GROWTH THROUGH CASH FLOW 2017 Results 3 August 2017
2 DISCLOSURES Forward Looking Statements: There are risks associated with an investment in the shares of Centamin. Recipients of this presentation should review the risk factors and other disclosures regarding Centamin contained in the preliminary prospectus and subsequent annual reports and Management Discussion and Analysis reports of Centamin that have been filed with Canadian securities regulators and are available at www.sedar.com. It should be specifically noted that the potential quantity and grade from the Sukari underground mine is conceptual in nature, that there has been insufficient exploration to define a mineral resource and that it is uncertain if further exploration will result in the target being delineated as a mineral resource. This presentation contains "forward-looking information" (or "forward-looking statements") which may include, but are not limited to, statements with respect to the future financial or operating performance of the Company, its subsidiaries and its projects (including the Sukari Project), the future price of gold, the estimation of mineral reserves and resources, the realization of mineral reserve estimates, the timing and amount of estimated future production, revenues, margins, costs of production, capital, operating and exploration expenditures, costs and timing of the development of new deposits, costs and timing of construction, costs and timing of future exploration, the timing for delivery of plant and equipment, requirements for additional capital, foreign exchange risk, government regulation of mining and exploration operations, environmental risks, reclamation expenses, title disputes or claims, insurance coverage and the timing and possible outcome of pending litigation and regulatory matters. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "hopes", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking information involves and is subject to known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company and/or its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include, among others, general business, economic, competitive, political and social uncertainties; the actual results of current exploration activities and feasibility studies; assumptions in economic evaluations which prove to be inaccurate; fluctuations in the value of the United States dollar and the Canadian dollar relative to each other, to the Australian dollar and to other local currencies in the jurisdictions in which the Company operates; changes in project parameters as plans continue to be refined; future prices of gold and other metals; possible variations of ore grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes or slow downs and other risks of the mining industry; climatic conditions; political instability, insurrection or war; arbitrary decisions by governmental authorities; delays in obtaining governmental approvals or financing or in the completion of development or construction activities. Discovery of archaeological ruins of historical value could lead to uncertain delays in the development of the mine at the Sukari Project. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Forward-looking information contained herein is made as of the date of this presentation and the Company disclaims any obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. There can be no assurance that forward-looking information or statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information or statements. Accordingly, readers should not place undue reliance on forward-looking statements. Competent Persons: Information in this presentation which relates to exploration, geology, sampling and drilling is based on information compiled by geologist Mr Norman Bailie (Group Exploration Manager) and Christopher Boreham (General Manager) who, as members of the Australasian Institute of Mining and Metallurgy each have more than five years experience in the fields of activity being reported on, and are Competent Persons for this purpose and are Qualified Persons as defined in National Instrument 43-101 of the Canadian Securities Administrators. Refer to the latest technical report entitled Mineral Resource and Reserve Estimate for the Sukari Gold Project, Egypt effective 30 June and dated 23 October and filed on SEDAR at www.sedar.com, for further discussion of the extent to which the estimate of mineral resources/reserves may be materially affected by any known environmental, permitting, legal, title, taxation, socio-political, or other relevant issues.
3 2017 OPERATING HIGHLIGHTS Gold production 124,641 ounces (up 14% on 2017) Record plant throughput at 3,056t (up 5% on 2017) Annualised rate >12Mtpa Recovery 86.7%, below target due to below average feed grades and expected to recover in H2. Continued focus on maintaining recoveries at higher throughput Excellent underground performance (293kt ore mined at 8.79g/t) New stoping method successfully implemented in Ptah: Avoca stoping used to extract a high grade quartz vein over three levels Lateral retreat open stopes performed strongly in Amun Record open pit production (17,493 tonnes, up again on 2017 record) Cutback of east wall continued during quarter higher open pit grades accessed in June Mined grade 0.76g/t (vs. 0.47g/t in 2017 and 0.93g/t FY ). Excluding dump leach material, mined grade = 0.80g/t 2017 guidance maintained at 540,000 ounces and US$790/oz AISC
4 2017 FINANCIAL HIGHLIGHTS US$609/oz cash cost of production (down US$125/oz on 2017) Mine production costs well controlled, up 1% from 2017 to US$76.2 million US$829/oz AISC (down US$58/oz on 2017) Interim dividend increased by 25% vs. interim payment to 2.50 US cents EBITDA US$66.0 million (up 24% on 2017) Free cash flow of US$31.1 million (up 58% on 2017) US$50.8 million of free cash flow generated year to date Profit Share payments to EMRA of US$41.1 million, in addition to US$8.7 million royalties EPS (after profit share) 1.10 US cents (down 5% on 2017) EPS (after profit share) impacted by non-cash and non-recurring items Cash and liquid assets* of US$334 million at 30 June 2017 Cash maintained vs even after dividend (US$178 million) and profit share payments Free cash flow in a non-gaap measure defined as Net cash generated by operating activities, less net cash used in investing activities, less EMRA profit share paid (cash) * Cash and liquid assets is a non-gaap measure defined as cash and equivalents, bullion on hand, gold sales receivables and available-for-sale financial assets
Sukari LTIFR per 200,000 hours 5 2017 SAFETY PERFORMANCE 2017 Zero Lost Time Injuries (4 LTI in 2017) Targeting a zero-harm safety record 1.40 1.20 1.00 0.80 0.60 0.40 0.20 0.00 2010 2011 2012 2013 2017 H1
OPERATIONAL REVIEW
7 2017 PRODUCTION SUMMARY 2017 2017 Open Pit Total Mined ('000 tonnes) 17,493 17,129 15,080 Open Pit Ore Mined ('000 tonnes) 3,060 2,478 3,425 Open Pit Mined Grade (g/t) 0.76 0.47 0.90 Underground Ore Mined ('000 tonnes) 293 252 256 Underground Mined Grade (g/t) 8.79 7.44 9.26 Ore Processed ('000 tonnes) 3,056 2,908 2,928 Head Grade (g/t) 1.44 1.29 1.66 Gold Recovery (%) 86.7% 88.8% 89.5% Dump Leach Production (ounces) 1,738 2,048 2,431 Gold Production (ounces) 124,641 109,187 140,306 Gold Sold (ounces) 120,912 115,052 141,802 Cash Cost of Production (1) (US$/oz) 609 734 461 All-in Sustaining Cost (2) (US$/oz) 829 887 644 (1) per ounce of production (2) per ounce sold
Plant Throughput (kt) Grade (g/t) Plant productivity (tph) Recovery (%) 8 RECORD PROCESSING PERFORMANCE Record 2017 plant throughput (3.06Mt) and productivity (1,499tph) Annualised throughput >12Mtpa 2017 head grade 1.44 g/t Costs well controlled, US$12.1/t in 2017 recovery 86.7% PLANT PERFORMANCE 1,600 1,400 1,200 1,000 800 600 400 200 0 92% 90% 88% 86% 84% 82% projects in train to improve recoveries while processing high tonnes PROCESSING COST US$ PER TONNE MILLED Plant Productivity ORE PROCESSED AND FEED GRADE Recovery 20.0 15.0 10.0 5.0 0.0 Q4 Q4 Q4 2017 2017 3,500 3,000 2,500 2,000 1,500 1,000 500 0 2.00 1.50 1.00 0.50 0.00 Processing Cost per Tonne (US$/t) Total Ore Processed Plant Feed Grade
Grade (g/t) Tonnes Mined (Mt) Strip Ratio (x) 9 OPEN PIT OPERATIONS Record material movement of 17.5Mt Strip ratio 4.7x (vs. 5.9x in ) Ore mined 3.1Mt at 0.76g/t Mining focussed on low-grade east wall cutback for most of quarter Higher-grade areas accessed and to be mined for balance of 2017 OPEN PIT ORE VS WASTE MINED 20 15 10 5 0 Open Pit Ore Open Pit Waste Strip Ratio 8.0 7.0 6.0 5.0 4.0 3.0 2.0 1.0 0.0 OPEN PIT MINING COST US$ PER TONNE MINED OPEN PIT ORE MINED GRADE AND FEED GRADE 2.50 1.40 2.00 1.50 1.20 1.00 0.80 1.00 0.60 0.50 0.40 0.20 0.00 Q4 Q4 Q4 2017 2017 0.00 Q4 Q4 Q4 2017 2017 Open Pit Mining Cost per Tonne (US$/t) Open Pit Mined Grade Open Pit Feed Grade
Ore Mined (kt) Grade (g/t) 10 UNDERGROUND PERFORMANCE 2017 ore mined 293kt at 8.79g/t Ore from stoping 174kt at 10.96g/t Ore from development 119kt at 5.62g/t Ptah decline progressing at planned rates Horus decline accessed new lower Amun levels and will access the upper Horus zone and lateral Osiris zones UNDERGROUND ORE MINED AND AVERAGE GRADE 350 300 250 200 150 100 50 0 Development Ore Stoping Ore UG Grade 12.0 10.0 8.0 6.0 4.0 2.0 0.0 UNDERGROUND STOPING COST US$ PER TONNE MINED 60 50 40 30 20 10 TOTAL DEVELOPMENT METRES (MINERALISED + WASTE) 2,500 2,000 1,500 1,000 500 0 Q4 Q4 Q4 2017 2017 0 Q4 Q4 Q4 2017 2017 Stoping Cost per Tonne (US$/t) Development Metres
FINANCIAL REVIEW
12 2017 FINANCIAL HIGHLIGHTS 2017 2017 Revenue US$m 151.3 140.7 180.1 EBITDA US$m 66.0 53.1 101.6 Profit before tax US$m 37.8 29.5 73.4 Profit share to EMRA US$m 24.0 16.1 0.0 Net profit US$m 12.7 13.4 72.6 Basic EPS (after profit share) US cents 1.10 1.16 6.30 Net cash generated from operations US$m 77.6 58.3 96.1 Sustaining capital expenditure (1) US$m 16.5 12.9 15.9 Non-sustaining capital expenditure US$m 1.4 2.3 - Exploration expenditure US$m 7.8 5.8 13.1 Free Cash Flow (2) US$m 31.1 19.7 68.4 Dividend payout (declared) US$m 28.8-23.0 Dividend per share (declared) US cents 2.50-2.00 Cash and equivalents US$m 297.0 266.0 281.7 Cash and liquid assets (3) US$m 333.6 290.9 332.2 (1) Comprised of underground development and other sustaining capital (2) A non-gaap financial measure, defined as net cash generated from operating activities, less net cash used in investing activities, less EMRA profit share payments (3) A non-gaap financial measure, defined as: cash and cash equivalents, bullion on hand, gold sales receivables and available-for-sale financial assets
2012 2012 2012 Q4 2012 2013 2013 2013 Q4 2013 Q4 Q4 Q4 2017 2017 US$ millions Gold Price (US$/oz) 13 FOCUS ON CASH GENERATION FREE CASH FLOW GENERATED EVEN IN LOW GRADE QUARTERS PROFITABLE THROUGHOUT GOLD PRICE CYCLE 150 70% 1,800 125 100 75 50 25 60% 50% 40% 30% 1,700 1,600 1,500 1,400 1,300 1,200 0 20% 1,100 (25) Plant Expansion 10% 1,000 900 (50) 0% 2012 2012 2013 2013 2017 800 EBITDA Free Cash Flow EBITDA Margin Realised Gold Price Free Cash Flow is a non-gaap measure, defined as: net cash generated from operating activities, less net cash used in investing activities, less EMRA profit share payments Return on Capital Employed is a non-gaap measure, defined as: Profit before tax and finance income divided by period end total assets less current liabilities
14 BREAKDOWN OF 2017 PRODUCTION COSTS Sukari Cash Cost of Production US$609/oz G&A $38/oz Cash Cost of Production Processing $296/oz OP mining $234/oz Cost (US$M) Open Pit Mining 29.10 Underground Mining 5.10 Processing 37.00 G&A 4.70 UG mining $41/oz FX split Other 1% AUD 16% EGP* 24% USD 59% Main cost centres Other 10% Labour, 7% Fuel, 18% Contractors 28% Consumables 37% Open Pit Mining costs shown per tonne of ore mined: Underground Mining costs are stoping costs shown per tonne of ore stoped (development cost is capitalised as part of sustaining capital expenditure); Processing costs are shown per tonne of ore milled Fuel component is priced and paid for in EGP but is calculated by government based on the USD international oil price. fuel cost includes an accrual in respect of retrospective adjustment of US$1.3 million
EXPLORATION REVIEW
16 SUKARI UNDERGROUND: LONG LIFE OF MINE Underground drilling results 1.85m @ 6.2g/t 4.2m @ 10.7g/t 2.5m @ 5.6g/t 6.0m @ 18.3g/t 2.5m @ 7.2g/t 1.0m @ 23.2g/t 4.45m @ 9.96g/t 4.4m @ 13.8g/t 3.7m @ 13.2g/t N 2.0m @ 5.9g/t 3.0m @ 14.1g/t 2.05m @ 9.5g/t 2.0m @ 11.8g/t 1.8m @ 18.9g/t 5.2m @ 27.6g/t 1.0m @ 41.1g/t 1.0m @ 13.8g/t 1.0m @ 55.3g/t 2.2m @ 49.2g/t 2.55m @ 151.6g/t 1.0m @ 337.2g/t Stopes mined to date 5.8m @ 59.9g/t 0.65m @ 41.8g/t 1.7m @ 13.7g/t 1.5m @ 13.2g/t 3.2m @ 79.5g/t 3.4m @ 21.3g/t Final open pit c.1,550mt ore + waste UG grade (g/t Au) 20 7 5 Cleopatra Ptah 2.5 km Amun Amun Looking north
17 WEST AFRICA: DISTRICT SCALE EXPLORATION >4,500km2 total licence holding + c.2,500km2 under application 1.9Moz Indicated and 1.3Moz Inferred resource* at Konkera New discovery at Doropo with 0.3Moz Indicated and 1.0Moz Inferred resource** Multiple high-grade and near surface prospects along highly prospective belts EXPLORATION EXPENDITURE H1 2017 2017F Burkina Faso US$3.5m US$13m Côte d Ivoire US$6.5m US$12m Total US$10.0m US$25m *1.9Moz Indicated & 1.3Moz Inferred resource at Konkera (Batie West project in Burkina Faso); **0.3Moz Indicated and 1.0Moz Inferred resource at Doropo project in Côte d Ivoire
18 DOROPO PROJECT, CÔTE D IVOIRE: A NEW DISCOVERY Maiden resource: 0.3Moz at 1.6g/t Indicated 1.0Moz at 1.3g/t Inferred (at 0.5g/t cut-off) Main prospects are within a 5km radius Structurally-controlled mineralisation within granitoids Similar geology and structural trends as the Napelapera prospect in Burkina Faso Positive initial metallurgical tests
SUMMARY
20 2017 SUMMARY HIGHLIGHTS Gold production 124,641 ounces at cash cost of US$609/oz, AISC US$829/oz Interim dividend increased by 25% to 2.50 US cents Record plant throughput at 3,056t (annualised rate >12Mtpa) Excellent underground performance (annualised rate ~1.2Mtpa) Record open pit production (higher grades accessed and will be mined throughout H2) 2017 guidance maintained at 540,000 ounces and US$790/oz AISC EBITDA US$66.0 million (up 24% on 2017) Free cash flow of US 31.1 million (US$50.8 million generated year to date) H1 2017 Profit Share payments to EMRA of US$41.1 million, in addition to US$8.7 million royalties Cash and liquid assets* of US$334 million at 30 June 2017 Cash maintained vs even after dividend payments and start of profit share
21 GROWTH THROUGH CASH FLOW OPERATIONAL TRACK RECORD Self-performing approach to operations Sukari staged expansion delivered on budget Strong production and cost track record NEXT-STAGE GROWTH Significant growth potential at Sukari from existing operations and Cleopatra Near- & long-term growth potential in West Africa ASSET QUALITY Top 20 global mine (2017 production (540koz) Expected +20 year mine life Growth potential PRIORITISING SHAREHOLDER RETURNS Responsible custodians: excess cash will be returned (US$178m dividend for ) US$334m cash & liquid assets * Interim dividend increased by 25% on prior year interim. FREE CASH FLOW Low cost producer (2017 AISC $790/oz) Ongoing focus on cost discipline * as at 30 June 2017
APPENDIX
23 BREAKDOWN OF 2017 ALL-IN SUSTAINING COSTS 2017 2017 Mine production costs US$m 76.2 75.4 67.8 Movement in inventory US$m (1.4) 6.7 0.6 Royalties US$m 4.5 4.2 5.4 Corporate and administration US$m 3.0 3.0 5.2 Rehabilitation costs US$m 0.2 0.2 0.1 Underground development US$m 9.5 8.4 9.1 Other sustaining capital US$m 8.5 4.5 6.8 By-product credit US$m (0.2) (0.3) (0.3) All-in-sustaining costs US$m 100.2 102.0 94.8 Gold sold oz 120.9 115.1 141.8 AISC per ounce sold US$/oz 829 887 669
24 FREE CASH FLOW BRIDGE 2017 vs 2017 0.7 10.7 4.9 0.3 3.9 0.6 10.6 31.1 19.7 Free Cash Flow 2017 Increased revenue Increase in group cash costs Change in working capital Change in tax, finance and other changes Increased capital expenditure Decreased exploration spend Profit share payments Free Cash Flow 2017
25 CASH BRIDGE 2017 TO 2017 82.8 151.3 10.2 0.6 16.9 7.8 22.5 266.0 297.0 Cash balance 2017 Revenue Cash costs Change in working capital Tax, finance and other changes Capital expenditure Exploration and evaluation Profit share payments Cash balance 2017
26 SUKARI UNDERGROUND: LONG LIFE OF MINE Prior underground drill results (all since reserve update, 2017 in blue) 3.5m @ 12.2g/t 10.7m @ 3.6g/t 3.4m @ 13.0g/t 2.1m @ 4.4g/t 2.0m @ 7.1g/t 2.5m @ 7.6g/t 2.7m @ 8.5g/t 1.0m @ 40.1g/t 2.7m @ 5.5g/t 4.5m @ 5.9g/t 0.5m @ 20.1g/t 0.8m @ 570g/t 0.4m @ 72.6g/t 3.6m @ 8.3g/t 1.0m @ 17.0g/t 2.0m @ 20.2g/t 3.6m @ 35.0g/t 3.0m @ 40.0g/t 2.8m @ 65.1g/t 2.0m @ 17.4g/t 1.4m @ 314g/t 1.0m @ 39.6g/t 2.3m @ 110.7g/t 0.6m @ 11.2g/t 3.0m @ 87.8g/t 2.2m @ 88.3g/t 1.0m @ 7.7g/t 2.2m @ 471.5g/t 1.0m @ 83.0g/t 2.1m @ 30.3g/t 0.7m @ 2,745g/t 4.5m @ 103.0g/t 1.3m @ 20.8g/t 3.0m @ 47.5g/t 2.25m @ 43.0g/t Stopes mined to date 2.6m @ 108.2g/t 9.5m @ 78.4g/t 0.5m @ 134g/t 4.0m @ 56.5g/t 1.1m @ 30.6g/t 1.0m @ 36.5g/t 0.75m @ 23.2g/t 1.6m @ 121.0g/t N Final open pit c.1,550mt ore + waste UG grade (g/t Au) 20 7 5 Cleopatra Ptah 2.5 km Amun Amun Looking north
Contact us Andrew Pardey, Chief Executive Officer Jonathan Stephens, Chief Development Officer +44 7884 475 368 Jonathan.Stephens@centamin.com