De Grey Mining (DEG) 2024 Precious Metals Summit Beaver Creek summary

Strategic partnerships and agreements

• Maintains exploration agreements with five parties and a mining agreement with the Kariyarra people for the Hemi deposit.

• Strong relationship with the Kariyarra people since December 2022, supporting stakeholder engagement.

Key presentations and project updates

• Hemi Gold Project advanced with a 10.5Moz resource and a 12-year mine life, aiming to be a top five Australian gold mine.

• Definitive Feasibility Study (DFS) released in September 2023, showing high confidence in production and financial metrics.

• Major project milestones include mining lease grant, $900M in equity raised, and $1B senior debt facility credit approval in 2024.

Financial position and funding strategy

• Cash balance of around AUD 870 million as of June, bolstered by AUD 300 million and AUD 600 million equity raises.

• DFS forecasts $6.3B pre-tax and $4.5B post-tax free cash flow, with a post-tax NPV5% of $2.9B and IRR of 36%.

• Pre-production capital cost is $1.3B, with a payback period of 1.8 years post-tax at a $2,700/oz gold price.

• $1B senior debt facility and $130M cost overrun facility credit approved in June 2024; NAIF $150M loan agreed in August 2024.

• Final financing structure and lender syndicate to be selected and documented by December quarter 2024.