Ramelius Resources : 2021 AGM Chair's address and MD presentation

personal use only

25 November 2021

	RAMELIUS RESOURCES LTD
	2021 ANNUAL GENERAL MEETING
	Ramelius Resources Limited (ASX: RMS) provides a copy of:
	(a) Chair's address; and
	(b) Managing Director's presentation,
25 November 2021	ahead of its Annual General Meeting Thursday 25 November 2021 from 11am
(WST).
ISSUED CAPITAL	This ASX announcement was authorised for release by the Company Secretary of Ramelius
Ordinary Shares: 848M	Resources Ltd

DIRECTORS

NON-EXECUTIVECHAIR:

Bob Vassie

MANAGING DIRECTOR:

Mark Zeptner

NON-EXECUTIVEDIRECTORS:

Michael Bohm

David Southam

Natalia Streltsova

COMPANY SECRETARY:

Richard Jones

Forwww. ameliusresources.com.au [e-mail]

RAMELIUS RESOURCES LIMITED

Registered Office

Level 1, 130 Royal Street

East Perth WA 6004

Tel [phone]

PO Box 6070

East Perth, WA 6892

For personal use only

Ramelius Resources Limited

ACN: 001 717 540

Ramelius Resources Limited

PO Box 6070

East Perth WA 6892

Level 1, 130 Royal Street, East Perth WA 6004

Tel: [phone]

Ladies and gentlemen, welcome to the 19th Annual General Meeting of Ramelius Resources Limited (ASX: RMS) (Ramelius or the Company).

It gives me great pleasure to be addressing you in person for the first time as Chair. Travel restrictions have prevented me from making it to Perth as often as I would have liked over the past few months, but hopefully they won't pose such a problem going forward.

As I have stated previously, my decision to take up the role of Chair had a lot to do with the impressive performance of the Company over recent years and its emergence as a significant midcap ASX200 gold producer with multiple operations, a strong exploration portfolio and an enviable record of meeting market expectations.

It is pleasing to be able to say that this excellent performance has continued, with the past financial year delivering another record performance on almost every metric.

For the 12-month period to June 30, Ramelius reported:

• Revenue of $634.3 million from gold sales of 277,450 ounces;
• EBITDA of $341.0 million;
• Net profit after tax of $126.8 million; and
• Net cash and bullion as at the end of June of $234.0 million.

Mark will go into more detail on the results, but I would just like to emphasise that these are a very solid set of numbers and a credit to all involved in producing them, particularly as much of the year was spent navigating the threat posed by COVID-19 and the restrictions it placed on the industry.

Our continued financial strength has ensured that we have been able to pay a fully franked dividend for a third consecutive year, with this year's 2.5c per share dividend representing a payout ratio of 32% of total cashflow and an increase of 25% on last year's dividend.

Since implementing a formal dividend policy in 2019, we have now returned a cumulative $43.1 million in dividends to shareholders. For a goldminer of our size, it remains a source of significant pride that we have been able to reward you in this way whilst also continuing to invest significantly in the future of the business.

In doing my due diligence on the Company prior to joining, I noted with admiration the way in which the growth strategy had been executed over recent years - through very valuable organic growth at existing mines and well-timed, discerning inorganic growth through acquisitions. It has worked to great effect as seen by the growth in the Company's market value, from circa A$300 million at the start of 2019 to more than A$1.5 billion now.

Consistent with that growth strategy, last month we made a cash and scrip takeover offer for Apollo Consolidated, owner of the Lake Rebecca Gold Project east of Kalgoorlie. Despite facing some early competition for the company, that now appears to be heading towards completion.

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Lake Rebecca is one of the best gold discoveries made in Western Australia in recent years with plenty of exploration upside and potential to develop into an important production centre for the Company. We look forward to getting on with exploration and studies at Lake Rebecca in a similar way to what we have done with the assets acquired through the takeovers of Spectrum Metals and Explaurum Limited.

During the financial year, we mined first ore from the Tampia project, acquired through the Explaurum takeover, and began development of the Penny project, acquired through the Spectrum takeover. Both these projects will be significant contributors to the Company's production profile going forward, with the high-grade Penny underground mine in particular expected to have a positive impact on operating costs from next financial year.

In terms of exploration, Ramelius invested approximately $24 million across its portfolio during the reporting period. That investment helped lift the Company's Total Mineral Resources by a further 15% to 5.4 million ounces after mining depletion. Reserves were steady at 1.1 million ounces.

Taking those figures into account, in early August we handed down a new Mine Plan, giving us more visibility on future production than we have ever had and further addressing what has been one of the enduring criticisms of the Company.

The new Mine Plan is 27 per cent higher than the previous plan, detailing production of 1.84 million ounces across seven years to financial year 2028 with a low-grade tail over the following two years. Lake Rebecca will factor into next year's Mine Plan and should be expected to deliver further improvement.

With a view to further growth, the Company has expanded its exploration and resource development budget for this financial year to $32 million, though it is important to note that we retain the balance sheet capacity to move on additional acquisition opportunities should they meet our strict internal criteria.

As I'm sure all of you are aware, the themes of sustainability and ESG have moved to front of mind for many stakeholders in recent times - with good reason. This extends to some institutional investors and investor associations requiring listed companies, especially those in the ASX200, to report to certain frameworks or standards.

Last year Ramelius established a Risk and Sustainability Committee led by my fellow Director Dr Natalia Streltsova to assist on our ESG journey and our first Sustainability Report released during that period was an excellent start in addressing this area.

This year we delivered our second Sustainability Report in which we provided an update on our performance but also set out a pathway to reporting against global frameworks such as TFCD (Task Force on Climate-Related Financial Disclosures).

Diversity and Inclusion is also of significant interest to our stakeholders. It is also very important to the Company and me personally. I believe diversity, not only in gender, gives us a very important and broad range of experience and perspectives, and that makes companies better places to work and drives better outcomes. With Fiona Murdoch's upcoming appointment as Non-Executive Director, one-third of the Board is now female and there is a growing number of highly capable women making up our workforce, including Liz Jones, our General Manager at Mt Magnet.

On that note, I'd like to welcome Fiona to the Board for when she starts on 1 December. She has been able to attend today so please take the opportunity to say hello after the formal proceedings]. The diversity Fiona brings is in her corporate and legal background which adds a dimension to the existing skills matrix of the board. Importantly she has significant experience in the resources industry, not

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only as a corporate lawyer but also leading business development withing a significant mining company.

Thank you to my fellow Directors - David, Michael, Natalia, and, of course, Mark - for your support and wise counsel. It has been a pleasure working with you all and the team at Ramelius, and thank you, the shareholders, for continuing to share in the vision we have for the Company.

I could go on to provide more details of the Company's achievements over the last financial year and the outlook for this year, but I do not want to steal Mark's thunder. It has been another excellent year for your company.

Thank you.

Bob Vassie

Non-Executive Chair

Ramelius Resources Ltd

25 November 2021

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Ramelius Resources Limited

onlyuseonal
Mark Zeptner
Managing Director	ASX:RMS