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Rio Alto Mining, resultados del año 2012


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Esta es la última presentación de Rio Alto Mining. Detalla la operación de la mina La Arena en la La Libertad, su única mina

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Rio Alto Mining, resultados del año 2012

  1. 1. “Leading by Example”Corporate Presentation February 2013
  2. 2. Cautionary StatementCertain statements contained in this presentation may constitute forward‐looking statements. These statements relate to future events or the future performance of Rio Alto Mining Limited (“RioAlto”). All statements, other than statements of historical fact, may be forward‐looking statements. Forward‐looking statements are often, but not always, identified by the use of words such as"seek", "anticipate", "plan", "continue", "estimate", "expect", "may", "will", "project", "predict", “propose”, "potential", "targeting", "intend", "could", "might", "should", "believe" and similarexpressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward‐looking statements. Rio Alto believes that the expectations reflected in those forward‐looking statements are reasonable but no assurance can be given that these expectations will prove to becorrect and such forward‐looking statements included in this presentation should not be unduly relied upon by investors as actual results may vary. Unless required to be updated pursuant tosecurities laws, these statements speak only as of the date of this presentation and are expressly qualified, in their entirety, by this cautionary statement. This Presentation also discloses mineralresources. Mineral resources that are not mineral reserves do not have demonstrated economic viability.In particular, this presentation contains forward‐looking statements, pertaining to the following: • capital expenditure programs and cash flow estimates; • development of deposits, resources and reserves; • treatment under regulatory regimes; • treatment under taxation regimes or other government financial regimes; • expectations regarding Rio Alto’s ability to raise capital; complete the feasibility study for the La Arena sulphide project; • work plans to be conducted by Rio Alto, and • the production of gold and copper from Rio Alto´s La Arena Project.With respect to forward‐looking statements listed above and contained in this presentation, Rio Alto has made assumptions regarding, among other things: • the legislative and regulatory environment; • the impact of increasing competition; • current technological trends; • unpredictable changes to the market prices for gold and copper; • that costs related to development of the gold and copper properties and the development of gold and copper production projects will remain consistent with historical experiences; • anticipated results of exploration and development activities; and •Rio Alto’s ability to obtain additional financing on satisfactory terms.Rio Alto’s actual results could differ materially from those anticipated in these forward‐looking statements as a result of the risk factors set forth below and elsewhere in this presentation: • uncertainties regarding the regulatory regime and the application approval process; • volatility in the market prices for gold and copper; • uncertainties associated with estimating and developing resources; • geological, technical, construction and processing problems; • liabilities and risks, including environmental liabilities and risks, inherent in developing gold and copper production projects; • fluctuations in currency and interest rates; • competition for, among other things, capital, acquisitions of reserves, undeveloped lands and skilled personnel; and • unpredictable weather conditions.Rio Alto’s plans and results could differ materially from those anticipated in these forward‐looking statements as a result of these risk factors set forth above. Rio Alto recommends that you alsoreview its most recent Annual Information Form and Annual MD&A for a discussion of other material risks that could cause actual results to differ significantly from current expectations. Rio Altoalso cautions that mineral resources that are not mineral reserves do not have demonstrated economic viability.Certain technical and scientific information contained in this presentation has been taken from the La Arena Project, Peru ‐ Technical Report (the “July 2010 Report”) with effective date of July 31,2010, prepared by Coffey Mining Pty Ltd. (“Coffey Mining”) on behalf of Rio Alto Mining Limited or is based upon supporting documentation provided by Coffey Mining. A copy of the TechnicalReport is available on Rio Alto’s SEDAR profile at This presentation also includes updated resource estimates dated effective September 30, 2011 in respect of the oxide andsulphide projects that comprise La Arena Project. A technical report which provides for these updated resource estimates has been filed on Rio Alto’s SEDAR profile. The technical and scientificinformation contained in this presentation has been reviewed and verified by Mr. Enrique Garay, M Sc., P. Geo (AIG Member), Vice President Geology of Rio Alto, the Qualified Person (as defined byNI 43‐101) responsible for managing Rio Alto’s exploration programs and disclosure of drilling results, and by Mr. Ian Dreyer, B.App. Sc. (AUSIMM 305241,CP), a Qualified Person (as defined by NI 43‐101), formerly of Coffey Mining, who designed and reviewed Rio Altos’ Quality Control and Assurance Program and prepared the updated resource estimates. TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 2
  3. 3. Capital StructureTSX:                                                                                                                          RIOBVL: RIONYSE: RIOMFrankfurt FSE:                                                                                                                MS2Shares Issued (January 21,  2013):                                                                                       175.8 millionWarrants Outstanding                                                                                                          35% ‐ Peru Nil 28% ‐ Canada / Europe 15% ‐ Sentry Capital  9% ‐ ManagementOptions Outstanding: (Av. Exercise Price – C$ 2.03)                                                                        7% ‐ JP Morgan  7.8 million 6% ‐ IAMGOLDFully Diluted:                                                                                                                183.6  millionShare Price:                                                                                                                  C$4.64as at  22/02/2013Market Cap (issued capital):                                                                           approx. C$  815.7 million                 TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 3
  4. 4. Share Price Performance & History ANALYST COVERAGE 30 day moving averageGMP Securities George Albino +1 416 943 6187 90 day moving averageBMO Nesbitt Burns Inc Brian Quast +1 416 359 6824CIBC World Markets Inc. Matthew Gibson +1 416 956 6729Scotia Capital Mark Turner +1 416 863 7484 200,000 oz pouredClarus Securities Inc Mike Bandrowski +1 416 343 3352 since first gold productionStonecap Securities Inc Christos Doulis +1 416 342 9992Dundee Securities Inc Dale Mah +1 604 647 2878Desjardins Capital Markets Adam Melnyk +1 416 607 3081 Euro Pacific Capital Inc Heiko Ihle +1 800 727 7922Kallpa Securities SAB Humberto Leon +51 1 630 7500 NYSE ListingLoeb Aron & Company Limited Jonathan Richards      +44 207 628 1128 Entry to S&P / TSX index C$57.5M @ C$2.05/ share Resource Update C$20.3M @ C$1.68 / shareC$8.5M @ C$0.75 / share C$7.7M @ C$0.76 / share First Gold Production EIA ApprovedGold Prepayment Facility Negotiated TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 4
  5. 5. Gold Prepayment FacilityAmount US$50 millionDue Date October 2014Total Obligation 61,312 “notional” ozs Min ozs 52,115 Max ozs 70,509Price Range $1,450 repay 85% of ozs $950 repay 115% of ozsStatus (as at 25/02/13) 36,079 notional ozs repaid Min ozs owing  21,448 25,233 notional ozs owing Max ozs owing 29,018 Payments for both tranches made through to October 2013 TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 5
  6. 6. Board of Directors Dr. Klaus Zeitler | Chairman, Director Alex Black | President & CEO, Director Anthony Hawkshaw | CFO, Director Victor Gobitz Colchado | COO, Director  Drago Kisic Wagner | Director Sidney Robinson | Director Ram Ramachandran | Director Dr. Roger Norwich | Director TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 6
  7. 7. La Arena ‐ Location• Located in a gold mining district in north  central Peru• 3.5 hour drive from Trujillo, on mostly  paved road• Land package – approx 27,000 ha• Altitude 3,400m above sea level• 18 km east of Barrick´s Lagunas Norte Gold  Mine• 10km north of La Virgen Gold Mine owned  by Cia Minera San Simon • Strong community support• No agriculture• Excellent infrastructure TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 7
  8. 8. La Arena Land Package 27,000 hectares La Arena Project – 1000 hectares Measured & Indicated: 3.9 M oz Au & 2.0 Bn lbs Cu Inferred: 2.2 M oz Au & 2.1 Bn lbs Cu numbers rounded – updated Jan 2012 Au Exploration Targets 26,000 hectare package Targets: • La Colorada • Agua Blanca • Maria Angola • Pena Colorada • Astrid • San Andres TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 8
  9. 9. Why Invest in Rio Alto?• First gold oxide production May 6, 2011 – 10 months after EIA• Production for 2012: 201,113 ounces of gold• Guidance for 2013: 190 – 210,000 ounces of gold• Oxide ore production – expanded to 36,000 tpd• Oxide gold production for 5 to 7 years,  sulphide Cu/Au production for      + 20 years from 2016 – resource / reserve update Q1• Internal Feasibility Study Phase II Cu/Au project – est. completion 2013• Extensive exploration program on 27,000 ha property – ongoing• Proactive explortion strategy – regional and rest of Peru• Refer to Coffey Mining 2010 Technical Report conclusions section 1.13 TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 9
  10. 10. Gold Production & GuidanceProduction & SalesProduction 2012 201,113 ozsProduction Guidance 2013 190 – 210,000 ozsCosts Peru Cash Cost*Actual YTD 2012 (September) US$ 532 / ozGuidance for 2012 US$ 500 to US$ 550 / ozGuidance for 2013 US$ 675 to US$ 725 / oz Cash on‐hand is US $62.0 M ($ 000’s) $ per oz Mine site costs 79,814 513YTD (Q1 – Q3) Cash cost per ounce and Lima office 2,922 19 Cash Cost 82,736 532Total Cost per ounce sold consist of: Head office 2,695 17 Peru Taxes 50,431 324 Exploration & Capex 74,651 480 Total Costs 210,513 1,353 * Cash cost and total cash cost per ounce sold are non‐GAAP (non‐IFRS) measures used by management to evaluate operating performance and used by some investors as an indicator of a company’s future cash generating capability. Cash cost and total cost per ounce sold should not be considered as a substitute for GAAP performance measures nor should they be considered in isolation. TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 10
  11. 11. Production Statistics 2012 Actual Ore 7,979,593 Au g/t 0.84 Waste 12,953,447 Strip Ratio 1.62 Ounces Poured 201,113 2013 Guidance Q1 Q2 Q3 Q4 Total Ore 2,176,000 3,536,000 4,073,000 3,632,000 13,417,000 Au g/t 0.50 0.47 0.56 0.61 0.54 Waste 6,125,000 5,923,000 5,467,000 5,858,000 23,373,000 Strip Ratio 2.81 1.68 1.34 1.61 1.74 Ounces Poured 33,948 43,605 63,820 58,808 200,181 TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 11
  12. 12. Metallurgical Test Work (pre‐production) PILOT SCALE COLUMN LEACH TEST RESULTS CALAORCO PIT         ETHEL PIT Recovery (Au)  84%                          93% Leaching (Days )                 30                             30 Granulometry ROM                          ROM Grade Au (g/TM):               1,29                          0,64 Cyanide (Kg/TM):               0,1                            0,1 Lime (Kg/TM):                    1,5                             0,8 Density of mineral:            1,69                          1,69 Photo ‐ Feb 2012 TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 12
  13. 13. Metallurgical Recovery La Arena Monthly Production 2011 ‐ 2012  300,000  25,000  250,000  20,000  200,000  15,000Ounces Fine Au  150,000  10,000  100,000 Delivered to pad; 259,097oz  5,000  50,000 Produced; 229,804oz Recovery; 88.7%  ‐  ‐ December Febuary December September September March August October March August October May June January May June July November July November April April 2011 2012 Cumulativ on Pad Cumulative Produced OZ on PAD OZ Produced TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 13
  14. 14. High Grade Zone and Discrete High Grade StructuresLooking SE CALAORCO  PIT  WEST WALL HIGH GRADE ZONE (Approx. 1g/t Au) PORPHYRY HIGH GRADE NW STRUCTURES  (Upwards of 100g/t over  10‐20cm widths) DEPTH POTENTIAL  TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 14
  15. 15. La Arena – Social & Community TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 15
  16. 16. La Arena – Environment Reclamation work on  waste dump No. 1 TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 16
  17. 17. La Arena – Gold Oxide Mine Final Pad Limit Layout from July 2010 Report TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 17
  18. 18. La Arena – Gold Oxide Mine (cont.)Expansion to 36,000 tonnes per day completed Calaorco Pit Leach Pad Ethel Pit Process Plant PLS Pond Major Events Pond TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 18
  19. 19. La Arena – Gold Oxide Mine (cont.)Expansion to 36,000 tonnes per day completed 3 RH90 Excavators 21 CAT777 Dump Trucks TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 19
  20. 20. La Arena – Gold Oxide Mine (cont.) Calaorco Pit Panorama – October 2012 Calaorco Pit – November 2012 TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 20
  21. 21. La Arena –Waste Dump 2 Preparation Under‐pass Construction Waste Dump 2 – January 2013 TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 21
  22. 22. La Arena – Phase 2 (un‐optimized)• Starter project sizing options – objective : MINIMIZE INITIAL CAPEX• Maintain a low profile and expectations whilst planning to locate as much  of Phase 2 project within current EIA boundary • Internal Feasibility Study underway• Current timing for FS completion – Q3 2013• 187M tonne reserve grading 0.38% Cu, 0.29 g/t Au (July 2010 Report)• Projected 21 year life of mine at 24,000 tpd throughput (July 2010 Report)• Clean copper concentrates with a gold credit – FS met testwork in process • Projected Production ‐ 60M lbs of copper and 31,200 oz of gold annually (July 2010 Report) TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 22
  23. 23. La Arena – Phase 2 (un‐optimized) Conceptual Phase 2  Waste Dump Conceptual Plant Site Current EIA Boundary Conceptual Starter Pits Conceptual Starter Tailings Area TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 23
  24. 24. Phase 2 – Conceptual Starter PitsSECTION 9127000 N 40Mt pit 150Mt pit TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 24
  25. 25. Phase 2 – Conceptual Starter PitsSECTION 9126500 N 40Mt pit 150Mt pit TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 25
  26. 26. La Arena – Geology July 2010 Report – Reserve Pit Shell TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 26
  27. 27. La Arena – Cu/Au Sulphide Exploration 3 Cu Porphyry Targets Agua Blanca copper anomaly  (approx 3km x 2km) – not drilledEl Alizar – 12 drillholesby CambiorLa Arena – Inferred resourceconversion, edge definition & depth potential TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 27
  28. 28. La Arena ‐ Au Oxide Exploration27,000 ha  with multiple gold oxide exploration targets TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 28
  29. 29. La Colorada – Priority #1 oxide gold target TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 29
  30. 30. Regional and Peru Exploration10,000 ha within 30km  of La Arena La Libertad Department  Santa Barbara Resources Earn‐in Ayacucho Department Duran Ventures  Earn‐in Huancavelica Department Moquegua Department TSX: RIO               BVL: RIO               NYSE: RIOM               FSE: MS2 30