Profitable Growth in the Challenging Market Environment Igor - PowerPoint PPT Presentation

Nordgold: Profitable Growth in the Challenging Market Environment Igor Klimanov, Development Projects Director / NORD LI (LSE) November 2015

Disclaimer Information contained in this presentation concerns statements are not guarantees of future performance The information in this presentation is subject to Nord Gold N.V., a company organized and existing under and that the Groups’ actual results of operations, verification, completion and change. Accordingly, no the laws of Netherlands (the “Company”, and together financial condition, liquidity, prospects, growth, representation or warranty, express or implied, is made with its subsidiaries, the “Group”), and is for general strategies and the development of the industry in which or given by or on behalf of the Company or any of its information purposes only. The opinions presented the Group operates may differ materially from those shareholders, directors, officers or employees or any herein are based on general information gathered at the described in or suggested by the forward-looking other person as to the accuracy, completeness or time of writing and are subject to change without statements contained in these materials. In addition, fairness of the information or opinions contained in notice. The Company relies on information obtained even if the Group’s results of operations, financial these materials. None of the Company nor any of its from sources believed to be reliable but does not condition, liquidity, prospects, growth, strategies and shareholders, directors, officers or any other person guarantee its accuracy or completeness. the development of the industry in which the Group accepts any liability whatsoever for any loss howsoever operates are consistent with the forward-looking arising from any use of the contents of this presentation These materials may contain forward-looking statements contained in these materials, those results or otherwise arising in connection therewith. statements regarding future events or the future or developments may not be indicative of results or financial performance of the Group. One can identify developments in future periods. The Company does not The presentation and the information contained herein forward looking statements by terms such as “expect”, intend to update these statements to reflect events and does not constitute or form a part of any offer or “believe”, “estimate”, “anticipate”, “intend”, “will”, circumstances occurring after the date hereof or to solicitation to purchase or subscribe for securities in the “could”, “may”, or “might”, the negative of such terms reflect the occurrence of unanticipated events. Many United States. The securities of the Company have not or other similar expressions. These forward-looking factors could cause the actual results to differ materially been, and will not be, registered under the US Securities statements include matters that are not historical facts from those contained in forward-looking statements of Act of 1933, as amended (the “Securities Act”) . and statements regarding the Group’s intentions, beliefs the Company, including, among others, general Accordingly, the securities of the Company may not be or current expectations concerning, among other things, economic conditions, the competitive environment, offered or sold in the United States except pursuant to the Company’s results of operations, financial condition, risks associated with operating in the states where the an exemption from, or in a transaction not subject to, liquidity, prospects, growth, strategies, and the industry Group operates, changes in the world [gold] market, as the registration requirements of the Securities Act. The in which the Group operates. By their nature, forward- well as many other risks specifically related to the Group Company does not intend to conduct a public offering of looking statements involve risks and uncertainties, and its operations. No reliance may be placed for any any securities in the United States because they relate to events and depend on purposes whatsoever on the information contained in circumstances that may or may not occur in the future. this presentation or on its completeness, accuracy or The Company cautions you that forward-looking fairness. 2

Nordgold: Diversified Asset Base Across 4 Continents and 6 Countries Revenue by Geography 9m 2015 32% 38% 7% 23% 3 Burkina Faso Russia Guinea Kazakhstan

Nordgold – a Premium Gold Mining Company Low Cost Producer Production Growth   All-in sustaining costs for 9m 985 koz produced in 2014 2015 at US$759/oz  6 out of 7 years company  FY 2015 AISC guidance demonstrated production growth Premium decreased to US$750-800/oz with CAGR of 31% since 2008 Gold Mining Company Proven Track Record of High Quality Pipeline Delivering   Two compelling projects in Bissa mine was constructed engineering/construction ahead of time and on budget   Several prospective projects in Track record of surpassing FS and PEA/exploration phase guidance of production and costs 4

Nordgold is a LOW COST Producer Compared to Peers H1 2015 Nordgold’s AISC was US$722/oz (down 20% YoY) - one of the lowest compared to peers 9m 2015 Nordgold AISC was US$759/oz (down 14% YoY) Free Cash Flow for 9m 2015 reached US$150.3m H1 2015 All-In Sustaining Cost (US$/oz Au Eq.) 1,400 1,200 1,000 722 800 600 Nordgold 400 200 0 0 5,000 10,000 15,000 Gold production, koz 5

Track Record of Strong and Consistent GROWTH 1,200 985 koz (7) 924 koz (6) 1,000 754 koz (4) 717 koz (5) 800 589 koz (3) 534 koz (2) 600 400 193 koz (1) 200 0 2008 2009 2010 2011 2012 2013 2014 CAGR: 31% Dynamic Growth 6 out of 7 Years (1) Taparko, Berezitovy and Buryatzoloto production included as of acquisition in November 2008 Figures shown on a 100% consolidated basis. Includes 5.3 koz gold equivalent (“GE”) of silver production (2) (3) Includes production from acquisition of LEFA (Guinea) as of August 2010 and 4.2 koz GE of silver production (4) Includes 7.1 koz GE of silver production 6 (5) Includes 5.2 koz GE of silver production (6) Includes 6.9 koz GE of silver production (7) Includes 6.4 koz GE of silver production

Robust PIPELINE to Underpin Future Growth Development projects Advanced exploration projects Early exploration projects Feasibility study completed Significant drilling performed Potential resource identified In detailed engineering or construction Established resources Target delineation Pilot production ongoing at Gross Scoping/PEA completed or underway Pistol Bay Zinigma Production in 1-3 years Prognoz (1) Production in 3-6 years Goengo Production in 6-8 years Canada Burkina Faso Burkina Faso Russia Bouly 1.3 Moz reserves Kangarce Banora Burkina Faso Corridor Montagne d’Or Yeou Burkina Faso Guinea Burkina Faso French Guiana Gross Yimi 8.8 Moz resources Lefa Russia 4.5 Moz reserves Burkina Faso Corridor Nerchinsk Uryakh Russia Russia Guinea Tanzaka Burkina Faso Brownfield / Satellite Greenfield / Standalone Nordgold Pipeline is Robust and Balanced with Early Stage and Advanced Projects 7 (1) JV with a partner (50/50)

Proven Track Record of DELIVERING on Promises Delivered Exceeded Project Target Parameter Promised Delivered Target? Expectations? Consolidated 2013 Production 770 - 850 koz Au 924 koz Au ✓ ✓ Operations ON OPERATING 2014 Production 870 - 920 koz Au (1) 985 koz Au ✓ ✓ BUSINESS 2014 AISC US$1,050 - 1,100 / oz (1) US$887 / oz ✓ ✓ Commercial Production & Mid-2013 / January 2013 / Bissa Mine ✓ ✓ Mine Construction 18 months 15 months ON PROJECT Capital Expenditure c. US$250 mln US$250 mln ✓ - DEVELOPMENT Bissa payback 100 koz Au 2013 Production 254 koz Au ✓ ✓ period = 21 months 2013 TCC US$468 / oz US$700 / oz ✓ ✓ (1) Initial target announced on 24 th February 2014 8

Proven Strategy in a Lower Price Environment Positive Free Cash Flow Reduce Leverage Continuation of Pay Dividends to Generation at All Through Effective Debt Objectives Growth Shareholders Operating Mines Management  Comprehensive cost  Feasibility Study at  Reduced cost of debt  Total FY2014 dividend reduction program in Bouly completed in Q2 and improved liquidity at USc10.31/GDR place at all mines 2015. Construction and debt profile through  9m 2015 dividend at  9m 2015 AISC of ongoing refinancing in 2014 USc14.02/GDR  Pilot stage operation at  Net debt on 30.09.2015 Achievements US$759/oz, a 14%  Share buyback improvement YoY Gross ongoing, at US$573.3m, cash programme is ongoing,  All mines were FCF construction will start in position at US$378.6m new program approved early 2016  Net debt/ LTM EBITDA positive in 2014, 9m 2015 by the Board  Montagne d’Or FS consolidated FCF as of the end 9m 2015 reached US$150.3m started in Q4 2015 was 1.1x ♦ ♦ Continue to generate ♦ Proceed with Bouly Continue to reduce ♦ Maintain dividend and Gross efficiencies leverage with target payout ratio of 30% construction 2015 Strategy level Net debt/LTM of net profit ♦ Further upside for FCF EBITDA in the range ♦ attributable to Continue to invest in generation in 2015 0.5-1.0x the pipeline shareholders 9