Fortuna reports record earnings for the third quarter of 2024
(All amounts are expressed in US dollars, tabular amounts in
millions, unless otherwise stated)
VANCOUVER, British Columbia, Nov. 06, 2024
(GLOBE NEWSWIRE) -- Fortuna Mining Corp.
(NYSE: FSM | TSX: FVI) (“Fortuna” or the
“Company”) today reported its financial and operating
results for the third quarter of 2024.
“In the third quarter, a focus on cost
discipline and safe operations allowed Fortuna to capture the
benefit of rising metal prices and achieve record attributable
earnings of $50.5 million and record operating cash flow before
working capital changes of $119.3 million.” said Jorge Ganoza,
Fortuna’s President and CEO. Mr. Ganoza continued, “Our mines
delivered 110,820 ounces of gold equivalent production at a cash
cost per ounce of $1,059 as we remain well positioned to finish the
year within our cost and production guidance.” Mr. Ganoza added,
“The Company also achieved a key milestone with a positive net cash
position at the end of the quarter and we recently renegotiated our
credit facility reducing financial costs and providing additional
financial flexibility.”
Third Quarter 2024
highlights
Financial
- Attributable net income of $50.5
million or $0.16 per share, compared to $40.6 million or $0.13 per
share in Q2 2024
- Adjusted attributable net
income1 of $49.9 million or $0.16 per share, compared to
$30.4 million or $0.10 per share in Q2 2024
- Generated $119.3 million (or $0.38
per share) of cash flow from operations before working capital
changes, and free cash flow from ongoing operations1 of
$56.6 million, compared to $93.0 million (or $0.30 per share) and
$38.6 million, respectively, in Q2 2024
- As at the end of the quarter, the
Company had a cash position of $180.6 million and achieved a
positive net cash1 position of $8.0 million. Liquidity
increased to $430.6 million from $355.6 million at the end of Q2
2024
- Subsequent to the end of the
quarter, the Company resized its revolving credit facility from
$250.0 million to $150.0 million and increased the uncommitted
accordion to $75.0 million from $50.0 million reducing its reliance
on bank debt. The revolving debt facility remains fully
undrawn2
1 Refer to Non-IFRS Financial
Measures section at the end of this news release and to the
MD&A accompanying the Company’s financial statements filed on
SEDAR+ at www.sedarplus.ca for a description of the calculation of
these measures.
2 Excluding letters of credit
3 Au Eq includes gold, silver, lead and zinc and is
calculated using the following metal prices: $2,490/oz Au, $29.4/oz
Ag, $2,040/t Pb, and $2,782/t Zn for Q3 2024; $2,334/oz Au,
$29.1/oz Ag, $2,157/t Pb and $2,835/t Zn or Au:Ag =
1:80.19, Au:Pb = 1:1.08, Au:Zn = 1:0.82 for Q2 2024. And the
following metal prices for YTD Q3-2024 $2,307/oz Au, $27.1/oz
Ag, $2,091/t Pb, and $2,692/t Zn
Operational
- Gold equivalent3
production of 110,820 ounces, compared to 116,570 ounces in Q2
2024. Nine month gold equivalent production of 339,933 ounces,
aligned to meet annual guidance of 457 to 497 koz. For full details
refer to our News Release titled “Fortuna reports solid production
of 110,820 gold equivalent ounces for the third quarter of 2024”
dated October 10, 2024
- Consolidated cash costs1
per ounce of gold equivalent sold of $1,059 for the quarter and
$977 year to date remain largely aligned with annual guidance of
$935 to $1,055; adjusting for San Jose, which is mining its last
year of Mineral Reserves, consolidated cash costs were $935 for the
quarter
- Consolidated all-in sustaining cash
costs (AISC)1 per ounce of gold equivalent sold of
$1,696 for the quarter and $1,618 year to date, are tracking at the
upper end of annual guidance of $1,485 to $1,640; adjusting for San
Jose, consolidated AISC was $1,594. The leach-pad expansion for
Lindero is a one-time $42 million capital project in 2024 set for
completion in Q4 and weighs approximately $90 per ounce on our
annual consolidated AISC
- The Company recorded one lost time
injury in the quarter and a year-to-date total recordable injury
frequency rate of 1.37
Growth and Development
- At the newly discovered Kingfisher
prospect at the Séguéla Mine the Company intersected 14.2 g/t gold
over 16.8 meters. For full details refer to our News Release titled
“Fortuna intersects 14.2g/t Au over 16.8 meter at the Kingfisher
prospects, Séguéla Mine, Côte d’Ivoire” dated September 10,
2024
- Exploration continued at the Diamba
Sud exploration project with an intersect of 6.9 g/t gold over 33.3
meters at the Western Splay prospect. For full details refer to our
News Release titled “Fortuna intersects 6.9g/t Au over 33.3. meters
at the Diamba Sud Project, Senegal” dated September 12, 2024
Third Quarter 2024 Consolidated Results
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended September 30, |
|
Nine months ended September 30, |
|
(Expressed in millions) |
2024 |
|
|
2023 |
|
% Change |
|
2024 |
|
2023 |
|
% Change |
|
Sales |
274.9 |
|
|
243.1 |
|
13 |
% |
|
759.8 |
|
577.1 |
|
32 |
% |
| Mine operating income |
86.9 |
|
|
65.9 |
|
32 |
% |
|
236.8 |
|
138.2 |
|
71 |
% |
| Operating income |
72.7 |
|
|
45.4 |
|
60 |
% |
|
175.2 |
|
77.0 |
|
128 |
% |
| Attributable net income |
50.5 |
|
|
27.5 |
|
84 |
% |
|
117.4 |
|
41.5 |
|
183 |
% |
| Attributable income per share
- basic |
0.16 |
|
|
0.09 |
|
78 |
% |
|
0.38 |
|
0.14 |
|
171 |
% |
| Adjusted attributable net
income1 |
49.9 |
|
|
29.6 |
|
69 |
% |
|
107.3 |
|
44.3 |
|
142 |
% |
| Adjusted
EBITDA1 |
131.3 |
|
|
104.6 |
|
26 |
% |
|
339.1 |
|
214.0 |
|
58 |
% |
| Net cash provided by operating
activities |
92.9 |
|
|
106.5 |
|
(13 |
%) |
|
215.4 |
|
191.8 |
|
12 |
% |
| Free cash flow from ongoing
operations1 |
56.6 |
|
|
70.0 |
|
(19 |
%) |
|
107.3 |
|
87.3 |
|
23 |
% |
| Cash cost ($/oz Au
Eq)1 |
1,059 |
|
|
814 |
|
30 |
% |
|
977 |
|
887 |
|
10 |
% |
| All-in sustaining cash cost
($/oz Au Eq)1 |
1,696 |
|
|
1,313 |
|
29 |
% |
|
1,618 |
|
1,508 |
|
7 |
% |
| Capital
expenditures2 |
|
|
|
|
|
|
|
|
|
|
|
|
Sustaining |
38.4 |
|
|
27.2 |
|
41 |
% |
|
94.1 |
|
89.3 |
|
5 |
% |
|
Non-sustaining3 |
12.3 |
|
|
1.3 |
|
846 |
% |
|
38.8 |
|
3.4 |
|
1,041 |
% |
|
Séguéla construction |
- |
|
|
1.9 |
|
(100 |
%) |
|
- |
|
50.0 |
|
(100 |
%) |
|
Brownfields |
(0.5 |
) |
|
3.3 |
|
(115 |
%) |
|
9.0 |
|
10.7 |
|
(16 |
%) |
| As at |
|
|
|
|
|
|
September 30,
2024 |
|
December 31,
2023 |
|
% Change |
| Cash and cash
equivalents |
|
|
|
180.6 |
|
128.1 |
|
41 |
% |
| Net liquidity position
(excluding letters of credit) |
|
|
|
|
|
|
430.6 |
|
213.1 |
|
102 |
% |
|
Shareholder's equity attributable to Fortuna shareholders |
|
|
|
|
|
|
1,420.4 |
|
1,238.4 |
|
15 |
% |
| 1 Refer
to Non-IFRS Financial Measures section at the end of this news
release and to the MD&A accompanying the Company’s financial
statements filed on SEDAR+ at www.sedarplus.ca for a description of
the calculation of these measures. |
| 2 Capital
expenditures are presented on a cash basis |
|
| 3
Non-sustaining expenditures include greenfields exploration |
|
| Figures may not add
due to rounding |
|
| |
|
Third Quarter 2024 Results
Cash Costs and AISC
Consolidated cash cost per equivalent gold ounce was $1,059,
compared to $814 in the third quarter of 2023. The increase in cash
cost is explained mainly by lower stripping and mining costs during
Séguéla’s first quarter of operations in Q3 2023; lower head grades
and throughput at San Jose in its last year of Mineral Reserves;
higher cash costs per ounce at Yaramoko related to lower head
grades and higher mining and indirect costs. Cash cost per ounce
for the quarter and for the year remain largely aligned with annual
guidance.
All-in sustaining costs per gold equivalent
ounce was $1,696 for the third quarter of 2024 compared to $1,313
for the third quarter of 2023. The increase was primarily the
result of higher sustaining capital at Lindero related to the
expansion of the leach-pad, and higher cash cost per ounce as
described above.
AISC Performance vs 2024 Guidance
All-in sustaining costs per gold equivalent ounce sold for the nine
months ending September 30, 2024 was $1,618 and is expected to be
at the higher end of guidance for the year as a result of the
following:
- Real currency appreciation of the
Argentine Peso increasing Lindero’s cash costs by 9%
- Increased sustaining capital costs
to accelerate 2025 development at Yaramoko to access newly
identified mineral resources
- Lower production compared to plan
at San Jose due to operational challenges in its last year of
reserves
The Company has several continuous improvement
initiatives in place. Some of the key ongoing projects are:
- Séguéla process optimization: In Q3
2024 Séguéla achieved 35% higher throughput than nameplate
capacity, and 20% higher than our 2024 mine plan. This increase
already exceeds the capacity expansion scheduled in the technical
report for 2026. The expansion has been achieved with minimal
capex.
- Lindero: Several productivity and
cost reduction projects representing annual incremental profit of
$16 million (pre-tax) consisting mainly of the following: increased
gold recovery from grind size optimization, ADR plant incremental
flow, haulage fleet optimization, and conversion from diesel power
generation to solar.
Attributable Net Income and Adjusted
Attributable Net Income
Net income attributable to Fortuna for the quarter was $50.5
million compared to $27.5 million in Q3 2023. After adjusting for
non-cash and non-recurring items, adjusted attributable net income
for the quarter was $49.9 million compared to $29.6 million in Q3
2023.
The increase in net income and adjusted net
income was explained mainly by higher realized gold and silver
prices partially offset by lower gold sales volume and higher costs
per ounce. The realized gold and silver prices were $2,490 and
$29.4 per ounce respectively compared to $1,925 and $23.7 per
ounce, respectively, for the comparable period in the prior year.
The decrease in gold sales volume was primarily due to lower
production at Yaramoko and San Jose as per the mine plans. The
higher cost per ounce was primarily at Séguéla, San Jose and
Yaramoko as described above.
Adjusted net income for the quarter also
benefited from $3.4 million of foreign exchange gains related to
the appreciation of the Euro during the quarter, $3.2 million of
investment income related to cross-border, Argentine pesos
denominated bond trades, and lower interest expenses.
Depreciation and
Depletion
Depreciation and depletion for the third quarter
of 2024 was $59.3 million compared to $63.4 million in the
comparable period. The decrease in depreciation and depletion was
primarily the result of lower depreciation and depletion at San
Jose due to an impairment charge in the fourth quarter of 2023 and
lower depletion per ounce in the 55 Zone at Yaramoko, partially
offset by higher depletion at Séguéla. Depletion at Séguéla in the
quarter includes $16.8 million of the purchase price related to the
acquisition of Roxgold Inc in 2021.
Cash Flow
Net cash generated by operations for the quarter was $92.9 million
compared to $106.5 million in Q3 2023. Excluding changes in working
capital, net cash from operations was $119.3 million compared to
$106.2 million in the comparative period. The increase of $13.1
million reflects higher adjusted EBITDA of $25.8 million offset
mainly by higher taxes paid of $8.9 million mostly at Séguéla.
Negative working capital for the quarter of
$26.4 million was due to an increase of $24.5 million in
receivables primarily due to the timing of trade receivables and
VAT collection. At the end of the quarter the balance of VAT
receivables at Yaramoko was $45.0 million.
In the third quarter of 2024 capital
expenditures on a cash basis amounted to $50.2 million consisting
of $37.9 million of sustaining capital, including brownfields
exploration, and $12.3 million of non-sustaining capital. Year to
date capital expenditures were $141.9 million consisting of $103.1
million of sustaining capital and $38.8 million non-sustaining
capital.
Free cash flow from ongoing operations for the
quarter was $56.6 million, compared to $70.0 million in the
comparable period. The decrease in free cash flow, despite higher
metal prices in the quarter, is explained mainly by negative
working capital of $26.4 million compared to $nil in the third
quarter of 2023, capital expenditures for the Lindero leach pad
expansion and higher taxes paid due to the third and final tax
installment at Séguéla for 2023 taxes. The comparable period also
had a number of one-time benefits that lowered the cost of
production at Séguéla.
General and Administrative Expenses
General and administrative expenses for the current quarter of
$16.0 million were 10% higher than the same period in 2023 due
mainly to higher share-based compensation expenses. G&A
comprises the following items:
| |
Three months ended September 30, |
|
Nine months ended September 30, |
|
(Expressed in millions) |
2024 |
|
2023 |
|
% Change |
|
2024 |
|
2023 |
|
% Change |
|
Mine G&A |
|
9.9 |
|
|
8.4 |
|
18 |
% |
|
|
26.6 |
|
|
20.5 |
|
30 |
% |
| Corporate G&A |
|
3.9 |
|
|
5.5 |
|
(29 |
%) |
|
|
19.8 |
|
|
19.7 |
|
1 |
% |
| Share-based payments |
|
2.1 |
|
|
0.5 |
|
320 |
% |
|
|
10.1 |
|
|
3.8 |
|
166 |
% |
|
Workers' participation |
|
0.1 |
|
|
0.2 |
|
(50 |
%) |
|
|
0.2 |
|
|
0.2 |
|
0 |
% |
|
Total |
|
16.0 |
|
|
14.6 |
|
10 |
% |
|
|
56.7 |
|
|
44.2 |
|
28 |
% |
Liquidity
The Company’s total liquidity available as of
September 30, 2024 was $430.6 million comprised of $180.6 million
in cash and cash equivalents, and the fully undrawn $250.0 million
revolving credit facility (excluding letters of credit). Effective
October 31, 2024, the Company amended its credit facility reducing
the amount of the facility to $150 million from $250 million (the
facility would have stepped down to $175 million in November 2024),
and increased the uncommitted accordion option from $50 million to
$75 million. An improved pricing grid and covenant flexibility was
negotiated under the amended facility.
Séguéla Mine, Côte d’Ivoire
| |
|
Three months ended September 30, |
|
|
Nine months ended September 30, |
|
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
| Mine Production |
|
|
|
|
|
|
|
|
|
|
|
|
Tonnes milled |
|
418,390 |
|
|
310,387 |
|
|
1,131,684 |
|
|
419,992 |
|
Average tonnes crushed per day |
|
4,548 |
|
|
3,695 |
|
|
4,115 |
|
|
2,762 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Gold |
|
|
|
|
|
|
|
|
|
|
|
|
Grade (g/t) |
|
2.69 |
|
|
3.83 |
|
|
2.94 |
|
|
3.28 |
|
Recovery (%) |
|
92 |
|
|
93 |
|
|
93 |
|
|
94 |
|
Production (oz) |
|
34,998 |
|
|
31,498 |
|
|
102,537 |
|
|
35,521 |
|
Metal sold (oz) |
|
33,816 |
|
|
35,503 |
|
|
101,369 |
|
|
35,503 |
|
Realized price ($/oz) |
|
2,494 |
|
|
1,927 |
|
|
2,305 |
|
|
1,927 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Unit Costs |
|
|
|
|
|
|
|
|
|
|
|
|
Cash cost ($/oz Au)1 |
|
655 |
|
|
397 |
|
|
559 |
|
|
397 |
|
All-in sustaining cash cost ($/oz Au)1 |
|
1,176 |
|
|
788 |
|
|
1,073 |
|
|
788 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Capital Expenditures
($000's)2 |
|
|
|
|
|
|
|
|
|
|
|
|
Sustaining |
|
5,992 |
|
|
3,147 |
|
|
14,827 |
|
|
3,147 |
|
Sustaining leases |
|
2,332 |
|
|
3,044 |
|
|
7,034 |
|
|
3,044 |
|
Non-sustaining |
|
4,797 |
|
|
- |
|
|
14,437 |
|
|
- |
|
Brownfields |
|
187 |
|
|
- |
|
|
6,273 |
|
|
- |
|
1 Cash cost and All-in sustaining cash cost are
non-IFRS financial measures. Refer to Non-IFRS Financial
Measures. |
|
2 Capital expenditures are presented on a cash
basis |
| |
During the third quarter of 2024, mine
production totaled 484,050 tonnes of ore, averaging 2.48 g/t Au,
and containing an estimated 38,661 ounces of gold from the Antenna,
Ancien and Koula pits. Movement of waste during the quarter totaled
2,935,335 tonnes, for a strip ratio of 6:1. Production was mainly
focused from the Antenna pit which produced 412,063 tonnes of ore,
with the balance of production sourced from the Koula and Ancien
pits.
In the third quarter of 2024, Séguéla processed
418,390 tonnes, producing 34,998 ounces of gold, at an average head
grade of 2.69 g/t Au, an 11% increase and 30% decrease,
respectively, compared to the third quarter in 2023. The decrease
in gold grade is in line with the planned mining sequence. Plant
throughput for the quarter averaged 208 tonnes per hour (tph), 35%
higher than name plate design capacity of 154 tph. The power
outages that were experienced in the second quarter did not affect
processing plant operations in the third quarter and enabled an
increase in the tonnes processed. However, a failure of the drive
shaft of the main apron feeder in early July required a repair
which reduced throughput rates while the repairs were completed.
Throughput rates were subsequently increased, averaging 216 tph in
September.
The cash cost per gold ounce sold was $655 for
the quarter ended September 30, 2024, compared to $397 in the same
period of 2023. The increase is explained by the higher head grade
and low-cost production associated with Séguéla´s first quarter of
operations in the comparative period. The lower cost of production
was mostly related to low-strip mining, shorter haulage, and lower
maintenance costs.
The all-in sustaining cash cost per gold ounce
sold was $1,176 for the quarter ending September 30, 2024, an
increase from $788 for the same period in 2023. This increase is
due to increased cash costs and increased sustaining capital
expenditures in 2024 for stripping activities.
Looking forward into 2025, the Séguéla mine
plans to operate at approximately 35 percent higher throughput rate
compared to nameplate design, and at a stripping ratio closer to
the Mineral Reserve average of 13:1 compared to 6:1 year to date.
The higher throughput achieved through optimization initiatives in
2024 has not required any material capital expenditures. As a
result of sustained higher production rates, the mine will
correspondingly face an acceleration of infrastructure requirements
in the approximate amount of $10 million above 2024 infrastructure
capex figures. These capital projects are primarily related to the
early expansion of the tailings storage facility, relocation of the
Sunbird communications tower for development of the Sunbird pit,
and land access to new mineral deposits and related compensation
payments. Management anticipates that advancing these
infrastructure projects will unlock annual target production rates
of between 140k to 200k ounces in our life of mine plans.
Yaramoko Mine, Burkina Faso
| |
|
|
|
|
|
|
|
|
|
|
|
| |
|
Three months ended September 30, |
|
|
Nine months ended September 30, |
|
|
|
2024 |
|
|
|
2023 |
|
|
2024 |
|
|
2023 |
| Mine Production |
|
|
|
|
|
|
|
|
|
|
|
|
Tonnes milled |
|
123,754 |
|
|
|
137,281 |
|
|
352,864 |
|
|
421,133 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Gold |
|
|
|
|
|
|
|
|
|
|
|
|
Grade (g/t) |
|
6.71 |
|
|
|
7.72 |
|
|
7.92 |
|
|
6.52 |
|
Recovery (%) |
|
98 |
|
|
|
99 |
|
|
98 |
|
|
98 |
|
Production (oz) |
|
28,006 |
|
|
|
34,036 |
|
|
86,630 |
|
|
89,476 |
|
Metal sold (oz) |
|
27,995 |
|
|
|
33,971 |
|
|
86,621 |
|
|
89,448 |
|
Realized price ($/oz) |
|
2,474 |
|
|
|
1,932 |
|
|
2,304 |
|
|
1,932 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Unit Costs |
|
|
|
|
|
|
|
|
|
|
|
|
Cash cost ($/oz Au)1 |
|
974 |
|
|
|
753 |
|
|
876 |
|
|
764 |
|
All-in sustaining cash cost ($/oz Au)1 |
|
1,373 |
|
|
|
1,213 |
|
|
1,379 |
|
|
1,429 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Capital Expenditures
($000's)2 |
|
|
|
|
|
|
|
|
|
|
|
|
Sustaining |
|
5,381 |
|
|
|
9,451 |
|
|
20,112 |
|
|
37,318 |
|
Sustaining leases |
|
1,002 |
|
|
|
1,161 |
|
|
3,069 |
|
|
3,681 |
|
Non-sustaining |
|
2,463 |
|
|
|
– |
|
|
4,005 |
|
|
– |
|
Brownfields |
|
(1,217 |
) |
|
|
1,447 |
|
|
1,543 |
|
|
3,656 |
1 Cash cost and All-in sustaining
cash cost are non-IFRS financial measures; refer to non-IFRS
financial measures section at the end of this news release and to
the MD&A accompanying the Company’s financial statements filed
on SEDAR+ at www.sedarplus.ca for a description of the calculation
of these measures.
2 Capital expenditures are presented
on a cash basis.
In the third quarter of 2024, 123,754 tonnes of
ore were treated at an average head grade of 6.71 g/t Au, producing
28,006 ounces of gold. This represents a 13% decrease in grade and
an 18% decrease in production, when compared to the same period in
2023. The gold grade was lower than predicted in the mine plan due
to continuing development operations providing lower grade ore and
the milling of supplementary low-grade stockpiles.
During the quarter, 80,740 tonnes of ore were
mined averaging 7.41 g/t Au from the 55 Zone, and 21,905 tonnes of
ore averaging 9.02 g/t Au from QV Prime, totaling 102,645 tonnes
averaging 7.75 g/t Au.
The cash cost per ounce of gold sold for the
quarter ended September 30, 2024, was $974, compared to $753 in the
same period in 2023. The increase for the quarter is mainly
attributed to higher mining and indirect costs and lower volume of
ounces sold due to lower grades.
The all-in sustaining cash cost per gold ounce
sold was $1,373 for the quarter ended September 30, 2024, compared
to $1,213 in the same period of 2023. The increase in the quarter
was primarily due to higher cash costs described above, and a
change in the royalty regime in Burkina Faso which increased the
royalty rate from 5% to 7% when the gold price is over $2,000 per
ounce. This was partially offset by lower sustaining capital
expenditure in 2024.
Lindero Mine, Argentina
| |
|
Three months ended September 30, |
|
|
Nine months ended September 30, |
|
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
| Mine Production |
|
|
|
|
|
|
|
|
|
|
|
|
Tonnes placed on the leach pad |
|
1,654,101 |
|
|
1,467,578 |
|
|
4,610,215 |
|
|
4,449,049 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Gold |
|
|
|
|
|
|
|
|
|
|
|
|
Grade (g/t) |
|
0.66 |
|
|
0.62 |
|
|
0.62 |
|
|
0.65 |
|
Production (oz) |
|
24,345 |
|
|
20,933 |
|
|
70,481 |
|
|
71,647 |
|
Metal sold (oz) |
|
26,655 |
|
|
22,242 |
|
|
69,886 |
|
|
74,194 |
|
Realized price ($/oz) |
|
2,503 |
|
|
1,910 |
|
|
2,316 |
|
|
1,923 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Unit Costs |
|
|
|
|
|
|
|
|
|
|
|
|
Cash cost ($/oz Au)1 |
|
1,042 |
|
|
987 |
|
|
1,047 |
|
|
915 |
|
All-in sustaining cash cost ($/oz Au)1 |
|
1,962 |
|
|
1,609 |
|
|
1,881 |
|
|
1,568 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Capital Expenditures
($000's)2 |
|
|
|
|
|
|
|
|
|
|
|
|
Sustaining |
|
20,678 |
|
|
7,669 |
|
|
46,636 |
|
|
28,751 |
|
Sustaining leases |
|
586 |
|
|
598 |
|
|
1,771 |
|
|
1,795 |
|
Non-sustaining |
|
219 |
|
|
353 |
|
|
568 |
|
|
676 |
1 Cash cost and All-in sustaining cash cost are
non-IFRS financial measures; refer to non-IFRS financial measures
section at the end of this news release and to the MD&A
accompanying the Company’s financial statements filed on SEDAR+ at
www.sedarplus.ca for a description of the calculation of these
measures.
2 Capital expenditures are presented
on a cash basis.
Quarterly Operating and Financial
Highlights
During the third quarter of 2024, 2.1 million
tonnes of ore were mined, with a stripping ratio of 1:1. A total of
1,654,101 tonnes of ore was placed on the heap leach pad at an
average gold grade of 0.66 g/t, containing an estimated 34,925
ounces of gold. The 13% increase in tonnes placed on the leach pad,
when compared to the third quarter of 2023, is mainly due to mine
sequencing.
Lindero’s total gold production for the quarter
was 24,345 ounces of gold, comprised of 22,569 ounces in doré bars,
1,754 ounces contained in rich fine carbon, and 21 ounces contained
in copper precipitate. The 16% increase from the third quarter of
2023, is due to an increase in tonnes placed on the leach pad and
higher gold grade in the third quarter of 2024.
The cash cost per ounce of gold for the quarter
ended September 30, 2024 was $1,042 compared to $987 in the same
period of 2023. The increase in cash cost per ounce of gold was
related to increased mine costs as a result of additional heavy
equipment rentals and labour costs.
The all-in sustaining cash cost per gold ounce
sold during Q3 2024 was $1,962, an increase from $1,609 in the
third quarter of 2023. The increase for the quarter was primarily
due to higher cash costs as described above and higher sustaining
capital expenditures to support the expansion of the heap leach pad
which accounted for $580 per ounce in the quarter.
As of September 30, 2024, the $51.8 million
leach pad expansion project ($41.7 million capital investment in
2024) was approximately 76% complete and tracking on budget.
Procurement is complete, with items onsite. Liner installation is
approximately 44% complete. In October of 2024, the Company started
placing ore on the leach pad expansion and practical completion is
expected by year-end. Minor construction activities and contractor
demobilization are planned for early 2025.
San Jose Mine, Mexico
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Three months ended September 30, |
|
|
Nine months ended September 30, |
|
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
| Mine Production |
|
|
|
|
|
|
|
|
|
|
|
|
Tonnes milled |
|
188,212 |
|
|
247,542 |
|
|
545,529 |
|
|
689,165 |
|
Average tonnes milled per day |
|
2,163 |
|
|
2,845 |
|
|
2,106 |
|
|
2,790 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Silver |
|
|
|
|
|
|
|
|
|
|
|
|
Grade (g/t) |
|
99 |
|
|
189 |
|
|
128 |
|
|
180 |
|
Recovery (%) |
|
86 |
|
|
91 |
|
|
87 |
|
|
91 |
|
Production (oz) |
|
510,741 |
|
|
1,372,530 |
|
|
1,954,028 |
|
|
3,633,107 |
|
Metal sold (oz) |
|
533,812 |
|
|
1,347,719 |
|
|
1,946,637 |
|
|
3,618,723 |
|
Realized price ($/oz) |
|
29.45 |
|
|
23.65 |
|
|
27.12 |
|
|
23.37 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Gold |
|
|
|
|
|
|
|
|
|
|
|
|
Grade (g/t) |
|
0.74 |
|
|
1.14 |
|
|
0.90 |
|
|
1.11 |
|
Recovery (%) |
|
85 |
|
|
91 |
|
|
86 |
|
|
90 |
|
Production (oz) |
|
3,771 |
|
|
8,205 |
|
|
13,573 |
|
|
22,215 |
|
Metal sold (oz) |
|
3,941 |
|
|
8,068 |
|
|
13,411 |
|
|
22,118 |
|
Realized price ($/oz) |
|
2,484 |
|
|
1,932 |
|
|
2,296 |
|
|
1,930 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Unit Costs |
|
|
|
|
|
|
|
|
|
|
|
|
Cash cost ($/oz Ag Eq)1,2 |
|
29.40 |
|
|
13.73 |
|
|
25.01 |
|
|
13.37 |
|
All-in sustaining cash cost ($/oz Ag Eq)1,2 |
|
32.65 |
|
|
18.04 |
|
|
27.67 |
|
|
18.66 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Capital Expenditures
($000's)3 |
|
|
|
|
|
|
|
|
|
|
|
|
Sustaining |
|
– |
|
|
3,462 |
|
|
– |
|
|
10,828 |
|
Sustaining leases |
|
198 |
|
|
256 |
|
|
675 |
|
|
632 |
|
Non-sustaining |
|
2,535 |
|
|
385 |
|
|
8,325 |
|
|
1,178 |
|
Brownfields |
|
– |
|
|
1,082 |
|
|
– |
|
|
2,958 |
1 Cash cost per ounce of silver
equivalent and All-in sustaining cash cost per ounce of silver
equivalent are calculated using realized metal prices for each
period respectively.
2 Cash cost per ounce of silver equivalent, and all-in
sustaining cash cost per ounce of silver equivalent are non-IFRS
financial measures, refer to non-IFRS financial measures section at
the end of this news release and to the MD&A accompanying the
Company’s financial statements filed on SEDAR+ at www.sedarplus.ca
for a description of the calculation of these measures.
3 Capital expenditures are presented on a cash basis
In the third quarter of 2024, San Jose produced
510,741 ounces of silver and 3,771 ounces of gold, 63% and 54%
decreases respectively, at average head grades for silver and gold
of 99 g/t and 0.74 g/t, a 48% decrease and 35% decrease
respectively, when compared to the same period in 2023. During the
third quarter the mine plan included areas near old workings at the
upper level of the mine which have a higher level of geological
uncertainty. These areas accounted for 46% of quarterly production
and returned 36% lower head grades and 28% lower tonnage than
expected. The mine plan for the fourth quarter continues to
encompass areas of high geologic uncertainty.
The processing plant milled 188,212 tonnes
averaging 2,163 tonnes per day. Metallurgical recoveries were
impacted by higher iron oxide material from upper levels mined
during the period.
The cash cost per silver equivalent ounce for
the three months ending September 30, 2024, was $29.40, an increase
from $13.73 in the same period of 2023. The higher cost per ounce
was primarily the result of lower production and silver equivalent
ounces sold as described above and the impact of fixed costs being
spread across fewer ounces sold.
The all-in sustaining cash cost per payable
silver equivalent ounce for the three months ended September 30,
2024, increased by 81% to $32.65 from $18.04 for the same period in
2023. These increases were mainly driven by higher cash costs and
lower production, which was partially offset by lower capital
expenditures.
Following Management’s evaluation of the options
available for San Jose, the Company is planning to initiate the
progressive closure of the San Jose mine starting in the first
quarter of 2025. A comprehensive multi-year closure and monitoring
plan and budget are expected to be completed in the fourth quarter
of 2024. The plan considers concurrent closure activities with
reduced mining operations, which may continue for up to eighteen
months at rates of under 1,000 tonnes per day in selected portions
of the remaining Mineral Resources in the underground mine.
Management expects production income can offset a significant
portion of closure costs in the initial years.
Caylloma Mine, Peru
| |
|
Three months ended September 30, |
|
|
Nine months ended September 30, |
|
|
|
2024 |
|
|
|
2023 |
|
|
2024 |
|
|
2023 |
| Mine Production |
|
|
|
|
|
|
|
|
|
|
|
|
Tonnes milled |
|
138,030 |
|
|
|
140,077 |
|
|
411,669 |
|
|
403,076 |
|
Average tonnes milled per day |
|
1,551 |
|
|
|
1,556 |
|
|
1,548 |
|
|
1,515 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Silver |
|
|
|
|
|
|
|
|
|
|
|
|
Grade (g/t) |
|
82 |
|
|
|
83 |
|
|
84 |
|
|
84 |
|
Recovery (%) |
|
84 |
|
|
|
82 |
|
|
83 |
|
|
82 |
|
Production (oz) |
|
305,446 |
|
|
|
308,221 |
|
|
927,304 |
|
|
896,583 |
|
Metal sold (oz) |
|
338,768 |
|
|
|
275,708 |
|
|
931,820 |
|
|
875,365 |
|
Realized price ($/oz) |
|
29.24 |
|
|
|
23.93 |
|
|
26.98 |
|
|
23.50 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Gold |
|
|
|
|
|
|
|
|
|
|
|
|
Grade (g/t) |
|
0.11 |
|
|
|
0.13 |
|
|
0.11 |
|
|
0.13 |
|
Recovery (%) |
|
27 |
|
|
|
24 |
|
|
28 |
|
|
24 |
|
Production (oz) |
|
131 |
|
|
|
149 |
|
|
424 |
|
|
404 |
|
Metal sold (oz) |
|
46 |
|
|
|
18 |
|
|
169 |
|
|
40 |
|
Realized price ($/oz) |
|
2,512 |
|
|
|
1,921 |
|
|
2,233 |
|
|
1,902 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Lead |
|
|
|
|
|
|
|
|
|
|
|
|
Grade (%) |
|
3.62 |
|
|
|
3.66 |
|
|
3.64 |
|
|
3.66 |
|
Recovery (%) |
|
91 |
|
|
|
92 |
|
|
91 |
|
|
92 |
|
Production (000's lbs) |
|
9,998 |
|
|
|
10,337 |
|
|
30,053 |
|
|
30,053 |
|
Metal sold (000's lbs) |
|
10,934 |
|
|
|
9,232 |
|
|
30,181 |
|
|
29,433 |
|
Realized price ($/lb) |
|
0.93 |
|
|
|
0.97 |
|
|
0.95 |
|
|
0.98 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Zinc |
|
|
|
|
|
|
|
|
|
|
|
|
Grade (%) |
|
4.64 |
|
|
|
5.07 |
|
|
4.63 |
|
|
5.07 |
|
Recovery (%) |
|
91 |
|
|
|
90 |
|
|
90 |
|
|
90 |
|
Production (000's lbs) |
|
12,809 |
|
|
|
14,037 |
|
|
38,032 |
|
|
41,125 |
|
Metal sold (000's lbs) |
|
13,411 |
|
|
|
13,959 |
|
|
38,586 |
|
|
41,759 |
|
Realized price ($/lb) |
|
1.26 |
|
|
|
1.10 |
|
|
1.22 |
|
|
1.26 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Unit Costs |
|
|
|
|
|
|
|
|
|
|
|
|
Cash cost ($/oz Ag Eq)1,2 |
|
14.88 |
|
|
|
15.25 |
|
|
13.45 |
|
|
14.10 |
|
All-in sustaining cash cost ($/oz Ag Eq)1,2 |
|
22.69 |
|
|
|
21.14 |
|
|
19.90 |
|
|
19.03 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Capital Expenditures
($000's)3 |
|
|
|
|
|
|
|
|
|
|
|
|
Sustaining |
|
6,310 |
|
|
|
3,514 |
|
|
12,480 |
|
|
9,267 |
|
Sustaining leases |
|
(9 |
) |
|
|
813 |
|
|
1,871 |
|
|
2,626 |
|
Brownfields |
|
516 |
|
|
|
797 |
|
|
1,208 |
|
|
1,337 |
1 Cash cost per ounce of silver
equivalent and All-in sustaining cash cost per ounce of silver
equivalent are calculated using realized metal prices for each
period respectively.
2 Cash cost per ounce of silver equivalent, and all-in
sustaining cash cost per ounce of silver equivalent are non-IFRS
financial measures, refer to non-IFRS financial measures section at
the end of this news release and to the MD&A accompanying the
Company’s financial statements filed on SEDAR+ at www.sedarplus.ca
for a description of the calculation of these measures.
3 Capital expenditures are presented on a cash
basis.
The Caylloma Mine produced 305,446 ounces of
silver at an average head grade of 82 g/t Ag in the third quarter
of 2024, reflecting similar production as the previous quarter.
Zinc and lead production was 12.8 million pounds
and 10.0 million pounds, respectively, with average head grades of
4.64% Zn and 3.62% Pb, representing an 8% decrease and 1% decrease,
respectively, when compared to the third quarter of 2023. Zinc
production decreased by 9% and lead production decreased by 3% when
compared to the same period in 2023. The lower production is the
result of lower head grades delivered to the plant, in accordance
with the planned mining sequence for the period.
The cash cost per silver equivalent ounce sold
for the three months ended September 30, 2024 was $14.88, a 2%
decrease compared to the comparable period in 2023. Cash costs for
the mine were lower for the period due to lower ground support
costs as mining took place in more competent rock and lower plant
costs but was offset by lower silver equivalent ounces sold due to
high silver prices and the impact on the calculation of silver
equivalent for lead and zinc.
The all-in sustaining cash cost per ounce of
payable silver equivalent for the three months ended September 30,
2024, was $22.69 compared to $21.14 for the same period in 2023.
The increase is due to higher sustaining capital expenditures in
the third quarter of 2024 compared to the same period in 2023 and
the impact of higher silver prices on the calculation of silver
equivalent ounces for base metals. If silver equivalent ounces were
calculated using guidance prices, the all-in sustaining cost per
ounce would have been approximately $19.38.
Qualified Person
Eric Chapman, Senior Vice President of Technical
Services, is a Professional Geoscientist of the Engineers and
Geoscientists of British Columbia (Registration Number 36328), and
is the Company’s Qualified Person (as defined by National
Instrument 43-101). Mr. Chapman has reviewed and approved the
scientific and technical information contained in this news release
and has verified the underlying data.
Non-IFRS Financial Measures
The Company has disclosed certain financial
measures and ratios in this news release which are not defined
under the International Financial Reporting Standards (“IFRS”), as
issued by the International Accounting Standards Board, and are not
disclosed in the Company's financial statements, including but not
limited to: cash cost per ounce of gold sold; all-in sustaining
cash cost per ounce of gold sold; all-in sustaining cash cost per
ounce of gold equivalent sold; all-in cash cost per ounce of gold
sold; production cash cost per ounce of gold equivalent; cash cost
per payable ounce of silver equivalent sold; all-in sustaining cash
cost per payable ounce of silver equivalent sold; all-in cash cost
per payable ounce of silver equivalent sold; free cash flow from
ongoing operations; adjusted net income; adjusted attributable net
income; adjusted EBITDA and working capital.
These non-IFRS financial measures and non-IFRS
ratios are widely reported in the mining industry as benchmarks for
performance and are used by management to monitor and evaluate the
Company's operating performance and ability to generate cash. The
Company believes that, in addition to financial measures and ratios
prepared in accordance with IFRS, certain investors use these
non-IFRS financial measures and ratios to evaluate the Company’s
performance. However, the measures do not have a standardized
meaning under IFRS and may not be comparable to similar financial
measures disclosed by other companies. Accordingly, non-IFRS
financial measures and non-IFRS ratios should not be considered in
isolation or as a substitute for measures and ratios of the
Company’s performance prepared in accordance with IFRS.
To facilitate a better understanding of these
measures and ratios as calculated by the Company, descriptions are
provided below. In addition see “Non-IFRS Financial Measures” in
the Company’s management’s discussion and analysis for the three
and nine months ended September 30, 2024 (“Q3 2024 MDA”), which
section is incorporated by reference in this news release, for
additional information regarding each non-IFRS financial measure
and non-IFRS ratio disclosed in this news release, including an
explanation of their composition; an explanation of how such
measures and ratios provide useful information to an investor; and
the additional purposes, if any, for which management of the
Company uses such measures and ratio. The Q3 2024 MD&A may be
accessed on SEDAR+ at www.sedarplus.ca under the Company’s
profile.
Except as otherwise described in the Q3 2024
MD&A, the Company has calculated these measures consistently
for all periods presented.
Reconciliation of Debt to total net debt and net debt to
adjusted EBITDA ratio for September 30, 2024
| |
|
| |
|
|
(Expressed in millions except Total net debt to Adjusted EBITDA
ratio) |
As at September 30, 2024 |
|
2024 Convertible Notes |
172.5 |
|
| Less: Cash and Cash
Equivalents |
(180.6 |
) |
| Total net
debt1 |
(8.1 |
) |
|
Adjusted EBITDA (last four quarters) |
459.5 |
|
| Total
net debt to adjusted EBITDA ratio |
0:1 |
|
| 1 Excluding letters of
credit |
|
| |
|
Reconciliation of net income to adjusted
attributable net income for the three and nine months ended
September 30, 2024 and 2023
| |
|
Three months ended September 30, |
|
|
Nine months ended September 30, |
|
(Expressed in millions) |
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
|
Net income attributable to shareholders |
|
50.5 |
|
|
|
27.5 |
|
|
|
117.4 |
|
|
|
41.5 |
|
| Adjustments, net of
tax: |
|
|
|
|
|
|
|
|
|
|
|
| Community support provision
and accruals1 |
|
- |
|
|
|
- |
|
|
|
(0.3 |
) |
|
|
(0.1 |
) |
| Foreign exchange loss, Séguéla
Mine2 |
|
- |
|
|
|
0.1 |
|
|
|
- |
|
|
|
- |
|
| Write off of mineral
properties |
|
- |
|
|
|
0.5 |
|
|
|
- |
|
|
|
0.5 |
|
| Unrealized loss (gain) on
derivatives |
|
- |
|
|
|
(0.1 |
) |
|
|
- |
|
|
|
(0.3 |
) |
| Income tax, convertible
debentures |
|
- |
|
|
|
- |
|
|
|
(12.0 |
) |
|
|
- |
|
| Inventory adjustment |
|
(0.1 |
) |
|
|
- |
|
|
|
1.7 |
|
|
|
0.7 |
|
| Accretion on right of use
assets |
|
0.9 |
|
|
|
1.5 |
|
|
|
2.7 |
|
|
|
2.6 |
|
| Other
non-cash/non-recurring items |
|
(1.4 |
) |
|
|
0.1 |
|
|
|
(2.2 |
) |
|
|
(0.6 |
) |
|
Adjusted attributable net income |
|
49.9 |
|
|
|
29.6 |
|
|
|
107.3 |
|
|
|
44.3 |
|
| 1Amounts are recorded
in Cost of sales |
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of net income to adjusted
EBITDA for the three and nine months ended September 30, 2024 and
2023
| |
|
Three months ended September 30, |
|
|
Nine months ended September 30, |
|
Consolidated (in millions of US dollars) |
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
| Net income |
|
54.4 |
|
|
|
30.9 |
|
|
|
126.8 |
|
|
|
46.2 |
|
| Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
Community support provision and accruals |
|
- |
|
|
|
(0.1 |
) |
|
|
(0.5 |
) |
|
|
(0.2 |
) |
|
Inventory adjustment |
|
(0.1 |
) |
|
|
- |
|
|
|
2.5 |
|
|
|
0.9 |
|
|
Foreign exchange loss, Séguéla Mine |
|
- |
|
|
|
0.1 |
|
|
|
- |
|
|
|
- |
|
|
Net finance items |
|
6.3 |
|
|
|
8.2 |
|
|
|
19.4 |
|
|
|
14.3 |
|
|
Depreciation, depletion, and amortization |
|
59.9 |
|
|
|
63.9 |
|
|
|
167.4 |
|
|
|
148.0 |
|
|
Income taxes |
|
15.1 |
|
|
|
6.6 |
|
|
|
37.3 |
|
|
|
15.6 |
|
|
Other non-cash/non-recurring items |
|
(4.3 |
) |
|
|
(5.0 |
) |
|
|
(13.8 |
) |
|
|
(10.8 |
) |
|
Adjusted EBITDA |
|
131.3 |
|
|
|
104.6 |
|
|
|
339.1 |
|
|
|
214.0 |
|
Figures may not add due to rounding
Reconciliation of net cash from
operating activities to free cash flow from ongoing operations for
the three and nine months ended September 30, 2024 and
2023
| |
|
Three months ended September 30, |
|
|
Nine months ended September 30, |
|
(Expressed in millions) |
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by operating activities |
|
92.9 |
|
|
|
106.5 |
|
|
|
215.4 |
|
|
|
191.8 |
|
|
Closure and rehabilitation provisions |
|
2.2 |
|
|
|
- |
|
|
|
2.3 |
|
|
|
- |
|
|
Séguéla, working capital |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
4.4 |
|
|
Additions to mineral properties, plant and equipment |
|
(37.8 |
) |
|
|
(30.6 |
) |
|
|
(103.1 |
) |
|
|
(97.3 |
) |
|
Gain on blue chip swap investments |
|
3.2 |
|
|
|
- |
|
|
|
8.3 |
|
|
|
- |
|
|
Right of use payments |
|
(4.2 |
) |
|
|
(5.9 |
) |
|
|
(14.8 |
) |
|
|
(11.6 |
) |
|
Other adjustments |
|
0.3 |
|
|
|
- |
|
|
|
(0.8 |
) |
|
|
- |
|
| Free
cash flow from ongoing operations |
|
56.6 |
|
|
|
70.0 |
|
|
|
107.3 |
|
|
|
87.3 |
|
Figures may not add due to rounding
Reconciliation of cost of sales to cash cost per ounce
of gold equivalent sold for the three and nine months ended
September 30, 2024 and 2023
|
Cash Cost Per Gold Equivalent Ounce Sold - Q3
2024 |
|
Lindero |
|
|
Yaramoko |
|
|
Séguéla |
|
|
San Jose |
|
|
Caylloma |
|
|
GEO Cash Costs |
|
| Cost of sales |
|
42,350 |
|
|
45,656 |
|
|
55,466 |
|
|
24,697 |
|
|
19,820 |
|
|
187,991 |
|
| Inventory adjustment |
|
2 |
|
|
— |
|
|
— |
|
|
135 |
|
|
— |
|
|
137 |
|
| Depletion, depreciation, and
amortization |
|
(13,639 |
) |
|
(12,923 |
) |
|
(27,165 |
) |
|
(1,150 |
) |
|
(4,465 |
) |
|
(59,342 |
) |
| Royalties and taxes |
|
(89 |
) |
|
(5,480 |
) |
|
(6,143 |
) |
|
(639 |
) |
|
(366 |
) |
|
(12,717 |
) |
| By-product credits |
|
(1,132 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(1,132 |
) |
| Other |
|
— |
|
|
— |
|
|
— |
|
|
6 |
|
|
(279 |
) |
|
(273 |
) |
|
Treatment and refining charges |
|
— |
|
|
— |
|
|
— |
|
|
826 |
|
|
2,249 |
|
|
3,075 |
|
| Cash cost applicable per gold
equivalent ounce sold |
|
27,492 |
|
|
27,253 |
|
|
22,158 |
|
|
23,875 |
|
|
16,959 |
|
|
117,737 |
|
| Ounces
of gold equivalent sold |
|
26,393 |
|
|
27,995 |
|
|
33,816 |
|
|
9,597 |
|
|
13,401 |
|
|
111,203 |
|
| Cash
cost per ounce of gold equivalent sold ($/oz) |
|
1,042 |
|
|
974 |
|
|
655 |
|
|
2,488 |
|
|
1,265 |
|
|
1,059 |
|
| Gold equivalent
was calculated using the realized prices for gold of $2,490/oz Au,
$29.4/oz Ag, $2,040/t Pb, and $2,782/t Zn for Q3 2024. |
| Figures may not
add due to rounding |
| |
|
Cash Cost Per Gold Equivalent Ounce Sold - Q3
2023 |
|
Lindero |
|
|
Yaramoko |
|
|
Séguéla |
|
|
San Jose |
|
|
Caylloma |
|
|
GEO Cash Costs |
|
| Cost of sales |
|
36,778 |
|
|
53,943 |
|
|
33,233 |
|
|
37,071 |
|
|
16,159 |
|
|
177,184 |
|
| Inventory adjustment |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
| Depletion, depreciation, and
amortization |
|
(11,132 |
) |
|
(24,563 |
) |
|
(14,556 |
) |
|
(10,233 |
) |
|
(2,960 |
) |
|
(63,444 |
) |
| Royalties and taxes |
|
(3,266 |
) |
|
(3,793 |
) |
|
(4,568 |
) |
|
(1,278 |
) |
|
(166 |
) |
|
(13,071 |
) |
| By-product credits |
|
(454 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(454 |
) |
| Other |
|
— |
|
|
— |
|
|
— |
|
|
(341 |
) |
|
(340 |
) |
|
(681 |
) |
|
Treatment and refining charges |
|
— |
|
|
— |
|
|
— |
|
|
1,010 |
|
|
4,972 |
|
|
5,982 |
|
| Cash cost applicable per gold
equivalent ounce sold |
|
21,926 |
|
|
25,587 |
|
|
14,109 |
|
|
26,229 |
|
|
17,665 |
|
|
105,516 |
|
| Ounces
of gold equivalent sold |
|
22,224 |
|
|
33,971 |
|
|
35,503 |
|
|
23,487 |
|
|
14,384 |
|
|
129,570 |
|
| Cash
cost per ounce of gold equivalent sold ($/oz) |
|
987 |
|
|
753 |
|
|
397 |
|
|
1,117 |
|
|
1,228 |
|
|
814 |
|
| Gold equivalent
was calculated using the realized prices for gold of $1,924/oz Au,
$23.7/oz Ag, $2,136/t Pb, and $2,428/t Zn for Q3 2023 |
| Figures may not
add due to rounding |
| |
|
Cash Cost Per Gold Equivalent Ounce Sold - Year to Date
2024 |
|
Lindero |
|
|
Yaramoko |
|
|
Séguéla |
|
|
San Jose |
|
|
Caylloma |
|
|
GEO Cash Costs |
|
| Cost of sales |
|
112,409 |
|
|
131,446 |
|
|
152,106 |
|
|
73,945 |
|
|
53,164 |
|
|
523,072 |
|
| Inventory adjustment |
|
(226 |
) |
|
(2,852 |
) |
|
— |
|
|
597 |
|
|
— |
|
|
(2,481 |
) |
| Depletion, depreciation, and
amortization |
|
(36,800 |
) |
|
(36,922 |
) |
|
(78,211 |
) |
|
(2,114 |
) |
|
(11,647 |
) |
|
(165,694 |
) |
| Royalties and taxes |
|
(458 |
) |
|
(15,782 |
) |
|
(17,244 |
) |
|
(2,210 |
) |
|
(949 |
) |
|
(36,643 |
) |
| By-product credits |
|
(2,259 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(2,259 |
) |
| Other |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(960 |
) |
|
(960 |
) |
|
Treatment and refining charges |
|
— |
|
|
— |
|
|
— |
|
|
2,543 |
|
|
5,766 |
|
|
8,309 |
|
| Cash cost applicable per gold
equivalent ounce sold |
|
72,666 |
|
|
75,890 |
|
|
56,651 |
|
|
72,761 |
|
|
45,374 |
|
|
323,342 |
|
| Ounces
of gold equivalent sold |
|
69,430 |
|
|
86,621 |
|
|
101,369 |
|
|
34,218 |
|
|
39,476 |
|
|
331,114 |
|
| Cash
cost per ounce of gold equivalent sold ($/oz) |
|
1,047 |
|
|
876 |
|
|
559 |
|
|
2,126 |
|
|
1,149 |
|
|
977 |
|
| Gold equivalent
was calculated using the realized prices for gold of $2,307/oz Au,
$27.1/oz Ag, $2,091/t Pb, and $2,692/t Zn for Year to Date
2024. |
| Figures may not
add due to rounding |
| |
|
Cash Cost Per Gold Equivalent Ounce Sold - Year to Date
2023 |
|
Lindero |
|
|
Yaramoko |
|
|
Séguéla |
|
|
San Jose |
|
|
Caylloma |
|
|
GEO Cash Costs |
|
| Cost of sales |
|
118,783 |
|
|
137,159 |
|
|
33,233 |
|
|
98,960 |
|
|
50,810 |
|
|
438,945 |
|
| Inventory adjustment |
|
15 |
|
|
(827 |
) |
|
— |
|
|
— |
|
|
— |
|
|
(812 |
) |
| Depletion, depreciation, and
amortization |
|
(36,197 |
) |
|
(57,719 |
) |
|
(14,556 |
) |
|
(28,677 |
) |
|
(9,848 |
) |
|
(146,997 |
) |
| Royalties and taxes |
|
(11,042 |
) |
|
(10,241 |
) |
|
(4,568 |
) |
|
(3,575 |
) |
|
(851 |
) |
|
(30,277 |
) |
| By-product credits |
|
(3,738 |
) |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(3,738 |
) |
| Other |
|
— |
|
|
— |
|
|
— |
|
|
(91 |
) |
|
(1,294 |
) |
|
(1,385 |
) |
|
Treatment and refining charges |
|
— |
|
|
— |
|
|
— |
|
|
2,848 |
|
|
15,735 |
|
|
18,583 |
|
| Cash cost applicable per gold
equivalent ounce sold |
|
67,821 |
|
|
68,372 |
|
|
14,109 |
|
|
69,465 |
|
|
54,552 |
|
|
274,319 |
|
| Ounces
of gold equivalent sold |
|
74,117 |
|
|
89,448 |
|
|
35,503 |
|
|
63,000 |
|
|
47,128 |
|
|
309,195 |
|
| Cash
cost per ounce of gold equivalent sold ($/oz) |
|
915 |
|
|
764 |
|
|
397 |
|
|
1,103 |
|
|
1,158 |
|
|
887 |
|
| Gold equivalent
was calculated using the realized prices for gold of $1,927/oz Au,
$23.4/oz Ag, $2,162/t Pb, and $2,778/t Zn for YTD 2023 |
| Figures may not
add due to rounding |
| |
Reconciliation of cost of sales to all-in sustaining
cash cost per ounce of gold equivalent sold for the three and nine
months ended September 30, 2024 and 2023
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AISC Per Gold Equivalent Ounce Sold - Q3 2024 |
|
Lindero |
|
Yaramoko |
|
Séguéla |
|
San Jose |
|
Caylloma |
|
Corporate |
|
GEO AISC |
| Cash cost applicable per gold
equivalent ounce sold |
|
27,492 |
|
27,253 |
|
22,158 |
|
23,875 |
|
16,959 |
|
— |
|
117,737 |
| Inventory net realizable value
adjustment |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
| Royalties and taxes |
|
89 |
|
5,480 |
|
6,143 |
|
639 |
|
366 |
|
— |
|
12,717 |
| Worker's participation |
|
— |
|
— |
|
— |
|
— |
|
472 |
|
— |
|
472 |
| General and
administration |
|
2,935 |
|
550 |
|
2,945 |
|
1,802 |
|
1,246 |
|
6,275 |
|
15,753 |
|
Stand-by |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
| Total cash costs |
|
30,516 |
|
33,283 |
|
31,246 |
|
26,316 |
|
19,043 |
|
6,275 |
|
146,679 |
|
Sustaining capital 1 |
|
21,264 |
|
5,166 |
|
8,511 |
|
198 |
|
6,817 |
|
— |
|
41,956 |
| All-in sustaining costs |
|
51,780 |
|
38,449 |
|
39,757 |
|
26,514 |
|
25,860 |
|
6,275 |
|
188,635 |
| Gold
equivalent ounces sold |
|
26,393 |
|
27,995 |
|
33,816 |
|
9,597 |
|
13,401 |
|
— |
|
111,203 |
| All-in
sustaining costs per ounce |
|
1,962 |
|
1,373 |
|
1,176 |
|
2,763 |
|
1,930 |
|
— |
|
1,696 |
| Gold equivalent
was calculated using the realized prices for gold of $2,490/oz Au,
$29.4/oz Ag, $2,040/t Pb, and $2,782/t Zn for Q3 2024. |
| Figures may not
add due to rounding |
|
1 Presented on a cash basis |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AISC Per Gold Equivalent Ounce Sold - Q3 2023 |
|
Lindero |
|
Yaramoko |
|
|
Séguéla |
|
San Jose |
|
Caylloma |
|
Corporate |
|
GEO AISC |
|
Cash cost applicable per gold equivalent ounce sold |
|
21,926 |
|
25,587 |
|
|
14,109 |
|
26,229 |
|
17,665 |
|
— |
|
105,516 |
| Inventory net realizable value
adjustment |
|
— |
|
— |
|
|
— |
|
— |
|
— |
|
— |
|
— |
| Royalties and taxes |
|
3,266 |
|
3,793 |
|
|
4,568 |
|
1,278 |
|
166 |
|
— |
|
13,071 |
| Worker's participation |
|
— |
|
— |
|
|
— |
|
426 |
|
510 |
|
— |
|
936 |
| General and
administration |
|
2,292 |
|
(243 |
) |
|
3,112 |
|
1,727 |
|
1,032 |
|
6,219 |
|
14,139 |
|
Stand-by |
|
— |
|
— |
|
|
— |
|
— |
|
— |
|
— |
|
— |
| Total cash costs |
|
27,484 |
|
29,137 |
|
|
21,789 |
|
29,660 |
|
19,373 |
|
6,219 |
|
133,662 |
|
Sustaining capital1 |
|
8,267 |
|
12,059 |
|
|
6,191 |
|
4,800 |
|
5,124 |
|
— |
|
36,441 |
| All-in sustaining costs |
|
35,751 |
|
41,196 |
|
|
27,980 |
|
34,460 |
|
24,497 |
|
6,219 |
|
170,103 |
| Gold
equivalent ounces sold |
|
22,224 |
|
33,971 |
|
|
35,503 |
|
23,487 |
|
14,384 |
|
— |
|
129,570 |
| All-in
sustaining costs per ounce |
|
1,609 |
|
1,213 |
|
|
788 |
|
1,467 |
|
1,703 |
|
— |
|
1,313 |
| Gold equivalent
was calculated using the realized prices for gold of $1,924/oz Au,
$23.7/oz Ag, $2,136/t Pb, and $2,428/t Zn for Q3 2023 |
| Figures may not
add due to rounding |
|
1 Presented on a cash basis |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AISC Per Gold Equivalent Ounce Sold - Year to Date
2024 |
|
Lindero |
|
Yaramoko |
|
Séguéla |
|
San Jose |
|
Caylloma |
|
Corporate |
|
GEO AISC |
| Cash cost applicable per gold
equivalent ounce sold |
|
72,666 |
|
75,890 |
|
56,651 |
|
72,761 |
|
45,374 |
|
— |
|
323,342 |
| Inventory net realizable value
adjustment |
|
— |
|
1,777 |
|
— |
|
— |
|
— |
|
— |
|
1,777 |
| Royalties and taxes |
|
458 |
|
15,782 |
|
17,244 |
|
2,210 |
|
949 |
|
— |
|
36,643 |
| Worker's participation |
|
— |
|
— |
|
— |
|
— |
|
1,361 |
|
— |
|
1,361 |
| General and
administration |
|
9,095 |
|
1,282 |
|
6,716 |
|
4,850 |
|
3,871 |
|
29,262 |
|
55,076 |
|
Stand-by |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
| Total cash costs |
|
82,219 |
|
94,731 |
|
80,611 |
|
79,821 |
|
51,555 |
|
29,262 |
|
418,199 |
|
Sustaining capital1 |
|
48,407 |
|
24,724 |
|
28,134 |
|
675 |
|
15,559 |
|
— |
|
117,499 |
| All-in sustaining costs |
|
130,626 |
|
119,455 |
|
108,745 |
|
80,496 |
|
67,114 |
|
29,262 |
|
535,698 |
| Gold
equivalent ounces sold |
|
69,430 |
|
86,621 |
|
101,369 |
|
34,218 |
|
39,476 |
|
— |
|
331,114 |
| All-in
sustaining costs per ounce |
|
1,881 |
|
1,379 |
|
1,073 |
|
2,352 |
|
1,700 |
|
— |
|
1,618 |
| Gold equivalent
was calculated using the realized prices for gold of $2,307/oz Au,
$27.1/oz Ag, $2,091/t Pb, and $2,692/t Zn for Year to Date
2024. |
| Figures may not
add due to rounding |
|
1 Presented on a cash basis |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AISC Per Gold Equivalent Ounce Sold - Year to Date
2023 |
|
Lindero |
|
Yaramoko |
|
Séguéla |
|
San Jose |
|
Caylloma |
|
Corporate |
|
GEO AISC |
| Cash cost applicable per gold
equivalent ounce sold |
|
67,821 |
|
68,372 |
|
14,109 |
|
69,465 |
|
54,552 |
|
— |
|
274,319 |
| Inventory net realizable value
adjustment |
|
— |
|
334 |
|
— |
|
— |
|
— |
|
— |
|
334 |
| Royalties and taxes |
|
11,042 |
|
10,241 |
|
4,568 |
|
3,575 |
|
851 |
|
— |
|
30,277 |
| Worker's participation |
|
— |
|
— |
|
— |
|
114 |
|
1,528 |
|
— |
|
1,642 |
| General and
administration |
|
6,791 |
|
1,255 |
|
3,112 |
|
5,251 |
|
3,466 |
|
23,300 |
|
43,175 |
|
Stand-by |
|
— |
|
2,999 |
|
— |
|
4,084 |
|
— |
|
— |
|
7,083 |
| Total cash costs |
|
85,654 |
|
83,201 |
|
21,789 |
|
82,489 |
|
60,397 |
|
23,300 |
|
356,830 |
|
Sustaining capital1 |
|
30,546 |
|
44,655 |
|
6,191 |
|
14,418 |
|
13,230 |
|
— |
|
109,040 |
| All-in sustaining costs |
|
116,200 |
|
127,856 |
|
27,980 |
|
96,907 |
|
73,627 |
|
23,300 |
|
465,870 |
| Gold
equivalent ounces sold |
|
74,117 |
|
89,448 |
|
35,503 |
|
63,000 |
|
47,128 |
|
— |
|
309,195 |
| All-in
sustaining costs per ounce |
|
1,568 |
|
1,429 |
|
788 |
|
1,538 |
|
1,562 |
|
— |
|
1,508 |
| Gold equivalent
was calculated using the realized prices for gold of $1,927/oz Au,
$23.4/oz Ag, $2,162/t Pb, and $2,778/t Zn for YTD 2023 |
| Figures may not
add due to rounding |
| 1
Presented on a cash basis |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of cost of sales to cash cost per payable
ounce of silver equivalent sold for the three and nine months ended
September 30, 2024 and 2023
| |
|
|
|
|
|
|
|
Cash Cost Per Silver Equivalent Ounce Sold - Q3
2024 |
|
San Jose |
|
|
Caylloma |
|
|
SEO Cash Costs |
|
| Cost of sales |
|
24,697 |
|
|
19,820 |
|
|
44,517 |
|
| Inventory adjustment |
|
135 |
|
|
— |
|
|
135 |
|
| Depletion, depreciation, and
amortization |
|
(1,150 |
) |
|
(4,465 |
) |
|
(5,615 |
) |
| Royalties and taxes |
|
(639 |
) |
|
(366 |
) |
|
(1,005 |
) |
| Other |
|
6 |
|
|
(279 |
) |
|
(273 |
) |
|
Treatment and refining charges |
|
826 |
|
|
2,249 |
|
|
3,075 |
|
| Cash cost applicable per
silver equivalent sold |
|
23,875 |
|
|
16,959 |
|
|
40,834 |
|
| Ounces
of silver equivalent sold1 |
|
812,015 |
|
|
1,139,823 |
|
|
1,951,838 |
|
| Cash
cost per ounce of silver equivalent sold ($/oz) |
|
29.40 |
|
|
14.88 |
|
|
20.92 |
|
| 1
Silver equivalent sold for Q3 2024 for San Jose is calculated using
a silver to gold ratio of 84.3:1. Silver equivalent sold for Q3
2024 for Caylloma is calculated using a silver to gold ratio of
85.9:1, silver to lead ratio of 1:31.6 pounds, and silver to zinc
ratio of 1:23.2 pounds. |
|
2 Silver equivalent is calculated using the
realized prices for gold, silver, lead, and zinc. Refer to
Financial Results - Sales and Realized Prices |
| Figures may not
add due to rounding |
| |
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
Cash Cost Per Silver Equivalent Ounce Sold - Q3
2023 |
|
San Jose |
|
|
Caylloma |
|
|
SEO Cash Costs |
|
| Cost of sales |
|
37,071 |
|
|
16,159 |
|
|
53,230 |
|
| Inventory adjustment |
|
— |
|
|
— |
|
|
— |
|
| Depletion, depreciation, and
amortization |
|
(10,233 |
) |
|
(2,960 |
) |
|
(13,193 |
) |
| Royalties and taxes |
|
(1,278 |
) |
|
(166 |
) |
|
(1,444 |
) |
| Other |
|
(341 |
) |
|
(340 |
) |
|
(681 |
) |
|
Treatment and refining charges |
|
1,010 |
|
|
4,972 |
|
|
5,982 |
|
| Cash cost applicable per
silver equivalent sold |
|
26,229 |
|
|
17,665 |
|
|
43,894 |
|
| Ounces
of silver equivalent sold1 |
|
1,910,609 |
|
|
1,158,881 |
|
|
3,069,490 |
|
| Cash
cost per ounce of silver equivalent sold ($/oz) |
|
13.73 |
|
|
15.25 |
|
|
14.30 |
|
| 1 Silver
equivalent sold for San Jose for Q3 2023 is 81.7:1.Silver
equivalent sold for Caylloma for Q3 2023 is calculated using a
silver to gold ratio of 80.3:1, silver to lead ratio of 1:24.7
pounds, and silver to zinc ratio 1:21.7 |
|
2 Silver equivalent is calculated using the
realized prices for gold, silver, lead, and zinc. Refer to
Financial Results - Sales and Realized Prices |
| Figures have been
restated to remove Right of Use |
| Figures may not
add due to rounding |
| |
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
Cash Cost Per Silver Equivalent Ounce Sold - Year to Date
2024 |
|
San Jose |
|
|
Caylloma |
|
|
SEO Cash Costs |
|
| Cost of sales |
|
73,945 |
|
|
53,164 |
|
|
127,109 |
|
| Inventory adjustment |
|
597 |
|
|
— |
|
|
597 |
|
| Depletion, depreciation, and
amortization |
|
(2,114 |
) |
|
(11,647 |
) |
|
(13,761 |
) |
| Royalties and taxes |
|
(2,210 |
) |
|
(949 |
) |
|
(3,159 |
) |
| Other |
|
— |
|
|
(960 |
) |
|
(960 |
) |
|
Treatment and refining charges |
|
2,543 |
|
|
5,766 |
|
|
8,309 |
|
| Cash cost applicable per
silver equivalent sold |
|
72,761 |
|
|
45,374 |
|
|
118,135 |
|
| Ounces
of silver equivalent sold1 |
|
2,908,861 |
|
|
3,372,741 |
|
|
6,281,602 |
|
| Cash
cost per ounce of silver equivalent sold ($/oz) |
|
25.01 |
|
|
13.45 |
|
|
18.81 |
|
|
1 Silver equivalent sold for Year to Date 2024 for
San Jose is calculated using a silver to gold ratio of 84.6:1.
Silver equivalent sold for Year to Date 2024 for Caylloma is
calculated using a silver to gold ratio of 82.8:1, silver to lead
ratio of 1:28.4 pounds, and silver to zinc ratio of 1:22.1
pounds. |
|
2 Silver equivalent is calculated using the
realized prices for gold, silver, lead, and zinc. Refer to
Financial Results - Sales and Realized Prices |
| Figures may not
add due to rounding |
| |
| |
|
|
|
|
|
|
|
Cash Cost Per Silver Equivalent Ounce Sold - Year to Date
2023 |
|
San Jose |
|
|
Caylloma |
|
|
SEO Cash Costs |
|
| Cost of sales |
|
98,960 |
|
|
50,810 |
|
|
149,770 |
|
| Inventory adjustment |
|
— |
|
|
— |
|
|
— |
|
| Depletion, depreciation, and
amortization |
|
(28,677 |
) |
|
(9,848 |
) |
|
(38,525 |
) |
| Royalties and taxes |
|
(3,575 |
) |
|
(851 |
) |
|
(4,426 |
) |
| Other |
|
(91 |
) |
|
(1,294 |
) |
|
(1,385 |
) |
|
Treatment and refining charges |
|
2,848 |
|
|
15,735 |
|
|
18,583 |
|
| Cash cost applicable per
silver equivalent sold |
|
69,465 |
|
|
54,552 |
|
|
124,017 |
|
| Ounces
of silver equivalent sold1 |
|
5,194,670 |
|
|
3,869,253 |
|
|
9,063,923 |
|
| Cash
cost per ounce of silver equivalent sold ($/oz) |
|
13.37 |
|
|
14.10 |
|
|
13.68 |
|
|
1 Silver equivalent sold for Year to Date 2023 for
San Jose is calculated using a silver to gold ratio of 82.6:1.
Silver equivalent sold for Year to Date 2023 for Caylloma is
calculated using a silver to gold ratio of 80.9:1, silver to lead
ratio of 1:24.0 pounds, and silver to zinc ratio of 1:18.6
pounds. |
|
2 Silver equivalent is calculated using the
realized prices for gold, silver, lead, and zinc. Refer to
Financial Results - Sales and Realized Prices |
| Figures have been
restated to remove Right of Use |
| Figures may not
add due to rounding |
| |
|
|
|
|
|
|
Reconciliation of all-in sustaining cash
cost and all-in cash cost per payable ounce of silver equivalent
sold for the three and nine months ended September 30, 2024 and
2023
|
|
|
|
|
|
|
|
|
AISC Per Silver Equivalent Ounce Sold - Q3
2024 |
|
San Jose |
|
Caylloma |
|
SEO AISC |
| Cash cost applicable per
silver equivalent ounce sold |
|
23,875 |
|
16,959 |
|
40,834 |
| Royalties and taxes |
|
639 |
|
366 |
|
1,005 |
| Worker's participation |
|
— |
|
472 |
|
472 |
| General and
administration |
|
1,802 |
|
1,246 |
|
3,048 |
|
Stand-by |
|
— |
|
— |
|
— |
| Total cash costs |
|
26,316 |
|
19,043 |
|
45,359 |
|
Sustaining capital3 |
|
198 |
|
6,817 |
|
7,015 |
| All-in sustaining costs |
|
26,514 |
|
25,860 |
|
52,374 |
| Silver
equivalent ounces sold1 |
|
812,015 |
|
1,139,823 |
|
1,951,838 |
| All-in
sustaining costs per ounce2 |
|
32.65 |
|
22.69 |
|
26.83 |
| 1
Silver equivalent sold for Q3 2024 for San Jose is calculated using
a silver to gold ratio of 84.3:1. Silver equivalent sold for Q3
2024 for Caylloma is calculated using a silver to gold ratio of
85.9:1, silver to lead ratio of 1:31.6 pounds, and silver to zinc
ratio of 1:23.2 pounds. |
| 2
Silver equivalent is calculated using the realized prices for gold,
silver, lead, and zinc. Refer to Financial Results - Sales and
Realized Prices |
| 3
Presented on a cash basis |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AISC Per Silver Equivalent Ounce Sold - Q3
2023 |
|
San Jose |
|
Caylloma |
|
SEO AISC |
| Cash cost applicable per
silver equivalent ounce sold |
|
26,229 |
|
17,665 |
|
43,894 |
| Royalties and taxes |
|
1,278 |
|
166 |
|
1,444 |
| Worker's participation |
|
426 |
|
510 |
|
936 |
| General and
administration |
|
1,727 |
|
1,032 |
|
2,759 |
|
Stand-by |
|
— |
|
— |
|
— |
| Total cash costs |
|
29,660 |
|
19,373 |
|
49,033 |
|
Sustaining capital3 |
|
4,800 |
|
5,124 |
|
9,924 |
| All-in sustaining costs |
|
34,460 |
|
24,497 |
|
58,957 |
| Silver
equivalent ounces sold1 |
|
1,910,609 |
|
1,158,881 |
|
3,069,490 |
| All-in
sustaining costs per ounce2 |
|
18.04 |
|
21.14 |
|
19.21 |
|
1 Silver equivalent sold for San Jose for Q3 2023
is 81.7:1.Silver equivalent sold for Caylloma for Q3 2023 is
calculated using a silver to gold ratio of 80.3:1, silver to lead
ratio of 1:24.7 pounds, and silver to zinc ratio 1:21.7 |
|
2 Silver equivalent is calculated using the
realized prices for gold, silver, lead, and zinc. Refer to
Financial Results - Sales and Realized Prices |
|
3 Presented on a cash basis |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AISC Per Silver Equivalent Ounce Sold - Year to Date
2024 |
|
San Jose |
|
Caylloma |
|
SEO AISC |
| Cash cost applicable per
silver equivalent ounce sold |
|
72,761 |
|
45,374 |
|
118,135 |
| Royalties and taxes |
|
2,210 |
|
949 |
|
3,159 |
| Worker's participation |
|
— |
|
1,361 |
|
1,361 |
| General and
administration |
|
4,850 |
|
3,871 |
|
8,721 |
|
Stand-by |
|
— |
|
— |
|
— |
| Total cash costs |
|
79,821 |
|
51,555 |
|
131,376 |
|
Sustaining capital3 |
|
675 |
|
15,559 |
|
16,234 |
| All-in sustaining costs |
|
80,496 |
|
67,114 |
|
147,610 |
| Silver
equivalent ounces sold1 |
|
2,908,861 |
|
3,372,741 |
|
6,281,602 |
| All-in
sustaining costs per ounce2 |
|
27.67 |
|
19.90 |
|
23.50 |
| 1
Silver equivalent sold for Year to Date 2024 for San Jose is
calculated using a silver to gold ratio of 84.6:1. Silver
equivalent sold for Year to Date 2024 for Caylloma is calculated
using a silver to gold ratio of 82.8:1, silver to lead ratio of
1:28.4 pounds, and silver to zinc ratio of 1:22.1 pounds. |
| 2
Silver equivalent is calculated using the realized prices for gold,
silver, lead, and zinc. Refer to Financial Results - Sales and
Realized Prices |
| 3
Presented on a cash basis |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AISC Per Silver Equivalent Ounce Sold - Year to Date
2023 |
|
San Jose |
|
Caylloma |
|
SEO AISC |
| Cash cost applicable per
silver equivalent ounce sold |
|
69,465 |
|
54,552 |
|
124,017 |
| Royalties and taxes |
|
3,575 |
|
851 |
|
4,426 |
| Worker's participation |
|
114 |
|
1,528 |
|
1,642 |
| General and
administration |
|
5,251 |
|
3,466 |
|
8,717 |
|
Stand-by |
|
4,084 |
|
— |
|
4,084 |
| Total cash costs |
|
82,489 |
|
60,397 |
|
142,886 |
|
Sustaining capital3 |
|
14,418 |
|
13,230 |
|
27,648 |
| All-in sustaining costs |
|
96,907 |
|
73,627 |
|
170,534 |
| Silver
equivalent ounces sold1 |
|
5,194,670 |
|
3,869,253 |
|
9,063,923 |
| All-in
sustaining costs per ounce2 |
|
18.66 |
|
19.03 |
|
18.81 |
| 1
Silver equivalent sold for Year to Date 2023 for San Jose is
calculated using a silver to gold ratio of 82.6:1. Silver
equivalent sold for Year to Date 2023 for Caylloma is calculated
using a silver to gold ratio of 80.9:1, silver to lead ratio of
1:24.0 pounds, and silver to zinc ratio of 1:18.6 pounds. |
| 2
Silver equivalent is calculated using the realized prices for gold,
silver, lead, and zinc. Refer to Financial Results - Sales and
Realized Prices |
| 3
Presented on a cash basis |
| |
|
|
|
|
|
|
Additional information regarding the Company’s
financial results and activities underway are available in the
Company’s unaudited condensed interim consolidated financial
statements for the three and nine months ended September 30, 2024
and 2023 and accompanying Q3 2024 MD&A, which are available for
download on the Company’s website, www.fortunamining.com, on SEDAR+
at www.sedarplus.ca and on EDGAR at www.sec.gov/edgar.
Conference Call and Webcast
A conference call to discuss the financial and
operational results will be held on Thursday, November 7, 2024, at
9:00 a.m. Pacific time | 12:00 p.m. Eastern time. Hosting the call
will be Jorge A. Ganoza, President and CEO, Luis D. Ganoza, Chief
Financial Officer, Cesar Velasco, Chief Operating Officer - Latin
America, and David Whittle, Chief Operating Officer - West
Africa.
Shareholders, analysts, media and interested
investors are invited to listen to the live conference call by
logging onto the webcast at:
https://www.webcaster4.com/Webcast/Page/1696/51478 or over the
phone by dialing in just prior to the starting time.
Conference call details:
Date: Thursday, November 7,
2024
Time: 9:00 a.m. Pacific time | 12:00 p.m. Eastern
time
Dial in number (Toll Free):
+1.888.506.0062
Dial in number (International):
+1.973.528.0011
Access code: 398720
Replay number (Toll Free):
+1.877.481.4010
Replay number (International): +1.919.882.2331
Replay passcode: 51478
Playback of the earnings call will be available
until Thursday, November 21, 2024. Playback of the webcast will be
available until Friday, November 7, 2025. In addition, a transcript
of the call will be archived on the Company’s website.
About Fortuna Mining Corp.
Fortuna Mining Corp. is a Canadian precious
metals mining company with five operating mines in Argentina,
Burkina Faso, Côte d’Ivoire, Mexico, and Peru, as well as the
preliminary economic assessment stage Diamba Sud Gold Project
located in Senegal. Sustainability is integral to all our
operations and relationships. We produce gold and silver and
generate shared value over the long-term for our stakeholders
through efficient production, environmental protection, and social
responsibility. For more information, please visit our website.
ON BEHALF OF THE BOARD
Jorge A. Ganoza
President, CEO, and Director
Fortuna Mining Corp.
Investor Relations:
Carlos Baca | info@fmcmail.com |
www.fortunamining.com | X |
LinkedIn | YouTube
Forward-looking Statements
This news release contains forward-looking
statements which constitute "forward-looking information" within
the meaning of applicable Canadian securities legislation and
"forward-looking statements" within the meaning of the "safe
harbor" provisions of the Private Securities Litigation Reform Act
of 1995 (collectively, "Forward-looking Statements"). All
statements included herein, other than statements of historical
fact, are Forward-looking Statements and are subject to a variety
of known and unknown risks and uncertainties which could cause
actual events or results to differ materially from those reflected
in the Forward-looking Statements. The Forward-looking Statements
in this news release include, without limitation, statements about
the Company's plans for its mines and mineral properties; the
Company’s anticipated financial and operational performance in
2024; estimated production and costs of production for 2024,
including grade and volume of metal produced and sales, revenues
and cashflows, and capital costs (sustaining and non-sustaining),
and operating costs, including projected production cash costs and
all-in sustaining costs; the Company’s expectations regarding
meeting cost and production guidance; the ability of the Company to
mitigate the inflationary pressures on supplies used in its
operations; estimated capital expenditures and estimated
exploration spending in 2024, including amounts for exploration
activities at its properties; statements regarding the Company's
liquidity, access to capital; the impact of high inflation on the
costs of production and the supply chain; the Company’s
expectation regarding the timing of the completion of the leach pad
expansion project at the Lindero Mine and statements that the
project is tracking on budget; statements regarding the anticipated
exhaustion of Mineral Reserves at the San Jose Mine; statements
regarding the progressive closure of the San Jose Mine, including
expected timing of the closure and monitoring plan and budget, the
anticipated duration of mining operations and production amounts as
well as expectations that production income can offset significant
closure costs in the initial years; statements regarding cost and
productivity initiatives launched by the Company; the Company’s
expectations regarding the Séguéla Mine in 2025, including
anticipated stripping ratio, throughput compared to nameplate
design, and expectations regarding increased infrastructure costs;
the Company's business strategy, plans and outlook; the merit of
the Company's mines and mineral properties; mineral resource and
reserve estimates, metal recovery rates, concentrate grade and
quality; changes in tax rates and tax laws, requirements for
permits, anticipated approvals and other matters. Often, but not
always, these Forward-looking Statements can be identified by the
use of words such as "estimated", “expected”, “anticipated”,
"potential", "open", "future", "assumed", "projected", "used",
"detailed", "has been", "gain", "planned", "reflecting", "will",
"containing", "remaining", "to be", or statements that events,
"could" or "should" occur or be achieved and similar expressions,
including negative variations.
Forward-looking Statements involve known and
unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements of the Company to be
materially different from any results, performance or achievements
expressed or implied by the Forward-looking Statements. Such
uncertainties and factors include, among others, changes in general
economic conditions and financial markets; uncertainty
relating to new mining operations such as the Séguéla Mine,
including the possibility that actual capital and operating costs
and economic returns will differ significantly from those estimated
for such projects prior to production; risks associated
with war or other geo-political hostilities, such as the Ukrainian
– Russian and the Israel – Hamas conflicts, any of which could
continue to cause a disruption in global economic activity;
fluctuation in currencies and foreign exchange rates; increases in
the rate of inflation; the imposition or any extension of capital
controls in countries in which the Company operates; any changes in
tax laws in Argentina and the other countries in which we operate;
changes in the prices of key supplies; technological and
operational hazards in Fortuna’s mining and mine development
activities; risks related to water and power availability; risks
inherent in mineral exploration; uncertainties inherent in the
estimation of mineral reserves, mineral resources, and metal
recoveries; changes to current estimates of mineral reserves and
resources; changes to production and cost estimates; changes in the
position of regulatory authorities with respect to the granting of
approvals or permits; governmental and other approvals; changes in
government, political unrest or instability in countries where
Fortuna is active; labor relations issues; as well as those factors
discussed under “Risk Factors” in the Company's Annual Information
Form. Although the Company has attempted to identify important
factors that could cause actual actions, events or results to
differ materially from those described in Forward-looking
Statements, there may be other factors that cause actions, events
or results not to be as anticipated, estimated or
intended.
Forward-looking Statements contained herein
are based on the assumptions, beliefs, expectations and opinions of
management, including, but not limited to, the accuracy of the
Company’s current mineral resource and reserve estimates; that the
Company’s activities will be conducted in accordance with the
Company’s public statements and stated goals; that there will be no
material adverse change affecting the Company, its properties or
changes to production estimates (which assume accuracy of projected
ore grade, mining rates, recovery timing, and recovery rate
estimates and may be impacted by unscheduled maintenance, labor and
contractor availability and other operating or technical
difficulties); geo-political uncertainties that may affect the
Company’s production, workforce, business, operations and financial
condition; the expected trends in mineral prices and currency
exchange rates; that the Company will be successful in mitigating
the impact of inflation on its business and operations; that all
required approvals and permits will be obtained for the Company’s
business and operations on acceptable terms; that there will be no
significant disruptions affecting the Company's operations, the
ability to meet current and future obligations and such other
assumptions as set out herein. Forward-looking Statements are made
as of the date hereof and the Company disclaims any obligation to
update any Forward-looking Statements, whether as a result of new
information, future events or results or otherwise, except as
required by law. There can be no assurance that these
Forward-looking Statements will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. Accordingly, investors should not
place undue reliance on Forward-looking Statements.
Cautionary Note to United States Investors
Concerning Estimates of Reserves and Resources
Reserve and resource estimates included in
this news release have been prepared in accordance with National
Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI
43-101") and the Canadian Institute of Mining, Metallurgy, and
Petroleum Definition Standards on Mineral Resources and Mineral
Reserves. NI 43-101 is a rule developed by the Canadian Securities
Administrators that establishes standards for public disclosure by
a Canadian company of scientific and technical information
concerning mineral projects. Unless otherwise indicated, all
mineral reserve and mineral resource estimates contained in the
technical disclosure have been prepared in accordance with NI
43-101 and the Canadian Institute of Mining, Metallurgy and
Petroleum Definition Standards on Mineral Resources and Reserves.
Canadian standards, including NI 43-101, differ significantly from
the requirements of the Securities and Exchange Commission, and
mineral reserve and resource information included in this news
release may not be comparable to similar information disclosed by
U.S. companies.
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