EVOLUTION MINING LIMITED — Interim / Quarterly Report 2014

Apr 16, 2014

Quarterly Results March 2014

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Disclaimer

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• This presentation has been prepared by Evolution Mining Limited (“Evolution Mining”) and consists of slides for a presentation concerning the Company. By reviewing/attending this presentation, you acknowledge and agree the following.

• This presentation includes forward-looking statements. Forward-looking statements inherently involve subjective judgement and analysis and are subject to a number of risks, uncertainties, contingencies and other factors, many of which are outside the control of, and may be unknown to, Evolution Mining. As such, actual results or performance may vary materially from those expressed or implied by forward-looking statements. The types of factors that could cause such variation in actual results or performance include (without limitation) commodity prices, operational problems and general economic conditions. Given these factors, undue reliance should not be placed on forward-looking statements, which speak only as at the date of this presentation. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, Evolution Mining does not undertake any obligation to publicly update or revise any forward-looking statements contained in this presentation, including (without limitation) where Evolution Mining’s expectations change in relation to such statements and where there is a change in events, conditions or circumstances providing the basis for any such statement.

• No representation or warranty, express or implied, is made as to the accuracy, completeness, reliability, fairness or correctness of the information contained in this presentation. To the maximum extent permitted by law, Evolution Mining and its related bodies corporate and affiliates, and each of their respective directors, officers, employees, agents and representatives, disclaim any liability or responsibility for loss or damage arising from or in connection with the use of the information contained in this presentation.

2

March 2014 quarter highlights

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Production

• Consistent Group production of 101,408oz delivered at an average cash cost of A$811/oz (US$727/oz[1] ) and AISC[2] of A$1,079/oz (US$968/oz)

• Standout performance at Mt Carlton with 26,109 AuEq[3 ] ounces produced at an average C1 cash cost of A$454/oz and AISC of A$615/oz

• Year to date production of 315,804oz AuEq at average cost of A$781/oz (US$701/oz) and AISC of A$1,074/oz (US$954/oz)

• On target to meet FY14 guidance: 400-450koz AuEq, C1 cost A$770 – A$820/oz and AISC of A$1,080 – A$1,130/oz. Capital spend expected to be below the lower end of the A$160M – A$185M guidance

• Continued Company-wide focus on cost reductions, capital discipline and productivity improvements

Corporate

• Strong cash position with a cash balance of A$36.7M (Dec 2014 qtr: A$37.0M)

• Corporate debt under Company’s revolving credit at A$141.8M: available credit of A$58.2M

• Gold hedge book at end of March 2014 qtr was 184,774oz at A$1,595/oz

• Using an average AUD:USD exchange rate for the quarter of $0.897

• ASIC (All-in Sustaining Costs) includes C1 cash cost plus royalty expense, sustaining capital expense, general corporate expenses and administration

• Gold and gold equivalent is Mt Carlton A39 silver as gold equivalent using gold to silver ratio of 1:62.5

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March 2014 quarter production

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	Units	Mar quarter 2014	Dec quarter 2013	Sep quarter 2013	Year to date FY14
Gold produced1	oz	101,408	107,201	107,195	315,804
By-product silver produced	oz	191,827	60,388	234,259	486,474
C1 Cash Cost2	A$/oz	811	764	769	781
C3 Total Cost3,5	A$/oz	1,176	1,199	1,146	1,173
Gold sold	oz	92,669	96,246	97,211	286,125
Achieved gold price	A$/oz	1,461	1,412	1,475	1,449
Silver sold	oz	696,681	1,016,321	670,530	2,383,532
Achieved silver price	A$/oz	23	23	22	23
All-in Sustaining Cost4,5	A$/oz	1,079	1,053	1,091	1,074

1. Mt Carlton production recorded as payable gold production. Silver production from the A39 silver deposit at Mt Carlton is recorded as gold equivalent using a gold to silver ratio of 1:65.2 for the September quarter 2013, 1:61.9 for the December quarter 2013 and 1:62.5 for the March quarter 2014

2. Before royalties and after by-product credits

3. Includes C1 cash costs, depreciation, amortisation, royalty and other expenses

4. Includes C1 cash cost, plus royalty expense, plus sustaining capital, plus general corporate and administration

5. C3 Total Cost increase by A$5/oz, and AISC increase by A$4/oz in the December quarter relates to a reconciling adjustment, after the release of the Q3 results

 Consistency, Reliability, Efficiency

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Improved safety performance

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25.0 30 
Sustained improvements in
Group safety performance
20.0 25

Injury prevention programs
driving risk reduction
15.0 20

Group total recordable injury
10.0 15 frequency rate is 13.3

Group lost time injury rate is
5.0 10 2.6
0.0 5
TRI TRI 12 month moving average
TRI Average
Number of TRI's
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TRI: Total recordable injury. Includes the number of fatalities, lost time injuries/diseases, medical treatment injuries and disabling injuries TRIFR: Total recordable injury frequency rate. The frequency of total recordable injuries per million hours worked

 Injury rates at their lowest levels since Evolution’s formation

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March 2014 quarter AISC

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$1.03
$0.93
$0.92
$0.90
FY13 Q1 FY14 Q2 FY14 Q3 FY14
Group AISC ($A/oz) Group AISC (US$/oz) US Exchange Rate / FX Average
A$1,178 US$1,213
A$1,091 A$1,053 A$1,079
US$1,000 US$978 US$968
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Note: In FY13 AISC was reported as A$1,228/oz (included Discovery costs). In FY14, AISC definition excludes Discovery costs to align with the World Gold Council’s recommendation. For comparison, A$50/oz Discovery costs subtracted from FY13 AISC

 A focus on reducing costs

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Delivering stability & predictability

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 Ten consecutive quarters of consistent, reliable operating performance

 A portfolio of five assets delivering operational stability and predictability

 A focus on capital discipline and productivity efficiencies

392,918oz

346,979oz

302,842oz FY2011 A FY2012 A FY2013 A Group production Guidance

400 - 450koz Guidance 315,804oz Q3 YTD Actual

FY2014 F

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Operations

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A focus on cost reductions

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A$21/oz A$4/oz
A$96/oz
A$1,178/oz A$21/oz
A$1,079/oz
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A$21/oz A$4/oz
A$96/oz
A$1,178/oz A$21/oz
A$1,079/oz
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AISC FY13 C1 Cash cost Royalty Sustaining Admin Expenses AISC Mar 2014 Capex Qtr

Note: In FY13 AISC was reported as A$1,228/oz (included Discovery costs). In FY14, AISC definition excludes Discovery costs to align with the World Gold Council’s recommendation. For comparison, A$50/oz Discovery costs subtracted from FY13 AISC

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Cracow

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• Consistent gold production of 24,321oz (Dec qtr: 24,016oz)

• Cash cost of A$616/oz, AISC of A$938/oz (Dec qtr: C1 A$712/oz, AISC A$1,034/oz)

• –

• Cost savings following change to owner-miner estimated to be A$18-20M in FY14 (A$180 A$200 per ounce AISC saving)

• 127,591t processed at 6.22g/t Au (Dec qtr: 126,871t at 6.22g/t Au)

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80,000 1,200
A$928
60,000 900
A$761
A$712
A$616
40,000 600
23,663oz 23,352oz [24,016oz ] 24,321oz
20,000 300
0 0
Jun Qtr Sep Qtr Dec Qtr Mar Qtr
2013 2013 2013 2014
Production gold oz C1 Cash Cost
Cost A$/oz
Production (oz)
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Cracow – new Empire vent raise headworks
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Pajingo

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• –

• March quarter production of 15,068oz of gold (Dec qtr: 12,346oz) 76,253t processed at 6.42g/t Au (Dec qtr: 81,682t at 4.93g/t Au)

• Cash cost of A$814/oz, AISC of A$1,114/oz (Sep qtr: C1 A$1004/oz, AISC A$1,481/oz)

• Total site costs per month of A$6.3M for March quarter (close to 50% reduction compared to FY13 monthly average of A$12M)

• Reduced dilution following reduction in stope dimensions positively impacting results

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60,000 1,200
A$998 A$1,004
A$830 A$814
40,000 800
23,367oz
20,000 16,858oz 400
12,346oz [15,068oz ]
0 0
Jun Qtr Sep Qtr Dec Qtr Mar Qtr
2013 2013 2013 2014
Production gold oz C1 Cash Cost
Cost A$/oz
Production (oz)
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Pajingo plant
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Edna May

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• Gold production of 17,879oz (Dec qtr: 20,382oz). Cash cost of A$1,263/oz, AISC A$1,434/oz (Dec qtr: C1 A$978/oz, AISC A$1,172/oz)

• 667,110t processed at 0.90g/t Au (Dec qtr: 644,459t at 1.04g/t Au)

• Unit costs higher due to lower grade and unplanned shutdowns (power outage, SAG mill liners)

• Cost reductions locked in for FY15 in the areas of power supply (9% saving) camp costs (6% savings) and ~A$1Mpa savings in mill ball consumption

• Average plant throughput rate lifted to 7,412tpd (2.7Mtpa) and targeting 8,220tpd (3.0Mtpa)

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Edna May open pit: March 2014
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60,000 1,600
A$1,263
45,000 1,200
A$1,017 A$978
A$915
30,000 800
18,671oz [19,869oz 20,382oz ] 17,879oz
15,000 400
0 0
Sep Qtr Dec Qtr Mar Qtr Jun Qtr
2013 2013 2014 2014
Production gold oz C1 Cash Cost
Cost A$/oz
Production (oz)
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Mt Rawdon

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• Gold production of 18,033oz at a cash cost of A$1,139/oz and AISC of A$1,285/oz (Dec qtr: 27,710oz, C1 A$520/oz, AISC A$674/oz)

• Lower production due to rainfall restricting mining access and lower grade in upper areas of Stage 3 pit

• Western waste dump clearing and infrastructure construction well advanced – cost benefits through shorter haul distances

• A strong June quarter anticipated

• A move to owner-miner in first quarter FY15 following a detailed financial assessment

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Mt Rawdon open pit: March 2014
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100,000 A$1,139 1,200
75,000 900
A$663
50,000 A$520 600
A$468
35,165oz [28,213oz ] [27,710oz ]
25,000 18,033oz 300
0 0
Jun Qtr Sep Qtr Dec Qtr Mar Qtr
2013 2013 2013 2014
Production gold oz C1 Cash Cost
Cost A$/oz
Production (oz)
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Mt Carlton

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• Gold equivalent production of 26,109oz at a cash cost of A$454/oz and AISC of A$615/oz (Dec qtr: 22,747oz, C1 A$795/oz, AISC A$986/oz)

• Significantly higher production than December quarter due to higher grade and processing predominantly V2 ore (costs reduced for V2 due to by-product credits)

• YTD production of 67,749oz AuEq already within FY14 guidance (65,000 – 75,000oz AuEq)

• –

• YTD cash cost of A$603/oz well below guidance of A$700 $750 per ounce

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Mt Carlton V2 open pit: March 2014
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A$795
80,000 800
A$578
60,000 600
A$454
40,000 400
18,904oz [22,747oz 26,109oz ]
20,000 200
11,692oz
A39 V2 A39 V2
0 0
Jun Qtr Sep Qtr Dec Qtr Mar Qtr
2013 2013 2013 2014
Production gold equiv. oz C1 Cash Cost
Cost A$/oz
Production Au eq (oz)
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Exploration

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Exploration Highlights

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• Exploration expenditure of A$3.0M for the quarter and A$10.8M YTD

• At Cracow, Empire South structure extended south towards Coronation

• 2D seismic enables direct targeting

• Proof of concept drill holes

• Building 4D datasets

• Structure + alteration + geochemistry + geologic time  Palaeo-stress modelling

• 3D seismic

• High-resolution data cube

• New drill targets defined and planned for June quarter

• Major drilling program planned in FY15

 Breakthrough technology in mature fields to bring forward discoveries

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Exploration - Pajingo

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Proof of concept diamond holes 1.2km x 1.6km area of 3D survey

0 2,000m Syn-mineral normal faults Post-mineral inversion Stratigraphic markers in volcanic sequence

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Location of Vera Nancy fault 3km

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Financials

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Financials

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• Revenue from operations was A$154M – comprised of gold doré revenue of A$115M and Mt Carlton concentrate revenue of A$39M

• Gold sales of 92,669oz at an average price A$1,461/oz

• Strong cash inflow from operating activities of A$28M

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A$M Cash Flow
A$200
A$180 A$95.2
A$160
A$154
A$140
A$120
A$100
A$31.2
A$80
A$60
A$3.0
A$4.5
A$40
A$14.5
A$37.0 A$5.9 A$36.7
A$20
A$0
Dec Qtr 2013 Revenue Mine operating Mine Exploration Corporate Financing Dividend Mar Qtr 2014
Cash Balance costs development G&A costs cash flow Cash Balance
and sustaining
capital
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Capital discipline

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• Gold hedge book total stands at 184,774oz at average A$1,595/oz

• Cash in bank at 31 March 2014 of A$36.7M (Dec qtr: A$37.0M)

• Corporate debt is at A$141.8M with available credit A$58.2M at 31 March 2014

• Total capital expenditure was A$31.6M – 52% invested in mine development including A$8.4M on waste stripping capital at Mt Rawdon. Capital expenditure expected to be consistent at around A$30M in the June 2014 quarter

• The full year capital spend is anticipated to be below lower end of the A$160M to A$185M guidance

• Delivering steady, low cost production and strong cash flow

20

Evolution Mining

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• Operational stability and predictability with a portfolio of five operations

• FY14 production and guidance maintained: 400,000 – 450,000 gold equivalent with cash operating costs in the range of A$770 – A$820/oz

• All-in Sustaining Cost range of A$1,080 – A$1,130/oz

• All-in Cost range of A$1,300 – A$1,370/oz

• In excess of 100,000oz AuEq forecast in June 2014 quarter

• Effective production efficiencies, capital discipline and cost reductions in response to a lower gold price environment

• Strong financial position

• Shareholder returns – gold-linked, royalty style dividend policy

• Highly talented exploration team focused on transformational growth using industry leading technology

 We Say, We Do, We Deliver

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Evolution Mining ASX Code: EVN

www.evolutionmining.com.au

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Appendix - Production Summary

March 2014 Quarter	Units	Cracow	Pajingo	Edna May	Mt Rawdon	Mt Carlton		Total / Average
UG lateral development - capital	m	639	656	-	-	-		1,295
UG lateral development - operating	m	759	506	-	-	-		1,265
Total UG lateral development	m	1,398	1,163	-	-	-		2,561
UG ore mined	kt	129	76	-	-	-		205
UG grade mined	g/t	6.63	6.40	-	-	-		6.54
OP capital waste	kt	-	-	124	1,774	493		2,391
OP operating waste	kt	-	-	262	879	469		1,610
OP ore mined	kt	-	-	506	731	118		1,355
OP grade mined	g/t	-	-	0.94	0.70	9.68		1.57
Total ore mined	kt	129	76	506	731	118		1,560
Total tonnes processed	kt	128	76	667	911	160		1,942
Grade processed1	g/t	6.22	6.42	0.90	0.68	6.80		1.85
Recovery	%	95	96	93	90	90		93
Gold produced1	oz	24,321	15,068	17,879	18,033	26,109		101,408
Silver produced	oz	43,559	9,510	7,277	28,223	240,645		329,215
Copper produced	t	-	-	-	-	364		364
Gold sold	oz	26,204	15,458	18,008	17,399	15,600		92,669
Achieved gold price	A$/oz	1,433	1,468	1,563	1,442	1,403		1,461
Silver sold	oz	43,559	9,510	7,277	28,223	608,111		696,681
Achieved silver price	A$/oz	23	23	23	23	23		23
Copper sold	t	-	-	-	-	321		321
Achieved copper price	A$/t	-	-	-	-	7,919		7,919
Cost Summary Mining
	A$/oz	411	466	439	477	172		374
Processing	A$/oz	194	233	602	489	259		341
Administration and selling costs	A$/oz	95	146	119	87	251		146
Stockpile adjustments	A$/oz	(43)	(17)	111	122	(9)		26
By-product credits	A$/oz	(41)	(14)	(9)	(36)	(219)		(76)
C1 Cash Cost Royalties	A$/oz	616	814	1,263	1,139	454		811
	A$/oz	70	71	66	67	97		76
Other2	A$/oz	(1)	(0)	(43)	(47)	(11)		(19)
Depreciation & Amortisation	A$/oz	305	272	204	417	329		308
C3 Total Cost	A$/oz	990	1,157	1,490	1,575	868		1,176

1. Gold equivalent is defined as gold plus payable silver from the A39 deposit at Mt Carlton. A39 silver production is converted to gold equivalent using a gold to silver ratio of 1:62.5 based on the average gold and silver prices during the March 2014 quarter

2. Price related inventory adjustment for stockpiles held at net realisable value