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Precious Metals and the Pacific Rim
        The Golden Harvest

    Gavin Thomas




                       Gold Symposium
                       November 2011
Disclaimer
Forward Looking Statements:
 These materials include forward looking statements. Forward looking statements inherently involve
 subjective judgment & analysis & are subject to significant uncertainties, risks & contingencies, many of
 which are outside of the control of, & may be unknown to, the company.
 Actual results and developments may vary materially from that expressed in these materials. The types of
 uncertainties which are relevant to the company may include, but are not limited to, commodity prices,
 political uncertainty, changes to the regulatory framework which applies to the business of the company &
 general economic conditions. Given these uncertainties, readers are cautioned not to place undue reliance
 on such forward looking statements.
 Forward looking statements in these materials speak only at the date of issue. Subject to any continuing
 obligations under applicable law or any relevant stock exchange listing rules, the company undertakes any
 obligation to publicly update or revise any of the forward looking statements, changes in events, conditions
 or circumstances on which any such statement is based.
Some statements in this presentation regarding estimates or future events are forward looking statements.
They involve risk and uncertainties that could cause actual results to differ from estimated results. Forward
looking statements include estimates of future production, cash and total costs per ounce of production,
reserve and mineralized material estimates, capital costs, and other estimates or prediction of future
activities. They include statements proceeded by words such as “believe,” “estimate,” “expect,” “intend,”
“will,” and similar expressions. Actual results could differ materially depending on such things as political
events, labour relations, currency fluctuations and other general economic conditions, market prices for
Dominion Mining Limited and/or Kingsgate Consolidated Limited products, timing of permits and other
government approvals and requirements, changes in operating conditions, lower than expected ore grades,
unexpected ground and mining conditions, availability and cost of materials and equipment, and risks
generally inherent in the ownership and operation of mining properties and investment in foreign countries.
Exploration Leads Success

   Why Gold and Silver
   Geology - Epithermal Gold
   Pacific Rim of Fire
   Frontier Exploration in 70-80‟s
   Eastern Pacific in „90–‟00‟s
   Opportunities in Asia
US$
$1800
                       Why Gold ?
        • Flat/decreasing mine supply
$1600   • Growing physical demand
              • China
$1400         • Central bank buying
        • Growing investment demand
$1200
              • Inflation hedge
$1000         • Currency protection
              • Safe haven/asset class
$800

$600

$400

                                                       (Source: Dr M Murenbe
  $0
   1971 1975    1980   1985   1990       1995   2000   2005        2010
Is This a Gold Bubble?
 Relative
 Performance
                                                      Jan 1980
 2000%                                                  $850


 1500%


 1000%


   500%                        1972-1985                         Sept 2011
                                                                  $1,899
          0
                                               1999-Present
                      Time since beginning of Cycle
(Source: Bloomberg)
Is This a Gold Bubble? No!
 Relative
 Performance
                                                      Jan 1980
 2000%                                                  $850


 1500%


 1000%


   500%                        1972-1985                         Sept 2011
                                                                  $1,899
          0
                                               1999-Present
                      Time since beginning of Cycle
(Source: Bloomberg)
Gold: Over Talked & Under Invested

  Global Market     • Bond Market : $91,200 Bn
                    • Equity Market : $41,500 Bn
      Size          • Total Gold Market : $1,100 Bn


   Gold Market      • ETF‟s, coins & bars ~$200 Bn
                    • China imported 200t of gold in Jan 11
Investment Assets            (~50% of world production)


Growing Inflation   • Which currency do you invest in?
                    • If global inflation x2 bonds may fall >10%
    Fears           • Hard assets & gold the only real currency


                    • A lot of talk for 2 years about this but
   Where to?         no real investment – except China & India
Gold Price vs US Interest Rates
$/troy oz                Gold price                                      %
 1600                    US 10 Year tips Yield                           0.5
 1400                                                                    1.0
 1200                                                                    1.5
 1000                                                                    2.0    Gold has a strong
  800                                                                    2.5     correlation to low
  600                                                                    3.0
                                                                                 interest rates
            2007        2008            2009         2010         2011

                                                               Russia
                                                               Vietnam
                                                               Indonesia
                                                               UK
                                                                                Most countries currently
                                                               HongKong
                                                               India
                                                                                 have negative real
                                                               USA
                                                               Italy
                                                                                 interest rates
        Retail Deposit Rates                                   Germany
        minus                                                  China
        Forecast 2011 Inflation Rates                          France
                                               Switzerland
                                                    Japan
                                                    Turkey                      Situation unlikely to
-5%         -4%       -3%        -2%           -1%         0        + 1%
                                                                                 change soon
Return of the Gold Standard?
Chinese Gold Demand
Tonnes
 700
              China
              Developed West
 600
 500
 400
                                                             Total Gold Demand
 300
 200                                                          China outstrips western
 100                                                           world demand for the first
   0
       2001           2005                   2010
                                                               time in 2010
                Source: GFMS, World Gold Council
Tonnes
 250
              China
 200
              India                                          Gold Investment Demand
 150

 100                                                          China catching up fast
  50

   0
       2001          2005                          2011 H1
                        Source: GFMS, World Gold Council
Global Gold Mine Production
   Mine                         Peak Gold?                            Gold
Production
    (t)                                                               Price
 3,000                                                                1,600
                                                                      1,400
 2,500
                                                                      1,200
 2,000
                                                                      1,000
 1,500                                                                800
                                                                      600
 1,000
                                                                      400
   500
                                                                      200
       0                                                              0
             2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
 (Source: USGS)
Gold Grade Decreasing
                                                   Global Mine Production
                                2,000                                                  s        2.4
                                                                                  nageng




                                                                                                      Weighted Av. Head Grade (g/t)
Total Gold Ore Processed (Mt)


                                1,800                                         Tonreasi          2.2
                                                                              i nc
                                1,600
                                                                                                2.0
                                1,400
                                1,200                                                           1.8
                                1,000                                                           1.6
                                  800                                                           1.4
                                  600                                           G
                                                                              dec rades         1.2
                                  400                                            reas
                                                                                     i ng       1.0
                                  200
                                    0                                                           0.8
                                        1995          2000             2005                 2010

                                    Total OP ore milled   Dump tails milled           Average grade
                                    Total UG ore milled   Total ore heap leached

Source: Company data, Credit Suisse estimates
Gold Industry Discovery Profile
Number of                                                         Contained
Discoveries                                                       Gold (MOz
   16                                                                160
   14                                                                140
   12                                                                120
   10                                                                100
    8                                                                80
    6                                                                60
    4                                                                40
    2                                                                20
    0                                                                 0
           1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009


(Source: Newcrest)
US$
                      Why Silver ?
$50                   • Silver is a unique precious metal
                        • High correlation to gold
                        • Produced primarily as a by-product
                      • Silver is a store of value
$40                     • Physical demand has risen significantly over the past few
                          years
                        • ETF demand continues at record levels
                      • Silver is a versatile industrial metal
$30                     • New uses are being developed
                        • Relied upon in advancement of developed and emerging
                          economies

$20



$10


                                                                        (Source: Silver I Whea
$0
 1971   1975   1980    1985       1990        1995        2000       2005          2010
Geology Underlies Opportunity
                            Epithermal Model

w sulphidation gold deposits = geothermal hot spring environment
Pacific “Rim of Fire”
                                                     The Golden Harvest

          Beijing             Sado
                                                                                                                                New York
                                      Tokyo                                                     Hehaughlin
                              Hishikari                                                Los Angeles
                                                                                                       Mulatos

    Monywa
      Loei
        Sepon       Didipio
                    Masbate
    Bangkok         Atlas                                                                                    Bella Vista
Miwah     Mamut      Tampakan
       Bau           Toka Tindung
          Mt Kelian Gosowong                                                                                 Fruta del Norte
 Lebong Muro       Awak       Ok Tedi          Lihir                                                                           Pierina
  Pongkor          Mas Grasberg Porgera          Gold Ridge                                                       Yanacocha
             Batu
             Hijau
                                                                 Mt Kasi
                                       Kidston                   Emperor                                                   Escondida
                                          Mt Leyshon                                                                 Chuquicamata
                                           Cracow                                                                               El Peñon

                                             Cadia                                                                   Santiago
                                     Peak                                                                                  El Teniente
                                      Hill    Sydney           Waihi                                                                   Buenos
                    Adelaide                                                                                               Esquel       Aires
                                                              Macraes
                                                                                                                                 Cerro Negro

                                                                        Epithermal/Porphyry Deposits
Lihir Island
  • Resources ~56Moz
  • Reserves ~31Moz
                                 Lihir
                                Island




     Papua New Guinea



Australia
Precious Metals in the Pacific Rim
   2011 – Two Mines and Two Advanced Projects




    Chatree




                                Nueva Esperanza
Challenger    Bowdens
Chatree Gold Mine in Thailand
       Asian showcase gold mine




  Chatree
Chatree - World Class Deposit
                                          Phitsanulok
                                           Province


     Chatree ~6Moz
    to date & growing           Phichit
   (including mined to date)   Province         CHATREE
                                                 NORTH

                                                        Phetchabun
                                                         Province

                               Ban
Large low grade and low        Kho
                               Din
                                                          Ban
                                                          Dong
                                                          Long
   cost gold deposit                         CHATREE




 Significant near mine
        potential

                                 1 Km
Nueva Esperanza
Advanced silver/gold project in Chile




                           Nueva Esperanza
Project Well Located
                                          Choquelimpie

 Significant experience in the gold
  and copper belts
                                           El Tesoro
 High sulphidation silver/gold
                                          San Cristobal
  epithermal
 Currently 94% of Laguna in Nov
  2011
 Project located in the world-class
  Maricunga Gold-Silver Belt
 Maricunga Belt
     Host to over 70Moz gold resources
     Produced over 10Moz gold
Nueva Esperanza

                        Combined Mineral Resources:
Updated Resources       28.5Mt @ 0.25g/t Au and 78g/t Ag
                        1.8Moz Au (AuEq) or 81.6Moz Ag (AgEq)


                        Coffey undertaking feasibility study
 Feasibility Study      • Stage 1 completed in July 2011
                        • Final draft expected early in 2012



                        Esperanza: A number of targets
Exploration Potential   Southern Maricunga: Field work to
                         resume at Maricella and Catchitos
Kingsgate Growth Project
  Bowdens Silver project In NSW




      Bowdens
Bowdens Overview

• Epithermal silver deposit with
  lead and zinc by-products
• Located 25km E of Mudgee,
  some 240km NW of Sydney
• Established infrastructure
  and mining workforce
• Large, continuous, near
  surface deposit hosted in a
  volcanic sequence of breccia
  and tuff (Rylstone Volcanics)
Bowdens Upside Potential
                                                                  1 kilometre
• Significant resource potential        10,750mN
  along strike and at depth
• Pit shell reflects the current base
  of drilling                           10,500mN
• High grade starter pit

                                        10,250mN



                                        10,000mN


                                            14,750mE



                                                       15,000mE



                                                                        15,250mE



                                                                                   15,500mE
                                        9,750mN
Bowdens

                      Acquisition completed in September
Updated Resources     Resource estimate 99Moz Ag (JORC)
                      131Moz AgEq (incl Pb & Zn)


                      Ausenco to undertake feasibility
 Feasibility Study    RW Corkery to co-ordinate EIS
                      Community consultation plan underway



 Resource Growth      Mineralisation open at depth and along
                       strike.
    Potential         Drilling program to start in next few months.
Challenger Gold Mine
         Acquired by Kingsgate in Feb 2011




Challenger
Challenger Gold Mine
                     Turn Around Story

 Underground gold mine in
  remote South Australia .
 Production rate ~100koz pa
  to grow to ~120Kozpa over
  next 12 - 18mths
 Third quartile costs expected
  to improve in 2012
 Strong reserve growth
  achieved. Current reserves
  ~610Koz , up over 100% on
  2010 incl. mine depletion
 Resources ~1.09Moz to grow
  significantly over next 2 to 5
Challenger Upside Potential
E                                                                                  W
                      Ventilation
                        Shaft                           Challenger
                                                       Challenger
    Oblique Section                                     West                     RL(m)
                                           Other
                                         Structures                               1000
                                                      820 Level
                                                      Area of current drilling
                                    M1
                                                                                  800
                               M2              800 Level
        Upside            M3
                                               Exploration Drive

                                                                                  600



                                                                                  400
280 Level
Exploration Drive
                                                                                  200

         Open                        Open
         Down                        Down
                                     Dip                                            0
         Dip

      Open                                                                        -200
      Down                 Upside
      Dip
Kingsgate Active in Pacific Rim
              Strong Production Growth




    Chatree




                                  Nueva Esperanza
Challenger     Bowdens
Precious Metals and the Pacific Rim

   Gold and Silver Focus
   Geology - Epithermal Gold
   Pacific Rim of Fire Prospectivity
   Big Deposits - porphyries
   Major Silver Credits
   The Gold and Silver Harvest
Kingsgate Consolidated Limited




Shares: 139 Million Market Cap: ~A$1.0Bn
                  ASX: KCN

            www.kingsgate.com.au
Appendix
General Disclaimer:
The information contained in this presentation is for informational purposes only and does not constitute an
offer to issue, or arrange to issue securities or other financial products. The information contained in this
presentation is not investment or financial product advice and has been prepared without taking into
account the investment objectives, financial situation or particular needs of any person. To the maximum
extent permitted by law, none of Dominion Mining Limited, Kingsgate Consolidated Limited, their
respective directors, employees or agents, nor any other person accepts any liability including without
limitation any liability arising out of fault or negligence for any loss caused from the use of the information
contained in this presentation. No representation or warranty, express or implied, is given as to the
accuracy, completeness or correctness, likelihood of achievement or reasonableness of any forecasts or
other forward looking statements.
Competent Persons Statements:
Information in this presentation that relates to Kingsgate‟s Exploration Results, Mineral Resource and Ore
Reserve estimates, geology, drilling and mineralisation, is based on information compiled by Ron James,
who is an employee of the Kingsgate Group and is a member of The Australasian Institute of Mining and
Metallurgy. Ron James is a Competent Person under the meaning of the JORC Code with respect to
Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation
being presented. He has given his consent to the Public Reporting of these statements concerning
Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation,
and is in agreement with the contents and format of this presentation.
The information in this presentation that relates to Challenger‟s Exploration Results, Mineral Resources or
Ore Reserves is based on information compiled by Peter Bamford, Tony Poustie and Paul Androvic who
are full-time employees of the Company, members of the Australasian Institute of Mining and Metallurgy.
Peter Bamford, Tony Poustie and Paul Androvic have sufficient experience, which is relevant to the style of
mineralisation and type of deposit under consideration and to the activity, which they are undertaking to
qualify as Competent Persons as defined in the 2004 Edition of the „Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves‟. Peter Bamford, Tony Poustie and Paul
Androvic, consent to the inclusion in the report of the matters based on their information in the form and
context in which it appears.
                                   www.kingsgate.com.au
Corporate Structure
                                       KINGSGATE

         100%                                                 100%              70%
                                                             Dominion
                                                                               Laguna
        KCN Capital                                            Gold
                                                                              Resources
                                                             Operations

 49%                 49%       49%**
Phar Mai                                                      Challeng
             51%*    Issara       Akara    51%*     Thai                        Arquero
Explorat                                                         er
                    Mining       Mining           Sharehol                         s
  ion                                                          Gold
                    Limited      Limited            ders                        Project
Limited                                                        Mine
                    100%        100%
                      Gold
                                Chatree
 51%*               Explorat
                                 Gold                              * Held via Preference shares
                      ion
   Thai                          Mine                           ** Kingsgate owns 100% of the
                    Thailand                                        Ordinary Shares and receive
Shareholde                                                         100% of the Cashflow and
    rs                                                             Ordinary Dividends
Thai Progressive Royalty Rate

       20%


       15%


       10%
                                                       US$1600/oz

        5%


        0%
   Baht/gm   0               400   600   1000   1500          2000
  US$/o                                         145           195
        0                    385   580   970
      z                                          0             0
US$1.00=Baht 30, Jan 2011.
Thai Political Change
                         Landmark victory by Puea Thai
                          Party with 265 seats out of 500
                          seats
              Chatree    Formed coalition to strengthen
          Thailand
                          majority
Bangkok                  Led by Yingluck Shinawatra
                          sister of former prime minister
                          Thaksin Shinawatra
                         Decisive victory should lead to
                          a more politically stable
                          Thailand
                         Thai politics confined to
                          Bangkok
Working in Thailand
 Asian Competitive Advantage          Cost Comparisons –
                                        Thailand vs Australia
   Established Infrastructure
      Grid Power
                                      Open Pit Mining (US$):
      Sealed roads
                                       Waste: $1.70/t vs $2.50/t Ore:
   Lower cost support                 $3.40/t vs $4.00/t
      Skilled manufacturing
      “Buy Thai” sourced supplies    Power: 8c/Kwh vs 20c/Kwh
      Labour – Skilled & available
                                      Assays: $3/sample vs $20/smp
 Robust Deposit
   Simple mining & metallurgy

 Safe Mine = Efficient Mine
   Safest gold mine globally
Corporate Social Responsibility
World Safest Gold Mine
      Over 8 years – No incidents
 Zero Environmental Incidents
 ISO Standards on all activities
 Only mining company granted Social   Thailand National
                                                              Zero Accident
                                                                 Award
                                         Occupational           2010.jpg
  Accountability SA8000                 Safety & Health
                                         Award 2010

 Training focus – 99% Thai
      31% women in management
 High quality, stable workforce
 Created local support industry
                                                           Prime Minister's
                                                             Award 2010
Chatree
                    Chatree Ore Reserves as at 30 June 2010 (>0.4g/t gold cut-off grade)
                                                                                          Gold                   Silver                  Gold                     Silver
                                                                  Tonnes
          Source                       Category                                           Grade                  Grade                Contained                 Contained
                                                                (millions)                 (g/t)                  (g/t)                 (Moz)                     (Moz)
From Pits                             Proved                       37.4                   1.00                    9.5                     1.20                     11.42
                                     Probable                      18.7                   0.98                    8.4                     0.59                      5.02
Stockpiles                                                         5.60                   0.79                   12.1                     0.14                      2.19
Chatree Total                             Total                    61.7                   0.97                    9.4                     1.93                     18.63
              Chatree Mineral Resources as at 30 June 2010 (>0.3g/t gold cut-off grade)
                                                                                          Gold                   Silver                  Gold                     Silver
                                                                  Tonnes
          Source                       Category                                           Grade                  Grade                Contained                 Contained
                                                                (millions)                 (g/t)                  (g/t)                 (Moz)                     (Moz)
From Pits                           Measured                       79.8                   0.81                    7.4                     2.07                     18.85
                                    Indicated                      56.7                   0.76                    6.1                     1.39                     11.07
                                      Inferred                     31.4                   0.71                    4.8                     0.72                      4.86
Stockpiles                                                         5.60                   0.79                   12.1                     0.14                      2.19
Chatree Total                             Total                  173.5                    0.77                    6.6                    4.32                     36.97
Competent Persons Statement. Information in this presentation relates to Exploration Results, Mineral Resource and Ore Reserve estimates based on information compiled by the
following Competent Persons: Ron James, Fiona Davidson, Guy Davies and Suphanit Suphananthi who are employees of the Kingsgate Group and members of The Australasian Institute
of Mining and Metallurgy and Rob Spiers who is an employee of Hellman & Schofield Pty Ltd and member of The Australian Institute of Geoscientists. These people qualify as Competent
Persons as defined in the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code, 2004 edition) and possess relevant experience in
relation to the mineralisation being reported herein as Exploration Results, Mineral Resources and Ore Reserves. Each Competent Person has consented to the Public Reporting of these
statements and the inclusion of the material in the form and context in which it appears.
Challenger
                                       Challenger Ore Reserves as at 30 June 2010
                                                                                                                                     Gold                               Gold
                                                                                                  Tonnes
                 Source                                     Category                                                                 Grade                           Contained
                                                                                                    („000)                            (g/t)                          („000 oz)
From Mine                                                  Proved                                  318                                 5.8                                 59
                                                          Probable                                1,834                                6.0                                352
Stockpiles                                                                                         157                                 2.1                                 9
Challenger Total                                               Total                              2.310                                5.7                                420
                                Challenger Mineral Resources as at 30 June 2010
                                                                                                                                     Gold                              Silver
                                                                                                  Tonnes
                 Source                                     Category                                                                 Grade                           Contained
                                                                                                    („000)                            (g/t)                          („000 oz)
From Mine                                                Measured                                  310                                 6.3                                 63
                                                         Indicated                                2,232                                6.4                                460
                                                           Inferred                               1,672                                7.8                                418
Stockpiles                                                                                         157                                 1.8                                 8
Challenger Total                                               Total                              4,371                               6.8                                950
Competent Persons Statement. The information in this presentation that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Peter
Bamford, Tony Poustie and Paul Androvic who are full-time employees of the Company, members of The Australasian Institute of Mining and Metallurgy. Peter Bamford, Tony Poustie and
Paul Androvic have sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which they are undertaking, to qualify as
Competent Persons as defined in the 2004 Edition of the „Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves‟. Peter Bamford, Tony Poustie and
Paul Androvic consent to the inclusion in the report of the matters based on their information in the form and context in which it appears.
Nueva Esperanza
  Mineral          Indicated              Inferred                                                                                         Total
 Resources
             Tonnes Gold     Silver Tonnes Gold    Silver Tonnes                                                             Gold         Silver         Gold          Silver
>0.5g/t AuEq
                            M             g/t           g/t            M            g/t            g/t           M             g/t           g/t          MOz           MOz
 Arqueros                 16.3          0.32            81           4.0            0.3           50           20.0          0.32            75           0.20          48.1
 Chimberos                                                           3.7            0.2           85           3.7           0.20            85           0.02          10.1
 Teterita                                                            4.8            0.0           85           4.8           0.01            85           0.00          13.1
 Total                    16.0          0.32            81           12.5           0.2           74           28.5          0.25            78           0.23          71.3

      Mineral                         Tonnes                  AuEq             Tonnes                AuEq                Tonnes                AuEq                 AuEq
     Resources                            M                    g/t                  M                    g/t                 M                     g/t               MOz
         Gold                                   Indicated                                 Inferred                                             Total
       Equivalent
 Arqueros                              16.0                   2.12                4.0                    1.4              20.0                 1.98                 1.27
 Chimberos                                                                        3.7                    2.1               3.7                 2.09                 0.25
 Teterita                                                                         4.8                    1.9               4.8                 1.90                 0.29
 Total                                 16.0                   2.12               12.5                    1.8              28.5                 1.98                 1.81
         Silver                                 Indicated                                 Inferred                                             Total
       Equivalent
 Arqueros                              16.0                   95                 4.0                     64               20.0                     89               57.2
 Chimberos                                                                       3.7                     94                3.7                     94               11.2
 Teterita                                                                        4.8                     85                4.8                     85               13.2
 Total                                 16.0                   95                 12.5                    81               28.5                     89               81.6

Notes: Au = gold; Ag = silver; M = million; g/t = grams per tonne; MOz = million ounces.
1.In situ density 2.0 t/bcm, based on 350 measurements at Arqueros. This is lower than previously used 2.2 t/bcm. 2. Gold equivalent on basis of gold/silver revenue
ratio of 45; calculated as Au + Ag/EQ (gold plus [silver divided by 45]). 3. Silver equivalent on the basis of gold/silver revenue ratio of 45; calculated as Au x EQ + Ag
([gold times 45] plus silver]). 4. EQ = (Price Gold x Recovery Gold) / (Price Silver x Recovery Silver). 5. Price basis US$1250/oz Au and US$30/oz Ag. 6. Metallurgical
recovery basis 85% Au and 78% silver. 7. Rounding of numbers may generate rounding errors.
Bowdens

                                                                Grade                            Contained Silver
    Resource          Cut-off
                                  Tonnes        Silver     Lead        Zinc      AgEq          Silver           AgEq
     Class          AgEq (g/t)
                                    (t)          g/t        %           %         g/t          (Moz)            (Moz)
  Indicated             30         31.2         60.6       0.30       0.40       77.5          60.8              78
    Inferred            30         27.0         44.0       0.30       0.40       61.0          38.7              53
   Indicated            30         58.2         52.9       0.30       0.40       69.8          99.4             131
  & Inferred




Competent Person Statement
The information in this report that relates to mineral resource estimation is based on work completed by Mr Jonathon Abbott
who is a full-time employee of Hellman & Schofield Pty Ltd and a member of the Australasian Institute of Mining and Metallurgy.
Mr Abbott has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and
to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the „Australasian Code
for Reporting of Exploration Results, Mineral Resources and Ore Reserves‟. Mr Abbott consents to the inclusion in the report of
the matters based on his information in the form and context in which it appears.

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1700 gavin thomas

  • 1. Precious Metals and the Pacific Rim The Golden Harvest Gavin Thomas Gold Symposium November 2011
  • 2. Disclaimer Forward Looking Statements: These materials include forward looking statements. Forward looking statements inherently involve subjective judgment & analysis & are subject to significant uncertainties, risks & contingencies, many of which are outside of the control of, & may be unknown to, the company. Actual results and developments may vary materially from that expressed in these materials. The types of uncertainties which are relevant to the company may include, but are not limited to, commodity prices, political uncertainty, changes to the regulatory framework which applies to the business of the company & general economic conditions. Given these uncertainties, readers are cautioned not to place undue reliance on such forward looking statements. Forward looking statements in these materials speak only at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, the company undertakes any obligation to publicly update or revise any of the forward looking statements, changes in events, conditions or circumstances on which any such statement is based. Some statements in this presentation regarding estimates or future events are forward looking statements. They involve risk and uncertainties that could cause actual results to differ from estimated results. Forward looking statements include estimates of future production, cash and total costs per ounce of production, reserve and mineralized material estimates, capital costs, and other estimates or prediction of future activities. They include statements proceeded by words such as “believe,” “estimate,” “expect,” “intend,” “will,” and similar expressions. Actual results could differ materially depending on such things as political events, labour relations, currency fluctuations and other general economic conditions, market prices for Dominion Mining Limited and/or Kingsgate Consolidated Limited products, timing of permits and other government approvals and requirements, changes in operating conditions, lower than expected ore grades, unexpected ground and mining conditions, availability and cost of materials and equipment, and risks generally inherent in the ownership and operation of mining properties and investment in foreign countries.
  • 3. Exploration Leads Success  Why Gold and Silver  Geology - Epithermal Gold  Pacific Rim of Fire  Frontier Exploration in 70-80‟s  Eastern Pacific in „90–‟00‟s  Opportunities in Asia
  • 4. US$ $1800 Why Gold ? • Flat/decreasing mine supply $1600 • Growing physical demand • China $1400 • Central bank buying • Growing investment demand $1200 • Inflation hedge $1000 • Currency protection • Safe haven/asset class $800 $600 $400 (Source: Dr M Murenbe $0 1971 1975 1980 1985 1990 1995 2000 2005 2010
  • 5. Is This a Gold Bubble? Relative Performance Jan 1980 2000% $850 1500% 1000% 500% 1972-1985 Sept 2011 $1,899 0 1999-Present Time since beginning of Cycle (Source: Bloomberg)
  • 6. Is This a Gold Bubble? No! Relative Performance Jan 1980 2000% $850 1500% 1000% 500% 1972-1985 Sept 2011 $1,899 0 1999-Present Time since beginning of Cycle (Source: Bloomberg)
  • 7. Gold: Over Talked & Under Invested Global Market • Bond Market : $91,200 Bn • Equity Market : $41,500 Bn Size • Total Gold Market : $1,100 Bn Gold Market • ETF‟s, coins & bars ~$200 Bn • China imported 200t of gold in Jan 11 Investment Assets (~50% of world production) Growing Inflation • Which currency do you invest in? • If global inflation x2 bonds may fall >10% Fears • Hard assets & gold the only real currency • A lot of talk for 2 years about this but Where to? no real investment – except China & India
  • 8. Gold Price vs US Interest Rates $/troy oz Gold price % 1600 US 10 Year tips Yield 0.5 1400 1.0 1200 1.5 1000 2.0  Gold has a strong 800 2.5 correlation to low 600 3.0 interest rates 2007 2008 2009 2010 2011 Russia Vietnam Indonesia UK  Most countries currently HongKong India have negative real USA Italy interest rates Retail Deposit Rates Germany minus China Forecast 2011 Inflation Rates France Switzerland Japan Turkey  Situation unlikely to -5% -4% -3% -2% -1% 0 + 1% change soon
  • 9. Return of the Gold Standard?
  • 10. Chinese Gold Demand Tonnes 700 China Developed West 600 500 400 Total Gold Demand 300 200  China outstrips western 100 world demand for the first 0 2001 2005 2010 time in 2010 Source: GFMS, World Gold Council Tonnes 250 China 200 India Gold Investment Demand 150 100  China catching up fast 50 0 2001 2005 2011 H1 Source: GFMS, World Gold Council
  • 11. Global Gold Mine Production Mine Peak Gold? Gold Production (t) Price 3,000 1,600 1,400 2,500 1,200 2,000 1,000 1,500 800 600 1,000 400 500 200 0 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 (Source: USGS)
  • 12. Gold Grade Decreasing Global Mine Production 2,000 s 2.4 nageng Weighted Av. Head Grade (g/t) Total Gold Ore Processed (Mt) 1,800 Tonreasi 2.2 i nc 1,600 2.0 1,400 1,200 1.8 1,000 1.6 800 1.4 600 G dec rades 1.2 400 reas i ng 1.0 200 0 0.8 1995 2000 2005 2010 Total OP ore milled Dump tails milled Average grade Total UG ore milled Total ore heap leached Source: Company data, Credit Suisse estimates
  • 13. Gold Industry Discovery Profile Number of Contained Discoveries Gold (MOz 16 160 14 140 12 120 10 100 8 80 6 60 4 40 2 20 0 0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 (Source: Newcrest)
  • 14. US$ Why Silver ? $50 • Silver is a unique precious metal • High correlation to gold • Produced primarily as a by-product • Silver is a store of value $40 • Physical demand has risen significantly over the past few years • ETF demand continues at record levels • Silver is a versatile industrial metal $30 • New uses are being developed • Relied upon in advancement of developed and emerging economies $20 $10 (Source: Silver I Whea $0 1971 1975 1980 1985 1990 1995 2000 2005 2010
  • 15. Geology Underlies Opportunity Epithermal Model w sulphidation gold deposits = geothermal hot spring environment
  • 16. Pacific “Rim of Fire” The Golden Harvest Beijing Sado New York Tokyo Hehaughlin Hishikari Los Angeles Mulatos Monywa Loei Sepon Didipio Masbate Bangkok Atlas Bella Vista Miwah Mamut Tampakan Bau Toka Tindung Mt Kelian Gosowong Fruta del Norte Lebong Muro Awak Ok Tedi Lihir Pierina Pongkor Mas Grasberg Porgera Gold Ridge Yanacocha Batu Hijau Mt Kasi Kidston Emperor Escondida Mt Leyshon Chuquicamata Cracow El Peñon Cadia Santiago Peak El Teniente Hill Sydney Waihi Buenos Adelaide Esquel Aires Macraes Cerro Negro Epithermal/Porphyry Deposits
  • 17. Lihir Island • Resources ~56Moz • Reserves ~31Moz Lihir Island Papua New Guinea Australia
  • 18. Precious Metals in the Pacific Rim 2011 – Two Mines and Two Advanced Projects Chatree Nueva Esperanza Challenger Bowdens
  • 19. Chatree Gold Mine in Thailand Asian showcase gold mine Chatree
  • 20. Chatree - World Class Deposit Phitsanulok Province Chatree ~6Moz to date & growing Phichit (including mined to date) Province CHATREE NORTH Phetchabun Province Ban Large low grade and low Kho Din Ban Dong Long cost gold deposit CHATREE Significant near mine potential 1 Km
  • 21. Nueva Esperanza Advanced silver/gold project in Chile Nueva Esperanza
  • 22. Project Well Located Choquelimpie  Significant experience in the gold and copper belts El Tesoro  High sulphidation silver/gold San Cristobal epithermal  Currently 94% of Laguna in Nov 2011  Project located in the world-class Maricunga Gold-Silver Belt  Maricunga Belt  Host to over 70Moz gold resources  Produced over 10Moz gold
  • 23. Nueva Esperanza Combined Mineral Resources: Updated Resources 28.5Mt @ 0.25g/t Au and 78g/t Ag 1.8Moz Au (AuEq) or 81.6Moz Ag (AgEq) Coffey undertaking feasibility study Feasibility Study • Stage 1 completed in July 2011 • Final draft expected early in 2012 Esperanza: A number of targets Exploration Potential Southern Maricunga: Field work to resume at Maricella and Catchitos
  • 24. Kingsgate Growth Project Bowdens Silver project In NSW Bowdens
  • 25. Bowdens Overview • Epithermal silver deposit with lead and zinc by-products • Located 25km E of Mudgee, some 240km NW of Sydney • Established infrastructure and mining workforce • Large, continuous, near surface deposit hosted in a volcanic sequence of breccia and tuff (Rylstone Volcanics)
  • 26. Bowdens Upside Potential 1 kilometre • Significant resource potential 10,750mN along strike and at depth • Pit shell reflects the current base of drilling 10,500mN • High grade starter pit 10,250mN 10,000mN 14,750mE 15,000mE 15,250mE 15,500mE 9,750mN
  • 27. Bowdens Acquisition completed in September Updated Resources Resource estimate 99Moz Ag (JORC) 131Moz AgEq (incl Pb & Zn) Ausenco to undertake feasibility Feasibility Study RW Corkery to co-ordinate EIS Community consultation plan underway Resource Growth Mineralisation open at depth and along strike. Potential Drilling program to start in next few months.
  • 28. Challenger Gold Mine Acquired by Kingsgate in Feb 2011 Challenger
  • 29. Challenger Gold Mine Turn Around Story  Underground gold mine in remote South Australia .  Production rate ~100koz pa to grow to ~120Kozpa over next 12 - 18mths  Third quartile costs expected to improve in 2012  Strong reserve growth achieved. Current reserves ~610Koz , up over 100% on 2010 incl. mine depletion  Resources ~1.09Moz to grow significantly over next 2 to 5
  • 30. Challenger Upside Potential E W Ventilation Shaft Challenger Challenger Oblique Section West RL(m) Other Structures 1000 820 Level Area of current drilling M1 800 M2 800 Level Upside M3 Exploration Drive 600 400 280 Level Exploration Drive 200 Open Open Down Down Dip 0 Dip Open -200 Down Upside Dip
  • 31. Kingsgate Active in Pacific Rim Strong Production Growth Chatree Nueva Esperanza Challenger Bowdens
  • 32. Precious Metals and the Pacific Rim  Gold and Silver Focus  Geology - Epithermal Gold  Pacific Rim of Fire Prospectivity  Big Deposits - porphyries  Major Silver Credits  The Gold and Silver Harvest
  • 33. Kingsgate Consolidated Limited Shares: 139 Million Market Cap: ~A$1.0Bn ASX: KCN www.kingsgate.com.au
  • 34. Appendix General Disclaimer: The information contained in this presentation is for informational purposes only and does not constitute an offer to issue, or arrange to issue securities or other financial products. The information contained in this presentation is not investment or financial product advice and has been prepared without taking into account the investment objectives, financial situation or particular needs of any person. To the maximum extent permitted by law, none of Dominion Mining Limited, Kingsgate Consolidated Limited, their respective directors, employees or agents, nor any other person accepts any liability including without limitation any liability arising out of fault or negligence for any loss caused from the use of the information contained in this presentation. No representation or warranty, express or implied, is given as to the accuracy, completeness or correctness, likelihood of achievement or reasonableness of any forecasts or other forward looking statements. Competent Persons Statements: Information in this presentation that relates to Kingsgate‟s Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation, is based on information compiled by Ron James, who is an employee of the Kingsgate Group and is a member of The Australasian Institute of Mining and Metallurgy. Ron James is a Competent Person under the meaning of the JORC Code with respect to Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation being presented. He has given his consent to the Public Reporting of these statements concerning Exploration Results, Mineral Resource and Ore Reserve estimates, geology, drilling and mineralisation, and is in agreement with the contents and format of this presentation. The information in this presentation that relates to Challenger‟s Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Peter Bamford, Tony Poustie and Paul Androvic who are full-time employees of the Company, members of the Australasian Institute of Mining and Metallurgy. Peter Bamford, Tony Poustie and Paul Androvic have sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration and to the activity, which they are undertaking to qualify as Competent Persons as defined in the 2004 Edition of the „Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves‟. Peter Bamford, Tony Poustie and Paul Androvic, consent to the inclusion in the report of the matters based on their information in the form and context in which it appears. www.kingsgate.com.au
  • 35. Corporate Structure KINGSGATE 100% 100% 70% Dominion Laguna KCN Capital Gold Resources Operations 49% 49% 49%** Phar Mai Challeng 51%* Issara Akara 51%* Thai Arquero Explorat er Mining Mining Sharehol s ion Gold Limited Limited ders Project Limited Mine 100% 100% Gold Chatree 51%* Explorat Gold * Held via Preference shares ion Thai Mine ** Kingsgate owns 100% of the Thailand Ordinary Shares and receive Shareholde 100% of the Cashflow and rs Ordinary Dividends
  • 36. Thai Progressive Royalty Rate 20% 15% 10% US$1600/oz 5% 0% Baht/gm 0 400 600 1000 1500 2000 US$/o 145 195 0 385 580 970 z 0 0 US$1.00=Baht 30, Jan 2011.
  • 37. Thai Political Change  Landmark victory by Puea Thai Party with 265 seats out of 500 seats Chatree  Formed coalition to strengthen Thailand majority Bangkok  Led by Yingluck Shinawatra sister of former prime minister Thaksin Shinawatra  Decisive victory should lead to a more politically stable Thailand  Thai politics confined to Bangkok
  • 38. Working in Thailand  Asian Competitive Advantage  Cost Comparisons – Thailand vs Australia  Established Infrastructure  Grid Power Open Pit Mining (US$):  Sealed roads Waste: $1.70/t vs $2.50/t Ore:  Lower cost support $3.40/t vs $4.00/t  Skilled manufacturing  “Buy Thai” sourced supplies Power: 8c/Kwh vs 20c/Kwh  Labour – Skilled & available Assays: $3/sample vs $20/smp  Robust Deposit  Simple mining & metallurgy  Safe Mine = Efficient Mine  Safest gold mine globally
  • 39. Corporate Social Responsibility World Safest Gold Mine  Over 8 years – No incidents  Zero Environmental Incidents  ISO Standards on all activities  Only mining company granted Social Thailand National Zero Accident Award Occupational 2010.jpg Accountability SA8000 Safety & Health Award 2010  Training focus – 99% Thai  31% women in management  High quality, stable workforce  Created local support industry Prime Minister's Award 2010
  • 40. Chatree Chatree Ore Reserves as at 30 June 2010 (>0.4g/t gold cut-off grade) Gold Silver Gold Silver Tonnes Source Category Grade Grade Contained Contained (millions) (g/t) (g/t) (Moz) (Moz) From Pits Proved 37.4 1.00 9.5 1.20 11.42 Probable 18.7 0.98 8.4 0.59 5.02 Stockpiles 5.60 0.79 12.1 0.14 2.19 Chatree Total Total 61.7 0.97 9.4 1.93 18.63 Chatree Mineral Resources as at 30 June 2010 (>0.3g/t gold cut-off grade) Gold Silver Gold Silver Tonnes Source Category Grade Grade Contained Contained (millions) (g/t) (g/t) (Moz) (Moz) From Pits Measured 79.8 0.81 7.4 2.07 18.85 Indicated 56.7 0.76 6.1 1.39 11.07 Inferred 31.4 0.71 4.8 0.72 4.86 Stockpiles 5.60 0.79 12.1 0.14 2.19 Chatree Total Total 173.5 0.77 6.6 4.32 36.97 Competent Persons Statement. Information in this presentation relates to Exploration Results, Mineral Resource and Ore Reserve estimates based on information compiled by the following Competent Persons: Ron James, Fiona Davidson, Guy Davies and Suphanit Suphananthi who are employees of the Kingsgate Group and members of The Australasian Institute of Mining and Metallurgy and Rob Spiers who is an employee of Hellman & Schofield Pty Ltd and member of The Australian Institute of Geoscientists. These people qualify as Competent Persons as defined in the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code, 2004 edition) and possess relevant experience in relation to the mineralisation being reported herein as Exploration Results, Mineral Resources and Ore Reserves. Each Competent Person has consented to the Public Reporting of these statements and the inclusion of the material in the form and context in which it appears.
  • 41. Challenger Challenger Ore Reserves as at 30 June 2010 Gold Gold Tonnes Source Category Grade Contained („000) (g/t) („000 oz) From Mine Proved 318 5.8 59 Probable 1,834 6.0 352 Stockpiles 157 2.1 9 Challenger Total Total 2.310 5.7 420 Challenger Mineral Resources as at 30 June 2010 Gold Silver Tonnes Source Category Grade Contained („000) (g/t) („000 oz) From Mine Measured 310 6.3 63 Indicated 2,232 6.4 460 Inferred 1,672 7.8 418 Stockpiles 157 1.8 8 Challenger Total Total 4,371 6.8 950 Competent Persons Statement. The information in this presentation that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Peter Bamford, Tony Poustie and Paul Androvic who are full-time employees of the Company, members of The Australasian Institute of Mining and Metallurgy. Peter Bamford, Tony Poustie and Paul Androvic have sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which they are undertaking, to qualify as Competent Persons as defined in the 2004 Edition of the „Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves‟. Peter Bamford, Tony Poustie and Paul Androvic consent to the inclusion in the report of the matters based on their information in the form and context in which it appears.
  • 42. Nueva Esperanza Mineral Indicated Inferred Total Resources Tonnes Gold Silver Tonnes Gold Silver Tonnes Gold Silver Gold Silver >0.5g/t AuEq M g/t g/t M g/t g/t M g/t g/t MOz MOz Arqueros 16.3 0.32 81 4.0 0.3 50 20.0 0.32 75 0.20 48.1 Chimberos 3.7 0.2 85 3.7 0.20 85 0.02 10.1 Teterita 4.8 0.0 85 4.8 0.01 85 0.00 13.1 Total 16.0 0.32 81 12.5 0.2 74 28.5 0.25 78 0.23 71.3 Mineral Tonnes AuEq Tonnes AuEq Tonnes AuEq AuEq Resources M g/t M g/t M g/t MOz Gold Indicated Inferred Total Equivalent Arqueros 16.0 2.12 4.0 1.4 20.0 1.98 1.27 Chimberos 3.7 2.1 3.7 2.09 0.25 Teterita 4.8 1.9 4.8 1.90 0.29 Total 16.0 2.12 12.5 1.8 28.5 1.98 1.81 Silver Indicated Inferred Total Equivalent Arqueros 16.0 95 4.0 64 20.0 89 57.2 Chimberos 3.7 94 3.7 94 11.2 Teterita 4.8 85 4.8 85 13.2 Total 16.0 95 12.5 81 28.5 89 81.6 Notes: Au = gold; Ag = silver; M = million; g/t = grams per tonne; MOz = million ounces. 1.In situ density 2.0 t/bcm, based on 350 measurements at Arqueros. This is lower than previously used 2.2 t/bcm. 2. Gold equivalent on basis of gold/silver revenue ratio of 45; calculated as Au + Ag/EQ (gold plus [silver divided by 45]). 3. Silver equivalent on the basis of gold/silver revenue ratio of 45; calculated as Au x EQ + Ag ([gold times 45] plus silver]). 4. EQ = (Price Gold x Recovery Gold) / (Price Silver x Recovery Silver). 5. Price basis US$1250/oz Au and US$30/oz Ag. 6. Metallurgical recovery basis 85% Au and 78% silver. 7. Rounding of numbers may generate rounding errors.
  • 43. Bowdens Grade Contained Silver Resource Cut-off Tonnes Silver Lead Zinc AgEq Silver AgEq Class AgEq (g/t) (t) g/t % % g/t (Moz) (Moz) Indicated 30 31.2 60.6 0.30 0.40 77.5 60.8 78 Inferred 30 27.0 44.0 0.30 0.40 61.0 38.7 53 Indicated 30 58.2 52.9 0.30 0.40 69.8 99.4 131 & Inferred Competent Person Statement The information in this report that relates to mineral resource estimation is based on work completed by Mr Jonathon Abbott who is a full-time employee of Hellman & Schofield Pty Ltd and a member of the Australasian Institute of Mining and Metallurgy. Mr Abbott has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the „Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves‟. Mr Abbott consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.