploration focus – St Barbara tenements, JVs and targeted investments in juniors

• Well positioned to grow inorganicallyDenver Gold Forum 23 - 26 September 2018

Portal entrance at Gwalia

1. Balance comprises A$226.4 M cash and A$116.2 M term deposits (maturing between October 2018 and January 2019).FX conversion per note on page 2.

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Questions?


Gwalia plant at sunrise

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Appendices


Water sampling at Leonora

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Consolidated Production, Costs (A$), Guidance Summary


1. Refer to ASX release 26 July 2018 ‘Quarterly Report Q4 June FY182. Refer to Ore Reserve and Mineral Resources Statements (released 23 August 2017 and 27 August 2018).3. Non-IFRS measure, refer Appendix. 4. US$960 to US$1,030/oz at AUD 0.75

Production SummaryConsolidated

YearFY17

Q1 SepFY18

Q2 DecFY18

Q3 MarFY18

Q4 MarFY18

YearFY18

Final GuidanceFY18

GuidanceFY191

St Barbara’s financialyear is 1 July to 30 June

Year to 30 June 2017

Qtr to 30 Sep 2017

Qtr to 31 Dec 2017

Qtr to 31 Mar 2018

Qtr to 30 Jun 2018




ProductionGwalia oz 265,057 64,283 62,835 56,773 84,537 268,429 250 to 260 koz 245 to 260 kozSimberi oz 116,044 33,976 36,674 29,112 34,899 134,661 125 to 132 koz 105 to 115 kozConsolidated oz 381,101 98,259 99,509 85,885 119,436 403,089 375 to 392 koz 350 to 375 koz

Mined Grade Reserve grade2 Reserve grade2

Gwalia g/t 10.7 10.7 11.2 15.0 13.4 12.5 7.8 7.5Simberi g/t 1.13 1.21 1.32 1.16 1.30 1.25 1.3 1.3

Total Cash Operating Costs3

Gwalia A$/oz 592 621 668 679 530 613 n/a n/a

Simberi A$/oz 1,092 964 908 1,036 983 969 n/a n/a

Consolidated A$/oz 689 740 757 800 662 732 n/a n/a

All-In Sustaining Cost3

Gwalia A$/oz 785 816 859 905 679 802 840 to 880 920 to 980

Simberi A$/oz 1,187 1,027 994 1,129 1,135 1,068 1,070 to 1,130 1,275 to 1,3754

Consolidated A$/oz 907 889 910 982 812 891 920 to 970 1,030 to 1,100

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construction (completion due Q2 Dec FY20)Gwalia Extension Project

feasibility studyGwalia Mass Extraction

drillingGwalia 2600 mbs hole

interpretationGwalia 3D Targets

Main Current Projects – Timeline

FY18 FY19 FY19

Q3 Mar Q4 Jun Q1 Sep Q2 Dec Q3 & beyond

drilling

analysis and further drilling

drillingSimberi sulphide PFS

ongoing drilling and interpretation program (Nov 2016 to 2024)Simberi JV

Refer Q4 June FY18 Quarterly Report for details

Initial 2 year option period to Nov 2018


analysis and further seismic drilling

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Gwalia Mass Extraction – PFS (Alternative)

For details refer to ASX release 26 July 2018 ‘Quarterly Report Q4 June FY18’Denver Gold Forum 23 - 26 September 2018

• Feasibility Study considering alternative 3-stage crushing underground

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Gwalia Deeps 1540 – 1580 Lode Schematic

Reproduced from ASX release 25 September 2017 ‘Denver Gold Forum 2017’

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Exploration – Sorowar Pit, Simberi Island

Sorowar Pit

Best results include:

SORDGC001 – 28m @ 1.37g/t Au from 114m

SORDGC002 – 19m @ 4.96g/t Au from 82m

SORDGC007 – 20m @ 8.42g/t Au from 60m; and 15m @ 7.08g/t Au from 89m

All intercepts downhole, for full explanation and results refer to ASX release 26 July 2018 ‘Quarterly Report Q4 June FY18’Denver Gold Forum 23 - 26 September 2018

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Ore Reserves Summary as at 30 June 2018


Notes

1. Ore Reserves are based on a gold price of: Gwalia (AU$1,350/oz), Tower Hill (AU$1,250/oz), Simberi (US$1,200/oz)2. Cut-off Grades Gwalia (4.0g/t Au), Tower Hill (2.8g/t Au), Simberi Oxide (0.5g/t Au), Simberi Sulphide (1.1g/t Au)3. Mineral Resources are reported inclusive of Ore Reserves.4. Data is rounded to thousands of tonnes and thousands of ounces. Discrepancies in totals may occur due to rounding.5. Details relating to each of the estimates are contained in the 2018 Annual Mineral Resource and Ore Reserve Report at www.stbarbara.com.au/exploration/Ore-Reserves-mineral-resources/

Full details are contained in the ASX release dated 27 August 2018 ‘Ore Reserves and Mineral Resources Statements 30 June 2018’ available at www.stbarbara.com.au.

Project

Proved Probable Total

Tonnes('000)

Gold (g/t)

Ounces('000)

Tonnes('000)

Gold (g/t)

Ounces('000)

Tonnes('000)

Gold (g/t)

Ounces('000)

Gwalia, (WA) 1,845 9.0 531 6,061 7.0 1,368 7,907 7.5 1,899

Tower Hill, (WA) - - - 2,572 3.7 306 2,572 3.7 306

Simberi Oxide, (PNG) 1,644 1.5 77 5,692 1.3 237 7,336 1.3 314

Simberi Sulphide, (PNG) 151 3.0 15 12,200 3.5 1,367 12,352 3.5 1,382

Simberi Stockpiles, (PNG) 889 0.8 22 - - - 889 0.8 22

Total All Projects 4,529 4.4 645 26,525 3.8 3,278 31,055 3.9 3,923

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Mineral Resources Summary as at 30 June 2018


Project

Measured Indicated Inferred Total

Tonnes('000)

Gold (g/t)

Ounces('000)

Tonnes('000)

Gold (g/t)

Ounces('000)

Tonnes('000)

Gold (g/t)

Ounces('000)

Tonnes('000)

Gold (g/t)

Ounces('000)

Gwalia, (WA) 4,581 7.1 1,048 14,690 6.3 2,997 3,831 6.3 780 23,102 6.5 4,825

Tower Hill, (WA) - - - 4,604 3.9 574 489 3.3 51 5,093 3.8 625

Simberi Oxide, (PNG) 2,120 1.2 85 10,163 1.0 341 4,834 1.0 150 17,117 1.0 576

Simberi Sulphide, (PNG) 526 1.7 28 40,683 1.9 2,454 12,615 1.6 654 53,824 1.8 3,136

Total All Projects 7,227 5.0 1,161 70,140 2.8 6,366 21,769 2.3 1,635 99,136 2.9 9,162

Notes

1. Mineral Resources are reported inclusive of Ore Reserves2. Cut-off Grades Gwalia (2.5g/t Au), Tower Hill (2.5g/t Au), Simberi Oxide (0.4g/t Au), Simberi Sulphide (0.6g/t Au)3. Simberi Mineral Resources are reported constrained by a US$1,800/oz pit shell4. Data is rounded to thousands of tonnes and thousands of ounces. Discrepancies in totals may occur due to rounding.5. Details relating to each of the estimates are contained in the 2018 Annual Mineral Resource and Ore Reserve Report at www.stbarbara.com.au/exploration/Ore-Reserves-mineral-resources/


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http://www.stbarbara.com.au/exploration/Ore-Reserves-mineral-resources/


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Reserves and Resources as at 30 June 2018

Gwalia Reserves and Resources

• Reduced by mining depletion

• Update to reserves and resources following completion of GMX Feasibility Study

• Mine life extended to FY31

Simberi Reserves and Resources

• Oxide mine life extended to FY21

• Sulphide drilling continuing

Note: For full details refer to ‘Ore Reserves and Mineral Resources Statement 30 June 2018’.

3.95.1 4.8

0.60.6 0.61.00.7 0.6

3.63.2 3.1

9.1 9.6 9.2

FY16 FY17 FY18

Mineral Resources

Simberi Sulphide

Simberi Oxide

Tower Hill

Gwalia

Moz

1.8 2.1 1.9

0.30.3 0.3

0.60.5

0.3

1.3 1.41.4

4.04.3

3.9

Ore Reserves

Simberi Sulphide

Simberi Oxide

Tower Hill

Gwalia


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Gwalia – Lowest Expected Mined Depth

For full details refer to ASX Announcement “Gwalia mine medium and long-term outlook” released on 21 February 2018.Deepest mineralised intersection in Q4 June 2018 Quarterly Report released 26 July 2018.

Ore

Res

erve

s

Min

eral

Res

ourc

es

deep

est m

iner

alis

ed in

ters

ectio

n

1100

12201300

1380 14201500 1500 1540 1580 1620

1700 1740 1780 1820

21402200

2690

1000

1200

1400

1600

1800

2000

2200

2400

2600

FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19F FY20F FY21F FY22Fmbs

Lowest Expected Mined Depth in Year

Ore Reserves and Mineral Resources Statements as at 30 June 2018 (released 27 August 2018), Ore Reserves extend down to 2140 mbs, Mineral Resources extend down to 2200 mbs, work continues to seek further extensions.


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Gwalia – Depth of Ore Reserves

Ore ReservesAt end of year

(+ production during year)(Moz)

Maximum Depthof Ore Reserves

(mbs)

Ore Reserves and Mineral Resources Statements as at 30 June 2018 (released 27 August 2018), Ore Reserves extend down to 2140 mbs, Mineral Resources extend down to 2200 mbs, work continues to seek further extensions

1540 mbs1740 mbs

1940 mbs2140 mbs 2140 mbs

1500 mbs 1500 mbs 1540 mbs 1580 mbs 1620 mbs

0

500

1000

1500

2000

30 Jun 2014 30 Jun 2015 30 Jun 2016 30 Jun 2017 30 Jun 2018

1.9 Moz 1.6 Moz 1.8 Moz 2.1 Moz 1.9 Moz

0.21 Moz0.25 Moz

0.27 Moz0.27 Moz

0.27 Moz

0.0

0.5

1.0

1.5

2.0

2.5

Production

Reserves

MaximumReserves Depth


MaximumMined Depth

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Sustainability Report

Sustainability Report topicsGovernance & Economic Performance• Core values and Code of Conduct• Ethical business conduct with all stakeholders• Manage for long term growth Health & Safety• Safe work environment and practicesPeople• Attract, retain, engage and develop workforce• DiversitySocial & Communities• Engage, respect and enhance• Minimise adverse impactEnvironment• Emissions and incidents• Waste management • Energy efficiency

Sustainability Report • Complements Annual Report and Corporate

Governance Statement • Disclosure guided by GRI standards• Available on website at

www.stbarbara.com.au/sustainability/


Simberi school vs Simberi mining team cricket match

Integrated suite ofannual reporting

Sustainability Report

Corporate Governance Statement

Annual Report

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http://www.stbarbara.com.au/sustainability/sustainability-report/

https://stbarbara.com.au/sustainability/

https://stbarbara.com.au/about-us/governance/

https://stbarbara.com.au/investors/annual-reports/

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Gender Diversity

• WGEA Employer Of Choice For Gender Equality in 2014-15, 2015-16, 2016-17 and 2017-18 and the only mining company to be certified in 2017-18

• 2017 Winner Excellence in Company Diversity Programs and Performance, Women in Resources National Awards

• 2018 Winner of Australian Women in Resources Alliance Award, AMMA’s National Awards

• Bob Vassie, MD & CEO, appointed in 2014 as one of the first CEO Ambassadors of the Workplace Gender Equality Agency pay equity campaign

• Bob Vassie appointed in 2018 as a member of the AusIMM Council for Diversity and Inclusion


Council for Diversity and Inclusion

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American Depositary Receipt Information (ADR: STBMY)

American Depositary Receipt Information (ADR: STBMY)

Tickercode

STBMY

Type Sponsored Level 1 ADR

CUSIP 852278100

DR ISIN number

US8522781009

DRExchange

OTC www.otcmarkets.com

Ratio 1 ADR = 5 SBM ordinary shares

DepositaryBank

The Bank of New York Mellon www.adrbnymellon.com

• St Barbara established an American Depositary Receipt (ADR) programme in 1994 with The Bank of New York (now BNY Mellon) as depositary.

• St Barbara’s ADR joined the NASDAQ International Designation program in May 2018, having satisfied NASDAQ’s International Designation compliance, market cap, financial and trading requirements

• Further information on the St Barbara ADR program is available from The Bank of New York (BNY) Mellon Shareowner Services at www.adrbnymellon.com


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https://www.otcmarkets.com/

http://www.adrbnymellon.com/

https://www.adrbnymellon.com/?cusip=852278100

https://business.nasdaq.com/list/international-designation

https://www.adrbnymellon.com/?cusip=852278100


Institutional Share Register

Institutional89%

Non Institutional

4%

Not analysed7%

Not analysed 7%Other 13%

UK 11%

Australia34%

USA 35%

Data as at 14 August 2018

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Substantial Shareholders and Broker Coverage

Substantial Shareholders 1

Van Eck Associates Corp. 12.3%Vinva Investment Mgmt. 5.2%

Institutional Shareholders 2 89%

Shares on issue 521M

American Depositary Receipts (ADR) trade in USA through BNY Mellon (ADR OTC Code ‘STBMY’)

Broker Research Coverage

Argonaut James Wilson

Canaccord Reg Spencer

Citi Trent Allen

Credit Suisse Mike Slifirski

Deutsche Bank Tim Hoff

GMR David Radclyffe

JP Morgan Mathew Hocking

Macquarie Ben Crowley

1. As notified by substantial shareholders to 20 September 20182. As at 14 August 2018

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Board of Directors

Bob VassieManaging Director and CEOAppointed July 2014

Mr Vassie is a mining engineer with over 30 years international mining industry experience and has 18 years experience in a range of senior management roles with Rio Tinto, culminating in Global Practice Leader-Mining Technology and then Managing Director–Strategic Optimisation. Immediately prior to joining St Barbara he was MD and CEO of Ivanhoe Australia Ltd. He has particular experience in operations management, resource development strategy, mine planning, feasibility studies, business improvement, corporate restructuring and strategic procurement. .

Tim NetscherChairman– Non ExecutiveAppointed Director February 2014

Appointed Chairman July 2015

Mr Netscher is an experienced international mining executive with extensive operational, project development, transactional and sustainability experience gained in senior executive and board roles over many years. His key executive positions during the past 25 years included Managing Director and CEO of Gindalbie Metals Ltd, Senior Vice President Asia Pacific Region of Newmont Inc., Managing Director of Vale Coal Australia, President of P T Inco and Executive Director of Refining & New Business at Impala Platinum Ltd.Mr Netscher’s experience covers a wide range of resources including nickel, coal, iron ore, uranium and gold in Africa, Asia and Australia.

David MoroneyDirector– Non ExecutiveAppointed March 2015

Mr Moroney is an experienced finance executive with more than 30 years experience in senior corporate finance roles, including 15 years in the mining industry, and extensive international work experience with strong skills in finance, strategic planning, governance, risk management and leadership. Mr Moroney’s executive positions included CFO of Co-Operative Bulk Handling, CFO of First Quantum Minerals Ltd, General Manager Group Business Services at Wesfarmers Ltd, CFO of Wesfarmers CSBP Ltd, Deputy CFO/Executive GM Accounting of Normandy Mining Ltd and CFO at Aurora Gold Ltd. Mr Moroney’s experience covers a wide range of resources including diamonds, copper, cobalt, nickel, silver and gold in Africa, Asia, Scandinavia and Australia.

Kerry GleesonDirector– Non ExecutiveAppointed May 2015Ms Gleeson has over 25 years board room and senior management experience across Europe, North America and Australasia. A qualified lawyer in both UK and Australia, Ms Gleeson has significant experience in international governance, strategic mergers and acquisitions and complex corporate finance transactions, as well as in risk and crisis management. Ms Gleeson was a member of the Group Executive at Incitec Pivot Limited for ten years, including as Company Secretary and General Counsel. Prior to joining Incitec Pivot, she was a corporate finance and transactional partner in an English law firm and, on relocating to Australia, was appointed a senior corporate lawyer with Australian law firm, Blake Dawson Waldron (now Ashurst).

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Executive Leadership Team

Garth Campbell-Cowan

Chief Financial Officer

Joined 2006

Mr Campbell-Cowan is a CharteredAccountant with over 30 years experiencein finance and management positionsacross a number of different industries. Heis responsible for the Group’s Financefunction, covering financial reporting andaccounting, treasury, taxation, businessanalysis, capital management,procurement and information technology.

Prior to joining St Barbara, he was Directorof Corporate Accounting at Telstra and hasheld senior finance leadership roles withWMC, Newcrest Mining and ANZ.

Bob Vassie

Managing Director and CEO

Appointed 2014

Mr Vassie is a mining engineer with over 30years international mining industryexperience and has 18 years experience ina range of senior management roles withRio Tinto, culminating in Global PracticeLeader-Mining Technology and thenManaging Director–Strategic Optimisation.Immediately prior to joining St Barbara hewas MD and CEO of Ivanhoe Australia Ltd.He has particular experience in operationsmanagement, resource developmentstrategy, mine planning, feasibility studies,business improvement, corporaterestructuring and strategic procurement.

Rowan Cole

Company Secretary

Joined 2010

Mr Cole joined St Barbara in 2010 asGeneral Manager Corporate Services andwas appointed Company Secretary in 2014.He has over 30 years experience acrosschartered accounting, retail banking,private and public companies.

Mr Cole's experience includes external,internal and IT audit, strategy formulation,execution and measurement, process andbusiness improvement, marketing, financialservices, head of risk and compliance, chiefaudit executive and chief financial and riskofficer.

Val Madsen

GM Human Resources

Joined 2013

Ms Madsen joined St Barbara in September2013. Ms Madsen leads the HumanResources Function covering recruitment,remuneration and benefits, talentmanagement, employee relations andwellbeing, diversity and training anddevelopment. Val is a member of AMMA’sAWRA Advisory Board and Chair of theMinerals Council of Australia’s GenderDiversity Working Group.

With a Masters in Education and a numberof other business qualifications andaccreditations, Val has enjoyed a diversecareer in Human Resources.

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Competent Persons Statement

Exploration ResultsThe information in this presentation that relates to Exploration Results for Simberi and Pinjin is based on information compiled by Dr Roger Mustard, who is a Member of The AustralasianInstitute of Mining and Metallurgy. Dr Mustard is a full-time employee of St Barbara and has sufficient experience relevant to the style of mineralisation and type of deposit underconsideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results,Mineral Resources and Ore Reserves’. Dr Mustard consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

The information in this presentation that relates to Exploration Results for Gwalia and the Leonora region is based on information compiled by Mr Robert Love, who is a Fellow of TheAustralasian Institute of Mining and Metallurgy. Mr Love is a full-time employee of St Barbara and has sufficient experience relevant to the style of mineralisation and type of depositunder consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of ExplorationResults, Mineral Resources and Ore Reserves’. Mr Love consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Mineral Resource and Ore Reserve EstimatesThe information in this presentation that relates to Mineral Resources or Ore Reserves is extracted from the report titled ‘Ore Reserves and Mineral Resources Statements 30 June 2018’released to the Australian Securities Exchange (ASX) on 27 August 2018 and available to view at www.stbarbara.com.au and for which Competent Persons’ consents were obtained. EachCompetent Person’s consent remain in place for subsequent releases by the Company of the same information in the same form and context, until the consent is withdrawn or replaced bya subsequent report and accompanying consent.

The Company confirms that it is not aware of any new information or data that materially affects the information included in the original ASX announcement released on 27 August 2018and, in the case of estimates of Mineral Resources or Ore Reserves, that all material assumptions and technical parameters underpinning the estimates in the original ASX announcementcontinue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person's findings are presented have not been materiallymodified from the original ASX announcement.


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Non-IFRS Measures

We supplement our financial information reporting determined under International Financial Reporting Standards (IFRS) with certain non-IFRS financialmeasures, including cash operating costs. We believe that these measures provide meaningful information to assist management, investors and analysts inunderstanding our financial results and assessing our prospects for future performance.

All-In Sustaining Cost All-In Sustaining Cost is based on Cash Operating Costs, and adds items relevant to sustaining production. It includes some, butnot all, of the components identified in World Gold Council’s Guidance Note on Non-GAAP Metrics - All-In Sustaining Costs and All-In Costs (June 2013). Refer most recent quarterly report available at www.stbarbara.com.au for example

Cash contribution Cash flow from operations before finance costs, refer reconciliation of cash movement in the most recent quarterly reportavailable at www.stbarbara.com.au

Cash operating costs Calculated according to common mining industry practice using The Gold Institute (USA) Production Cost Standard (1999revision). Refer most recent quarterly report available at www.stbarbara.com.au for example

Dividend yield Dividend ÷ share priceEBIT Earnings before interest revenue, finance costs and income tax expense.EBITDA EBIT before depreciation and amortisation.EBITDA margin EBITDA ÷ RevenueROE ‘Return on equity’ is calculated as underlying NPAT expressed as a percentage of average total equity. Refer 2018 Directors’ and

Financial Report (p3) for details

Significant Items Items whose nature or amount is considered material to the financial report. Refer Note 3 of 2018 Financial Report (p48) for details

Underlying EBITDA / EPS / NPAT

EBITDA, EPS or NPAT after excluding identified significant items. Refer 2018 Financial Report (p3) for details.

2018 Financial Report Refer 2018 Directors’ and Financial Report available at www.stbarbara.com.au

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Investor Relations Enquiries

Rowan ColeCompany Secretary

T: +61 3 8660 1900

David CotterellManager Investor Relations

E: [email protected]

St Barbara Board, underground at Gwalia, October 2017. L to R: Tim Netscher (Non-Executive Chairman), Andrew Walker (Underground Manager), Rowan Cole (Company Secretary), Kerry Gleeson (Non-Executive Director), Bob Vassie (MD&CEO), and David Moroney (Non-Executive Director)

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presentation to 2018 denver gold forum for personal use only · 24/09/2018 · presentation to...

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