View
1
Download
0
Category
Preview:
Citation preview
PRODUCER STATUS ACHIEVED
InvestorPresenta,on
February2016
ThisdocumenthasbeenpreparedbyAsankoGoldInc.(the“Company”)solelyforinforma?onal purposes. This presenta?on is the sole responsibility of thecompany. Informa?oncontainedhereindoesnotpurport tobecompleteand issubject tocertainqualifica?onsandassump?onsandshouldnotberelieduponfor thepurposesofmakingan investment in the securi?esorentering intoanytransac?on. The informa?on and opinions contained in the presenta?on areprovided as at thedateof this presenta?onand are subject to changewithoutno?ce and, in furnishing the presenta?on, the company does not undertake oragree to any obliga?on to provide recipients with access to any addi?onalinforma?onortoupdateorcorrectthepresenta?on.Nosecuri?escommissionorsimilarregulatoryauthorityhaspassedonthemeritsofanysecuri?esreferredtointhepresenta?on,norhasitpassedonorreviewedthe presenta?on. Cau?onary note to United States investors - the informa?oncontainedinthepresenta?onusestermsthatcomplywithrepor?ngstandardsinCanadaandcertaines?matesaremade inaccordancewithNa?onal Instrument43-101 (“NI 43-101”) - standards for disclosure for mineral projects. Thepresenta?on uses the terms “other resources”, “measured”, “indicated” and“inferred” resources.UnitedStates investorsareadvised that,while such termsare recognized and required by Canadian securi?es laws, the SEC does notrecognize them. Under United States standards, mineraliza?on may not beclassifiedas “ore”or a “reserve”unless thedetermina?onhasbeenmade thatthemineraliza?oncouldbeeconomicallyandlegallyproducedorextractedatthe?me the reserve determina?on ismade. United States investors are cau?onednottoassumethatalloranypartofmeasuredorindicatedresourceswilleverbeconverted into reserves. Further, “inferred resources” have a great amount ofuncertaintyastotheirexistenceandastowhethertheycanbeminedlegallyoreconomically. It cannot be assumed that all or any part of the “inferredresources”willeverbeupgraded toahighercategory.Therefore,UnitedStatesinvestors are also cau?oned not to assume that all or any part of the inferredresourcesexist,orthattheycanbeminedlegallyoreconomically.
UnderCanadianrules,es?matesof“inferredresources”maynotformthebasisoffeasibilityorpre-feasibilitystudiesexceptinlimitedcases.Disclosureof“containedounces”ispermiTeddisclosureunderCanadianregula?ons;however,theSecuri?esExchangeCommission (SEC)normallyonlypermits issuers to reportmineraliza?onthatdoesnotcons?tute“reserves”asinplacetonnageandgradewithoutreferenceto unit measures. Accordingly, informa?on concerning descrip?ons ofmineraliza?on, mineral resources and mineral reserves contained in thepresenta?on,maynotbecomparabletoinforma?onmadepublicbyUnitedStatescompaniessubjecttotherepor?nganddisclosurerequirementsoftheSEC.Thepresenta?onmaycontain“forwardlookingstatements”withinthemeaningofthe United States private securi?es li?ga?on reform act of 1995 and “forwardlooking informa?on”withthemeaningofapplicableCanadiansecuri?es legisla?onconcerning,amongotherthings,thesizeandthegrowthofthecompany’smineralresourcesandthe?mingoffurtherexplora?onanddevelopmentofthecompany’sprojects.Therecanbenoassurancethattheplans,inten?onsorexpecta?onsuponwhich these forward looking statements and informa?on are based will occur.“Forward looking statements” and “forward looking informa?on” are subject to avarietyofrisks,uncertain?esandassump?ons,includingthosethatarediscussedinthe company’s annual informa?on form. Some of the factors which could affectfuture results and could cause results todiffermaterially from thoseexpressed inthe forward looking statements and informa?on containedherein include:marketprices, exploita?onandexplora?on successes, con?nuedavailabilityof capital andfinancing and general economic, market, business or governmental condi?ons.Forwardlookingstatementsandinforma?onarebasedonthebeliefs,es?matesandopinionsofmanagement at thedate the statements aremadeandare subject tochangewithoutno?ce.TheCompanydoesnotundertaketoupdateforwardlookingstatementsorinforma?onifmanagementbelieves,es?matesforwardoropinionsorothercircumstancesshouldchange.TheCompanyalsocau?onspoten?al investorsthat mineral resources that are not material reserves do not have demonstratedeconomicviability.
2
FORWARD LOOKING INFORMATION
Phase2OrganicGrowth2.73Moz@1.41g/t10yrLoM:411,000oz/yr;AISC<US$800/oz
ASANKO AT A GLANCE
• Phase1inLowestQuar,leAISC2.52Moz@2.15g/t+12yrLoM:190,000oz/yr;AISCUS$781/oz
NowAGoldProducerConstruc?onwithinbudget&schedule1stGold-Jan2016CommercialProduc?on–Q22016
TeamtoDeliverAfricanexper?seBuildersandoperators
StrongBalanceSheetUS$150mflexibledebtwithnocovenantsUS$40mcashbuffertoposi?vecashflow
█ Phase1█ Phase2
WorldClassAsset
3
Resources7.9Moz
Reserves5.2Moz
• 22.7Mtwaste&0.7MtoremineduptoendJanuary2016
• Peripheriesoforebodybeingminedwithenoughworkingfacesavailableforcommercialopera?ons
• GCdrillingkeytominimizingdilu?onanddevelopingthedetailedmineplan:
• Beingdoneona5mx10mgridthroughupto6benches
• 1,942holesfor59,000mdrilledtodate
• HascurrentlydefineddetailedmineplanstoJuly2016
4
NKRAN MINING OPERATIONS
VIEW OF ROM PAD, CRUSHER AND CONVEYOR
5
6
PANORAMA OF PROCESSING FACILITY
SAG&BALLMILLS–GRAVITY–PRE-LEACHTHICKENER–CIL–ELUTION–GOLDROOM–TAILINGS✔ALLOPERATING
7
ENTIRE PLANT COMMISSIONED & 1st GOLD POURED
wIncludes~7,000ozloadedupinprocessingcircuit
• BalancesheetstrengthenedinDec2015withUS$20mextensiontoexis?ngdebtfacilityandcancella?onofexpensiveover-runfacility
• Ampleworkingcapitalavailableforcommissioning&ramp-up
• Flexibledebtfinancingatspotgoldprices,withnopressureoncommissioning?metable=>Nocovenants,nohedging,nocashsweep,norestric?onsonM&A
• ±US$9.5mfirstdebtrepaymentdueinQ32016,back-endedamor?za?onschedule
8
ROBUST CASH FLOWS AND BALANCE SHEET
SourcesandUsestoCashFlowPosi,ve31Dec2015to1Apr2016 US$m
RemainingProjectCapex 57.0
AccountsPayable 9.5
WorkingCapitallesspre-produc?onrevenue(incl.VATouwlow)w
8.2
CorporateCosts 1.9
TOTALREMAININGUSES 76.6
CashonHand 115.9
TOTALREMAININGSOURCES 115.9
CASHBUFFER 39.30
100
200
300
400
500
600
700
800
900
1,000
US$m
illions
MiningUS$348
ProcessUS$209
MineG&AUS$83
§ Cashcost:US$645§ On-siteAISC:US$729§ TotalAISC:US$781
RefiningUS$4
Royal?esUS$65
SustainingcapexUS$19
FinancingcostsUS$17
CorporateG&AUS$35
LOWESTQUARTILELOMAISCOFUS$781/oz*
*BasedonPhase1Defini=veProjectPlan@US$1,300/oz
§ US$1,100/oz § US$1,200/oz § US$1,300/oz
CUMULATIVEPROJECTCASHFLOWS–PHASE1*
• Earlyindica?onsmillshavecapacityinexcessof3Mtpadesign
• CILcapacitycanbeexpandedfrom3Mtpato3.8Mtpaforminimalcapital
• Short-termstrategyistoiden?fyanddrilloutfurtheroxideresourceswithinaneconomictruckingradius
• ExtensiveVTEMsurvey,completedandinterpretedduringQ42015,hasgenerated20prioritytargets
• Keyresultsincludeatotallyre-interpretedlithostructuralmodel
9
GROWTH THROUGH DISCOVERY OF NEAR-MINE OXIDES
MagnifiedareasurroundingtheNkran pit
Nkran
Greywackes
Siltstones
Sandstones
Granite intrusions
Esaase
Nkran
DynamiteHillAsuadai
Abore
Adubiaso
Targe,ngIncrementalOunces@MarginalCostofProduc,on
10
PHASE 2: CAPITAL EFFICIENT GROWTH & OPTIONALITY
PFS–MAY2015(US$1,300/ozgold)(*atJuly1,2014) Phase1 Phase2
Expansion Phases1&2
Reserves (Mozg/t) 2.5@2.15 2.7@1.41 5.2@1.68
ProcessingCapacity (Mtpa) 3.0 5.8 8.8
Produc,on (avg./yr) 190,000oz 221,000oz 411,000oz
LifeofMineProduc,on 2.33Moz 2.35Moz 4.7Moz
LifeofMine (years) 12.4 10.5 12.5
AISC (US$/oz) 781 - 798
CapitalCost (US$m) 295 270 565
NPV*5% (US$m) 412 358 770
IRR*(aeertax) % 26 30 27
• Pre-FeasibilityStudypublishedinMay2015
• EsaaseReserves:37%oxide&63%fresh(containedgold)
• DFSdueQ32016,exploringprocessingop?onality
• Permiyng&stakeholderengagementhascommenced
ReseTlementProject
• US$9mPar?alReseTlementofNkranVillage
• 88householdsrelocatedon?meinSept2015
• Builtbythecommunityforthecommunity
• Includeselectricity,streetligh?ng,potablewater&integratedsewerage
• SeynganewstandardforreseTlementinGhana:reinforcingoursociallicensetooperate
• CommiTedtominingresponsibly&inmannerthatleadstosustainabledevelopmentandtangiblebenefitsforallourstakeholders
• Ac?velysupportAfricaMiningVision-PolicyofempoweringGhanaiansthrough:
• Employment–97%Ghanaianswith54%fromlocalcommuni?esin2015
• Economiccontribu?on*–US$±30min2015
• MaximizingprocurementofGhanaiangoodsandservices
• InvestmentinskillsdevelopmentthroughpartnershipwithGIZ
• StakeholderengagementmanagedbyAccra-basedExecu?veandsite-basedteamofGhanaians
• 2016focusareasareeduca?on,literacy,voca?onaltraining&healthcare
• Voca?onaltrainingcourseaccreditedtona?onallyrecognizedcer?ficate
11
RESPONSIBLE GOLD MINING
AerialViewwithNkranPitinBackground
*Employeesalariesandtaxesonly,excludesstandardopera?onalexpensespaidtoGhanaiancompanies/serviceproviders
$1.60
$1.80
$2.00
$2.20
$2.40
$2.60
11-Feb-15 11-May-15 11-Aug-15 11-Nov-15 11-Feb-16
• Significantvaluedeliveredin2015throughachievingprojectmilestoneson?meandbudget
• Firstproduc?onachieved=>furthersharepriceapprecia?onexpectedwithtransi?onfromdevelopertoproducerstatus
• Commercialproduc?onexpectedduringQ22016
• Phase2valueoverlookedbythemarket–opportunityforfurtherperformancein2016
12
BECOMING A SIGNIFICANT PRODUCER IN 2016
MineG&AUS$83
P/NAVComparison(AnalystConsensus)
AKGSharePrice(C$)
1.84x
1.15x
0.85x0.92x
0.81x 0.80x0.71x
0.64x0.56x
Randgold SEMAFO B2Gold Guyana Roxgold Torex Asanko TrueGold Pre?um
13
AlexBuckInvestorRela?ons
N.AmericanToll-Free:18552467341Telephone:+44-7932-740-452Email:alex.buck@asanko.com
WayneDrierCorporateDevelopment
N.AmericanToll-Free:18552467341Telephone:+1-778-729-0614Email:wayne.drier@asanko.com
CONTACT US
Appendices
15
CORPORATE INFORMATION
Lis?ngs NYSE&TSX“AKG”
OrdinaryShares 197m
Op?ons&Warrants 18.8m
Cash(31/12/15) US$116m
VanEck&MarketVectorsETFTrust 8.3%
SunValleyGold 7.3%
IntactInvestmentManagement 4.5%
1832AssetManagement 4.2%
Taurus 3.9%
MackenzieInvestments 3.5%
M&GInvestmentManagement 2.7%
BeutelGoodman 2.7%
SproTAssetManagement 2.5%
Oppenheimer 1.8%
SharePricePerformanceCapitalStructure
Top10Ins,tu,onalShareholders*
MarketCapitaliza?on:~C$508m|~US$362m(asatFeb11,2016)
ShareholdersbyType ShareholdersbyGeography
USA38%
Canada25%Interna?onal37%
Management3%
Ins?tu?onal68%
Retail29%
*Source:Ipreo&PublicFilings
$1.60
$1.80
$2.00
$2.20
$2.40
$2.60
11-Feb-15 11-May-15 11-Aug-15 11-Nov-15 11-Feb-16
ResourcesMeasured&Indicated
ReservesProven&Probable
Tonnes(million)
Grade(g/t)
Ounces(million)
Tonnes(million)
Grade(g/t)
Ounces(million)
Nkran 39.04 2.34 2.94 31.2 2.21 2.20
Abore 4.98 1.65 0.27 2.1 1.77 0.11
Adubiaso 2.13 2.23 0.15 1.8 2.07 0.11
DynamiteHill 1.84 1.86 0.11 1.1 1.88 0.07
Asuadai 1.64 1.34 0.07 0.5 1.26 0.02
Phase1Total 49.63 2.22 3.54 36.7 2.15 2.52
Esaase 94.63 1.45 4.40 60.3 1.41 2.73
Phase1&2Total 144.26 1.71 7.94 97.0 1.68 5.25
16
AGM CONSOLIDATED MINERAL RESOURCES & RESERVES
Notes: Cut-offgradeusedforPhase1resources(Nkran,Adubiaso,Abore,DynamiteHill&Asuadai)was0.8g/tandthecut-offgradeusedforPhase2(Esaase)resourcewas0.6g/t.Duetoroundingdifferencessometotalsmaynotaddexactlywiththefigures.
Recommended