Presentation - Monument Mining Limited
Presentation - Monument Mining Limited
Presentation - Monument Mining Limited
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A Growing Low Cost Gold Producer<br />
June 2013
Cautionary Statement<br />
This presentation includes certain estimates, projections and “forward looking<br />
statements” within the meaning of Section 21E of the Securities Exchange Act of 1934,<br />
as amended that have been provided by the Company with respect to its anticipated<br />
future performance. Such forward looking statements reflect various assumptions by<br />
the Company concerning anticipated results, which assumptions may or may not prove<br />
to be correct. No representations are made as to the accuracy of such statements,<br />
estimates or projections. These forward-looking statements are made pursuant to the<br />
“safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. While<br />
these statements are made to convey the Company's progress, business opportunities<br />
and growth prospects, such forward-looking statements represent management's<br />
opinion. Whereas management believes such representations to be true and accurate<br />
based on information and data available to the Company at this time, actual results<br />
may differ materially from those described. The Company's operations and business<br />
prospects are always subject to risks and uncertainties.<br />
Qualified Person All scientific or technical Information contained in this presentation<br />
has been approved by Todd Johnson, Vice President Exploration <strong>Monument</strong> <strong>Mining</strong><br />
<strong>Limited</strong>, who is a "qualified person" as defined in National Instrument 43-101 of the<br />
Canadian Securities Administrators.<br />
2
Investment Opportunity<br />
CURRENT<br />
FUTURE<br />
Selinsing Gold Mine (F2012)<br />
Production: 44,585 oz Au<br />
Revenue: $61.7 million<br />
Cash Cost: $306/ oz<br />
Average Sales Price: $1,671/ oz<br />
EPS : $0.33<br />
P/E: 1.4<br />
Increased Production<br />
Mengapur Polymetallic Resource<br />
Acquired 100% in 2012 with cash on hand<br />
Historical skarn resource contains Copper,<br />
Sulfur, Gold, Silver, Molybdenum and Iron<br />
Historical PFS proposed a 23 year mine life<br />
Currently conducting mine engineering<br />
and development work<br />
Targeting near term copper production<br />
Experienced Management<br />
Demonstrated ability to quickly build profitable operations<br />
3
Peer Comparison<br />
$1,600.00<br />
Cash cost/ounce<br />
$1,400.00<br />
$1,200.00<br />
$1,000.00<br />
$800.00<br />
$600.00<br />
$400.00<br />
$200.00<br />
$0.00<br />
4
Goals<br />
Increase Gold resource to over 1 M oz<br />
Increase Selinsing Production<br />
Develop Mengapur Project in Phases<br />
Longer term goal is to be a dividend paying,<br />
mid-tier gold and metals producer<br />
5
Malaysia: Historic <strong>Mining</strong> Culture<br />
‣ British based legal system and<br />
stable, supportive government<br />
‣ Unrestricted repatriation of<br />
foreign investment<br />
‣ Low cost skilled labor and<br />
materials<br />
‣ Tax incentives (5 year tax break<br />
at Selinsing)<br />
6
Land Position<br />
‣Selinsing (100% Interest)<br />
Operating gold mine<br />
‣Buffalo Reef (100%)<br />
Adjacent Operating Oxide Gold Mine<br />
with sulfide resource<br />
‣FELDA (100%)<br />
Exploration Potential adjacent east and<br />
south of Selinsing<br />
‣Famehub (100%)<br />
Exploration projects NE of Selinsing<br />
7<br />
‣Mengapur Polymetalic Project (100%)<br />
Cu, Au, Ag, S, Fe historic resource
Project Portfolio<br />
Exploration<br />
Advanced<br />
Development<br />
Production<br />
Selinsing<br />
BR Oxide<br />
GOLD<br />
Famehub<br />
Selinsing<br />
Deep<br />
BR Sulfide<br />
POLYMETALLIC<br />
(Cu, Au, Ag, S, Fe)<br />
Mengapur<br />
8
Selinsing-Buffalo Reef Tenement<br />
9
Selinsing Gold Mine<br />
10<br />
Source: <strong>Monument</strong> <strong>Mining</strong>
Selinsing Performance<br />
18,000<br />
16,000<br />
14,000<br />
12,000<br />
10,000<br />
8,000<br />
6,000<br />
4,000<br />
2,000<br />
0<br />
2000<br />
1800<br />
1600<br />
1400<br />
1200<br />
1000<br />
800<br />
600<br />
400<br />
200<br />
0<br />
Gold Production<br />
Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3<br />
2010 2011 2012 2013<br />
Cash Margin<br />
Cash Cost<br />
Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3<br />
2010 2011 2012 2013<br />
KEY PERFORMANCE INDICATORS<br />
For Periods Ended March 31, 2013<br />
9 months<br />
F2013<br />
Since<br />
October<br />
2009<br />
Ore Mined (tonnes) 567,678 2,472,798<br />
Ore Processed (tonnes) 670,453 1,659,252<br />
Avg head grade (g/t) 2.17 3.23<br />
Calculated Gold Recovery (oz) 40,883 148,505<br />
Gold Poured (ounces) 40,679 144,624<br />
Gold Production (ounces) 40,063 142,879<br />
Gold Sold (ounces) 36,405 127,574<br />
Revenue (USD 000s) 60,770 195,422<br />
Total Cash Cost $/oz 402* 304*<br />
*Total cash cost includes production costs such as mining, processing, tailing<br />
facility maintenance and camp administration, royalties, and operating costs<br />
such as storage, temporary mine production closure, community development<br />
cost and property fees, net of by-product credits. Cash cost excludes<br />
amortization, depletion, accretion expenses, capital costs, exploration costs and<br />
corporate administration costs.<br />
11
Selinsing-Buffalo Reef Resource<br />
Selinsing-Buffalo Reef Resource as of August 31, 2012 (Practical <strong>Mining</strong>, May 23, 2013)<br />
Category OXIDE SULFIDE OXIDE + SULFIDE<br />
kTonnes g/t Au (kOz) kTonnes g/t Au (kOz) kTonnes g/t Au (kOz)<br />
Reserves (based on a USD1550/oz gold price)<br />
Proven 2,360 0.7 54.6 266 2.5 21.4 2,626 0.9 76.0<br />
Probable 496 1.7 26.7 1,768 2.1 120.2 2,264 2.0 146.9<br />
P+P 2,857 0.9 81.3 2,034 2.2 141.7 4,890 1.4 222.9<br />
Resources including Reserves (based on a USD1700/oz gold price)<br />
Measured 2,361 0.7 54.6 322 2.1 21.7 2,682 0.9 76.3<br />
Indicated 588 1.6 29.5 3,036 1.9 183.6 3,624 1.8 213.0<br />
M+I 2,949 0.9 84.1 3,358 1.9 205.3 6,307 1.4 289.4<br />
Inferred 268 1.2 10 801 1.5 38.0 1,070 1.4 48.0<br />
• Gold mineralization occurs in a 4.2 km long district along a shear zone from Selinsing to Buffalo Reef;<br />
potentially extending further north to the Famehub properties<br />
• Mineralization outside of the August 31, 2012 Mineral Resource remains open down dip below existing pits<br />
• As of May 15, 2013, three rigs continue drilling at Selinsing-Buffalo Reef<br />
• Drill results not included in this recent NI43-101 estimate (+28,000 metres as of March 31, 2013) will be<br />
incorporated into a future resource update<br />
12
Growing Forward : Mengapur<br />
Leveraging our experienced, accomplished team to succeed again<br />
‣ Acquired 70% of CASB in Feb 2012 for US$60M; remaining 30% for $16 M in Dec<br />
2012 with cash on hand<br />
‣ Acquired 100% interest in SDSB (Adjacent Prospecting Lease) in November 2011-<br />
Application for issue of mining lease filed<br />
‣ Conducting mine engineering and development work<br />
‣ Targeting near term copper production<br />
13
Mengapur: A large, multi-metal Resource<br />
Historic resource* of 224.4 million tonnes<br />
Grade<br />
Contained Metal<br />
0.25% Copper 561,000 tonnes Copper<br />
0.16 g/t Gold 1.15 million oz Gold<br />
8.86 g/t Silver 63.9 million oz Silver<br />
6.54% Sulphur 14.68 million tonnes Sulphur<br />
Plus Iron, Molybdenum<br />
unknown-being established<br />
*Historic resource (Normet, 1990) is not NI 43-101 compliant and not to be depended on. This historic<br />
resource is relevant as it provides an indication of the mineral potential of the project.<br />
14
Mengapur Geology<br />
Cu-S-Au-Ag mineralization is<br />
hosted in pyroxene and garnet<br />
skarn which surrounds the core<br />
intrusive body<br />
15
16<br />
Mengapur Activities
Capital Structure As of May 21, 2013<br />
Shares Outstanding: 275,058,030 Fully Diluted 324,648,531<br />
Warrants: 25,000,000 Market Capitalization: $103.15 million<br />
Options: 21,475,501 Share Price (as of May 21, 2013) $0.375<br />
Agent Options 3,115,000 52 Week High/Low: $0.54/$0.34<br />
17
Management Team<br />
‣ Robert Baldock – President & CEO<br />
30 years of experience raising equity and mining project finance, directing mining project development<br />
and mill construction<br />
‣ Cathy Zhai – CFO, Corporate Secretary & VP Corporate Finance<br />
16 years’ experience with publicly listed companies at CFO’s capacity or equivalent in corporate finance,<br />
public reporting and business strategic planning<br />
‣ Todd Dahlman – COO,<br />
25 years’ experience in US and International mining industry spanning engineering, technical,<br />
maintenance, business improvement and mine operations.<br />
‣ Zaidi Harun – VP Business Development<br />
18 years’ exploration experience; 11 years at Selinsing Gold project<br />
‣ Todd Johnson – VP Exploration<br />
21 years’ experience in the precious and base metal resource industry; a recognized expert in the<br />
assessment of base and precious metal systems, including gold-copper skarns<br />
‣ Charlie Northfield – General Manager, Selinsing Gold Mine<br />
A hands-on Mineral Processing Engineer with 30 years of broad experience within the mining industry in<br />
gold, metal sulphides and oxides in addition to industrial minerals processing.<br />
18
Corporate Social Responsibility<br />
‣ Created 330 Malaysian jobs to date,<br />
mostly in local communities<br />
‣ Purchase goods and services locally<br />
‣ Establishing a community support office<br />
in Maran to encourage feedback and<br />
engagement regarding the Mengapur<br />
development<br />
‣ Fund local schools for scholarships and<br />
academic and recreational activities<br />
‣ Sponsor university, job training and<br />
research opportunities<br />
‣ Assist local health clinics with free<br />
medical screening<br />
‣ A 5% gold royalty to the Malaysian<br />
government<br />
19
<strong>Monument</strong> <strong>Mining</strong><br />
A Growing Low Cost Producer<br />
‣ Selinsing is a low cost, producing<br />
gold mine with process capacity<br />
increased to 1Mt/year<br />
‣ Fast tracking Mengapur<br />
development into production in<br />
phases<br />
Target: Copper production in near term<br />
‣ Full pipeline of promising<br />
exploration projects for future<br />
growth<br />
20
Contact Us<br />
Nick Kohlmann MMY-Toronto 647-478-3594 nkohlmann@monumentmining.com<br />
Richard Cushing MMY-Vancouver 604-638-1661 rcushing@monumentmining.com<br />
Wolfgang Seybold Axino AG +49-711-2535-9240 wolfgang.seybold@axino.de<br />
21
APPENDIX SLIDES
Selinsing Gold Mine<br />
N<br />
23
24<br />
Selinsing Cross Section
Selinsing Production Data<br />
Selinsing Gold Mine Fiscal 2010 Fiscal 2011 Fiscal 2012<br />
Operating results<br />
Ore mined (tonnes) 662,330 740,909 501,882<br />
Ore processed (tonnes) 272,120 351,999 364,680<br />
Average ore head grade (g/t Au) 3.08 4.31 4.24<br />
Process recovery rate 58.70% 92.90% 93.7%<br />
Gold production (ounces) 13,793 44,438 44,585<br />
Gold sold (ounces) 13,793 40,438 36,938<br />
Financial results<br />
Gold sales (US$’000) (a) 16,316 56,627 61,709<br />
Per ounce data<br />
Cash cost per ounce 216 242 306<br />
Average spot gold price, US$/ounce 1,089 1,372 1,673<br />
Average realized gold price, US$/ounce 1,183 1,400 1,671<br />
25
Mengapur Historic Resource<br />
Total Mengapur Historic Measured and Indicated Resources<br />
within Zones A, B, and C<br />
Note: The data presented in the table have been produced at a cut-off grade of 0.336% EQV Cu reflecting<br />
the available information in 1990 commodity prices, operating costs, and plant recoveries<br />
This presentation includes historical estimates and related information, which has not been verified by <strong>Monument</strong>. Read the<br />
complete Technical Report, which is available on <strong>Monument</strong>’s SEDAR profile at www.sedar.com<br />
The information in this presentation is qualified in its entirety by the limitations described in the Technical Report.<br />
26
Famehub<br />
‣ 9 separate grassroots prospects<br />
NE of Selinsing totaling 133.5<br />
km 2 (32,000 acres)<br />
‣ Satak Serau on N-S Selinsing-<br />
Buffalo mineralized trend;<br />
Rubber Hill east of Buffalo<br />
‣ Priority targets quickly<br />
identified with AUS$40M<br />
historic exploration data<br />
27