Mandalay Resources (MND) 2024 Precious Metals Summit Beaver Creek summary

Strategic positioning and leadership

• Diversified, multi-asset producer with operations in Australia and Sweden, focusing on gold and critical minerals.

• Recent executive leadership changes brought in a team with proven growth and M&A experience.

• No debt, streams, or royalties; strong institutional knowledge within the team.

• Vision to be a key consolidator among junior gold producers, targeting shareholder returns.

• 25% of market cap held in cash, with supportive shareholders backing the growth strategy.

Financial performance and capital allocation

• Generates $5 million in free cash flow monthly, with $48 million in cash at July-end, increasing further by August.

• Paid off $35 million revolver, now fully undrawn and available for 2–3 years.

• Over $200 million in operating cash flow generated in the last three years; $54 million in H1 2023.

• Exploration spend doubled to $12–15 million annually, focusing on organic growth and non-dilutive M&A.

• Resource replacement costs are low: $42/oz at Costerfield and $15/oz at Björkdal.

Operational highlights and asset details

• Produces nearly 100,000 gold ounces annually with margins over $1,000/oz at current prices.

• Costerfield: ~50,000 oz/year, AISC ~$1,200/oz, >100% margin, significant antimony by-product.

• Antimony now contributes over 25% of Costerfield revenue due to price surge.

• Björkdal: ~45,000–47,000 oz/year, >40% margin, $30M+ free cash flow, focus on high-grade zones.

• Both sites are owner-operated, with minor contracted services.