REGIS RESOURCES LTD FEBRUARY 2017 BMO GLOBAL METALS & MINING - PowerPoint PPT Presentation

1 1 REGIS RESOURCES LTD FEBRUARY 2017 BMO GLOBAL METALS & MINING CONFERENCE

2 DISCLAIMER & COMPETENT PERSONS 2 STATEMENT This presentation contains only a brief overview of Regis Resources Limited and its associated entities (“Regis or RRL") and their respective activities and operations. The contents of this presentation, including matters relating to the geology of Regis’ projects, may rely on various assumptions and subjective interpretations which it is not possible to detail in this presentation and which have not been subject to any independent verification. This presentation contains a number of forward-looking statements. Known and unknown risks and uncertainties, and factors outside of Regis’ control, may cause the actual results, performance and achievements of Regis to differ materially from those expressed or implied in this presentation. To the maximum extent permitted by law, Regis does not warrant the accuracy, currency or completeness of the information in this presentation, nor the future performance of Regis, and will not be responsible for any loss or damage arising from the use of the information. The information contained in this presentation is not a substitute for detailed investigation or analysis of any particular issue. Current and potential investors and shareholders should seek independent advice before making any investment decision in regard to Regis or its activities. The information in this presentation that relates to Exploration Results is extracted from the ASX announcement released 16 January 2017 entitled “Quarterly Report to 31 December 2016” and for which Competent Person’s consents were obtained. The Competent Person’s consents remain in place for subsequent releases by the Company of the same information in the same form and context, until the consent is withdrawn or replaced by a subsequent report and accompanying consent. The information in this presentation that relates to Mineral Resources or Ore Reserves is extracted from the Mineral Resource and Ore Reserve Statement released to the Australian Securities Exchange on 7 July 2016 and the ASX announcement released on 29 July 2016 entitled “Maiden Resource of 547,000 Ounces at Tooheys Well” and for which Competent Person’s consents were obtained. The Competent Person’s consents remain in place for subsequent releases by the Company of the same information in the same form and context, until the consent is withdrawn or replaced by a subsequent report and accompanying consent. The Company confirms that it is not aware of any new information or data that materially affects the information included in the original ASX announcements released on 7 July 2016, 29 July 2016 and 16 January 2017 and, in the case of estimates or Mineral Resources or Ore Reserves, that all material assumptions and technical parameters underpinning the estimates in the original ASX announcements continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original ASX announcement. ASX announcements are available on the Company’s website at www.regisresources.com.au

3 CORPORATE 3 CAPITAL STRUCTURE Shares on issue 501m Last price A$3.54 Market capitalisation A$1,775m Daily turnover (no. shares) 7m Unlisted options 10m OPERATIONS SNAPSHOT Duketon operations (WA) 10Mtpa for >300kozpa McPhillamys project (NSW) 2.2Moz resource SHARE PRICE & VOLUME Resources (total) 8.6Moz 4.5 30 Reserves 2.1Moz 4 25 vOLUME (Millions) 3.5 SHARE PRICE A$) 3 20 FINANCIALS 2.5 15 NPAT H1 FY17 A$61.0m 2 1.5 10 Cash & bullion (31 Dec 16) A$129.8m 1 5 2017 Interim dividend 7cps (A$35m) 0.5 0 2016 Full year dividend 13cps (A$65m) 0

4 H1 2017 OPERATING RESULTS 4 Duketon Duketon Total Total North South Dec 2016 Dec 2015 Ore mined (Mbcm ) 0.75 1.47 2.22 2.40 Waste mined (Mbcm) 4.41 8.69 13.10 11.07 Stripping ratio (w:o) 5.9 5.9 5.9 4.6 Ore mined (Mtonnes) 1.50 3.94 5.44 5.62 Ore milled (Mtonnes) 1.52 3.60 5.12 5.14 Head grade (g/t) 0.99 1.04 1.03 1.02 Recovery (%) 92.3 91.1 91.5 89.5 Gold production (ounces) 44,764 109,938 154,702 150,960 Cash cost (A$/oz) 673 888 826 805 Cash cost inc royalty (A$/oz) 743 959 896 874 All in Sustaining Cost (A$/oz) 903 967 949 946

5 REVIEW OF FY2017 Q2 OPERATIONS 5 DUKETON CONTINUES TO DELIVER STRONG CASHFLOW OPERATIONS Q2 Q1  Q2 gold production 80,090 ounces FY17 FY17  Up 7% on Q1 Ore mined (Mbcm) 1.1 1.1  Run rate above FY16 and in upper half of FY17 Waste mined (Mbcm) 7.3 5.8 guidance of 300-330koz  Run rate maintainable for FY17 as satellite projects Stripping ratio (w:o) 6.5 5.3 Gloster & Erlistoun come on line  Q2 throughput (-4%) & recovery (+1.5%) v Q1 Ore mined (Mtonnes) 2.8 2.7  Q2 grade of 1.08g/t: 11% higher than Q1 Ore milled (Mtonnes) 2.50 2.62  Both GW and RMT grades improved 11-12%  RMT improving as southern zone reaches fresh rock Head grade (g/t) 1.08 0.98  Positive impact of 1.18g/t grade from Gloster Recovery (%) 92 91 COSTS  Q2 cash costs $804/oz & AISC $951/oz Gold production 80 75  Both below lower end of FY17 guidance range (ounces ‘000)  In line with Q1 – higher production offset by higher strip Cash cost (A$/oz) 804 850 ratio of start-up projects Cash cost inc royalty OPERATING CASH-FLOW 874 920 (A$/oz)  Q2 operating cashflow $64.5m (Q1: $59.6m) All in Sustaining Cost  Continuation of strong operating cashflow underpinning 951 946 (A$/oz) 1 cash build and dividends 1 AISC calculated on a per ounce of production basis 2 operating cash flow is quoted under the Appendix 5B classification protocol and as such does not include payments for pre-strip and deferred mining costs as these are classified as investing activities.

6 H1 2017 – FINANCIAL RESULTS 6 HIGHLIGHTS STRONG FINANCIAL RESULTS  Net profit after tax for H1 FY17 of A$61.0 million up 33% from H1 FY16 • Earnings per share also up 33% to 12.19cps  Revenue for H1 FY17 up 4% to A$252.9 million (H1 FY16: A$243.7 million) • 144,699oz’s of gold sold at A$1,742/oz  EBITDA up 16% to A$113.0 million (H1 FY16: A$97.4 million) • Very strong EBITDA margin of 45% (H1 FY16: 40%)  Cash and bullion of A$129.8 million* • Up A$6.4 million since June 2016 after the payment of A$45 million in fully franked dividends, A$10.7 million in developing satellite projects and A$11.3 million on exploration expenditure over the 6 months to December 2016  Gold production of 154,702 ounces at pre-royalty cash cost of A$826 per ounce and AISC of A$949 per ounce * Includes bullion on hand classified as inventory and valued at the delivered gold price subsequent to 31 Dec 2016

7 INTERIM DIVIDEND 7 2017  Interim dividend declared 7 cents per share fully franked (A$35 million)  Record Date: 8 March 2017  Payable: 21 March 2017  Interim dividend payout key metrics:  14% of H1 FY17 revenue  57% of H1 FY NPAT COMMITMENT TO DIVIDENDS  FY 16 full year dividend of 13 cps (interim 4cps and final 9cps)  Regis has paid/declared 41 cps - A$205 million in dividends since 2013  Regis is an Australian gold industry leader on dividend payment metrics

8 STRONG PERFORMANCE ON ALL 8 PROFIT MEASURES 1 FY2014 NPAT, EBITDA & EPS adjusted to underlying result by excluding $202.7m after tax impairment charge

9 CASHFLOW WATERFALL 9 Cash & Gold on Hand - FY17 YTD Movements $270.0m $124.1m $250.0m $230.0m $210.0m ($45.0m) $190.0m ($23.3m) $170.0m ($11.1m) $150.0m ($14.3m) $129. 129.8m $123. 123.3m $130.0m ($21.6m) ($2.5m) $110.0m $90.0m Cash build during the half despite the payment of A$45.0m in dividends, A$10.7 million in developing satellite projects and A$11.4 million on exploration expenditure

10 OPERATIONS OUTLOOK 10 FY2017 GUIDANCE  Gold production 300,000 – 330,000 ounces  Cash costs $840 – $910 per ounce  AISC $980 – $1,050 per ounce  Growth Capex: $27m Major components of growth capital: • Gloster pre-production capital $7m • Erlistoun pre-production capital $2m • Erlistoun pre-production mining $7m • Rosemont expansion mine cutback $7m  FY17 production guidance higher than FY16 range of 275-305koz and FY2016 actual of 305koz  Impact of positive grade impact of new operations  Optimisation to steady state of current operations  FY17 AISC guidance consistent with FY16 range of A$970-A$1,070  Guidance range slightly higher than FY16 actual A$927/oz due to early waste stripping requirements of start up operations Gloster and Erlistoun.

11 OPERATIONS OUTLOOK 11 2017 – 2019 DUKETON PROJECT PRODUCTION GUIDANCE & TARGETS 380,000 370,000 360,000 2019 350,000 TARGET 2018 340,000 330,000 340,000 GOLD PRODUCTION (OUNCES) TARGET 320,000 2017 320,000 GUIDANCE 300,000 2016 300,000 ACTUAL 280,000 305,084 260,000 240,000 220,000 200,000 2016 2017 2018 2019 Organic growth at Duketon to deliver increasing production profile over medium term Midpoint of cumulative 2017-2019 production guidance/target range is based on 98% Probable Ore Reserves and 2% Inferred Mineral Resources (IMR). No Exploration Targets included. Cautionary statement: there is a low level of geological confidence associated with IMR and there is no certainty that further exploration work will result in the determination of Indicated Mineral Resources or that the production target itself will be realised.