INVESTMENT SUMMARY Excellent performance in 2013 - Mill expansion, elimination of out-of-the-money hedges, agreement with Senegalese Government - Transformative acquisition of OJVG now complete, more than doubling reserves and…
2013: A YEAR OF ACHIEVEMENTS CORPORATE OPERATING & FINANCIAL Eliminated our inherited out-of-the-money Optimized mill to design capacity hedge contracts More material moved and processed at lower Established a long-term fiscal and…
TRANSFORMATIVE ACQUISITION OF OJVG NOW COMPLETE Acquired Oromin Joint Venture Group (OJVG) in series of transactions in Q3, Q4 2013 Before After - Acquired Oromin (owner of 43.5% of OJVG) for 71M shares OJVG OJVG Change (22% of…
ACQUISITION LEADS TO IMMEDIATE IMPROVEMENT IN CASH FLOW GENERATION Notes: See appendix for details of gold stream agreement; Plus contingent consideration based on increases in OJVG reserves and higher gold prices 7 Source: Base Case…
TERANGA IS IN THE FIRST QUARTILE OF 2014 COST CURVE Notes: includes companies with total 2014 production of c.50Moz (64% of total global mine production); bar heights of highest cost producers truncated to fit on graph Source: BMO,…
CORPORATE STRATEGY VALUE CREATION DISCIPLINED ALLOCATION OF CAPITAL Maximize free cash flow generation Only Senegal - Produce 250koz/year Only gold - Lowest (best) quartile AISC costs - High conversion of EBITDA into cash Only…
POTENTIAL TO ADD PROFITABLE OUNCES SHORT AND MEDIUM TERM (2014-16) LONG TERM (2015-) Integrate OJVG and Sabodala operations Systematic identification and evaluation of targets on Increase free cash flow through higher production -…
EXPLORATION: EARLY DAYS IN NEW GOLD CAMP Neighbouring Shear Zone on shared Kedougou-Kenieba Greenstone Belt is host to 7 4. Standalone large deposits deposit discoveries (Ninienko and Soreto, Garaboureya) 3. Satellite deposit…
PERFORMANCE RELATIVE TO GUIDANCE PRODUCTION CASH COSTS Guidance Range Actual Note: guidance is earliest given during the financial year; 2011 guidance was announced during the IPO process prior to the current management team…
SENEGAL COMPARES FAVOURABLY TO OTHER AFRICAN GOLD MINING JURISDICTIONS IN TERMS OF SECURITY AND POLITICAL RISKS Source: Control Risks, RiskMap 2014 14
UNDERVALUED RELATIVE TO GOLD PRODUCING PEERS PRICE/AVERAGE BROKER TARGET EV/RESERVES & EV/RESOURCES EV/EBITDA 2014E PRICE/EARNINGS 2014E Note: data set is primary gold producers with market cap 100M, Africa focused or primary…
INVESTMENT SUMMARY Excellent performance in 2013 - Mill expansion, elimination of out-of-the-money hedges, agreement with Senegal government - Transformative acquisition of OJVG now complete, more than doubling reserves and…
CONTACT US 17
APPENDIX 18
CSR The Companys mission is to share the benefits of responsible mining with all of our stakeholders. We strive to act as a responsible corporate citizen by building projects together with the communities, and by being committed to…
TRACK RECORD OF SAFE OPERATIONS SAFETY STATISTICS COMMENTS Teranga is dedicated to excellence in safety and aims its OHS indicators to exceed global 2011 2012 2013 Hours Worked 3,057,907 3,474,890 2,879,685 benchmarking standards…
FRANCO-NEVADA STREAM AGREEMENT Franco-Nevada provided an upfront cash payment of 135M in exchange for a fixed and floating stream on future production - 2014 to 2019: 22,500 ounces per year - 2020 and thereafter: 6% of gold…
SENEGAL INVESTMENT AGREEMENT AND FISCAL REGIME IN PARTNERSHIP WITH SENEGAL FISCAL REGIME The Senegalese Government has stated the 5% government royalty importance of the mining industry in Senegal 25% corporate income tax after tax…
MANAGEMENT TEAM Alan R. Hill Mining engineer with over 20 years experience globally in project evaluations, acquisitions and mine development as Executive VP of Barrick Gold Executive Chairman Currently a Director of Gold Fields Former…
NON-EXECUTIVE DIRECTORS Alan R. Thomas Director/trustee and Chief Financial Officer of Labrador Iron Ore Royalty Corporation (formerly Labrador Iron Ore Trust) since 2004. Served on the board of directors of Gabriel Resources Ltd. from…
COMBINED RESERVES AND RESOURCES Note: Please see 2013 Financial Report and MD&A, 2013 for Resource and Reserve estimate assumptions 27
COMBINED RESERVES AND RESOURCES Note: Please see ASX Fourth Quarter Report, 2013 for Resource and Reserve estimate assumptions 28
COMPETENT PERSONS STATEMENT The technical information contained in this document relating to the mineral reserve estimates for Sabodala, the stockpiles, Masato, Golouma and Kerekounda is based on information compiled by Mr. Chawrun. Mr.…
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