Bullabulling Gold Mines & Money London December 2012 …

ASXAnnouncement4December2012 ASXCode:BAB,AIMCode:BGL

BullabullingGoldPresentationBullabulling Gold Limited is pleased to attach a copy of a presentation being given by theCompany’sManagingDirector,BrettLambertattheMinesandMoneyConferenceinLondon.AcopyofthepresentationisalsoavailableontheCompany’swebsitewww.bullabullinggold.com

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Developing a World Class Gold Deposit in Western Australia’s Premier Goldfield

Mines and Money LondonDecember 2012

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Investment Highlights

• 100% ownership of a world class gold project with 3.5 million ounces of JORC‐compliant resources

• Proximity to infrastructure and mining service towns provides cost and logistical advantages

• Potential for a +10 year, approx 200,000ozpa mine with first production in 2015• Pre‐feasibility study well advanced indicating a financially robust project• Significant resource growth with potential for further expansion identified• Board and management, with the capability and experience to progress the project to

development• Backed by major institutional investors

Bullabulling Gold Limited is focused on developing a high tonnage, low cost, long life gold mining operation at the Bullabulling Gold Project

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Corporate Structure

Major Shareholders (16/08/2012)• Baker Steel 12.8%• TD Waterhouse 5.5%• AIMS Asset Management 4.3%• Selftrade Investments 3.7%• Hargreaves Asset Management 2.7%• Auzex Exploration 2.4%• Mr & Mrs BJ Winsor 2.4%• BlackRock Investment Mgt 2.3%

Share Register CompositionIssued Capital• Dual listed – ASX code BAB, AIM code BGL• 289 million fully paid shares— ASX 144 million, AIM 145 million

• 15.4 million unlisted options• Cash end of September Quarter 2012 – A$6.0M

United Kingdom

52%

Australia30%

Nth America 1%

New Zealand

4%

Asia6%

Europe7%

Shareholder Geographics

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Board and Management

• Peter Mansell – Non‐executive ChairmanCorporate lawyer, former national head of Freehills, currently Chairman of Ampella, director of BWP Management and Nyrstar NV, formerly chairman of Zinifex and West Australian Newspapers• Ronnie Beevor – Non‐executive DirectorInvestment banker, former head of Rothschild Australia, currently chairman EMED Mining, director of Ampella, Unity Mining, QMAG, Talison Lithium, Rey Resources, advisor to Gryphon Partners• Tim Netscher – Non‐executive DirectorDegrees in engineering and commerce, extensive experience in resources at Newmont, Vale, QNI, Impala Platinum, currently Managing Director of Gindalbie Metals and director of Industrea• Brett Lambert – Managing Director/CEOMining engineer with 30 years experience in operations, project development and company administration with WMC, Herald Resources, Western Metals, Intrepid Mines, Thundelarra• David McArthur – CFO/Company SecretaryChartered accountant with 30 years experience in resources • Mark Braghieri – General Manager DevelopmentMining Engineer with 30 years experience in large scale open pit mining and project development• Trevor Pilcher – Chief Project GeologistExtensive experience in gold exploration, mining geology and mine establishment

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Bullabulling Gold Project

• Located in the Goldfields of Western Australia, 60km west of Kalgoorlie• 3.5 million ounce resource on granted Mining Leases• Amenable to large scale bulk tonnage mining and conventional CIL processing• Well serviced by existing infrastructure (gas power/grid power, water pipeline, skilled

workforce, modern telecommunications, airport, maintenance services and facilities).

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Project location

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Prior Mining Activity

• 370,000oz produced historically– mostly by Resolute Mining in

mid‐1990s– average grade 1.45g/t– decommissioned with gold price

at $350/oz• Deepest pit is only 80 metres• Previous mining represents only 10%

of current resource• Prior mining records provide

valuable technical data• Historical database of 450,000m of

drilling (replacement cost >$50m)

Prior mining & processing data helps de‐risk the current project

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Strong ResourceGrowth Delivered

• More than 115,000m of diamond and RC drilling completed since acquisition

• Significant resource growth achieved– 700% increase in two and a half years

• Majority of resource elevated to Indicated category

• Independent sign‐off on resource by leading resource consultancy

Bullabulling Gold Project Resource Estimate (0.5g/t cut‐off)

Deposit Class Tonnes (Mt) Grade (g/t) Ounces

Bullabulling Laterite Inferred 1.7 0.89 48,000

Bullabulling PrimaryIndicated 71.7 0.96 2,209,000Inferred 31.1 1.07 1,070,500

Bullabulling Total 104.5 0.99 3,327,500Gibraltar Inferred 4.8 1.15 177,500

Project Total 109.3 1.00 3,505,0006

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Consistent ContinuousGold Mineralisation

• Broad zones of mineralisation• Excellent continuity along strike and down dip

Resource Model Cross‐Section at 6 566 870mN

500m

Resource Model Plan View at 80m Depth(Phoenix Area)

3 km

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Bullabulling historic workings and proposed pits

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Super Pit (at scale)

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PFS open pit designs with resource model – S‐E view

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Indicated Resource

Inferred Resource

Unclassified Mineralisation

Bonecrusher Pit

Dicksons Pit

Phoenix Pit

Gryphon Pit

Edwards Pit

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Preliminary PrefeasibilityResults

• Throughput rate of 7.5 million tonnes of ore per annum• Mining inventory of 79.1Mt at 0.87g/t*• Strip ratio 3.5 to 1• Initial mine life of +10 years• Base case production of 1.95 million ounces of gold• Capital cost of $297 to $333 million• Average life of mine cash cost of approx. $1,100 per ounce of gold• 650,000 ounces at $884 per ounce produced in first three years• Capital recovery achieved in just over two years at current gold price & FX rate

– US$1,730/oz and 1.04 USD:AUD as at 30 November 2012

*Note the mining inventory contains Indicated (83%) and Inferred (17%) resources. Additional drilling will be required to upgrade the classification of the Inferred resource to enable its conversion to Reserves.

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Strong cash generating potential

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Annual Gold Production and Cash Cost*

Forecast Project Cash Flow**

*Cash costs are C1** Cashflow after pre‐production & sustaining capex, op costs & royalties at 30/11/12 gold price of US$1,730/oz & USD:AUD of 1.04

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Value adding opportunities to be evaluated during DFS

• Refinement of mine design & schedule– Wider examination of options & greater attention to detail through in‐house work

• Evaluation of owner mining to reduce overall mining costs• Additional geotechnical drilling to refine pit slope angles

– Steeper pit slopes would reduce waste mining costs

• Alternative power supply options for lower energy costs– Power is the largest single component of processing costs

• Additional metallurgical test work to lift gold recoveries• Increased local employment to reduce travel and accommodation cost

– PFS assumed 50% fly in/fly out, proximity to towns provides opportunity to increase residential

• Relocation of infrastructure to access additional resources• Further drilling along the southern trend to expand higher grade resources

– Grades at Edwards & Gryphon are 35% above Bullabulling average

• Inclusion of Gibraltar into the mining plan– Resource grade 17% above Bullabulling

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PFS open pit designs with resource model – N‐E view

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Indicated Resource

Inferred Resource

Unclassified Mineralisation

Bonecrusher PitDicksons Pit

Phoenix Pit

Gryphon PitEdwards Pit

Down dip extensions to high grade Edwards & Gryphon to be tested

Further drilling to upgrade & improve continuity of southern mineralisation

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Development Schedule

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Prefeasibility StudyDefinitive Feasibility StudyProject ApprovalsDevelopment Decision FundingEngineeringConstructionCommissioningProduction

2012 2013 2014 2015

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Investment Highlights

• 100% ownership of a world class gold project with 3.5 million ounces of JORC‐compliant resources

• Proximity to infrastructure and mining service towns provides cost and logistical advantages

• Evaluation of development options and PFS well advanced• Potential for a +10 year, approx 200,000ozpa mine with first production in 2015• Significant resource growth with potential for further expansion identified• Board and management, with the capability and experience progress the project

to development• Backed by major institutional investors

Bullabulling Gold Limited is focused on developing a high tonnage, low cost, long life gold mining operation at the Bullabulling Gold Project.

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Appendix

1. Bullabulling resource tonnage – grade table2. Bullabulling Gold Project compared to global gold mines and deposits3. Prefeasibility study team4. Regional Exploration Model5. Important Notices6. Contact details

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Tonnage‐Grade Relationship Provides Flexibility

• Flexibility to schedule mining to maximise value

• Ability to adapt to changes in economic conditions

Tonnage‐Grade Table for Bullabulling Gold Project (inc Gibraltar)Cut‐off (g/t) Category Tonnes (Mt) Grade (g/t) Gold (Moz)

1.0Inferred 12.9 1.84 0.8Indicated 20.0 1.67 1.1Total 33.0 1.74 1.8






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Compares well with global peers in both contained ounces and grade

Reproduced from Natural Resource Holding – 2012 Ranking Gold Mines & Deposits 18

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Prefeasibility Study – Highly Experienced Team Assembled

Primary Consultants Engaged on the Bullabulling PFS• Resource estimation Snowden• Prelim. mine design and costing CSA Global• Final mine design and scheduling Runge• Geotechnical engineering Mining One• Metallurgical testwork Abesque/Ammtec• Process engineering and design GR Engineering Services• Tailings storage and hydrology Knight Piesold• Hydrogeology/water supply Rockwater• Power supply Power Assist Consulting• Environmental assessment RPS Aquaterra• Heritage & community Kellie Hill Consulting• Study management John Barton/Alistair Campbell

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3D Modelling Identifies Regional Growth Potential

• Geophysics used to interpret geology beneath soil cover

• 3 priority targets identified– Eastern limb of the anticline– Fold unconformities, structural

traps for gold mineralisation– Vertical “feeder” structures

with potential for high grade mineralisation

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Important Notice

These presentation slides (the “Slides”) do not comprise an admission document, listing particulars or a prospectus relating to Bullabulling Gold Limited (“the Company”) or anysubsidiary of the Company, do not constitute an offer or invitation to purchase or subscribe for any securities of the Company and should not be relied on in connection with adecision to purchase or subscribe for any such securities. The Slides and the accompanying verbal presentation do not constitute a recommendation regarding any decision to sell orpurchase securities in the Company.

The Slides and the accompanying verbal presentation are confidential and the Slides are being supplied to you solely for your information and may not be reproduced or distributedto any other person or published, in whole or in part, for any purpose. No reliance may be placed for any purpose whatsoever on the information contained in the Slides and theaccompanying verbal presentation or the completeness or accuracy of such information. No representation or warranty, express or implied, is given by or on behalf of the Companyor their respective shareholders, directors, officers or employees or any other person as to the accuracy or completeness of the information or opinions contained in the Slides andthe accompanying verbal presentation, and no liability is accepted for any such information or opinions (including in the case of negligence, but excluding any liability for fraud).

The Slides contain forward‐looking statements, which relate, inter alia, to the Company’s proposed strategy, plans and objectives. Such forward‐looking statements involve knownand unknown risks, uncertainties and other important factors beyond the control of the Company that could cause the actual performance or achievements of the Company to bematerially different from such forward‐looking statements. Accordingly, you should not rely on any forward‐looking statements and the Company accepts no obligation todisseminate any updates or revisions to such forward‐looking statements.

The Slides and their contents are directed only at persons who fall within the exemptions contained in Articles 19 and 49 of the Financial Services and Markets Act 2000 (FinancialPromotion) Order 2005 (such as persons who are authorised or exempt persons within the meaning of the Financial Services and Markets Act 2000 and certain other persons havingprofessional experience relating to investments, high net worth companies, unincorporated associations or partnerships and the trustees of high value trusts) and persons to whomdistribution may otherwise lawfully be made. Any investment, investment activity or controlled activity to which the Slides relate is available only to such persons and will beengaged in only with such persons.

Persons of any other description, including those that do not have professional experience in matters relating to investments, should not rely or act upon the Slides.

The Securities have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “US Securities Act”) or with any securities regulatoryauthority of any state or other jurisdiction of the United States and may not be offered or sold within the United States or to, or for the account or benefit of, any US Person as thatterm is defined in Regulation S under the US Securities Act. The Company has not been registered and will not register under the United States Investment Company Act of 1940, asamended.

Competent Person StatementThe information in this report that relates to the Exploration Results, Mineral Resources or Ore Reserves is based upon information compiled by Mr Trevor Pilcher, who is a full time employee of the company and is a member of The Australasian Institute of Mining and Metallurgy. Mr Pilcher has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and the activity in which he is undertaking to qualify as a Competent Person under 2004 Edition of the Australasian Code for Reporting Exploration Results, Mineral Resources and Ore Reserves (JORC Code). Mr Pilcher consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.

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Brett LambertManaging Director, Bullabulling Gold Limited

Telephone: +61 8 9386 4086E‐mail: [email protected]

www.bullabullinggold.com

John GardnerMAGNUS Investor Relations + Corporate Communication

Telephone: +61 8 9212 0101E‐mail: [email protected]

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Bullabulling Gold Mines & Money London December 2012 …

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Transcript of Bullabulling Gold Mines & Money London December 2012 …