the manager, companies dear sir/madam, - oz minerals · prominent hill mineral resource and ore...

6 May 2015 The Manager, Companies Australian Securities Exchange Companies Announcement Centre Level 4, 20 Bond Street Sydney NSW 2000 Dear Sir/Madam, OZ Minerals Presentation – South Australian Copper Summit Please find attached the OZ Minerals presentation to be made today at the South Australian Copper Summit in Adelaide. Yours faithfully,

Paul Lynch Company Secretary

SA COPPER SUMMIT

6 May 2015 Andrew Cole

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DISCLAIMER This presentation has been prepared by OZ Minerals Limited (“OZ Minerals”) and consists of written materials/slides for a presentation concerning

OZ Minerals. By reviewing/attending this presentation, you agree to be bound by the following conditions:

No representation or warranty, express or implied, is made as to the fairness, accuracy, or completeness of the information, contained in the presentation, or of the views, opinions and conclusions contained in this material. To the maximum extent permitted by law, OZ Minerals and its related bodies corporate and affiliates, and their respective directors, officers, employees, agents and advisers disclaim any liability (including, without limitation any liability arising from fault or negligence) for any loss or damage arising from any use of this material or its contents, including any error or omission therefrom, or otherwise arising in connection with it.

Some statements in this presentation are forward-looking statements within the meaning of the US securities laws. Such statements include, but are not limited to, statements with regard to capacity, future production and grades, projections for sales growth, estimated revenues and reserves, targets for cost savings, the construction cost of new projects, projected capital expenditures, the timing of new projects, future cash flow and debt levels, the outlook for minerals and metals prices, the outlook for economic recovery and trends in the trading environment and may be (but are not necessarily) identified by the use of phrases such as “will”, “expect”, “anticipate”, “believe” and “envisage”. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future and may be outside OZ Minerals’ control. Actual results and developments may differ materially from those expressed or implied in such statements because of a number of factors, including levels of demand and market prices, the ability to produce and transport products profitably, the impact of foreign currency exchange rates on market prices and operating costs, operational problems, political uncertainty and economic conditions in relevant areas of the world, the actions of competitors and activities by governmental authorities, such as changes in taxation or regulation.

Given these risks and uncertainties, undue reliance should not be placed on forward-looking statements which speak only as at the date of the presentation. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, OZ Minerals does not undertake any obligation to publicly release any updates or revisions to any forward looking statements contained in this presentation, whether as a result of any change in OZ Minerals’ expectations in relation to them, or any change in events, conditions or circumstances on which any such statement is based.

All amounts are expressed in Australian dollars unless stated otherwise.

Certain statistical and other information included in this presentation is sourced from publicly available third party sources and has not been independently verified.


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DISCLAIMER Prominent Hill Mineral Resource and Ore Reserve estimates

The information in this presentation that relates to the Prominent Hill Mineral Resource estimate and the Prominent Hill Ore Reserve estimate is extracted from the report entitled “Annual Resource and Reserve Update for Prominent Hill” which was released to the market on 20 November 2014 and is available to view on www.ozminerals.com/operations/resources--reserves.html. The company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and, in the case of estimates of Mineral Resources and Ore Reserves, that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement 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 market announcement. Carrapateena Mineral Resource estimate The information in this presentation that relates to the Carrapateena Mineral Resource estimate is extracted from the report entitled “Annual Carrapateena Mineral Resource Update and Mineral Resource Explanatory Notes as at 30 June 2013” which was released to the market on 28 November 2013 and is available to view on www.ozminerals.com/operations/resources--reserves.html. The company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and, in the case of estimates of Mineral Resources, that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement 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 market announcement. Carrapateena Ore Reserve estimate The information in this presentation that relates to the Carrapateena Ore Reserve is extracted from the report entitled “Carrapateena Ore Reserves Explanatory Notes as at 15 August 2014” which was released to the market on 18 August 2014 and is available to view on www.ozminerals.com/operations/resources--reserves.html. The company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and, in the case of estimates of Ore Reserves , that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement 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 market announcement. Khamsin Mineral Resource estimate The information in this presentation that relates to the Khamsin Mineral Resource estimate is extracted from the report entitled “Initial 202MT at 0.6% Copper Resource for Khamsin” which was released to the market on 26 May 2014 and is available to view on www.ozminerals.com/operations/resources--reserves.html. The company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and, in the case of estimates of Mineral Resources, that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement 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 market announcement.

http://www.ozminerals.com/operations/resources--reserves.html













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OZ MINERALS IN SOUTH AUSTRALIA

LOOKING TO CREATE VALUE FOR ALL STAKEHOLDERS

• Employees and contractors: Approximately 1,250 in South Australia.

• Community : Winner 2015 South Australian Premiers Community Excellence Awards in Mining and Energy; OZ Minerals Excellence in Leadership, Women in Resources. Commendation: Excellence in Supporting Communities.

• Indigenous communities : Antakirinja and Kokatha

• Royalties: $23.5 million paid in 2014.

• Corporate office: Relocating to Adelaide in 2015, recruitment commenced.

• We have a clear way of working:

• Safely • Ethically with strong values • Capital discipline


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• Significant Ore Reserves and Resources base.

• Current Prominent Hill Ore Reserves support mining into mid 2020s.

• Carrapteena is a minerals district;

• Carrapateena (800Mt @ 0.8% Cu)

• Khamsin 3 (200Mt @ 0.6% Cu)

• Fremantle Doctor – significant mineralisation

• Carrapateena PFS outcomes

• +$1 billion NPV

• ~$3bn initial capital build

• ~24 year mine life

• Challenge: how to maximise the value from the Prominent Hill and Carrapateena Resource base?

Prominent Hill1 Carrapateena2

Significant Ore Reserves and Minerals Resources*

OZ MINERALS – COPPER IN SA

OZ MINERALS HAS A SIGNIFICANT COPPER RESOURCE BASE TO LEVERAGE

*Further information on OZ Minerals reserves and resources can be found at http://www.ozminerals.com/operations/resources--reserves.html and in the OZ Minerals 2014 Annual Report.

1 Refer to page 3 for compliance statement 2 Refer to page 3 for compliance statement 3 Refer to page 3 for compliance statement

Ore Reserve Ore Reserve Mineral Resource

Mineral Resource



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Maximise value

Hydromet- Carrapteena: Rationale: Create world class concentrate: open project up to Asian partners looking for 20+ year mine with low political risk

• Partnering with South Australian Government to develop this process.

• Potential to increase Carrapateena Cu concentrate grade to approximately 60%.

• Reduce deleterious element to very low levels.

• Savings in transport logistics and increased payability have potential to offset additional capital costs

• Hydromet process makes use of existing technology and well understood chemistry.

• IOCG(U) deposits in Gawler Craton could all benefit from access to this process.

CARRAPATEENA : INCREASE THE ATTRACTIVENESS OF THE PROJECT

GAWLER CRATON

Enhance the Gawler Craton value proposition

Significant Mineral Resources and Ore Reserves at both Carrapateena and Prominent Hill

Program of work to maximise value from both assets

Hydromet

Rail

Capital optimisation

Malu Deeps High grade


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Rail Rationale: Potential to lower upfront capital by ~$1bn and phase cost over mine life.

• Undertake a pre-feasibility study into the ability to rail ore from Carrapateena to the existing Prominent Hill processing plant.

• Potentially significant upfront capital savings with increased operating costs over life of mine

• Rail volumes of circa ~12-13Mt tonnes per annum with ability to expand.

• Current status:

• Commenced discussions with rail engineering consultants and potential build, own, operate, maintain “BOOM” providers

• Stakeholder consultation on critical path


GAWLER CRATON




Maximise value

Hydromet

Rail




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Rail – Stakeholders

• South Australian Government

• Indigenous communities

• Pastoralists

• Local communities

• Department of Defence

• Rail providers and infrastructure funders

• Other companies operating in the Gawler Craton

GAWLER CRATON





Maximise value

Hydromet

Rail




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Malu Deeps

Rationale: Understand if drilling program is warranted and understand potential mining methods and volumes

• Significant Mineral Resource below the current Malu Open Pit¹

• Scoping study to investigate possible mining methods and potential economic outcomes

• Scoping study to be completed on a stand alone basis from Carrapateena rail studies

• Synergies would exist under rail solution

GAWLER CRATON




PROMINENT HILL : INCREASE VOLUMES AND EXTEND MINE LIFE

Maximise value

Hydromet

Rail



1 Refer to page 3 for Prominent Hill compliance statement


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• We believe the Gawler Craton is a world class mineral district

• The value that can be created from a regional solution is likely to be higher and wider ranging than customised solutions

• Gawler Craton deposits have unique ability to deliver economic benefits over a 20+ year time frame

• OZ Minerals is open to talking to all stakeholders to ensure that needs and concerns are acknowledged

THE MOST VALUE WILL COME FROM A REGIONAL SOLUTION

CONCLUSION

the manager, companies dear sir/madam, - oz minerals · prominent hill mineral resource and ore...

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