European Gold Forum, April 2009

Transcription

1 Randgold Resources a top performing pure gold company European Gold Forum, April 29 Developing a sustainable gold business requires a long term view 28 / 9 global 1 crisis Drivers geopolitical technical or 9 sentiment? Bull conflict high 8 Market oil prices 7 low inflation, collapse US$ high growth, booming 6 growing of world US$ global Chinese financial confidence economy 5 economic Central Bank global system jitters and & IMF influence looming US 4 recession Gold Price fall of Berlin Wall selling Randgold Listed Resources on incorporated LSE Central Bank agreement FTSE 25 Listed on Nasdaq FTSE 1

2 West Africa Randgold Resources significant achievements and synergies +1 Moz deposits d Africa s main gold regions West Africa d Senegal Massawa discovery Mali Burkina Faso Kiaka Loulo gold mine Morila gold mine Côte d Ivoire Tongon Mine development Randgold Resources permits Exploration focus Randgold Resources proves that investing in partnerships, people and profits ensures sustainability adding value Morila mine Loulo mine Tongon development project Senegal Massawa discovery Burkina Faso Kiaka scoping study Developed 2 mines in Mali building a 3 rd in Côte d Ivoire and a 4 th in the pipeline Combined gold production of 7 oz Employed more than 5 people Reserves: 11 Moz (9 Moz attributable) Resources: 2 Moz (16 Moz attributable) 1997 Market cap : US$ 147 million Market cap: US$ 3.5 billion 28

3 Mali Morila Mine highlights Production increased by 25% during Q4 28 to ounces Production of 425 ounces of gold in 28 in line with forecast Total cash costs dropped by 14% to US$ 377 per ounce during the quarter and were contained at US$ 4 per ounce for the year Rightsizing strategy continued at Morila to optimise the operation in line with the pit closure in Q2 29 Agri-business study underway to explore sustainable development after mine closure and to reduce the impact of the rightsizing on the community Scoping study into mining high grade mineralisation at the northern end of the pit using underground methods Morila mine...profits and numbers Tonnes processed (s) Head grade milled (g/t) Recovery % Ounces produced Cash operating costs (US$/oz) Total cash costs (US$/oz) Profit from mining activity Attributable (4%): Ounces produced Gold sales (US$) Profit from mining activity (US$) 31 Dec Dec Dec $ millions Profits cumulated to date

4 Morila mine production Oz millions 1.5 Mali Loulo Mine highlights ounces of gold produced for the year- within 3% of the 265 ounce forecast Increased throughput partially offset lower head grade caused by a delay in the underground development Ore stockpiles increased to build sufficient crushed material ahead of commissioning of crusher expansion Higher consumable costs increased total cash costs during 28 but in the fourth quarter costs reduced by 12% due to a drop in the cost of diesel Delivery on the underground plan is key to its future

5 Loulo mine profits and numbers Tonnes processed (s) Head grade milled (g/t) Recovery % Ounces produced Cash operating costs (US$/oz) Total cash costs (US$/oz) Gold sales (US$) Profit from mining activity (US$) 31 Dec Dec Dec Randgold Resources owns 8% of Loulo and the Government of Mali 2%. The Government s share is not a free carried interest. Randgold Resources has funded the Government portion of the investment in Loulo by way of shareholder loans and therefore controls 1% of the cashflows from Loulo until the shareholder loans are repaid Profits cumulated to date $ millions Loulo mine underground mining to drive production growth and profitability P125 pit Yalea pit Current mining area Purple patch: scheduled start Q4 29 New Mining 6g/t scheduled

6 6 Loulo mine forecast increase in production maintained 5 4 Oz opencast underground Boundiali Mankono Dignago Tongon N Southern Zone Northern Zone Côte d Ivoire - Tongon a new mine in a new country Nielle Dabakala Apouasso 3km Ounces s 2km Côte d Ivoire.5 1.g/t 1. 2.g/t 2. 3.g/t 3. 4.g/t > 4.g/t Half of the 39 m advanced grade control programme completed over planned pits, confirming existing grade model Discussions progressing g with short-listed mining contractors SENET appointed as EPCM contractor Airstrip in service Environmental impact assessment study approved and environmental permit for the mine issued Resettlement action plan compensation principles and procedures agreement approved First gold scheduled for Q4 21

7 Tongon mine parameters Probable Reserves: g/t for 3.16 Moz Capex: US$ 28 m (Sept 28) Mining: Contractor mining with a peak rate of 25 Mtpa LOM strip ratio: 4.3 : 1 Plant: Ounces s Throughput of 3 tpm Annual gold production of 29 per year in first 2 years and averaging 27 oz over 1 years 2.82 Moz of gold produced over LOM Tongon LOM production Côte d Ivoire - Tongon mine financial estimates Cost comparison Life of Mine mining cost (incl. fleet capital) Feasibility Cost Estimate Q3 28 Q3 27 US$ 3.3 / tonne* US$ 2.64 / tonne + Life of Mine plant operating cost US$ / tonne US$ 9.95 / tonne Cash operating costs US$ 42 / oz US$ 357 / oz Total cash costs (@ US$8/oz gold price) US$ 444 / oz US$ 381 / oz G&A US$ 2.5 / tonne US$ 2.5 / tonne * Based on a diesel cost of US$1.15 / litre or approximately US$111 / barrel of oil + Based on a diesel cost of US$.8 / litre or approximately US$75 / barrel of oil

8 1 8 Randgold Resources growing its gold production Attributable ounces s tonnes Loulo (8%) Morila (4%) Tongon (84%) Gold mining industry: declining production Tongon 4 Morila 2 Loulo Randgold Resources building a foundation for future growth December 28 attributable Mineral Resources total measured and dindicated d total inferred Ore Reserves total proved and probable Tonnes Grade Mt g/t Gold Moz Gold Moz attrib Moz Resources (attrib.) 2 Reserves (attrib.)

9 Senegal - Massawa Massawa next in the development pipeline? Significant new gold discovery delineating mineralisation over a 7km strike 2 main zones identified Central and Northern 4km have been drilled to 15m x 5m and is open in all directions Diamond drilling continues and initial resource estimates are expected this quarter Mali Senegal Loulo gold mine Massawa M discovery Senegal - Massawa Massawa a a greenfield discovery Northern Zone DDH g/t z 15.9 g/t 5.35 g/t Northern Zone 2 N INTERDEX DDH m g/t 1.6 g/t g/t 2.4 g/t DDH61 5. g/t ¹ ¹ Northern Zone 1 Massawa Senegal DDH6 6.4 g/t z 9.62 g/t incl 14. g/t DDH g/t 2.96 g/t z 3.38 g/t DDH62 11g/t ³ DDH55 z.66 g/t 1.5 g/t DDH54 z.84 g/t g/t DDH56 z 1.7 g/t 7.1 g/t 4.25 g/t DDH g/t z m g/t /t Incl g/t DDH g/t z DDH65 11g/t ¹ o * * * DDH53 g/t 2.74 g/t Central Zone 2 ¹ o Central Zone 1 1m Meters DDH g/t Incl. 1.2m z@ 5. g/t 1.85 g/t Incl g/t

10 Kenieba window 1m Regional synergy Massawa - Loulo - Bambadji JV Massawa discovery Northern Zone Central Zone to Dakar SENEGAL Randgold Resources permits GUINEA Proposed railway line Baboto N Loulo Gara Loulo 1 Loulo 2 district Yalea Loulo 3 MALI Kounemba Miko Loulo Saraya Kanoumering Tomboronkoto Dalema Bena Kedougou Bambadji JV 1 Km Kolya Mananord Dalema 5 Km P64 Loulo Gounkoto Toronto Faraba Bena Bambadji New opportunities today could be tomorrow s discoveries Resource triangle: projects and targets AFRICA Ghana Senegal Côte d Ivoire Mali Tanzania Burkina Faso

11 Randgold Resources another profitable year US $ s Gold sales Total cash costs* Profit from mining activity* Exploration and corporate expenditure Profit before income tax and financing activities Net profit Net profit attributable to equity shareholders Net cash generated from operations Cash and cash equivalents Attributable production**(ounces) Group total cash costs per ounce** *(US$) Group cash operating costs per ounce** *(US$) 31 Dec Dec Dec Gold sales does not include the non cash profit/(loss) on the roll forward of hedges * Refer to explanation of non-gaap measures provided ** Randgold Resources consolidates 4% of Morila and 1% of Loulo Randgold Resources commitment to value creation pays dividends... Comparative growth from 2 to 28: Attributable Reserves Production Growth Outstanding Shares Moz Moz 122% 168% 7% % Million 181% 15% N American producers Randgold Resources N American producers Randgold Resources N American producers Randgold Resources Market Cap US$ million 726% 2945% N American Randgold producers Resources Weighted Average US$/share Share Prices 194% 2552% N American producers Randgold Resources *NA producers: 4 major producers

12 Randgold Resources a top performing pure gold company 1 year Randgold zresources April 1, 28 to March 31, 29 5 years Randgold zresources April 1, 24 to March 31, 29 Disclaimer The presentation is not for distribution in, nor does it constitute any offer of securities for sale. Statements made in this presentation with respect to Randgold Resources current plans, estimates, strategies and beliefs and other statements that are not historical facts are forward-looking statements about the future performance of Randgold Resources. These statements are based on management s assumptions and beliefs in light of the information currently available to it. Randgold Resources cautions you that a number of important risks and uncertainties could cause actual results to differ materially from those discussed in the forwardlooking statements, and therefore you should not place undue reliance on them. The potential risks and uncertainties include, among others, risks associated with: fluctuations in the market price of gold, gold production at Morila and Loulo, the development of Loulo and estimates of resources, reserves and mine life. For a discussion on such risk factors refer to the annual report on Form 2-F for the year 31 December 27 which was filed with the U.S. Securities and Exchange Commission on 25 June 28. Randgold Resources undertakes no obligation to update information in this presentation.