WHEATON PRECIOUS METALS CORP.
|
||||
November 9, 2023
|
By:
|
/s/ Curt Bernardi
|
||
Name:
|
Curt Bernardi
|
|||
Title:
|
Senior Vice President, Legal
|
|||
and Corporate Secretary
|
99.1 |
99.2 |
99.3 |
99.4 |
99.5 |
99.6 |
99.7 |
99.8 |
|
• |
Third quarter of 2023: $223 million in revenue, $171 million in operating cash flow, $116 million in net earnings and $121 million in adjusted net earnings1.
|
|
• |
A cash balance of $834 million and no debt as at September 30, 2023, after making total upfront cash payments of $90 million relative to mineral stream interests in the quarter.
|
|
• |
Undrawn $2 billion revolving credit facility maturing on June 22, 2028.
|
|
• |
Declared a quarterly dividend1 of $0.15 per common share.
|
|
• |
Streaming agreements on 18 operating mines and 14 development projects.
|
|
• |
93% of attributable production from assets in the lowest half of their respective cost curves2,3.
|
|
• |
30 years of mine life based on Proven and Probable Mineral Reserves and potential additional mine life from mineral resource conversion and exploration2,4.
|
|
• |
Third quarter production increased quarter over quarter to 154,800 gold equivalent ounces3 ("GEOs"), driven by strong outperformances at both Salobo and Constancia, and despite the
temporary suspension at Peñasquito, highlighting the strength of our diversified portfolio.
|
|
• |
Average annual production guidance for 2023 of 600,000 to 660,000 GEOs2,3 is maintained, with sector-leading growth over the next five to ten years.
|
|
• |
Accretive portfolio growth:
|
|
o |
Subsequent to the quarter, entered into a definitive agreement with Waterton Copper Corp. to acquire a silver stream on the Mineral Park mine for total cash consideration of $115 million.
|
|
o |
Acquired a 0.5% Net Smelter Royalty from Liberty Gold Corp., on the Black Pine Oxide Gold Project for total cash consideration of $3.6 million, along with an equity investment totalling $5 million
in Liberty Gold at C$0.34 per share.
|
|
• |
Top Rankings: #1 out of 117 precious metals companies and ranked in the Global Top 50 companies by Sustainalytics, AA rated by MSCI, and Prime rated by ISS.
|
|
• |
Wheaton was recognized as Best Company for ESG & Sustainability (Metals & Mining) and runner-up for Best Company for Climate Reporting (Large Cap) by ESG Investing’s Corporate ESG Awards.
|
(all figures in US dollars unless otherwise noted)
|
|
|
Q3 2023
|
|
|
Q3 2022
|
|
Change
|
|
|
YTD 2023
|
|
|
YTD 2022
|
|
|
Change
|
Units produced
|
|
|
|
|
|
|
|
|
|||||||||
Gold ounces
|
|
|
105,436
|
|
72,078
|
46.3 %
|
|
|
261,635
|
|
216,574
|
20.8 %
|
|||||
Silver ounces
|
|
|
3,363
|
|
5,822
|
(42.2)%
|
|
|
12,876
|
|
18,497
|
(30.4)%
|
|||||
Palladium ounces
|
|
|
4,006
|
|
3,229
|
24.1 %
|
|
|
11,591
|
|
11,616
|
(0.2)%
|
|||||
Cobalt pounds
|
|
|
183
|
|
226
|
(19.1)%
|
|
|
458
|
|
596
|
(23.1)%
|
|||||
Gold equivalent ounces 3
|
|
|
154,800
|
|
153,025
|
1.2 %
|
|
|
444,597
|
|
473,868
|
(6.2)%
|
|||||
Units sold
|
|
|
|
|
|
|
|
|
|||||||||
Gold ounces
|
|
|
74,426
|
|
62,000
|
20.0 %
|
|
|
212,325
|
|
224,238
|
(5.3)%
|
|||||
Silver ounces
|
|
|
2,965
|
|
5,234
|
(43.4)%
|
|
|
11,151
|
|
16,635
|
(33.0)%
|
|||||
Palladium ounces
|
|
|
4,242
|
|
4,227
|
0.4 %
|
|
|
10,580
|
|
11,680
|
(9.4)%
|
|||||
Cobalt pounds
|
|
|
198
|
|
115
|
72.2 %
|
|
|
786
|
|
851
|
(7.6)%
|
|||||
Gold equivalent ounces 3
|
|
|
119,030
|
|
135,179
|
(11.9)%
|
|
|
375,248
|
|
460,026
|
(18.4)%
|
|||||
Change in PBND and Inventory
|
|
|
|
|
|
|
|
|
|||||||||
Gold equivalent ounces 3
|
|
|
22,438
|
|
|
4,460
|
|
(17,978)
|
|
|
27,248
|
|
|
(32,368)
|
|
|
(59,616)
|
Revenue
|
|
$
|
223,137
|
|
$
|
218,836
|
2.0 %
|
|
$
|
702,573
|
|
$
|
829,002
|
(15.3)%
|
|||
Net earnings
|
|
$
|
116,371
|
|
$
|
196,460
|
(40.8)%
|
|
$
|
369,209
|
|
$
|
503,001
|
(26.6)%
|
|||
Per share
|
|
$
|
0.257
|
|
$
|
0.435
|
(40.9)%
|
|
$
|
0.815
|
|
$
|
1.114
|
(26.8)%
|
|||
Adjusted net earnings 1
|
|
$
|
121,467
|
|
$
|
93,878
|
29.4 %
|
|
$
|
368,481
|
|
$
|
401,168
|
(8.1)%
|
|||
Per share 1
|
|
$
|
0.268
|
|
$
|
0.208
|
28.8 %
|
|
$
|
0.814
|
|
$
|
0.889
|
(8.4)%
|
|||
Operating cash flows
|
|
$
|
171,103
|
|
$
|
154,497
|
10.7 %
|
|
$
|
508,584
|
|
$
|
571,396
|
(11.0)%
|
|||
Per share 1
|
|
$
|
0.378
|
|
$
|
0.342
|
|
10.5 %
|
|
$
|
1.123
|
|
$
|
1.266
|
|
|
(11.3)%
|
|
• |
Approximately $834 million of cash on hand
|
|
• |
During the third quarter of 2023, the Company made total upfront cash payments of $90 million relative to the mineral stream interests consisting of
|
|
- |
$70 million payment relative to the Blackwater Silver precious metals purchase agreement (“PMPA”); and
|
|
- |
a $20 million payment relative to the expansion of the Blackwater Gold PMPA
|
|
• |
With the existing cash on hand coupled with the fully undrawn $2 billion revolving credit facility, the Company is well positioned to fund all outstanding commitments and known contingencies as well
as providing flexibility to acquire additional accretive mineral stream interests.
|
|
• |
In the third quarter of 2023, Wheaton was recognized as Best Company for ESG & Sustainability (Metals & Mining) and runner-up for Best Company for Climate Reporting (Large Cap) by ESG
Investing’s Corporate ESG Awards.
|
|
• |
In the third quarter of 2023, the Tour De Cure Presented by Wheaton attracted over 1,500 riders and raised more than $7.1 million for the BC Cancer Foundation.
|
|
• |
In the third quarter of 2023, a number of new programs were established with First Majestic Silver. These include support for the operation of a community centre, improvements to a solid waste storage
facility and the implementation of a recycling program, as well as the implementation and operation of wastewater treatment facilities in the community of Tayoltita. In addition, Wheaton also committed to assisting First Majestic Silver in
providing internet access for several remote communities close to the mine.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(US dollars and shares in thousands, except per share amounts - unaudited)
|
|
2023
|
2022
|
2023
|
2022
|
||||
Sales
|
|
$
|
223,137
|
$
|
218,836
|
$
|
702,573
|
$
|
829,002
|
Cost of sales
|
|
|
|
|
|||||
Cost of sales, excluding depletion
|
$
|
49,808
|
$
|
60,955
|
$
|
160,413
|
$
|
205,891
|
|
Depletion
|
|
|
46,435
|
|
55,728
|
|
145,908
|
|
178,812
|
Total cost of sales
|
|
$
|
96,243
|
$
|
116,683
|
$
|
306,321
|
$
|
384,703
|
Gross margin
|
|
$
|
126,894
|
$
|
102,153
|
$
|
396,252
|
$
|
444,299
|
General and administrative expenses
|
|
8,606
|
8,360
|
|
28,922
|
27,448
|
|||
Share based compensation
|
|
4,336
|
77
|
|
16,217
|
11,586
|
|||
Donations and community investments
|
|
1,736
|
1,406
|
|
5,054
|
3,379
|
|||
Impairment reversal of mineral stream interests
|
|
-
|
|
(10,330)
|
|
-
|
|
(10,330)
|
|
Earnings from operations
|
$
|
112,216
|
$
|
102,640
|
$
|
346,059
|
$
|
412,216
|
|
Gain on disposal of mineral stream interest
|
|
-
|
(104,425)
|
|
(5,027)
|
(104,425)
|
|||
Other (income) expense
|
|
|
(10,707)
|
|
(2,799)
|
|
(26,961)
|
|
(3,448)
|
Earnings before finance costs and income taxes
|
$
|
122,923
|
$
|
209,864
|
$
|
378,047
|
$
|
520,089
|
|
Finance costs
|
|
|
1,407
|
|
1,398
|
|
4,138
|
|
4,209
|
Earnings before income taxes
|
$
|
121,516
|
$
|
208,466
|
$
|
373,909
|
$
|
515,880
|
|
Income tax expense
|
|
|
(5,145)
|
|
(12,006)
|
|
(4,700)
|
|
(12,879)
|
Net earnings
|
|
$
|
116,371
|
$
|
196,460
|
$
|
369,209
|
$
|
503,001
|
Basic earnings per share
|
$
|
0.257
|
$
|
0.435
|
$
|
0.815
|
$
|
1.114
|
|
Diluted earnings per share
|
$
|
0.257
|
$
|
0.434
|
$
|
0.814
|
$
|
1.112
|
|
Weighted average number of shares outstanding
|
|
|
|
|
|||||
Basic
|
|
452,975
|
451,757
|
|
452,748
|
451,402
|
|||
Diluted
|
|
|
453,538
|
|
452,386
|
|
453,419
|
|
452,221
|
As at
September 30 |
As at
December 31 |
|||
(US dollars in thousands - unaudited)
|
2023
|
2022
|
||
Assets
|
|
|
||
Current assets
|
|
|
||
Cash and cash equivalents
|
$
|
833,919
|
$
|
696,089
|
Accounts receivable
|
|
10,492
|
10,187
|
|
Cobalt inventory
|
|
2,429
|
10,530
|
|
Taxes receivable
|
|
5,000
|
-
|
|
Other
|
|
4,353
|
|
3,287
|
Total current assets
|
$
|
856,193
|
$
|
720,093
|
Non-current assets
|
|
|
||
Mineral stream interests
|
$
|
5,737,454
|
$
|
5,707,019
|
Early deposit mineral stream interests
|
|
47,093
|
46,092
|
|
Long-term equity investments
|
|
200,893
|
256,095
|
|
Property, plant and equipment
|
|
8,092
|
4,210
|
|
Other
|
|
31,790
|
|
26,397
|
Total non-current assets
|
$
|
6,025,322
|
$
|
6,039,813
|
Total assets
|
$
|
6,881,515
|
$
|
6,759,906
|
Liabilities
|
|
|
||
Current liabilities
|
|
|
||
Accounts payable and accrued liabilities
|
$
|
11,999
|
$
|
12,570
|
Current taxes payable
|
|
-
|
2,763
|
|
Current portion of performance share units
|
|
9,404
|
14,566
|
|
Current portion of lease liabilities
|
|
590
|
818
|
|
Total current liabilities
|
$
|
21,993
|
$
|
30,717
|
Non-current liabilities
|
|
|
||
Performance share units
|
$
|
6,222
|
$
|
6,673
|
Lease liabilities
|
|
5,654
|
1,152
|
|
Deferred income taxes
|
|
189
|
165
|
|
Pension liability
|
|
4,196
|
|
3,524
|
Total non-current liabilities
|
$
|
16,261
|
$
|
11,514
|
Total liabilities
|
$
|
38,254
|
$
|
42,231
|
Shareholders' equity
|
|
|
||
Issued capital
|
$
|
3,774,333
|
$
|
3,752,662
|
Reserves
|
|
(78,872)
|
66,547
|
|
Retained earnings
|
|
3,147,800
|
|
2,898,466
|
Total shareholders' equity
|
$
|
6,843,261
|
$
|
6,717,675
|
Total liabilities and shareholders' equity
|
$
|
6,881,515
|
$
|
6,759,906
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(US dollars in thousands - unaudited)
|
|
2023
|
2022
|
2023
|
2022
|
||||
Operating activities
|
|
|
|
|
|||||
Net earnings
|
$
|
116,371
|
$
|
196,460
|
$
|
369,209
|
$
|
503,001
|
|
Adjustments for
|
|
|
|
|
|||||
Depreciation and depletion
|
|
46,784
|
56,129
|
|
147,031
|
180,004
|
|||
Gain on disposal of mineral stream interest
|
|
-
|
(104,425)
|
|
(5,027)
|
(104,425)
|
|||
Impairment (reversal of impairment) of mineral stream interests
|
|
-
|
(10,330)
|
|
-
|
(10,330)
|
|||
Interest expense
|
|
78
|
22
|
|
131
|
72
|
|||
Equity settled stock based compensation
|
|
1,732
|
1,568
|
|
5,133
|
4,407
|
|||
Performance share units - expense
|
|
2,604
|
(1,491)
|
|
11,084
|
7,179
|
|||
Performance share units - paid
|
|
-
|
(163)
|
|
(16,675)
|
(18,411)
|
|||
Pension expense
|
|
329
|
291
|
|
787
|
720
|
|||
Pension paid
|
|
-
|
-
|
|
(116)
|
-
|
|||
Income tax expense (recovery)
|
|
5,145
|
12,006
|
|
4,700
|
12,879
|
|||
Loss (gain) on fair value adjustment of share purchase warrants held
|
|
143
|
204
|
|
248
|
1,101
|
|||
Investment income recognized in net earnings
|
|
(10,537)
|
(1,953)
|
|
(26,564)
|
(2,696)
|
|||
Other
|
|
163
|
(349)
|
|
662
|
(440)
|
|||
Change in non-cash working capital
|
|
|
(489)
|
|
4,728
|
|
(876)
|
|
(3,825)
|
Cash generated from operations before income taxes and interest
|
$
|
162,323
|
$
|
152,697
|
$
|
489,727
|
$
|
569,236
|
|
Income taxes paid
|
|
(912)
|
(29)
|
|
(5,244)
|
(141)
|
|||
Interest paid
|
|
(79)
|
(22)
|
|
(112)
|
(73)
|
|||
Interest received
|
|
|
9,771
|
|
1,851
|
|
24,213
|
|
2,374
|
Cash generated from operating activities
|
|
$
|
171,103
|
$
|
154,497
|
$
|
508,584
|
$
|
571,396
|
Financing activities
|
|
|
|
|
|||||
Credit facility extension fees
|
$
|
(13)
|
$
|
(1,205)
|
$
|
(859)
|
$
|
(1,207)
|
|
Share purchase options exercised
|
|
93
|
-
|
|
10,603
|
7,549
|
|||
Lease payments
|
|
|
(169)
|
|
(201)
|
|
(548)
|
|
(603)
|
Dividends paid
|
|
|
(66,994)
|
|
(59,487)
|
|
(198,085)
|
|
(176,604)
|
Cash used for financing activities
|
|
$
|
(67,083)
|
$
|
(60,893)
|
$
|
(188,889)
|
$
|
(170,865)
|
Investing activities
|
|
|
|
|
|||||
Mineral stream interests
|
$
|
(90,710)
|
$
|
(46,675)
|
$
|
(210,944)
|
$
|
(107,476)
|
|
Early deposit mineral stream interests
|
|
(250)
|
(750)
|
|
(1,000)
|
(1,500)
|
|||
Mineral royalty interest
|
|
(3,602)
|
-
|
|
(3,602)
|
-
|
|||
Net proceeds on disposal of mineral stream interests
|
|
-
|
(139)
|
|
46,400
|
(139)
|
|||
Acquisition of long-term investments
|
|
(5,006)
|
-
|
|
(13,181)
|
(22,768)
|
|||
Proceeds on disposal of long-term investments
|
|
-
|
-
|
|
202
|
-
|
|||
Dividends received
|
|
700
|
102
|
|
1,617
|
322
|
|||
Other
|
|
|
(35)
|
|
(69)
|
|
(1,804)
|
|
(194)
|
Cash used for investing activities
|
|
$
|
(98,903)
|
$
|
(47,531)
|
$
|
(182,312)
|
$
|
(131,755)
|
Effect of exchange rate changes on cash and cash equivalents
|
|
$
|
(35)
|
$
|
(81)
|
$
|
447
|
$
|
(203)
|
Increase in cash and cash equivalents
|
$
|
5,082
|
$
|
45,992
|
$
|
137,830
|
$
|
268,573
|
|
Cash and cash equivalents, beginning of period
|
|
828,837
|
|
448,626
|
|
696,089
|
|
226,045
|
|
Cash and cash equivalents, end of period
|
|
$
|
833,919
|
$
|
494,618
|
$
|
833,919
|
$
|
494,618
|
|
Q3 2023
|
Q2 2023
|
Q1 2023
|
Q4 2022
|
Q3 2022
|
Q2 2022
|
Q1 2022
|
Q4 2021
|
Gold ounces produced ²
|
|
|
|
|||||
Salobo
|
69,045
|
54,804
|
43,677
|
37,939
|
44,212
|
34,129
|
44,883
|
48,235
|
Sudbury 3
|
4,266
|
5,818
|
6,203
|
5,270
|
3,437
|
5,289
|
5,362
|
4,379
|
Constancia
|
19,003
|
7,444
|
6,905
|
10,496
|
7,196
|
8,042
|
6,311
|
9,857
|
San Dimas 4
|
9,995
|
11,166
|
10,754
|
10,037
|
11,808
|
10,044
|
10,461
|
13,714
|
Stillwater 5
|
2,454
|
2,017
|
1,960
|
2,185
|
1,833
|
2,171
|
2,497
|
2,664
|
Other
|
|
|
|
|||||
Marmato
|
673
|
639
|
457
|
533
|
542
|
778
|
477
|
479
|
777 6
|
-
|
-
|
-
|
-
|
-
|
3,509
|
4,003
|
4,462
|
Minto
|
-
|
1,292
|
3,063
|
2,567
|
3,050
|
2,480
|
4,060
|
3,506
|
Total Other
|
673
|
1,931
|
3,520
|
3,100
|
3,592
|
6,767
|
8,540
|
8,447
|
Total gold ounces produced
|
105,436
|
83,180
|
73,019
|
69,027
|
72,078
|
66,442
|
78,054
|
87,296
|
Silver ounces produced 2
|
|
|
|
|||||
Peñasquito 7
|
-
|
1,744
|
2,076
|
1,761
|
2,017
|
2,089
|
2,219
|
2,145
|
Antamina
|
864
|
960
|
851
|
1,067
|
1,327
|
1,330
|
1,210
|
1,309
|
Constancia
|
697
|
420
|
552
|
655
|
564
|
584
|
506
|
578
|
Other
|
|
|
|
|||||
Los Filos
|
28
|
28
|
28
|
14
|
21
|
35
|
42
|
37
|
Zinkgruvan
|
785
|
374
|
632
|
664
|
642
|
739
|
577
|
482
|
Neves-Corvo
|
486
|
407
|
436
|
369
|
323
|
345
|
344
|
522
|
Aljustrel
|
327
|
279
|
343
|
313
|
246
|
292
|
287
|
325
|
Cozamin
|
165
|
184
|
141
|
157
|
179
|
169
|
186
|
213
|
Marmato
|
11
|
7
|
8
|
9
|
7
|
7
|
11
|
7
|
Yauliyacu 8
|
-
|
-
|
-
|
261
|
463
|
756
|
637
|
382
|
Stratoni 9
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
129
|
Minto
|
-
|
14
|
29
|
33
|
33
|
26
|
45
|
44
|
Keno Hill 10
|
-
|
-
|
-
|
-
|
-
|
48
|
20
|
30
|
777 6
|
-
|
-
|
-
|
-
|
-
|
80
|
91
|
96
|
Total Other
|
1,802
|
1,293
|
1,617
|
1,820
|
1,914
|
2,497
|
2,240
|
2,267
|
Total silver ounces produced
|
3,363
|
4,417
|
5,096
|
5,303
|
5,822
|
6,500
|
6,175
|
6,299
|
Palladium ounces produced ²
|
|
|
|
|||||
Stillwater 5
|
4,006
|
3,880
|
3,705
|
3,869
|
3,229
|
3,899
|
4,488
|
4,733
|
Cobalt pounds produced ²
|
|
|
|
|||||
Voisey's Bay
|
183
|
152
|
124
|
128
|
226
|
136
|
234
|
381
|
GEOs produced 11
|
154,800
|
145,797
|
144,000
|
142,887
|
153,025
|
155,932
|
164,911
|
177,490
|
Average payable rate 2
|
|
|
|
|
|
|||
Gold
|
95.5%
|
95.1%
|
95.1%
|
94.9%
|
95.1%
|
95.1%
|
95.2%
|
96.0%
|
Silver
|
79.0%
|
83.2%
|
82.3%
|
83.6%
|
85.8%
|
85.9%
|
86.3%
|
86.2%
|
Palladium
|
93.6%
|
94.1%
|
96.0%
|
91.7%
|
95.0%
|
94.6%
|
92.7%
|
92.2%
|
Cobalt
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
GEO 11
|
90.8%
|
90.4%
|
89.3%
|
89.3%
|
90.4%
|
90.4%
|
90.7%
|
91.5%
|
1) |
All figures in thousands except gold and palladium ounces produced.
|
2) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures and payable rates are based
on information provided by the operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures and payable rates
may be updated in future periods as additional information is received.
|
3) |
Comprised of the Coleman, Copper Cliff, Garson, Creighton and Totten gold interests.
|
4) |
Under the terms of the San Dimas PMPA, the Company is entitled to an amount equal to 25% of the payable gold production plus an additional amount of gold equal to 25% of the payable silver production
converted to gold at a fixed gold to silver exchange ratio of 70:1 from the San Dimas mine. If the average gold to silver price ratio decreases to less than 50:1 or increases to more than 90:1 for a period of 6 months or more, then the "70"
shall be revised to "50" or "90", as the case may be, until such time as the average gold to silver price ratio is between 50:1 to 90:1 for a period of 6 months or more in which event the "70" shall be reinstated. For reference, attributable
silver production from prior periods is as follows: Q3 2023 - 387,000 ounces; Q2 2023 - 423,000 ounces; Q1 2023 - 401,000 ounces; Q4 2022 - 348,000 ounces; Q3 2022 - 412,000 ounces; Q2 2022 - 382,000 ounces; Q1 2022 - 408,000 ounces; Q4 2021 -
544,000 ounces.
|
5) |
Comprised of the Stillwater and East Boulder gold and palladium interests.
|
6) |
On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced.
|
7) |
There was a temporary suspension of operations at Peñasquito due to a labour strike which ran from June 7, 2023 to October 13, 2023.
|
8) |
On December 14, 2022 the Company terminated the Yauliyacu PMPA in exchange for a cash payment of $132 million.
|
9) |
The Stratoni mine was placed into care and maintenance during Q4-2021.
|
10) |
On September 7, 2022, the Company terminated the Keno Hill PMPA in exchange for $141 million of Hecla common stock.
|
11) |
GEOs, which are provided to assist the reader, are based on the following commodity price assumptions: $1,850 per ounce gold; $24.00 per ounce silver; $1,800 per ounce palladium; and $18.75 per pound
cobalt; consistent with those used in estimating the Company's production guidance for 2023.
|
|
Q3 2023
|
Q2 2023
|
Q1 2023
|
Q4 2022
|
Q3 2022
|
Q2 2022
|
Q1 2022
|
Q4 2021
|
Gold ounces sold
|
|
|
|
|||||
Salobo
|
44,444
|
46,030
|
35,966
|
41,029
|
31,818
|
48,515
|
42,513
|
47,171
|
Sudbury 2
|
4,836
|
4,775
|
4,368
|
4,988
|
5,147
|
7,916
|
3,712
|
965
|
Constancia
|
12,399
|
9,619
|
6,579
|
6,013
|
6,336
|
7,431
|
10,494
|
6,196
|
San Dimas
|
9,695
|
11,354
|
10,651
|
10,943
|
10,196
|
10,633
|
10,070
|
15,182
|
Stillwater 3
|
1,985
|
2,195
|
2,094
|
1,783
|
2,127
|
2,626
|
2,628
|
2,933
|
Other
|
|
|
|
|||||
Marmato
|
792
|
467
|
480
|
473
|
719
|
781
|
401
|
423
|
777
|
275
|
153
|
126
|
785
|
3,098
|
3,629
|
4,388
|
4,290
|
Minto
|
-
|
701
|
2,341
|
2,982
|
2,559
|
2,806
|
3,695
|
2,462
|
Total Other
|
1,067
|
1,321
|
2,947
|
4,240
|
6,376
|
7,216
|
8,484
|
7,175
|
Total gold ounces sold
|
74,426
|
75,294
|
62,605
|
68,996
|
62,000
|
84,337
|
77,901
|
79,622
|
Silver ounces sold
|
|
|
|
|||||
Peñasquito
|
453
|
1,913
|
1,483
|
2,066
|
1,599
|
2,096
|
2,188
|
1,818
|
Antamina
|
794
|
963
|
814
|
1,114
|
1,155
|
1,177
|
1,468
|
1,297
|
Constancia
|
435
|
674
|
366
|
403
|
498
|
494
|
644
|
351
|
Other
|
|
|
|
|||||
Los Filos
|
30
|
37
|
34
|
16
|
24
|
41
|
42
|
17
|
Zinkgruvan
|
714
|
370
|
520
|
547
|
376
|
650
|
355
|
346
|
Neves-Corvo
|
245
|
132
|
171
|
80
|
105
|
167
|
204
|
259
|
Aljustrel
|
142
|
182
|
205
|
156
|
185
|
123
|
145
|
133
|
Cozamin
|
139
|
150
|
119
|
150
|
154
|
148
|
177
|
174
|
Marmato
|
11
|
7
|
7
|
7
|
8
|
11
|
8
|
8
|
Yauliyacu
|
-
|
-
|
-
|
337
|
1,005
|
817
|
44
|
551
|
Stratoni
|
-
|
-
|
-
|
-
|
-
|
(2)
|
133
|
42
|
Minto
|
-
|
7
|
29
|
23
|
22
|
21
|
31
|
27
|
Keno Hill
|
-
|
-
|
1
|
1
|
30
|
30
|
27
|
24
|
777
|
2
|
2
|
-
|
35
|
73
|
75
|
87
|
69
|
Total Other
|
1,283
|
887
|
1,086
|
1,352
|
1,982
|
2,081
|
1,253
|
1,650
|
Total silver ounces sold
|
2,965
|
4,437
|
3,749
|
4,935
|
5,234
|
5,848
|
5,553
|
5,116
|
Palladium ounces sold
|
|
|
|
|||||
Stillwater 3
|
4,242
|
3,392
|
2,946
|
3,396
|
4,227
|
3,378
|
4,075
|
4,641
|
Cobalt pounds sold
|
|
|
|
|||||
Voisey's Bay
|
198
|
265
|
323
|
187
|
115
|
225
|
511
|
228
|
GEOs sold 4
|
119,030
|
138,835
|
117,383
|
138,218
|
135,179
|
165,766
|
159,082
|
152,826
|
Cumulative payable units PBND 5
|
|
|
|
|
|
|
|
|
Gold ounces
|
99,923
|
73,403
|
69,479
|
62,602
|
65,978
|
59,331
|
81,365
|
84,989
|
Silver ounces
|
1,071
|
1,325
|
2,065
|
1,606
|
2,287
|
2,438
|
2,693
|
3,042
|
Palladium ounces
|
5,607
|
6,122
|
5,751
|
5,098
|
5,041
|
6,267
|
5,535
|
5,629
|
Cobalt pounds
|
376
|
250
|
285
|
257
|
402
|
280
|
550
|
596
|
GEO 4
|
123,086
|
99,084
|
104,749
|
91,001
|
104,623
|
99,895
|
127,257
|
135,964
|
Inventory on hand
|
|
|
|
|
|
|
|
|
Cobalt pounds
|
155
|
310
|
398
|
633
|
556
|
582
|
410
|
657
|
1) |
All figures in thousands except gold and palladium ounces sold.
|
2) |
Comprised of the Coleman, Copper Cliff, Garson, Creighton and Totten gold interests.
|
3) |
Comprised of the Stillwater and East Boulder gold and palladium interests.
|
4) |
GEOs, which are provided to assist the reader, are based on the following commodity price assumptions: $1,850 per ounce gold; $24.00 per ounce silver; $1,800 per ounce palladium; and $18.75 per pound
cobalt; consistent with those used in estimating the Company's production guidance for 2023.
|
5) |
Payable gold, silver and palladium ounces as well as cobalt pounds produced but not yet delivered (“PBND”) are based on management estimates. These figures may be updated in future periods as
additional information is received.
|
Three Months Ended September 30, 2023
|
||||||||||||||||
|
Units
Produced²
|
Units
Sold |
Average
Realized Price ($'s Per Unit) |
Average
Cash Cost ($'s Per Unit) 3 |
Average
Depletion ($'s Per Unit) |
Sales
|
Net
Earnings |
Cash Flow
From Operations |
Total
Assets |
|||||||
Gold
|
||||||||||||||||
Salobo
|
69,045
|
44,444
|
$
|
1,944
|
$
|
420
|
$
|
330
|
$
|
86,395
|
$
|
53,026
|
$
|
67,710
|
$
|
2,341,485
|
Sudbury 4
|
4,266
|
4,836
|
1,950
|
400
|
1,204
|
9,428
|
1,669
|
7,494
|
268,224
|
|||||||
Constancia
|
19,003
|
12,399
|
1,944
|
419
|
316
|
24,102
|
14,991
|
18,906
|
86,555
|
|||||||
San Dimas
|
9,995
|
9,695
|
1,944
|
631
|
260
|
18,846
|
10,216
|
12,732
|
147,638
|
|||||||
Stillwater
|
2,454
|
1,985
|
1,944
|
349
|
510
|
3,859
|
2,154
|
3,167
|
212,650
|
|||||||
Other 5
|
673
|
1,067
|
|
1,945
|
|
368
|
|
391
|
|
2,077
|
|
1,266
|
|
1,684
|
|
557,035
|
|
105,436
|
74,426
|
$
|
1,944
|
$
|
444
|
$
|
381
|
$
|
144,707
|
$
|
83,322
|
$
|
111,693
|
$
|
3,613,587
|
Silver
|
||||||||||||||||
Peñasquito
|
-
|
453
|
$
|
23.82
|
$
|
4.43
|
$
|
4.06
|
$
|
10,804
|
$
|
6,952
|
$
|
8,795
|
$
|
278,028
|
Antamina
|
864
|
794
|
23.82
|
4.81
|
7.06
|
18,915
|
9,496
|
15,097
|
527,227
|
|||||||
Constancia
|
697
|
435
|
23.82
|
6.18
|
6.24
|
10,360
|
4,958
|
7,674
|
183,736
|
|||||||
Other 6
|
1,802
|
1,283
|
|
23.62
|
|
5.15
|
|
2.64
|
|
30,293
|
|
20,301
|
|
19,439
|
|
549,641
|
|
3,363
|
2,965
|
$
|
23.73
|
$
|
5.10
|
$
|
4.57
|
$
|
70,372
|
$
|
41,707
|
$
|
51,005
|
$
|
1,538,632
|
Palladium
|
||||||||||||||||
Stillwater
|
4,006
|
4,242
|
$
|
1,251
|
$
|
223
|
$
|
459
|
$
|
5,307
|
$
|
2,416
|
$
|
4,361
|
$
|
222,154
|
Platinum
|
||||||||||||||||
Marathon
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,450
|
Cobalt
|
||||||||||||||||
Voisey's Bay
|
183
|
198
|
$
|
13.87
|
$
|
3.66 ⁷
|
$
|
12.98
|
$
|
2,751
|
$
|
(551)
|
$
|
4,235
|
$
|
353,631
|
Operating results
|
|
|
|
|
|
|
|
$
|
223,137
|
$
|
126,894
|
$
|
171,294
|
$
|
5,737,454
|
|
Other
|
||||||||||||||||
General and administrative
|
$
|
(8,606)
|
$
|
(6,321)
|
||||||||||||
Share based compensation
|
(4,336)
|
-
|
||||||||||||||
Donations and community investments
|
(1,736)
|
(1,750)
|
||||||||||||||
Finance costs
|
(1,407)
|
(1,078)
|
||||||||||||||
Other
|
10,707
|
9,870
|
||||||||||||||
Income tax
|
|
|
|
|
|
|
|
|
|
|
|
(5,145)
|
|
(912)
|
|
|
Total other
|
|
|
|
|
|
|
|
|
$
|
(10,523)
|
$
|
(191)
|
$
|
1,144,061
|
||
|
|
|
|
|
|
|
|
|
|
|
$
|
116,371
|
$
|
171,103
|
$
|
6,881,515
|
1) |
Units of gold, silver and palladium produced and sold are reported in ounces, while cobalt is reported in pounds. All figures in thousands except gold and palladium ounces produced and sold and per
unit amounts.
|
2) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information
provided by the operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as
additional information is received.
|
3) |
Refer to discussion on non-IFRS measure (iii) at the end of this press release.
|
4) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests and the non-operating Stobie and Victor gold interests.
|
5) |
Comprised of the operating Marmato gold interests as well as the non-operating Minto, 777, Copper World Complex, Santo Domingo, Blackwater, Fenix, Goose, Marathon, Curipamba and Cangrejos gold
interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto mine.
|
6) |
Comprised of the operating Los Filos, Zinkgruvan, Neves-Corvo, Aljustrel, Cozamin and Marmato silver interests and the non-operating Minto, 777, Loma de La Plata, Stratoni, Pascua-Lama, Copper World
Complex, Blackwater and Curipamba silver interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the
Minto mine. On September 12, 2023, it was announced that the production of zinc and lead concentrates at Aljustrel will be halted from September 24, 2023 until the second quarter of 2025.
|
7) |
Cash cost per pound of cobalt sold during the third quarter of 2023 was net of a previously recorded inventory write-down of $0.1 million, resulting in a decrease of $0.51 per pound of cobalt sold. The
Company reflects the cobalt inventory at the lower of cost and net realizable value, and will continue to monitor the market price of cobalt relative to the carrying value of the inventory at each reporting period.
|
Three Months Ended September 30, 2023
|
|||||||
|
Ounces
Produced 1 |
Ounces
Sold |
Average
Realized Price ($'s Per Ounce) |
Average
Cash Cost ($'s Per Ounce) 2 |
Cash
Operating
Margin
($'s Per Ounce) 3 |
Average
Depletion ($'s Per Ounce) |
Gross
Margin ($'s Per Ounce) |
Gold equivalent basis 4
|
154,800
|
119,030
|
$ 1,875
|
$ 418
|
$ 1,457
|
$ 390
|
$ 1,067
|
1) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information
provided by the operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as
additional information is received.
|
2) |
Refer to discussion on non-IFRS measure (iii) at the end of this press release.
|
3) |
Refer to discussion on non-IFRS measure (iv) at the end of this press release.
|
4) |
GEOs, which are provided to assist the reader, are based on the following commodity price assumptions: $1,850 per ounce gold; $24.00 per ounce silver; $1,800 per ounce palladium; and $18.75 per pound
cobalt; consistent with those used in estimating the Company's production guidance for 2023.
|
Three Months Ended September 30, 2022
|
||||||||||||||||||
|
Units
Produced²
|
Units
Sold |
Average
Realized Price ($'s Per Unit) |
Average
Cash Cost ($'s Per Unit) 3 |
Average
Depletion ($'s Per Unit) |
Sales
|
Impairment Reversals /
Gain on Disposal 4
|
Net
Earnings |
Cash Flow
From Operations |
Total
Assets |
||||||||
Gold
|
||||||||||||||||||
Salobo
|
44,212
|
31,818
|
$
|
1,724
|
$
|
416
|
$
|
334
|
$
|
54,860
|
$
|
-
|
$
|
31,000
|
$
|
41,617
|
$
|
2,396,952
|
Sudbury 5
|
3,437
|
5,147
|
1,745
|
400
|
1,092
|
8,984
|
-
|
1,303
|
5,943
|
288,863
|
||||||||
Constancia
|
7,196
|
6,336
|
1,724
|
415
|
271
|
10,925
|
-
|
6,578
|
8,295
|
97,213
|
||||||||
San Dimas
|
11,808
|
10,196
|
1,724
|
624
|
260
|
17,579
|
-
|
8,567
|
11,213
|
158,704
|
||||||||
Stillwater
|
1,833
|
2,127
|
1,724
|
317
|
429
|
3,667
|
-
|
2,080
|
2,992
|
216,617
|
||||||||
Other 6
|
3,592
|
6,376
|
1,743
|
694
|
59
|
11,113
|
-
|
6,311
|
5,562
|
461,359
|
||||||||
|
72,078
|
62,000
|
$
|
1,728
|
$
|
474
|
$
|
353
|
$
|
107,128
|
$
|
-
|
$
|
55,839
|
$
|
75,622
|
$
|
3,619,708
|
Silver
|
||||||||||||||||||
Peñasquito
|
2,017
|
1,599
|
$
|
19.30
|
$
|
4.36
|
$
|
3.57
|
$
|
30,857
|
$
|
-
|
$
|
18,182
|
$
|
23,885
|
$
|
301,040
|
Antamina
|
1,327
|
1,155
|
19.30
|
3.75
|
7.06
|
22,287
|
-
|
9,798
|
17,951
|
553,231
|
||||||||
Constancia
|
564
|
498
|
19.30
|
6.12
|
6.35
|
9,613
|
-
|
3,398
|
6,563
|
195,507
|
||||||||
Other 7
|
1,914
|
1,982
|
18.93
|
7.51
|
6.84
|
37,513
|
114,755
|
123,823
|
21,896
|
538,739
|
||||||||
|
5,822
|
5,234
|
$
|
19.16
|
$
|
5.59
|
$
|
5.84
|
$
|
100,270
|
$
|
114,755
|
$
|
155,201
|
$
|
70,295
|
$
|
1,588,517
|
Palladium
|
||||||||||||||||||
Stillwater
|
3,229
|
4,227
|
$
|
2,091
|
$
|
353
|
$
|
399
|
$
|
8,838
|
$
|
-
|
$
|
5,657
|
$
|
7,344
|
$
|
228,168
|
Platinum
|
||||||||||||||||||
Marathon
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,425
|
Cobalt
|
||||||||||||||||||
Voisey's Bay
|
226
|
115
|
$
|
22.68
|
$
|
7.21
|
$
|
13.63
|
$
|
2,600
|
$
|
-
|
$
|
211
|
$
|
7,352
|
$
|
361,238
|
Operating results
|
|
|
|
|
|
|
|
$
|
218,836
|
$
|
114,755
|
$
|
216,908
|
$
|
160,613
|
$
|
5,807,056
|
|
Other
|
||||||||||||||||||
General and administrative
|
$
|
(8,360)
|
$
|
(5,342)
|
||||||||||||||
Share based compensation
|
(77)
|
(163)
|
||||||||||||||||
Donations and community investments
|
(1,406)
|
(1,410)
|
||||||||||||||||
Finance costs
|
(1,398)
|
(1,020)
|
||||||||||||||||
Other
|
2,799
|
1,848
|
||||||||||||||||
Income tax
|
(12,006)
|
(29)
|
||||||||||||||||
Total other
|
|
|
|
|
|
|
|
|
|
|
$
|
(20,448)
|
$
|
(6,116)
|
$
|
780,539
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
196,460
|
$
|
154,497
|
$
|
6,587,595
|
1) |
Units of gold, silver and palladium produced and sold are reported in ounces, while cobalt is reported in pounds. All figures in thousands except gold and palladium ounces produced and sold and per
unit amounts.
|
2) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information
provided by the operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as
additional information is received.
|
3) |
Refer to discussion on non-IFRS measure (iii) at the end of this press release.
|
4) |
Relates to the termination of the Keno Hill PMPA.
|
5) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests as well as the non-operating Stobie and Victor gold interests.
|
6) |
Comprised of the operating Minto, 777 and Marmato gold interests as well as the non-operating Copper World Complex, Santo Domingo, Blackwater, Fenix, Goose, Marathon and Curipamba gold interests. On
June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto mine.
|
7) |
Comprised of the operating Los Filos, Zinkgruvan, Neves-Corvo, Aljustrel, Minto, 777, Marmato and Cozamin silver interests, the non-operating Stratoni, Loma de La Plata, Copper World Complex,
Pascua-Lama, Blackwater and Curipamba silver interests and the previously owned Keno Hill and Yauliyacu silver interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On
September 7, 2022, the Keno Hill PMPA was terminated in exchange for $141 million of Hecla common stock. On December 14, 2022 the Yauliyacu PMPA was terminated in exchange for a cash payment of $132 million. On May 13, 2023, Minto announced the
suspension of operations at the Minto mine. On September 12, 2023, it was announced that the production of zinc and lead concentrates at Aljustrel will be halted from September 24, 2023 until the second quarter of 2025.
|
Three Months Ended September 30, 2022
|
|||||||
|
Ounces
Produced 1 |
Ounces
Sold |
Average
Realized Price ($'s Per Ounce) |
Average
Cash Cost ($'s Per Ounce) 2 |
Cash
Operating
Margin
($'s Per Ounce) 3 |
Average
Depletion ($'s Per Ounce) |
Gross
Margin ($'s Per Ounce) |
Gold equivalent basis 4
|
153,025
|
135,179
|
$ 1,619
|
$ 451
|
$ 1,168
|
$ 412
|
$ 756
|
1) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information
provided by the operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as
additional information is received.
|
2) |
Refer to discussion on non-IFRS measure (iii) at the end of this press release.
|
3) |
Refer to discussion on non-IFRS measure (iv) at the end of this press release.
|
4) |
GEOs, which are provided to assist the reader, are based on the following commodity price assumptions: $1,850 per ounce gold; $24.00 per ounce silver; $1,800 per ounce palladium; and $18.75 per pound
cobalt; consistent with those used in estimating the Company's production guidance for 2023.
|
Nine Months Ended September 30, 2023
|
||||||||||||||||||
|
Units
Produced²
|
Units
Sold |
Average
Realized Price ($'s Per Unit) |
Average
Cash Cost ($'s Per Unit) 3 |
Average
Depletion ($'s Per Unit) |
Sales
|
Gain on
Disposal 4
|
Net
Earnings |
Cash Flow
From Operations |
Total
Assets |
||||||||
Gold
|
||||||||||||||||||
Salobo
|
167,526
|
126,440
|
$
|
1,947
|
$
|
420
|
$
|
330
|
$
|
246,219
|
$
|
-
|
$
|
151,287
|
$
|
193,063
|
$
|
2,341,485
|
Sudbury 5
|
16,287
|
13,979
|
1,953
|
400
|
1,087
|
27,295
|
-
|
6,512
|
21,420
|
268,224
|
||||||||
Constancia
|
33,352
|
28,597
|
1,948
|
417
|
316
|
55,718
|
-
|
34,751
|
43,779
|
86,555
|
||||||||
San Dimas
|
31,915
|
31,700
|
1,945
|
628
|
260
|
61,657
|
-
|
33,535
|
41,762
|
147,638
|
||||||||
Stillwater
|
6,431
|
6,274
|
1,945
|
347
|
510
|
12,201
|
-
|
6,824
|
10,026
|
212,650
|
||||||||
Other 6
|
6,124
|
5,335
|
|
1,935
|
|
1,119
|
|
172
|
|
10,324
|
|
-
|
|
3,439
|
|
4,090
|
|
557,035
|
|
261,635
|
212,325
|
$
|
1,947
|
$
|
465
|
$
|
369
|
$
|
413,414
|
$
|
-
|
$
|
236,348
|
$
|
314,140
|
$
|
3,613,587
|
Silver
|
||||||||||||||||||
Peñasquito
|
3,820
|
3,849
|
$
|
23.63
|
$
|
4.43
|
$
|
4.06
|
$
|
90,967
|
$
|
-
|
$
|
58,268
|
$
|
73,915
|
$
|
278,028
|
Antamina
|
2,675
|
2,571
|
23.65
|
4.69
|
7.06
|
60,812
|
-
|
30,625
|
48,765
|
527,227
|
||||||||
Constancia
|
1,669
|
1,475
|
23.75
|
6.15
|
6.24
|
35,034
|
-
|
16,750
|
25,962
|
183,736
|
||||||||
Other 7
|
4,712
|
3,256
|
23.44
|
5.58
|
2.82
|
76,316
|
5,027
|
53,966
|
55,364
|
549,641
|
||||||||
|
12,876
|
11,151
|
$
|
23.60
|
$
|
5.05
|
$
|
4.68
|
$
|
263,129
|
$
|
5,027
|
$
|
159,609
|
$
|
204,006
|
$
|
1,538,632
|
Palladium
|
||||||||||||||||||
Stillwater
|
11,591
|
10,580
|
$
|
1,410
|
$
|
255
|
$
|
440
|
$
|
14,922
|
$
|
-
|
$
|
7,565
|
$
|
12,223
|
$
|
222,154
|
Platinum
|
||||||||||||||||||
Marathon
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,450
|
Cobalt
|
||||||||||||||||||
Voisey's Bay
|
458
|
786
|
$
|
14.13
|
$
|
3.36 ⁸
|
$
|
13.63
|
$
|
11,108
|
$
|
-
|
$
|
(2,243)
|
$
|
13,056
|
$
|
353,631
|
Operating results
|
|
|
|
|
|
|
|
$
|
702,573
|
$
|
5,027
|
$
|
401,279
|
$
|
543,425
|
$
|
5,737,454
|
|
Other
|
||||||||||||||||||
General and administrative
|
$
|
(28,922)
|
$
|
(29,702)
|
||||||||||||||
Share based compensation
|
(16,217)
|
(16,675)
|
||||||||||||||||
Donations and community investments
|
(5,054)
|
(4,896)
|
||||||||||||||||
Finance costs
|
(4,138)
|
(3,147)
|
||||||||||||||||
Other
|
26,961
|
24,823
|
||||||||||||||||
Income tax
|
(4,700)
|
(5,244)
|
||||||||||||||||
Total other
|
|
|
|
|
|
|
|
|
|
|
$
|
(32,070)
|
$
|
(34,841)
|
$
|
1,144,061
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
369,209
|
$
|
508,584
|
$
|
6,881,515
|
1) |
Units of gold, silver and palladium produced and sold are reported in ounces, while cobalt is reported in pounds. All figures in thousands except gold and palladium ounces produced and sold and per
unit amounts.
|
2) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information
provided by the operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as
additional information is received.
|
3) |
Refer to discussion on non-IFRS measure (iii) at the end of this press release.
|
4) |
The gain on disposal of Other silver interests relates to the gain on the buyback of 33% of the Goose PMPA.
|
5) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests and the non-operating Stobie and Victor gold interests.
|
6) |
Comprised of the operating Marmato gold interests as well as the non-operating Minto, 777, Copper World Complex, Santo Domingo, Blackwater, Fenix, Goose, Marathon,
Curipamba and Cangrejos gold interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure
activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto mine.
|
7) |
Comprised of the operating Los Filos, Zinkgruvan, Neves-Corvo, Aljustrel, Cozamin and Marmato silver interests and the non-operating Minto, 777, Loma de La Plata, Stratoni, Pascua-Lama, Copper World
Complex, Blackwater and Curipamba silver interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the
Minto mine. On September 12, 2023, it was announced that the production of zinc and lead concentrates at Aljustrel will be halted from September 24, 2023 until the second quarter of 2025.
|
8) |
Cash cost per pound of cobalt sold during the nine months ended September 30, 2023 was net of a previously recorded inventory write-down of $1.6 million, resulting in a decrease of $2.05 per pound of
cobalt sold. The Company reflects the cobalt inventory at the lower of cost and net realizable value, and will continue to monitor the market price of cobalt relative to the carrying value of the inventory at each reporting period.
|
Nine Months Ended September 30, 2023
|
|||||||
|
Ounces
Produced 1 |
Ounces
Sold |
Average
Realized Price ($'s Per Ounce) |
Average
Cash Cost ($'s Per Ounce) 2 |
Cash
Operating
Margin
($'s Per Ounce) 3 |
Average
Depletion ($'s Per Ounce) |
Gross
Margin ($'s Per Ounce) |
Gold equivalent basis 4
|
444,597
|
375,248
|
$ 1,872
|
$ 427
|
$ 1,445
|
$ 389
|
$ 1,056
|
1) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information
provided by the operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as
additional information is received.
|
2) |
Refer to discussion on non-IFRS measure (iii) at the end of this press release.
|
3) |
Refer to discussion on non-IFRS measure (iv) at the end of this press release.
|
4) |
GEOs, which are provided to assist the reader, are based on the following commodity price assumptions: $1,850 per ounce gold; $24.00 per ounce silver; $1,800 per ounce palladium; and $18.75 per pound
cobalt; consistent with those used in estimating the Company's production guidance for 2023.
|
Nine Months Ended September 30, 2022
|
||||||||||||||||||
|
Units
Produced²
|
Units
Sold |
Average
Realized Price ($'s Per Unit) |
Average
Cash Cost ($'s Per Unit) 3 |
Average
Depletion ($'s Per Unit) |
Sales
|
Impairment Reversals /
Gain on
Disposal 4
|
Net
Earnings |
Cash Flow
From Operations |
Total
Assets |
||||||||
Gold
|
||||||||||||||||||
Salobo
|
123,224
|
122,846
|
$
|
1,834
|
$
|
416
|
$
|
334
|
$
|
225,267
|
$
|
-
|
$
|
133,146
|
$
|
174,134
|
$
|
2,396,952
|
Sudbury 5
|
14,088
|
16,775
|
1,828
|
400
|
1,091
|
30,673
|
-
|
5,657
|
22,980
|
288,863
|
||||||||
Constancia
|
21,549
|
24,261
|
1,833
|
413
|
271
|
44,480
|
-
|
27,886
|
34,463
|
97,213
|
||||||||
San Dimas
|
32,313
|
30,899
|
1,823
|
622
|
260
|
56,335
|
-
|
29,095
|
37,114
|
158,704
|
||||||||
Stillwater
|
6,501
|
7,381
|
1,829
|
330
|
429
|
13,503
|
-
|
7,902
|
11,070
|
216,617
|
||||||||
Other 6
|
18,899
|
22,076
|
1,829
|
734
|
45
|
40,388
|
-
|
23,183
|
22,912
|
461,359
|
||||||||
|
216,574
|
224,238
|
$
|
1,831
|
$
|
471
|
$
|
348
|
$
|
410,646
|
$
|
-
|
$
|
226,869
|
$
|
302,673
|
$
|
3,619,708
|
Silver
|
||||||||||||||||||
Peñasquito
|
6,325
|
5,883
|
$
|
22.21
|
$
|
4.36
|
$
|
3.57
|
$
|
130,686
|
$
|
-
|
$
|
84,058
|
$
|
105,036
|
$
|
301,040
|
Antamina
|
3,867
|
3,800
|
22.13
|
4.42
|
7.06
|
84,093
|
-
|
40,479
|
66,952
|
553,231
|
||||||||
Constancia
|
1,654
|
1,636
|
22.15
|
6.09
|
6.34
|
36,227
|
-
|
15,883
|
26,260
|
195,507
|
||||||||
Other 7
|
6,651
|
5,316
|
21.41
|
7.14
|
5.61
|
113,823
|
114,755
|
160,768
|
75,969
|
538,739
|
||||||||
|
18,497
|
16,635
|
$
|
21.93
|
$
|
5.43
|
$
|
5.29
|
$
|
364,829
|
$
|
114,755
|
$
|
301,188
|
$
|
274,217
|
$
|
1,588,517
|
Palladium
|
||||||||||||||||||
Stillwater
|
11,616
|
11,680
|
$
|
2,190
|
$
|
383
|
$
|
399
|
$
|
25,574
|
$
|
-
|
$
|
16,437
|
$
|
21,099
|
$
|
228,168
|
Platinum
|
||||||||||||||||||
Marathon
|
-
|
-
|
$
|
n.a
|
$
|
n.a
|
$
|
n.a
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,425
|
Cobalt
|
||||||||||||||||||
Voisey's Bay
|
596
|
851
|
$
|
32.85
|
$
|
6.24
|
$
|
9.49
|
$
|
27,953
|
$
|
-
|
$
|
14,560
|
$
|
24,412
|
$
|
361,238
|
Operating results
|
|
|
|
|
|
|
|
$
|
829,002
|
$
|
114,755
|
$
|
559,054
|
$
|
622,401
|
$
|
5,807,056
|
|
Other
|
||||||||||||||||||
General and administrative
|
$
|
(27,448)
|
$
|
(28,688)
|
||||||||||||||
Share based compensation
|
(11,586)
|
(18,411)
|
||||||||||||||||
Donations and community investments
|
(3,379)
|
(2,977)
|
||||||||||||||||
Finance costs
|
(4,209)
|
(3,107)
|
||||||||||||||||
Other
|
3,448
|
2,319
|
||||||||||||||||
Income tax
|
(12,879)
|
(141)
|
||||||||||||||||
Total other
|
|
|
|
|
|
|
|
|
|
|
$
|
(56,053)
|
$
|
(51,005)
|
$
|
780,539
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
503,001
|
$
|
571,396
|
$
|
6,587,595
|
1) |
Units of gold, silver and palladium produced and sold are reported in ounces, while cobalt is reported in pounds. All figures in thousands except gold and palladium ounces produced and sold and per
unit amounts.
|
2) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information
provided by the operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as
additional information is received.
|
3) |
Refer to discussion on non-IFRS measure (iii) at the end of this press release.
|
4) |
Relates to the termination of the Keno Hill PMPA.
|
5) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests as well as the non-operating Stobie and Victor gold interests.
|
6) |
Comprised of the operating Minto, 777 and Marmato gold interests as well as the non-operating Copper World Complex, Santo Domingo, Blackwater, Fenix, Goose, Marathon and Curipamba gold interests. On
June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto mine.
|
7) |
Comprised of the operating Los Filos, Zinkgruvan, Neves-Corvo, Aljustrel, Minto, 777, Marmato and Cozamin silver interests, the non-operating Stratoni, Loma de La Plata, Copper World Complex,
Pascua-Lama, Blackwater and Curipamba silver interests and the previously owned Keno Hill and Yauliyacu silver interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On
September 7, 2022, the Keno Hill PMPA was terminated in exchange for $141 million of Hecla common stock. On December 14, 2022 the Yauliyacu PMPA was terminated in exchange for a cash payment of $132 million. On May 13, 2023, Minto announced the
suspension of operations at the Minto mine. On September 12, 2023, it was announced that the production of zinc and lead concentrates at Aljustrel will be halted from September 24, 2023 until the second quarter of 2025.
|
Nine Months Ended September 30, 2022
|
|||||||
|
Ounces
Produced 1 |
Ounces
Sold |
Average
Realized Price ($'s Per Ounce) |
Average
Cash Cost ($'s Per Ounce) 2 |
Cash Operating Margin
($'s Per Ounce) 3 |
Average
Depletion ($'s Per Ounce) |
Gross
Margin ($'s Per Ounce) |
Gold equivalent basis 4
|
473,868
|
460,026
|
$ 1,802
|
$ 448
|
$ 1,354
|
$ 389
|
$ 965
|
1) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information
provided by the operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as
additional information is received.
|
2) |
Silver ounces produced and sold in thousands.
|
3) |
Refer to discussion on non-IFRS measure (iii) at the end of this press release.
|
4) |
Refer to discussion on non-IFRS measure (iv) at the end of this press release.
|
5) |
GEOs, which are provided to assist the reader, are based on the following commodity price assumptions: $1,850 per ounce gold; $24.00 per ounce silver; $1,800 per ounce palladium; and $18.75 per pound
cobalt; consistent with those used in estimating the Company's production guidance for 2023.
|
|
i. |
Adjusted net earnings and adjusted net earnings per share are calculated by removing the effects of non-cash impairment charges (reversals) (if any), non-cash fair value (gains) losses and other
one-time (income) expenses as well as the reversal of non-cash income tax expense (recovery) which is offset by income tax expense (recovery) recognized in the Statements of Shareholders’ Equity and OCI, respectively. The Company believes that,
in addition to conventional measures prepared in accordance with IFRS, management and certain investors use this information to evaluate the Company’s performance.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||||||||||
(in thousands, except for per share amounts)
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
||||
Net earnings
|
|
$
|
116,371
|
$
|
196,460
|
|
$
|
369,209
|
$
|
503,001
|
||
Add back (deduct):
|
|
|
|
|
|
|
||||||
Impairment charge (reversal)
|
|
|
-
|
(10,330)
|
|
|
-
|
(10,330)
|
||||
Gain on disposal of Mineral Stream Interest
|
|
|
-
|
(104,425)
|
|
|
(5,027)
|
(104,425)
|
||||
(Gain) loss on fair value adjustment of share purchase warrants held
|
|
|
143
|
204
|
|
|
248
|
1,101
|
||||
Income tax (expense) recovery recognized in the Statement of Shareholders' Equity
|
|
|
-
|
3,644
|
|
|
-
|
4,143
|
||||
Income tax (expense) recovery recognized in the Statement of OCI
|
|
|
5,115
|
546
|
|
|
7,205
|
701
|
||||
Income tax recovery related to prior year disposal of Mineral Stream Interest
|
|
|
-
|
7,779
|
|
|
(2,672)
|
7,779
|
||||
Other
|
|
|
(162)
|
|
|
-
|
|
|
(482)
|
|
|
(802)
|
Adjusted net earnings
|
|
$
|
121,467
|
|
$
|
93,878
|
|
$
|
368,481
|
|
$
|
401,168
|
Divided by:
|
|
|
|
|
|
|
||||||
Basic weighted average number of shares outstanding
|
|
|
452,975
|
451,757
|
|
|
452,748
|
451,402
|
||||
Diluted weighted average number of shares outstanding
|
|
|
453,538
|
|
|
452,386
|
|
|
453,419
|
|
|
452,221
|
Equals:
|
|
|
|
|
|
|
||||||
Adjusted earnings per share - basic
|
|
$
|
0.268
|
$
|
0.208
|
|
$
|
0.814
|
$
|
0.889
|
||
Adjusted earnings per share - diluted
|
|
$
|
0.268
|
|
$
|
0.208
|
|
$
|
0.813
|
|
$
|
0.887
|
|
ii. |
Operating cash flow per share (basic and diluted) is calculated by dividing cash generated by operating activities by the weighted average number of shares outstanding (basic and diluted). The Company
presents operating cash flow per share as management and certain investors use this information to evaluate the Company’s performance in comparison to other companies in the precious metal mining industry who present results on a similar basis.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||||||||||
(in thousands, except for per share amounts)
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
||||
Cash generated by operating activities
|
|
$
|
171,103
|
|
$
|
154,497
|
|
$
|
508,584
|
|
$
|
571,396
|
Divided by:
|
|
|
|
|
|
|
||||||
Basic weighted average number of shares outstanding
|
|
|
452,975
|
451,757
|
|
|
452,748
|
451,402
|
||||
Diluted weighted average number of shares outstanding
|
|
|
453,538
|
|
|
452,386
|
|
|
453,419
|
|
|
452,221
|
Equals:
|
|
|
|
|
|
|
||||||
Operating cash flow per share - basic
|
|
$
|
0.378
|
$
|
0.342
|
|
$
|
1.123
|
$
|
1.266
|
||
Operating cash flow per share - diluted
|
|
$
|
0.377
|
|
$
|
0.342
|
|
$
|
1.122
|
|
$
|
1.264
|
|
iii. |
Average cash cost of gold, silver and palladium on a per ounce basis and cobalt on a per pound basis is calculated by dividing the total cost of sales, less depletion, by the ounces or pounds sold. In
the precious metal mining industry, this is a common performance measure but does not have any standardized meaning prescribed by IFRS. In addition to conventional measures prepared in accordance with IFRS,
management and certain investors use this information to evaluate the Company’s performance and ability to generate cash flow.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||||||||||
(in thousands, except for gold and palladium ounces sold and per unit amounts)
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
||||
Cost of sales
|
|
$
|
96,243
|
$
|
116,683
|
|
$
|
306,321
|
$
|
384,703
|
||
Less: depletion
|
|
|
(46,435)
|
|
|
(55,728)
|
|
|
(145,908)
|
|
|
(178,812)
|
Cash cost of sales
|
|
$
|
49,808
|
|
$
|
60,955
|
|
$
|
160,413
|
|
$
|
205,891
|
Cash cost of sales is comprised of:
|
|
|
|
|
|
|
||||||
Total cash cost of gold sold
|
|
$
|
33,014
|
$
|
29,398
|
|
$
|
98,724
|
$
|
105,719
|
||
Total cash cost of silver sold
|
|
|
15,121
|
29,238
|
|
|
56,351
|
90,384
|
||||
Total cash cost of palladium sold
|
|
|
946
|
1,493
|
|
|
2,699
|
4,475
|
||||
Total cash cost of cobalt sold
|
|
|
727
|
|
|
826
|
|
|
2,639
|
|
|
5,313
|
Total cash cost of sales
|
|
$
|
49,808
|
|
$
|
60,955
|
|
$
|
160,413
|
|
$
|
205,891
|
Divided by:
|
|
|
|
|
|
|
||||||
Total gold ounces sold
|
|
|
74,426
|
62,000
|
|
|
212,325
|
224,238
|
||||
Total silver ounces sold
|
|
|
2,965
|
5,234
|
|
|
11,151
|
16,635
|
||||
Total palladium ounces sold
|
|
|
4,242
|
4,227
|
|
|
10,580
|
11,680
|
||||
Total cobalt pounds sold
|
|
|
198
|
|
|
115
|
|
|
786
|
|
|
851
|
Equals:
|
|
|
|
|
|
|
||||||
Average cash cost of gold (per ounce)
|
|
$
|
444
|
$
|
474
|
|
$
|
465
|
$
|
471
|
||
Average cash cost of silver (per ounce)
|
|
$
|
5.10
|
$
|
5.59
|
|
$
|
5.05
|
$
|
5.43
|
||
Average cash cost of palladium (per ounce)
|
|
$
|
223
|
$
|
353
|
|
$
|
255
|
$
|
383
|
||
Average cash cost of cobalt (per pound)
|
|
$
|
3.66
|
|
$
|
7.21
|
|
$
|
3.36
|
|
$
|
6.24
|
|
iv. |
Cash operating margin is calculated by adding back depletion to the gross margin. Cash operating margin on a per ounce or per pound basis is calculated by dividing the cash operating margin by the
number of ounces or pounds sold during the period. The Company presents cash operating margin as management and certain investors use this information to evaluate the Company’s performance in comparison to other companies in the precious metal
mining industry who present results on a similar basis as well as to evaluate the Company’s ability to generate cash flow.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||||||||||
(in thousands, except for gold and palladium ounces sold and per unit amounts)
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
||||
Gross margin
|
|
$
|
126,894
|
$
|
102,153
|
|
$
|
396,252
|
$
|
444,299
|
||
Add back: depletion
|
|
|
46,435
|
|
|
55,728
|
|
|
145,908
|
|
|
178,812
|
Cash operating margin
|
|
$
|
173,329
|
|
$
|
157,881
|
|
$
|
542,160
|
|
$
|
623,111
|
Cash operating margin is comprised of:
|
|
|
|
|
|
|
||||||
Total cash operating margin of gold sold
|
|
$
|
111,693
|
$
|
77,730
|
|
$
|
314,690
|
$
|
304,927
|
||
Total cash operating margin of silver sold
|
|
|
55,251
|
71,032
|
|
|
206,778
|
274,445
|
||||
Total cash operating margin of palladium sold
|
|
|
4,361
|
7,345
|
|
|
12,223
|
21,099
|
||||
Total cash operating margin of cobalt sold
|
|
|
2,024
|
|
|
1,774
|
|
|
8,469
|
|
|
22,640
|
Total cash operating margin
|
|
$
|
173,329
|
|
$
|
157,881
|
|
$
|
542,160
|
|
$
|
623,111
|
Divided by:
|
|
|
|
|
|
|
||||||
Total gold ounces sold
|
|
|
74,426
|
62,000
|
|
|
212,325
|
224,238
|
||||
Total silver ounces sold
|
|
|
2,965
|
5,234
|
|
|
11,151
|
16,635
|
||||
Total palladium ounces sold
|
|
|
4,242
|
4,227
|
|
|
10,580
|
11,680
|
||||
Total cobalt pounds sold
|
|
|
198
|
|
|
115
|
|
|
786
|
|
|
851
|
Equals:
|
|
|
|
|
|
|
||||||
Cash operating margin per gold ounce sold
|
|
$
|
1,500
|
$
|
1,254
|
|
$
|
1,482
|
$
|
1,360
|
||
Cash operating margin per silver ounce sold
|
|
$
|
18.63
|
$
|
13.57
|
|
$
|
18.55
|
$
|
16.50
|
||
Cash operating margin per palladium ounce sold
|
|
$
|
1,028
|
$
|
1,738
|
|
$
|
1,155
|
$
|
1,807
|
||
Cash operating margin per cobalt pound sold
|
|
$
|
10.21
|
|
$
|
15.47
|
|
$
|
10.77
|
|
$
|
26.61
|
|
Overview
|
3
|
Highlights
|
5
|
Outlook
|
6
|
Mineral Stream Interests
|
7
|
Long-Term Equity Investments
|
10
|
Summary of Units Produced |
13 |
Summary of Units Sold |
14 |
Quarterly Financial Review
|
15
|
Results of Operations and Operational Review
|
16
|
Liquidity and Capital Resources
|
29
|
Share Capital
|
37
|
Financial Instruments
|
37
|
New Accounting Standards Effective in 2023 |
37 |
Future Changes to Accounting Policies
|
38
|
Non-IFRS Measures
|
39
|
Subsequent Events
|
43
|
Controls and Procedures
|
43
|
Attributable Reserves and Resources
|
44
|
Cautionary Note Regarding Forward-Looking Statements
|
50
|
|
|
|
Q3 2023
|
|
|
Q3 2022
|
|
Change
|
|
|
YTD 2023
|
|
|
YTD 2022
|
|
Change
|
Units produced
|
|
|
|
|
|
|
|
|
||||||||
Gold ounces
|
|
|
105,436
|
|
72,078
|
46.3 %
|
|
|
261,635
|
|
216,574
|
20.8 %
|
||||
Silver ounces
|
|
|
3,363
|
|
5,822
|
(42.2)%
|
|
|
12,876
|
|
18,497
|
(30.4)%
|
||||
Palladium ounces
|
|
|
4,006
|
|
3,229
|
24.1 %
|
|
|
11,591
|
|
11,616
|
(0.2)%
|
||||
Cobalt pounds
|
|
|
183
|
|
226
|
(19.1)%
|
|
|
458
|
|
596
|
(23.1)%
|
||||
Gold equivalent ounces 2
|
|
|
154,800
|
|
153,025
|
1.2 %
|
|
|
444,597
|
|
473,868
|
(6.2)%
|
||||
Units sold
|
|
|
|
|
|
|
|
|
||||||||
Gold ounces
|
|
|
74,426
|
|
62,000
|
20.0 %
|
|
|
212,325
|
|
224,238
|
(5.3)%
|
||||
Silver ounces
|
|
|
2,965
|
|
5,234
|
(43.4)%
|
|
|
11,151
|
|
16,635
|
(33.0)%
|
||||
Palladium ounces
|
|
|
4,242
|
|
4,227
|
0.4 %
|
|
|
10,580
|
|
11,680
|
(9.4)%
|
||||
Cobalt pounds
|
|
|
198
|
|
115
|
72.2 %
|
|
|
786
|
|
851
|
(7.6)%
|
||||
Gold equivalent ounces 2
|
|
|
119,030
|
|
135,179
|
(11.9)%
|
|
|
375,248
|
|
460,026
|
(18.4)%
|
||||
Change in PBND and Inventory 3
|
|
|
|
|
|
|
|
|
||||||||
Gold ounces
|
|
|
26,520
|
|
6,647
|
(19,873)
|
|
|
37,321
|
|
(19,011)
|
(56,332)
|
||||
Silver ounces
|
|
|
(254)
|
|
(151)
|
103
|
|
|
(535)
|
|
(755)
|
(220)
|
||||
Palladium ounces
|
|
|
(515)
|
|
(1,226)
|
(711)
|
|
|
509
|
|
(589)
|
(1,098)
|
||||
Cobalt pounds
|
|
|
(28)
|
|
96
|
124
|
|
|
(358)
|
|
(295)
|
63
|
||||
Gold equivalent ounces 2
|
|
|
22,438
|
|
|
4,460
|
|
(17,978)
|
|
|
27,248
|
|
|
(32,368)
|
|
(59,616)
|
Per unit metrics
|
|
|
|
|
|
|
|
|
||||||||
Sales price
|
|
|
|
|
|
|
|
|
||||||||
Gold per ounce
|
|
$
|
1,944
|
|
$
|
1,728
|
12.5 %
|
|
$
|
1,947
|
|
$
|
1,831
|
6.3 %
|
||
Silver per ounce
|
|
$
|
23.73
|
|
$
|
19.16
|
23.9 %
|
|
$
|
23.60
|
|
$
|
21.93
|
7.6 %
|
||
Palladium per ounce
|
|
$
|
1,251
|
|
$
|
2,091
|
(40.2)%
|
|
$
|
1,410
|
|
$
|
2,190
|
(35.6)%
|
||
Cobalt per pound
|
|
$
|
13.87
|
|
$
|
22.68
|
(38.8)%
|
|
$
|
14.13
|
|
$
|
32.85
|
(57.0)%
|
||
Gold equivalent per ounce 2
|
|
$
|
1,875
|
|
$
|
1,619
|
15.8 %
|
|
$
|
1,872
|
|
$
|
1,802
|
3.9 %
|
||
Cash costs 4
|
|
|
|
|
|
|
|
|
||||||||
Gold per ounce 4
|
|
$
|
444
|
|
$
|
474
|
6.3 %
|
|
$
|
465
|
|
$
|
471
|
1.3 %
|
||
Silver per ounce 4
|
|
$
|
5.10
|
|
$
|
5.59
|
8.8 %
|
|
$
|
5.05
|
|
$
|
5.43
|
7.0 %
|
||
Palladium per ounce 4
|
|
$
|
223
|
|
$
|
353
|
36.8 %
|
|
$
|
255
|
|
$
|
383
|
33.4 %
|
||
Cobalt per pound 4, 5
|
|
$
|
3.66
|
|
$
|
7.21
|
49.2 %
|
|
$
|
3.36
|
|
$
|
6.24
|
46.2 %
|
||
Gold equivalent per ounce 2, 4
|
|
$
|
418
|
|
$
|
451
|
7.3 %
|
|
$
|
427
|
|
$
|
448
|
4.7 %
|
||
Cash operating margin 4
|
|
|
|
|
|
|
|
|
||||||||
Gold per ounce 4
|
|
$
|
1,500
|
|
$
|
1,254
|
19.6 %
|
|
$
|
1,482
|
|
$
|
1,360
|
9.0 %
|
||
Silver per ounce 4
|
|
$
|
18.63
|
|
$
|
13.57
|
37.3 %
|
|
$
|
18.55
|
|
$
|
16.50
|
12.4 %
|
||
Palladium per ounce 4
|
|
$
|
1,028
|
|
$
|
1,738
|
(40.8)%
|
|
$
|
1,155
|
|
$
|
1,807
|
(36.1)%
|
||
Cobalt per pound 4
|
|
$
|
10.21
|
|
$
|
15.47
|
(34.0)%
|
|
$
|
10.77
|
|
$
|
26.61
|
(59.5)%
|
||
Gold equivalent per ounce 2, 4
|
|
$
|
1,457
|
|
$
|
1,168
|
|
24.7 %
|
|
$
|
1,445
|
|
$
|
1,354
|
|
6.7 %
|
Total revenue
|
|
$
|
223,137
|
|
$
|
218,836
|
2.0 %
|
|
$
|
702,573
|
|
$
|
829,002
|
(15.3)%
|
||
Gold revenue
|
|
$
|
144,707
|
|
$
|
107,128
|
35.1 %
|
|
$
|
413,414
|
|
$
|
410,646
|
0.7 %
|
||
Silver revenue
|
|
$
|
70,372
|
|
$
|
100,270
|
(29.8)%
|
|
$
|
263,129
|
|
$
|
364,829
|
(27.9)%
|
||
Palladium revenue
|
|
$
|
5,307
|
|
$
|
8,838
|
(40.0)%
|
|
$
|
14,922
|
|
$
|
25,574
|
(41.7)%
|
||
Cobalt revenue
|
|
$
|
2,751
|
|
$
|
2,600
|
5.8 %
|
|
$
|
11,108
|
|
$
|
27,953
|
(60.3)%
|
||
Net earnings
|
|
$
|
116,371
|
|
$
|
196,460
|
(40.8)%
|
|
$
|
369,209
|
|
$
|
503,001
|
(26.6)%
|
||
Per share
|
|
$
|
0.257
|
|
$
|
0.435
|
(40.9)%
|
|
$
|
0.815
|
|
$
|
1.114
|
(26.8)%
|
||
Adjusted net earnings 4
|
|
$
|
121,467
|
|
$
|
93,878
|
29.4 %
|
|
$
|
368,481
|
|
$
|
401,168
|
(8.1)%
|
||
Per share 4
|
|
$
|
0.268
|
|
$
|
0.208
|
28.8 %
|
|
$
|
0.814
|
|
$
|
0.889
|
(8.4)%
|
||
Operating cash flows
|
|
$
|
171,103
|
|
$
|
154,497
|
10.7 %
|
|
$
|
508,584
|
|
$
|
571,396
|
(11.0)%
|
||
Per share 4
|
|
$
|
0.378
|
|
$
|
0.342
|
10.5 %
|
|
$
|
1.123
|
|
$
|
1.266
|
(11.3)%
|
||
Dividends paid ⁶
|
|
$
|
67,946
|
|
$
|
67,754
|
0.3 %
|
|
$
|
203,794
|
|
$
|
203,150
|
0.3 %
|
||
Per share
|
|
$
|
0.15
|
|
$
|
0.15
|
|
0.0 %
|
|
$
|
0.45
|
|
$
|
0.45
|
|
0.0 %
|
1) |
All amounts in thousands except gold and palladium ounces produced and sold, per ounce amounts and per share amounts.
|
2) |
Gold-equivalent ounces ("GEOs"), which are provided to assist the reader, are based on the following commodity price assumptions: $1,850 per ounce gold; $24.00 per ounce silver; $1,800 per ounce palladium; and $18.75
per pound cobalt; consistent with those used in estimating the Company's production guidance for 2023.
|
3) |
Represents the increase (decrease) in payable ounces produced but not delivered (“PBND”) relative to the various mines that the Company derives precious metal from and, for cobalt, the increase (decrease) of payable
pounds PBND and inventory on hand. Payable units PBND will be recognized in future sales as they are delivered to the Company under the terms of their contracts. Payable ounces PBND to Wheaton is expected to average approximately two to three
months of annualized production for both gold and palladium and two months for silver but may vary from quarter to quarter due to a number of factors, including mine ramp-up and the timing of shipments.1
|
4)
|
Refer to discussion on non-IFRS measures beginning on page 39 of this MD&A.
|
5)
|
Cash cost per pound of cobalt sold during the third quarter of 2023 was net of a previously recorded inventory write-down of $0.1 million (nine months - $1.6 million), resulting in a decrease of $0.51 per pound of
cobalt sold (nine months - $2.05 per pound sold). The Company reflects the cobalt inventory at the lower of cost and net realizable value and will continue to monitor the market price of cobalt relative to the carrying value of the inventory
at each reporting period
|
6) | Dividends declared in the referenced calendar quarter, relative to the financial results of the prior quarter. |
|
• |
For the three months ended September 30, 2023, relative to the comparable period of the prior year:
|
|
o |
Production amounted to 154,800 gold equivalent ounces ("GEOs"), consistent with the comparable period of the prior year, with gold production increasing 46% primarily due to Salobo and Constancia, with Salobo
achieving the highest production levels since the fourth quarter of 2019 and Constancia achieving record production, largely offset by a 42% decrease in silver production attributable primarily to the labour strike at Peñasquito, the divestment
of the Yauliyacu PMPA which occurred during 2022 and the closure of the Minto mine.
|
|
o |
Sales volumes amounted to 119,030 GEO's, a decrease of 12% relative to the comparable period of the prior year, due primarily to relative changes in PBND which resulted in a 17,900 GEO reduction in sales volumes.
|
|
o |
Revenue amounted to $223 million (65% gold, 32% silver, 2% palladium and 1% cobalt), with the $4 million increase being primarily due to a 16% increase in realized commodity prices, partially offset by lower sales
volumes.
|
|
o |
Gross margin amounted to $127 million, with the $25 million increase being driven by the higher revenue resulting from the higher realized prices coupled with lower cost of sales resulting from the lower sales
volumes.
|
|
o |
Net earnings amounted to $116 million, a decrease of $80 million, with results for Q3 2022 reflecting the disposal of the Keno Hill PMPA which contributed $103 million of net earnings.
|
|
o |
Adjusted net earnings amounted to $121 million, with the $28 million increase being due primarily to the higher gross margin and higher interest income.
|
|
o |
Operating cashflow amounted to $171 million, with the $17 million increase being due primarily to the higher gross margin and higher interest income.
|
|
• |
For the nine months ended September 30, 2023 relative to the comparable period of the prior year:
|
|
o |
Production amounted to 444,600 GEOs, a decrease of 6%, primarily due to the cessation of production from Yauliyacu, 777, Keno Hill and Minto, the mining of lower grade material at Antamina and the labour strike at
Peñasquito, partially offset by higher production at Salobo and Constancia.
|
|
o |
Revenue amounted to $703 million (59% gold, 37% silver, 2% palladium and 2% cobalt), with the $126 million decrease being primarily due to an 18% decrease in sales volumes being primarily driven by relative changes
in PBND coupled with the lower production.
|
|
o |
Gross margin amounted to $396 million, with the $48 million decrease being driven by the lower sales volumes.
|
|
o |
Net earnings amounted to $369 million, a decrease of $134 million primarily due to the prior year results being positively impacted by the disposal of the Keno Hill PMPA.
|
|
o |
Adjusted net earnings amounted to $368 million, with the $33 million decrease being due primarily to the lower gross margin, partially offset by higher interest income.
|
|
o |
Operating cashflow amounted to $509 million, with the $63 million decrease being due primarily to the lower gross margins, partially offset by higher interest income.
|
|
• |
On November 9, 2023, the Board of Directors declared a dividend in the amount of $0.15 per common share.
|
|
• |
On September 10, 2023, the Company acquired a new 0.5% Net Smelter Royalty (“NSR”) from Liberty Gold Corp., (“Liberty Gold”) on the Black Pine Oxide Gold Project (“Black Pine”) for total cash consideration of $4
million. The Company was granted a Right of First Refusal on all royalties, streams or pre-pays that include precious metals pertaining to Black Pine. In addition, the Company made a $5 million equity investment in Liberty Gold at C$0.34 per
share.
|
|
• |
Subsequent to the quarter end, on October 24, 2023, the Company announced that it had entered into a definitive precious metals purchase agreement (the “Mineral Park PMPA”) with Waterton Copper Corp., a subsidiary of
Waterton Copper LP (“Waterton Copper”) in respect of silver production from the Mineral Park Mine located in Arizona, USA. The Company has also entered into a loan agreement to provide a secured debt facility of
up to $25 million to the Mineral Park owner, once the full upfront consideration has been paid.
|
|
• |
During the third quarter of 2023:
|
|
o |
The Company made its quarterly dividend payment of $67 million.
|
|
o |
The Company made total upfront cash payments of $90 million relative to the Blackwater mineral stream interests with Artemis.
|
Mineral Stream
Interests
|
Mine
Owner ¹ |
Location¹
|
Attributable
Production |
Per Unit Production Payment 2,3
|
Total Upfront Consideration
Paid to Date ³
|
Cash Flow
Generated to
Date ³
|
Units
Received &
Sold to Date ³
|
Q3-2023
Inventory &
PBND 3, 4
|
Term ¹
|
Date of
Original Contract |
Gold
|
||||||||||
Salobo
|
Vale
|
BRA
|
75%
|
$420
|
$ 3,059,360
|
$ 2,042,874
|
1,892,620
|
71,602
|
LOM
|
28-Feb-13
|
Sudbury ⁵
|
Vale
|
CAN
|
70%
|
$400
|
623,572
|
280,965
|
273,459
|
9,629
|
20 years
|
28-Feb-13
|
Constancia
|
Hudbay
|
PER
|
50%
|
$420
|
135,000
|
189,386
|
157,879
|
8,815
|
LOM
|
8-Aug-12
|
San Dimas
|
FM
|
MEX
|
variable ⁶
|
$631
|
220,000
|
241,904
|
226,789
|
3,078
|
LOM
|
10-May-18
|
Stillwater ⁷
|
Sibanye
|
USA
|
100%
|
18% of spot
|
237,880
|
78,532
|
57,443
|
5,098
|
LOM
|
16-Jul-18
|
Other
|
604,956
|
240,857
|
237,751
|
1,701
|
||||||
Minto
|
MNTO
|
CAN
|
100% ⁸
|
50%² of spot
|
LOM
|
20-Nov-08
|
||||
Copper World
|
Hudbay
|
USA
|
100%
|
$450
|
LOM
|
10-Feb-10
|
||||
Marmato ⁹
|
Aris
|
CO
|
10.5% ⁹
|
18% of spot
|
LOM
|
5-Nov-20
|
||||
Santo Domingo
|
Capstone
|
CHL
|
100% ¹⁰
|
18% of spot
|
LOM
|
24-Mar-21
|
||||
Fenix
|
Rio2
|
CHL
|
6% ¹¹
|
18% of spot
|
LOM
|
15-Nov-21
|
||||
Blackwater
|
Artemis
|
CAN
|
8% ¹²
|
35% of spot
|
LOM
|
13-Dec-21
|
||||
Curipamba
|
Adventus
|
ECU
|
50% ¹³
|
18% of spot
|
LOM
|
17-Jan-22
|
||||
Marathon
|
Gen Mining
|
CAN
|
100% ¹⁴
|
18% of spot
|
LOM
|
26-Jan-22
|
||||
Goose
|
B2Gold
|
CAN
|
2.78% ¹⁵
|
18% of spot
|
LOM
|
08-Feb-22
|
||||
Cangrejos
|
Lumina
|
ECU
|
6.6% ¹⁶
|
18% of spot
|
|
|
|
|
LOM
|
16-May-23
|
|
|
|
|
|
$ 4,880,768
|
$ 3,074,518
|
2,845,941
|
99,923
|
|
|
Silver
|
||||||||||
Peñasquito
|
Newmont
|
MEX
|
25%
|
$4.43
|
$ 485,000
|
$ 1,380,354
|
79,645
|
-
|
LOM
|
24-Jul-07
|
Antamina
|
Glencore
|
PER
|
33.75% ¹⁷
|
20% of spot
|
900,000
|
664,896
|
43,133
|
516
|
LOM
|
3-Nov-15
|
Constancia
|
Hudbay
|
PER
|
100%
|
$6.20
|
294,900
|
214,169
|
16,544
|
336
|
LOM
|
8-Aug-12
|
Other
|
714,987
|
1,327,097
|
62,341
|
219
|
||||||
Los Filos
|
Equinox
|
MEX
|
100%
|
$4.68
|
25 years
|
15-Oct-04
|
||||
Zinkgruvan
|
Lundin
|
SWE
|
100%
|
$4.60
|
LOM
|
8-Dec-04
|
||||
Stratoni
|
Eldorado
|
GRC
|
100%
|
$11.54
|
LOM
|
23-Apr-07
|
||||
Neves-Corvo
|
Lundin
|
PRT
|
100%
|
$4.46
|
50 years
|
5-Jun-07
|
||||
Aljustrel
|
Almina
|
PRT
|
100% ¹⁸
|
50% of spot
|
50 years
|
5-Jun-07
|
||||
Minto
|
MNTO
|
CAN
|
100%
|
$4.39
|
LOM
|
20-Nov-08
|
||||
Pascua-Lama
|
Barrick
|
CHL/ARG
|
25%
|
$3.90
|
LOM
|
8-Sep-09
|
||||
Copper World
|
Hudbay
|
USA
|
100%
|
$3.90
|
LOM
|
10-Feb-10
|
||||
Navidad
|
PAAS
|
ARG
|
12.5%
|
$4.00
|
LOM
|
n/a ¹⁹
|
||||
Marmato ⁹
|
Aris
|
CO
|
100% ⁹
|
18% of spot
|
LOM
|
5-Nov-20
|
||||
Cozamin
|
Capstone
|
MEX
|
50% ²⁰
|
10% of spot
|
LOM
|
11-Dec-20
|
||||
Blackwater
|
Artemis
|
CAN
|
50% ¹²
|
18% of spot
|
LOM
|
13-Dec-21
|
||||
Curipamba
|
Adventus
|
ECU
|
75% ¹³
|
18% of spot
|
|
|
|
|
LOM
|
17-Jan-22
|
|
|
|
|
|
$ 2,394,887
|
$ 3,586,516
|
201,663
|
1,071
|
|
|
Palladium
|
||||||||||
Stillwater ⁷
|
Sibanye
|
USA
|
4.5% ²¹
|
18% of spot
|
$ 262,120
|
$ 145,928
|
94,449
|
5,607
|
LOM
|
16-Jul-18
|
Platinum
|
||||||||||
Marathon
|
Gen Mining
|
CAN
|
22% ¹⁴
|
18% of spot
|
$ 9,367
|
$ -
|
-
|
-
|
LOM
|
26-Jan-22
|
Cobalt
|
||||||||||
Voisey's Bay
|
Vale
|
CAN
|
42.4% ²²
|
18% of spot
|
$ 390,000
|
$ 44,921
|
2,711
|
532
|
LOM
|
11-Jun-18
|
Total PMPAs Currently Owned
|
|
|
$ 7,937,142
|
$ 6,851,883
|
|
|
|
|
||
Terminated / Matured PMPAs
|
1,676,436
|
3,117,152
|
||||||||
Total
|
|
|
|
|
$ 9,613,578
|
$ 9,969,035
|
|
|
|
|
1) |
Abbreviations as follows: FM = First Majestic Silver Corp; MNTO = Minto Metals Corp.; PAAS = Pan American Silver Corp; ARG = Argentina; BRA = Brazil; CAN = Canada; CHL = Chile; CO = Colombia; ECU = Ecuador; GRC =
Greece; MEX = Mexico; PER = Peru; PRT = Portugal; SWE = Sweden; USA = United States; and LOM = Life of Mine.
|
2) |
Please refer to the section entitled “Contractual Obligations and Contingencies – Mineral Stream Interests” on page 33 of this MD&A for more information.
|
3) |
All figures in thousands except gold and palladium ounces and per ounce amounts. The total upfront consideration paid to date excludes closing costs and capitalized interest, where applicable. Please refer to the
section entitled “Other Contractual Obligations and Contingencies” on page 34 of this MD&A for details of when the remaining upfront consideration is forecasted to be paid.
|
4) |
Payable gold, silver, palladium and cobalt PBND are based on management estimates. These figures may be updated in the future as additional information is received. The figure for cobalt comprises a combination of
PBND and Inventory.
|
5) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests as well as the non-operating Stobie and Victor gold interests. As of September 30, 2023, the Company has received
approximately $281 million of operating cash flows from the Sudbury stream. Should the market value of gold delivered to Wheaton through the 20-year term of the contract, net of the per ounce cash payment, be lower than the initial $670 million
refundable deposit, the Company will be entitled to a refund of the difference at the conclusion of the term. As a result of a labour disruption that lasted from June 1, 2021 to August 9, 2021, the term of the agreement was extended by 69 days.
|
6) |
The original San Dimas SPA, entered into on October 15, 2004, was terminated on May 10, 2018 and concurrently the Company entered into the new San Dimas PMPA. Under the terms of the San Dimas PMPA, the Company is
entitled to an amount equal to 25% of the payable gold production plus an additional amount of gold equal to 25% of the payable silver production converted to gold at a fixed gold to silver exchange ratio of 70:1 from the San Dimas mine. If the
average gold to silver price ratio decreases to less than 50:1 or increases to more than 90:1 for a period of 6 months or more, then the "70" shall be revised to "50" or "90", as the case may be, until such time as the average gold to silver
price ratio is between 50:1 to 90:1 for a period of 6 months or more in which event the "70" shall be reinstated. The current ratio is 70:1.
|
7) |
Comprised of the Stillwater and East Boulder gold and palladium interests.
|
8) |
The Company is entitled to acquire 100% of the first 30,000 ounces of gold produced per annum and 50% thereafter. On May 13, 2023 Minto Metals Corp. announced the suspension of operations at the Minto mine.
|
9) |
Once the Company has received 310,000 ounces of gold and 2.15 million ounces of silver under the Marmato PMPA, the attributable gold and silver production will be reduced to 5.25% and 50%, respectively.
|
10) |
Once the Company has received 285,000 ounces of gold under the Santo Domingo PMPA, the Company’s attributable gold production will be reduced to 67%.
|
11) |
Once the Company has received 90,000 ounces of gold under the Fenix PMPA, the attributable gold production will reduce to 4% until 140,000 ounces have been delivered, after which the stream drops to 3.5%.
|
12) |
Once the Company has received 464,000 ounces of gold under the amended Blackwater gold PMPA, the attributable gold production will be reduced to 4%. Once the Company has received 17.8 million ounces of silver under
the Blackwater silver PMPA, the attributable silver production will be reduced to 33%.
|
13) |
Once the Company has received 145,000 ounces of gold under the Curipamba PMPA, the attributable gold production will be reduced to 33%, and once the Company has received 4.6 million ounces of silver, the attributable
silver production will be reduced to 50%.
|
14) |
Once the Company has received 150,000 ounces of gold and 120,000 ounces of platinum under the Marathon PMPA, the attributable gold and platinum production will be reduced to 67% and 15%.
|
15) |
During Q2-2023, B2Gold completed its acquisition of all the issued and outstanding common shares of Sabina, and in conjunction with this acquisition B2Gold exercised the option to acquire 33% of the stream under the
Goose PMPA in exchange for a cash payment in the amount of $46 million, resulting in a gain on partial disposal of the Goose PMPA in the amount of $5 million. In connection with the exercise of the option, once the Company has received 87,100
ounces of gold under the Goose PMPA, the Company’s attributable gold production will be 1.44%, and once the Company has received 134,000 ounces of gold under the agreement, the Company’s attributable gold production will be reduced to 1.0%.
|
16) |
Once Wheaton has received 700,000 ounces of gold under the Cangrejos PMPA, the Company’s attributable gold production will be reduced to 4.4%.
|
17) |
Once Wheaton has received 140 million ounces of silver under the Antamina PMPA, the Company’s attributable silver production will be reduced to 22.5%.
|
18) |
Wheaton only has the rights to silver contained in concentrate containing less than 15% copper at the Aljustrel mine. On September 12, 2023, it was announced that the production of the zinc and lead concentrates at
the Aljustrel mine will be halted from September 24, 2023 until the second quarter of 2025.
|
19) |
Wheaton and PAAS have not yet finalized the definitive terms of the agreement.
|
20) |
Once Wheaton has received 10 million ounces of silver under the Cozamin PMPA, the Company’s attributable silver production will be reduced to 33%.
|
21) |
Once the Company has received 375,000 ounces of palladium under the Stillwater agreement, the Company’s attributable palladium production will be reduced to 2.25%, and once the Company has received 550,000 ounces of
palladium under the agreement, the Company’s attributable palladium production will be reduced to 1%.
|
22) |
Once the Company has received 31 million pounds of cobalt under the Voisey’s Bay agreement, the Company’s attributable cobalt production will be reduced to 21.2%.
|
|
Mine
Owner |
|
|
|
|
|
|
|
Attributable
Production to be Purchased |
|
|
|
Early Deposit Mineral
Stream Interests
|
Location of
Mine |
Upfront
Consideration
Paid to Date 1
|
Upfront
Consideration to be Paid 1, 2 |
Total
Upfront Consideration¹ |
Gold
|
Silver
|
Term of
Agreement |
Date of
Original Contract |
||||
Toroparu
|
Aris Mining
|
Guyana
|
$
|
15,500
|
$
|
138,000
|
$
|
153,500
|
10%
|
50%
|
Life of Mine
|
11-Nov-13
|
Cotabambas
|
Panoro
|
Peru
|
14,000
|
126,000
|
140,000
|
25% ³
|
100% ³
|
Life of Mine
|
21-Mar-16
|
|||
Kutcho
|
Kutcho
|
Canada
|
|
16,852
|
|
58,000
|
|
74,852
|
100%
|
100%
|
Life of Mine
|
14-Dec-17
|
|
|
|
$
|
46,352
|
$
|
322,000
|
$
|
368,352
|
|
|
|
|
1) |
Expressed in thousands; excludes closing costs and capitalized interest, where applicable.
|
2) |
Please refer to the section entitled “Other Contractual Obligations and Contingencies” on page 34 of this MD&A for details of when the remaining upfront consideration is forecast to be paid.
|
3) |
Once 90 million silver equivalent ounces attributable to Wheaton have been produced, the attributable production will decrease to 16.67% of gold production and 66.67% of silver production for the life of mine.
|
September 30
|
December 31
|
|||
(in thousands)
|
2023
|
2022
|
||
Common shares held
|
$
|
200,578
|
$
|
255,535
|
Warrants held
|
|
315
|
|
560
|
Total long-term equity investments
|
$
|
200,893
|
$
|
256,095
|
Three Months Ended September 30, 2023
|
||||||||
(in thousands)
|
Shares
Owned (000's) |
% of
Outstanding
Shares Owned
|
Fair Value at
Jun 30, 2023 |
Cost of
Additions
|
Proceeds of
Disposition
|
Fair Value
Adjustment
Gains (Losses) 1
|
Fair Value at
Sep 30, 2023 |
Realized Gain on Disposal
|
Bear Creek
|
13,264
|
7.74%
|
$ 5,510
|
$ -
|
$ -
|
$ (3,450)
|
$ 2,060
|
$ -
|
Kutcho
|
18,640
|
13.27%
|
2,605
|
-
|
-
|
(881)
|
1,724
|
-
|
Hecla
|
34,980
|
5.67%
|
180,148
|
-
|
-
|
(43,375)
|
136,773
|
-
|
B2Gold
|
12,025
|
0.93%
|
42,867
|
-
|
-
|
(8,181)
|
34,686
|
-
|
Other
|
|
|
23,946
|
5,006
|
-
|
(3,617)
|
25,335
|
-
|
Total
|
|
|
$ 255,076
|
$ 5,006
|
$ -
|
$ (59,504)
|
$ 200,578
|
$ -
|
1) |
Fair Value Gains (Losses) are reflected as a component of Other Comprehensive Income (“OCI”).
|
Three Months Ended September 30, 2022
|
||||||||
(in thousands)
|
Shares
Owned (000's) |
% of
Outstanding
Shares Owned
|
Fair Value at
Jun 30, 2022 |
Cost of
Additions
|
Proceeds of
Disposition 1
|
Fair Value
Adjustment
Gains (Losses) 2
|
Fair Value at
Sep 30, 2022 |
Realized Loss on Disposal
|
Bear Creek
|
13,264
|
8.65%
|
$ 8,235
|
$ -
|
$ -
|
$ (2,622)
|
$ 5,613
|
$ -
|
Sabina
|
31,095
|
5.67%
|
25,579
|
-
|
-
|
(852)
|
24,727
|
-
|
Kutcho
|
18,640
|
14.97%
|
4,340
|
-
|
-
|
(1,008)
|
3,332
|
-
|
Hecla
|
35,012
|
5.88%
|
-
|
141,450
|
-
|
(3,502)
|
137,948
|
-
|
Other
|
|
|
21,949
|
3,746
|
(4,601)
|
(2,734)
|
18,360
|
(3,797)
|
Total
|
|
|
$ 60,103
|
$ 145,196
|
$ (4,601)
|
$ (10,718)
|
$ 189,980
|
$ (3,797)
|
1) |
Disposals during 2022 were made as a result of the acquisition of the companies to which the shares relate by unrelated third party entities.
|
2) |
Fair Value Gains (Losses) are reflected as a component of OCI.
|
Nine Months Ended September 30, 2023
|
||||||||
(in thousands)
|
Shares
Owned (000's) |
% of
Outstanding
Shares Owned
|
Fair Value at
Dec 31, 2022 |
Cost of
Additions
|
Proceeds of
Disposition 1
|
Fair Value
Adjustment
Gains (Losses) 2
|
Fair Value at
Sep 30, 2023 |
Realized Gain (Loss) on Disposal
|
Bear Creek
|
13,264
|
7.74%
|
$ 7,443
|
$ -
|
$ -
|
$ (5,383)
|
$ 2,060
|
$ -
|
Sabina
|
-
|
0.00%
|
30,535
|
-
|
(48,832)
|
18,297
|
-
|
872
|
Kutcho
|
18,640
|
13.27%
|
3,097
|
-
|
-
|
(1,373)
|
1,724
|
-
|
Hecla
|
34,980
|
5.67%
|
194,668
|
-
|
(202)
|
(57,693)
|
136,773
|
73
|
B2Gold
|
12,025
|
0.93%
|
-
|
48,832
|
-
|
(14,146)
|
34,686
|
-
|
Other
|
|
|
19,792
|
13,205
|
(27)
|
(7,635)
|
25,335
|
(990)
|
Total
|
|
|
$ 255,535
|
$ 62,037
|
$ (49,061)
|
$ (67,933)
|
$ 200,578
|
$ (45)
|
1) |
The disposal of the Sabina shares was as a result of the acquisition of Sabina by B2Gold, while the partial disposition of the Hecla shares was made in order to capitalize on Hecla’s share price appreciation.
|
2) |
Fair Value Gains (Losses) are reflected as a component of OCI.
|
Nine Months Ended September 30, 2022
|
||||||||
(in thousands)
|
Shares
Owned (000's) |
% of
Outstanding
Shares Owned |
Fair Value at
Dec 31, 2021 |
Cost of
Additions
|
Proceeds of
Disposition 1
|
Fair Value
Adjustment
Gains (Losses) 2
|
Fair Value at
Sep 30, 2022 |
Realized Loss on Disposal
|
Bear Creek
|
13,264
|
8.65%
|
$ 12,764
|
$ -
|
$ -
|
$ (7,151)
|
$ 5,613
|
$ -
|
Sabina
|
31,095
|
5.67%
|
13,381
|
19,833
|
-
|
(8,487)
|
24,727
|
-
|
Kutcho
|
18,640
|
14.97%
|
-
|
11,722
|
-
|
(8,390)
|
3,332
|
-
|
Hecla
|
35,012
|
5.88%
|
-
|
141,450
|
-
|
(3,502)
|
137,948
|
-
|
Other
|
|
|
33,796
|
6,138
|
(4,601)
|
(16,973)
|
18,360
|
(3,797)
|
Total
|
|
|
$ 59,941
|
$ 179,143
|
$ (4,601)
|
$ (44,503)
|
$ 189,980
|
$ (3,797)
|
1) |
Disposals during 2022 were made as a result of the acquisition of the companies to which the shares relate by unrelated third party entities.
|
2) |
Fair Value Gains (Losses) are reflected as a component of OCI.
|
|
Q3 2023
|
Q2 2023
|
Q1 2023
|
Q4 2022
|
Q3 2022
|
Q2 2022
|
Q1 2022
|
Q4 2021
|
Gold ounces produced ²
|
|
|
|
|||||
Salobo
|
69,045
|
54,804
|
43,677
|
37,939
|
44,212
|
34,129
|
44,883
|
48,235
|
Sudbury 3
|
4,266
|
5,818
|
6,203
|
5,270
|
3,437
|
5,289
|
5,362
|
4,379
|
Constancia
|
19,003
|
7,444
|
6,905
|
10,496
|
7,196
|
8,042
|
6,311
|
9,857
|
San Dimas 4
|
9,995
|
11,166
|
10,754
|
10,037
|
11,808
|
10,044
|
10,461
|
13,714
|
Stillwater 5
|
2,454
|
2,017
|
1,960
|
2,185
|
1,833
|
2,171
|
2,497
|
2,664
|
Other
|
|
|
|
|||||
Marmato
|
673
|
639
|
457
|
533
|
542
|
778
|
477
|
479
|
777 6
|
-
|
-
|
-
|
-
|
-
|
3,509
|
4,003
|
4,462
|
Minto
|
-
|
1,292
|
3,063
|
2,567
|
3,050
|
2,480
|
4,060
|
3,506
|
Total Other
|
673
|
1,931
|
3,520
|
3,100
|
3,592
|
6,767
|
8,540
|
8,447
|
Total gold ounces produced
|
105,436
|
83,180
|
73,019
|
69,027
|
72,078
|
66,442
|
78,054
|
87,296
|
Silver ounces produced 2
|
|
|
|
|||||
Peñasquito 7
|
-
|
1,744
|
2,076
|
1,761
|
2,017
|
2,089
|
2,219
|
2,145
|
Antamina
|
864
|
960
|
851
|
1,067
|
1,327
|
1,330
|
1,210
|
1,309
|
Constancia
|
697
|
420
|
552
|
655
|
564
|
584
|
506
|
578
|
Other
|
|
|
|
|||||
Los Filos
|
28
|
28
|
28
|
14
|
21
|
35
|
42
|
37
|
Zinkgruvan
|
785
|
374
|
632
|
664
|
642
|
739
|
577
|
482
|
Neves-Corvo
|
486
|
407
|
436
|
369
|
323
|
345
|
344
|
522
|
Aljustrel
|
327
|
279
|
343
|
313
|
246
|
292
|
287
|
325
|
Cozamin
|
165
|
184
|
141
|
157
|
179
|
169
|
186
|
213
|
Marmato
|
11
|
7
|
8
|
9
|
7
|
7
|
11
|
7
|
Yauliyacu 8
|
-
|
-
|
-
|
261
|
463
|
756
|
637
|
382
|
Stratoni 9
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
129
|
Minto
|
-
|
14
|
29
|
33
|
33
|
26
|
45
|
44
|
Keno Hill 10
|
-
|
-
|
-
|
-
|
-
|
48
|
20
|
30
|
777 6
|
-
|
-
|
-
|
-
|
-
|
80
|
91
|
96
|
Total Other
|
1,802
|
1,293
|
1,617
|
1,820
|
1,914
|
2,497
|
2,240
|
2,267
|
Total silver ounces produced
|
3,363
|
4,417
|
5,096
|
5,303
|
5,822
|
6,500
|
6,175
|
6,299
|
Palladium ounces produced ²
|
|
|
|
|||||
Stillwater 5
|
4,006
|
3,880
|
3,705
|
3,869
|
3,229
|
3,899
|
4,488
|
4,733
|
Cobalt pounds produced ²
|
|
|
|
|||||
Voisey's Bay
|
183
|
152
|
124
|
128
|
226
|
136
|
234
|
381
|
GEOs produced 11
|
154,800
|
145,797
|
144,000
|
142,887
|
153,025
|
155,932
|
164,911
|
177,490
|
Average payable rate 2
|
|
|
|
|
|
|||
Gold
|
95.5%
|
95.1%
|
95.1%
|
94.9%
|
95.1%
|
95.1%
|
95.2%
|
96.0%
|
Silver
|
79.0%
|
83.2%
|
82.3%
|
83.6%
|
85.8%
|
85.9%
|
86.3%
|
86.2%
|
Palladium
|
93.6%
|
94.1%
|
96.0%
|
91.7%
|
95.0%
|
94.6%
|
92.7%
|
92.2%
|
Cobalt
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
GEO 11
|
90.8%
|
90.4%
|
89.3%
|
89.3%
|
90.4%
|
90.4%
|
90.7%
|
91.5%
|
1) |
All figures in thousands except gold and palladium ounces produced.
|
2) |
Quantity produced represent the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures and payable rates are based on information
provided by the operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures and payable rates may be updated in
future periods as additional information is received.
|
3) |
Comprised of the Coleman, Copper Cliff, Garson, Creighton and Totten gold interests.
|
4) |
Under the terms of the San Dimas PMPA, the Company is entitled to an amount equal to 25% of the payable gold production plus an additional amount of gold equal to 25% of the payable silver production converted to gold
at a fixed gold to silver exchange ratio of 70:1 from the San Dimas mine. If the average gold to silver price ratio decreases to less than 50:1 or increases to more than 90:1 for a period of 6 months or more, then the "70" shall be revised to
"50" or "90", as the case may be, until such time as the average gold to silver price ratio is between 50:1 to 90:1 for a period of 6 months or more in which event the "70" shall be reinstated. For reference, attributable silver production from
prior periods is as follows: Q3 2023 - 387,000 ounces; Q2 2023 - 423,000 ounces; Q1 2023 - 401,000 ounces; Q4 2022 - 348,000 ounces; Q3 2022 - 412,000 ounces; Q2 2022 - 382,000 ounces; Q1 2022 - 408,000 ounces; Q4 2021 - 544,000 ounces.
|
5) |
Comprised of the Stillwater and East Boulder gold and palladium interests.
|
6) |
On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced.
|
7) |
There was a temporary suspension of operations at Peñasquito due to a labour strike which ran from June 7, 2023 to October 13, 2023.
|
8) |
On December 14, 2022, the Company terminated the Yauliyacu PMPA in exchange for a cash payment of $132 million.
|
9) |
The Stratoni mine was placed into care and maintenance during Q4-2021.
|
10) |
On September 7, 2022, the Company terminated the Keno Hill PMPA in exchange for $141 million of Hecla common stock.
|
11) |
GEOs, which are provided to assist the reader, are based on the following commodity price assumptions: $1,850 per ounce gold; $24.00 per ounce silver; $1,800 per ounce palladium; and $18.75 per pound cobalt;
consistent with those used in estimating the Company's production guidance for 2023.
|
|
Q3 2023
|
Q2 2023
|
Q1 2023
|
Q4 2022
|
Q3 2022
|
Q2 2022
|
Q1 2022
|
Q4 2021
|
Gold ounces sold
|
|
|
|
|||||
Salobo
|
44,444
|
46,030
|
35,966
|
41,029
|
31,818
|
48,515
|
42,513
|
47,171
|
Sudbury 2
|
4,836
|
4,775
|
4,368
|
4,988
|
5,147
|
7,916
|
3,712
|
965
|
Constancia
|
12,399
|
9,619
|
6,579
|
6,013
|
6,336
|
7,431
|
10,494
|
6,196
|
San Dimas
|
9,695
|
11,354
|
10,651
|
10,943
|
10,196
|
10,633
|
10,070
|
15,182
|
Stillwater 3
|
1,985
|
2,195
|
2,094
|
1,783
|
2,127
|
2,626
|
2,628
|
2,933
|
Other
|
|
|
|
|||||
Marmato
|
792
|
467
|
480
|
473
|
719
|
781
|
401
|
423
|
777
|
275
|
153
|
126
|
785
|
3,098
|
3,629
|
4,388
|
4,290
|
Minto
|
-
|
701
|
2,341
|
2,982
|
2,559
|
2,806
|
3,695
|
2,462
|
Total Other
|
1,067
|
1,321
|
2,947
|
4,240
|
6,376
|
7,216
|
8,484
|
7,175
|
Total gold ounces sold
|
74,426
|
75,294
|
62,605
|
68,996
|
62,000
|
84,337
|
77,901
|
79,622
|
Silver ounces sold
|
|
|
|
|||||
Peñasquito
|
453
|
1,913
|
1,483
|
2,066
|
1,599
|
2,096
|
2,188
|
1,818
|
Antamina
|
794
|
963
|
814
|
1,114
|
1,155
|
1,177
|
1,468
|
1,297
|
Constancia
|
435
|
674
|
366
|
403
|
498
|
494
|
644
|
351
|
Other
|
|
|
|
|||||
Los Filos
|
30
|
37
|
34
|
16
|
24
|
41
|
42
|
17
|
Zinkgruvan
|
714
|
370
|
520
|
547
|
376
|
650
|
355
|
346
|
Neves-Corvo
|
245
|
132
|
171
|
80
|
105
|
167
|
204
|
259
|
Aljustrel
|
142
|
182
|
205
|
156
|
185
|
123
|
145
|
133
|
Cozamin
|
139
|
150
|
119
|
150
|
154
|
148
|
177
|
174
|
Marmato
|
11
|
7
|
7
|
7
|
8
|
11
|
8
|
8
|
Yauliyacu
|
-
|
-
|
-
|
337
|
1,005
|
817
|
44
|
551
|
Stratoni
|
-
|
-
|
-
|
-
|
-
|
(2)
|
133
|
42
|
Minto
|
-
|
7
|
29
|
23
|
22
|
21
|
31
|
27
|
Keno Hill
|
-
|
-
|
1
|
1
|
30
|
30
|
27
|
24
|
777
|
2
|
2
|
-
|
35
|
73
|
75
|
87
|
69
|
Total Other
|
1,283
|
887
|
1,086
|
1,352
|
1,982
|
2,081
|
1,253
|
1,650
|
Total silver ounces sold
|
2,965
|
4,437
|
3,749
|
4,935
|
5,234
|
5,848
|
5,553
|
5,116
|
Palladium ounces sold
|
|
|
|
|||||
Stillwater 3
|
4,242
|
3,392
|
2,946
|
3,396
|
4,227
|
3,378
|
4,075
|
4,641
|
Cobalt pounds sold
|
|
|
|
|||||
Voisey's Bay
|
198
|
265
|
323
|
187
|
115
|
225
|
511
|
228
|
GEOs sold 4
|
119,030
|
138,835
|
117,383
|
138,218
|
135,179
|
165,766
|
159,082
|
152,826
|
Cumulative payable units PBND 5
|
|
|
|
|
|
|
|
|
Gold ounces
|
99,923
|
73,403
|
69,479
|
62,602
|
65,978
|
59,331
|
81,365
|
84,989
|
Silver ounces
|
1,071
|
1,325
|
2,065
|
1,606
|
2,287
|
2,438
|
2,693
|
3,042
|
Palladium ounces
|
5,607
|
6,122
|
5,751
|
5,098
|
5,041
|
6,267
|
5,535
|
5,629
|
Cobalt pounds
|
376
|
250
|
285
|
257
|
402
|
280
|
550
|
596
|
GEO 4
|
123,086
|
99,084
|
104,749
|
91,001
|
104,623
|
99,895
|
127,257
|
135,964
|
Inventory on hand
|
|
|
|
|
|
|
|
|
Cobalt pounds
|
155
|
310
|
398
|
633
|
556
|
582
|
410
|
657
|
1) |
All figures in thousands except gold and palladium ounces sold.
|
2) |
Comprised of the Coleman, Copper Cliff, Garson, Creighton and Totten gold interests.
|
3) |
Comprised of the Stillwater and East Boulder gold and palladium interests.
|
4) |
GEOs, which are provided to assist the reader, are based on the following commodity price assumptions: $1,850 per ounce gold; $24.00 per ounce silver; $1,800 per ounce palladium; and $18.75 per pound
cobalt; consistent with those used in estimating the Company's production guidance for 2023.
|
5) |
Payable gold, silver and palladium ounces PBND and cobalt pounds PBND are based on management estimates. These figures may be updated in future periods as additional information is received.
|
xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
|
Q3 2023
|
Q2 2023
|
Q1 2023
|
Q4 2022
|
Q3 2022
|
Q2 2022
|
Q1 2022
|
Q4 2021
|
||||||||||||||||
Gold ounces sold
|
xx
|
|
74,426
|
xx
|
|
75,294
|
xx
|
|
62,605
|
xx
|
68,996
|
xx
|
62,000
|
xx
|
84,337
|
xx
|
77,901
|
xx
|
79,622
|
|||||
Realized price 2
|
|
$
|
1,944
|
|
$
|
1,986
|
|
$
|
1,904
|
|
$
|
1,725
|
|
$
|
1,728
|
|
$
|
1,872
|
|
$
|
1,870
|
|
$
|
1,798
|
Gold sales
|
|
$
|
144,707
|
|
$
|
149,511
|
|
$
|
119,196
|
|
$
|
119,051
|
|
$
|
107,128
|
|
$
|
157,842
|
|
$
|
145,675
|
|
$
|
143,187
|
Silver ounces sold
|
|
|
2,965
|
|
|
4,437
|
|
|
3,749
|
4,935
|
5,234
|
5,848
|
5,553
|
5,116
|
||||||||||
Realized price 2
|
|
$
|
23.73
|
|
$
|
24.13
|
|
$
|
22.85
|
|
$
|
21.52
|
|
$
|
19.16
|
|
$
|
22.27
|
|
$
|
24.19
|
|
$
|
23.36
|
Silver sales
|
|
$
|
70,372
|
|
$
|
107,081
|
|
$
|
85,678
|
|
$
|
106,175
|
|
$
|
100,270
|
|
$
|
130,228
|
|
$
|
134,332
|
|
$
|
119,504
|
Palladium ounces sold
|
|
|
4,242
|
|
|
3,392
|
|
|
2,946
|
3,396
|
4,227
|
3,378
|
4,075
|
4,641
|
||||||||||
Realized price 2
|
|
$
|
1,251
|
|
$
|
1,438
|
|
$
|
1,607
|
|
$
|
1,939
|
|
$
|
2,091
|
|
$
|
2,132
|
|
$
|
2,339
|
|
$
|
1,918
|
Palladium sales
|
|
$
|
5,307
|
|
$
|
4,879
|
|
$
|
4,735
|
|
$
|
6,586
|
|
$
|
8,838
|
|
$
|
7,203
|
|
$
|
9,533
|
|
$
|
8,902
|
Cobalt pounds sold
|
|
|
198
|
|
|
265
|
|
|
323
|
187
|
115
|
225
|
511
|
228
|
||||||||||
Realized price 2
|
|
$
|
13.87
|
|
$
|
13.23
|
|
$
|
15.04
|
|
$
|
22.62
|
|
$
|
22.68
|
|
$
|
34.01
|
|
$
|
34.61
|
|
$
|
28.94
|
Cobalt sales
|
|
$
|
2,751
|
|
$
|
3,501
|
|
$
|
4,856
|
|
$
|
4,239
|
|
$
|
2,600
|
|
$
|
7,649
|
|
$
|
17,704
|
|
$
|
6,604
|
Total sales
|
|
$
|
223,137
|
|
$
|
264,972
|
|
$
|
214,465
|
|
$
|
236,051
|
|
$
|
218,836
|
|
$
|
302,922
|
|
$
|
307,244
|
|
$
|
278,197
|
Cash cost 2, 3
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Gold / oz
|
|
$
|
444
|
|
$
|
461
|
|
$
|
496
|
$
|
475
|
$
|
474
|
$
|
465
|
$
|
477
|
$
|
472
|
|||||
Silver / oz
|
|
$
|
5.10
|
|
$
|
5.01
|
|
$
|
5.07
|
$
|
5.00
|
$
|
5.59
|
$
|
5.61
|
$
|
5.10
|
$
|
5.47
|
|||||
Palladium / oz
|
|
$
|
223
|
|
$
|
261
|
|
$
|
294
|
$
|
357
|
$
|
353
|
$
|
408
|
$
|
394
|
$
|
340
|
|||||
Cobalt / lb 4
|
|
$
|
3.66
|
|
$
|
3.20
|
|
$
|
3.30
|
|
$
|
16.52
|
|
$
|
7.21
|
|
$
|
6.86
|
|
$
|
5.76
|
|
$
|
4.68
|
Depletion 2
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Gold / oz
|
|
$
|
381
|
|
$
|
365
|
|
$
|
360
|
$
|
357
|
$
|
353
|
$
|
369
|
$
|
321
|
$
|
338
|
|||||
Silver / oz
|
|
$
|
4.57
|
|
$
|
4.92
|
|
$
|
4.48
|
$
|
4.98
|
$
|
5.84
|
$
|
5.28
|
$
|
4.78
|
$
|
5.57
|
|||||
Palladium / oz
|
|
$
|
459
|
|
$
|
445
|
|
$
|
408
|
$
|
399
|
$
|
399
|
$
|
399
|
$
|
399
|
$
|
442
|
|||||
Cobalt / lb
|
|
$
|
12.98
|
|
$
|
13.85
|
|
$
|
13.85
|
|
$
|
13.72
|
|
$
|
13.63
|
|
$
|
10.40
|
|
$
|
8.17
|
|
$
|
8.17
|
Net earnings
|
|
$
|
116,371
|
|
$
|
141,448
|
|
$
|
111,391
|
$
|
166,125
|
$
|
196,460
|
$
|
149,074
|
$
|
157,467
|
$
|
291,822
|
|||||
Per share
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Basic
|
|
$
|
0.257
|
|
$
|
0.312
|
|
$
|
0.246
|
$
|
0.367
|
$
|
0.435
|
$
|
0.330
|
$
|
0.349
|
$
|
0.648
|
|||||
Diluted
|
|
$
|
0.257
|
|
$
|
0.312
|
|
$
|
0.246
|
|
$
|
0.367
|
|
$
|
0.434
|
|
$
|
0.330
|
|
$
|
0.348
|
|
$
|
0.646
|
Adjusted net earnings 3
|
|
$
|
121,467
|
|
$
|
142,584
|
|
$
|
104,431
|
$
|
103,744
|
$
|
93,878
|
$
|
149,283
|
$
|
158,007
|
$
|
132,232
|
|||||
Per share
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Basic
|
|
$
|
0.268
|
|
$
|
0.315
|
|
$
|
0.231
|
$
|
0.229
|
$
|
0.208
|
$
|
0.331
|
$
|
0.350
|
$
|
0.293
|
|||||
Diluted
|
|
$
|
0.268
|
|
$
|
0.314
|
|
$
|
0.230
|
|
$
|
0.229
|
|
$
|
0.208
|
|
$
|
0.330
|
|
$
|
0.350
|
|
$
|
0.293
|
Cash flow from operations
|
|
$
|
171,103
|
|
$
|
202,376
|
|
$
|
135,104
|
$
|
172,028
|
$
|
154,497
|
$
|
206,359
|
$
|
210,540
|
$
|
195,290
|
|||||
Per share 3
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Basic
|
|
$
|
0.378
|
|
$
|
0.447
|
|
$
|
0.299
|
$
|
0.381
|
$
|
0.342
|
$
|
0.457
|
$
|
0.467
|
$
|
0.433
|
|||||
Diluted
|
|
$
|
0.377
|
|
$
|
0.446
|
|
$
|
0.298
|
|
$
|
0.380
|
|
$
|
0.342
|
|
$
|
0.456
|
|
$
|
0.466
|
|
$
|
0.432
|
Dividends declared
|
|
$
|
67,946
|
|
$
|
67,938
|
|
$
|
67,910
|
$
|
67,797
|
$
|
67,754
|
$
|
67,708
|
$
|
67,687
|
$
|
67,580
|
|||||
Per share
|
|
$
|
0.15
|
|
$
|
0.15
|
|
$
|
0.15
|
|
$
|
0.15
|
|
$
|
0.15
|
|
$
|
0.15
|
|
$
|
0.15
|
|
$
|
0.15
|
Total assets
|
|
$
|
6,881,515
|
|
$
|
6,879,905
|
|
$
|
6,905,479
|
|
$
|
6,759,906
|
|
$
|
6,587,595
|
|
$
|
6,448,695
|
|
$
|
6,470,033
|
|
$
|
6,296,151
|
Total liabilities
|
|
$
|
38,254
|
|
$
|
33,492
|
|
$
|
93,025
|
|
$
|
42,231
|
|
$
|
38,783
|
|
$
|
31,894
|
|
$
|
120,572
|
|
$
|
46,034
|
Total shareholders' equity
|
|
$
|
6,843,261
|
|
$
|
6,846,413
|
|
$
|
6,812,454
|
|
$
|
6,717,675
|
|
$
|
6,548,812
|
|
$
|
6,416,801
|
|
$
|
6,349,461
|
|
$
|
6,250,117
|
1) |
All figures in thousands except gold and palladium ounces produced and sold, per unit amounts and per share amounts.
|
2) |
Expressed as dollars per ounce and for cobalt per pound.
|
3) |
Refer to discussion on non-IFRS beginning on page 39 of this MD&A.
|
4) |
Cash cost per pound of cobalt sold during the fourth quarter of 2022 includes an inventory write-down of $1.6 million, resulting in an increase of $8.71 per pound. During the three months ended March 31, 2023, June
30, 2023 and September 30, 2023 , the company reversed $1.0 million, $0.5 million and $0.1 million, respectively, of the inventory write-down for the inventory that was sold resulting in a decrease of $3.18
per pound of cobalt sold, $1.81 per pound of cobalt sold and $0.51 per pound of cobalt sold, respectively. The Company reflects the cobalt inventory at the lower of cost and net realizable value, and will continue to monitor the market price of
cobalt relative to the carrying value of the inventory at each reporting period.
|
Three Months Ended September 30, 2023
|
||||||||||||||||
|
Units
Produced²
|
Units
Sold |
Average
Realized Price ($'s Per Unit) |
Average
Cash Cost ($'s Per Unit) 3 |
Average
Depletion ($'s Per Unit) |
Sales
|
Net
Earnings |
Cash Flow
From Operations |
Total
Assets |
|||||||
Gold
|
||||||||||||||||
Salobo
|
69,045
|
44,444
|
$
|
1,944
|
$
|
420
|
$
|
330
|
$
|
86,395
|
$
|
53,026
|
$
|
67,710
|
$
|
2,341,485
|
Sudbury 4
|
4,266
|
4,836
|
1,950
|
400
|
1,204
|
9,428
|
1,669
|
7,494
|
268,224
|
|||||||
Constancia
|
19,003
|
12,399
|
1,944
|
419
|
316
|
24,102
|
14,991
|
18,906
|
86,555
|
|||||||
San Dimas
|
9,995
|
9,695
|
1,944
|
631
|
260
|
18,846
|
10,216
|
12,732
|
147,638
|
|||||||
Stillwater
|
2,454
|
1,985
|
1,944
|
349
|
510
|
3,859
|
2,154
|
3,167
|
212,650
|
|||||||
Other 5
|
673
|
1,067
|
|
1,945
|
|
368
|
|
391
|
|
2,077
|
|
1,266
|
|
1,684
|
|
557,035
|
|
105,436
|
74,426
|
$
|
1,944
|
$
|
444
|
$
|
381
|
$
|
144,707
|
$
|
83,322
|
$
|
111,693
|
$
|
3,613,587
|
Silver
|
||||||||||||||||
Peñasquito
|
-
|
453
|
$
|
23.82
|
$
|
4.43
|
$
|
4.06
|
$
|
10,804
|
$
|
6,952
|
$
|
8,795
|
$
|
278,028
|
Antamina
|
864
|
794
|
23.82
|
4.81
|
7.06
|
18,915
|
9,496
|
15,097
|
527,227
|
|||||||
Constancia
|
697
|
435
|
23.82
|
6.18
|
6.24
|
10,360
|
4,958
|
7,674
|
183,736
|
|||||||
Other 6
|
1,802
|
1,283
|
|
23.62
|
|
5.15
|
|
2.64
|
|
30,293
|
|
20,301
|
|
19,439
|
|
549,641
|
|
3,363
|
2,965
|
$
|
23.73
|
$
|
5.10
|
$
|
4.57
|
$
|
70,372
|
$
|
41,707
|
$
|
51,005
|
$
|
1,538,632
|
Palladium
|
||||||||||||||||
Stillwater
|
4,006
|
4,242
|
$
|
1,251
|
$
|
223
|
$
|
459
|
$
|
5,307
|
$
|
2,416
|
$
|
4,361
|
$
|
222,154
|
Platinum
|
||||||||||||||||
Marathon
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,450
|
Cobalt
|
||||||||||||||||
Voisey's Bay
|
183
|
198
|
$
|
13.87
|
$
|
3.66 ⁷
|
$
|
12.98
|
$
|
2,751
|
$
|
(551)
|
$
|
4,235
|
$
|
353,631
|
Operating results
|
|
|
|
|
|
|
|
$
|
223,137
|
$
|
126,894
|
$
|
171,294
|
$
|
5,737,454
|
|
Other
|
||||||||||||||||
General and administrative
|
$
|
(8,606)
|
$
|
(6,321)
|
||||||||||||
Share based compensation
|
(4,336)
|
-
|
||||||||||||||
Donations and community investments
|
(1,736)
|
(1,750)
|
||||||||||||||
Finance costs
|
(1,407)
|
(1,078)
|
||||||||||||||
Other
|
10,707
|
9,870
|
||||||||||||||
Income tax
|
|
|
|
|
|
|
|
|
|
|
|
(5,145)
|
|
(912)
|
|
|
Total other
|
|
|
|
|
|
|
|
|
$
|
(10,523)
|
$
|
(191)
|
$
|
1,144,061
|
||
|
|
|
|
|
|
|
|
|
|
|
$
|
116,371
|
$
|
171,103
|
$
|
6,881,515
|
1) |
Units of gold, silver and palladium produced and sold are reported in ounces, while cobalt is reported in pounds. All figures in thousands except gold and palladium ounces produced and sold and per unit amounts.
|
2) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information provided by the
operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as additional
information is received.
|
3) |
Refer to discussion on non-IFRS measure (iii) on page 41 of this MD&A.
|
4) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests and the non-operating Stobie and Victor gold interests.
|
5) |
Comprised of the operating Marmato gold interests as well as the non-operating Minto, 777, Copper World Complex, Santo Domingo, Blackwater, Fenix, Goose, Marathon, Curipamba and Cangrejos gold interests. On June 22,
2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto mine.
|
6) |
Comprised of the operating Los Filos, Zinkgruvan, Neves-Corvo, Aljustrel, Cozamin and Marmato silver interests and the non-operating Minto, 777, Loma de La Plata, Stratoni, Pascua-Lama, Copper World Complex,
Blackwater and Curipamba silver interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto mine.
On September 12, 2023, it was announced that the production of zinc and lead concentrates at Aljustrel will be halted from September 24, 2023 until the second quarter of 2025.
|
7) |
Cash cost per pound of cobalt sold during the third quarter of 2023 was net of a previously recorded inventory write-down of $0.1 million, resulting in a decrease of $0.51 per pound of cobalt sold. The Company
reflects the cobalt inventory at the lower of cost and net realizable value, and will continue to monitor the market price of cobalt relative to the carrying value of the inventory at each reporting period.
|
Three Months Ended September 30, 2022
|
||||||||||||||||||
|
Units
Produced²
|
Units
Sold |
Average
Realized Price ($'s Per Unit) |
Average
Cash Cost ($'s Per Unit) 3 |
Average
Depletion ($'s Per Unit) |
Sales
|
Impairment Reversals /
Gain on
Disposal 4
|
Net
Earnings |
Cash Flow
From Operations |
Total
Assets |
||||||||
Gold
|
||||||||||||||||||
Salobo
|
44,212
|
31,818
|
$
|
1,724
|
$
|
416
|
$
|
334
|
$
|
54,860
|
$
|
-
|
$
|
31,000
|
$
|
41,617
|
$
|
2,396,952
|
Sudbury 5
|
3,437
|
5,147
|
1,745
|
400
|
1,092
|
8,984
|
-
|
1,303
|
5,943
|
288,863
|
||||||||
Constancia
|
7,196
|
6,336
|
1,724
|
415
|
271
|
10,925
|
-
|
6,578
|
8,295
|
97,213
|
||||||||
San Dimas
|
11,808
|
10,196
|
1,724
|
624
|
260
|
17,579
|
-
|
8,567
|
11,213
|
158,704
|
||||||||
Stillwater
|
1,833
|
2,127
|
1,724
|
317
|
429
|
3,667
|
-
|
2,080
|
2,992
|
216,617
|
||||||||
Other 6
|
3,592
|
6,376
|
1,743
|
694
|
59
|
11,113
|
-
|
6,311
|
5,562
|
461,359
|
||||||||
|
72,078
|
62,000
|
$
|
1,728
|
$
|
474
|
$
|
353
|
$
|
107,128
|
$
|
-
|
$
|
55,839
|
$
|
75,622
|
$
|
3,619,708
|
Silver
|
||||||||||||||||||
Peñasquito
|
2,017
|
1,599
|
$
|
19.30
|
$
|
4.36
|
$
|
3.57
|
$
|
30,857
|
$
|
-
|
$
|
18,182
|
$
|
23,885
|
$
|
301,040
|
Antamina
|
1,327
|
1,155
|
19.30
|
3.75
|
7.06
|
22,287
|
-
|
9,798
|
17,951
|
553,231
|
||||||||
Constancia
|
564
|
498
|
19.30
|
6.12
|
6.35
|
9,613
|
-
|
3,398
|
6,563
|
195,507
|
||||||||
Other 7
|
1,914
|
1,982
|
18.93
|
7.51
|
6.84
|
37,513
|
114,755
|
123,823
|
21,896
|
538,739
|
||||||||
|
5,822
|
5,234
|
$
|
19.16
|
$
|
5.59
|
$
|
5.84
|
$
|
100,270
|
$
|
114,755
|
$
|
155,201
|
$
|
70,295
|
$
|
1,588,517
|
Palladium
|
||||||||||||||||||
Stillwater
|
3,229
|
4,227
|
$
|
2,091
|
$
|
353
|
$
|
399
|
$
|
8,838
|
$
|
-
|
$
|
5,657
|
$
|
7,344
|
$
|
228,168
|
Platinum
|
||||||||||||||||||
Marathon
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,425
|
Cobalt
|
||||||||||||||||||
Voisey's Bay
|
226
|
115
|
$
|
22.68
|
$
|
7.21
|
$
|
13.63
|
$
|
2,600
|
$
|
-
|
$
|
211
|
$
|
7,352
|
$
|
361,238
|
Operating results
|
|
|
|
|
|
|
|
$
|
218,836
|
$
|
114,755
|
$
|
216,908
|
$
|
160,613
|
$
|
5,807,056
|
|
Other
|
||||||||||||||||||
General and administrative
|
$
|
(8,360)
|
$
|
(5,342)
|
||||||||||||||
Share based compensation
|
(77)
|
(163)
|
||||||||||||||||
Donations and community investments
|
(1,406)
|
(1,410)
|
||||||||||||||||
Finance costs
|
(1,398)
|
(1,020)
|
||||||||||||||||
Other
|
2,799
|
1,848
|
||||||||||||||||
Income tax
|
(12,006)
|
(29)
|
||||||||||||||||
Total other
|
|
|
|
|
|
|
|
|
|
|
$
|
(20,448)
|
$
|
(6,116)
|
$
|
780,539
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
196,460
|
$
|
154,497
|
$
|
6,587,595
|
1) |
Units of gold, silver and palladium produced and sold are reported in ounces, while cobalt is reported in pounds. All figures in thousands except gold and palladium ounces produced and sold and per unit amounts.
|
2) |
Quantity produced represent the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information provided by the
operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as additional
information is received.
|
3) |
Refer to discussion on non-IFRS measure (iii) on page 41 of this MD&A.
|
4) |
Refer to page 25 of this MD&A for more information.
|
5) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests as well as the non-operating Stobie and Victor gold interests.
|
6) |
Comprised of the operating Minto, 777 and Marmato gold interests as well as the non-operating Copper World Complex, Santo Domingo, Blackwater, Fenix, Goose, Marathon and Curipamba gold interests. On June 22, 2022,
Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto mine.
|
7) |
Comprised of the operating Los Filos, Zinkgruvan, Neves-Corvo, Aljustrel, Minto, 777, Marmato and Cozamin silver interests, the non-operating Stratoni, Loma de La Plata, Copper World Complex, Pascua-Lama, Blackwater
and Curipamba silver interests and the previously owned Keno Hill and Yauliyacu silver interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On September 7, 2022, the
Keno Hill PMPA was terminated in exchange for $141 million of Hecla common stock. On December 14, 2022, the Yauliyacu PMPA was terminated in exchange for a cash payment of $132 million. On May 13, 2023, Minto announced the suspension of
operations at the Minto mine. On September 12, 2023, it was announced that the production of zinc and lead concentrates at Aljustrel will be halted from September 24, 2023 until the second quarter of 2025.
|
|
|
|
Q3 2023
|
|
|
Q3 2022
|
|
|
Change
|
|
Change
|
GEO Production 1, 2
|
|
|
154,800
|
|
|
153,025
|
|
|
1,776
|
|
1.2 %
|
GEO Sales 2
|
|
|
119,030
|
|
135,179
|
(16,149)
|
(11.9)%
|
||||
Average price per GEO sold 2
|
|
$
|
1,875
|
|
$
|
1,619
|
|
$
|
256
|
|
15.8 %
|
Revenue
|
|
$
|
223,137
|
|
$
|
218,836
|
|
$
|
4,301
|
|
2.0 %
|
Cost of sales, excluding depletion
|
|
$
|
49,808
|
|
$
|
60,955
|
$
|
11,147
|
18.3 %
|
||
Depletion
|
|
|
46,435
|
|
|
55,728
|
|
|
9,293
|
|
16.7 %
|
Cost of Sales
|
|
$
|
96,243
|
|
$
|
116,683
|
|
$
|
20,440
|
|
17.5 %
|
Gross Margin
|
|
$
|
126,894
|
|
$
|
102,153
|
$
|
24,741
|
24.2 %
|
||
General and administrative expenses
|
|
|
8,606
|
|
8,360
|
(246)
|
(2.9)%
|
||||
Share based compensation
|
|
|
4,336
|
|
77
|
(4,259)
|
(5,531.2)%
|
||||
Donations and community investments
|
|
|
1,736
|
|
1,406
|
(330)
|
(23.5)%
|
||||
Impairment reversal of mineral stream interests
|
|
|
-
|
|
|
(10,330)
|
|
|
(10,330)
|
|
(100.0)%
|
Earnings from Operations
|
|
$
|
112,216
|
|
$
|
102,640
|
$
|
9,576
|
9.3 %
|
||
Gain on disposal of mineral stream interest
|
|
|
-
|
|
(104,425)
|
(104,425)
|
(100.0)%
|
||||
Other (income) expense
|
|
|
(10,707)
|
|
|
(2,799)
|
|
|
7,908
|
|
282.5 %
|
Earnings before finance costs and income taxes
|
|
$
|
122,923
|
|
$
|
209,864
|
$
|
(86,941)
|
(41.4)%
|
||
Finance costs
|
|
|
1,407
|
|
|
1,398
|
|
|
(9)
|
|
(0.6)%
|
Earnings before income taxes
|
|
$
|
121,516
|
|
$
|
208,466
|
$
|
(86,950)
|
(41.7)%
|
||
Income tax expense
|
|
|
(5,145)
|
|
|
(12,006)
|
|
|
6,861
|
|
57.1 %
|
Net earnings
|
|
$
|
116,371
|
|
$
|
196,460
|
|
$
|
(80,089)
|
|
(40.8)%
|
1) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information provided by the
operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as additional
information is received.
|
2) |
GEOs, which are provided to assist the reader, are based on the following commodity price assumptions: $1,850 per ounce gold; $24.00 per ounce silver; $1,800 per ounce palladium; and $18.75 per pound cobalt;
consistent with those used in estimating the Company's production guidance for 2023.
|
|
• |
24,800 ounce or 56% increase from Salobo resulting from higher throughput, with production from the third concentrator line commencing at the end of 2022, and higher recoveries. The prior year was also affected by
planned and corrective maintenance being performed. From a throughput perspective, the three 12 mtpa lines operated at approximately 73% of capacity during Q3-2023 as compared to the two lines which operated at approximately 76% during Q3-2022;
|
|
• |
13,500 ounce or 93% increase from Constancia (comprised of 11,800 gold ounces and 133,000 silver ounces), primarily due to significantly higher grades from mining the high-grade zones of the Pampacancha deposit,
higher recoveries and higher throughput ; and
|
|
• |
1,400 ounce or 28% increase from Stillwater (comprised of 600 gold ounces and 800 palladium ounces), primarily due to prior year being impacted by regional floods leading to the operations being suspended for seven
weeks; partially offset by
|
|
• |
26,200 ounce or 100% decrease from Peñasquito (2,017,000 silver ounces) as operations at the mine were suspended during Q3-2023 due to a labour strike which began on June 7, 2023 and ended on October 13, 2023;
|
|
• |
6,000 ounce or 35% decrease from Antamina (462,000 silver ounces), primarily due to lower grades, consistent with their mine plan;
|
|
• |
4,400 ounce or 15% decrease from the Other mines (comprised of 2,900 gold ounces and 112,000 silver ounces), primarily due to the closure of the Minto mine and the disposal of the Yauliyacu PMPA; and
|
|
• |
1,800 ounce or 15% decrease from San Dimas, primarily due to lower grades, partially offset by higher throughput.
|
Net earnings for the three months ended September 30, 2022
|
|
|
$
|
196,460
|
Variance in gross margin
|
||||
Variance in revenue due to:
|
||||
Payable gold production
|
$
|
55,546
|
||
Payable silver production
|
(44,740)
|
|||
Payable palladium production
|
1,519
|
|||
Payable cobalt production
|
|
(910)
|
|
|
Total payable production
|
$
|
11,415
|
||
Changes in inventory and PBND
|
(31,483)
|
|||
Prices realized per ounce sold
|
|
|
|
24,369
|
Total increase to revenue
|
|
|
$
|
4,301
|
Variance in cost of sales due to:
|
||||
GEO payable production volume
|
$
|
(2,019)
|
||
GEO payable production mix differences
|
4,183
|
|||
Changes in inventory and PBND
|
19,989
|
|||
Cash cost per ounce
|
(500)
|
|||
Depletion per ounce
|
|
|
|
(1,213)
|
Total decrease to cost of sales
|
|
|
$
|
20,440
|
Total increase to gross margin
|
|
|
$
|
24,741
|
Other variances
|
||||
Gain on disposal of mineral stream interest (see page 25)
|
(104,425)
|
|||
Impairment (impairment reversal) of mineral stream interests (see page 25)
|
(10,330)
|
|||
General and administrative expenses (see page 26)
|
(246)
|
|||
Share based compensation (see page 27)
|
(4,259)
|
|||
Donations and community investment (see page 27)
|
(330)
|
|||
Other income / expense (see page 27)
|
7,908
|
|||
Finance costs (see page 28)
|
(9)
|
|||
Income taxes (see page 28)
|
|
|
|
6,861
|
Total decrease in net earnings
|
$
|
(80,089)
|
||
Net earnings for the three months ended September 30, 2023
|
|
|
$
|
116,371
|
Nine Months Ended September 30, 2023
|
||||||||||||||||||
|
Units
Produced²
|
Units
Sold |
Average
Realized Price ($'s Per Unit) |
Average
Cash Cost ($'s Per Unit) 3 |
Average
Depletion ($'s Per Unit) |
Sales
|
Gain on
Disposal 4
|
Net
Earnings |
Cash Flow
From Operations |
Total
Assets |
||||||||
Gold
|
||||||||||||||||||
Salobo
|
167,526
|
126,440
|
$
|
1,947
|
$
|
420
|
$
|
330
|
$
|
246,219
|
$
|
-
|
$
|
151,287
|
$
|
193,063
|
$
|
2,341,485
|
Sudbury 5
|
16,287
|
13,979
|
1,953
|
400
|
1,087
|
27,295
|
-
|
6,512
|
21,420
|
268,224
|
||||||||
Constancia
|
33,352
|
28,597
|
1,948
|
417
|
316
|
55,718
|
-
|
34,751
|
43,779
|
86,555
|
||||||||
San Dimas
|
31,915
|
31,700
|
1,945
|
628
|
260
|
61,657
|
-
|
33,535
|
41,762
|
147,638
|
||||||||
Stillwater
|
6,431
|
6,274
|
1,945
|
347
|
510
|
12,201
|
-
|
6,824
|
10,026
|
212,650
|
||||||||
Other 6
|
6,124
|
5,335
|
|
1,935
|
|
1,119
|
|
172
|
|
10,324
|
|
-
|
|
3,439
|
|
4,090
|
|
557,035
|
|
261,635
|
212,325
|
$
|
1,947
|
$
|
465
|
$
|
369
|
$
|
413,414
|
$
|
-
|
$
|
236,348
|
$
|
314,140
|
$
|
3,613,587
|
Silver
|
||||||||||||||||||
Peñasquito
|
3,820
|
3,849
|
$
|
23.63
|
$
|
4.43
|
$
|
4.06
|
$
|
90,967
|
$
|
-
|
$
|
58,268
|
$
|
73,915
|
$
|
278,028
|
Antamina
|
2,675
|
2,571
|
23.65
|
4.69
|
7.06
|
60,812
|
-
|
30,625
|
48,765
|
527,227
|
||||||||
Constancia
|
1,669
|
1,475
|
23.75
|
6.15
|
6.24
|
35,034
|
-
|
16,750
|
25,962
|
183,736
|
||||||||
Other 7
|
4,712
|
3,256
|
23.44
|
5.58
|
2.82
|
76,316
|
5,027
|
53,966
|
55,364
|
549,641
|
||||||||
|
12,876
|
11,151
|
$
|
23.60
|
$
|
5.05
|
$
|
4.68
|
$
|
263,129
|
$
|
5,027
|
$
|
159,609
|
$
|
204,006
|
$
|
1,538,632
|
Palladium
|
||||||||||||||||||
Stillwater
|
11,591
|
10,580
|
$
|
1,410
|
$
|
255
|
$
|
440
|
$
|
14,922
|
$
|
-
|
$
|
7,565
|
$
|
12,223
|
$
|
222,154
|
Platinum
|
||||||||||||||||||
Marathon
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,450
|
Cobalt
|
||||||||||||||||||
Voisey's Bay
|
458
|
786
|
$
|
14.13
|
$
|
3.36 ⁸
|
$
|
13.63
|
$
|
11,108
|
$
|
-
|
$
|
(2,243)
|
$
|
13,056
|
$
|
353,631
|
Operating results
|
|
|
|
|
|
|
|
$
|
702,573
|
$
|
5,027
|
$
|
401,279
|
$
|
543,425
|
$
|
5,737,454
|
|
Other
|
||||||||||||||||||
General and administrative
|
$
|
(28,922)
|
$
|
(29,702)
|
||||||||||||||
Share based compensation
|
(16,217)
|
(16,675)
|
||||||||||||||||
Donations and community investments
|
(5,054)
|
(4,896)
|
||||||||||||||||
Finance costs
|
(4,138)
|
(3,147)
|
||||||||||||||||
Other
|
26,961
|
24,823
|
||||||||||||||||
Income tax
|
(4,700)
|
(5,244)
|
||||||||||||||||
Total other
|
|
|
|
|
|
|
|
|
|
|
$
|
(32,070)
|
$
|
(34,841)
|
$
|
1,144,061
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
369,209
|
$
|
508,584
|
$
|
6,881,515
|
1) |
Units of gold, silver and palladium produced and sold are reported in ounces, while cobalt is reported in pounds. All figures in thousands except gold and palladium ounces produced and sold and per unit amounts.
|
2) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information provided by the
operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as additional
information is received.
|
3) |
Refer to discussion on non-IFRS measure (iii) on page 41 of this MD&A.
|
4) |
Refer to page 25 of this MD&A for more information.
|
5) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests and the non-operating Stobie and Victor gold interests.
|
6) |
Comprised of the operating Marmato gold interests as well as the non-operating Minto, 777, Copper World Complex, Santo Domingo, Blackwater, Fenix, Goose, Marathon, Curipamba and Cangrejos gold interests. On June 22,
2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto mine.
|
7) |
Comprised of the operating Los Filos, Zinkgruvan, Neves-Corvo, Aljustrel, Cozamin and Marmato silver interests and the non-operating Minto, 777, Loma de La Plata, Stratoni, Pascua-Lama, Copper World Complex,
Blackwater and Curipamba silver interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto mine.
On September 12, 2023, it was announced that the production of zinc and lead concentrates at Aljustrel will be halted from September 24, 2023 until the second quarter of 2025.
|
8) |
Cash cost per pound of cobalt sold during the nine months ended September 30, 2023 was net of a previously recorded inventory write-down of $1.6 million, resulting in a decrease of $2.05 per pound of cobalt sold. The
Company reflects the cobalt inventory at the lower of cost and net realizable value and will continue to monitor the market price of cobalt relative to the carrying value of the inventory at each reporting period.
|
Nine Months Ended September 30, 2022
|
||||||||||||||||||
|
Units
Produced²
|
Units
Sold |
Average
Realized Price ($'s Per Unit) |
Average
Cash Cost ($'s Per Unit) 3 |
Average
Depletion ($'s Per Unit) |
Sales
|
Impairment Reversals /
Gain on
Disposal 4
|
Net
Earnings |
Cash Flow
From Operations |
Total
Assets |
||||||||
Gold
|
||||||||||||||||||
Salobo
|
123,224
|
122,846
|
$
|
1,834
|
$
|
416
|
$
|
334
|
$
|
225,267
|
$
|
-
|
$
|
133,146
|
$
|
174,134
|
$
|
2,396,952
|
Sudbury 5
|
14,088
|
16,775
|
1,828
|
400
|
1,091
|
30,673
|
-
|
5,657
|
22,980
|
288,863
|
||||||||
Constancia
|
21,549
|
24,261
|
1,833
|
413
|
271
|
44,480
|
-
|
27,886
|
34,463
|
97,213
|
||||||||
San Dimas
|
32,313
|
30,899
|
1,823
|
622
|
260
|
56,335
|
-
|
29,095
|
37,114
|
158,704
|
||||||||
Stillwater
|
6,501
|
7,381
|
1,829
|
330
|
429
|
13,503
|
-
|
7,902
|
11,070
|
216,617
|
||||||||
Other 6
|
18,899
|
22,076
|
1,829
|
734
|
45
|
40,388
|
-
|
23,183
|
22,912
|
461,359
|
||||||||
|
216,574
|
224,238
|
$
|
1,831
|
$
|
471
|
$
|
348
|
$
|
410,646
|
$
|
-
|
$
|
226,869
|
$
|
302,673
|
$
|
3,619,708
|
Silver
|
||||||||||||||||||
Peñasquito
|
6,325
|
5,883
|
$
|
22.21
|
$
|
4.36
|
$
|
3.57
|
$
|
130,686
|
$
|
-
|
$
|
84,058
|
$
|
105,036
|
$
|
301,040
|
Antamina
|
3,867
|
3,800
|
22.13
|
4.42
|
7.06
|
84,093
|
-
|
40,479
|
66,952
|
553,231
|
||||||||
Constancia
|
1,654
|
1,636
|
22.15
|
6.09
|
6.34
|
36,227
|
-
|
15,883
|
26,260
|
195,507
|
||||||||
Other 7
|
6,651
|
5,316
|
21.41
|
7.14
|
5.61
|
113,823
|
114,755
|
160,768
|
75,969
|
538,739
|
||||||||
|
18,497
|
16,635
|
$
|
21.93
|
$
|
5.43
|
$
|
5.29
|
$
|
364,829
|
$
|
114,755
|
$
|
301,188
|
$
|
274,217
|
$
|
1,588,517
|
Palladium
|
||||||||||||||||||
Stillwater
|
11,616
|
11,680
|
$
|
2,190
|
$
|
383
|
$
|
399
|
$
|
25,574
|
$
|
-
|
$
|
16,437
|
$
|
21,099
|
$
|
228,168
|
Platinum
|
||||||||||||||||||
Marathon
|
-
|
-
|
$
|
n.a
|
$
|
n.a
|
$
|
n.a
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,425
|
Cobalt
|
||||||||||||||||||
Voisey's Bay
|
596
|
851
|
$
|
32.85
|
$
|
6.24
|
$
|
9.49
|
$
|
27,953
|
$
|
-
|
$
|
14,560
|
$
|
24,412
|
$
|
361,238
|
Operating results
|
|
|
|
|
|
|
|
$
|
829,002
|
$
|
114,755
|
$
|
559,054
|
$
|
622,401
|
$
|
5,807,056
|
|
Other
|
||||||||||||||||||
General and administrative
|
$
|
(27,448)
|
$
|
(28,688)
|
||||||||||||||
Share based compensation
|
(11,586)
|
(18,411)
|
||||||||||||||||
Donations and community investments
|
(3,379)
|
(2,977)
|
||||||||||||||||
Finance costs
|
(4,209)
|
(3,107)
|
||||||||||||||||
Other
|
3,448
|
2,319
|
||||||||||||||||
Income tax
|
(12,879)
|
(141)
|
||||||||||||||||
Total other
|
|
|
|
|
|
|
|
|
|
|
$
|
(56,053)
|
$
|
(51,005)
|
$
|
780,539
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
503,001
|
$
|
571,396
|
$
|
6,587,595
|
1) |
Units of gold, silver and palladium produced and sold are reported in ounces, while cobalt is reported in pounds. All figures in thousands except gold and palladium ounces produced and sold and per unit amounts.
|
2) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information provided by the
operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as additional
information is received.
|
3) |
Refer to discussion on non-IFRS measure (iii) on page 41 of this MD&A.
|
4) |
Refer to page 25 of this MD&A for more information.
|
5) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests as well as the non-operating Stobie and Victor gold interests.
|
6) |
Comprised of the operating Minto, 777 and Marmato gold interests as well as the non-operating Copper World Complex, Santo Domingo, Blackwater, Fenix, Goose, Marathon and Curipamba gold interests. On June 22, 2022,
Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto mine.
|
7) |
Comprised of the operating Los Filos, Zinkgruvan, Neves-Corvo, Aljustrel, Minto, 777, Marmato and Cozamin silver interests, the non-operating Stratoni, Loma de La Plata, Copper World Complex, Pascua-Lama, Blackwater
and Curipamba silver interests and the previously owned Keno Hill and Yauliyacu silver interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On September 7, 2022, the
Keno Hill PMPA was terminated in exchange for $141 million of Hecla common stock. On December 14, 2022, the Yauliyacu PMPA was terminated in exchange for a cash payment of $132 million. On May 13, 2023, Minto announced the suspension of
operations at the Minto mine. On September 12, 2023, it was announced that the production of zinc and lead concentrates at Aljustrel will be halted from September 24, 2023 until the second quarter of 2025.
|
|
|
|
YTD 2023
|
|
|
YTD 2022
|
|
|
Change
|
|
Change
|
GEO Production 1, 2
|
|
|
444,597
|
|
|
473,868
|
|
|
(29,271)
|
|
(6.2)%
|
GEO Sales 2
|
|
|
375,248
|
|
460,026
|
(84,778)
|
(18.4)%
|
||||
Average price per GEO sold 2
|
|
$
|
1,872
|
|
$
|
1,802
|
|
$
|
70
|
|
3.9 %
|
Revenue
|
|
$
|
702,573
|
|
$
|
829,002
|
|
$
|
(126,429)
|
|
(15.3)%
|
Cost of sales, excluding depletion
|
|
$
|
160,413
|
|
$
|
205,891
|
$
|
45,478
|
22.1 %
|
||
Depletion
|
|
|
145,908
|
|
|
178,812
|
|
|
32,904
|
|
18.4 %
|
Cost of Sales
|
|
$
|
306,321
|
|
$
|
384,703
|
|
$
|
78,382
|
|
20.4 %
|
Gross Margin
|
|
$
|
396,252
|
|
$
|
444,299
|
$
|
(48,047)
|
(10.8)%
|
||
General and administrative expenses
|
|
|
28,922
|
|
27,448
|
(1,474)
|
(5.4)%
|
||||
Share based compensation
|
|
|
16,217
|
|
11,586
|
(4,631)
|
(40.0)%
|
||||
Donations and community investments
|
|
|
5,054
|
|
3,379
|
(1,675)
|
(49.6)%
|
||||
Impairment reversal of mineral stream interests
|
|
|
-
|
|
|
(10,330)
|
|
|
(10,330)
|
|
(100.0)%
|
Earnings from Operations
|
|
$
|
346,059
|
|
$
|
412,216
|
$
|
(66,157)
|
(16.0)%
|
||
Gain on disposal of mineral stream interest
|
|
|
(5,027)
|
|
(104,425)
|
(99,398)
|
(95.2)%
|
||||
Other (income) expense
|
|
|
(26,961)
|
|
|
(3,448)
|
|
|
23,513
|
|
681.9 %
|
Earnings before finance costs and income taxes
|
|
$
|
378,047
|
|
$
|
520,089
|
$
|
(142,042)
|
(27.3)%
|
||
Finance costs
|
|
|
4,138
|
|
|
4,209
|
|
|
71
|
|
1.7 %
|
Earnings before income taxes
|
|
$
|
373,909
|
|
$
|
515,880
|
$
|
(141,971)
|
(27.5)%
|
||
Income tax expense
|
|
|
(4,700)
|
|
|
(12,879)
|
|
|
8,179
|
|
63.5 %
|
Net earnings
|
|
$
|
369,209
|
|
$
|
503,001
|
|
$
|
(133,792)
|
|
(26.6)%
|
1) |
Quantity produced represents the amount of gold, silver, palladium and cobalt contained in concentrate or doré prior to smelting or refining deductions. Production figures are based on information provided by the
operators of the mining operations to which the mineral stream interests relate or management estimates in those situations where other information is not available. Certain production figures may be updated in future periods as additional
information is received.
|
2) |
GEOs, which are provided to assist the reader, are based on the following commodity price assumptions: $1,850 per ounce gold; $24.00 per ounce silver; $1,800 per ounce palladium; and $18.75 per pound cobalt;
consistent with those used in estimating the Company's production guidance for 2023.
|
|
• |
37,900 ounce or 36% decrease from the Other mines (comprised of 12,800 gold ounces and 1,939,000 silver ounces), primarily due to the closure of 777 and Minto combined with the disposal of the Yauliyacu PMPA;
|
|
• |
32,500 ounce or 40% decrease from Peñasquito (2,505,000 silver ounces), primarily due to lower throughput resulting from a labour strike which began on June 7, 2023 and ended on October 13, 2023;
|
|
• |
15,400 ounce or 31% decrease from Antamina (1,191,000 silver ounces), primarily due to lower grades, consistent with their mine plan; and
|
|
• |
1,400 ounce or 23% decrease from Voisey's Bay (138,000 cobalt pounds), primarily attributable to lower grades during the ongoing transitional period between the depletion of the Ovoid open-pit mine and ramp-up to
full production of the Voisey’s Bay underground project; partially offset by
|
|
• |
44,300 ounce or 36% increase from Salobo resulting from higher throughput, with production from the third concentrator line commencing at the end of 2022, and higher grades. The prior year was also impacted by both
planned and corrective maintenance in the mill liners, coupled with above average seasonal rain level in the region during the fourth quarter of 2021 impacting mine plans in the first quarter of 2022. From a throughput perspective, the three 12
mtpa lines operating at approximately 65% of capacity during 2023 as compared to the two lines which operated at approximately 76% during 2022;
|
|
• |
12,000 ounce or 28% increase from Constancia (comprised of 11,800 gold ounces and 15,000 silver ounces), primarily due to higher grades, resulting from full mining activities having resumed in the Pampacancha pit;
and
|
|
• |
2,200 ounce or 16% increase from Sudbury, primarily due to higher throughput with first quarter 2022 production being impacted by the temporary closure of the Totten Mine after the shaft was damaged on September 26,
2021.
|
Net earnings for the nine months ended September 30, 2022
|
|
|
$
|
503,001
|
Variance in gross margin
|
||||
Variance in revenue due to:
|
||||
Payable gold production
|
$
|
79,105
|
||
Payable silver production
|
(118,077)
|
|||
Payable palladium production
|
(4)
|
|||
Payable cobalt production
|
|
(4,222)
|
|
|
Total payable production
|
$
|
(43,198)
|
||
Changes in inventory and PBND
|
(103,426)
|
|||
Prices realized per ounce sold
|
|
|
|
20,195
|
Total decrease to revenue
|
|
|
$
|
(126,429)
|
Variance in cost of sales due to:
|
||||
GEO payable production volume
|
$
|
23,924
|
||
GEO payable production mix differences
|
12,139
|
|||
Changes in inventory and PBND
|
49,599
|
|||
Cash cost per ounce
|
(1,067)
|
|||
Depletion per ounce
|
|
|
|
(6,213)
|
Total decrease to cost of sales
|
|
|
$
|
78,382
|
Total decrease to gross margin
|
|
|
$
|
(48,047)
|
Other variances
|
||||
Gain on disposal of mineral stream interest (see page 25)
|
(99,398)
|
|||
Impairment (impairment reversal) of mineral stream interests (see page 25)
|
(10,330)
|
|||
General and administrative expenses (see page 26)
|
(1,474)
|
|||
Donations and community investment (see page 27)
|
(1,675)
|
|||
Share based compensation (see page 27)
|
(4,631)
|
|||
Other income / expense (see page 27)
|
23,513
|
|||
Finance costs (see page 28)
|
71
|
|||
Income taxes (see page 28)
|
|
|
|
8,179
|
Total decrease in net earnings
|
$
|
(133,792)
|
||
Net earnings for the nine months ended September 30, 2023
|
|
|
$
|
369,209
|
(in thousands)
|
|
|
Proceeds received on 33% buyback of Goose
|
$
|
46,400
|
Less: 33% carrying value
|
|
(41,373)
|
Gain on partial disposal of the Goose PMPA
|
$
|
5,027
|
(in thousands)
|
|
|
Fair value of Hecla Mining Company shares received
|
$
|
140,596
|
Less: carrying value after impairment reversal, plus closing costs
|
|
(36,171)
|
Gain on disposal of the Keno Hill PMPA
|
$
|
104,425
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||
(in thousands)
|
2023
|
2022
|
2023
|
2022
|
Corporate
|
|
|
||
Salaries and benefits
|
$ 3,443
|
$ 3,551
|
$ 10,897
|
$ 11,700
|
Depreciation
|
224
|
289
|
780
|
865
|
Professional fees
|
430
|
276
|
1,853
|
1,098
|
Business travel
|
257
|
221
|
909
|
686
|
Director fees
|
238
|
251
|
820
|
852
|
Business taxes
|
36
|
40
|
749
|
748
|
Audit and regulatory
|
502
|
623
|
2,671
|
2,340
|
Insurance
|
493
|
550
|
1,550
|
1,585
|
Other
|
1,075
|
866
|
3,091
|
2,648
|
General and administrative - corporate
|
$ 6,698
|
$ 6,667
|
$ 23,320
|
$ 22,522
|
Subsidiaries
|
|
|
||
Salaries and benefits
|
$ 1,148
|
$ 1,078
|
$ 3,465
|
$ 3,335
|
Depreciation
|
125
|
112
|
343
|
327
|
Professional fees
|
140
|
158
|
416
|
421
|
Business travel
|
76
|
55
|
223
|
124
|
Director fees
|
52
|
50
|
155
|
150
|
Business taxes
|
57
|
70
|
168
|
183
|
Insurance
|
12
|
10
|
39
|
34
|
Other
|
298
|
160
|
793
|
352
|
General and administrative - subsidiaries
|
$ 1,908
|
$ 1,693
|
$ 5,602
|
$ 4,926
|
Consolidated general and administrative
|
$ 8,606
|
$ 8,360
|
$ 28,922
|
$ 27,448
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||
(in thousands)
|
2023
|
2022
|
2023
|
2022
|
Equity settled share based compensation
|
|
|
||
Stock options
|
$ 735
|
$ 642
|
$ 2,090
|
$ 1,788
|
Restricted share units
|
997
|
925
|
3,043
|
2,619
|
Cash settled share based compensation
|
|
|
||
PSUs
|
2,604
|
(1,490)
|
11,084
|
7,179
|
Total share based compensation
|
$ 4,336
|
$ 77
|
$ 16,217
|
$ 11,586
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||
(in thousands)
|
2023
|
2022
|
2023
|
2022
|
Local donations and community investments 1
|
$ 995
|
$ 438
|
$ 1,938
|
$ 1,345
|
Partner donations and community investments 2
|
741
|
968
|
3,116
|
1,869
|
COVID-19 and community support and response fund 3
|
-
|
-
|
-
|
165
|
Total donations and community investments
|
$ 1,736
|
$ 1,406
|
$ 5,054
|
$ 3,379
|
1) |
The Local Community Investment Program supports organizations in Vancouver and the Cayman Islands, where Wheaton’s offices are located.
|
2) |
The Partner Community Investment Program supports the communities influenced by Mining Partners' operations.
|
3) |
Committed funding under this program has been fully disbursed.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||
(in thousands)
|
2023
|
2022
|
2023
|
2022
|
Interest income
|
$ (9,837)
|
$ (1,851)
|
$ (24,948)
|
$ (2,374)
|
Dividend income
|
(700)
|
(102)
|
(1,616)
|
(322)
|
Foreign exchange loss
|
(313)
|
(1,049)
|
(386)
|
(1,069)
|
(Gain) loss on fair value adjustment of share purchase warrants held
|
143
|
204
|
248
|
1,101
|
Other
|
-
|
(1)
|
(259)
|
(784)
|
Total other (income) expense
|
$ (10,707)
|
$ (2,799)
|
$ (26,961)
|
$ (3,448)
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||
(in thousands)
|
2023
|
2022
|
2023
|
2022
|
Costs related to undrawn credit facilities
|
$ 1,286
|
$ 1,311
|
$ 3,876
|
$ 3,950
|
Interest expense - lease liabilities
|
78
|
22
|
131
|
72
|
Letter of guarantee
|
43
|
65
|
131
|
187
|
Total finance costs
|
$ 1,407
|
$ 1,398
|
$ 4,138
|
$ 4,209
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||
(in thousands)
|
2023
|
2022
|
2023
|
2022
|
Current income tax expense (recovery)
|
$ 31
|
$ 12,033
|
$ (2,529)
|
$ 12,113
|
Deferred income tax expense (recovery) related to:
|
|
|
||
Origination and reversal of temporary differences
|
423
|
20,920
|
$ 3,484
|
$ 30,042
|
Write down (reversal of write down) or recognition of prior period temporary differences
|
4,691
|
(20,947)
|
3,745
|
(29,276)
|
Total deferred income tax expense (recovery)
|
$ 5,114
|
$ (27)
|
$ 7,229
|
$ 766
|
Total income tax expense (recovery) recognized in net earnings
|
$ 5,145
|
$ 12,006
|
$ 4,700
|
$ 12,879
|
(in thousands)
|
Current Taxes
(Payable)
Recoverable
|
Current taxes payable - December 31, 2022
|
$ (2,763)
|
Current income tax recovery - income statement
|
2,529
|
Income taxes paid
|
5,244
|
Foreign exchange adjustments
|
(10)
|
Current taxes recoverable - September 30, 2023
|
$ 5,000
|
Operating cash inflow for the three months ended September 30, 2022
|
$
|
154,497
|
Variance attributable to revenue (see page 19):
|
$
|
4,301
|
Changes in accounts receivable
|
|
(5,505)
|
Total decrease to cash inflows attributable to sales
|
$
|
(1,204)
|
Variance attributable to cost of sales, excluding depletion:
|
||
Sales volume
|
$
|
6,174
|
Sales mix differences
|
5,473
|
|
Cost per ounce
|
(501)
|
|
Changes in working capital, excluding accounts receivable
|
739
|
|
Total decrease to cash outflows attributable to cost of sales
|
$
|
11,885
|
Total increase to net cash inflows attributable to gross margin
|
$
|
10,681
|
Other variances:
|
||
General and administrative
|
(979)
|
|
Donation and community investment
|
(340)
|
|
Share based compensation - PSUs
|
163
|
|
Finance costs
|
(58)
|
|
Income taxes
|
(883)
|
|
Other
|
|
8,022
|
Total increase to net cash inflows
|
$
|
16,606
|
Operating cash inflow for the three months ended September 30, 2023
|
$
|
171,103
|
Three Months Ended
September 30 |
||
(in thousands)
|
2023
|
2022
|
Credit facility extension fees
|
$ (13)
|
$ (1,205)
|
Share purchase options exercised
|
93
|
-
|
Lease payments
|
(169)
|
(201)
|
Dividends paid
|
(66,994)
|
(59,487)
|
Cash used for financing activities
|
$ (67,083)
|
$ (60,893)
|
Three Months Ended
September 30 |
||
(in thousands)
|
2023
|
2022
|
Payments for the acquisition of new PMPAs 1:
|
|
|
Panoro early deposit PMPA
|
$ (250)
|
$ (750)
|
Marathon PMPA
|
-
|
(15,230)
|
Goose PMPA
|
-
|
(31,250)
|
Blackwater Gold PMPA
|
(20,000)
|
-
|
Blackwater Silver PMPA
|
(70,400)
|
-
|
|
$ (90,650)
|
$ (47,230)
|
Acquisition of long-term equity investments
|
(5,006)
|
-
|
Payments for the acquisition of new Royalty Agreement:
|
|
|
Black Pine NSR
|
(3,602)
|
-
|
Other
|
355
|
(301)
|
Total cash used for investing activities
|
$ (98,903)
|
$ (47,531)
|
1) |
Excludes closing costs.
|
Operating cash inflow for the nine months ended September 30, 2022
|
$
|
571,396
|
Variance attributable to revenue (see page 24):
|
$
|
(126,429)
|
Changes in accounts receivable
|
|
259
|
Total decrease to cash inflows attributable to sales
|
$
|
(126,170)
|
Variance attributable to cost of sales, excluding depletion:
|
||
Sales volume
|
$
|
36,238
|
Sales mix differences
|
10,306
|
|
Cost per ounce
|
(1,067)
|
|
Changes in working capital, excluding accounts receivable
|
|
1,717
|
Total decrease to cash outflows attributable to cost of sales
|
$
|
47,194
|
Total decrease to net cash inflows attributable to gross margin
|
$
|
(78,976)
|
Other variances:
|
||
General and administrative
|
(1,014)
|
|
Donation and community investment
|
(1,919)
|
|
Share based compensation - PSUs
|
1,736
|
|
Finance costs
|
(40)
|
|
Income taxes
|
(5,103)
|
|
Other
|
|
22,504
|
Total decrease to net cash inflows
|
$
|
(62,812)
|
Operating cash inflow for the nine months ended September 30, 2023
|
$
|
508,584
|
Nine Months Ended
September 30 |
||
(in thousands)
|
2023
|
2022
|
Credit facility extension fees
|
$ (859)
|
$ (1,207)
|
Share purchase options exercised
|
10,603
|
7,549
|
Lease payments
|
(548)
|
(603)
|
Dividends paid
|
(198,085)
|
(176,604)
|
Cash used for financing activities
|
$ (188,889)
|
$ (170,865)
|
Nine Months Ended
September 30 |
||
(in thousands)
|
2023
|
2022
|
Payments for the acquisition of new PMPAs 1:
|
|
|
Panoro early deposit PMPA
|
$ (1,000)
|
$ (1,500)
|
Marathon PMPA
|
-
|
(31,224)
|
Goose PMPA
|
(62,500)
|
(31,250)
|
Blackwater Gold PMPA
|
(30,000)
|
-
|
Blackwater Silver PMPA
|
(105,600)
|
-
|
Cangrejos PMPA
|
(12,000)
|
-
|
Marmato PMPA
|
-
|
(19,000)
|
Fenix PMPA
|
-
|
(25,000)
|
|
$ (211,100)
|
$ (107,974)
|
Net proceeds on disposition of PMPA
|
|
|
Goose PMPA
|
46,400
|
-
|
Acquisition of long-term equity investments
|
(13,181)
|
(22,768)
|
Payments for the acquisition of new Royalty Agreement:
|
|
|
Black Pine NSR
|
(3,602)
|
-
|
Other
|
(829)
|
(1,013)
|
Total cash used for investing activities
|
$ (182,312)
|
$ (131,755)
|
1) |
Excludes closing costs.
|
Mineral Stream Interests
|
Attributable Payable Production to be Purchased
|
Per Unit of Measurement Cash Payment 1
|
Term of
Agreement |
Date of
Original Contract |
|||||||||||||
Gold
|
Silver
|
Palladium
|
Cobalt
|
Platinum
|
Gold
|
Silver
|
Palladium
|
Cobalt
|
Platinum
|
||||||||
Peñasquito
|
0%
|
25%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
4.43
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
24-Jul-07
|
Constancia
|
50%
|
100%
|
0%
|
0%
|
0%
|
$
|
420 ²
|
$
|
6.20 ²
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
8-Aug-12
|
Salobo
|
75%
|
0%
|
0%
|
0%
|
0%
|
$
|
420
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
28-Feb-13
|
Sudbury
|
70%
|
0%
|
0%
|
0%
|
0%
|
$
|
400
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
20 years
|
28-Feb-13
|
Antamina
|
0%
|
33.75%
|
0%
|
0%
|
0%
|
|
n/a
|
|
20%
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
3-Nov-15
|
San Dimas
|
variable ³
|
0% ³
|
0%
|
0%
|
0%
|
$
|
631
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
10-May-18
|
Stillwater
|
100%
|
0%
|
4.5% ⁴
|
0%
|
0%
|
|
18% ⁵
|
|
n/a
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
Life of Mine
|
16-Jul-18
|
Voisey's Bay
|
0%
|
0%
|
0%
|
42.4% ⁶
|
0%
|
|
n/a
|
|
n/a
|
|
n/a
|
|
18% ⁷
|
|
n/a
|
Life of Mine
|
11-Jun-18
|
Marathon
|
100% ⁸
|
0%
|
0%
|
0%
|
22% ⁸
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
|
18% ⁵
|
Life of Mine
|
26-Jan-22
|
Other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Los Filos
|
0%
|
100%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
4.68
|
|
n/a
|
|
n/a
|
|
n/a
|
25 years
|
15-Oct-04
|
Zinkgruvan
|
0%
|
100%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
4.60
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
8-Dec-04
|
Stratoni
|
0%
|
100%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
11.54
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
23-Apr-07
|
Neves-Corvo
|
0%
|
100%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
4.46
|
|
n/a
|
|
n/a
|
|
n/a
|
50 years
|
5-Jun-07
|
Aljustrel
|
0%
|
100% ⁹
|
0%
|
0%
|
0%
|
|
n/a
|
|
50%
|
|
n/a
|
|
n/a
|
|
n/a
|
50 years
|
5-Jun-07
|
Minto
|
100% ¹⁰
|
100%
|
0%
|
0%
|
0%
|
|
50% ¹¹
|
$
|
4.39
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
20-Nov-08
|
Pascua-Lama
|
0%
|
25%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
3.90
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
8-Sep-09
|
Copper World
|
100%
|
100%
|
0%
|
0%
|
0%
|
$
|
450
|
$
|
3.90
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
10-Feb-10
|
Loma de La Plata
|
0%
|
12.5%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
4.00
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
n/a ¹²
|
Marmato
|
10.5% ¹³
|
100% ¹³
|
0%
|
0%
|
0%
|
|
18% ¹⁴
|
|
18% ¹⁴
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
5-Nov-20
|
Cozamin
|
0%
|
50% ¹⁵
|
0%
|
0%
|
0%
|
|
n/a
|
|
10%
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
11-Dec-20
|
Santo Domingo
|
100% ¹⁶
|
0%
|
0%
|
0%
|
0%
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
24-Mar-21
|
Fenix
|
6% ¹⁷
|
0%
|
0%
|
0%
|
0%
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
15-Nov-21
|
Blackwater
|
8% ¹⁸
|
50% ¹⁸
|
0%
|
0%
|
0%
|
|
35%
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
13-Dec-21
|
Curipamba
|
50% ¹⁹
|
75% ¹⁹
|
0%
|
0%
|
0%
|
|
18% ⁵
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
17-Jan-22
|
Goose
|
2.78% ²⁰
|
0%
|
0%
|
0%
|
0%
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
8-Feb-22
|
Cangrejos
|
6.6% ²¹
|
0%
|
0%
|
0%
|
0%
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
16-May-23
|
Early Deposit
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Toroparu
|
10%
|
50%
|
0%
|
0%
|
0%
|
$
|
400
|
$
|
3.90
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
11-Nov-13
|
Cotabambas
|
25% ²²
|
100% ²²
|
0%
|
0%
|
0%
|
$
|
450
|
$
|
5.90
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
21-Mar-16
|
Kutcho
|
100%
|
100%
|
0%
|
0%
|
0%
|
|
20%
|
|
20%
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
14-Dec-17
|
1) |
The production payment is measured as either a fixed amount per unit of metal delivered, or as a percentage of the spot price of the underlying metal on the date of delivery. Contracts where the payment is a fixed
amount per unit of metal delivered are subject to an annual inflationary increase, with the exception of Loma de La Plata and Sudbury. Additionally, should the prevailing market price for the applicable metal be lower than this fixed amount,
the per unit cash payment will be reduced to the prevailing market price, subject to an annual inflationary factor.
|
2) |
Subject to an increase to $9.90 per ounce of silver and $550 per ounce of gold after the initial 40-year term.
|
3) |
Under the terms of the San Dimas PMPA, the Company is entitled to an amount equal to 25% of the payable gold production plus an additional amount of gold equal to 25% of the payable silver production converted to gold
at a fixed gold to silver exchange ratio of 70:1 from the San Dimas mine. If the average gold to silver price ratio decreases to less than 50:1 or increases to more than 90:1 for a period of 6 months or more, then the "70" shall be revised to
"50" or "90", as the case may be, until such time as the average gold to silver price ratio is between 50:1 to 90:1 for a period of 6 months or more in which event the "70" shall be reinstated. Currently, the fixed gold to silver exchange ratio
is 70:1.
|
4) |
The Company is committed to purchase 4.5% of Stillwater palladium production until 375,000 ounces are delivered to the Company, thereafter 2.25% of Stillwater palladium production until 550,000 ounces are delivered to
the Company and 1% of Stillwater palladium production thereafter for the life of mine.
|
5) |
To be increased to 22% once the market value of metal delivered to Wheaton, net of the per ounce cash payment, exceeds the initial upfront cash deposit.
|
6) |
Once the Company has received 31 million pounds of cobalt, the Company’s attributable cobalt production will be reduced to 21.2%.
|
7) |
To be increased to 22% once the market value of cobalt delivered to Wheaton, net of the per pound cash payment, exceeds the initial upfront cash deposit. Additionally, on each sale of cobalt, the Company is committed
to pay a variable commission depending on the market price of cobalt.
|
8) |
Once the Company has received 150,000 ounces of gold and 120,000 ounces of platinum under the Marathon PMPA, the attributable gold and platinum production will be reduced to 67% and 15%, respectively.
|
9) |
Wheaton only has the rights to silver contained in concentrate containing less than 15% copper at the Aljustrel mine. On September 12, 2023, it was announced that the production of the zinc and lead concentrates at
the Aljustrel mine will be halted from September 24, 2023 until the second quarter of 2025.
|
10) |
The Company is committed to acquire 100% of the first 30,000 ounces of gold produced per annum and 50% thereafter. On May 13, 2023 Minto Metals Corp. announced the suspension of operations at the Minto mine.
|
11) |
Prior to the announcement by Minto Metals Corp. of the suspension of operations at the Minto mine on May 13, 2023, the parties were in discussions in connection with a possible restructuring of the Minto PMPA. During
that negotiation period, the cash payment per ounce of gold delivered was set at 90% of spot price. Following the May 13 announcement, and as negotiations were not successful, the price of deliveries of gold reverts to 50% of spot price as set
out in the existing Minto PMPA.
|
12) |
Terms of the agreement not yet finalized.
|
13) |
Once Wheaton has received 310,000 ounces of gold and 2.15 million ounces of silver under the Marmato PMPA the Company’s attributable gold and silver production will be reduced to 5.25% and 50%, respectively.
|
14) |
To be increased to 22% of the spot price once the market value of gold and silver delivered to the Company, net of the per ounce cash payment, exceeds the initial upfront cash deposit.
|
15) |
Once Wheaton has received 10 million ounces under the Cozamin PMPA, the Company’s attributable silver production will be reduced to 33% of silver production for the life of the mine.
|
16) |
Once the Company has received 285,000 ounces of gold under the Santo Domingo PMPA, the Company’s attributable gold production will be reduced to 67%.
|
17) |
Once the Company has received 90,000 ounces of gold under the Fenix PMPA, the Company attributable gold production will be reduced to 4% until 140,000 ounces have been delivered, after which the stream drops to 3.5%.
|
18) |
Once the Company has received 464,000 ounces of gold under the amended Blackwater gold PMPA, the attributable gold production will be reduced to 4%. Once the Company has received 17.8 million ounces of silver under
the Blackwater silver PMPA, the attributable silver production will be reduced to 33%.
|
19) |
Once the Company has received 145,000 ounces of gold under the Curipamba PMPA, the attributable gold production will be reduced to 33%, and once the Company has received 4.6 million ounces of silver, the attributable
silver production will be reduced to 50%.
|
20) |
During Q2-2023, B2Gold completed its acquisition of all the issued and outstanding common shares of Sabina, and in conjunction with this acquisition B2Gold exercised the option to acquire 33% of the stream under the
Goose PMPA in exchange for a cash payment in the amount of $46 million, resulting in a gain on partial disposal of the Goose PMPA in the amount of $5 million. In connection with the exercise of the option, once the Company has received 87,100
ounces of gold under the Goose PMPA, the Company’s attributable gold production will be 1.44%, and once the Company has received 134,000 ounces of gold under the agreement, the Company’s attributable gold production will be reduced to 1.0% for
the life of mine.
|
21) |
Once the Company has received 700,000 ounces of gold under the Cangrejos PMPA, the attributable gold production will be reduced to 4.4%.
|
22) |
Once 90 million silver equivalent ounces attributable to Wheaton have been produced under the Cotabambas PMPA, the attributable production will decrease to 16.67% of gold production and 66.67% of silver production for
the life of mine.
|
Projected Payment Dates 1
|
||||||||||||||
(in thousands)
|
2023
|
2024 - 2025
|
2026 - 2027
|
After 2027
|
Total
|
|||||||||
Payments for mineral stream interests
|
|
|
|
|||||||||||
Salobo 2
|
$
|
370,000
|
$
|
163,000
|
$
|
-
|
$
|
-
|
|
$
|
533,000
|
|||
Blackwater
|
45,200
|
-
|
-
|
-
|
|
|
45,200
|
|||||||
Marathon
|
-
|
103,550
|
44,379
|
-
|
|
|
147,929
|
|||||||
Cangrejos
|
21,000
|
15,000
|
252,000
|
-
|
|
|
288,000
|
|||||||
Marmato
|
40,016
|
81,984
|
-
|
-
|
|
|
122,000
|
|||||||
Santo Domingo
|
-
|
130,000
|
130,000
|
-
|
|
|
260,000
|
|||||||
Copper World 3
|
-
|
231,150
|
-
|
-
|
|
|
231,150
|
|||||||
Curipamba
|
100
|
74,500
|
87,750
|
-
|
|
|
162,350
|
|||||||
Fenix Gold
|
-
|
-
|
-
|
25,000
|
|
|
25,000
|
|||||||
Loma de La Plata
|
-
|
-
|
-
|
32,400
|
|
|
32,400
|
|||||||
Payments for early deposit mineral stream interest
|
|
|
|
|||||||||||
Cotabambas
|
-
|
-
|
-
|
126,000
|
|
|
126,000
|
|||||||
Toroparu
|
-
|
-
|
138,000
|
-
|
|
|
138,000
|
|||||||
Kutcho
|
-
|
-
|
-
|
58,000
|
|
|
58,000
|
|||||||
Leases liabilities
|
|
219
|
|
|
1,433
|
|
|
1,286
|
|
|
5,325
|
|
|
8,263
|
Total contractual obligations
|
$
|
476,535
|
|
$
|
800,617
|
|
$
|
653,415
|
|
$
|
246,725
|
|
$
|
2,177,292
|
1) |
Projected payment date based on management estimate. Dates may be updated in the future as additional information is received.
|
2) |
As more fully explained below, the expansion payment relative to the Salobo III expansion project is dependent on the timing and size of the throughput expansion.
|
3) |
Figure includes contingent transaction costs of $1 million.
|
|
• |
a deferred tax asset to the extent that it is probable that taxable profit will be available against which the deductible temporary difference can be utilized and a deferred tax liability for all deductible and
taxable temporary differences associated with right-of-use assets and lease liabilities; and
|
|
• |
the cumulative effect of initially applying the amendments as an adjustment to the opening balance of retained earnings (or other component of equity, as appropriate) at that date.
|
|
i. |
Adjusted net earnings and adjusted net earnings per share are calculated by removing the effects of non-cash impairment charges (reversals) (if any), non-cash fair value (gains) losses and other one-time (income)
expenses as well as the reversal of non-cash income tax expense (recovery) which is offset by income tax expense (recovery) recognized in the Statements of Shareholders’ Equity and OCI, respectively. The
Company believes that, in addition to conventional measures prepared in accordance with IFRS, management and certain investors use this information to evaluate the Company’s performance.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||||||||||
(in thousands, except for per share amounts)
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
||||
Net earnings
|
|
$
|
116,371
|
$
|
196,460
|
|
$
|
369,209
|
$
|
503,001
|
||
Add back (deduct):
|
|
|
|
|
|
|
||||||
Impairment charge (reversal)
|
|
|
-
|
(10,330)
|
|
|
-
|
(10,330)
|
||||
Gain on disposal of Mineral Stream Interest
|
|
|
-
|
(104,425)
|
|
|
(5,027)
|
(104,425)
|
||||
(Gain) loss on fair value adjustment of share purchase warrants held
|
|
|
143
|
204
|
|
|
248
|
1,101
|
||||
Income tax (expense) recovery recognized in the Statement of Shareholders' Equity
|
|
|
-
|
3,644
|
|
|
-
|
4,143
|
||||
Income tax (expense) recovery recognized in the Statement of OCI
|
|
|
5,115
|
546
|
|
|
7,205
|
701
|
||||
Income tax recovery related to prior year disposal of Mineral Stream Interest
|
|
|
-
|
7,779
|
|
|
(2,672)
|
7,779
|
||||
Other
|
|
|
(162)
|
|
|
-
|
|
|
(482)
|
|
|
(802)
|
Adjusted net earnings
|
|
$
|
121,467
|
|
$
|
93,878
|
|
$
|
368,481
|
|
$
|
401,168
|
Divided by:
|
|
|
|
|
|
|
||||||
Basic weighted average number of shares outstanding
|
|
|
452,975
|
451,757
|
|
|
452,748
|
451,402
|
||||
Diluted weighted average number of shares outstanding
|
|
|
453,538
|
|
|
452,386
|
|
|
453,419
|
|
|
452,221
|
Equals:
|
|
|
|
|
|
|
||||||
Adjusted earnings per share - basic
|
|
$
|
0.268
|
$
|
0.208
|
|
$
|
0.814
|
$
|
0.889
|
||
Adjusted earnings per share - diluted
|
|
$
|
0.268
|
|
$
|
0.208
|
|
$
|
0.813
|
|
$
|
0.887
|
|
ii. |
Operating cash flow per share (basic and diluted) is calculated by dividing cash generated by operating activities by the weighted average number of shares outstanding (basic and diluted). The Company presents
operating cash flow per share as management and certain investors use this information to evaluate the Company’s performance in comparison to other companies in the precious metal mining industry who present results on a similar basis.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||||||||||
(in thousands, except for per share amounts)
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
||||
Cash generated by operating activities
|
|
$
|
171,103
|
|
$
|
154,497
|
|
$
|
508,584
|
|
$
|
571,396
|
Divided by:
|
|
|
|
|
|
|
||||||
Basic weighted average number of shares outstanding
|
|
|
452,975
|
451,757
|
|
|
452,748
|
451,402
|
||||
Diluted weighted average number of shares outstanding
|
|
|
453,538
|
|
|
452,386
|
|
|
453,419
|
|
|
452,221
|
Equals:
|
|
|
|
|
|
|
||||||
Operating cash flow per share - basic
|
|
$
|
0.378
|
$
|
0.342
|
|
$
|
1.123
|
$
|
1.266
|
||
Operating cash flow per share - diluted
|
|
$
|
0.377
|
|
$
|
0.342
|
|
$
|
1.122
|
|
$
|
1.264
|
|
iii. |
Average cash cost of gold, silver and palladium on a per ounce basis and cobalt on a per pound basis is calculated by dividing the total cost of sales, less depletion, by the ounces or pounds sold. In the precious
metal mining industry, this is a common performance measure but does not have any standardized meaning prescribed by IFRS. In addition to conventional measures prepared in accordance with IFRS, management and certain investors use this
information to evaluate the Company’s performance and ability to generate cash flow.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||||||||||
(in thousands, except for gold and palladium ounces sold and per unit amounts)
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
||||
Cost of sales
|
|
$
|
96,243
|
$
|
116,683
|
|
$
|
306,321
|
$
|
384,703
|
||
Less: depletion
|
|
|
(46,435)
|
|
|
(55,728)
|
|
|
(145,908)
|
|
|
(178,812)
|
Cash cost of sales
|
|
$
|
49,808
|
|
$
|
60,955
|
|
$
|
160,413
|
|
$
|
205,891
|
Cash cost of sales is comprised of:
|
|
|
|
|
|
|
||||||
Total cash cost of gold sold
|
|
$
|
33,014
|
$
|
29,398
|
|
$
|
98,724
|
$
|
105,719
|
||
Total cash cost of silver sold
|
|
|
15,121
|
29,238
|
|
|
56,351
|
90,384
|
||||
Total cash cost of palladium sold
|
|
|
946
|
1,493
|
|
|
2,699
|
4,475
|
||||
Total cash cost of cobalt sold
|
|
|
727
|
|
|
826
|
|
|
2,639
|
|
|
5,313
|
Total cash cost of sales
|
|
$
|
49,808
|
|
$
|
60,955
|
|
$
|
160,413
|
|
$
|
205,891
|
Divided by:
|
|
|
|
|
|
|
||||||
Total gold ounces sold
|
|
|
74,426
|
62,000
|
|
|
212,325
|
224,238
|
||||
Total silver ounces sold
|
|
|
2,965
|
5,234
|
|
|
11,151
|
16,635
|
||||
Total palladium ounces sold
|
|
|
4,242
|
4,227
|
|
|
10,580
|
11,680
|
||||
Total cobalt pounds sold
|
|
|
198
|
|
|
115
|
|
|
786
|
|
|
851
|
Equals:
|
|
|
|
|
|
|
||||||
Average cash cost of gold (per ounce)
|
|
$
|
444
|
$
|
474
|
|
$
|
465
|
$
|
471
|
||
Average cash cost of silver (per ounce)
|
|
$
|
5.10
|
$
|
5.59
|
|
$
|
5.05
|
$
|
5.43
|
||
Average cash cost of palladium (per ounce)
|
|
$
|
223
|
$
|
353
|
|
$
|
255
|
$
|
383
|
||
Average cash cost of cobalt (per pound)
|
|
$
|
3.66
|
|
$
|
7.21
|
|
$
|
3.36
|
|
$
|
6.24
|
|
iv. |
Cash operating margin is calculated by adding back depletion to the gross margin. Cash operating margin on a per ounce or per pound basis is calculated by dividing the cash operating margin by the number of ounces or
pounds sold during the period. The Company presents cash operating margin as management and certain investors use this information to evaluate the Company’s performance in comparison to other companies in the precious metal mining industry who
present results on a similar basis as well as to evaluate the Company’s ability to generate cash flow.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||||||||||
(in thousands, except for gold and palladium ounces sold and per unit amounts)
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
||||
Gross margin
|
|
$
|
126,894
|
$
|
102,153
|
|
$
|
396,252
|
$
|
444,299
|
||
Add back: depletion
|
|
|
46,435
|
|
|
55,728
|
|
|
145,908
|
|
|
178,812
|
Cash operating margin
|
|
$
|
173,329
|
|
$
|
157,881
|
|
$
|
542,160
|
|
$
|
623,111
|
Cash operating margin is comprised of:
|
|
|
|
|
|
|
||||||
Total cash operating margin of gold sold
|
|
$
|
111,693
|
$
|
77,730
|
|
$
|
314,690
|
$
|
304,927
|
||
Total cash operating margin of silver sold
|
|
|
55,251
|
71,032
|
|
|
206,778
|
274,445
|
||||
Total cash operating margin of palladium sold
|
|
|
4,361
|
7,345
|
|
|
12,223
|
21,099
|
||||
Total cash operating margin of cobalt sold
|
|
|
2,024
|
|
|
1,774
|
|
|
8,469
|
|
|
22,640
|
Total cash operating margin
|
|
$
|
173,329
|
|
$
|
157,881
|
|
$
|
542,160
|
|
$
|
623,111
|
Divided by:
|
|
|
|
|
|
|
||||||
Total gold ounces sold
|
|
|
74,426
|
62,000
|
|
|
212,325
|
224,238
|
||||
Total silver ounces sold
|
|
|
2,965
|
5,234
|
|
|
11,151
|
16,635
|
||||
Total palladium ounces sold
|
|
|
4,242
|
4,227
|
|
|
10,580
|
11,680
|
||||
Total cobalt pounds sold
|
|
|
198
|
|
|
115
|
|
|
786
|
|
|
851
|
Equals:
|
|
|
|
|
|
|
||||||
Cash operating margin per gold ounce sold
|
|
$
|
1,500
|
$
|
1,254
|
|
$
|
1,482
|
$
|
1,360
|
||
Cash operating margin per silver ounce sold
|
|
$
|
18.63
|
$
|
13.57
|
|
$
|
18.55
|
$
|
16.50
|
||
Cash operating margin per palladium ounce sold
|
|
$
|
1,028
|
$
|
1,738
|
|
$
|
1,155
|
$
|
1,807
|
||
Cash operating margin per cobalt pound sold
|
|
$
|
10.21
|
|
$
|
15.47
|
|
$
|
10.77
|
|
$
|
26.61
|
December 31, 2022 (6)
|
December 31, 2021
|
|||||||||||||
|
|
Proven
|
Probable
|
Proven & Probable
|
|
Proven & Probable
|
||||||||
|
|
Tonnage
|
Grade
|
Contained
|
Tonnage
|
Grade
|
Contained
|
Tonnage
|
Grade
|
Contained
|
Process Recovery % (7)
|
Tonnage
|
Grade
|
Contained
|
Asset
|
Interest
|
Mt
|
g/t / %
|
Moz / Mlbs
|
Mt
|
g/t / %
|
Moz / Mlbs
|
Mt
|
g/t / %
|
Moz / Mlbs
|
Mt
|
g/t / %
|
Moz / Mlbs
|
|
Gold
|
|
|
|
|
|
|
|
|
|
|||||
Salobo (10)
|
75%
|
188.8
|
0.40
|
2.43
|
645.5
|
0.34
|
7.06
|
834.3
|
0.35
|
9.48
|
76%
|
850.1
|
0.35
|
9.60
|
Stillwater (13)
|
100%
|
10.0
|
0.36
|
0.12
|
50.3
|
0.37
|
0.60
|
60.2
|
0.37
|
0.72
|
69%
|
68.3
|
0.34
|
0.74
|
Constancia
|
50%
|
222.7
|
0.06
|
0.44
|
23.4
|
0.04
|
0.03
|
246.1
|
0.06
|
0.47
|
61%
|
260.5
|
0.07
|
0.55
|
Sudbury (11)
|
70%
|
8.4
|
0.50
|
0.13
|
22.1
|
0.26
|
0.19
|
30.4
|
0.33
|
0.32
|
75%
|
22.8
|
0.45
|
0.33
|
San Dimas (14)
|
25%
|
0.7
|
3.51
|
0.07
|
0.4
|
3.03
|
0.04
|
1.1
|
3.32
|
0.12
|
95%
|
1.0
|
3.87
|
0.12
|
Marmato (11,15)
|
10.5%
|
0.2
|
4.31
|
0.03
|
3.0
|
3.07
|
0.30
|
3.3
|
3.16
|
0.33
|
90%
|
2.1
|
3.19
|
0.21
|
Cangrejos (11,31)
|
6.6%
|
-
|
-
|
-
|
43.5
|
0.55
|
0.76
|
43.5
|
0.55
|
0.76
|
85%
|
-
|
-
|
-
|
Blackwater (11,27)
|
8%
|
23.4
|
0.74
|
0.56
|
0.7
|
0.80
|
0.02
|
24.1
|
0.74
|
0.57
|
91%
|
19.8
|
0.74
|
0.47
|
Santo Domingo (11,25)
|
100%
|
65.4
|
0.08
|
0.17
|
326.9
|
0.03
|
0.34
|
392.3
|
0.04
|
0.51
|
61%
|
392.3
|
0.04
|
0.51
|
Marathon (11,28)
|
100%
|
111.6
|
0.07
|
0.25
|
12.5
|
0.06
|
0.02
|
124.2
|
0.07
|
0.28
|
71%
|
117.7
|
0.07
|
0.26
|
Copper World Complex (21)
|
100%
|
319.4
|
0.03
|
0.27
|
65.7
|
0.02
|
0.04
|
385.1
|
0.02
|
0.31
|
60%
|
-
|
-
|
-
|
Curipamba (11,29)
|
50%
|
1.6
|
2.83
|
0.14
|
1.7
|
2.23
|
0.12
|
3.2
|
2.52
|
0.26
|
53%
|
3.2
|
2.52
|
0.26
|
Goose (11,30)
|
2.78%
|
0.2
|
5.54
|
0.04
|
0.3
|
6.29
|
0.06
|
0.5
|
5.97
|
0.10
|
93%
|
0.8
|
5.97
|
0.14
|
Kutcho (12)
|
100%
|
6.8
|
0.37
|
0.08
|
10.6
|
0.39
|
0.13
|
17.4
|
0.38
|
0.21
|
41%
|
17.4
|
0.38
|
0.21
|
Fenix (11,26)
|
6%
|
3.1
|
0.52
|
0.05
|
3.8
|
0.47
|
0.06
|
6.9
|
0.49
|
0.11
|
75%
|
6.9
|
0.49
|
0.11
|
Total Gold
|
|
|
|
4.79
|
|
|
9.77
|
|
|
14.56
|
|
|
|
13.52
|
Silver
|
|
|
|
|
|
|
|
|
|
|||||
Peñasquito (10)
|
25%
|
26.1
|
38.0
|
31.9
|
53.0
|
32.0
|
54.6
|
79.1
|
34.0
|
86.5
|
86%
|
90.5
|
33.8
|
98.5
|
Constancia
|
100%
|
445.3
|
3.0
|
43.1
|
46.8
|
2.8
|
4.3
|
492.1
|
3.0
|
47.4
|
70%
|
521.0
|
3.1
|
51.7
|
Antamina (10,11,18)
|
33.75%
|
|
|
|
|
|
|
|
|
|
||||
Copper
|
38.6
|
7.0
|
8.7
|
24.9
|
8.0
|
6.4
|
63.6
|
7.4
|
15.1
|
75%
|
72.5
|
7.6
|
17.7
|
|
Copper-Zinc
|
13.8
|
13.0
|
5.8
|
17.9
|
15.0
|
8.6
|
31.7
|
14.1
|
14.4
|
75%
|
40.9
|
14.0
|
18.4
|
|
Zinkgruvan
|
100%
|
|
|
|
|
|
|
|
|
|
||||
Zinc
|
3.7
|
73.2
|
8.6
|
5.6
|
66.0
|
12.0
|
9.3
|
68.9
|
20.6
|
83%
|
10.3
|
85.6
|
28.3
|
|
Copper
|
1.6
|
33.4
|
1.7
|
0.1
|
38.9
|
0.1
|
1.7
|
33.6
|
1.8
|
70%
|
2.2
|
32.3
|
2.3
|
|
Neves-Corvo
|
100%
|
|
|
|
|
|
|
|
|
|
||||
Copper
|
3.1
|
32.7
|
3.3
|
18.1
|
33.3
|
19.4
|
21.2
|
33.2
|
22.6
|
24%
|
25.1
|
31.4
|
25.3
|
|
Zinc
|
3.4
|
69.4
|
7.5
|
18.9
|
61.8
|
37.6
|
22.3
|
62.9
|
45.1
|
30%
|
24.8
|
63.1
|
50.2
|
|
Aljustrel (19)
|
100%
|
10.2
|
45.2
|
14.8
|
25.3
|
44.2
|
35.9
|
35.5
|
44.5
|
50.7
|
26%
|
37.2
|
47.1
|
56.2
|
San Dimas (14)
|
25%
|
0.7
|
277.8
|
5.8
|
0.4
|
265.1
|
3.6
|
1.1
|
272.8
|
9.5
|
94%
|
1.0
|
315.3
|
9.7
|
Cozamin (11,20)
|
50%
|
|
|
|
|
|
|
|
|
|
||||
Copper
|
-
|
-
|
-
|
4.6
|
42.6
|
6.3
|
4.6
|
42.6
|
6.3
|
86%
|
5.4
|
45.6
|
8.0
|
|
Zinc
|
-
|
-
|
-
|
0.5
|
50.8
|
0.9
|
0.5
|
50.8
|
0.9
|
60%
|
0.7
|
44.5
|
1.0
|
|
Los Filos
|
100%
|
21.7
|
5.0
|
3.5
|
96.5
|
7.1
|
22.1
|
118.2
|
6.7
|
25.6
|
10%
|
104.2
|
8.5
|
28.5
|
Marmato (11,15)
|
100%
|
2.1
|
16.4
|
1.1
|
28.1
|
5.3
|
4.8
|
30.2
|
6.1
|
5.9
|
34%
|
19.7
|
6.9
|
4.4
|
Copper World Complex (21)
|
100%
|
319.4
|
5.7
|
58.3
|
65.7
|
4.3
|
9.1
|
385.1
|
5.4
|
67.4
|
75.5%
|
516.6
|
4.6
|
76.7
|
Blackwater (11,27)
|
50%
|
161.9
|
5.8
|
30.1
|
4.6
|
5.8
|
0.9
|
166.5
|
5.8
|
31.0
|
61%
|
166.5
|
5.8
|
31.0
|
Kutcho (12)
|
100%
|
6.8
|
24.5
|
5.4
|
10.6
|
30.1
|
10.2
|
17.4
|
27.9
|
15.6
|
46%
|
17.4
|
27.9
|
15.6
|
Curipamba (11,29)
|
75%
|
2.4
|
41.4
|
3.1
|
2.5
|
49.7
|
4.0
|
4.9
|
45.7
|
7.1
|
63%
|
4.9
|
45.7
|
7.1
|
Total Silver
|
|
|
|
232.7
|
|
|
240.7
|
|
|
473.4
|
|
|
|
530.4
|
Palladium
|
|
|
|
|
|
|
|
|
|
|||||
Stillwater (11,13)
|
4.5%
|
0.3
|
10.5
|
0.10
|
1.5
|
10.6
|
0.50
|
1.8
|
10.6
|
0.60
|
90%
|
2.0
|
9.7
|
0.63
|
Total Palladium
|
|
|
|
0.10
|
|
|
0.50
|
|
|
0.60
|
|
|
|
0.63
|
Platinum
|
|
|
|
|
|
|
|
|
|
|||||
Marathon (11,28)
|
22%
|
25.3
|
0.2
|
0.16
|
2.8
|
0.1
|
0.01
|
28.1
|
0.2
|
0.18
|
76%
|
25.9
|
0.2
|
0.17
|
Total Platinum
|
|
|
|
0.16
|
|
|
0.01
|
|
|
0.18
|
|
|
|
0.17
|
Cobalt
|
|
|
|
|
|
|
|
|
|
|||||
Voisey's Bay (11,22)
|
42.4%
|
5.5
|
0.12
|
14.1
|
7.5
|
0.12
|
19.1
|
13.0
|
0.12
|
33.2
|
84%
|
11.4
|
0.12
|
31.4
|
Total Cobalt
|
|
|
|
14.1
|
|
|
19.1
|
|
|
33.2
|
|
|
|
31.4
|
December 31, 2022 (6)
|
|||||||||||||
|
|
Measured
|
Indicated
|
Measured & Indicated
|
Inferred
|
||||||||
Tonnage
|
Grade
|
Contained
|
Tonnage
|
Grade
|
Contained
|
Tonnage
|
Grade
|
Contained
|
Tonnage
|
Grade
|
Contained
|
||
|
Interest
|
Mt
|
g/t / %
|
Moz / Mlbs
|
Mt
|
g/t / %
|
Moz / Mlbs
|
Mt
|
g/t / %
|
Moz / Mlbs
|
Mt
|
g/t / %
|
Moz / Mlbs
|
Gold
|
|
|
|
|
|
|
|||||||
Salobo (10)
|
75%
|
28.2
|
0.15
|
0.14
|
369.1
|
0.24
|
2.85
|
397.3
|
0.23
|
2.98
|
162.1
|
0.30
|
1.56
|
Stillwater (13)
|
100%
|
19.3
|
0.27
|
0.17
|
19.1
|
0.22
|
0.13
|
38.3
|
0.25
|
0.30
|
114.0
|
0.34
|
1.25
|
Constancia
|
50%
|
63.8
|
0.05
|
0.10
|
70.5
|
0.04
|
0.09
|
134.3
|
0.04
|
0.19
|
32.1
|
0.05
|
0.06
|
Sudbury (11)
|
70%
|
2.3
|
1.16
|
0.08
|
3.5
|
0.48
|
0.05
|
5.8
|
0.74
|
0.14
|
2.0
|
0.47
|
0.03
|
San Dimas (14)
|
25%
|
-
|
-
|
-
|
0.1
|
1.97
|
0.01
|
0.1
|
1.97
|
0.01
|
1.1
|
3.57
|
0.12
|
Marmato (11,15)
|
10.5%
|
0.1
|
5.04
|
0.01
|
1.7
|
2.28
|
0.13
|
1.8
|
2.40
|
0.14
|
1.9
|
2.43
|
0.14
|
Minto
|
100%
|
-
|
-
|
-
|
11.1
|
0.53
|
0.19
|
11.1
|
0.53
|
0.19
|
13.0
|
0.49
|
0.21
|
Cangrejos (11,31)
|
6.6%
|
-
|
-
|
-
|
20.6
|
0.38
|
0.25
|
20.6
|
0.38
|
0.25
|
13.0
|
0.39
|
0.16
|
Blackwater (11,27)
|
8%
|
4.1
|
0.35
|
0.05
|
6.4
|
0.49
|
0.10
|
10.5
|
0.44
|
0.15
|
0.7
|
0.45
|
0.01
|
Toroparu (12,16)
|
10%
|
4.2
|
1.45
|
0.20
|
7.3
|
1.46
|
0.34
|
11.5
|
1.45
|
0.54
|
2.1
|
1.71
|
0.12
|
Santo Domingo (11,25)
|
100%
|
1.4
|
0.05
|
0.002
|
120.1
|
0.03
|
0.11
|
121.5
|
0.03
|
0.12
|
31.8
|
0.02
|
0.03
|
Marathon (11,28)
|
100%
|
30.2
|
0.07
|
0.06
|
39.6
|
0.06
|
0.08
|
69.8
|
0.06
|
0.14
|
19.1
|
0.04
|
0.03
|
Copper World Complex (21)
|
100%
|
424.0
|
0.02
|
0.30
|
191.0
|
0.02
|
0.10
|
615.0
|
0.02
|
0.40
|
192.0
|
0.01
|
0.08
|
Curipamba (11,29)
|
50%
|
-
|
-
|
-
|
1.2
|
1.63
|
0.06
|
1.2
|
1.63
|
0.06
|
0.4
|
1.62
|
0.02
|
Goose (11,30)
|
2.78%
|
0.03
|
4.94
|
0.00
|
0.1
|
5.18
|
0.01
|
0.1
|
5.13
|
0.02
|
0.1
|
6.64
|
0.03
|
Kutcho (12)
|
100%
|
0.4
|
0.20
|
0.003
|
5.0
|
0.38
|
0.06
|
5.4
|
0.37
|
0.06
|
12.9
|
0.25
|
0.10
|
Fenix (11,26)
|
6%
|
2.9
|
0.34
|
0.03
|
9.3
|
0.33
|
0.10
|
12.3
|
0.33
|
0.13
|
4.8
|
0.32
|
0.05
|
Cotabambas (12,23)
|
25%
|
-
|
-
|
-
|
29.3
|
0.23
|
0.22
|
29.3
|
0.23
|
0.22
|
151.3
|
0.17
|
0.84
|
Brewery Creek Royalty (24)
|
2%
|
0.3
|
1.06
|
0.01
|
0.5
|
1.02
|
0.02
|
0.8
|
1.03
|
0.03
|
1.0
|
0.88
|
0.03
|
Metates Royalty (17)
|
0.5%
|
0.2
|
0.86
|
0.004
|
4.5
|
0.56
|
0.08
|
4.6
|
0.57
|
0.08
|
0.7
|
0.47
|
0.01
|
Black Pine Royalty (32)
|
0.5%
|
-
|
-
|
-
|
0.8
|
0.52
|
0.01
|
0.8
|
0.52
|
0.01
|
0.2
|
0.43
|
0.00
|
Total Gold
|
|
|
|
1.17
|
|
|
4.99
|
|
|
6.16
|
|
|
4.88
|
Silver
|
|
|
|
|
|
|
|||||||
Peñasquito (10)
|
25%
|
11.9
|
23.9
|
9.1
|
65.9
|
24.0
|
50.8
|
77.7
|
24.0
|
59.9
|
21.2
|
27.2
|
18.6
|
Constancia
|
100%
|
127.5
|
2.2
|
8.8
|
141.0
|
2.2
|
10.0
|
268.5
|
2.2
|
18.8
|
64.1
|
2.6
|
5.3
|
Antamina (10,11,18)
|
33.75%
|
|
|
|
|
|
|
||||||
Copper
|
29.7
|
8.0
|
7.6
|
108.2
|
9.0
|
31.3
|
137.9
|
8.8
|
38.9
|
207.4
|
9.2
|
61.2
|
|
Copper-Zinc
|
12.8
|
21.0
|
8.7
|
54.0
|
18.0
|
31.2
|
66.8
|
18.6
|
39.9
|
94.9
|
16.0
|
48.8
|
|
Zinkgruvan
|
100%
|
|
|
|
|
|
|
||||||
Zinc
|
2.9
|
56.1
|
5.2
|
6.7
|
66.3
|
14.3
|
9.6
|
63.3
|
19.5
|
17.6
|
91.0
|
51.6
|
|
Copper
|
1.9
|
32.0
|
1.9
|
0.4
|
34.9
|
0.5
|
2.3
|
32.5
|
2.4
|
0.3
|
27.0
|
0.2
|
|
Neves-Corvo
|
100%
|
|
|
|
|
|
|
||||||
Copper
|
5.3
|
48.3
|
8.2
|
30.5
|
48.9
|
47.9
|
35.7
|
48.8
|
56.1
|
14.2
|
29.1
|
13.3
|
|
Zinc
|
6.4
|
62.6
|
12.9
|
37.4
|
57.5
|
69.1
|
43.8
|
58.3
|
82.0
|
3.9
|
64.1
|
8.0
|
|
San Dimas (14)
|
25%
|
-
|
-
|
-
|
0.1
|
183.3
|
0.6
|
0.1
|
183.3
|
0.6
|
1.1
|
306.4
|
10.5
|
Aljustrel (19)
|
100%
|
7.4
|
56.6
|
13.4
|
10.3
|
45.5
|
15.1
|
17.7
|
50.2
|
28.5
|
12.2
|
40.8
|
16.0
|
Cozamin (11,20)
|
50%
|
|
|
|
|
|
|
||||||
Copper
|
0.2
|
53.8
|
0.3
|
3.4
|
42.4
|
4.6
|
3.6
|
43.0
|
4.9
|
2.4
|
41.5
|
3.2
|
|
Zinc
|
-
|
-
|
-
|
1.4
|
36.5
|
1.6
|
1.4
|
36.5
|
1.6
|
1.7
|
33.8
|
1.8
|
|
Marmato (11,15)
|
100%
|
0.7
|
25.3
|
0.6
|
16.3
|
6.0
|
3.1
|
17.0
|
6.8
|
3.7
|
17.7
|
3.2
|
1.8
|
Minto
|
100%
|
-
|
-
|
-
|
11.1
|
4.7
|
1.7
|
11.1
|
4.7
|
1.7
|
13.0
|
4.5
|
1.9
|
Stratoni
|
100%
|
-
|
-
|
-
|
1.4
|
153.0
|
6.6
|
1.4
|
153.0
|
6.6
|
1.7
|
162.2
|
8.9
|
Copper World Complex (21)
|
100%
|
424.0
|
4.1
|
55.9
|
191.0
|
3.5
|
21.5
|
615.0
|
3.9
|
77.4
|
192.0
|
3.1
|
19.1
|
Blackwater (11,27)
|
50%
|
33.7
|
4.7
|
5.1
|
52.9
|
8.7
|
14.8
|
86.6
|
7.1
|
19.9
|
5.6
|
12.8
|
2.3
|
Kutcho (12)
|
100%
|
0.4
|
28.0
|
0.4
|
5.0
|
25.7
|
4.1
|
5.4
|
25.9
|
4.5
|
12.9
|
20.0
|
8.3
|
Curipamba (11,29)
|
75%
|
-
|
-
|
-
|
1.8
|
38.4
|
2.2
|
1.8
|
38.4
|
2.2
|
0.7
|
31.6
|
0.7
|
Pascua-Lama
|
25%
|
10.7
|
57.2
|
19.7
|
97.9
|
52.2
|
164.4
|
108.6
|
52.7
|
184.1
|
3.8
|
17.8
|
2.2
|
Loma de La Plata
|
12.5%
|
-
|
-
|
-
|
3.6
|
169.0
|
19.8
|
3.6
|
169.0
|
19.8
|
0.2
|
76.0
|
0.4
|
Toroparu (12,16)
|
50%
|
21.2
|
1.8
|
1.2
|
36.3
|
1.2
|
1.4
|
57.5
|
1.4
|
2.7
|
10.6
|
0.8
|
0.3
|
Cotabambas (12,23)
|
100%
|
-
|
-
|
-
|
117.1
|
2.7
|
10.3
|
117.1
|
2.7
|
10.3
|
605.3
|
2.3
|
45.4
|
Metates Royalty (17)
|
0.5%
|
0.2
|
18.2
|
0.1
|
4.5
|
14.2
|
2.0
|
4.6
|
14.3
|
2.1
|
0.7
|
13.2
|
0.3
|
Total Silver
|
|
|
|
159.1
|
|
|
529.1
|
|
|
688.2
|
|
|
329.9
|
Palladium
|
|
|
|
|
|
|
|||||||
Stillwater (11,13)
|
4.5%
|
0.19
|
8.1
|
0.05
|
0.2
|
6.1
|
0.04
|
0.4
|
7.1
|
0.09
|
1.1
|
9.5
|
0.35
|
Total Palladium
|
|
|
|
0.05
|
|
|
0.04
|
|
|
0.09
|
|
|
0.35
|
Platinum
|
|
|
|
|
|
|
|||||||
Marathon (11,28)
|
22.0%
|
7.14
|
0.2
|
0.04
|
9.4
|
0.1
|
0.04
|
16.5
|
0.1
|
0.08
|
4.3
|
0.1
|
0.01
|
Total Platinum
|
|
|
|
0.04
|
|
|
0.04
|
|
|
0.08
|
|
|
0.01
|
Cobalt
|
|
|
|
|
|
|
|||||||
Voisey's Bay (11,22)
|
42.4%
|
1.6
|
0.05
|
1.5
|
-
|
-
|
-
|
1.6
|
0.05
|
1.5
|
2.4
|
0.15
|
7.8
|
Total Cobalt
|
|
|
|
1.5
|
|
|
-
|
|
|
1.5
|
|
|
7.8
|
1. |
All Mineral Reserves and Mineral Resources have been estimated in accordance with the 2014 Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Standards for Mineral Resources and Mineral Reserves and National Instrument 43-101 –
Standards for Disclosure for Mineral Projects (“NI 43-101”), or the 2012 Australasian Joint Ore Reserves Committee (JORC) Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.
|
2. |
Mineral Reserves and Mineral Resources are reported above in millions of metric tonnes (“Mt”), grams per metric tonne (“g/t”) for gold, silver, palladium and platinum, percent (“%”) for cobalt, millions of ounces (“Moz”) for gold, silver,
palladium and platinum and millions of pounds (“Mlbs”) for cobalt.
|
3. |
Qualified persons (“QPs”), as defined by the NI 43-101, for the technical information contained in this document (including the Mineral Reserve and Mineral Resource estimates) are:
|
|
a. |
Neil Burns, M.Sc., P.Geo. (Vice President, Technical Services); and
|
|
b. |
Ryan Ulansky, M.A.Sc., P.Eng. (Vice President, Engineering),
|
4. |
The Mineral Resources reported in the above tables are exclusive of Mineral Reserves. The Cozamin mine, San Dimas mine, Minto mine, Neves-Corvo mine, Zinkgruvan mine, Aljustrel mines, Santo Domingo project, Blackwater project, Kutcho
project, Marathon project, Fenix project, Curipamba project, Cangrejos project and Goose project report Mineral Resources inclusive of Mineral Reserves. The Company’s QPs have made the exclusive Mineral Resource estimates for these mines based
on average mine recoveries and dilution.
|
5. |
Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.
|
6. |
Other than as detailed below, Mineral Reserves and Mineral Resources are reported as of December 31, 2022 based on information available to the Company as of the date of this document, and therefore will not reflect updates, if any, after
such date.
|
|
a. |
Mineral Resources for Aljustrel’s Feitais mine are reported as of July 2022, Moinho & St João mines as of June 2022 and the Estação project as of July 2018. Mineral Reserves for the Feitais, Moinho and St João mines are reported as of
December 2021 and the Estação project as of April 2022.
|
|
b. |
Mineral Resources for the Black Pine project are reported as of January 21, 2023.
|
|
c. |
Mineral Resources for the Blackwater project are reported as of May 5, 2020 and Mineral Reserves as of September 10, 2021.
|
|
d. |
Mineral Resources for the Brewery Creek project are reported as of January 18, 2022.
|
|
e. |
Mineral Resources for the Cangrejos project are reported as of January 30, 2023 and Mineral Reserves as of March 30, 2023.
|
|
f. |
Mineral Resources and Mineral Reserves for the Copper World Complex project are reported as of July 1, 2023.
|
|
g. |
Mineral Resources and Mineral Reserves for the Cozamin mine are reported as of December 31, 2021.
|
|
h. |
Mineral Resources for the Cotabambas project are reported as of June 20, 2013.
|
|
i. |
Mineral Resources for the Curipamba project are reported as of October 26, 2021 and Mineral Reserves as of October 22, 2021.
|
|
j. |
Mineral Resources and Mineral Reserves for the Fenix project are reported as of August 15, 2019.
|
|
k. |
Mineral Resources for the Goose project are reported as of December 31, 2020 and Mineral Reserves as of January 15, 2021.
|
|
l. |
Mineral Resources for the Kutcho project are reported as of July 20, 2021 and Mineral Reserves are reported as of November 8, 2021.
|
|
m. |
Mineral Resources for the Loma de La Plata project are reported as of May 20, 2009.
|
|
n. |
Mineral Resources and Mineral Reserves for the Los Filos mine are reported as of June 30, 2022.
|
|
o. |
Mineral Resources and Mineral Reserves for the Marmato mine are reported as of June 30, 2022.
|
|
p. |
Mineral Resources Metates royalty are reported as of January 28, 2023.
|
|
q. |
Mineral Resources for the Minto mine are reported as of March 31, 2021.
|
|
r. |
Mineral Resources for the Santo Domingo project are reported as of February 13, 2020 and Mineral Reserves as of November 14, 2018.
|
|
s. |
Mineral Resources and Mineral Reserves for the Stratoni mine are reported as of September 30, 2022.
|
|
t. |
Mineral Resources for the Toroparu project are reported as of February 10, 2023.
|
7. |
Process recoveries are the Company’s estimated average percentage of gold, silver, palladium, platinum, or cobalt in a saleable product (doré or concentrate) recovered from mined ore at the applicable site process plants.
|
8. |
Mineral Reserves are estimated using appropriate process and mine recovery rates, dilution, operating costs and the following commodity prices:
|
|
a. |
Aljustrel mine – 3.0% zinc cut-off for the Feitais, Moinho and St João mines and the Estação project.
|
|
b. |
Antamina mine - $6,000 per hour of mill operation cut-off assuming $3.30 per pound copper, $1.10 per pound zinc, $9.30 per pound molybdenum and $20.70 per ounce silver.
|
|
c. |
Blackwater project – NSR cut-off of Cdn $13.00 per tonne assuming $1,400 per ounce gold and $15.00 per ounce silver.
|
|
d. |
Cangrejos project - declining NSR cut-offs of between $23.00 and $7.76 per tonne assuming $1,500 per ounce gold, $3.00 per pound copper and $18.00 per ounce silver.
|
|
e. |
Constancia mine – NSR cut-off of $6.40 per tonne assuming $1,650 per ounce gold, $22.00 per ounce silver, $3.60 per pound copper and $12.00 per pound molybdenum.
|
|
f. |
Copper World Complex project – $3.75 per pound copper, $12.00 per pound molybdenum, $22,00 per ounce silver and $1,650 per ounce gold.
|
|
g. |
Cozamin mine - NSR cut-offs of $48.04 per tonne for conventionally backfilled zones for 2020-2022, $51.12 per tonne for conventionally backfilled zones for 2023 and onward, $56.51 per tonne for paste backfilled zones of Vein 10 and $56.12
per tonne for paste backfilled zones of Vein 20, all assuming $2.75 per pound copper, $17.00 per ounce silver, $0.90 per pound lead and $1.00 per pound zinc.
|
|
h. |
Curipamba project - NSR cut-off of $32.99 per tonne assuming $1,630 per ounce gold, $21 per ounce silver, $3.31 per pound copper, $0.92 per pound lead and $1.16 per pound zinc.
|
|
i. |
Fenix project – 0.24 grams per tonne gold cut-off assuming $1.250 per ounce gold.
|
|
j. |
Goose project:
|
|
i. |
Umwelt – 1.72 grams per tonne gold cut-off for open pit and 3.9 grams per tonne for underground.
|
|
ii. |
Llama – 1.74 grams per tonne gold cut-off for open pit and 4.1 grams per tonne for underground.
|
|
iii. |
Goose Main – 1.70 grams per tonne gold cut-off for open pit and 4.1 grams per tonne for underground.
|
|
iv. |
Echo – 1.60 grams per tonne gold cut-off for open pit and 3.5 grams per tonne for underground.
|
|
k. |
Kutcho project – NSR cut-offs of Cdn $38.40 per tonne for oxide ore and Cdn $55.00 per tonne for sulfide for the open pit and Cdn $129.45 per tonne for the underground assuming $3.50 per pound copper, $1.15 per pound zinc, $20.00 per ounce
silver and $1,600 per ounce gold.
|
|
l. |
Los Filos mine – Variable breakeven cut-offs for the open pits depending on process destination and metallurgical recoveries and NSR cut-offs of $65.80 - $96.60 per tonne for the underground mines, assuming $1,450 per ounce gold and $18.00
per ounce silver.
|
|
m. |
Marathon project - NSR cut-off of Cdn $16.00 per tonne assuming $1,500 per ounce palladium, $1,000 per ounce platinum, $3.50 per pound copper, $1,600 per ounce gold and $20.00 per ounce silver.
|
|
n. |
Marmato mine – 2.05 grams per tonne gold cut-off for the Upper Mine and 1.62 grams per tonne gold cut-off for the Lower Mine, all assuming $1,500 per ounce gold.
|
|
o. |
Neves-Corvo mine – NSR cut-offs ranging from EUR 44 to 60 per tonne depending on area and mining method for both the copper and zinc Mineral Reserves assuming $3.35 per pound copper, $0.90 per pound lead and $1.15 per pound zinc.
|
|
p. |
Peñasquito mine - $1,400 per ounce gold, $20.00 per ounce silver, $1.00 per pound lead and $1.20 per pound zinc.
|
|
q. |
Salobo mine – 0.25% copper equivalent cut-off assuming $1,450 per ounce gold and $3.40 per pound copper.
|
|
r. |
San Dimas mine – $1,750 per ounce gold and $22.50 per ounce silver.
|
|
s. |
Santo Domingo project - variable throughput rates and cut-offs assuming $3.00 per pound copper, $1,290 per ounce gold and $100 per tonne iron.
|
|
t. |
Stillwater mines - combined platinum and palladium cut-off of 6.86 grams per tonne for Stillwater and East Boulder sub-level extraction and 1.71 grams per tonne for Ramp & Fill at East Boulder.
|
|
u. |
Sudbury mines - $1,450 per ounce gold, $8.16 per pound nickel, $3.40 per pound copper, $1,200 per ounce platinum, $1,400 per ounce palladium and $22.68 per pound cobalt.
|
|
v. |
Voisey’s Bay mines – NSR cut-offs of Cdn $32 per tonne for Ovoid & Southeast Extension, Cdn$230 per tonne for Reid Brook, Cdn$250 per tonne for Eastern Deeps and Cdn$28 per tonne for Discovery Hill all assuming $3.40 per pound copper,
$8.16 per pound nickel and $22.68 per pound cobalt.
|
|
w. |
Zinkgruvan mine – NSR cut-offs ranging from SEK 750 to 950 per tonne depending on area and mining method for both the copper and zinc Mineral Reserves assuming $3.35 per pound copper and $0.90 per pound lead and $1.15 per pound zinc.
|
9. |
Mineral Resources are estimated using appropriate recovery rates and the following commodity prices:
|
|
a. |
Aljustrel mine – 3.0% zinc cut-off for Feitais, Moinho and St João mines and the Estação project.
|
|
b. |
Antamina mine - $3.30 per pound copper, $1.20 per pound zinc, $13.10 per pound molybdenum and $24.50 per ounce silver.
|
|
c. |
Black Pine – 0.2 grams per tonne gold cut-off assuming $1,800 per ounce gold.
|
|
d. |
Blackwater project – 0.2 grams per tonne gold equivalent cut-off assuming $1,400 per ounce gold and $15.00 per ounce silver.
|
|
e. |
Brewery Creek project – 0.37 grams per tonne gold cut-off assuming $1,500 per ounce gold.
|
|
f. |
Cangrejos project - 0.25 grams per tonne gold equivalent cut-off assuming $1,600 per ounce gold, $3.50 per pound copper, $11.00 per pound molybdenum and $21.00 per ounce silver.
|
|
g. |
Constancia mine – NSR cut-off of $6.40 per tonne for open pit and 0.65% copper cut-off for underground, both assuming $1,650 per ounce gold, $22.00 per ounce silver, $3.60 per pound copper and $12.00 per pound molybdenum.
|
|
h. |
Copper World Complex project – 0.1% copper cut-off and an oxidation ratio of lower than 50%, assuming $3.75 per pound copper, $12.00 per pound molybdenum, $22.00 per ounce silver, and $1,650 per ounce gold.
|
|
i. |
Cotabambas project – 0.2% copper equivalent cut-off assuming $1,350 per ounce gold, $23.00 per ounce silver, $3.20 per pound copper and $12.50 per pound molybdenum.
|
|
j. |
Cozamin mine – NSR cut-off of $50 per tonne assuming $3.25 per pound copper, $20.00 per ounce silver, $1.00 per pound lead and $1.20 per pound zinc.
|
|
k. |
Curipamba project - NSR cut-off of $29.00 per tonne for the open pit and $105 per tonne for the underground assuming $1,800 per ounce gold, $24 per ounce silver, $4.00 per pound copper, $1.05 per pound lead and $1.30 per pound zinc.
|
|
l. |
Fenix project – 0.15 grams per tonne gold cut-off assuming $1,500 per ounce gold.
|
|
m. |
Goose project - 1.4 grams per tonne gold cut-off for open pit and 3.0 grams per tonne for underground for all deposits, assuming a gold price of $1,550 per ounce.
|
|
n. |
Kutcho project – 0.45% copper equivalent cut-off for the Main open pit and underground copper equivalent cut-offs of 1.05%, 0.95% and 1.05% for Main, Esso and Sumac respectively, all assuming $3.50 per pound copper, $1.15 per pound zinc,
$20.00 per ounce silver and $1,600 per ounce gold.
|
|
o. |
Loma de La Plata project – 50 grams per tonne silver equivalent cut-off assuming $12.50 per ounce silver and $0.50 per pound lead.
|
|
p. |
Los Filos mine – 0.2 grams per tonne gold cut-off for the open pits, 1.71 grams per tonne gold cut-off for Los Filos South underground, 2.05 grams per tonne gold cut-off for Los Filos North underground and 2.71 grams per tonne gold cut-off
for Bermejal underground, all assuming $1,550 per ounce gold and $18.00 per ounce silver.
|
|
q. |
Marathon project – NSR cut-off of Cdn $15.00 per tonne for the Marathon project assuming $1,800 per ounce palladium, $1,000 per ounce platinum, $3.50 per pound copper, $1,600 per ounce gold and $20.00 per ounce silver. NSR cut-off of Cdn
$13.00 per tonne for the Sally and Geordie projects assuming $1,600 per ounce palladium, $900 per ounce platinum, $3.00 per pound copper, $1,500 per ounce gold and $18.00 per ounce silver.
|
|
r. |
Marmato mine – 1.8 grams per tonne gold cut-off for the Upper Mine and 1.3 grams per tonne gold cut-off for the Lower Mine, all assuming $1,700 per ounce gold.
|
|
s. |
Metates royalty – 0.26 grams per tonne gold equivalent cut-off assuming $1,600 per ounce gold and $20.00 per ounce silver.
|
|
t. |
Minto mine – NSR cut-off of Cdn $35.00 per tonne for open pit and Cdn $70 per tonne for underground, assuming $1,500 per ounce gold, $18.00 per ounce silver and $3.10 per pound copper.
|
|
u. |
Neves-Corvo mine – 1.0% copper cut-off for the copper Mineral Resource and 4.5% zinc cut-off for the zinc Mineral Resource, both assuming $3.35 per pound copper, $0.90 per pound lead and $1.15 per pound zinc.
|
|
v. |
Pascua-Lama project – $1,500 per ounce gold, $18.75 per ounce silver and $3.50 per pound copper.
|
|
w. |
Peñasquito mine - $1,600 per ounce gold, $23.00 per ounce silver, $1.20 per pound lead and $1.45 per pound zinc.
|
|
x. |
Salobo mine – 0.25% copper equivalent cut-off assuming $1,450 per ounce gold and $3.40 per pound copper.
|
|
y. |
San Dimas mine – 165 grams per tonne silver equivalent cut-off assuming $1,800 per ounce gold and $25.00 per ounce silver.
|
|
z. |
Santo Domingo project - 0.125% copper equivalent cut-off assuming $3.50 per pound copper, $1,300 per ounce gold and $99 per tonne iron.
|
|
aa. |
Stillwater mines – combined platinum and palladium cut-off of 3.77 grams per tonne for Stillwater, 6.86 grams per tonne for East Boulder sub-level extraction and 1.71 grams per tonne for East Boulder Ramp & Fill.
|
|
bb. |
Stratoni mine – NSR cut-off of $200 per tonne assuming $2.75 per pound copper, $0.91 per pound lead, $1.04 per pound zinc and $17.00 per ounce silver.
|
|
cc. |
Sudbury mines - $1,200 to $1,373 per ounce gold, $6.07 to $8.16 per pound nickel, $2.38 to $3.18 per pound copper, $1,150 to $1,225 per ounce platinum, $750 to $1,093 per ounce palladium and $12.47 to $20.41 per pound cobalt.
|
|
dd. |
Toroparu project – 0.50 grams per tonne gold cut-off for open pit and 1.5 grams per tonne for underground assuming $1,650 per ounce gold.
|
|
ee. |
Voisey’s Bay mines – NSR cut-off of Cdn $28 per tonne for Discovery Hill and Cdn $230 per tonne for Reid Brook, all assuming $3.40 per pound copper, $8.16 per pound nickel and $22.68 per pound cobalt.
|
|
ff. |
Zinkgruvan mine – NSR cut-offs ranging from SEK 515 to 710 per tonne depending on area and mining method for the zinc Mineral Resources and NSR cut-offs ranging from SEK 580 to 600 per tonne for the copper Mineral Resources assuming $3.35
per pound copper and $0.90 per pound lead and $1.15 per pound zinc.
|
10. |
The scientific and technical information in these tables regarding the Antamina, Peñasquito and Salobo mines was sourced by the Company from the following filed documents:
|
|
a. |
Antamina – Teck Resources Annual Information Form filed on SEDAR+ on February 21, 2023,
|
|
b. |
Peñasquito – Newmont’s December 31, 2022 Resources and Reserves press release dated February 23, 2023, and
|
|
c. |
Salobo – Vale has filed a technical report summary for the Salobo Mine, which is available on Edgar at https://www.sec.gov/Archives/edgar/data/0000917851/000110465922040322/tm2210823d1_6k.htm.
|
11. |
The Company’s attributable Mineral Resources and Mineral Reserves for the Antamina silver interest, Cozamin silver interest, Marmato gold and silver interests, Santo Domingo gold interest, Blackwater gold and silver interests, Marathon gold
and platinum interests, Sudbury gold interest, Fenix gold interest, Goose gold interest, Curipamba gold and silver interests, Stillwater palladium interest, Cangrejos gold interest and Voisey’s Bay cobalt interest have been constrained to the
production expected for the various contracts.
|
12. |
The Company has the option in the Early Deposit agreements, to terminate the agreement following the delivery of a feasibility study or if feasibility study has not been delivered within a required time frame.
|
13. |
The Stillwater precious metals purchase agreement provides that effective July 1, 2018, Sibanye-Stillwater will deliver 100% of the gold production for the life of the mines and 4.5% of palladium production until 375,000 ounces are
delivered, 2.25% of palladium production until a further 175,000 ounces are delivered and 1.0% of the palladium production thereafter for the life of the mines. Attributable palladium Mineral Reserves and Mineral Resources have been calculated
based upon the 4.5% / 2.25% / 1.0% production entitlements.
|
|
a. |
Stillwater mine: Pd = (Pt + Pd) / (1/3.51 + 1) and Au = (Pd + Pt) x 0.0238
|
|
b. |
East Boulder mine: Pd = (Pt + Pd) / (1/3.60 + 1) and Au = (Pd + Pt) x 0.0323
|
14. |
Under the terms of the San Dimas PMPA, the Company is entitled to an amount equal to 25% of the payable gold production plus an additional amount of gold equal to 25% of the payable silver production converted to gold at a fixed gold to
silver exchange ratio of 70:1 from the San Dimas mine. If the average gold to silver price ratio decreases to less than 50:1 or increases to more than 90:1 for a period of 6 months or more, then the “70” shall be revised to “50” or “90”, as the
case may be, until such time as the average gold to silver price ratio is between 50:1 to 90:1 for a period of 6 months or more in which event the “70” shall be reinstated.
|
15. |
The Marmato PMPA provides that Aris Gold Corp will deliver 10.5% of the gold production until 310 thousand ounces are delivered and 5.25% of gold production thereafter, as well as, 100% of the silver production until 2.15 million ounces are
delivered and 50% of silver production thereafter. Attributable reserves and resources have been calculated on the 10.5% / 5.25% basis for gold and 100% / 50% basis for silver.
|
16. |
The Company’s PMPA with Aris Mining, is an Early Deposit agreement, whereby the Company will be entitled to purchase 10% of the gold production and 50% of the silver production from the Toroparu project for the life of mine.
|
17. |
The Company’s agreement with Chesapeake Gold Corp (Chesapeake) is a royalty whereby the Company will be entitled to a 0.5% net smelter return royalty.
|
18. |
The Antamina PMPA in respect to the Antamina mine (November 3, 2015) provides that Glencore will deliver silver equal to 33.75% of the silver production until 140 million ounces are delivered and 22.5% of silver production thereafter.
Attributable reserves and resources have been calculated on the 33.75% / 22.5% basis.
|
19. |
The Company only has the rights to silver contained in concentrates containing less than 15% copper at the Aljustrel mine.
|
20. |
The Cozamin PMPA provides that Capstone will deliver silver equal to 50% of the silver production until 10 million ounces are delivered and 33%
thereafter for the life of the mine. Attributable reserves and resources have been calculated on the 50% / 33% basis.
|
21. |
The Copper World Complex Mineral Resources and Mineral Reserves do not include the Leach material.
|
22. |
The Voisey’s Bay cobalt PMPA provides that Vale will deliver 42.4% of the cobalt production until 31 million pounds are delivered to the Company and 21.2% of cobalt production thereafter, for the life of the mine. Attributable reserves
and resources have been calculated on the 42.4% / 21.2% basis.
|
23. |
The Company’s PMPA with Panoro is an Early Deposit agreement, whereby the Company will be entitled to purchase 100% of the silver production and 25% of the gold production from the Cotabambas project until 90 million silver equivalent ounces
have been delivered, at which point the stream will drop to 66.67% of silver production and 16.67% of gold production for the life of mine.
|
24. |
The Company’s PMPA with Golden Predator Exploration Ltd., a subsidiary of Sabre Gold Mines Corp., is a royalty, whereby the Company will be entitled to a 2.0% net smelter return royalty for the first 600,000 ounces of gold produced from the
Brewery Creek mine, above which the NSR will increase to 2.75%. Sabre has the right to repurchase 0.625% of the increased NSR by paying the Company Cdn $2.0M. Attributable resources have been calculated on the 2.0% / 2.75% basis.
|
25. |
The Santo Domingo PMPA provides that Capstone will deliver gold equal to 100% of the gold production until 285,000 ounces are delivered and 67% thereafter for the life of the mine. Attributable reserves and resources have been calculated on
the 100% / 67% basis.
|
26. |
The Fenix PMPA provides that Rio2 will deliver gold equal to 6% of the gold production until 90,000 ounces are delivered, then 4% of the gold production until 140,000 ounces are delivered and 3.5% thereafter for the life of the mine.
Attributable reserves and resources have been calculated on this 6% / 4% / 3.5% basis.
|
27. |
The Blackwater silver and gold stream agreements provide that Artemis will deliver respectively silver and gold equal to (i) 50% of the payable silver production until 17.8 million ounces are delivered and 33% thereafter for the life of the
mine, and (ii) 8% of the payable gold production until 464,000 ounces are delivered and 4% thereafter for the life of the mine. Attributable reserves and resources have been calculated on the 50% / 33% basis for silver and 8% / 4% basis for
gold.
|
28. |
The Marathon PMPA provides that Generation will deliver 100% of the gold production until 150 thousand ounces are delivered and 67% thereafter for the life of the mine and 22% of the platinum production until 120 thousand ounces are
delivered and 15% thereafter for the life of the mine. Attributable reserves and resources have been calculated on the 100% / 67% basis for gold and 22% / 15% basis for platinum.
|
29. |
The Curipamba PMPA provides that Adventus will deliver silver and gold equal to 75% of the silver production until 4.6 million ounces are delivered and 50% thereafter for the life of the mine and 50% of the gold production until 150 thousand
ounces are delivered and 33% thereafter for the life of the mine. Attributable reserves and resources have been calculated on the 75% / 50% basis for silver and 50% / 33% basis for gold.
|
30. |
In connection with Sabina’s exercise of its option to repurchase 33% of the gold stream on a change in control, the gold delivery obligations under the Company’s PMPA with Sabina, a subsidiary of B2 Gold, were reduced so that Sabina will
deliver gold equal to 2.78% of the gold production until 87.1 thousand ounces are delivered, then 1.44% until 134 thousand ounces are delivered and 1.0% thereafter for the life of the mine. Attributable reserves and resources have been
calculated on the 2.78% / 1.44% / 1.0% basis.
|
31. |
The Cangrejos PMPA provides that Lumina Gold will deliver gold equal to 6.6% of the gold production until 0.7 million ounces are delivered and 4.4% thereafter for the life of the mine. Attributable reserves and resources have been
calculated on the 6.6% / 4.4% basis.
|
32. |
The Company’s PMPA with Liberty Gold, is a royalty, whereby the Company will be entitled to a 0.5% net smelter return. Attributable resources have been calculated on the 0.5% basis.
|
33. |
Precious metals and cobalt are by-product metals at all of the Mining Operations, other than gold at the Marmato mine, Toroparu project, Fenix project, Goose project, Blackwater project and Black Pine project, silver at the Loma de La Plata
zone of the Navidad project and palladium at the Stillwater mines, and therefore, the economic cut off applied to the reporting of precious metals and cobalt reserves and resources will be influenced by changes in the commodity prices of other
metals at the mines.
|
|
• |
payment of $115 million to Waterton Copper and the satisfaction of each party's obligations in accordance with the Mineral Park PMPA and the receipt of silver production in respect of the Mineral Park Mine;
|
|
• |
the future price of commodities;
|
|
• |
the estimation of future production from Mining Operations (including in the estimation of production, mill throughput, grades, recoveries and exploration potential);
|
|
• |
the estimation of mineral reserves and mineral resources (including the estimation of reserve conversion rates and the realization of such estimations);
|
|
• |
the commencement, timing and achievement of construction, expansion or improvement projects by Wheaton’s PMPA counterparties at Mining Operations;
|
|
• |
the payment of upfront cash consideration to counterparties under PMPAs, the satisfaction of each party's obligations in accordance with PMPAs and royalty arrangements and the receipt by the Company of precious
metals and cobalt production in respect of the applicable Mining Operations under PMPAs or other payments under royalty arrangements;
|
|
• |
the ability of Wheaton’s PMPA counterparties to comply with the terms of a PMPA (including as a result of the business, mining operations and performance of Wheaton’s PMPA counterparties) and the potential impacts of
such on Wheaton;
|
|
• |
future payments by the Company in accordance with PMPAs, including any acceleration of payments;
|
|
• |
the costs of future production;
|
|
• |
the estimation of produced but not yet delivered ounces;
|
|
• |
the impact of epidemics (including the COVID-19 virus pandemic), including the potential heightening of other risks;
|
|
• |
the future sales of Common Shares under, the amount of net proceeds from, and the use of the net proceeds from, the ATM Program;
|
|
• |
continued listing of the Common Shares on the LSE, NYSE and TSX;
|
|
• |
any statements as to future dividends;
|
|
• |
the ability to fund outstanding commitments and the ability to continue to acquire accretive PMPAs;
|
|
• |
projected increases to Wheaton's production and cash flow profile;
|
|
• |
projected changes to Wheaton’s production mix;
|
|
• |
the ability of Wheaton’s PMPA counterparties to comply with the terms of any other obligations under agreements with the Company;
|
|
• |
the ability to sell precious metals and cobalt production;
|
|
• |
confidence in the Company’s business structure;
|
|
• |
the Company's assessment of taxes payable or receivable and the impact of the CRA Settlement;
|
|
• |
possible CRA domestic audits for taxation years subsequent to 2016 and international audits;
|
|
• |
the Company’s assessment of the impact of any tax reassessments;
|
|
• |
the Company’s intention to file future tax returns in a manner consistent with the CRA Settlement;
|
|
• |
the Company’s climate change and environmental commitments; and
|
|
• |
assessments of the impact and resolution of various legal and tax matters, including but not limited to audits.
|
|
• |
risks relating to the satisfaction of each party's obligations in accordance with the terms of the Mineral Park PMPA;
|
|
• |
the satisfaction of each party's obligations in accordance with the terms of the Company’s PMPAs or royalty arrangements;
|
|
• |
risks associated with fluctuations in the price of commodities (including Wheaton’s ability to sell its precious metals or cobalt production at acceptable prices or at all);
|
|
• |
risks related to the Mining Operations (including fluctuations in the price of the primary or other commodities mined at such operations, regulatory, political and other risks of the jurisdictions in which the Mining
Operations are located, actual results of mining, risks associated with exploration, development, operating, expansion and improvement at the Mining Operations, environmental and economic risks of the Mining Operations, and changes in project
parameters as Mining Operations plans continue to be refined);
|
|
• |
absence of control over the Mining Operations and having to rely on the accuracy of the public disclosure and other information Wheaton receives from the owners and operators of the Mining Operations as the basis for
its analyses, forecasts and assessments relating to its own business;
|
|
• |
risks related to the uncertainty in the accuracy of mineral reserve and mineral resource estimation;
|
|
• |
risks related to the satisfaction of each party’s obligations in accordance with the terms of the Company’s PMPAs, including the ability of the companies with which the Company has PMPAs to perform their obligations
under those PMPAs in the event of a material adverse effect on the results of operations, financial condition, cash flows or business of such companies, any acceleration of payments, estimated throughput and exploration potential;
|
|
• |
risks relating to production estimates from Mining Operations, including anticipated timing of the commencement of production by certain Mining Operations;
|
|
• |
Wheaton’s interpretation of, or compliance with, or application of, tax laws and regulations or accounting policies and rules, being found to be incorrect or the tax impact to the Company’s business operations being
materially different than currently contemplated;
|
|
• |
any challenge or reassessment by the CRA of the Company’s tax filings being successful and the potential negative impact to the Company’s previous and future tax filings;
|
|
• |
risks in assessing the impact of the CRA Settlement (including whether there will be any material change in the Company's facts or change in law or jurisprudence);
|
|
• |
risks related to any potential amendments to Canada’s transfer pricing rules under the Income Tax Act (Canada) that may result from the Department of Finance’s consultation paper released June 6, 2023;
|
|
• |
risks relating to the potential implementation of a 15% global minimum tax, including the draft legislation issued for consultation by the Canadian Federal Government on August 4, 2023 that would apply to the income
of the Company’s non-Canadian subsidiaries;
|
|
• |
counterparty credit and liquidity risks;
|
|
• |
mine operator and counterparty concentration risks;
|
|
• |
indebtedness and guarantees risks;
|
|
• |
hedging risk;
|
|
• |
competition in the streaming industry risk;
|
|
• |
risks related to claims and legal proceedings against Wheaton or the Mining Operations;
|
|
• |
risks relating to security over underlying assets;
|
|
• |
risks related to governmental regulations;
|
|
• |
risks related to international operations of Wheaton and the Mining Operations;
|
|
• |
risks relating to exploration, development, operating, expansions and improvements at the Mining Operations;
|
|
• |
risks related to environmental regulations;
|
|
• |
risks related to climate change;
|
|
• |
the ability of Wheaton and the Mining Operations to obtain and maintain necessary licenses, permits, approvals and rulings;
|
|
• |
the ability of Wheaton and the Mining Operations to comply with applicable laws, regulations and permitting requirements;
|
|
• |
lack of suitable supplies, infrastructure and employees to support the Mining Operations;
|
|
• |
inability to replace and expand mineral reserves, including anticipated timing of the commencement of production by certain Mining Operations (including increases in production, estimated grades and recoveries);
|
|
• |
uncertainties related to title and indigenous rights with respect to the mineral properties of the Mining Operations;
|
•
|
risks associated with environmental, social and governance matters;
|
•
|
the ability of Wheaton and the Mining Operations to obtain adequate financing;
|
•
|
the ability of the Mining Operations to complete permitting, construction, development and expansion;
|
•
|
challenges related to global financial conditions;
|
•
|
risks related to Wheaton’s acquisition strategy;
|
•
|
risks of significant impacts on Wheaton or the Mining Operations as a result of an epidemic (including the COVID-19 virus pandemic);
|
•
|
risks related to the market price of the Common Shares of Wheaton;
|
•
|
risks associated with multiple listings of the Common Shares on the LSE, NYSE and TSX;
|
•
|
risks associated with a possible suspension of trading of Common Shares;
|
•
|
risks associated with the sale of Common Shares under the ATM Program, including the amount of any net proceeds from such offering of Common Shares and the use of any such proceeds;
|
|
• |
risks associated with the ability to achieve climate change and environmental commitments at Wheaton and at the Mining Operations;
|
|
• |
equity price risks related to Wheaton’s holding of long‑term investments in other companies;
|
|
• |
risks related to interest rates;
|
|
• |
risks related to the declaration, timing and payment of dividends;
|
|
• |
the ability of Wheaton and the Mining Operations to retain key management employees or procure the services of skilled and experienced personnel;
|
|
• |
risks relating to activist shareholders;
|
|
• |
risks relating to reputational damage;
|
|
• |
risks relating to unknown defects and impairments;
|
|
• |
risks related to ensuring the security and safety of information systems, including cyber security risks;
|
|
• |
risks related to the adequacy of internal control over financial reporting;
|
|
• |
risks related to fluctuations in commodity prices of metals produced from the Mining Operations other than precious metals or cobalt;
|
|
• |
risks relating to future sales or the issuance of equity securities; and
|
|
• |
other risks discussed in the section entitled “Description of the Business – Risk Factors” in Wheaton’s most recent Annual Information Form available on SEDAR+ at www.sedarplus.ca, and in Wheaton’s Form 40-F and Form
6-Ks, all on file with the U.S. Securities and Exchange Commission in Washington, D.C. and available on EDGAR (the "Disclosure”).
|
|
• |
the payment of $115 million to Waterton Copper and the satisfaction of each party's obligations in accordance with the terms of the Mineral Park PMPA;
|
|
• |
that there will be no material adverse change in the market price of commodities;
|
|
• |
that the Mining Operations will continue to operate and the mining projects will be completed in accordance with public statements and achieve their stated production estimates;
|
|
• |
that the mineral reserves and mineral resource estimates from Mining Operations (including reserve conversion rates) are accurate;
|
|
• |
that each party will satisfy their obligations in accordance with the PMPAs;
|
|
• |
that Wheaton will continue to be able to fund or obtain funding for outstanding commitments;
|
|
• |
that Wheaton will be able to source and obtain accretive PMPAs;
|
|
• |
that neither Wheaton nor the Mining Operations will suffer significant impacts as a result of an epidemic (including the COVID-19 virus pandemic);
|
|
• |
that any outbreak or threat of an outbreak of a virus or other contagions or epidemic disease will be adequately responded to locally, nationally, regionally and internationally, without such response requiring any
prolonged closure of the Mining Operations or having other material adverse effects on the Company and counterparties to its PMPAs;
|
|
• |
that the trading of the Common Shares will not be adversely affected by the differences in liquidity, settlement and clearing systems as a result of multiple listings of the Common Shares on the LSE, the TSX and the
NYSE;
|
|
• |
that the trading of the Company’s Common Shares will not be suspended;
|
•
|
that expectations regarding the resolution of legal and tax matters will be achieved (including CRA audits involving the Company);
|
•
|
that Wheaton has properly considered the application of Canadian tax law to its structure and operations;
|
•
|
that Wheaton has filed its tax returns and paid applicable taxes in compliance with Canadian tax law;
|
•
|
that Wheaton's application of the CRA Settlement is accurate (including the Company's assessment that there has been no material change in the Company's facts or change in law or
jurisprudence);
|
•
|
that any sale of Common Shares under the ATM Program will not have a significant impact on the market price of the Common Shares and that the net proceeds of sales of Common Shares, if any,
will be used as anticipated;
|
•
|
the estimate of the recoverable amount for any PMPA with an indicator of impairment; and
|
•
|
such other assumptions and factors as set out in the Disclosure.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(US dollars and shares in thousands, except per share amounts - unaudited)
|
Note
|
2023
|
2022
|
2023
|
2022
|
||||
Sales
|
6
|
$
|
223,137
|
$
|
218,836
|
$
|
702,573
|
$
|
829,002
|
Cost of sales
|
|
|
|
|
|||||
Cost of sales, excluding depletion
|
$
|
49,808
|
$
|
60,955
|
$
|
160,413
|
$
|
205,891
|
|
Depletion
|
13
|
|
46,435
|
|
55,728
|
|
145,908
|
|
178,812
|
Total cost of sales
|
|
$
|
96,243
|
$
|
116,683
|
$
|
306,321
|
$
|
384,703
|
Gross margin
|
|
$
|
126,894
|
$
|
102,153
|
$
|
396,252
|
$
|
444,299
|
General and administrative expenses
|
7
|
|
8,606
|
8,360
|
|
28,922
|
27,448
|
||
Share based compensation
|
8
|
|
4,336
|
77
|
|
16,217
|
11,586
|
||
Donations and community investments
|
9
|
|
1,736
|
1,406
|
|
5,054
|
3,379
|
||
Impairment reversal of mineral stream interests
|
14
|
|
-
|
|
(10,330)
|
|
-
|
|
(10,330)
|
Earnings from operations
|
$
|
112,216
|
$
|
102,640
|
$
|
346,059
|
$
|
412,216
|
|
Gain on disposal of mineral stream interest
|
13
|
|
-
|
(104,425)
|
|
(5,027)
|
(104,425)
|
||
Other (income) expense
|
10
|
|
(10,707)
|
|
(2,799)
|
|
(26,961)
|
|
(3,448)
|
Earnings before finance costs and income taxes
|
$
|
122,923
|
$
|
209,864
|
$
|
378,047
|
$
|
520,089
|
|
Finance costs
|
18.3
|
|
1,407
|
|
1,398
|
|
4,138
|
|
4,209
|
Earnings before income taxes
|
$
|
121,516
|
$
|
208,466
|
$
|
373,909
|
$
|
515,880
|
|
Income tax expense
|
24
|
|
(5,145)
|
|
(12,006)
|
|
(4,700)
|
|
(12,879)
|
Net earnings
|
|
$
|
116,371
|
$
|
196,460
|
$
|
369,209
|
$
|
503,001
|
Basic earnings per share
|
$
|
0.257
|
$
|
0.435
|
$
|
0.815
|
$
|
1.114
|
|
Diluted earnings per share
|
$
|
0.257
|
$
|
0.434
|
$
|
0.814
|
$
|
1.112
|
|
Weighted average number of shares outstanding
|
|
|
|
|
|||||
Basic
|
22
|
|
452,975
|
451,757
|
|
452,748
|
451,402
|
||
Diluted
|
22
|
|
453,538
|
|
452,386
|
|
453,419
|
|
452,221
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(US dollars in thousands - unaudited)
|
Note
|
2023
|
2022
|
2023
|
2022
|
||||
Net earnings
|
|
$
|
116,371
|
$
|
196,460
|
$
|
369,209
|
$
|
503,001
|
Other comprehensive income
|
|
|
|
|
|||||
Items that will not be reclassified to net earnings
|
|
|
|
|
|||||
Loss on LTIs¹
|
16
|
$
|
(59,504)
|
$
|
(10,718)
|
$
|
(67,933)
|
$
|
(44,503)
|
Income tax recovery related to LTIs
|
24
|
|
5,115
|
|
546
|
|
7,205
|
|
701
|
Total other comprehensive loss
|
|
$
|
(54,389)
|
$
|
(10,172)
|
$
|
(60,728)
|
$
|
(43,802)
|
Total comprehensive income
|
|
$
|
61,982
|
$
|
186,288
|
$
|
308,481
|
$
|
459,199
|
|
1) |
LTIs = long-term investments – common shares held.
|
Note
|
As at
September 30 |
As at
December 31 |
|||
(US dollars in thousands - unaudited)
|
2023
|
2022
|
|||
Assets
|
|
|
|||
Current assets
|
|
|
|||
Cash and cash equivalents
|
23
|
$
|
833,919
|
$
|
696,089
|
Accounts receivable
|
11
|
|
10,492
|
10,187
|
|
Cobalt inventory
|
12
|
|
2,429
|
10,530
|
|
Taxes receivable
|
24
|
|
5,000
|
-
|
|
Other
|
25
|
|
4,353
|
|
3,287
|
Total current assets
|
|
$
|
856,193
|
$
|
720,093
|
Non-current assets
|
|
|
|||
Mineral stream interests
|
13
|
$
|
5,737,454
|
$
|
5,707,019
|
Early deposit mineral stream interests
|
15
|
|
47,093
|
46,092
|
|
Long-term equity investments
|
16
|
|
200,893
|
256,095
|
|
Property, plant and equipment
|
17
|
|
8,092
|
4,210
|
|
Other
|
26
|
|
31,790
|
|
26,397
|
Total non-current assets
|
|
$
|
6,025,322
|
$
|
6,039,813
|
Total assets
|
|
$
|
6,881,515
|
$
|
6,759,906
|
Liabilities
|
|
|
|||
Current liabilities
|
|
|
|||
Accounts payable and accrued liabilities
|
$
|
11,999
|
$
|
12,570
|
|
Current taxes payable
|
24
|
|
-
|
2,763
|
|
Current portion of performance share units
|
21.1
|
|
9,404
|
14,566
|
|
Current portion of lease liabilities
|
18.2
|
|
590
|
|
818
|
Total current liabilities
|
|
$
|
21,993
|
$
|
30,717
|
Non-current liabilities
|
|
|
|||
Performance share units
|
21.1
|
$
|
6,222
|
$
|
6,673
|
Lease liabilities
|
18.2
|
|
5,654
|
1,152
|
|
Deferred income taxes
|
24
|
|
189
|
165
|
|
Pension liability
|
|
|
4,196
|
|
3,524
|
Total non-current liabilities
|
|
$
|
16,261
|
$
|
11,514
|
Total liabilities
|
|
$
|
38,254
|
$
|
42,231
|
Shareholders' equity
|
|
|
|||
Issued capital
|
19
|
$
|
3,774,333
|
$
|
3,752,662
|
Reserves
|
20
|
|
(78,872)
|
66,547
|
|
Retained earnings
|
|
|
3,147,800
|
|
2,898,466
|
Total shareholders' equity
|
|
$
|
6,843,261
|
$
|
6,717,675
|
Total liabilities and shareholders' equity
|
|
$
|
6,881,515
|
$
|
6,759,906
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(US dollars in thousands - unaudited)
|
Note
|
2023
|
2022
|
2023
|
2022
|
||||
Operating activities
|
|
|
|
|
|||||
Net earnings
|
$
|
116,371
|
$
|
196,460
|
$
|
369,209
|
$
|
503,001
|
|
Adjustments for
|
|
|
|
|
|||||
Depreciation and depletion
|
|
46,784
|
56,129
|
|
147,031
|
180,004
|
|||
Gain on disposal of mineral stream interest
|
13
|
|
-
|
(104,425)
|
|
(5,027)
|
(104,425)
|
||
Impairment (reversal of impairment) of mineral stream interests
|
14
|
|
-
|
(10,330)
|
|
-
|
(10,330)
|
||
Interest expense
|
18.3
|
|
78
|
22
|
|
131
|
72
|
||
Equity settled stock based compensation
|
|
1,732
|
1,568
|
|
5,133
|
4,407
|
|||
Performance share units - expense
|
21.1
|
|
2,604
|
(1,491)
|
|
11,084
|
7,179
|
||
Performance share units - paid
|
21.1
|
|
-
|
(163)
|
|
(16,675)
|
(18,411)
|
||
Pension expense
|
|
329
|
291
|
|
787
|
720
|
|||
Pension paid
|
|
-
|
-
|
|
(116)
|
-
|
|||
Income tax expense (recovery)
|
24
|
|
5,145
|
12,006
|
|
4,700
|
12,879
|
||
Loss (gain) on fair value adjustment of share purchase warrants held
|
10
|
|
143
|
204
|
|
248
|
1,101
|
||
Investment income recognized in net earnings
|
|
(10,537)
|
(1,953)
|
|
(26,564)
|
(2,696)
|
|||
Other
|
|
163
|
(349)
|
|
662
|
(440)
|
|||
Change in non-cash working capital
|
23
|
|
(489)
|
|
4,728
|
|
(876)
|
|
(3,825)
|
Cash generated from operations before income taxes and interest
|
$
|
162,323
|
$
|
152,697
|
$
|
489,727
|
$
|
569,236
|
|
Income taxes paid
|
|
(912)
|
(29)
|
|
(5,244)
|
(141)
|
|||
Interest paid
|
|
(79)
|
(22)
|
|
(112)
|
(73)
|
|||
Interest received
|
|
|
9,771
|
|
1,851
|
|
24,213
|
|
2,374
|
Cash generated from operating activities
|
$
|
171,103
|
$
|
154,497
|
$
|
508,584
|
$
|
571,396
|
|
Financing activities
|
|
|
|
|
|||||
Credit facility extension fees
|
18.1
|
$
|
(13)
|
$
|
(1,205)
|
$
|
(859)
|
$
|
(1,207)
|
Share purchase options exercised
|
20.2
|
|
93
|
-
|
|
10,603
|
7,549
|
||
Lease payments
|
18.2
|
|
(169)
|
(201)
|
|
(548)
|
(603)
|
||
Dividends paid
|
19.2, 23
|
|
(66,994)
|
|
(59,487)
|
|
(198,085)
|
|
(176,604)
|
Cash used for financing activities
|
$
|
(67,083)
|
$
|
(60,893)
|
$
|
(188,889)
|
$
|
(170,865)
|
|
Investing activities
|
|
|
|
|
|||||
Mineral stream interests
|
13
|
$
|
(90,710)
|
$
|
(46,675)
|
$
|
(210,944)
|
$
|
(107,476)
|
Early deposit mineral stream interests
|
15
|
|
(250)
|
(750)
|
|
(1,000)
|
(1,500)
|
||
Mineral royalty interest
|
|
(3,602)
|
-
|
|
(3,602)
|
-
|
|||
Net proceeds on disposal of mineral stream interests
|
13
|
|
-
|
(139)
|
|
46,400
|
(139)
|
||
Acquisition of long-term investments
|
16, 23
|
|
(5,006)
|
-
|
|
(13,181)
|
(22,768)
|
||
Proceeds on disposal of long-term investments
|
16, 23
|
|
-
|
-
|
|
202
|
-
|
||
Dividends received
|
|
700
|
102
|
|
1,617
|
322
|
|||
Other
|
|
|
(35)
|
|
(69)
|
|
(1,804)
|
|
(194)
|
Cash used for investing activities
|
$
|
(98,903)
|
$
|
(47,531)
|
$
|
(182,312)
|
$
|
(131,755)
|
|
Effect of exchange rate changes on cash and cash equivalents
|
$
|
(35)
|
$
|
(81)
|
$
|
447
|
$
|
(203)
|
|
Increase in cash and cash equivalents
|
$
|
5,082
|
$
|
45,992
|
$
|
137,830
|
$
|
268,573
|
|
Cash and cash equivalents, beginning of period
|
|
828,837
|
|
448,626
|
|
696,089
|
|
226,045
|
|
Cash and cash equivalents, end of period
|
23
|
$
|
833,919
|
$
|
494,618
|
$
|
833,919
|
$
|
494,618
|
|
|
Reserves
|
|
|
|
|
|||||||||||
(US dollars in thousands - unaudited)
|
Number of Shares (000's)
|
Issued
Capital |
Share Purchase Warrants Reserve 2
|
Share Purchase Options Reserve
|
Restricted Share Units Reserve
|
LTI 1 Revaluation Reserve
(Net of Tax) |
Total
Reserves |
Retained Earnings
|
Total
|
||||||||
At January 1, 2022
|
450,864
|
$
|
3,698,998
|
$
|
83,077
|
$
|
22,349
|
$
|
7,196
|
$
|
(65,586)
|
$
|
47,036
|
$
|
2,504,083
|
$
|
6,250,117
|
Total comprehensive income
|
|
|
|
|
|
|
|
|
|
||||||||
Net earnings
|
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
306,541
|
$
|
306,541
|
OCI 1
|
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(33,628)
|
|
(33,628)
|
|
-
|
|
(33,628)
|
Total comprehensive income
|
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
(33,628)
|
$
|
(33,628)
|
$
|
306,541
|
$
|
272,913
|
Income tax recovery (expense)
|
|
$
|
500
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
500
|
SBC 1 expense
|
|
|
-
|
-
|
1,145
|
1,694
|
-
|
|
2,839
|
|
-
|
|
2,839
|
||||
Options 1 exercised
|
330
|
|
8,989
|
-
|
(1,440)
|
-
|
-
|
|
(1,440)
|
|
-
|
|
7,549
|
||||
RSUs 1 released
|
88
|
|
2,534
|
-
|
-
|
(2,534)
|
-
|
|
(2,534)
|
|
-
|
|
-
|
||||
Dividends (Note 19.2)
|
410
|
|
18,279
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(135,396)
|
|
(117,117)
|
At June 30, 2022
|
451,692
|
$
|
3,729,300
|
$
|
83,077
|
$
|
22,054
|
$
|
6,356
|
$
|
(99,214)
|
$
|
12,273
|
$
|
2,675,228
|
$
|
6,416,801
|
Total comprehensive income
|
|
|
|
|
|
|
|
|
|
||||||||
Net earnings
|
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
196,460
|
$
|
196,460
|
OCI 1
|
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(10,173)
|
|
(10,173)
|
|
-
|
|
(10,173)
|
Total comprehensive income
|
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
(10,173)
|
$
|
(10,173)
|
$
|
196,460
|
$
|
186,287
|
Income tax recovery (expense)
|
|
$
|
3,644
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
3,644
|
SBC 1 expense
|
|
|
-
|
-
|
642
|
925
|
-
|
|
1,567
|
|
-
|
|
1,567
|
||||
Dividends (Note 19.2)
|
271
|
|
8,267
|
-
|
-
|
-
|
-
|
|
-
|
|
(67,754)
|
|
(59,487)
|
||||
Realized loss on disposal of LTIs ¹ (Note 20.4)
|
|
|
-
|
|
-
|
|
-
|
|
-
|
|
3,797
|
|
3,797
|
|
(3,797)
|
|
-
|
At September 30, 2022
|
451,963
|
$
|
3,741,211
|
$
|
83,077
|
$
|
22,696
|
$
|
7,281
|
$
|
(105,590)
|
$
|
7,464
|
$
|
2,800,137
|
$
|
6,548,812
|
Total comprehensive income
|
|
|
|
|
|
|
|
|
|
||||||||
Net earnings
|
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
166,125
|
$
|
166,125
|
OCI 1
|
|
|
-
|
|
-
|
|
-
|
|
-
|
|
58,340
|
|
58,340
|
|
-
|
|
58,340
|
Total comprehensive income
|
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
58,340
|
$
|
58,340
|
$
|
166,125
|
$
|
224,465
|
SBC 1 expense
|
|
$
|
-
|
$ |
-
|
$ |
578
|
$ |
861
|
$ |
-
|
$
|
1,439
|
$
|
-
|
$
|
1,439
|
Options 1 exercised
|
163
|
|
4,148
|
-
|
(696)
|
-
|
-
|
|
(696)
|
|
-
|
|
3,452
|
||||
Dividends (Note 19.2)
|
193
|
|
7,303
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(67,796)
|
|
(60,493)
|
At December 31, 2022
|
452,319
|
$
|
3,752,662
|
$
|
83,077
|
$
|
22,578
|
$
|
8,142
|
$
|
(47,250)
|
$
|
66,547
|
$
|
2,898,466
|
$
|
6,717,675
|
Total comprehensive income
|
|
|
|
|
|
|
|
|
|
||||||||
Net earnings
|
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
252,839
|
$
|
252,839
|
OCI 1
|
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(6,339)
|
|
(6,339)
|
|
-
|
|
(6,339)
|
Total comprehensive income
|
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
(6,339)
|
$
|
(6,339)
|
$
|
252,839
|
$
|
246,500
|
SBC 1 expense
|
|
$
|
-
|
$
|
-
|
$
|
1,355
|
$
|
2,046
|
$
|
-
|
$
|
3,401
|
$
|
-
|
$
|
3,401
|
Options 1 exercised
|
431
|
|
11,841
|
-
|
(1,914)
|
-
|
-
|
|
(1,914)
|
|
-
|
|
9,927
|
||||
RSUs 1 released
|
119
|
|
3,966
|
-
|
-
|
(3,966)
|
-
|
|
(3,966)
|
|
-
|
|
-
|
||||
Warrant expiration
|
|
|
-
|
(83,077)
|
-
|
-
|
-
|
|
(83,077)
|
|
83,077
|
|
-
|
||||
Dividends (Note 19.2)
|
100
|
|
4,758
|
-
|
-
|
-
|
-
|
|
-
|
|
(135,848)
|
|
(131,090)
|
||||
Realized gain on disposal of LTIs ¹ (Note 20.4)
|
|
|
-
|
-
|
-
|
-
|
(841)
|
|
(841)
|
|
841
|
|
-
|
||||
At June 30, 2023
|
452,969
|
$
|
3,773,227
|
$
|
-
|
$
|
22,019
|
$
|
6,222
|
$
|
(54,430)
|
$
|
(26,189)
|
$
|
3,099,375
|
$
|
6,846,413
|
Total comprehensive income
|
|
|
|
|
|
|
|
|
|
||||||||
Net earnings
|
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
116,371
|
$
|
116,371
|
OCI 1
|
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(54,389)
|
|
(54,389)
|
|
-
|
|
(54,389)
|
Total comprehensive income
|
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
(54,389)
|
$
|
(54,389)
|
$
|
116,371
|
$
|
61,982
|
SBC 1 expense
|
|
$
|
-
|
$
|
-
|
$
|
735
|
$
|
997
|
$
|
-
|
$
|
1,732
|
$
|
-
|
$
|
1,732
|
Options 1 exercised
|
5
|
|
154
|
-
|
(26)
|
-
|
-
|
|
(26)
|
|
-
|
|
128
|
||||
Dividends (Note 19.2)
|
22
|
|
952
|
-
|
-
|
-
|
-
|
|
-
|
|
(67,946)
|
|
(66,994)
|
||||
At September 30, 2023
|
452,996
|
$
|
3,774,333
|
$
|
-
|
$
|
22,728
|
$
|
7,219
|
$
|
(108,819)
|
$
|
(78,872)
|
$
|
3,147,800
|
$
|
6,843,261
|
1. |
Description of Business and Nature of Operations
|
2. |
Basis of Presentation and Statement of Compliance
|
3. |
Material Accounting Policy Information
|
3.1. |
New Accounting Standards Effective in 2023
|
|
• |
a deferred tax asset to the extent that it is probable that taxable profit will be available against which the deductible temporary difference can be utilized and a deferred tax liability for all deductible and
taxable temporary differences associated with right-of-use assets and lease liabilities; and
|
|
• |
the cumulative effect of initially applying the amendments as an adjustment to the opening balance of retained earnings (or other component of equity, as appropriate) at that date.
|
3.2. |
Future Changes to Accounting Policies
|
4. |
Key Sources of Estimation Uncertainty and Critical Accounting Judgments
|
5. |
Financial Instruments
|
5.1. |
Capital Risk Management
|
5.2. |
Categories of Financial Assets and Liabilities
|
Note
|
September 30
|
December 31
|
||||
(in thousands)
|
2023
|
2022
|
||||
Financial assets
|
|
|
||||
Financial assets mandatorily measured at FVTNE 1
|
|
|
||||
Cash and cash equivalents
|
23
|
$
|
833,919
|
$
|
696,089
|
|
Trade receivables from provisional concentrate sales, net of fair value adjustment
|
6, 11
|
|
6,502
|
2,516
|
||
Long-term investments - warrants held
|
|
315
|
560
|
|||
Investments in equity instruments designated at FVTOCI 1
|
|
|
||||
Long-term investments - common shares held
|
16
|
|
200,578
|
255,535
|
||
Financial assets measured at amortized cost
|
|
|
||||
Trade receivables from sales of cobalt
|
11
|
|
3,018
|
6,642
|
||
Refundable deposit - 777 PMPA
|
26
|
|
8,555
|
8,073
|
||
Other accounts receivable
|
|
972
|
1,029
|
|||
Total financial assets
|
|
$
|
1,053,859
|
$
|
970,444
|
|
Financial liabilities
|
|
|
||||
Financial liabilities at amortized cost
|
|
|
||||
Accounts payable and accrued liabilities
|
$
|
11,999
|
$
|
12,570
|
||
Pension liability
|
|
4,196
|
3,524
|
|||
Total financial liabilities
|
|
$
|
16,195
|
$
|
16,094
|
1) |
FVTNE refers to Fair Value Through Net Earnings, FVTOCI refers to Fair Value Through Other Comprehensive Income
|
5.3. |
Credit Risk
|
September 30
|
December 31
|
||||
(in thousands)
|
Note
|
2023
|
2022
|
||
Cash and cash equivalents
|
23
|
$
|
833,919
|
$
|
696,089
|
Trade receivables from provisional concentrate sales, net of fair value adjustment
|
11
|
|
6,502
|
2,516
|
|
Trade receivables from sales of cobalt
|
11
|
|
3,018
|
6,642
|
|
Refundable Deposit - 777 PMPA
|
26
|
|
8,555
|
8,073
|
|
Other accounts receivables
|
11
|
|
972
|
1,029
|
|
Maximum exposure to credit risk related to financial assets
|
|
$
|
852,966
|
$
|
714,349
|
5.4. |
Liquidity Risk
|
As at September 30, 2023
|
||||||||||||||
(in thousands)
|
2023
|
2024 - 2025
|
2026 - 2027
|
After 2027
|
|
Total
|
||||||||
Accounts payable and accrued liabilities
|
$
|
11,999
|
|
$ |
-
|
$
|
-
|
$
|
-
|
|
$
|
11,999
|
||
Performance share units 1
|
-
|
14,480
|
1,146
|
-
|
|
|
15,626
|
|||||||
Total
|
$
|
11,999
|
|
$
|
14,480
|
|
$
|
1,146
|
|
$
|
-
|
|
$
|
27,625
|
1) |
See Note 21.1 for estimated value per PSU at maturity and anticipated performance factor at maturity.
|
5.5. |
Currency Risk
|
|
September 30
|
|
December 31
|
|||
(in thousands)
|
|
2023
|
|
2022
|
||
Monetary assets
|
|
|
|
|
||
Cash and cash equivalents
|
|
$
|
1,554
|
|
$
|
311
|
Accounts receivable
|
|
|
162
|
|
739
|
|
Long-term investments - common shares held
|
|
|
63,805
|
|
60,443
|
|
Long-term investments - warrants held
|
|
|
316
|
|
560
|
|
Other long-term assets
|
|
|
3,314
|
|
|
3,308
|
Total Canadian dollar denominated monetary assets
|
|
$
|
69,151
|
|
$
|
65,361
|
Monetary liabilities
|
|
|
|
|
||
Accounts payable and accrued liabilities
|
|
$
|
7,670
|
|
$
|
8,180
|
Performance share units
|
|
|
12,485
|
|
16,971
|
|
Lease liability
|
|
|
5,826
|
|
1,315
|
|
Pension liability
|
|
|
4,197
|
|
|
3,524
|
Total Canadian dollar denominated monetary liabilities
|
|
$
|
30,178
|
|
$
|
29,990
|
As at September 30, 2023
|
||||
Change in Canadian Dollar
|
||||
(in thousands)
|
10%
Increase |
10%
Decrease |
||
Increase (decrease) in net earnings
|
$
|
(2,483)
|
$
|
2,483
|
Increase (decrease) in other comprehensive income
|
|
6,381
|
|
(6,381)
|
Increase (decrease) in total comprehensive income
|
$
|
3,898
|
$
|
(3,898)
|
As at December 31, 2022
|
||||
Change in Canadian Dollar
|
||||
(in thousands)
|
10%
Increase |
10%
Decrease |
||
Increase (decrease) in net earnings
|
$
|
(2,507)
|
$
|
2,507
|
Increase (decrease) in other comprehensive income
|
|
6,044
|
|
(6,044)
|
Increase (decrease) in total comprehensive income
|
$
|
3,537
|
$
|
(3,537)
|
5.6. |
Interest Rate Risk
|
5.7. |
Other Price Risk
|
5.8. |
Fair Value Estimation
|
September 30, 2023
|
|||||||||
(in thousands)
|
Note
|
Total
|
Level 1
|
Level 2
|
Level 3
|
||||
Cash and cash equivalents
|
23
|
$
|
833,919
|
$
|
833,919
|
$
|
-
|
$
|
-
|
Trade receivables from provisional concentrate sales, net of fair value adjustment
|
11
|
|
6,502
|
|
-
|
|
6,502
|
|
-
|
Long-term investments - common shares held
|
16
|
|
200,578
|
|
200,578
|
|
-
|
|
-
|
Long-term investments - warrants held
|
16
|
|
315
|
|
-
|
|
315
|
|
-
|
|
|
$
|
1,041,314
|
$
|
1,034,497
|
$
|
6,817
|
$
|
-
|
December 31, 2022
|
|||||||||
(in thousands)
|
Note
|
Total
|
Level 1
|
Level 2
|
Level 3
|
||||
Cash and cash equivalents
|
23
|
$
|
696,089
|
$
|
696,089
|
$
|
-
|
$
|
-
|
Trade receivables from provisional concentrate sales, net of fair value adjustment
|
11
|
2,516
|
-
|
2,516
|
-
|
||||
Long-term investments - common shares held
|
16
|
255,535
|
255,535
|
-
|
-
|
||||
Long-term investments - warrants held
|
16
|
560
|
-
|
560
|
-
|
||||
|
|
$
|
954,700
|
$
|
951,624
|
$
|
3,076
|
$
|
-
|
6. |
Revenue
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||||||||||
(in thousands)
|
2023
|
2022
|
2023
|
2022
|
||||||||
Sales
|
|
|
|
|
|
|
||||||
Gold credit sales
|
$
|
144,707
|
65%
|
$
|
107,128
|
49%
|
$
|
413,414
|
59%
|
$
|
410,646
|
50%
|
Silver
|
|
|
|
|
|
|
||||||
Silver credit sales
|
$
|
44,404
|
20%
|
$
|
88,143
|
40%
|
$
|
200,409
|
28%
|
$
|
312,056
|
38%
|
Concentrate sales
|
|
25,968
|
12%
|
|
12,127
|
6%
|
|
62,720
|
9%
|
|
52,773
|
6%
|
Total silver sales
|
$
|
70,372
|
32%
|
$
|
100,270
|
46%
|
$
|
263,129
|
37%
|
$
|
364,829
|
44%
|
Palladium credit sales
|
$
|
5,307
|
2%
|
$
|
8,838
|
4%
|
$
|
14,922
|
2%
|
$
|
25,574
|
3%
|
Cobalt sales
|
$
|
2,751
|
1%
|
$
|
2,600
|
1%
|
$
|
11,108
|
2%
|
$
|
27,953
|
3%
|
Total sales revenue
|
$
|
223,137
|
100%
|
$
|
218,836
|
100%
|
$
|
702,573
|
100%
|
$
|
829,002
|
100%
|
7. |
General and Administrative
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(in thousands)
|
|
2023
|
2022
|
2023
|
2022
|
||||
Corporate
|
|
|
|
|
|||||
Salaries and benefits
|
$
|
3,443
|
$
|
3,551
|
$
|
10,897
|
$
|
11,700
|
|
Depreciation
|
|
224
|
289
|
|
780
|
865
|
|||
Professional fees
|
|
430
|
276
|
|
1,853
|
1,098
|
|||
Business travel
|
|
257
|
221
|
|
909
|
686
|
|||
Director fees
|
|
238
|
251
|
|
820
|
852
|
|||
Business taxes
|
|
36
|
40
|
|
749
|
748
|
|||
Audit and regulatory
|
|
502
|
623
|
|
2,671
|
2,340
|
|||
Insurance
|
|
493
|
550
|
|
1,550
|
1,585
|
|||
Other
|
|
|
1,075
|
|
866
|
|
3,091
|
|
2,648
|
General and administrative - corporate
|
|
$
|
6,698
|
$
|
6,667
|
$
|
23,320
|
$
|
22,522
|
Subsidiaries
|
|
|
|
|
|||||
Salaries and benefits
|
$
|
1,148
|
$
|
1,078
|
$
|
3,465
|
$
|
3,335
|
|
Depreciation
|
|
125
|
112
|
|
343
|
327
|
|||
Professional fees
|
|
140
|
158
|
|
416
|
421
|
|||
Business travel
|
|
76
|
55
|
|
223
|
124
|
|||
Director fees
|
|
52
|
50
|
|
155
|
150
|
|||
Business taxes
|
|
57
|
70
|
|
168
|
183
|
|||
Insurance
|
|
12
|
10
|
|
39
|
34
|
|||
Other
|
|
|
298
|
|
160
|
|
793
|
|
352
|
General and administrative - subsidiaries
|
|
$
|
1,908
|
$
|
1,693
|
$
|
5,602
|
$
|
4,926
|
Consolidated general and administrative
|
|
$
|
8,606
|
$
|
8,360
|
$
|
28,922
|
$
|
27,448
|
8. |
Share Based Compensation
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(in thousands)
|
Note
|
2023
|
2022
|
2023
|
2022
|
||||
Equity settled share based compensation 1
|
|
|
|
|
|||||
Stock options
|
20.2
|
$
|
735
|
$
|
642
|
$
|
2,090
|
$
|
1,788
|
RSUs
|
20.3
|
|
997
|
925
|
|
3,043
|
2,619
|
||
Cash settled share based compensation
|
|
|
|
|
|||||
PSUs
|
21.1
|
$
|
2,604
|
$
|
(1,490)
|
$
|
11,084
|
$
|
7,179
|
Total share based compensation
|
|
$
|
4,336
|
$
|
77
|
$
|
16,217
|
$
|
11,586
|
1) |
Equity settled stock based compensation is a non-cash expense.
|
9. |
Donations and Community Investments
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(in thousands)
|
|
2023
|
2022
|
2023
|
2022
|
||||
Local donations and community investments 1
|
$
|
995
|
$
|
438
|
$
|
1,938
|
$
|
1,345
|
|
Partner donations and community investments 2
|
|
741
|
968
|
|
3,116
|
1,869
|
|||
COVID-19 and community support and response fund 3
|
|
-
|
-
|
|
-
|
165
|
|||
Total donations and community investments
|
|
$
|
1,736
|
$
|
1,406
|
$
|
5,054
|
$
|
3,379
|
1) |
The Local Community Investment Program supports organizations in Vancouver and the Cayman Islands, where Wheaton’s offices are located.
|
2) |
The Partner Community Investment Program supports the communities influenced by Mining Partners' operations.
|
3) |
Committed funding under this program has been fully disbursed.
|
10. |
Other (Income) Expense
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(in thousands)
|
Note
|
2023
|
2022
|
2023
|
2022
|
||||
Interest income
|
$
|
(9,837)
|
$
|
(1,851)
|
$
|
(24,948)
|
$
|
(2,374)
|
|
Dividend income
|
|
(700)
|
(102)
|
|
(1,616)
|
(322)
|
|||
Foreign exchange loss
|
|
(313)
|
(1,049)
|
|
(386)
|
(1,069)
|
|||
Net (gain) loss arising on financial assets mandatorily measured at FVTPL ¹
|
|
|
|
|
|||||
(Gain) loss on fair value adjustment of share purchase warrants held
|
|
143
|
204
|
|
248
|
1,101
|
|||
Other
|
|
|
-
|
|
(1)
|
|
(259)
|
|
(784)
|
Total other (income) expense
|
|
$
|
(10,707)
|
$
|
(2,799)
|
$
|
(26,961)
|
$
|
(3,448)
|
1) |
FVTPL refers to Fair Value Through Profit or Loss
|
11. |
Accounts Receivable
|
September 30
|
December 31
|
||||
(in thousands)
|
Note
|
2023
|
2022
|
||
Trade receivables from provisional concentrate sales, net of fair value adjustment
|
6
|
$
|
6,502
|
$
|
2,516
|
Trade receivables from sales of cobalt
|
6
|
|
3,018
|
6,642
|
|
Other accounts receivable
|
|
|
972
|
|
1,029
|
Total accounts receivable
|
|
$
|
10,492
|
$
|
10,187
|
12. |
Cobalt Inventory
|
September 30
|
December 31
|
||||
(in thousands)
|
|
2023
|
2022
|
||
Cobalt Inventory, carried at:
|
|
|
|||
Cost
|
$
|
2,301
|
$
|
-
|
|
Net realizable value
|
|
|
128
|
|
10,530
|
Total cobalt inventory
|
|
$
|
2,429
|
$
|
10,530
|
13. |
Mineral Stream Interests
|
Nine Months Ended September 30, 2023
|
||||||||||||||||
Cost
|
Accumulated Depletion & Impairment 1
|
Carrying
Amount Sep 30, 2023 |
||||||||||||||
(in thousands)
|
Balance
Jan 1, 2023 |
Additions
|
Disposal
|
Balance
Sep 30, 2023 |
Balance
Jan 1, 2023 |
Depletion
|
Balance
Sep 30, 2023 |
|||||||||
Gold interests
|
|
|
|
|
|
|
|
|||||||||
Salobo
|
$
|
3,059,876
|
$
|
-
|
$
|
-
|
$
|
3,059,876
|
$
|
(676,614)
|
$
|
(41,777)
|
$
|
(718,391)
|
$
|
2,341,485
|
Sudbury 2
|
623,864
|
-
|
-
|
|
623,864
|
|
(340,448)
|
(15,192)
|
|
(355,640)
|
|
268,224
|
||||
Constancia
|
140,058
|
-
|
-
|
|
140,058
|
|
(44,475)
|
(9,028)
|
|
(53,503)
|
|
86,555
|
||||
San Dimas
|
220,429
|
-
|
-
|
|
220,429
|
|
(64,564)
|
(8,227)
|
|
(72,791)
|
|
147,638
|
||||
Stillwater 3
|
239,352
|
-
|
-
|
|
239,352
|
|
(23,500)
|
(3,202)
|
|
(26,702)
|
|
212,650
|
||||
Other 4
|
545,391
|
105,181
|
(41,373)
|
|
609,199
|
|
(51,248)
|
(916)
|
|
(52,164)
|
|
557,035
|
||||
|
$
|
4,828,970
|
$
|
105,181
|
$
|
(41,373)
|
$
|
4,892,778
|
$
|
(1,200,849)
|
$
|
(78,342)
|
$
|
(1,279,191)
|
$
|
3,613,587
|
Silver interests
|
|
|
|
|
|
|
|
|||||||||
Peñasquito
|
$
|
524,626
|
$
|
-
|
$
|
-
|
|
524,626
|
$
|
(230,952)
|
$
|
(15,646)
|
$
|
(246,598)
|
$
|
278,028
|
Antamina
|
900,343
|
-
|
-
|
|
900,343
|
|
(354,975)
|
(18,141)
|
|
(373,116)
|
|
527,227
|
||||
Constancia
|
302,948
|
-
|
-
|
|
302,948
|
|
(110,001)
|
(9,211)
|
|
(119,212)
|
|
183,736
|
||||
Other 5
|
1,018,199
|
105,743
|
-
|
|
1,123,942
|
|
(565,103)
|
(9,198)
|
|
(574,301)
|
|
549,641
|
||||
|
$
|
2,746,116
|
$
|
105,743
|
$
|
-
|
$
|
2,851,859
|
$
|
(1,261,031)
|
$
|
(52,196)
|
$
|
(1,313,227)
|
$
|
1,538,632
|
Palladium interests
|
|
|
|
|
|
|
|
|||||||||
Stillwater 3
|
$
|
263,721
|
$
|
-
|
$
|
-
|
$
|
263,721
|
$
|
(36,909)
|
$
|
(4,658)
|
$
|
(41,567)
|
$
|
222,154
|
Platinum interests
|
|
|
|
|
|
|
|
|||||||||
Marathon
|
$
|
9,428
|
$
|
22
|
$
|
-
|
$
|
9,450
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,450
|
Cobalt interests
|
|
|
|
|
|
|
|
|||||||||
Voisey's Bay 6
|
$
|
393,422
|
$
|
-
|
$
|
-
|
$
|
393,422
|
$
|
(35,849)
|
$
|
(3,942)
|
$
|
(39,791)
|
$
|
353,631
|
|
$
|
8,241,657
|
$
|
210,946
|
$
|
(41,373)
|
$
|
8,411,230
|
$
|
(2,534,638)
|
$
|
(139,138)
|
$
|
(2,673,776)
|
$
|
5,737,454
|
1) |
Includes cumulative impairment charges to September 30, 2023 as follows: Pascua-Lama silver interest - $338 million; and Sudbury gold interest - $120 million.
|
2) |
Comprised of the Coleman, Copper Cliff, Garson, Stobie, Creighton, Totten and Victor gold interests.
|
3) |
Comprised of the Stillwater and East Boulder gold and palladium interests.
|
4) |
Comprised of the Minto, Copper World Complex, Marmato, Santo Domingo, Fenix, Blackwater, Marathon, Goose, Curipamba and Cangrejos gold interests. The additions to other gold interests includes: Blackwater - $30
million; Goose - $63 million; and Cangrejos - $12 million.
|
5) |
Comprised of the Los Filos, Zinkgruvan, Stratoni, Neves-Corvo, Minto, Aljustrel, Loma de La Plata, Pascua-Lama, Copper World Complex, Marmato, Cozamin, Blackwater and Curipamba silver interests. The additions to other
silver interests includes: Blackwater - $106 million.
|
6) |
When cobalt is delivered to the Company it is recorded as inventory until such time as it is sold and the cost of the cobalt is recorded as a cost of sale. Depletion in this table for the Voisey’s Bay cobalt interest
is inclusive of depletion relating to inventory.
|
Year Ended December 31, 2022
|
||||||||||||||||||||
Cost
|
Accumulated Depletion & Impairment 1
|
Carrying
Amount Dec 31, 2022 |
||||||||||||||||||
(in thousands)
|
Balance
Jan 1, 2022 |
Additions (Reductions)
|
Disposal
|
Balance
Dec 31, 2022 |
Balance
Jan 1, 2022 |
Depletion
|
Disposal
|
Impairment (Charge) Reversal
|
Balance
Dec 31, 2022 |
|||||||||||
Gold interests
|
|
|
|
|
|
|
|
|||||||||||||
Salobo
|
$
|
3,059,876
|
$
|
-
|
$
|
-
|
$
|
3,059,876
|
$
|
(621,937)
|
$
|
(54,677)
|
$
|
-
|
$
|
-
|
$
|
(676,614)
|
$
|
2,383,262
|
Sudbury 2
|
623,864
|
-
|
-
|
|
623,864
|
|
(316,695)
|
(23,753)
|
-
|
-
|
|
(340,448)
|
|
283,416
|
||||||
Constancia
|
140,058
|
-
|
-
|
|
140,058
|
|
(36,269)
|
(8,206)
|
-
|
-
|
|
(44,475)
|
|
95,583
|
||||||
San Dimas
|
220,429
|
-
|
-
|
|
220,429
|
|
(53,706)
|
(10,858)
|
-
|
-
|
|
(64,564)
|
|
155,865
|
||||||
Stillwater 3
|
239,352
|
-
|
-
|
|
239,352
|
|
(19,567)
|
(3,933)
|
-
|
-
|
|
(23,500)
|
|
215,852
|
||||||
Other 4
|
761,334
|
138,515
|
(354,458)
|
|
545,391
|
|
(396,542)
|
(1,252)
|
348,265
|
(1,719)
|
|
(51,248)
|
|
494,143
|
||||||
|
$
|
5,044,913
|
$
|
138,515
|
$
|
(354,458)
|
$
|
4,828,970
|
$
|
(1,444,716)
|
$
|
(102,679)
|
$
|
348,265
|
$
|
(1,719)
|
$
|
(1,200,849)
|
$
|
3,628,121
|
Silver interests
|
|
|
|
|
|
|
|
|||||||||||||
Peñasquito
|
$
|
524,626
|
$
|
-
|
$
|
-
|
$
|
524,626
|
$
|
(202,608)
|
$
|
(28,344)
|
$
|
-
|
$
|
-
|
$
|
(230,952)
|
$
|
293,674
|
Antamina
|
900,343
|
-
|
-
|
|
900,343
|
|
(320,291)
|
(34,684)
|
-
|
-
|
|
(354,975)
|
|
545,368
|
||||||
Constancia
|
302,948
|
-
|
-
|
|
302,948
|
|
(97,064)
|
(12,937)
|
-
|
-
|
|
(110,001)
|
|
192,947
|
||||||
Other 5
|
1,438,974
|
4,519
|
(425,294)
|
|
1,018,199
|
|
(845,779)
|
(36,640)
|
306,986
|
10,330
|
|
(565,103)
|
|
453,096
|
||||||
|
$
|
3,166,891
|
$
|
4,519
|
$
|
(425,294)
|
$
|
2,746,116
|
$
|
(1,465,742)
|
$
|
(112,605)
|
$
|
306,986
|
$
|
10,330
|
$
|
(1,261,031)
|
$
|
1,485,085
|
Palladium interests
|
|
|
|
|
|
|
|
|||||||||||||
Stillwater 3
|
$
|
263,721
|
$
|
-
|
$
|
-
|
$
|
263,721
|
$
|
(30,891)
|
$
|
(6,018)
|
$
|
-
|
$
|
-
|
$
|
(36,909)
|
$
|
226,812
|
Platinum interests
|
|
|
|
|
|
|
|
|||||||||||||
Marathon
|
$
|
-
|
$
|
9,428
|
$
|
-
|
$
|
9,428
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,428
|
Cobalt interests
|
|
|
|
|
|
|
|
|||||||||||||
Voisey's Bay 6
|
$
|
393,422
|
$
|
-
|
$
|
-
|
$
|
393,422
|
$
|
(21,801)
|
$
|
(14,048)
|
$
|
-
|
$
|
-
|
$
|
(35,849)
|
$
|
357,573
|
|
$
|
8,868,947
|
$
|
152,462
|
$
|
(779,752)
|
$
|
8,241,657
|
$
|
(2,963,150)
|
$
|
(235,350)
|
$
|
655,251
|
$
|
8,611
|
$
|
(2,534,638)
|
$
|
5,707,019
|
1) |
Includes cumulative impairment charges to December 31, 2022 as follows: Pascua-Lama silver interest - $338 million; and Sudbury gold interest - $120 million.
|
2) |
Comprised of the Coleman, Copper Cliff, Garson, Stobie, Creighton, Totten and Victor gold interests.
|
3) |
Comprised of the Stillwater and East Boulder gold and palladium interests.
|
4) |
Comprised of the Minto, Copper World Complex, 777, Marmato, Santo Domingo, Fenix, Blackwater, Marathon, Goose and Curipamba gold interests.As the 777 mine has been permanently closed, the 777 PMPA has been reflected
as a disposition, with the carrying value transferred to a long-term receivable. The additions to other gold interests includes: Marmato - $18 million; Fenix - $25 million; Marathon - $22 million; Curipamba - $10 million; Goose - $63 million.
|
5) |
Comprised of the Los Filos, Zinkgruvan, Yauliyacu, Stratoni, Keno Hill, Neves-Corvo, Minto, Aljustrel, Loma de La Plata, Pascua-Lama, Copper World Complex, 777, Marmato, Cozamin, Blackwater and Curipamba silver
interests. The Keno Hill PMPA and the Yauliyacu PMPA were terminated on September 7, 2022 and December 14, 2022, respectively. As the 777 mine has been permanently closed, the 777 PMPA has been reflected as a disposition, with the carrying
value transferred to a long-term receivable. The additions to other silver interests includes: Marmato - $1 million; and Curipamba - $3 million.
|
6) |
When cobalt is delivered to the Company it is recorded as inventory until such time as it is sold and the cost of the cobalt is recorded as a cost of sale. Depletion in this table for the Voisey’s Bay cobalt interest
is inclusive of depletion relating to inventory.
|
September 30, 2023
|
December 31, 2022
|
|||||||||||
(in thousands)
|
Depletable
|
Non-Depletable
|
Total
|
Depletable
|
Non-Depletable
|
Total
|
||||||
Gold interests
|
|
|
|
|
|
|
||||||
Salobo
|
$
|
1,963,785
|
$
|
377,700
|
$
|
2,341,485
|
$
|
1,990,789
|
$
|
392,473
|
$
|
2,383,262
|
Sudbury 1
|
|
218,249
|
|
49,975
|
|
268,224
|
239,002
|
44,414
|
283,416
|
|||
Constancia
|
|
81,048
|
|
5,507
|
|
86,555
|
89,097
|
6,486
|
95,583
|
|||
San Dimas
|
|
43,232
|
|
104,406
|
|
147,638
|
51,459
|
104,406
|
155,865
|
|||
Stillwater 2
|
|
187,849
|
|
24,801
|
|
212,650
|
191,051
|
24,801
|
215,852
|
|||
Other 3
|
|
18,332
|
|
538,703
|
|
557,035
|
|
19,248
|
|
474,895
|
|
494,143
|
|
$
|
2,512,495
|
$
|
1,101,092
|
$
|
3,613,587
|
$
|
2,580,646
|
$
|
1,047,475
|
$
|
3,628,121
|
Silver interests
|
|
|
|
|
|
|
||||||
Peñasquito
|
$
|
204,324
|
$
|
73,704
|
$
|
278,028
|
$
|
219,969
|
$
|
73,705
|
$
|
293,674
|
Antamina
|
|
180,209
|
|
347,018
|
|
527,227
|
198,294
|
347,074
|
545,368
|
|||
Constancia
|
|
173,681
|
|
10,055
|
|
183,736
|
182,171
|
10,776
|
192,947
|
|||
Other 4
|
|
133,612
|
|
416,029
|
|
549,641
|
|
139,424
|
|
313,672
|
|
453,096
|
|
$
|
691,826
|
$
|
846,806
|
$
|
1,538,632
|
$
|
739,858
|
$
|
745,227
|
$
|
1,485,085
|
Palladium interests
|
|
|
|
|
|
|
||||||
Stillwater 2
|
$
|
213,446
|
$
|
8,708
|
$
|
222,154
|
$
|
218,104
|
$
|
8,708
|
$
|
226,812
|
Platinum interests
|
|
|
|
|
|
|
||||||
Marathon
|
$
|
-
|
$
|
9,450
|
$
|
9,450
|
$
|
-
|
$
|
9,428
|
$
|
9,428
|
Cobalt interests
|
|
|
|
|
|
|
||||||
Voisey's Bay
|
$
|
324,269
|
$
|
29,362
|
$
|
353,631
|
$
|
316,749
|
$
|
40,824
|
$
|
357,573
|
|
$
|
3,742,036
|
$
|
1,995,418
|
$
|
5,737,454
|
$
|
3,855,357
|
$
|
1,851,662
|
$
|
5,707,019
|
1) |
Comprised of the Coleman, Copper Cliff, Garson, Stobie, Creighton, Totten and Victor gold interests.
|
2) |
Comprised of the Stillwater and East Boulder gold and palladium interests.
|
3) |
Comprised of the Minto, Copper World Complex, Marmato, Santo Domingo, Fenix, Blackwater, Marathon, Goose, Curipamba and Cangrejos gold interests.
|
4) |
Comprised of the Los Filos, Zinkgruvan, Stratoni, Neves-Corvo, Minto, Aljustrel, Loma de La Plata, Pascua-Lama, Copper World Complex, Marmato, Cozamin, Blackwater and Curipamba silver interests.
|
(in thousands)
|
|
|
Proceeds received on 33% buyback of Goose
|
$
|
46,400
|
Less: 33% carrying value
|
|
(41,373)
|
Gain on partial disposal of the Goose PMPA
|
$
|
5,027
|
(in thousands)
|
|
|
Fair value of Hecla Mining Company shares received
|
$
|
140,596
|
Less: carrying value after impairment reversal, plus closing costs
|
|
(36,171)
|
Gain on disposal of the Keno Hill PMPA
|
$
|
104,425
|
14. |
Reversal of Impairment of Mineral Stream Interests
|
15. |
Early Deposit Mineral Stream Interests
|
|
Mine
Owner |
|
|
|
|
|
|
|
Attributable
Production to be Purchased |
|
|
Early Deposit Mineral Stream Interests
|
Location of
Mine |
Upfront
Consideration
Paid to Date 1
|
Upfront
Consideration to be Paid 1, 2 |
Total
Upfront Consideration¹ |
Gold
|
Silver
|
Term of
Agreement |
||||
Toroparu
|
Aris Mining
|
Guyana
|
$
|
15,500
|
$
|
138,000
|
$
|
153,500
|
10%
|
50%
|
Life of Mine
|
Cotabambas
|
Panoro
|
Peru
|
14,000
|
126,000
|
140,000
|
25% ³
|
100% ³
|
Life of Mine
|
|||
Kutcho
|
Kutcho
|
Canada
|
|
16,852
|
|
58,000
|
|
74,852
|
100%
|
100%
|
Life of Mine
|
|
|
|
$
|
46,352
|
$
|
322,000
|
$
|
368,352
|
|
|
|
1) |
Expressed in thousands of United States dollars; excludes closing costs and capitalized interest, where applicable.
|
2) |
Please refer to Note 27 for details of when the remaining upfront consideration to be paid becomes due.
|
3) |
Once 90 million silver equivalent ounces attributable to Wheaton have been produced, the attributable production will decrease to 16.67% of gold production and 66.67% of silver production for the life of mine.
|
16. |
Long-Term Equity Investments
|
September 30
|
December 31
|
|||
(in thousands)
|
2023
|
2022
|
||
Common shares held
|
$
|
200,578
|
$
|
255,535
|
Warrants held
|
|
315
|
|
560
|
Total long-term equity investments
|
$
|
200,893
|
$
|
256,095
|
Three Months Ended September 30, 2023
|
||||||||
(in thousands)
|
Shares
Owned (000's) |
% of
Outstanding
Shares Owned
|
Fair Value at
Jun 30, 2023 |
Cost of
Additions
|
Proceeds of
Disposition
|
Fair Value
Adjustment
Gains (Losses) 1
|
Fair Value at
Sep 30, 2023 |
Realized Gain on
Disposal
|
Bear Creek
|
13,264
|
7.74%
|
$ 5,510
|
$ -
|
$ -
|
$ (3,450)
|
$ 2,060
|
$ -
|
Kutcho
|
18,640
|
13.27%
|
2,605
|
-
|
-
|
(881)
|
1,724
|
-
|
Hecla
|
34,980
|
5.67%
|
180,148
|
-
|
-
|
(43,375)
|
136,773
|
-
|
B2Gold
|
12,025
|
0.93%
|
42,867
|
-
|
-
|
(8,181)
|
34,686
|
-
|
Other
|
|
|
23,946
|
5,006
|
-
|
(3,617)
|
25,335
|
-
|
Total
|
|
|
$ 255,076
|
$ 5,006
|
$ -
|
$ (59,504)
|
$ 200,578
|
$ -
|
1) |
Fair Value Gains (Losses) are reflected as a component of Other Comprehensive Income (“OCI”).
|
Three Months Ended September 30, 2022
|
||||||||
(in thousands)
|
Shares
Owned (000's) |
% of
Outstanding
Shares Owned
|
Fair Value at
Jun 30, 2022 |
Cost of
Additions
|
Proceeds of
Disposition 1
|
Fair Value
Adjustment
Gains (Losses) 2
|
Fair Value at
Sep 30, 2022 |
Realized Loss on Disposal
|
Bear Creek
|
13,264
|
8.65%
|
$ 8,235
|
$ -
|
$ -
|
$ (2,622)
|
$ 5,613
|
$ -
|
Sabina
|
31,095
|
5.67%
|
25,579
|
-
|
-
|
(852)
|
24,727
|
-
|
Kutcho
|
18,640
|
14.97%
|
4,340
|
-
|
-
|
(1,008)
|
3,332
|
-
|
Hecla
|
35,012
|
5.88%
|
-
|
141,450
|
-
|
(3,502)
|
137,948
|
-
|
Other
|
|
|
21,949
|
3,746
|
(4,601)
|
(2,734)
|
18,360
|
(3,797)
|
Total
|
|
|
$ 60,103
|
$ 145,196
|
$ (4,601)
|
$ (10,718)
|
$ 189,980
|
$ (3,797)
|
1) |
Disposals during 2022 were made as a result of the acquisition of the companies to which the shares relate by unrelated third party entities.
|
2) |
Fair Value Gains (Losses) are reflected as a component of OCI.
|
Nine Months Ended September 30, 2023
|
||||||||
(in thousands)
|
Shares
Owned (000's) |
% of
Outstanding
Shares Owned
|
Fair Value at
Dec 31, 2022 |
Cost of
Additions
|
Proceeds of
Disposition 1
|
Fair Value
Adjustment
Gains (Losses) 2
|
Fair Value at
Sep 30, 2023 |
Realized Gain (Loss) on Disposal
|
Bear Creek
|
13,264
|
7.74%
|
$ 7,443
|
$ -
|
$ -
|
$ (5,383)
|
$ 2,060
|
$ -
|
Sabina
|
-
|
0.00%
|
30,535
|
-
|
(48,832)
|
18,297
|
-
|
872
|
Kutcho
|
18,640
|
13.27%
|
3,097
|
-
|
-
|
(1,373)
|
1,724
|
-
|
Hecla
|
34,980
|
5.67%
|
194,668
|
-
|
(202)
|
(57,693)
|
136,773
|
73
|
B2Gold
|
12,025
|
0.93%
|
-
|
48,832
|
-
|
(14,146)
|
34,686
|
-
|
Other
|
|
|
19,792
|
13,205
|
(27)
|
(7,635)
|
25,335
|
(990)
|
Total
|
|
|
$ 255,535
|
$ 62,037
|
$ (49,061)
|
$ (67,933)
|
$ 200,578
|
$ (45)
|
1) |
The disposal of the Sabina shares was as a result of the acquisition of Sabina by B2Gold, while the partial disposition of the Hecla shares was made in order to capitalize on Hecla’s share price appreciation.
|
2) |
Fair Value Gains (Losses) are reflected as a component of OCI.
|
Nine Months Ended September 30, 2022
|
||||||||
(in thousands)
|
Shares
Owned (000's) |
% of
Outstanding
Shares Owned
|
Fair Value at
Dec 31, 2021 |
Cost of
Additions
|
Proceeds of
Disposition 1
|
Fair Value
Adjustment
Gains (Losses) 2
|
Fair Value at
Sep 30, 2022 |
Realized Loss on Disposal
|
Bear Creek
|
13,264
|
8.65%
|
$ 12,764
|
$ -
|
$ -
|
$ (7,151)
|
$ 5,613
|
$ -
|
Sabina
|
31,095
|
5.67%
|
13,381
|
19,833
|
-
|
(8,487)
|
24,727
|
-
|
Kutcho
|
18,640
|
14.97%
|
-
|
11,722
|
-
|
(8,390)
|
3,332
|
-
|
Hecla
|
35,012
|
5.88%
|
-
|
141,450
|
-
|
(3,502)
|
137,948
|
-
|
Other
|
|
|
33,796
|
6,138
|
(4,601)
|
(16,973)
|
18,360
|
(3,797)
|
Total
|
|
|
$ 59,941
|
$ 179,143
|
$ (4,601)
|
$ (44,503)
|
$ 189,980
|
$ (3,797)
|
1) |
Disposals during 2022 were made as a result of the acquisition of the companies to which the shares relate by unrelated third party entities.
|
2) |
Fair Value Gains (Losses) are reflected as a component of OCI.
|
17. |
Property, Plant and Equipment
|
September 30, 2023
|
||||||||
(in thousands)
|
Leasehold
Improvements
|
Right of Use
Assets - Property
|
Other
|
Total
|
||||
Cost
|
|
|
|
|
|
|
|
|
Balance - January 1, 2023
|
$
|
4,004
|
$
|
4,793
|
$
|
4,917
|
$
|
13,714
|
Additions
|
|
-
|
|
4,814
|
|
191
|
|
5,005
|
Disposals
|
|
-
|
|
-
|
|
(4)
|
|
(4)
|
Balance - September 30, 2023
|
$
|
4,004
|
$
|
9,607
|
$
|
5,104
|
$
|
18,715
|
Accumulated Depreciation
|
|
|
|
|
|
|
|
|
Balance - January 1, 2023
|
$
|
(3,168)
|
$
|
(2,965)
|
$
|
(3,371)
|
$
|
(9,504)
|
Disposals
|
|
-
|
|
-
|
|
4
|
|
4
|
Depreciation
|
|
(150)
|
|
(595)
|
|
(378)
|
|
(1,123)
|
Balance - September 30, 2023
|
$
|
(3,318)
|
$
|
(3,560)
|
$
|
(3,745)
|
$
|
(10,623)
|
Net book value - September 30, 2023
|
$
|
686
|
$
|
6,047
|
$
|
1,359
|
$
|
8,092
|
December 31, 2022
|
||||||||
(in thousands)
|
Leasehold
Improvements
|
Right of Use
Assets - Property
|
Other
|
Total
|
||||
Cost
|
|
|
|
|
|
|
|
|
Balance - January 1, 2022
|
$
|
4,382
|
$
|
4,793
|
$
|
4,856
|
$
|
14,031
|
Additions
|
|
-
|
|
-
|
|
289
|
|
289
|
Disposals
|
|
(378)
|
|
-
|
|
(228)
|
|
(606)
|
Balance - December 31, 2022
|
$
|
4,004
|
$
|
4,793
|
$
|
4,917
|
$
|
13,714
|
Accumulated Depreciation
|
|
|
|
|
|
|
|
|
Balance - January 1, 2022
|
$
|
(3,226)
|
$
|
(2,196)
|
$
|
(3,100)
|
$
|
(8,522)
|
Disposals
|
|
378
|
|
-
|
|
228
|
|
606
|
Depreciation
|
|
(320)
|
|
(769)
|
|
(499)
|
|
(1,588)
|
Balance - December 31, 2022
|
$
|
(3,168)
|
$
|
(2,965)
|
$
|
(3,371)
|
$
|
(9,504)
|
Net book value - December 31, 2022
|
$
|
836
|
$
|
1,828
|
$
|
1,546
|
$
|
4,210
|
18. |
Credit Facilities
|
18.1. |
Sustainability-Linked Revolving Credit Facility
|
18.2. |
Lease Liabilities
|
September 30
|
December 31
|
|||
(in thousands)
|
2023
|
2022
|
||
Current portion
|
$
|
590
|
$
|
818
|
Long-term portion
|
|
5,654
|
|
1,152
|
Total lease liabilities
|
$
|
6,244
|
$
|
1,970
|
September 30
|
||
(in thousands)
|
2023
|
|
Not later than 1 year
|
$
|
884
|
Later than 1 year and not later than 5 years
|
2,532
|
|
Later than 5 years
|
|
4,847
|
Total lease liabilities
|
$
|
8,263
|
18.3. |
Finance Costs
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(in thousands)
|
Note
|
2023
|
2022
|
2023
|
2022
|
||||
Costs related to undrawn credit facilities
|
18.1
|
$
|
1,286
|
$
|
1,311
|
$
|
3,876
|
$
|
3,950
|
Interest expense - lease liabilities
|
18.2
|
|
78
|
22
|
|
131
|
72
|
||
Letters of guarantee
|
5.3
|
|
43
|
|
65
|
|
131
|
|
187
|
Total finance costs
|
|
$
|
1,407
|
$
|
1,398
|
$
|
4,138
|
$
|
4,209
|
Note
|
September 30
|
December 31
|
|||
(in thousands)
|
2023
|
2022
|
|||
Issued capital
|
|
|
|||
Share capital issued and outstanding: 452,996,141 common shares (December 31, 2022: 452,318,526 common shares)
|
19.1
|
$
|
3,774,333
|
$
|
3,752,662
|
|
19.1. |
Shares Issued
|
|
Number
of Shares |
Weighted
Average Price |
At January 1, 2022
|
450,863,952
|
|
Share purchase options exercised 1
|
329,914
|
Cdn$28.87
|
Restricted share units released 1
|
87,838
|
Cdn$0.00
|
Dividend reinvestment plan 2
|
410,488
|
US$44.53
|
At June 30, 2022
|
451,692,192
|
|
Dividend reinvestment plan 2
|
270,768
|
US$30.53
|
At September 30, 2022
|
451,962,960
|
|
Share purchase options exercised 1
|
163,215
|
Cdn$28.55
|
Dividend reinvestment plan 2
|
192,351
|
US$37.97
|
At December 31, 2022
|
452,318,526
|
|
Share purchase options exercised 1
|
430,247
|
Cdn$31.52
|
Restricted share units released 1
|
119,827
|
Cdn$0.00
|
Dividend reinvestment plan 2
|
100,732
|
US$47.23
|
At June 30, 2023
|
452,969,332
|
|
Share purchase options exercised 1
|
4,563
|
Cdn$38.14
|
Dividend reinvestment plan 2
|
22,246
|
US$42.77
|
At September 30, 2023
|
452,996,141
|
|
1) |
The weighted average price of share purchase options exercised and restricted share units released represents the respective exercise price.
|
2) |
The Company has implemented a dividend reinvestment plan (“DRIP”) whereby shareholders can elect to have dividends reinvested directly into additional Wheaton common shares. The weighted average price for common
shares issued under the DRIP represents the volume weighted average price of the common shares on the five trading days preceding the dividend payment date, less a discount of 1% where applicable.
|
19.2. |
Dividends Declared
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||||||||||
(in thousands, except per share amounts)
|
2023
|
2022
|
2023
|
2022
|
||||||||
Dividends declared per share
|
$
|
0.15
|
|
$
|
0.15
|
$
|
0.45
|
|
$
|
0.45
|
||
Average number of shares eligible for dividend
|
|
452,971
|
|
|
451,690
|
|
|
452,875
|
|
|
451,444
|
|
Total dividends paid
|
$
|
67,946
|
|
$
|
67,754
|
|
$
|
203,794
|
|
$
|
203,150
|
|
Paid as follows:
|
|
|
|
|
|
|
||||||
Cash
|
$
|
66,994
|
99%
|
$
|
59,487
|
88%
|
$
|
198,085
|
97%
|
$
|
176,604
|
87%
|
DRIP 1
|
|
952
|
1%
|
|
8,267
|
12%
|
|
5,709
|
3%
|
|
26,546
|
13%
|
Total dividends paid
|
$
|
67,946
|
100%
|
$
|
67,754
|
100%
|
$
|
203,794
|
100%
|
$
|
203,150
|
100%
|
Shares issued under the DRIP
|
22
|
|
271
|
123
|
|
681
|
1) |
The Company has implemented a DRIP whereby shareholders can elect to have dividends reinvested directly into additional Wheaton common shares.
|
2) |
As at September 30, 2023, cumulative dividends of $1,998 million have been declared and paid by the Company.
|
20. |
Reserves
|
Note
|
September 30
|
December 31
|
|||
(in thousands)
|
2023
|
2022
|
|||
Reserves
|
|
|
|||
Share purchase warrants
|
20.1
|
$
|
-
|
$
|
83,077
|
Share purchase options
|
20.2
|
|
22,728
|
22,578
|
|
Restricted share units
|
20.3
|
|
7,219
|
8,142
|
|
Long-term investment revaluation reserve, net of tax
|
20.4
|
|
(108,819)
|
|
(47,250)
|
Total reserves
|
|
$
|
(78,872)
|
$
|
66,547
|
20.1. |
Share Purchase Warrants
|
|
Number of
Warrants
|
Weighted Average Exercise Price
|
Exchange
Ratio
|
Share Purchase
Warrants Reserve
|
|
Warrants outstanding at December 31, 2022
|
10,000,000
|
$ 43.75
|
1.00
|
$
|
83,077
|
Expired
|
(10,000,000)
|
43.75
|
1.00
|
|
(83,077)
|
Warrants outstanding at September 30, 2023
|
-
|
$ 43.75
|
1.00
|
$
|
-
|
20.2. |
Share Purchase Options
|
Nine Months Ended
September 30 |
||
|
2023
|
2022
|
Black-Scholes weighted average assumptions
|
|
|
Grant date share price and exercise price
|
Cdn$59.41
|
Cdn$60.00
|
Expected dividend yield
|
1.39%
|
1.32%
|
Expected volatility
|
30%
|
35%
|
Risk-free interest rate
|
3.40%
|
1.72%
|
Expected option life, in years
|
3.0
|
3.0
|
Weighted average fair value per option granted
|
Cdn$12.89
|
Cdn$13.84
|
Number of options issued during the period
|
316,580
|
283,440
|
Total fair value of options issued (000's)
|
$ 2,972
|
$ 3,069
|
Exercise Price (Cdn$)
|
Exercisable
Options |
Non-Exercisable
Options |
Total Options
Outstanding |
Weighted Average
Remaining Contractual Life |
$30.82
|
4,477
|
-
|
4,477
|
0.7 years
|
$32.56¹
|
22,000
|
-
|
22,000
|
1.5 years
|
$32.93
|
142,165
|
-
|
142,165
|
0.5 years
|
$33.19¹
|
10,210
|
-
|
10,210
|
0.5 years
|
$33.47
|
292,345
|
-
|
292,345
|
1.5 years
|
$49.86
|
156,693
|
79,873
|
236,566
|
4.5 years
|
$54.01¹
|
38,645
|
20,088
|
58,733
|
4.5 years
|
$58.50¹
|
-
|
63,190
|
63,190
|
6.5 years
|
$59.41
|
-
|
252,630
|
252,630
|
6.5 years
|
$60.00
|
73,578
|
148,556
|
222,134
|
5.5 years
|
$63.49¹
|
17,624
|
35,246
|
52,870
|
5.5 years
|
|
757,737
|
599,583
|
1,357,320
|
4.0 years
|
1) US$ share purchase options converted to Cdn$ using the exchange rate of 1.3520, being the Cdn$/US$ exchange rate at September 30, 2023.
|
|
Number of
Options Outstanding |
Weighted
Average Exercise Price |
At January 1, 2022
|
1,705,497
|
Cdn$34.40
|
Granted (fair value - $3 million or Cdn$13.84 per option)
|
283,440
|
60.00
|
Exercised
|
(329,914)
|
28.87
|
Forfeited
|
(6,154)
|
49.86
|
At September 30, 2022
|
1,652,869
|
Cdn$39.12
|
Exercised
|
(163,215)
|
28.55
|
Forfeited
|
(11,354)
|
55.83
|
At December 31, 2022
|
1,478,300
|
Cdn$41.37
|
Granted (fair value - $3 million or Cdn$12.89 per option)
|
316,580
|
59.41
|
Exercised
|
(430,247)
|
31.52
|
Forfeited
|
(2,750)
|
57.48
|
At June 30, 2023
|
1,361,883
|
Cdn$48.43
|
Exercised
|
(4,563)
|
38.14
|
At September 30, 2023
|
1,357,320
|
Cdn$48.64
|
20.3. |
Restricted Share Units (“RSUs”)
|
|
Number of
RSUs Outstanding |
Weighted
Average Intrinsic Value at
Date Granted
|
At January 1, 2022
|
350,058
|
$26.69
|
Granted (fair value - $4 million)
|
91,780
|
46.72
|
Released
|
(87,838)
|
28.85
|
Forfeited
|
(1,320)
|
39.95
|
At September 30, 2022
|
352,680
|
$31.31
|
Forfeited
|
(2,474)
|
39.95
|
At December 31, 2022
|
350,206
|
$31.25
|
Granted (fair value - $4 million)
|
93,990
|
43.35
|
Released
|
(119,827)
|
33.10
|
Forfeited
|
(610)
|
44.38
|
At September 30, 2023
|
323,759
|
$34.05
|
20.4. |
Long-Term Investment Revaluation Reserve
|
(in thousands)
|
|
Change in
Fair Value
|
Deferred Tax
Recovery (Expense)
|
Total
|
At January 1, 2022
|
$ (65,475)
|
$ (111)
|
$ (65,586)
|
|
Unrealized gain (loss) on LTIs 1
|
(33,783)
|
155
|
(33,628)
|
|
At June 30, 2022
|
|
$ (99,258)
|
$ 44
|
$ (99,214)
|
Unrealized gain (loss) on LTIs 1
|
(10,719)
|
546
|
(10,173)
|
|
Reallocate reserve to retained earnings upon disposal of LTIs 1
|
3,797
|
-
|
3,797
|
|
At September 30, 2022
|
|
$(106,180)
|
$ 590
|
$(105,590)
|
Unrealized gain (loss) on LTIs 1
|
65,554
|
(7,214)
|
58,340
|
|
At December 31, 2022
|
|
$ (40,626)
|
$ (6,624)
|
$ (47,250)
|
Unrealized gain (loss) on LTIs 1
|
(8,429)
|
2,090
|
(6,339)
|
|
Reallocate reserve to retained earnings upon disposal of LTIs 1
|
(841)
|
-
|
(841)
|
|
At June 30, 2023
|
|
$ (49,896)
|
$ (4,534)
|
$ (54,430)
|
Unrealized gain (loss) on LTIs 1
|
(59,504)
|
5,115
|
(54,389)
|
|
At September 30, 2023
|
|
$(109,400)
|
$ 581
|
$(108,819)
|
1) |
LTIs refers to long-term investments in common shares held.
|
21. |
Share Based Compensation
|
21.1. |
Performance Share Units (“PSUs”)
|
(in thousands, except for number of PSUs outstanding)
|
Number of PSUs
Outstanding |
PSU accrual
liability
|
|
At January 1, 2022
|
513,510
|
$
|
26,305
|
Granted
|
129,140
|
-
|
|
Accrual related to the fair value of the PSUs outstanding
|
-
|
8,736
|
|
Foreign exchange adjustment
|
-
|
(223)
|
|
Paid
|
(184,780)
|
(18,247)
|
|
Forfeited
|
(3,970)
|
|
(65)
|
At June 30, 2022
|
453,900
|
$
|
16,506
|
Accrual related to the fair value of the PSUs outstanding
|
-
|
(1,492)
|
|
Foreign exchange adjustment
|
-
|
(783)
|
|
Paid
|
(1,950)
|
|
(163)
|
At September 30, 2022
|
451,950
|
$
|
14,068
|
Accrual related to the fair value of the PSUs outstanding
|
-
|
7,170
|
|
Foreign exchange adjustment
|
-
|
135
|
|
Forfeited
|
(7,330)
|
|
(134)
|
At December 31, 2022
|
444,620
|
$
|
21,239
|
Granted
|
135,690
|
-
|
|
Accrual related to the fair value of the PSUs outstanding
|
-
|
8,500
|
|
Foreign exchange adjustment
|
-
|
198
|
|
Paid
|
(191,980)
|
(16,675)
|
|
Forfeited
|
(1,280)
|
|
(21)
|
At June 30, 2023
|
387,050
|
$
|
13,241
|
Accrual related to the fair value of the PSUs outstanding
|
-
|
2,604
|
|
Foreign exchange adjustment
|
-
|
(219)
|
|
At September 30, 2023
|
387,050
|
$
|
15,626
|
Year
of Grant |
Year of
Maturity |
Number
outstanding |
Estimated Value
Per PSU at
Maturity
|
Anticipated
Performance Factor at Maturity |
Percent of
Vesting
Period Complete at
Sep 30, 2023
|
PSU
Liability at Sep 30, 2023 |
2021
|
2024
|
126,590
|
$43.89
|
200%
|
85%
|
$ 9,404
|
2022
|
2025
|
125,100
|
$43.28
|
182%
|
52%
|
5,076
|
2023
|
2026
|
135,360
|
$42.49
|
109%
|
18%
|
1,146
|
|
|
387,050
|
|
|
|
$ 15,626
|
22. |
Earnings per Share (“EPS”) and Diluted Earnings per Share (“Diluted EPS”)
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||
(in thousands)
|
2023
|
2022
|
2023
|
2022
|
Basic weighted average number of shares outstanding
|
452,975
|
451,757
|
452,748
|
451,402
|
Effect of dilutive securities
|
|
|
||
Share purchase options
|
239
|
276
|
327
|
468
|
Restricted share units
|
324
|
353
|
344
|
351
|
Diluted weighted average number of shares outstanding
|
453,538
|
452,386
|
453,419
|
452,221
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
|||
(in thousands)
|
2023
|
2022
|
2023
|
2022
|
Share purchase options
|
591
|
593
|
53
|
344
|
Share purchase warrants
|
-
|
10,000
|
-
|
10,000
|
Total
|
591
|
10,593
|
53
|
10,344
|
23. |
Supplemental Cash Flow Information
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(in thousands)
|
2023
|
2022
|
2023
|
2022
|
|||||
Change in non-cash working capital
|
|
|
|
|
|||||
Accounts receivable
|
$
|
(3,580)
|
$
|
2,013
|
$
|
(599)
|
$
|
41
|
|
Cobalt inventory
|
|
515
|
323
|
|
1,330
|
(271)
|
|||
Accounts payable and accrued liabilities
|
|
2,462
|
1,661
|
|
(542)
|
(2,692)
|
|||
Other
|
|
114
|
|
731
|
|
(1,065)
|
|
(903)
|
|
Total change in non-cash working capital
|
$
|
(489)
|
$
|
4,728
|
$
|
(876)
|
$
|
(3,825)
|
September 30
|
December 31
|
||||
(in thousands)
|
|
2023
|
2022
|
||
Cash and cash equivalents comprised of:
|
|
|
|||
Cash
|
$
|
503,215
|
$
|
170,155
|
|
Cash equivalents
|
|
|
330,704
|
|
525,934
|
Total cash and cash equivalents
|
|
$
|
833,919
|
$
|
696,089
|
24. |
Income Taxes
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(in thousands)
|
|
2023
|
2022
|
2023
|
2022
|
||||
Current income tax expense (recovery)
|
|
$
|
31
|
$
|
12,033
|
$
|
(2,529)
|
$
|
12,113
|
Deferred income tax expense (recovery) related to:
|
|
|
|
|
|||||
Origination and reversal of temporary differences
|
$
|
423
|
$
|
20,920
|
$
|
3,484
|
$
|
30,042
|
|
Write down (reversal of write down) or recognition of prior period temporary differences
|
|
|
4,691
|
|
(20,947)
|
|
3,745
|
|
(29,276)
|
Total deferred income tax expense (recovery)
|
|
$
|
5,114
|
$
|
(27)
|
$
|
7,229
|
$
|
766
|
Total income tax expense (recovery) recognized in net earnings
|
|
$
|
5,145
|
$
|
12,006
|
$
|
4,700
|
$
|
12,879
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(in thousands)
|
|
2023
|
2022
|
2023
|
2022
|
||||
Income tax expense (recovery) related to LTIs - common shares held
|
|
$
|
(5,115)
|
$
|
(546)
|
$
|
(7,205)
|
$
|
(701)
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(in thousands)
|
|
2023
|
2022
|
2023
|
2022
|
||||
Current income tax expense (recovery)
|
|
$
|
-
|
$
|
(5,935)
|
$
|
-
|
$
|
(5,932)
|
Deferred income tax expense (recovery) related to:
|
|
|
|
|
|||||
Origination and reversal of temporary differences
|
$
|
-
|
$
|
5,935
|
$
|
-
|
$
|
5,932
|
|
Write down (reversal of write down) or recognition of prior period temporary differences
|
$
|
-
|
$
|
(3,644)
|
$
|
-
|
$
|
(4,143)
|
|
Total deferred income tax expense (recovery)
|
|
$
|
-
|
$
|
2,291
|
$
|
-
|
$
|
1,789
|
Total income tax expense (recovery) recognized in equity
|
|
$
|
-
|
$
|
(3,644)
|
$
|
-
|
$
|
(4,143)
|
1) |
Income tax expense (recovery) in shareholders’ equity relates to share financing fees. Share financing fees are deducted over a five-year period for Canadian income tax purposes. For accounting purposes, share
financing fees are charged directly to issued capital.
|
Three Months Ended
September 30 |
Nine Months Ended
September 30 |
||||||||
(in thousands)
|
|
2023
|
2022
|
2023
|
2022
|
||||
Earnings before income taxes
|
$
|
121,516
|
$
|
208,466
|
$
|
373,909
|
$
|
515,880
|
|
Canadian federal and provincial income tax rates
|
|
|
27.00%
|
|
27.00%
|
|
27.00%
|
|
27.00%
|
Income tax expense (recovery) based on above rates
|
$
|
32,809
|
$
|
56,286
|
$
|
100,955
|
$
|
139,288
|
|
Non-deductible portion of capital losses (non-taxable portion of capital gains)
|
|
-
|
-
|
|
-
|
(1,052)
|
|||
Non-deductible stock based compensation and other
|
|
490
|
(104)
|
|
1,376
|
995
|
|||
Differences in tax rates in foreign jurisdictions 1
|
|
(33,481)
|
(23,451)
|
|
(102,419)
|
(99,507)
|
|||
Current period unrecognized temporary differences
|
|
636
|
222
|
|
1,043
|
2,431
|
|||
Write down (reversal of write down) or recognition of prior period temporary differences
|
|
|
4,691
|
|
(20,947)
|
|
3,745
|
|
(29,276)
|
Total income tax expense (recovery) recognized in net earnings
|
|
$
|
5,145
|
$
|
12,006
|
$
|
4,700
|
$
|
12,879
|
1) |
During the nine months ended September 30, 2023, the Company's subsidiaries generated net earnings of $381 million, as compared to $371 million during the comparable period of the prior year.
|
(in thousands)
|
Current Taxes
(Payable)
Recoverable
|
Current taxes payable - December 31, 2022
|
$ (2,763)
|
Current income tax recovery - income statement
|
2,529
|
Income taxes paid
|
5,244
|
Foreign exchange adjustments
|
(10)
|
Current taxes recoverable - September 30, 2023
|
$ 5,000
|
Nine Months Ended September 30, 2023
|
||||||||||
Opening
Balance
|
Recovery
(Expense)
Recognized In
Net Earnings
|
Recovery
(Expense)
Recognized In
OCI
|
Recovery
(Expense)
Recognized In
Shareholders'
Equity
|
Closing
Balance |
||||||
Recognized deferred income tax assets and liabilities
|
||||||||||
Deferred tax assets
|
|
|
|
|
|
|
|
|
|
|
Non-capital loss carryforward 1
|
$
|
-
|
$
|
622
|
$
|
-
|
$
|
-
|
$
|
622
|
Capital loss carryforward
|
|
792
|
|
8
|
|
-
|
|
-
|
|
800
|
Other 2
|
|
4,256
|
|
(2,036)
|
|
-
|
|
-
|
|
2,220
|
Deferred tax liabilities
|
|
|
|
|
|
|
|
|
|
|
Debt financing fees 3
|
|
(774)
|
|
(33)
|
|
-
|
|
-
|
|
(807)
|
Unrealized gains on long-term investments
|
|
(8,006)
|
|
1
|
|
7,205
|
|
-
|
|
(800)
|
Mineral stream interests 4
|
|
3,732
|
|
(5,767)
|
|
-
|
|
-
|
|
(2,035)
|
Foreign withholding tax
|
|
(165)
|
|
(24)
|
|
-
|
|
-
|
|
(189)
|
Total
|
$
|
(165)
|
$
|
(7,229)
|
$
|
7,205
|
$
|
-
|
$
|
(189)
|
1) |
As at September 30, 2023, the Company had recognized the tax effect on $2 million of non-capital losses against deferred tax liabilities.
|
2) |
Other includes capital assets, cobalt inventory, charitable donation carryforward, and PSU and pension liabilities.
|
3) |
Debt and share financing fees are deducted over a five-year period for Canadian income tax purposes. For accounting purposes, debt financing fees are deducted over the term of the credit facility and share financing
fees are charged directly to issued capital.
|
4) |
The Company’s position, as reflected in its filed Canadian income tax returns and consistent with the terms of the PMPAs, is that the cost of the precious metal acquired under the Canadian PMPAs is equal to the market
value while a deposit is outstanding (where applicable to an agreement), and the cash cost thereafter. For accounting purposes, the cost of the mineral stream interests is depleted on a unit-of-production basis as described in Note 13.
|
Year Ended December 31, 2022
|
||||||||||
Opening
Balance
|
Recovery
(Expense)
Recognized In
Net Earnings
|
Recovery
(Expense)
Recognized In
OCI
|
Recovery
(Expense)
Recognized In Shareholders'
Equity
|
Closing
Balance |
||||||
Recognized deferred income tax assets and liabilities
|
||||||||||
Deferred tax assets
|
||||||||||
Non-capital loss carryforward
|
$
|
6,967
|
$
|
(5,178)
|
$
|
-
|
$
|
(1,789)
|
$
|
-
|
Capital loss carryforward
|
-
|
277
|
515
|
-
|
792
|
|||||
Other
|
1,325
|
2,739
|
192
|
-
|
4,256
|
|||||
Deferred tax liabilities
|
||||||||||
Interest capitalized for accounting
|
(87)
|
87
|
-
|
-
|
-
|
|||||
Debt and share financing fees
|
(737)
|
(37)
|
-
|
-
|
(774)
|
|||||
Kutcho Convertible Note
|
-
|
112
|
(112)
|
-
|
-
|
|||||
Unrealized gains on long-term investments
|
(170)
|
(728)
|
(7,108)
|
-
|
(8,006)
|
|||||
Mineral stream interests
|
(7,298)
|
11,030
|
-
|
-
|
3,732
|
|||||
Foreign withholding tax
|
|
(100)
|
|
(65)
|
-
|
|
-
|
|
(165)
|
|
Total
|
$
|
(100)
|
$
|
8,237
|
$
|
(6,513)
|
$
|
(1,789)
|
$
|
(165)
|
September 30
|
December 31
|
||||
(in thousands)
|
|
2023
|
2022
|
||
Mineral stream interests
|
$
|
10,945
|
$
|
7,369
|
|
Other
|
|
2,763
|
1,575
|
||
Capital loss carryforward ²
|
|
156
|
-
|
||
Unrealized losses on long-term investments
|
|
14,903
|
13,069
|
||
Total
|
|
$
|
28,767
|
$
|
22,013
|
1) |
As at September 30, 2023, the Company had fully recognized the tax effect of non-capital losses.
|
2) |
As at September 30, 2023, the Company had not recognized the tax effect on $0.6 million of net capital losses as a deferred tax asset.
|
25. |
Other Current Assets
|
September 30
|
December 31
|
||||
(in thousands)
|
Note
|
2023
|
2022
|
||
Prepaid expenses
|
$
|
2,826
|
$
|
2,856
|
|
Other
|
|
|
1,527
|
|
431
|
Total other current assets
|
|
$
|
4,353
|
$
|
3,287
|
26. |
Other Long-Term Assets
|
September 30
|
December 31
|
||||
(in thousands)
|
Note
|
2023
|
2022
|
||
Intangible assets
|
$
|
1,982
|
$
|
2,270
|
|
Debt issue costs - Revolving Facility
|
18.1
|
|
5,774
|
5,757
|
|
Refundable deposit - 777 PMPA
|
|
8,555
|
8,073
|
||
Mineral royalty interests
|
|
10,208
|
6,606
|
||
Other
|
|
|
5,271
|
|
3,691
|
Total other long-term assets
|
|
$
|
31,790
|
$
|
26,397
|
27. |
Commitments and Contingencies
|
Mineral Stream Interests
|
Attributable Payable Production to be Purchased
|
Per Unit of Measurement Cash Payment 1
|
Term of
Agreement |
Date of
Original Contract |
|||||||||||||
Gold
|
Silver
|
Palladium
|
Cobalt
|
Platinum
|
Gold
|
Silver
|
Palladium
|
Cobalt
|
Platinum
|
||||||||
Peñasquito
|
0%
|
25%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
4.43
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
24-Jul-07
|
Constancia
|
50%
|
100%
|
0%
|
0%
|
0%
|
$
|
420 ²
|
$
|
6.20 ²
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
8-Aug-12
|
Salobo
|
75%
|
0%
|
0%
|
0%
|
0%
|
$
|
420
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
28-Feb-13
|
Sudbury
|
70%
|
0%
|
0%
|
0%
|
0%
|
$
|
400
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
20 years
|
28-Feb-13
|
Antamina
|
0%
|
33.75%
|
0%
|
0%
|
0%
|
|
n/a
|
|
20%
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
3-Nov-15
|
San Dimas
|
variable ³
|
0% ³
|
0%
|
0%
|
0%
|
$
|
631
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
10-May-18
|
Stillwater
|
100%
|
0%
|
4.5% ⁴
|
0%
|
0%
|
|
18% ⁵
|
|
n/a
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
Life of Mine
|
16-Jul-18
|
Voisey's Bay
|
0%
|
0%
|
0%
|
42.4% ⁶
|
0%
|
|
n/a
|
|
n/a
|
|
n/a
|
|
18% ⁷
|
|
n/a
|
Life of Mine
|
11-Jun-18
|
Marathon
|
100% ⁸
|
0%
|
0%
|
0%
|
22% ⁸
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
|
18% ⁵
|
Life of Mine
|
26-Jan-22
|
Other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Los Filos
|
0%
|
100%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
4.68
|
|
n/a
|
|
n/a
|
|
n/a
|
25 years
|
15-Oct-04
|
Zinkgruvan
|
0%
|
100%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
4.60
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
8-Dec-04
|
Stratoni
|
0%
|
100%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
11.54
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
23-Apr-07
|
Neves-Corvo
|
0%
|
100%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
4.46
|
|
n/a
|
|
n/a
|
|
n/a
|
50 years
|
5-Jun-07
|
Aljustrel
|
0%
|
100% ⁹
|
0%
|
0%
|
0%
|
|
n/a
|
|
50%
|
|
n/a
|
|
n/a
|
|
n/a
|
50 years
|
5-Jun-07
|
Minto
|
100% ¹⁰
|
100%
|
0%
|
0%
|
0%
|
|
50% ¹¹
|
$
|
4.39
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
20-Nov-08
|
Pascua-Lama
|
0%
|
25%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
3.90
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
8-Sep-09
|
Copper World
|
100%
|
100%
|
0%
|
0%
|
0%
|
$
|
450
|
$
|
3.90
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
10-Feb-10
|
Loma de La Plata
|
0%
|
12.5%
|
0%
|
0%
|
0%
|
|
n/a
|
$
|
4.00
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
n/a ¹²
|
Marmato
|
10.5% ¹³
|
100% ¹³
|
0%
|
0%
|
0%
|
|
18% ¹⁴
|
|
18% ¹⁴
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
5-Nov-20
|
Cozamin
|
0%
|
50% ¹⁵
|
0%
|
0%
|
0%
|
|
n/a
|
|
10%
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
11-Dec-20
|
Santo Domingo
|
100% ¹⁶
|
0%
|
0%
|
0%
|
0%
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
24-Mar-21
|
Fenix
|
6% ¹⁷
|
0%
|
0%
|
0%
|
0%
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
15-Nov-21
|
Blackwater
|
8% ¹⁸
|
50% ¹⁸
|
0%
|
0%
|
0%
|
|
35%
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
13-Dec-21
|
Curipamba
|
50% ¹⁹
|
75% ¹⁹
|
0%
|
0%
|
0%
|
|
18% ⁵
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
17-Jan-22
|
Goose
|
2.78% ²⁰
|
0%
|
0%
|
0%
|
0%
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
8-Feb-22
|
Cangrejos
|
6.6% ²¹
|
0%
|
0%
|
0%
|
0%
|
|
18% ⁵
|
|
n/a
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
16-May-23
|
Early Deposit
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Toroparu
|
10%
|
50%
|
0%
|
0%
|
0%
|
$
|
400
|
$
|
3.90
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
11-Nov-13
|
Cotabambas
|
25% ²²
|
100% ²²
|
0%
|
0%
|
0%
|
$
|
450
|
$
|
5.90
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
21-Mar-16
|
Kutcho
|
100%
|
100%
|
0%
|
0%
|
0%
|
|
20%
|
|
20%
|
|
n/a
|
|
n/a
|
|
n/a
|
Life of Mine
|
14-Dec-17
|
1) |
The production payment is measured as either a fixed amount per unit of metal delivered, or as a percentage of the spot price of the underlying metal on the date of delivery. Contracts where the payment is a fixed
amount per unit of metal delivered are subject to an annual inflationary increase, with the exception of Loma de La Plata and Sudbury. Additionally, should the prevailing market price for the applicable metal be lower than this fixed amount,
the per unit cash payment will be reduced to the prevailing market price, subject to an annual inflationary factor.
|
2) |
Subject to an increase to $9.90 per ounce of silver and $550 per ounce of gold after the initial 40-year term.
|
3) |
Under the terms of the San Dimas PMPA, the Company is entitled to an amount equal to 25% of the payable gold production plus an additional amount of gold equal to 25% of the payable silver production converted to gold
at a fixed gold to silver exchange ratio of 70:1 from the San Dimas mine. If the average gold to silver price ratio decreases to less than 50:1 or increases to more than 90:1 for a period of 6 months or more, then the "70" shall be revised to
"50" or "90", as the case may be, until such time as the average gold to silver price ratio is between 50:1 to 90:1 for a period of 6 months or more in which event the "70" shall be reinstated. Currently, the fixed gold to silver exchange ratio
is 70:1.
|
4) |
The Company is committed to purchase 4.5% of Stillwater palladium production until 375,000 ounces are delivered to the Company, thereafter 2.25% of Stillwater palladium production until 550,000 ounces are delivered to
the Company and 1% of Stillwater palladium production thereafter for the life of mine.
|
5) |
To be increased to 22% once the market value of metal delivered to Wheaton, net of the per ounce cash payment, exceeds the initial upfront cash deposit.
|
6) |
Once the Company has received 31 million pounds of cobalt, the Company’s attributable cobalt production will be reduced to 21.2%.
|
7) |
To be increased to 22% once the market value of cobalt delivered to Wheaton, net of the per pound cash payment, exceeds the initial upfront cash deposit. Additionally, on each sale of cobalt, the Company is committed
to pay a variable commission depending on the market price of cobalt.
|
8) |
Once the Company has received 150,000 ounces of gold and 120,000 ounces of platinum under the Marathon PMPA, the attributable gold and platinum production will be reduced to 67% and 15%, respectively.
|
9) |
Wheaton only has the rights to silver contained in concentrate containing less than 15% copper at the Aljustrel mine. On September 12, 2023, it was announced that the production of the zinc and lead concentrates at
the Aljustrel mine will be halted from September 24, 2023 until the second quarter of 2025.
|
10) |
The Company is committed to acquire 100% of the first 30,000 ounces of gold produced per annum and 50% thereafter. On May 13, 2023 Minto Metals Corp., announced the suspension of operations at the Minto mine.
|
11) |
Prior to the announcement by Minto Metals Corp. of the suspension of operations at the Minto mine on May 13, 2023, the parties were in discussions in connection with a possible restructuring of the Minto PMPA. During
that negotiation period, the cash payment per ounce of gold delivered was set at 90% of spot price. Following the May 13 announcement, and as negotiations were not successful, the price of deliveries of gold reverts to 50% of spot price as set
out in the existing Minto PMPA.
|
12) |
Terms of the agreement not yet finalized.
|
13) |
Once Wheaton has received 310,000 ounces of gold and 2.15 million ounces of silver under the Marmato PMPA the Company’s attributable gold and silver production will be reduced to 5.25% and 50%, respectively.
|
14) |
To be increased to 22% of the spot price once the market value of gold and silver delivered to the Company, net of the per ounce cash payment, exceeds the initial upfront cash deposit.
|
15) |
Once Wheaton has received 10 million ounces under the Cozamin PMPA, the Company’s attributable silver production will be reduced to 33% of silver production for the life of the mine.
|
16) |
Once the Company has received 285,000 ounces of gold under the Santo Domingo PMPA, the Company’s attributable gold production will be reduced to 67%.
|
17) |
Once the Company has received 90,000 ounces of gold under the Fenix PMPA, the Company attributable gold production will be reduced to 4% until 140,000 ounces have been delivered, after which the stream drops to 3.5%.
|
18) |
Once the Company has received 464,000 ounces of gold under the amended Blackwater gold PMPA, the attributable gold production will be reduced to 4%. Once the Company has received 17.8 million ounces of silver under
the Blackwater silver PMPA, the attributable silver production will be reduced to 33%.
|
19) |
Once the Company has received 145,000 ounces of gold under the Curipamba PMPA, the attributable gold production will be reduced to 33%, and once the Company has received 4.6 million ounces of silver, the attributable
silver production will be reduced to 50%.
|
20) |
During Q2-2023, B2Gold completed its acquisition of all the issued and outstanding common shares of Sabina, and in conjunction with this acquisition B2Gold exercised the option to acquire 33% of the stream under the
Goose PMPA in exchange for a cash payment in the amount of $46 million, resulting in a gain on partial disposal of the Goose PMPA in the amount of $5 million. In connection with the exercise of the option, once the Company has received 87,100
ounces of gold under the Goose PMPA, the Company’s attributable gold production will be 1.44%, and once the Company has received 134,000 ounces of gold under the agreement, the Company’s attributable gold production will be reduced to 1.0% for
the life of mine.
|
21) |
Once the Company has received 700,000 ounces of gold under the Cangrejos PMPA, the attributable gold production will be reduced to 4.4%,
|
22) |
Once 90 million silver equivalent ounces attributable to Wheaton have been produced under the Cotabambas PMPA, the attributable production will decrease to 16.67% of gold production and 66.67% of silver production for
the life of mine.
|
Projected Payment Dates 1
|
||||||||||||||
(in thousands)
|
2023
|
2024 - 2025
|
2026 - 2027
|
After 2027
|
Total
|
|||||||||
Payments for mineral stream interests
|
|
|
|
|||||||||||
Salobo 2
|
$
|
370,000
|
$
|
163,000
|
$
|
-
|
$
|
-
|
|
$
|
533,000
|
|||
Blackwater
|
45,200
|
-
|
-
|
-
|
|
|
45,200
|
|||||||
Marathon
|
-
|
103,550
|
44,379
|
-
|
|
|
147,929
|
|||||||
Cangrejos
|
21,000
|
15,000
|
252,000
|
-
|
|
|
288,000
|
|||||||
Marmato
|
40,016
|
81,984
|
-
|
-
|
|
|
122,000
|
|||||||
Santo Domingo
|
-
|
130,000
|
130,000
|
-
|
|
|
260,000
|
|||||||
Copper World 3
|
-
|
231,150
|
-
|
-
|
|
|
231,150
|
|||||||
Curipamba
|
100
|
74,500
|
87,750
|
-
|
|
|
162,350
|
|||||||
Fenix Gold
|
-
|
-
|
-
|
25,000
|
|
|
25,000
|
|||||||
Loma de La Plata
|
-
|
-
|
-
|
32,400
|
|
|
32,400
|
|||||||
Payments for early deposit mineral stream interest
|
|
|
|
|||||||||||
Cotabambas
|
-
|
-
|
-
|
126,000
|
|
|
126,000
|
|||||||
Toroparu
|
-
|
-
|
138,000
|
-
|
|
|
138,000
|
|||||||
Kutcho
|
-
|
-
|
-
|
58,000
|
|
|
58,000
|
|||||||
Leases liabilities
|
|
219
|
|
|
1,433
|
|
|
1,286
|
|
|
5,325
|
|
|
8,263
|
Total contractual obligations
|
$
|
476,535
|
|
$
|
800,617
|
|
$
|
653,415
|
|
$
|
246,725
|
|
$
|
2,177,292
|
1) |
Projected payment date based on management estimate. Dates may be updated in the future as additional information is received.
|
2) |
As more fully explained below, the expansion payment relative to the Salobo III expansion project is dependent on the timing and size of the throughput expansion.
|
3) |
Figure includes contingent transaction costs of $1 million.
|
Three Months Ended September 30, 2023
|
||||||||||||
|
Sales
|
Cost
of Sales |
Depletion
|
Net
Earnings |
Cash Flow
From Operations |
Total
Assets |
||||||
(in thousands)
|
||||||||||||
Gold
|
||||||||||||
Salobo
|
$
|
86,395
|
$
|
18,684
|
$
|
14,685
|
$
|
53,026
|
$
|
67,710
|
$
|
2,341,485
|
Sudbury 1
|
9,428
|
1,934
|
5,825
|
1,669
|
7,494
|
268,224
|
||||||
Constancia
|
24,102
|
5,197
|
3,914
|
14,991
|
18,906
|
86,555
|
||||||
San Dimas
|
18,846
|
6,114
|
2,516
|
10,216
|
12,732
|
147,638
|
||||||
Stillwater
|
3,859
|
692
|
1,013
|
2,154
|
3,167
|
212,650
|
||||||
Other 2
|
|
2,077
|
|
393
|
|
418
|
|
1,266
|
|
1,684
|
|
557,035
|
Total gold interests
|
$
|
144,707
|
$
|
33,014
|
$
|
28,371
|
$
|
83,322
|
$
|
111,693
|
$
|
3,613,587
|
Silver
|
||||||||||||
Peñasquito
|
$
|
10,804
|
$
|
2,009
|
$
|
1,843
|
$
|
6,952
|
$
|
8,795
|
$
|
278,028
|
Antamina
|
18,915
|
3,817
|
5,602
|
9,496
|
15,097
|
527,227
|
||||||
Constancia
|
10,360
|
2,686
|
2,716
|
4,958
|
7,674
|
183,736
|
||||||
Other 3
|
|
30,293
|
|
6,609
|
|
3,383
|
|
20,301
|
|
19,439
|
|
549,641
|
Total silver interests
|
$
|
70,372
|
$
|
15,121
|
$
|
13,544
|
$
|
41,707
|
$
|
51,005
|
$
|
1,538,632
|
Palladium
|
||||||||||||
Stillwater
|
$
|
5,307
|
$
|
946
|
$
|
1,945
|
$
|
2,416
|
$
|
4,361
|
$
|
222,154
|
Platinum
|
||||||||||||
Marathon
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,450
|
Cobalt
|
||||||||||||
Voisey's Bay
|
$
|
2,751
|
$
|
727
|
$
|
2,575
|
$
|
(551)
|
$
|
4,235
|
$
|
353,631
|
Total mineral stream interests
|
$
|
223,137
|
$
|
49,808
|
$
|
46,435
|
$
|
126,894
|
$
|
171,294
|
$
|
5,737,454
|
Other
|
||||||||||||
General and administrative
|
$
|
(8,606)
|
$
|
(6,321)
|
||||||||
Share based compensation
|
(4,336)
|
-
|
||||||||||
Donations and community investments
|
(1,736)
|
(1,750)
|
||||||||||
Finance costs
|
(1,407)
|
(1,078)
|
||||||||||
Other
|
10,707
|
9,870
|
||||||||||
Income tax
|
|
|
|
|
|
|
|
(5,145)
|
|
(912)
|
|
|
Total other
|
|
|
|
|
|
|
$
|
(10,523)
|
$
|
(191)
|
$
|
1,144,061
|
Consolidated
|
|
|
|
|
|
|
$
|
116,371
|
$
|
171,103
|
$
|
6,881,515
|
1) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests as well as the non-operating Stobie and Victor gold interests.
|
2) |
Where a gold interest represents less than 10% of the Company’s sales, gross margin or aggregate asset book value and is not evaluated on a regular basis by the Company’s CEO for the purpose of assessing performance,
the gold interest has been summarized under Other gold interests. Other gold interests are comprised of the operating Marmato gold interest as well as the non-operating Minto, 777, Copper World Complex, Santo Domingo, Fenix, Blackwater,
Marathon, Curipamba, Goose and Cangrejos gold interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the
Minto mine.
|
3) |
Where a silver interest represents less than 10% of the Company’s sales, gross margin or aggregate asset book value and is not evaluated on a regular basis by the Company’s CEO for the purpose of assessing
performance, the silver interest has been summarized under Other silver interests. Other silver interests are comprised of the operating Los Filos, Zinkgruvan, Neves-Corvo, Aljustrel, Cozamin and Marmato silver interests and the non-operating
Minto, 777, Loma de La Plata, Stratoni, Pascua-Lama, Copper World Complex, Blackwater and Curipamba silver interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May
13, 2023, Minto announced the suspension of operations at the Minto mine. On September 12, 2023, it was announced that the production of the zinc and lead concentrates at the Aljustrel mine will be halted from September 24, 2023 until the
second quarter of 2025.
|
Three Months Ended September 30, 2022
|
||||||||||||||
Sales
|
Cost
of Sales |
Depletion
|
Impairment
Reversal / Gain
on Disposal 1
|
Net
Earnings |
Cash Flow
From
Operations
|
Total
Assets |
||||||||
(in thousands)
|
||||||||||||||
Gold
|
||||||||||||||
Salobo
|
$
|
54,860
|
$
|
13,244
|
$
|
10,616
|
$
|
-
|
$
|
31,000
|
$
|
41,617
|
$
|
2,396,952
|
Sudbury 2
|
8,984
|
2,059
|
5,622
|
-
|
1,303
|
5,943
|
288,863
|
|||||||
Constancia
|
10,925
|
2,630
|
1,717
|
-
|
6,578
|
8,295
|
97,213
|
|||||||
San Dimas
|
17,579
|
6,366
|
2,646
|
-
|
8,567
|
11,213
|
158,704
|
|||||||
Stillwater
|
3,667
|
675
|
912
|
-
|
2,080
|
2,992
|
216,617
|
|||||||
Other 3
|
|
11,113
|
|
4,424
|
|
378
|
|
-
|
|
6,311
|
|
5,562
|
|
461,359
|
Total gold interests
|
$
|
107,128
|
$
|
29,398
|
$
|
21,891
|
$
|
-
|
$
|
55,839
|
$
|
75,622
|
$
|
3,619,708
|
Silver
|
||||||||||||||
Peñasquito
|
$
|
30,857
|
$
|
6,972
|
$
|
5,703
|
$
|
-
|
$
|
18,182
|
$
|
23,885
|
$
|
301,040
|
Antamina
|
22,287
|
4,337
|
8,152
|
-
|
9,798
|
17,951
|
553,231
|
|||||||
Constancia
|
9,613
|
3,050
|
3,165
|
-
|
3,398
|
6,563
|
195,507
|
|||||||
Other 4
|
|
37,513
|
|
14,879
|
|
13,566
|
|
(114,755)
|
|
123,823
|
|
21,896
|
|
538,739
|
Total silver interests
|
$
|
100,270
|
$
|
29,238
|
$
|
30,586
|
$
|
(114,755)
|
$
|
155,201
|
$
|
70,295
|
$
|
1,588,517
|
Palladium
|
||||||||||||||
Stillwater
|
$
|
8,838
|
$
|
1,493
|
$
|
1,688
|
$
|
-
|
$
|
5,657
|
$
|
7,344
|
$
|
228,168
|
Platinum
|
||||||||||||||
Marathon
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,425
|
Cobalt
|
||||||||||||||
Voisey's Bay
|
$
|
2,600
|
$
|
826
|
$
|
1,563
|
$
|
-
|
$
|
211
|
$
|
7,352
|
$
|
361,238
|
Total mineral stream interests
|
$
|
218,836
|
$
|
60,955
|
$
|
55,728
|
$
|
(114,755)
|
$
|
216,908
|
$
|
160,613
|
$
|
5,807,056
|
Other
|
||||||||||||||
General and administrative
|
$
|
(8,360)
|
$
|
(5,342)
|
||||||||||
Share based compensation
|
(77)
|
(163)
|
||||||||||||
Donations and community investments
|
(1,406)
|
(1,410)
|
||||||||||||
Finance costs
|
(1,398)
|
(1,020)
|
||||||||||||
Other
|
2,799
|
1,848
|
||||||||||||
Income tax
|
|
|
|
|
|
|
|
|
|
(12,006)
|
|
(29)
|
|
|
Total other
|
|
|
|
|
|
|
|
|
$
|
(20,448)
|
$
|
(6,116)
|
$
|
780,539
|
Consolidated
|
|
|
|
|
|
|
|
|
$
|
196,460
|
$
|
154,497
|
$
|
6,587,595
|
1) |
See Notes 13 and 14 for more information.
|
2) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests as well as the non-operating Stobie and Victor gold interests.
|
3) |
Where a gold interest represents less than 10% of the Company’s sales, gross margin or aggregate asset book value and is not evaluated on a regular basis by the Company’s CEO for the purpose of assessing performance,
the gold interest has been summarized under Other gold interests. Other gold interests are comprised of the operating 777, Minto and Marmato gold interests as well as the non-operating Copper World Complex, Santo Domingo, Fenix, Blackwater,
Marathon, Curipamba and Goose gold interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto
mine.
|
4) |
Where a silver interest represents less than 10% of the Company’s sales, gross margin or aggregate asset book value and is not evaluated on a regular basis by the Company’s CEO for the purpose of assessing
performance, the silver interest has been summarized under Other silver interests. Other silver interests are comprised of the operating Los Filos, Zinkgruvan, Aljustrel, Neves-Corvo, Minto, 777, Marmato and Cozamin silver interests, the
non-operating Loma de La Plata, Stratoni, Copper World Complex, Pascua-Lama, Blackwater and Curipamba silver interests and the previously owned Keno Hill and Yauliyacu silver interests. On June 22, 2022, Hudbay announced that mining activities
at 777 have concluded and closure activities have commenced. On September 7, 2022, the Keno Hill stream was terminated in exchange for $141 million of Hecla common stock. On December 14, 2022 the Company terminated the Yauliyacu PMPA in
exchange for a cash payment of $132 million. On May 13, 2023, Minto announced the suspension of operations at the Minto mine. On September 12, 2023, it was announced that the production of the zinc and lead concentrates at the Aljustrel mine
will be halted from September 24, 2023 until the second quarter of 2025.
|
Nine Months Ended September 30, 2023
|
||||||||||||||
Sales
|
Cost
of Sales |
Depletion
|
Gain on
Disposal 1
|
Net
Earnings |
Cash Flow
From
Operations
|
Total
Assets |
||||||||
(in thousands)
|
||||||||||||||
Gold
|
||||||||||||||
Salobo
|
$
|
246,219
|
$
|
53,155
|
$
|
41,777
|
$
|
-
|
$
|
151,287
|
$
|
193,063
|
$
|
2,341,485
|
Sudbury 2
|
27,295
|
5,591
|
15,192
|
-
|
6,512
|
21,420
|
268,224
|
|||||||
Constancia
|
55,718
|
11,939
|
9,028
|
-
|
34,751
|
43,779
|
86,555
|
|||||||
San Dimas
|
61,657
|
19,895
|
8,227
|
-
|
33,535
|
41,762
|
147,638
|
|||||||
Stillwater
|
12,201
|
2,175
|
3,202
|
-
|
6,824
|
10,026
|
212,650
|
|||||||
Other 3
|
|
10,324
|
|
5,969
|
|
916
|
|
-
|
|
3,439
|
|
4,090
|
|
557,035
|
Total gold interests
|
$
|
413,414
|
$
|
98,724
|
$
|
78,342
|
$
|
-
|
$
|
236,348
|
$
|
314,140
|
$
|
3,613,587
|
Silver
|
||||||||||||||
Peñasquito
|
$
|
90,967
|
$
|
17,053
|
$
|
15,646
|
$
|
-
|
$
|
58,268
|
$
|
73,915
|
$
|
278,028
|
Antamina
|
60,812
|
12,046
|
18,141
|
-
|
30,625
|
48,765
|
527,227
|
|||||||
Constancia
|
35,034
|
9,073
|
9,211
|
-
|
16,750
|
25,962
|
183,736
|
|||||||
Other 4
|
|
76,316
|
|
18,179
|
|
9,198
|
|
(5,027)
|
|
53,966
|
|
55,364
|
|
549,641
|
Total silver interests
|
$
|
263,129
|
$
|
56,351
|
$
|
52,196
|
$
|
(5,027)
|
$
|
159,609
|
$
|
204,006
|
$
|
1,538,632
|
Palladium
|
||||||||||||||
Stillwater
|
$
|
14,922
|
$
|
2,699
|
$
|
4,658
|
$
|
-
|
$
|
7,565
|
$
|
12,223
|
$
|
222,154
|
Platinum
|
||||||||||||||
Marathon
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,450
|
Cobalt
|
||||||||||||||
Voisey's Bay
|
$
|
11,108
|
$
|
2,639
|
$
|
10,712
|
$
|
-
|
$
|
(2,243)
|
$
|
13,056
|
$
|
353,631
|
Total mineral stream interests
|
$
|
702,573
|
$
|
160,413
|
$
|
145,908
|
$
|
(5,027)
|
$
|
401,279
|
$
|
543,425
|
$
|
5,737,454
|
Other
|
||||||||||||||
General and administrative
|
$
|
(28,922)
|
$
|
(29,702)
|
||||||||||
Share based compensation
|
(16,217)
|
(16,675)
|
||||||||||||
Donations and community investments
|
(5,054)
|
(4,896)
|
||||||||||||
Finance costs
|
(4,138)
|
(3,147)
|
||||||||||||
Other
|
26,961
|
24,823
|
||||||||||||
Income tax
|
|
|
|
|
|
|
|
|
|
(4,700)
|
|
(5,244)
|
|
|
Total other
|
|
|
|
|
|
|
|
|
$
|
(32,070)
|
$
|
(34,841)
|
$
|
1,144,061
|
Consolidated
|
|
|
|
|
|
|
|
|
$
|
369,209
|
$
|
508,584
|
$
|
6,881,515
|
1) |
See Note 13 for more information.
|
2) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests as well as the non-operating Stobie and Victor gold interests.
|
3) |
Where a gold interest represents less than 10% of the Company’s sales, gross margin or aggregate asset book value and is not evaluated on a regular basis by the Company’s CEO for the purpose of assessing performance,
the gold interest has been summarized under Other gold interests. Other gold interests are comprised of the operating Marmato gold interest as well as the non-operating Minto, 777, Copper World Complex, Santo Domingo, Fenix, Blackwater,
Marathon, Curipamba, Goose and Cangrejos gold interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the
Minto mine.
|
4) |
Where a silver interest represents less than 10% of the Company’s sales, gross margin or aggregate asset book value and is not evaluated on a regular basis by the Company’s CEO for the purpose of assessing
performance, the silver interest has been summarized under Other silver interests. Other silver interests are comprised of the operating Los Filos, Zinkgruvan, Neves-Corvo, Aljustrel, Cozamin and Marmato silver interests and the non-operating
Minto, 777, Loma de La Plata, Stratoni, Pascua-Lama, Copper World Complex, Blackwater and Curipamba silver interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May
13, 2023, Minto announced the suspension of operations at the Minto mine. On September 12, 2023, it was announced that the production of the zinc and lead concentrates at the Aljustrel mine will be halted from September 24, 2023 until the
second quarter of 2025.
|
Nine Months Ended September 30, 2022
|
||||||||||||||
Sales
|
Cost
of Sales |
Depletion
|
Impairment
Reversal / Gain
on Disposal 1
|
Net
Earnings (Loss) |
Cash Flow
From
Operations
|
Total
Assets |
||||||||
(in thousands)
|
||||||||||||||
Gold
|
||||||||||||||
Salobo
|
$
|
225,267
|
$
|
51,134
|
$
|
40,987
|
$
|
-
|
$
|
133,146
|
$
|
174,134
|
$
|
2,396,952
|
Sudbury 2
|
30,673
|
6,710
|
18,306
|
-
|
5,657
|
22,980
|
288,863
|
|||||||
Constancia
|
44,480
|
10,018
|
6,576
|
-
|
27,886
|
34,463
|
97,213
|
|||||||
San Dimas
|
56,335
|
19,221
|
8,019
|
-
|
29,095
|
37,114
|
158,704
|
|||||||
Stillwater
|
13,503
|
2,433
|
3,168
|
-
|
7,902
|
11,070
|
216,617
|
|||||||
Other 3
|
|
40,388
|
|
16,203
|
|
1,002
|
|
-
|
|
23,183
|
|
22,912
|
|
461,359
|
Total gold interests
|
$
|
410,646
|
$
|
105,719
|
$
|
78,058
|
$
|
-
|
$
|
226,869
|
$
|
302,673
|
$
|
3,619,708
|
Silver
|
||||||||||||||
Peñasquito
|
$
|
130,686
|
$
|
25,650
|
$
|
20,978
|
$
|
-
|
$
|
84,058
|
$
|
105,036
|
$
|
301,040
|
Antamina
|
84,093
|
16,793
|
26,821
|
-
|
40,479
|
66,952
|
553,231
|
|||||||
Constancia
|
36,227
|
9,967
|
10,377
|
-
|
15,883
|
26,260
|
195,507
|
|||||||
Other 4
|
|
113,823
|
|
37,974
|
|
29,836
|
|
(114,755)
|
|
160,768
|
|
75,969
|
|
538,739
|
Total silver interests
|
$
|
364,829
|
$
|
90,384
|
$
|
88,012
|
$
|
(114,755)
|
$
|
301,188
|
$
|
274,217
|
$
|
1,588,517
|
Palladium
|
||||||||||||||
Stillwater
|
$
|
25,574
|
$
|
4,475
|
$
|
4,662
|
$
|
-
|
$
|
16,437
|
$
|
21,099
|
$
|
228,168
|
Platinum
|
||||||||||||||
Marathon
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,425
|
Cobalt
|
||||||||||||||
Voisey's Bay
|
$
|
27,953
|
$
|
5,313
|
$
|
8,080
|
$
|
-
|
$
|
14,560
|
$
|
24,412
|
$
|
361,238
|
Total mineral stream interests
|
$
|
829,002
|
$
|
205,891
|
$
|
178,812
|
$
|
(114,755)
|
$
|
559,054
|
$
|
622,401
|
$
|
5,807,056
|
Other
|
||||||||||||||
General and administrative
|
$
|
(27,448)
|
$
|
(28,688)
|
||||||||||
Share based compensation
|
(11,586)
|
(18,411)
|
||||||||||||
Donations and community investments
|
(3,379)
|
(2,977)
|
||||||||||||
Finance costs
|
(4,209)
|
(3,107)
|
||||||||||||
Other
|
3,448
|
2,319
|
||||||||||||
Income tax
|
|
|
|
|
|
|
|
|
|
(12,879)
|
|
(141)
|
|
|
Total other
|
|
|
|
|
|
|
|
|
$
|
(56,053)
|
$
|
(51,005)
|
$
|
780,539
|
Consolidated
|
|
|
|
|
|
|
|
|
$
|
503,001
|
$
|
571,396
|
$
|
6,587,595
|
1) |
See Notes 13 and 14 for more information.
|
2) |
Comprised of the operating Coleman, Copper Cliff, Garson, Creighton and Totten gold interests as well as the non-operating Stobie and Victor gold interests.
|
3) |
Where a gold interest represents less than 10% of the Company’s sales, gross margin or aggregate asset book value and is not evaluated on a regular basis by the Company’s CEO for the purpose of assessing performance,
the gold interest has been summarized under Other gold interests. Other gold interests are comprised of the operating 777, Minto and Marmato gold interests as well as the non-operating Copper World Complex, Santo Domingo, Fenix, Blackwater,
Marathon, Curipamba and Goose gold interests. On June 22, 2022, Hudbay announced that mining activities at 777 have concluded and closure activities have commenced. On May 13, 2023, Minto announced the suspension of operations at the Minto
mine.
|
4) |
Where a silver interest represents less than 10% of the Company’s sales, gross margin or aggregate asset book value and is not evaluated on a regular basis by the Company’s CEO for the purpose of assessing
performance, the silver interest has been summarized under Other silver interests. Other silver interests are comprised of the operating Los Filos, Zinkgruvan, Aljustrel, Neves-Corvo, Minto, 777, Marmato and Cozamin silver interests, the
non-operating Loma de La Plata, Stratoni, Pascua-Lama, Copper World Complex, Blackwater and Curipamba silver interests and the previously owned Keno Hill and Yauliyacu silver interests. On June 22, 2022, Hudbay announced that mining activities
at 777 have concluded and closure activities have commenced. On September 7, 2022, the Keno Hill stream was terminated in exchange for $141 million of Hecla common stock. On December 14, 2022 the Company terminated the Yauliyacu PMPA in
exchange for a cash payment of $132 million. On May 13, 2023, Minto announced the suspension of operations at the Minto mine. On September 12, 2023, it was announced that the production of the zinc and lead concentrates at the Aljustrel mine
will be halted from September 24, 2023 until the second quarter of 2025.
|
Sales
|
|
|
Carrying Amount at
September 30, 2023 |
|||||||||||||||
(in thousands)
|
Three Month Ended
Sep 30, 2023 |
Nine Months Ended
Sep 30, 2023 |
Gold
Interests |
Silver
Interests |
Palladium
Interests |
Platinum
Interests |
Cobalt
Interests |
Total
|
||||||||||
North America
|
|
|||||||||||||||||
Canada
|
$
|
12,754
|
6%
|
$
|
46,310
|
7%
|
$
|
704,127
|
$
|
106,091
|
$
|
-
|
$
|
9,450
|
$
|
353,631
|
$
|
1,173,299
|
United States
|
9,166
|
4%
|
27,123
|
4%
|
|
212,651
|
567
|
222,154
|
-
|
-
|
435,372
|
|||||||
Mexico
|
33,681
|
15%
|
164,661
|
23%
|
|
147,636
|
400,632
|
-
|
-
|
-
|
548,268
|
|||||||
Europe
|
|
|||||||||||||||||
Greece
|
-
|
0%
|
-
|
0%
|
|
-
|
-
|
-
|
-
|
-
|
-
|
|||||||
Portugal
|
9,106
|
4%
|
25,149
|
4%
|
|
-
|
17,794
|
-
|
-
|
-
|
17,794
|
|||||||
Sweden
|
16,862
|
8%
|
37,571
|
5%
|
|
-
|
27,474
|
-
|
-
|
-
|
27,474
|
|||||||
South America
|
|
|||||||||||||||||
Argentina/Chile 1
|
-
|
0%
|
-
|
0%
|
|
-
|
253,514
|
-
|
-
|
-
|
253,514
|
|||||||
Argentina
|
-
|
0%
|
-
|
0%
|
|
-
|
10,889
|
-
|
-
|
-
|
10,889
|
|||||||
Chile
|
-
|
0%
|
-
|
0%
|
|
56,537
|
-
|
-
|
-
|
-
|
56,537
|
|||||||
Brazil
|
86,395
|
38%
|
246,218
|
34%
|
|
2,341,485
|
-
|
-
|
-
|
-
|
2,341,485
|
|||||||
Peru
|
53,377
|
24%
|
151,564
|
22%
|
|
86,558
|
710,957
|
-
|
-
|
-
|
797,515
|
|||||||
Ecuador
|
-
|
0%
|
-
|
0%
|
|
22,677
|
3,769
|
-
|
-
|
-
|
26,446
|
|||||||
Colombia
|
|
1,796
|
1%
|
|
3,977
|
1%
|
|
41,916
|
|
6,945
|
|
-
|
|
-
|
|
-
|
|
48,861
|
Consolidated
|
$
|
223,137
|
100%
|
$
|
702,573
|
100%
|
$
|
3,613,587
|
$
|
1,538,632
|
$
|
222,154
|
$
|
9,450
|
$
|
353,631
|
$
|
5,737,454
|
1) |
Includes the Pascua-Lama project, which straddles the border of Argentina and Chile.
|
|
Sales
|
|
|
Carrying Amount at
September 30, 2022 |
||||||||||||||
(in thousands)
|
Three Month Ended
Sep 30, 2022 |
Nine Months Ended
Sep 30, 2022 |
Gold
Interests |
Silver
Interests |
Palladium
Interests |
Platinum
Interests |
Cobalt
Interests |
Total
|
||||||||||
North America
|
|
|||||||||||||||||
Canada
|
$
|
23,873
|
11%
|
$
|
104,254
|
13%
|
$
|
650,037
|
$
|
2,323
|
$
|
-
|
$
|
9,425
|
$
|
361,238
|
$
|
1,023,023
|
United States
|
12,505
|
6%
|
39,077
|
5%
|
|
216,618
|
566
|
228,168
|
-
|
-
|
445,352
|
|||||||
Mexico
|
51,863
|
24%
|
199,977
|
24%
|
|
158,702
|
433,131
|
-
|
-
|
-
|
591,833
|
|||||||
Europe
|
|
|||||||||||||||||
Greece
|
-
|
0%
|
3,291
|
0%
|
|
-
|
-
|
-
|
-
|
-
|
-
|
|||||||
Portugal
|
5,473
|
3%
|
20,159
|
2%
|
|
-
|
18,458
|
-
|
-
|
-
|
18,458
|
|||||||
Sweden
|
6,655
|
3%
|
29,323
|
4%
|
|
-
|
29,688
|
-
|
-
|
-
|
29,688
|
|||||||
South America
|
|
|||||||||||||||||
Argentina/Chile 1
|
-
|
0%
|
-
|
0%
|
|
-
|
253,514
|
-
|
-
|
-
|
253,514
|
|||||||
Argentina
|
-
|
0%
|
-
|
0%
|
|
-
|
10,889
|
-
|
-
|
-
|
10,889
|
|||||||
Chile
|
-
|
0%
|
-
|
0%
|
|
56,534
|
-
|
-
|
-
|
-
|
56,534
|
|||||||
Brazil
|
54,860
|
25%
|
225,267
|
27%
|
|
2,396,951
|
-
|
-
|
-
|
-
|
2,396,951
|
|||||||
Peru
|
62,216
|
27%
|
203,610
|
25%
|
|
97,213
|
832,585
|
-
|
-
|
-
|
929,798
|
|||||||
Ecuador
|
-
|
0%
|
-
|
0%
|
|
574
|
207
|
-
|
-
|
-
|
781
|
|||||||
Colombia
|
|
1,391
|
1%
|
|
4,044
|
0%
|
|
43,079
|
|
7,156
|
|
-
|
|
-
|
|
-
|
|
50,235
|
Consolidated
|
$
|
218,836
|
100%
|
$
|
829,002
|
100%
|
$
|
3,619,708
|
$
|
1,588,517
|
$
|
228,168
|
$
|
9,425
|
$
|
361,238
|
$
|
5,807,056
|
1) |
Includes the Pascua-Lama project, which straddles the border of Argentina and Chile.
|
29. |
Subsequent Events
|
1. |
Review: I have reviewed the interim financial report and interim MD&A (together, the “interim filings”) of Wheaton Precious Metals Corp. (the
“issuer”) for the interim period ended September 30, 2023.
|
2. |
No misrepresentations: Based on my knowledge, having exercised reasonable diligence, the interim filings do not contain any untrue statement of a
material fact or omit to state a material fact required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim filings.
|
3. |
Fair presentation: Based on my knowledge, having exercised reasonable diligence, the interim financial report together with the other financial
information included in the interim filings fairly present in all material respects the financial condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.
|
4. |
Responsibility: The issuer’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures
(DC&P) and internal control over financial reporting (ICFR), as those terms are defined in National Instrument 52-109 Certification of Disclosure in Issuers’ Annual and Interim Filings, for the
issuer.
|
5. |
Design: Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer’s other certifying officer(s) and I have, as at the end of
the period covered by the interim filings
|
|
(a) |
designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance that
|
|
(i) |
material information relating to the issuer is made known to us by others, particularly during the period in which the interim filings are being prepared; and
|
|
(ii) |
information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted by it under securities legislation is recorded, processed, summarized and reported
within the time periods specified in securities legislation; and
|
|
(b) |
designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes
in accordance with the issuer’s GAAP.
|
5.1 |
Control framework: The control framework the issuer’s other certifying officer(s) and I used to design the issuer’s ICFR is Internal Control – Integrated
Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.
|
5.2 |
N/A
|
5.3 |
N/A
|
6. |
Reporting changes in ICFR: The issuer has disclosed in its interim MD&A any change in the issuer’s ICFR that occurred during the period beginning on
July 1, 2023 and ended on September 30, 2023 that has materially affected, or is reasonably likely to materially affect, the issuer’s ICFR.
|
Name: |
Randy Smallwood
|
Title: |
President and Chief Executive Officer
|
1. |
Review: I have reviewed the interim financial report and interim MD&A (together, the “interim filings”) of Wheaton Precious Metals Corp. (the “issuer”)
for the interim period ended September 30, 2023.
|
2. |
No misrepresentations: Based on my knowledge, having exercised reasonable diligence, the interim filings do not contain any untrue statement of a material
fact or omit to state a material fact required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim filings.
|
3. |
Fair presentation: Based on my knowledge, having exercised reasonable diligence, the interim financial report together with the other financial information
included in the interim filings fairly present in all material respects the financial condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.
|
4. |
Responsibility: The issuer’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures
(DC&P) and internal control over financial reporting (ICFR), as those terms are defined in National Instrument 52-109 Certification of Disclosure in Issuers’ Annual and Interim Filings, for the
issuer.
|
5. |
Design: Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer’s other certifying officer(s) and I have, as at the end of the
period covered by the interim filings
|
|
(a) |
designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance that
|
|
(i) |
material information relating to the issuer is made known to us by others, particularly during the period in which the interim filings are being prepared; and
|
|
(ii) |
information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted by it under securities legislation is recorded, processed, summarized and reported within
the time periods specified in securities legislation; and
|
|
(b) |
designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in
accordance with the issuer’s GAAP.
|
5.1 |
Control framework: The control framework the issuer’s other certifying officer(s) and I used to design the issuer’s ICFR is Internal Control – Integrated
Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.
|
5.2 |
N/A
|
5.3 |
N/A
|
6. |
Reporting changes in ICFR: The issuer has disclosed in its interim MD&A any change in the issuer’s ICFR that occurred during the period beginning on
July 1, 2023 and ended on September 30, 2023 that has materially affected, or is reasonably likely to materially affect, the issuer’s ICFR.
|
Date: | November 9, 2023 |
Name: |
Gary Brown
|
Title: |
Senior Vice President and Chief Financial Officer
|
Yours truly,
|
|
/s/ Wes Carson |
|
Wes Carson, P.Eng.
|
|
Vice President, Mining Operations
|
|
Wheaton Precious Metals Corp.
|
Yours truly,
|
/s/ Neil Burns |
Neil Burns, M.Sc, P.Geo.
|
Vice President Technical Services,
|
Wheaton Precious Metals Corp.
|
Yours truly,
|
/s/ Ryan Ulansky |
Ryan Ulansky, M.A.Sc., P.Eng.
|
Vice President, Engineering
|
Wheaton Precious Metals Corp.
|