Genesis Growth Strategy and Financial Health

Aug 27, 2024

Genesis Presentation at Diggers

Introduction

  • Last year, Genesis acquired Leonora operations and completed an M&A program.
  • Gold price then: ~$1,800 per ounce; now: >$2,400 per ounce.
  • Current focus: accelerated growth.

Financial Position

  • Closed financial year with $173 million in cash and bullion.
  • Increase of over $17 million despite investing $100 million in growth.
  • Strong balance sheet: no debt, minimal hedging.
  • Inventory: >3.3 million ounces in reserve, >15 million ounces in resource.

Strategy and Operations

  • Focus on the Leonora region, Western Australian goldfields.
  • Strategy: pair underutilized mills at Leonora and Laverton with stranded resources.
  • Integration of Genesis 1.0 tenure with Dacian's Laverton and St Barbara's Leonora operations.

Leonora Operations

  • Growing production profile aims for 200,000 ounces per annum.
  • Gwalior Underground contributes 120,000 to 130,000 ounces per annum.
  • Admiral Open Pit ore and Ulysses Underground enhance ore feed.
  • Focus on operational synergies between underground mines.

Ulysses Mine

  • Extensively drilled with all assays above 5g per tonne.
  • Initial five-year reserve is shallow and well-defined.
  • Open along strike and depth, presenting growth prospects.

Production Outlook

  • Base case plan with visibility beyond 10 years.
  • Aim to increase production to 325,000 ounces per annum by FY29.
  • Aspire for 400,000 ounces per annum sustainably.

Laverton Operations

  • Consistent year-on-year growth starting FY25.
  • Tower Hill is a key medium-term value driver.
  • Production profile to reach 200,000 ounces per annum by 2034.

Key Growth Drivers

  • Tower Hill: Bulk undeveloped open pit mine, a globally significant deposit.
  • Positive progress on environmental approvals and government engagement.

Gwalior and Tower Hill

  • Strategy to exploit nearby resources previously under-drilled.
  • Focus on opportunities closer to surface and depth extensions.

Company Position

  • Conservative gold miner with strong growth outlook.
  • Cash and bullion of $173 million.
  • Strategy benefits both investors and company growth.

Q&A Highlights

  • Additional ounces might come from converting reserve base assets.
  • Employee attraction and retention focus on mapped growth stories and Aspire values.

Overall, Genesis is positioned as a strong growth-focused company with a clear strategic vision for the future, leveraging strong financial health and significant resource reserves to drive expanded production and reduced costs.