/NOT FOR DISSEMINATION OR DISTRIBUTION IN
(All financial figures are unaudited and denominated in US Dollars unless otherwise stated)
Key Highlights
- Achieved consolidated full year gold production of 301,675 ounces including 99,155 ounces produced in the fourth quarter.
- Unaudited consolidated All-In Sustaining Costs ("AISC") for the full year of
$1,276 per ounce sold and cash costs of$866 per ounce sold. - Haile produced 48,988 ounces of gold in the fourth quarter and 137,413 ounces for the full year.
- Martha Underground progressing to first production in the second quarter of 2021.
- Completed new, four-year
$250 million revolving credit facility withDecember 31, 2024 maturity date. - Ended the full year with immediately available liquidity of
$229 million , including$179 million of cash on hand and$50 million in undrawn credit facilities. - Philippines Office of the President instructed government agencies to finalise terms and conditions of the Didipio FTAA renewal.
"In
"In December, the Company met with Philippine Government officials, as instructed by the Office of the President, to finalise the terms and conditions of the FTAA renewal. We expect the renewal will be returned to the Office of the President for review and approval in the near-term. Didipio is a world-class operation that employs thousands of Filipinos and is a significant source of economic benefit to the National Government as well as the local communities of Nueva Vizcaya and Quirino. We look forward to working with stakeholders and Government officials to safely restart operations and continue the significant socio-economic benefits when the renewal has been approved.
"Looking ahead to 2021, we expect stronger year-on-year production. Our robust organic growth pipeline is advancing to plan, and we are excited to bring Martha Underground into full production in the second quarter. Exploration remains a critical part of the
Table 1 – Fourth Quarter and Full Year 2020 Operational Results
Quarter ended | Haile | Didipio | Waihi | Macraes | Consolidated | ||
Q4 2020 | Q4 2019 | ||||||
Gold Produced | koz | 49.0 | - | 7.6 | 42.6 | 99.2 | 108.2 |
Gold Sales | koz | 46.7 | - | 7.5 | 42.2 | 96.4 | 107.3 |
Average Gold Price(1) | US$/oz | 1,877 | - | 1,826 | 1,669 | 1,648 | 1,404 |
Copper Produced | kt | - | - | - | - | - | 0.1 |
Copper Sales | kt | - | - | - | - | - | - |
Average Copper Price | US$/lb | - | - | - | - | - | - |
Material Mined | kt | 9,956 | - | 53.4 | 11,565 | 21,574 | 19,924 |
Waste Mined | kt | 8,661 | - | 0.8 | 9,108 | 17,770 | 16,617 |
Ore Mined | kt | 1,295 | - | 52.6 | 2,456 | 3,804 | 3,306 |
kt | 844 | - | 80 | 1,450 | 2,374 | 2,449 | |
g/t | 2.17 | - | 3.29 | 1.08 | 1.54 | 1.59 | |
Gold Recovery | % | 83.2 | - | 89.7 | 84.2 | 84.1 | 86.4 |
Cash Costs | US$/oz | 672 | - | 1,017 | 864 | 783 | 757 |
Site All-In Sustaining Costs(2) | US$/oz | 904 | - | 955(3) | 1,140 | 1,075 | 980 |
Full Year | Haile | Didipio | Waihi | Macraes | Consolidated | ||
2020 | 2019 | ||||||
Gold Produced | koz | 137.4 | - | 19.8 | 144.5 | 301.7 | 470.6 |
Gold Sales | koz | 138.5 | 6.8 | 21.0 | 144.2 | 310.5 | 448.4 |
Average Gold Price(1) | US$/oz | 1,774 | 1,672 | 1,663 | 1,696 | 1,573 | 1,360 |
Copper Produced | kt | - | - | - | - | - | 10.3 |
Copper Sales | kt | - | - | - | - | - | 6.9 |
Average Copper Price | US$/lb | - | - | - | - | - | 2.84 |
Material Mined | kt | 38,323 | - | 131.3 | 47,450 | 85,904 | 78,408 |
Waste Mined | kt | 34,922 | - | 2.8 | 40,371 | 75,296 | 67,128 |
Ore Mined | kt | 3,401 | - | 128.5 | 7,079 | 10,608 | 11,280 |
kt | 3,511 | - | 137 | 5,419 | 9,067 | 12,212 | |
g/t | 1.52 | - | 5.03 | 1.01 | 1.27 | 1.42 | |
Gold Recovery | % | 79.5 | - | 89.0 | 82.2 | 81.4 | 84.4 |
Cash Costs | US$/oz | 945 | 443 | 641 | 844 | 866 | 733 |
Site All-In Sustaining Costs(2) | US$/oz | 1,345 | 444 | 583(3) | 1,204 | 1,276 | 1,061 |
(1) | Realised gains and losses on gold hedging are included in the consolidated average gold price. Realised gains and losses on gold hedging are not included in the site average gold prices. Macraes' average gold price are based on revenue including the gold prepay unwind for September to December. |
(2) | Site AISC are exclusive of Corporate general and administrative expenses and have been restated in prior periods accordingly; Consolidated AISC is inclusive of Corporate general and administrative expenses. |
(3) | The lower AISC (relative to Cash Costs) at Waihi reflects the inclusion of some proceeds from the sale of sustaining assets during the periods and the associated low sales volume. |
The Company produced 301,675 ounces of gold, including 99,155 ounces in the fourth quarter. Gold production for the fourth quarter increased 57% quarter-on-quarter due to significantly higher production at Haile and Macraes attributable to higher head grades.
On a consolidated basis, the Company delivered AISC of
Haile produced 137,413 ounces of gold, including 48,988 ounces in the fourth quarter, a 73% quarter-on-quarter increase. In the quarter, the Company accessed higher grade zones of the open pits and increased mine utilisation rates despite continued challenges related to COVID-19. As of 2020 year-end, the Haile operation was impacted by 63 positive COVID-19 cases with over 500 workers self-isolating for a two-week period at some point since the beginning of
In
Development of Martha Underground continues to progress to first production by the end of the second quarter of 2021. Underground development advanced 2,276 metres in the fourth quarter and totalled 7,371 metres for the full year. Mining and processing of narrow vein ore from Correnso will continue in the first quarter of 2021 before the process plant is shut down for upgrades. Processing will resume with ore feed exclusively from the Martha Underground later in the second quarter.
In
The Company will release multi-year guidance on
2021 Investor Update and 2020 Full Year Results Webcast
The Company will host its 2021 Investor Day and 2020 Full Year Results Webcast at
Webcast Participants
To register, please copy and paste the link below into your browser:
https://produceredition.webcasts.com/starthere.jsp?ei=1421371&tp_key=ef24d5a1a9
Teleconference Participants (required for those who wish to ask questions)
Local (toll free) dial in numbers are:
All other countries (toll): + 1 416 764 8688
If you are unable to attend the call, a recording will be available for viewing on the Company's website.
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About
Cautionary Statement for Public Release
Certain information contained in this public release may be deemed "forward-looking" within the meaning of applicable securities laws. Forward-looking statements and information relate to future performance and reflect the Company's expectations regarding the generation of free cash flow, achievement of guidance, execution of business strategy, future growth, future production, estimated costs, results of operations, business prospects and opportunities of
There are no assurances the Company can fulfil forward-looking statements and information. Such forward-looking statements and information are only predictions based on current information available to management as of the date that such predictions are made; actual events or results may differ materially as a result of risks facing the Company, some of which are beyond the Company's control. Although the Company believes that any forward-looking statements and information contained in this press release is based on reasonable assumptions, readers cannot be assured that actual outcomes or results will be consistent with such statements. Accordingly, readers should not place undue reliance on forward-looking statements and information.
The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements and information, whether as a result of new information, events or otherwise, except as required by applicable securities laws. The information contained in this release is not investment or financial product advice.
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