IGO Interactive Annual Report 2018

TROPICANA OPERATION OVERVIEW The Tropicana Operation is located on the western edge of the Great Victoria Desert of which the traditional owners and custodians emanate from the Wongatha and Spinifex peoples. It is a Joint Venture of which IGO owns 30% and AngloGold Ashanti holds 70% and is the manager. IGO targeted and pegged the area containing the current ore reserves in 2001. AngloGold Ashanti farmed into the project in 2002, discovering the Tropicana Operation, Havana and Boston Shaker gold deposits respectively in 2005, 2006 and 2010. The decision to develop the Tropicana Operation was announced in November 2010 following completion of a positive Bankable Feasibility Study. Mining of the Havana deposit commenced in 2012 with the first gold being produced in September 2013. In January 2018, the Tropicana Operation achieved its two million ounce milestone. FY18 PRODUCTION Tropicana Operation gold production for FY18 was consistent, resulting in delivery better than the midpoint of the guidance range. During the year, a total of 87.0 million tonnes of material was mined and hauled ex-pit. This material comprised of 9.6 million tonnes of full grade ore (>0.6 grams per tonne), 0.9 million tonnes of marginal ore (grading between 0.4 & 0.6 grams per tonne Au) and 76.5 million tonnes of waste material. Full grade ore sources were from all four pits, being the Havana and Havana South pit, the Boston Shaker pit and the Tropicana Operation pit with the average run-of-mine grade for full grade ore (>0.6 grams per tonne Au) being 1.88 grams per tonne Au for the year. MINING Open pit mining operations achieved a 6% increase in tonnes mined over the previous year with 87.0 million tonnes, equating to 33.7 million bank cubic metres for the year. The ramp-up in mining rates is aligned to the Long Island Mining Strategy which was approved during FY18. The strategy involves using a strip-mining approach that minimises waste haulage distances by using in-pit waste dumping along with the implementation of a CAT 6060 (600 tonnes class) hydraulic shovel. PROCESSING The mill throughput rates increased in the second half of FY18 to an average of 931 tonnes per hour, with the optimisation excellence project producing sustainable throughput increases achieving 7.8 million tonnes per annum for the year. Construction on the second 6 mega watt ball mill progressed during the year, with the expected installation to be completed by December 2018 and operational from January 2019. The new mill will enable processing throughput rate to be increased to approximately 8.2 million tonnes per annum and gold recovery to be improved by up to 3% to approximately 92%. BOSTON SHAKER UNDERGROUND A Prefeasibility Study on the underground development of Boston Shaker mineralisation is scheduled for completion by December 2018. As part of this study a 100 metres x 100 metres drilling program to define the geometry of the high-grade mineralisation has continued to extend mineralisation down- dip to approximately 700 metres. Mineralisation remains open. NEAR-MINE EXPLORATION Greenfields exploration drilling completed on several Tropicana tenements in FY18 mapped basement geology and explored potential mineralised corridors identified in regional interpretation work. The FY18 (100%) spend was $10.3 million. The JV exploration plan for FY19 is to focus on near- mine resource and reserve development support and greenfields discovery work. IGO ANNUAL REPORT 2018— 19