November 8, 2024
Vancouver, British Columbia
Designated News
Release
Third QUARTER FINANCIAL results
Wheaton
Precious Metals Announces Third Quarter 2024 Results
and
Record Quarterly Operating Cash Flow
"Wheaton achieved record cash flow from operations
in the third quarter of 2024, underscoring the effectiveness of our
business model in leveraging rising commodity prices, with our cash
operating margins increasing by over 30% relative to the third
quarter of 2023. Our portfolio of operating assets delivered solid
production levels, continuing to support our annual production
guidance range for 2024 of 550,000 to 620,000 gold equivalent
ounces," said Randy Smallwood, President and CEO of Wheaton
Precious Metals. "Shortly following the quarter, Wheaton announced
two accretive, precious metals streaming agreements, including a
new stream on Montage's Koné Project and an amendment to the
existing stream on Rio2's Fenix Project. Together, these
transactions further diversify our strategic partnerships and the
geography of our portfolio. Once ramped-up, the Koné Project is
forecast to contribute meaningful near-term production, reinforcing
Wheaton's already prominent position as a leader in the sector's
growth landscape."
Solid
Financial Results and Strong Balance Sheet
· Third quarter of 2024:
$308 million in revenue, $254 million in operating cash flow, $155
million in net earnings and $153 million in adjusted net
earnings[1], and declared a quarterly
dividend1 of $0.155 per common share.
·
Balance Sheet: cash balance of $694
million, no debt, and an undrawn $2 billion revolving credit
facility as at September 30, 2024 after making total upfront cash
payments of $30 million relative to mineral stream and royalty
interests in the quarter.
High Quality Asset Base
· Streaming and royalty
agreements on 18 operating mines and 28 development projects5, including the addition of
the Koné project announced subsequent to the quarter.
· 93% of attributable
production from assets in the lowest half of their respective cost
curves[2],4.
· Attributable gold
equivalent production3 ("GEOs") of 144,200 ounces in the third quarter of 2024 and 448,400 for
the first nine months of 2024,
with quarterly production consistent with the
comparable period of the prior year, as lower production from
Salobo and Constancia was largely offset by higher production from
Peñasquito.
· Average annual forecast
production guidance for 2024 of 550,000 to 620,000 GEOs3
maintained, with forecasted sector-leading growth to over 800,000
GEOs3 by 2028, and average annual forecast attributable
production growing to over 850,000 GEOs3 in years 2029
to 2033.
· Further de-risked
forecast growth profile as construction activities advanced at the
Blackwater, Goose, Platreef, and Mineral Park projects, all of
which are expected to be producing within the next 12
months.
· Subsequent to the
quarter, the Company announced two accretive precious metals
streaming agreements:
o On October 23, 2024, the
Company entered into a precious metals purchase agreement ("PMPA")
with Montage Gold Corp. in respect to the Koné Gold Project located
in Côte d'Ivoire.
o On October 21, 2024, the
Company amended the Fenix PMPA, increasing the amount of
attributable gold it is entitled to under the contract.
Leadership in Sustainability
·
Top Rankings: One of the
top-rated companies by Sustainalytics, AA rated by MSCI, and Prime
rated by ISS.
·
Launch of inaugural
Future of Mining Challenge, which will award US$1 million to a
winning venture to advance their technology aimed at minimizing
environmental impacts, improving efficiencies, and contributing to
climate solutions, while ensuring key resources are responsibly
available for future generations.
Operational Overview
(all figures in US dollars unless
otherwise noted)
|
|
|
Q3
2024
|
|
|
Q3
2023
|
|
Change
|
|
|
YTD 2024
|
|
|
YTD 2023
|
|
|
Change
|
Units produced
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gold ounces
|
|
|
87,199
|
|
|
105,027
|
|
(17.0)%
|
|
|
262,698
|
|
|
261,226
|
|
|
0.6 %
|
Silver ounces
|
|
|
4,554
|
|
|
3,397
|
|
34.1 %
|
|
|
15,083
|
|
|
12,985
|
|
|
16.2 %
|
Palladium ounces
|
|
|
4,034
|
|
|
4,006
|
|
0.7 %
|
|
|
12,835
|
|
|
11,591
|
|
|
10.7 %
|
Cobalt pounds
|
|
|
397
|
|
|
183
|
|
117.6 %
|
|
|
896
|
|
|
458
|
|
|
95.5 %
|
Gold equivalent ounces
3
|
|
|
144,164
|
|
|
147,278
|
|
(2.1)%
|
|
|
448,388
|
|
|
419,330
|
|
|
6.9 %
|
Units sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gold ounces
|
|
|
75,694
|
|
|
74,426
|
|
1.7 %
|
|
|
245,039
|
|
|
212,325
|
|
|
15.4 %
|
Silver ounces
|
|
|
3,875
|
|
|
2,965
|
|
30.7 %
|
|
|
11,765
|
|
|
11,151
|
|
|
5.5 %
|
Palladium ounces
|
|
|
3,761
|
|
|
4,242
|
|
(11.3)%
|
|
|
12,836
|
|
|
10,580
|
|
|
21.3 %
|
Cobalt pounds
|
|
|
88
|
|
|
198
|
|
(55.6)%
|
|
|
485
|
|
|
786
|
|
|
(38.3)%
|
Gold equivalent ounces
3
|
|
|
122,715
|
|
|
111,935
|
|
9.6 %
|
|
|
389,907
|
|
|
350,961
|
|
|
11.1 %
|
Change in PBND and Inventory
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gold equivalent ounces
3
|
|
|
9,267
|
|
|
21,869
|
|
12,602
|
|
|
17,989
|
|
|
20,020
|
|
|
2,031
|
Revenue
|
|
$
|
308,253
|
|
$
|
223,137
|
|
38.1 %
|
|
$
|
904,123
|
|
$
|
702,573
|
|
|
28.7 %
|
Net
earnings
|
|
$
|
154,635
|
|
$
|
116,371
|
|
32.9 %
|
|
$
|
440,993
|
|
$
|
369,209
|
|
|
19.4 %
|
Per share
|
|
$
|
0.341
|
|
$
|
0.257
|
|
32.7 %
|
|
$
|
0.973
|
|
$
|
0.815
|
|
|
19.4 %
|
Adjusted net earnings 1
|
|
$
|
152,803
|
|
$
|
121,467
|
|
25.8 %
|
|
$
|
441,201
|
|
$
|
368,481
|
|
|
19.7 %
|
Per share 1
|
|
$
|
0.337
|
|
$
|
0.268
|
|
25.7 %
|
|
$
|
0.973
|
|
$
|
0.814
|
|
|
19.5 %
|
Operating cash flows
|
|
$
|
254,337
|
|
$
|
171,103
|
|
48.6 %
|
|
$
|
708,110
|
|
$
|
508,584
|
|
|
39.2 %
|
Per share 1
|
|
$
|
0.561
|
|
$
|
0.378
|
|
48.4 %
|
|
$
|
1.562
|
|
$
|
1.123
|
|
|
39.1 %
|
All amounts in thousands except gold, palladium & gold
equivalent ounces, and per share amounts.
Financial Review
Revenues
Revenue in the third quarter of
2024 was $308 million (61% gold, 37% silver, 1% palladium and 1%
cobalt), with the $85 million increase
relative to the prior period quarter being primarily due to a 26%
increase in the average realized gold equivalent³ price; and a 10%
increase in the number of GEOs³ sold.
Revenue was $904 million in the
nine months ended September 30, 2024, representing a $202 million
increase from the comparable period of the previous year due
primarily to a 16% increase in the average realized gold
equivalent³ price; and an 11% increase in the number of GEOs³
sold.
Cash Costs and Margin
Average cash costs¹ in the third
quarter of 2024 were $437 per GEO³ as compared to $445 in the third
quarter of 2023. This resulted in a cash
operating margin¹ of $2,075 per GEO³ sold, an increase of 34% as
compared with the third quarter of 2023, a
result of the higher realized price per ounce coupled with the
lower average cash costs due to changes in the sales
mix.
Average cash costs¹ for the nine
months ended September 30, 2024 were $434 per GEO³ as compared to
$457 in the comparable period of the previous year. This resulted
in a cash operating margin¹ of $1,885 per GEO³ sold, a 22% increase
from comparable period of the previous year.
Cash Flow from Operations
Operating cash flow in the third
quarter of 2024 amounted to $254 million, with the $83 million
increase due primarily to the higher gross margin.
Operating cash flows for the nine
months ended September 30, 2024 amounted to $708 million, with the
$200 million increase from the comparable period of the previous
year being due primarily to the higher gross margin.
Balance Sheet (at
September 30,
2024)
· Approximately $694 million of cash on hand
· During the third quarter of 2024, the Company made total
upfront cash payments of $30 million relative to the mineral stream
and royalty interests consisting of:
o $25 million relative to the Mineral Park PMPA; and
o $5 million relative to the DeLamar Royalty.
· With the existing cash on hand coupled with the fully undrawn
$2 billion revolving credit
facility, the
Company believes it is well positioned to fund all outstanding
commitments and known contingencies as well as providing
flexibility to acquire additional accretive mineral stream
interests.
Global Minimum Tax
The Company is within the scope of global minimum
tax ("GMT") under the OECD Pillar Two model rules ("Pillar Two"),
under which large multinational entities are subject to a 15% GMT.
On June 20, 2024, Canada's Global Minimum Tax Act ("GMTA"),
received royal assent. The GMTA enacts the OECD Pillar Two model
rules where in scope companies are subject to a 15% GMT for fiscal
years commencing on or after December 31, 2023.
With the enactment of the GMTA on June 20, 2024, the income of the
Company's subsidiaries which operate in jurisdictions with a
statutory tax rate of 0% are subject to the GMTA. For the three
months ended September 30, 2024 an amount of $28 million current
tax expense associated with GMT was recorded (nine months - $78
million). GMT accrued to December 31, 2024, is payable on or
before June 30, 2026 (18 months following year-end).
Third Quarter Operating Asset Highlights
Salobo: In the third quarter of 2024,
Salobo produced 62,700 ounces of attributable gold, a decrease of
approximately 9% relative to the third quarter of 2023, primarily
due to lower grades, partially offset by higher throughput. On July
25, 2024, Vale S.A. ("Vale") reported that the Salobo III
processing plant operations resumed in July, after being halted for
31 days due to a fire on a conveyor belt. Vale confirmed that 2024
copper production guidance of 320-355 kt has been maintained.
Antamina: In the third
quarter of 2024, Antamina produced 0.9 million ounces of
attributable silver, an increase of approximately 3% relative to
the third quarter of 2023 primarily due to higher recoveries,
partially offset by lower throughput.
Peñasquito: In the third
quarter of 2024, Peñasquito produced 1.8 million ounces of
attributable silver, with Peñasquito producing no ounces in
the third quarter of 2023 as a result of a labour strike which
lasted from June 7 to October 13, 2023.
Constancia: In the third
quarter of 2024, Constancia produced 0.6 million ounces of
attributable silver and 10,400 ounces of attributable gold, a
decrease of approximately 7% and 45%, respectively, relative to the
third quarter of 2023. The decrease in silver production was
primarily due to lower recoveries. The
decrease in gold production was primarily the result of lower gold
grades due largely to the planned
stripping activity in the Pampacancha pit, which commenced in the
second quarter, and continued throughout the third quarter. On
August 13, 2024, Hudbay Minerals Inc. ("Hudbay") reported that the
stripping program for the next mining phase at Pampacancha was
underway and expected to lead to significantly higher copper and
gold grades in the fourth quarter of 2024.
Sudbury: In the third quarter
of 2024, Vale's Sudbury mines produced 4,300 ounces of attributable
gold, an increase of approximately 11% relative to the third
quarter of 2023, due to higher throughput.
Stillwater: In the third
quarter of 2024, the Stillwater mines produced 2,200 ounces of
attributable gold and 4,000 ounces of attributable palladium, a
decrease of approximately 8% for gold relative to the third quarter
of 2023, due primarily to lower recoveries, while palladium
production was virtually unchanged. On September 12, 2024, Sibanye
Stillwater ("Sibanye") announced that as a result of low palladium
prices it was placing the Stillwater West operations into care and
maintenance, while Stillwater East and East Boulder operations
continue to operate. Sibanye reports that Stillwater West could
return to production as prices permit. Based on Sibanye's Q3
MD&A, the Company's management estimates that with the
Stillwater West operations in care and maintenance, 2025 production
relative to the Stillwater PMPA will be approximately 40% to 45%
lower than historical levels.
Voisey's Bay: In the third
quarter of 2024, the Voisey's Bay mine produced 397,000 pounds of
attributable cobalt, an increase of approximately 118% relative to
the third quarter of 2023, as the transitional period between the
depletion of the Ovoid open-pit and ramp-up to full production of
the Voisey's Bay underground mine nears completion. Vale reported
that physical completion of the Voisey's Bay underground mine
extension was 99% at the end of the third quarter, with all surface
construction completed and the commissioning of the Reid Brook
power plant remaining. In the Eastern Deeps Mine, the Bulk Material
Handling system achieved mechanical completion in early October and
Vale indicated that the focus is now on commissioning, with
handover to Operations within 2024. Demobilization efforts are
ongoing, with Surface contractors already fully demobilized.
Other Silver: In the third
quarter of 2024, total Other Silver attributable production was 1.2
million ounces, a decrease of approximately 34% relative to the
third quarter of 2023. The decrease from the comparable period of
the prior year is primarily due to the temporary suspension of
attributable ore mined at Aljustrel commencing September 24,
2023.
Detailed mine-by-mine production and sales figures
can be found in the Appendix to this press release and in Wheaton's
consolidated MD&A in the 'Results of Operations and Operational
Review' section.
Recent Development Asset Updates
Blackwater
Project: On November 6, 2024, Artemis Gold Inc.,
("Artemis") announced that overall construction was over 95%
complete as of September 30, 2024 and first gold pour is targeted
for late Q4 2024. Construction of the tailings storage
facility is ready to allow for the commencement of commissioning of
the plant. Artemis reported that the initial mining fleet has been
commissioned and pre-stripping of the mine, as well as the
construction of haul roads are well advanced.
Platreef Project: On October 30, 2024,
Ivanhoe Mines ("Ivanhoe") reported that construction of the Phase 1
concentrator was completed on schedule early in the third quarter.
First ore is scheduled for the second half of 2025, while
underground development prioritizes development to accelerate Phase
2. Ivanhoe also states that work continues on the updated
feasibility study to accelerate the startup of Phase 2, as well as
the preliminary economic assessment of the previously announced
Phase 3 expansion to 10 Mtpa processing capacity. Both studies are
now expected to be published in Q1 2025.
Goose
Project: On November 6 2024, B2Gold Corp. ("B2Gold")
announced that all planned construction year to date in 2024 has
been completed. Project construction and development continues to
progress on track for first gold pour at the Goose Project in the
second quarter of 2025, followed by a ramp up to commercial
production in the third quarter of 2025. The 2024 sealift was
completed successfully on September 30, 2024, with ten ships and
one barge having unloaded 123,000 cubic meters of dry cargo, more
than 84 million liters of arctic grade diesel fuel and 58
additional trucks for the 2025 Winter Ice Road campaign.
Marmato Mine:
On July 16, 2024, Aris Mining Corporation ("Aris") reported that
the Lower Mine project is on track for first gold pour by the end
of 2025, followed by an approximate six-month ramp-up period. On
October 7, 2024, Aris provided an update that the Marmato Lower
Mine expansion is progressing on schedule, with the site access
road and portal face now complete and the contractor preparing to
initiate work on the twin declines. Both the SAG and ball mill
fabrication are progressing on schedule for completion before the
end of 2024.
Curipamba Project: On July 31, 2024,
Silvercorp Metals Inc. ("Silvercorp") completed the previously
announced acquisition of all of the issued and outstanding common
shares of Adventus Mining Corporation. Under the terms of the
Curipamba PMPA, within 30 days of a change of control, Silvercorp
had a one-time option to repurchase 33% of the gold and silver
stream which expired unexercised.
Marathon
Project: On July 31, 2024,
Generation Mining Limited ("Gen Mining") reported that the federal
government has approved amendments to Schedule 2 of the Metal and
Diamond Mining Effluent Regulations ("Schedule 2") which will allow
for the construction of specific water management structures and
operation of key infrastructure for the Marathon Project. On August
7, 2024, Gen Mining announced a key milestone with the receipt of
the Fisheries Act Authorization for the Marathon project. Gen
Mining also states that receipt of the few remaining provincial and
federal approvals and permits required for construction is expected
in the coming months. Following which, the Marathon project will
have all of the key government permits and approvals required for
construction.
Santo Domingo:
On July 31, 2024, Capstone Copper Corp.
("Capstone") published the results of an updated feasibility study
for the Santo Domingo project, outlining an optimized mine plan,
updated capital and operating cost estimates, and a 19-year mine
life supported by higher mineral reserve estimates. The report
indicates that total gold production is expected to average 35,000
ounces per year for the first seven years of production, an
increase from the 30,000 ounces per year estimate outlined in the
2020 feasibility study, and 22,000 ounces per year for the life of
mine, up from 17,000 ounces per year. Capstone has reported that
with construction completed at the Mantoverde project, a deposit
situated 35 kilometers northeast of the Santo Domingo project,
Capstone plans to advance several value enhancement initiatives
within the Mantoverde-Santo Domingo district that are not yet
included in the 2024 feasibility study. The first of these
initiatives is a newly announced two-year, $25 million exploration
program at Mantoverde, aimed at supporting the two future
processing centers between Mantoverde and Santo Domingo.
Curraghinalt Project: On May 3, 2024,
the Planning Appeals Commission & Water Appeals Commission (the
"Commission") in Northern Ireland concluded that the water
abstraction and impoundment licenses ("Water Licenses") relative to
the Curraghinalt Project have been rescinded and that license
applications would need to be resubmitted, and subsequent public
inquiry referrals held. Dalradian has re-submitted two new
applications for the abstraction licenses and those licenses were
received by the Commission on September 5, 2024. The Commission has
set new dates to resume the public inquiry process beginning
January 13, 2025.
Fenix
Project: On October 2, 2024, Rio2 Limited ("Rio2") announced
that its Chilean subsidiary has received the principal Sectorial
Permits it requires to begin construction at the Fenix project.
These Sectorial Permits represent the last governmental
authorization required to enable the start of the construction
phase and subsequent operation of the Fenix mine.
Copper
World Project: On August 29, 2024, Hudbay announced that it
has received an Aquifer Protection Permit for the Copper World
project from the Arizona Department of Environmental Quality. The
issuance of this permit is a key milestone in the advancement of
Copper World. The last key state-level permit is the Air Quality
Permit which is progressing as planned.
Corporate Development
Koné
Gold Project
On October 23, 2024, the Company entered into a PMPA
(the "Koné Gold PMPA") with Montage Gold Corp. ("Montage") in
respect of its 90% owned Koné Gold Project located in Côte
d'Ivoire. Under the terms of the agreement, Wheaton will purchase
19.5% of the payable gold production until 400,000 ounces of gold
have been delivered (subject to adjustment if there are delays in
deliveries relative to an agreed schedule), 10.8% of the gold
production until the delivery of a further 130,000 ounces and 5.4%
gold production thereafter for the life of mine. Under the terms of
the Koné Gold PMPA, the Company is committed to pay Montage total
upfront cash payments of $625 million, payable in four equal
installment payments during construction, subject to certain
conditions, including that all permits have been obtained.
In addition, Wheaton will make ongoing production
payments for the gold ounces delivered equal to 20% of the spot
gold price. For the first five years after the PMPA is signed,
there will be a price adjustment mechanism in place if the spot
price of gold is less than $2,100 per ounce or greater than $2,700
per ounce.
The Company has also provided Montage with a secured
debt facility of up to $75 million (the "Facility").
Amendment to the Fenix PMPA
On November 15, 2021, the Company
acquired a gold stream in respect of gold production from the Fenix
Project (the "Fenix PMPA"). Under the terms of the Fenix PMPA, the
Company was to acquire an amount of gold equal to 6% of the gold
production until 90,000 ounces have been delivered, 4% of the gold
production until the delivery of a further 140,000 ounces and 3.5%
gold production thereafter for the life of mine.
On October 21, 2024, the Company amended the Fenix
PMPA. Under the terms of the amended agreement, the Company is
entitled to purchase an additional 16% of payable gold production
(22% in total, subject to adjustment if there are delays in
deliveries relative to an agreed schedule). Once Rio2 delivers the
incremental 95,000 ounces (as adjusted), the stream reverts to the
percentages and thresholds under the original Fenix PMPA (as
described above). Rio2 has a one-time option to terminate the
requirement to deliver the additional gold production from the end
of 2027 until the end of 2029 by delivering 95,000 ounces (as
adjusted) less previously delivered gold ounces, excluding those
gold ounces which would have been delivered under the original
Fenix PMPA. Finally, the Company has also agreed to adjust the
production payment for all gold ounces delivered to 20% of the spot
gold price. In exchange for the amendment, the Company is committed
to pay additional upfront cash consideration of $100 million,
payable in two equal installments, subject to various customary
conditions being satisfied.
Wheaton will also provide a $20 million contingent
secured debt facility in the form of a standby loan facility.
Lastly, Wheaton has committed to participate in a private placement
of Rio2 common shares for Cdn$5 million at a price per share equal
to, and concurrent with, a public offering by Rio2.
Sustainability
Future
of Mining Challenge
On September 16, 2024, Wheaton announced the launch
of the inaugural Future of Mining Challenge, which will award US$1
million to a winning venture to advance their technology. The
Future of Mining Challenge invites cleantech ventures from around
the world to submit and propose industry solutions. This year's
challenge focuses on identifying eligible technologies with the
potential to reduce greenhouse gas emissions across mining
operations. In alignment with Wheaton's business model, the
solutions should be applicable to base and/or precious metal
mining. They should also be scalable globally, with the aim of
future implementation at operating mines. The challenge is being
supported by Foresight Canada. Submissions for challenge
applications opened in September 2024, and the winner will be
announced in March 2025 at the PDAC Convention in Toronto, the
world's largest mining conference. More information can be
found at
www.futureofmining.ca.
Community
Investment Program
·
Wheaton's Partner Community Investment Program
continues to support initiatives with the Vale Foundation, Vale
Canada, Glencore via Antamina, Hudbay Minerals, First Majestic
Silver and Sibanye-Stillwater to support the communities influenced
by the mines and provide vital services and programs including
educational resources, health and dental programs, poverty
reduction initiatives, entrepreneurial opportunities, and various
social and environmental programs.
·
In August 2024, the BC Cancer Foundation's Tour
de Cure presented by Wheaton raised C$7.3 million to advance
groundbreaking cancer research and care enhancements in British
Columbia.
2024 and Long-Term Production Outlook
Wheaton's estimated attributable production in 2024
is forecast to be 325,000 to 370,000 ounces of gold, 18.5 to 20.5
million ounces of silver, and 12,000 to 15,000 GEOs3 of
other metals, resulting in annual production of approximately
550,000 to 620,000 GEOs3, unchanged from previous
guidance2,3.
Annual production is forecast to increase by
approximately 40% to over 800,000 GEOs3 by 2028, with
average annual production forecast to grow to over 850,000
GEO3 in years 2029 to 2033, also unchanged from previous
guidance6. The transactions announced in 2024, including
the new stream associated with the Koné Project and the amendment
related to the Fenix Project, have not been incorporated into the
long-term guidance.
The Company will provide updated longer-term
guidance in normal course in the first quarter of 2025, which will
incorporate the impact of recent developments and the acquisitions
announced in 2024.2,3
About Wheaton Precious Metals
Corp.
Wheaton is the world's premier precious metals streaming company with
the highest-quality portfolio of long-life, low-cost assets. Its
business model offers investors commodity price leverage and
exploration upside but with a much lower risk profile than a
traditional mining company. Wheaton delivers amongst the highest
cash operating margins in the mining industry, allowing it to pay a
competitive dividend and continue to grow through accretive
acquisitions. As a result, Wheaton has consistently outperformed
gold and silver, as well as other mining investments. Wheaton is
committed to strong ESG practices and giving back to the
communities where Wheaton and its mining partners operate. Wheaton
creates sustainable value through streaming for all of its
stakeholders.
In accordance with
Wheaton Precious Metals™ Corp.'s ("Wheaton
Precious Metals", "Wheaton" or the "Company") MD&A and Financial Statements, reference to the Company
and Wheaton includes the Company's wholly owned
subsidiaries.
Webcast and Conference Call Details
A conference call will be held on
Friday, November 8, 2024, starting at 11:00 am ET
(8:00 am PT) to discuss
these results. To participate in the live call, please use one of the following
methods:
RapidConnect
URL:
Click
here
Live
webcast:
Click here
Dial toll
free:
1-888-510-2154 or 1-437-900-0527
Conference Call
ID:
48142
The accompanying slideshow will also be
available in PDF format on the 'Presentations' page of the Wheaton
Precious Metals
website before the conference call. The
conference call will be recorded and available until November 15,
2024 at 11:59 pm ET. The webcast will be available for one year.
You can listen to an archive of the call by one of the following
methods:
Dial toll free from Canada or the
US:
1-289-819-1450
Dial from outside Canada or the
US:
1-888-660-6345
Pass
code:
48142
Archived
webcast:
Click
here
This earnings release should be
read in conjunction with Wheaton Precious Metals' MD&A and
Financial Statements, which are available on the Company's website
at www.wheatonpm.com and have been posted on SEDAR+ at
www.sedarplus.ca.
Mr. Wes Carson, P.Eng., Vice President, Mining
Operations, Neil Burns, P.Geo., Vice President, Technical Services
for Wheaton Precious Metals and Ryan Ulansky, P.Eng., Vice
President, Engineering, are a "qualified person" as such term is
defined under National Instrument 43-101, and have reviewed and
approved the technical information disclosed in this news release
(specifically Mr. Carson has reviewed production figures, Mr. Burns
has reviewed mineral resource estimates and Mr. Ulansky has
reviewed the mineral reserve estimates).
Wheaton Precious Metals believes
that there are no significant differences between its
corporate governance practices and those required to be
followed by United States domestic issuers under the NYSE listing
standards. This confirmation is located on the Wheaton Precious
Metals website at
http://www.wheatonpm.com/Company/corporate-governance/default.aspx.
For further
information:
Investor
Contact
Emma Murray
Vice President, Investor Relations
Tel: 1-844-288-9878
Email: info@wheatonpm.com
Condensed Interim
Consolidated Statements of Earnings
|
|
Three
Months Ended
September 30
|
Nine
Months Ended
September 30
|
|
(US dollars and shares in thousands,
except per share amounts - unaudited)
|
|
2024
|
2023
|
2024
|
2023
|
|
Sales
|
|
$
|
308,253
|
$
|
223,137
|
$
|
904,123
|
$
|
702,573
|
Cost of sales
|
|
|
|
|
|
|
|
|
|
Cost of sales, excluding
depletion
|
|
$
|
55,310
|
$
|
49,808
|
$
|
170,872
|
$
|
160,413
|
Depletion
|
|
|
55,530
|
|
46,435
|
|
178,071
|
|
145,908
|
Total cost of sales
|
|
$
|
110,840
|
$
|
96,243
|
$
|
348,943
|
$
|
306,321
|
Gross margin
|
|
$
|
197,413
|
$
|
126,894
|
$
|
555,180
|
$
|
396,252
|
General and administrative
expenses
|
|
|
9,488
|
|
8,606
|
|
30,193
|
|
28,922
|
Share based compensation
|
|
|
9,628
|
|
4,336
|
|
17,150
|
|
16,217
|
Donations and community
investments
|
|
|
2,352
|
|
1,736
|
|
4,626
|
|
5,054
|
Earnings from operations
|
|
$
|
175,945
|
$
|
112,216
|
$
|
503,211
|
$
|
346,059
|
Gain on disposal of mineral stream
interests
|
|
|
-
|
|
-
|
|
-
|
|
5,027
|
Other income (expense)
|
|
|
7,605
|
|
10,707
|
|
19,922
|
|
26,961
|
Earnings before finance costs and
income taxes
|
$
|
183,550
|
$
|
122,923
|
$
|
523,133
|
$
|
378,047
|
Finance costs
|
|
|
1,404
|
|
1,407
|
|
4,144
|
|
4,138
|
Earnings before income
taxes
|
|
$
|
182,146
|
$
|
121,516
|
$
|
518,989
|
$
|
373,909
|
Income tax expense
|
|
|
27,511
|
|
5,145
|
|
77,996
|
|
4,700
|
Net earnings
|
|
$
|
154,635
|
$
|
116,371
|
$
|
440,993
|
$
|
369,209
|
Basic earnings per share
|
|
$
|
0.341
|
$
|
0.257
|
$
|
0.973
|
$
|
0.815
|
Diluted earnings per
share
|
|
$
|
0.340
|
$
|
0.257
|
$
|
0.971
|
$
|
0.814
|
Weighted average number of shares
outstanding
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
453,641
|
|
452,975
|
|
453,389
|
|
452,748
|
Diluted
|
|
|
454,302
|
|
453,538
|
|
454,037
|
|
453,419
|
|
|
|
|
|
|
|
|
|
|
|
Condensed Interim
Consolidated Balance Sheets
|
As at
September 30
|
As
at
December 31
|
(US dollars in thousands -
unaudited)
|
2024
|
2023
|
Assets
|
|
|
|
|
Current assets
|
|
|
|
|
Cash and cash
equivalents
|
$
|
694,085
|
$
|
546,527
|
Accounts receivable
|
|
10,435
|
|
10,078
|
Cobalt inventory
|
|
-
|
|
1,372
|
Income taxes receivable
|
|
1,392
|
|
5,935
|
Other
|
|
3,938
|
|
3,499
|
Total current assets
|
$
|
709,850
|
$
|
567,411
|
Non-current assets
|
|
|
|
|
Mineral stream
interests
|
$
|
6,456,123
|
$
|
6,122,441
|
Early deposit mineral stream
interests
|
|
47,094
|
|
47,093
|
Mineral royalty
interests
|
|
40,429
|
|
13,454
|
Long-term equity
investments
|
|
103,068
|
|
246,678
|
Property, plant and
equipment
|
|
7,535
|
|
7,638
|
Other
|
|
22,080
|
|
26,470
|
Total non-current assets
|
$
|
6,676,329
|
$
|
6,463,774
|
Total assets
|
$
|
7,386,179
|
$
|
7,031,185
|
Liabilities
|
|
|
|
|
Current liabilities
|
|
|
|
|
Accounts payable and accrued
liabilities
|
$
|
14,766
|
$
|
13,458
|
Current portion of performance
share units
|
|
12,522
|
|
12,013
|
Current portion of lease
liabilities
|
|
324
|
|
604
|
Total current liabilities
|
$
|
27,612
|
$
|
26,075
|
Non-current liabilities
|
|
|
|
|
Performance share units
|
$
|
9,301
|
$
|
9,113
|
Lease liabilities
|
|
5,340
|
|
5,625
|
Global minimum tax
|
|
78,361
|
|
-
|
Deferred income taxes
|
|
264
|
|
232
|
Pension liability
|
|
5,287
|
|
4,624
|
Total non-current
liabilities
|
$
|
98,553
|
$
|
19,594
|
Total liabilities
|
$
|
126,165
|
$
|
45,669
|
Shareholders' equity
|
|
|
|
|
Issued capital
|
$
|
3,797,558
|
$
|
3,777,323
|
Reserves
|
|
(44,489)
|
|
(40,091)
|
Retained earnings
|
|
3,506,945
|
|
3,248,284
|
Total shareholders'
equity
|
$
|
7,260,014
|
$
|
6,985,516
|
Total liabilities and shareholders'
equity
|
$
|
7,386,179
|
$
|
7,031,185
|
Condensed Interim
Consolidated Statements of Cash Flows
|
|
Three
Months Ended
September 30
|
Nine
Months Ended
September 30
|
(US dollars in thousands -
unaudited)
|
|
2024
|
2023
|
2024
|
2023
|
Operating activities
|
|
|
|
|
|
|
|
|
|
Net earnings
|
|
$
|
154,635
|
$
|
116,371
|
$
|
440,993
|
$
|
369,209
|
Adjustments for
|
|
|
|
|
|
|
|
|
|
Depreciation and
depletion
|
|
|
55,887
|
|
46,784
|
|
179,111
|
|
147,031
|
Gain on disposal of mineral stream
interest
|
|
|
-
|
|
-
|
|
-
|
|
(5,027)
|
Interest expense
|
|
|
71
|
|
78
|
|
216
|
|
131
|
Equity settled stock based
compensation
|
|
|
1,725
|
|
1,732
|
|
4,978
|
|
5,133
|
Performance share units -
expense
|
|
|
7,903
|
|
2,604
|
|
12,172
|
|
11,084
|
Performance share units -
paid
|
|
|
-
|
|
-
|
|
(11,129)
|
|
(16,675)
|
Pension expense
|
|
|
336
|
|
329
|
|
794
|
|
787
|
Pension paid
|
|
|
-
|
|
-
|
|
(43)
|
|
(116)
|
Income tax (recovery)
expense
|
|
|
27,511
|
|
5,145
|
|
77,996
|
|
4,700
|
(Gain) loss on fair value
adjustment of share purchase warrants held
|
|
|
(523)
|
|
143
|
|
(903)
|
|
248
|
Investment income recognized in
net earnings
|
|
|
(7,249)
|
|
(10,537)
|
|
(18,564)
|
|
(26,564)
|
Other
|
|
|
2,246
|
|
163
|
|
2,646
|
|
662
|
Change in non-cash working
capital
|
|
|
2,837
|
|
(489)
|
|
1,329
|
|
(876)
|
Cash generated from operations
before income taxes and interest
|
|
$
|
245,379
|
$
|
162,323
|
$
|
689,596
|
$
|
489,727
|
Income taxes paid
|
|
|
2,925
|
|
(912)
|
|
2,734
|
|
(5,244)
|
Interest paid
|
|
|
(71)
|
|
(79)
|
|
(219)
|
|
(112)
|
Interest received
|
|
|
6,104
|
|
9,771
|
|
15,999
|
|
24,213
|
Cash generated from operating
activities
|
|
$
|
254,337
|
$
|
171,103
|
$
|
708,110
|
$
|
508,584
|
Financing activities
|
|
|
|
|
|
|
|
|
|
Credit facility extension
fees
|
|
$
|
(11)
|
$
|
(13)
|
$
|
(936)
|
$
|
(859)
|
Share purchase options
exercised
|
|
|
847
|
|
93
|
|
13,011
|
|
10,603
|
Lease payments
|
|
|
(149)
|
|
(169)
|
|
(444)
|
|
(548)
|
Dividends paid
|
|
|
(69,984)
|
|
(66,994)
|
|
(209,108)
|
|
(198,085)
|
Cash used for financing
activities
|
|
$
|
(69,297)
|
$
|
(67,083)
|
$
|
(197,477)
|
$
|
(188,889)
|
Investing activities
|
|
|
|
|
|
|
|
|
|
Mineral stream interests
|
|
$
|
(25,876)
|
$
|
(90,710)
|
$
|
(512,383)
|
$
|
(210,944)
|
Early deposit mineral stream
interests
|
|
|
-
|
|
(250)
|
|
-
|
|
(1,000)
|
Mineral royalty interest
|
|
|
(4,956)
|
|
(3,602)
|
|
(26,981)
|
|
(3,602)
|
Net proceeds on disposal of mineral
stream interests
|
|
|
-
|
|
-
|
|
-
|
|
46,400
|
Acquisition of long-term
investments
|
|
|
(728)
|
|
(5,006)
|
|
(1,479)
|
|
(13,181)
|
Proceeds on disposal of long-term
investments
|
|
|
-
|
|
-
|
|
177,088
|
|
202
|
Dividends received
|
|
|
482
|
|
700
|
|
1,663
|
|
1,617
|
Other
|
|
|
(155)
|
|
(35)
|
|
(944)
|
|
(1,804)
|
Cash used for investing
activities
|
|
$
|
(31,233)
|
$
|
(98,903)
|
$
|
(363,036)
|
$
|
(182,312)
|
Effect of exchange rate changes on
cash and cash equivalents
|
|
$
|
61
|
$
|
(35)
|
$
|
(39)
|
$
|
447
|
Increase in cash and cash
equivalents
|
|
$
|
153,868
|
$
|
5,082
|
$
|
147,558
|
$
|
137,830
|
Cash and cash equivalents, beginning
of period
|
|
540,217
|
|
828,837
|
|
546,527
|
|
696,089
|
Cash and cash equivalents, end of
period
|
|
$
|
694,085
|
$
|
833,919
|
$
|
694,085
|
$
|
833,919
|
Summary of Units
Produced
|
Q3
2024
|
Q2
2024
|
Q1
2024
|
Q4
2023
|
Q3
2023
|
Q2
2023
|
Q1
2023
|
Q4
2022
|
Gold ounces produced ²
|
|
|
|
|
|
|
|
|
Salobo
|
62,689
|
63,225
|
61,622
|
71,778
|
69,045
|
54,804
|
43,677
|
37,939
|
Sudbury 3
|
4,287
|
4,477
|
5,618
|
5,823
|
3,857
|
5,818
|
6,203
|
5,270
|
Constancia
|
10,446
|
6,086
|
13,897
|
22,292
|
19,003
|
7,444
|
6,905
|
10,496
|
San Dimas 4
|
6,882
|
7,089
|
7,542
|
10,024
|
9,995
|
11,166
|
10,754
|
10,037
|
Stillwater 5
|
2,247
|
2,099
|
2,637
|
2,341
|
2,454
|
2,017
|
1,960
|
2,185
|
Other
|
|
|
|
|
|
|
|
|
Marmato
|
648
|
584
|
623
|
668
|
673
|
639
|
457
|
533
|
Minto 6
|
-
|
-
|
-
|
-
|
-
|
1,292
|
3,063
|
2,567
|
Total Other
|
648
|
584
|
623
|
668
|
673
|
1,931
|
3,520
|
3,100
|
Total gold ounces
produced
|
87,199
|
83,560
|
91,939
|
112,926
|
105,027
|
83,180
|
73,019
|
69,027
|
Silver ounces produced
2
|
|
|
|
|
|
|
|
|
Peñasquito
7
|
1,785
|
2,263
|
2,643
|
1,036
|
-
|
1,744
|
2,076
|
1,761
|
Antamina
|
925
|
992
|
806
|
1,030
|
894
|
984
|
872
|
1,067
|
Constancia
|
648
|
451
|
640
|
836
|
697
|
420
|
552
|
655
|
Other
|
|
|
|
|
|
|
|
|
Los Filos
|
42
|
27
|
48
|
26
|
32
|
41
|
45
|
14
|
Zinkgruvan
|
537
|
699
|
641
|
510
|
785
|
374
|
632
|
664
|
Neves-Corvo
|
425
|
432
|
524
|
573
|
486
|
407
|
436
|
369
|
Aljustrel 8
|
-
|
-
|
-
|
-
|
327
|
279
|
343
|
313
|
Cozamin
|
185
|
177
|
173
|
185
|
165
|
184
|
141
|
157
|
Marmato
|
7
|
6
|
7
|
10
|
11
|
7
|
8
|
9
|
Yauliyacu 9
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
261
|
Minto 6
|
-
|
-
|
-
|
-
|
-
|
14
|
29
|
33
|
Total Other
|
1,196
|
1,341
|
1,393
|
1,304
|
1,806
|
1,306
|
1,634
|
1,820
|
Total silver ounces
produced
|
4,554
|
5,047
|
5,482
|
4,206
|
3,397
|
4,454
|
5,134
|
5,303
|
Palladium ounces produced
²
|
|
|
|
|
|
|
|
|
Stillwater 5
|
4,034
|
4,338
|
4,463
|
4,209
|
4,006
|
3,880
|
3,705
|
3,869
|
Cobalt pounds produced ²
|
|
|
|
|
|
|
|
|
Voisey's Bay
|
397
|
259
|
240
|
215
|
183
|
152
|
124
|
128
|
GEOs produced
10
|
144,164
|
145,449
|
158,775
|
164,796
|
147,278
|
137,323
|
134,730
|
132,780
|
Average payable rate
2
|
|
|
|
|
|
|
|
|
Gold
|
95.1%
|
95.0%
|
94.7%
|
95.1%
|
95.4%
|
95.1%
|
95.1%
|
94.9%
|
Silver
|
83.9%
|
84.3%
|
84.5%
|
83.0%
|
78.4%
|
83.7%
|
83.1%
|
84.2%
|
Palladium
|
98.4%
|
97.3%
|
97.8%
|
98.0%
|
94.1%
|
94.1%
|
96.3%
|
93.9%
|
Cobalt
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
GEO 10
|
91.1%
|
90.7%
|
90.7%
|
91.6%
|
90.9%
|
90.9%
|
89.8%
|
89.9%
|
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 2024 - 262,000 ounces; Q2 2024 -
285,000 ounces; Q1 2024 - 291,000 ounces; Q4 2023 - 378,000 ounces;
Q3 2023 - 387,000 ounces; Q2 2023 - 423,000 ounces; Q1 2023 -
401,000 ounces; Q4 2022 - 348,000 ounces.
5) Comprised of the Stillwater and East Boulder gold and
palladium interests.
6) On May 13, 2023, Minto Metals Corp. announced the suspension
of operations at the Minto mine.
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 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.
9) On December 14, 2022 the Company terminated the Yauliyacu
PMPA in exchange for a cash payment of $132 million.
10)
GEOs, which are provided to assist the reader,
are based on the following commodity price assumptions: $2,000 per
ounce gold; $23.00 per ounce silver; $1,000 per ounce palladium;
and $13.00 per pound cobalt; consistent with those used in
estimating the Company's production guidance for 2024.
Summary of Units
Sold
|
Q3
2024
|
Q2
2024
|
Q1
2024
|
Q4
2023
|
Q3
2023
|
Q2
2023
|
Q1
2023
|
Q4
2022
|
Gold ounces sold
|
|
|
|
|
|
|
|
|
Salobo
|
58,101
|
54,962
|
56,841
|
76,656
|
44,444
|
46,030
|
35,966
|
41,029
|
Sudbury 2
|
2,495
|
5,679
|
4,129
|
5,011
|
4,836
|
4,775
|
4,368
|
4,988
|
Constancia
|
5,186
|
6,640
|
20,123
|
19,925
|
12,399
|
9,619
|
6,579
|
6,013
|
San Dimas
|
7,022
|
6,801
|
7,933
|
10,472
|
9,695
|
11,354
|
10,651
|
10,943
|
Stillwater 3
|
1,635
|
2,628
|
2,355
|
2,314
|
1,985
|
2,195
|
2,094
|
1,783
|
Other
|
|
|
|
|
|
|
|
|
Marmato
|
550
|
616
|
638
|
633
|
792
|
467
|
480
|
473
|
777
|
-
|
-
|
-
|
-
|
275
|
153
|
126
|
785
|
Minto
|
-
|
-
|
-
|
-
|
-
|
701
|
2,341
|
2,982
|
Santo Domingo
4
|
447
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Curipamba 4
|
258
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Total Other
|
1,255
|
616
|
638
|
633
|
1,067
|
1,321
|
2,947
|
4,240
|
Total gold ounces sold
|
75,694
|
77,326
|
92,019
|
115,011
|
74,426
|
75,294
|
62,605
|
68,996
|
Silver ounces sold
|
|
|
|
|
|
|
|
|
Peñasquito
|
1,667
|
1,482
|
1,839
|
442
|
453
|
1,913
|
1,483
|
2,066
|
Antamina
|
989
|
917
|
762
|
1,091
|
794
|
963
|
814
|
1,114
|
Constancia
|
366
|
422
|
726
|
665
|
435
|
674
|
366
|
403
|
Other
|
|
|
|
|
|
|
|
|
Los Filos
|
26
|
24
|
44
|
24
|
30
|
37
|
34
|
16
|
Zinkgruvan
|
488
|
597
|
297
|
449
|
714
|
370
|
520
|
547
|
Neves-Corvo
|
185
|
216
|
243
|
268
|
245
|
132
|
171
|
80
|
Aljustrel
|
-
|
-
|
1
|
86
|
142
|
182
|
205
|
156
|
Cozamin
|
148
|
158
|
147
|
141
|
139
|
150
|
119
|
150
|
Marmato
|
6
|
7
|
8
|
9
|
11
|
7
|
7
|
7
|
Yauliyacu
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
337
|
Minto
|
-
|
-
|
-
|
-
|
-
|
7
|
29
|
23
|
Keno Hill
|
-
|
-
|
-
|
-
|
-
|
-
|
1
|
1
|
777
|
-
|
-
|
-
|
-
|
2
|
2
|
-
|
35
|
Total Other
|
853
|
1,002
|
740
|
977
|
1,283
|
887
|
1,086
|
1,352
|
Total silver ounces sold
|
3,875
|
3,823
|
4,067
|
3,175
|
2,965
|
4,437
|
3,749
|
4,935
|
Palladium ounces sold
|
|
|
|
|
|
|
|
|
Stillwater 3
|
3,761
|
4,301
|
4,774
|
3,339
|
4,242
|
3,392
|
2,946
|
3,396
|
Cobalt pounds sold
|
|
|
|
|
|
|
|
|
Voisey's Bay
|
88
|
88
|
309
|
288
|
198
|
265
|
323
|
187
|
GEOs sold 5
|
122,715
|
124,009
|
143,184
|
155,059
|
111,935
|
129,734
|
109,293
|
128,662
|
Cumulative payable units PBND
6
|
|
|
|
|
|
|
|
|
Gold ounces
|
96,158
|
88,205
|
86,114
|
91,092
|
98,715
|
72,916
|
77,377
|
70,562
|
Silver ounces
|
2,748
|
2,801
|
2,368
|
1,802
|
1,486
|
1,790
|
2,531
|
2,013
|
Palladium ounces
|
6,186
|
6,018
|
6,198
|
6,666
|
5,607
|
6,122
|
5,751
|
5,098
|
Cobalt pounds
|
796
|
513
|
360
|
356
|
377
|
251
|
285
|
258
|
GEO 5
|
136,027
|
126,761
|
118,785
|
117,465
|
121,058
|
98,186
|
111,217
|
97,936
|
Inventory on hand
|
|
|
|
|
|
|
|
|
Cobalt pounds
|
-
|
-
|
-
|
88
|
155
|
310
|
398
|
633
|
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) The ounces sold under Santo Domingo and Curipamba relate to
ounces received due to the delay ounce provision as per the
respective PMPA. Please see the Company's MD&A for more
information.
5) GEOs, which are provided to assist the reader, are based on
the following commodity price assumptions: $2,000 per ounce gold;
$23.00 per ounce silver; $1,000 per ounce palladium; and $13.00 per
pound cobalt; consistent with those used in estimating the
Company's production guidance for 2024.
6) Payable gold, silver and palladium ounces as well as cobalt
pounds produced but not yet delivered ("PBND") are based on
management estimates. These figures may be updated in future
periods as additional information is received.
Results of
Operations
The operating results of the
Company's reportable operating segments are summarized in the
tables and commentary below.
Three
Months Ended September 30, 2024
|
|
Units
Produced²
|
Units
Sold
|
Average
Realized
Price
($'s
Per Unit)
|
Average
Cash Cost
($'s Per
Unit) 3
|
Average
Depletion
($'s Per
Unit) 4
|
Sales
|
Net
Earnings
|
Cash
Flow
From
Operations
|
Total
Assets
|
Gold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salobo
|
62,689
|
58,101
|
$
|
2,490
|
$
|
425
|
$
|
378
|
$
|
144,656
|
$
|
98,016
|
$
|
122,916
|
$
|
2,616,346
|
Sudbury 5
|
4,287
|
2,495
|
|
2,519
|
|
400
|
|
1,326
|
|
6,286
|
|
1,979
|
|
4,798
|
|
246,918
|
Constancia
|
10,446
|
5,186
|
|
2,490
|
|
422
|
|
323
|
|
12,912
|
|
9,048
|
|
10,722
|
|
70,095
|
San Dimas
|
6,882
|
7,022
|
|
2,490
|
|
637
|
|
290
|
|
17,482
|
|
10,975
|
|
13,010
|
|
138,507
|
Stillwater
|
2,247
|
1,635
|
|
2,490
|
|
438
|
|
421
|
|
4,071
|
|
2,667
|
|
3,355
|
|
208,474
|
Other 6
|
648
|
1,255
|
|
2,481
|
|
192
|
|
1,584
|
|
3,114
|
|
886
|
|
2,874
|
|
901,880
|
|
87,199
|
75,694
|
$
|
2,491
|
$
|
440
|
$
|
418
|
$
|
188,521
|
$
|
123,571
|
$
|
157,675
|
$
|
4,182,220
|
Silver
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Peñasquito
|
1,785
|
1,667
|
$
|
29.58
|
$
|
4.50
|
$
|
4.86
|
$
|
49,329
|
$
|
33,725
|
$
|
41,825
|
$
|
253,461
|
Antamina
|
925
|
989
|
|
29.58
|
|
6.06
|
|
8.46
|
|
29,257
|
|
14,893
|
|
23,260
|
|
498,029
|
Constancia
|
648
|
366
|
|
29.58
|
|
6.23
|
|
6.10
|
|
10,822
|
|
6,310
|
|
8,543
|
|
170,242
|
Other 7
|
1,196
|
853
|
|
30.17
|
|
4.34
|
|
4.83
|
|
25,741
|
|
17,912
|
|
22,594
|
|
645,485
|
|
4,554
|
3,875
|
$
|
29.71
|
$
|
5.03
|
$
|
5.89
|
$
|
115,149
|
$
|
72,840
|
$
|
96,222
|
$
|
1,567,217
|
Palladium
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stillwater
|
4,034
|
3,761
|
$
|
969
|
$
|
173
|
$
|
429
|
$
|
3,644
|
$
|
1,380
|
$
|
2,994
|
$
|
215,082
|
Platreef
|
-
|
-
|
|
n.a.
|
|
n.a.
|
|
n.a.
|
|
-
|
|
-
|
|
-
|
|
78,820
|
|
4,034
|
3,761
|
$
|
969
|
$
|
173
|
$
|
429
|
$
|
3,644
|
$
|
1,380
|
$
|
2,994
|
$
|
293,902
|
Platinum
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marathon
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,451
|
Platreef
|
-
|
-
|
|
n.a.
|
|
n.a.
|
|
n.a.
|
|
-
|
|
-
|
|
-
|
|
57,588
|
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
67,039
|
Cobalt
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Voisey's Bay
|
397
|
88
|
$
|
10.65
|
$
|
2.15
|
$
|
12.78
|
$
|
939
|
$
|
(378)
|
$
|
321
|
$
|
345,745
|
Operating results
|
|
|
|
|
|
|
|
$
|
308,253
|
$
|
197,413
|
$
|
257,212
|
$
|
6,456,123
|
Other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and
administrative
|
|
|
|
|
|
|
|
|
|
$
|
(9,488)
|
$
|
(6,215)
|
|
|
Share based
compensation
|
|
|
|
|
|
|
|
|
|
|
(9,628)
|
|
-
|
|
|
Donations and community
investments
|
|
|
|
|
|
|
|
|
|
|
(2,352)
|
|
(2,198)
|
|
|
Finance costs
|
|
|
|
|
|
|
|
|
|
|
|
(1,404)
|
|
(1,051)
|
|
|
Other
|
|
|
|
|
|
|
|
|
|
|
7,605
|
|
3,664
|
|
|
Income tax
|
|
|
|
|
|
|
|
|
|
|
|
(27,511)
|
|
2,925
|
|
|
Total other
|
|
|
|
|
|
|
|
|
$
|
(42,778)
|
$
|
(2,875)
|
$
|
930,056
|
|
|
|
|
|
|
|
|
|
|
|
$
|
154,635
|
$
|
254,337
|
$
|
7,386,179
|
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) Includes the non-cash per ounce cost of sale associated with
delay ounces. Please see the Company's 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) Other gold interests comprised of the operating Marmato gold
interest as well as the non-operating Minto, Copper World, Santo
Domingo, Fenix, Blackwater, Curipamba, Marathon, Goose, Cangrejos,
Platreef, Curraghinalt and Kudz Ze Kayah gold interests. Other
includes ounces sold that were received under the delay ounce
provisions of each of the Santo Domingo and Curipamba PMPAs. Please
see the Company's MD&A for more information.
7) Other silver interests comprised of the operating Los Filos,
Zinkgruvan, Neves-Corvo, Marmato and Cozamin silver interests as
well as the non-operating Stratoni, Aljustrel, Minto, Pascua-Lama,
Copper World, Navidad, Blackwater, Curipamba, Mineral Park and Kudz
Ze Kayah silver interests.
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
|
3,857
|
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
|
|
|
105,027
|
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
|
894
|
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
|
1,806
|
1,283
|
|
23.62
|
|
5.15
|
|
2.64
|
|
30,293
|
|
20,301
|
|
19,439
|
|
549,641
|
|
|
3,397
|
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 as well as the non-operating
Stobie and Victor gold interests.
5) Other gold interests are comprised of the operating Marmato
gold interests as well as the non-operating Minto, 777, Copper
World, 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.
6) Other silver interests comprised of the operating Los Filos,
Zinkgruvan, Neves-Corvo, Aljustrel, Cozamin and Marmato silver
interests, the non-operating Minto, 777, Loma de La Plata,
Stratoni, Pascua-Lama, Copper World, 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.
Comparative
Results of Operations on a GEO Basis
|
|
|
Q3
2024
|
|
|
Q3
2023
|
|
|
Change
|
|
Change
|
GEO Production 1,
2
|
|
|
144,164
|
|
|
147,278
|
|
|
(3,114)
|
|
(2.1)%
|
GEO Sales 2
|
|
|
122,715
|
|
|
111,935
|
|
|
10,780
|
|
9.6 %
|
Average price per GEO sold
2
|
|
$
|
2,512
|
|
$
|
1,993
|
|
$
|
519
|
|
26.0 %
|
Revenue
|
|
$
|
308,253
|
|
$
|
223,137
|
|
$
|
85,116
|
|
38.1 %
|
Cost of sales, excluding
depletion
|
|
$
|
55,310
|
|
$
|
49,808
|
|
$
|
(5,502)
|
|
(11.0)%
|
Depletion
|
|
|
55,530
|
|
|
46,435
|
|
|
(9,095)
|
|
(19.6)%
|
Cost of Sales
|
|
$
|
110,840
|
|
$
|
96,243
|
|
$
|
(14,597)
|
|
(15.2)%
|
Gross Margin
|
|
$
|
197,413
|
|
$
|
126,894
|
|
$
|
70,519
|
|
55.6 %
|
General and administrative
expenses
|
|
|
9,488
|
|
|
8,606
|
|
|
(882)
|
|
(10.2)%
|
Share based compensation
|
|
|
9,628
|
|
|
4,336
|
|
|
(5,292)
|
|
(122.0)%
|
Donations and community
investments
|
|
|
2,352
|
|
|
1,736
|
|
|
(616)
|
|
(35.5)%
|
Earnings from Operations
|
|
$
|
175,945
|
|
$
|
112,216
|
|
$
|
63,729
|
|
56.8 %
|
Other income (expense)
|
|
|
7,605
|
|
|
10,707
|
|
|
(3,102)
|
|
(29.0)%
|
Earnings before finance costs and
income taxes
|
|
$
|
183,550
|
|
$
|
122,923
|
|
$
|
60,627
|
|
49.3 %
|
Finance costs
|
|
|
1,404
|
|
|
1,407
|
|
|
3
|
|
0.2 %
|
Earnings before income
taxes
|
|
$
|
182,146
|
|
$
|
121,516
|
|
$
|
60,630
|
|
49.9 %
|
Income tax expense
|
|
|
27,511
|
|
|
5,145
|
|
|
(22,366)
|
|
(434.7)%
|
Net earnings
|
|
$
|
154,635
|
|
$
|
116,371
|
|
$
|
38,264
|
|
32.9 %
|
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: $2,000 per ounce gold;
$23.00 per ounce silver; $1,000 per ounce palladium; and $13.00 per
pound cobalt; consistent with those used in estimating the
Company's production guidance for 2024.
Nine
Months Ended September 30, 2024
|
|
Units
Produced²
|
Units
Sold
|
Average
Realized
Price
($'s
Per Unit)
|
Average
Cash Cost
($'s Per
Unit) 3
|
Average
Depletion
($'s Per
Unit) 4
|
Sales
|
Net
Earnings
|
Cash
Flow
From
Operations
|
Total
Assets
|
Gold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salobo
|
187,536
|
169,904
|
$
|
2,307
|
$
|
425
|
$
|
383
|
$
|
391,973
|
$
|
254,758
|
$
|
322,761
|
$
|
2,616,346
|
Sudbury 5
|
14,382
|
12,303
|
|
2,286
|
|
400
|
|
1,265
|
|
28,130
|
|
7,642
|
|
22,718
|
|
246,918
|
Constancia
|
30,429
|
31,949
|
|
2,200
|
|
421
|
|
318
|
|
70,275
|
|
46,663
|
|
56,833
|
|
70,095
|
San Dimas
|
21,513
|
21,756
|
|
2,296
|
|
634
|
|
286
|
|
49,950
|
|
29,941
|
|
36,156
|
|
138,507
|
Stillwater
|
6,983
|
6,618
|
|
2,288
|
|
405
|
|
453
|
|
15,144
|
|
9,469
|
|
12,464
|
|
208,474
|
Other 6
|
1,855
|
2,509
|
|
2,347
|
|
293
|
|
1,056
|
|
5,888
|
|
2,504
|
|
5,153
|
|
901,880
|
|
262,698
|
245,039
|
$
|
2,291
|
$
|
440
|
$
|
419
|
$
|
561,360
|
$
|
350,977
|
$
|
456,085
|
$
|
4,182,220
|
Silver
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Peñasquito
|
6,691
|
4,988
|
$
|
27.18
|
$
|
4.50
|
$
|
4.57
|
$
|
135,578
|
$
|
90,361
|
$
|
113,132
|
$
|
253,461
|
Antamina
|
2,723
|
2,668
|
|
27.63
|
|
5.56
|
|
8.06
|
|
73,710
|
|
37,377
|
|
58,878
|
|
498,029
|
Constancia
|
1,739
|
1,514
|
|
26.55
|
|
6.21
|
|
6.17
|
|
40,180
|
|
21,444
|
|
30,785
|
|
170,242
|
Other 7
|
3,930
|
2,595
|
|
28.37
|
|
4.29
|
|
4.51
|
|
73,630
|
|
50,785
|
|
60,026
|
|
645,485
|
|
15,083
|
11,765
|
$
|
27.46
|
$
|
4.91
|
$
|
5.55
|
$
|
323,098
|
$
|
199,967
|
$
|
262,821
|
$
|
1,567,217
|
Palladium
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stillwater
|
12,835
|
12,836
|
$
|
976
|
$
|
177
|
$
|
435
|
$
|
12,531
|
$
|
4,674
|
$
|
10,259
|
$
|
215,082
|
Platreef
|
-
|
-
|
|
n.a.
|
|
n.a.
|
|
n.a.
|
|
-
|
|
-
|
|
-
|
|
78,820
|
|
12,835
|
12,836
|
$
|
976
|
$
|
177
|
$
|
435
|
$
|
12,531
|
$
|
4,674
|
$
|
10,259
|
$
|
293,902
|
Platinum
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marathon
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
9,451
|
Platreef
|
-
|
-
|
|
n.a.
|
|
n.a.
|
|
n.a.
|
|
-
|
|
-
|
|
-
|
|
57,588
|
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
67,039
|
Cobalt
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Voisey's Bay
|
896
|
485
|
$
|
14.71
|
$
|
2.84
|
$
|
12.77
|
$
|
7,134
|
$
|
(438)
|
$
|
9,407
|
$
|
345,745
|
Operating results
|
|
|
|
|
|
|
|
$
|
904,123
|
$
|
555,180
|
$
|
738,572
|
$
|
6,456,123
|
Other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and
administrative
|
|
|
|
|
|
|
|
|
|
$
|
(30,193)
|
$
|
(31,134)
|
|
|
Share based
compensation
|
|
|
|
|
|
|
|
|
|
|
(17,150)
|
|
(11,129)
|
|
|
Donations and community
investments
|
|
|
|
|
|
|
|
|
|
|
(4,626)
|
|
(4,185)
|
|
|
Finance costs
|
|
|
|
|
|
|
|
|
|
|
|
(4,144)
|
|
(3,234)
|
|
|
Other
|
|
|
|
|
|
|
|
|
|
|
19,922
|
|
16,486
|
|
|
Income tax
|
|
|
|
|
|
|
|
|
|
|
|
(77,996)
|
|
2,734
|
|
|
Total other
|
|
|
|
|
|
|
|
|
$
|
(114,187)
|
$
|
(30,462)
|
$
|
930,056
|
|
|
|
|
|
|
|
|
|
|
|
$
|
440,993
|
$
|
708,110
|
$
|
7,386,179
|
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) Includes the non-cash per ounce cost of sale associated with
delay ounces. Please see the Company's 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) Other gold interests comprised of the operating Marmato gold
interest as well as the non-operating Minto, Copper World, Santo
Domingo, Fenix, Blackwater, Curipamba, Marathon, Goose, Cangrejos,
Platreef, Curraghinalt and Kudz Ze Kayah gold interests. Other
includes ounces sold that were received under the delay ounce
provisions of each of the Santo Domingo and Curipamba PMPAs. Please
see the Company's MD&A for more information.
7) Other silver interests comprised of the operating Los Filos,
Zinkgruvan, Neves-Corvo, Marmato and Cozamin silver interests as
well as the non-operating Stratoni, Aljustrel, Minto, Pascua-Lama,
Copper World, Navidad, Blackwater, Curipamba, Mineral Park and Kudz
Ze Kayah silver interests..
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
|
15,878
|
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
|
|
261,226
|
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
|
2,750
|
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
|
4,746
|
3,256
|
|
23.44
|
|
5.58
|
|
2.82
|
|
76,316
|
|
5,027
|
|
53,966
|
|
55,364
|
|
549,641
|
|
12,985
|
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 as well as the non-operating
Stobie and Victor gold interests.
6) Other gold interests are comprised of the operating Marmato
gold interests as well as the non-operating Minto, 777, Copper
World, 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.
7) Other silver interests 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, 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.
Comparative
Results of Operations on a GEO Basis
|
|
|
YTD
2024
|
|
|
YTD
2023
|
|
|
Change
|
|
Change
|
GEO Production 1,
2
|
|
|
448,388
|
|
|
419,330
|
|
|
29,058
|
|
6.9 %
|
GEO Sales 2
|
|
|
389,907
|
|
|
350,961
|
|
|
38,946
|
|
11.1 %
|
Average price per GEO sold
2
|
|
$
|
2,319
|
|
$
|
2,002
|
|
$
|
317
|
|
15.8 %
|
Revenue
|
|
$
|
904,123
|
|
$
|
702,573
|
|
$
|
201,550
|
|
28.7 %
|
Cost of sales, excluding
depletion
|
|
$
|
170,872
|
|
$
|
160,413
|
|
$
|
(10,459)
|
|
(6.5)%
|
Depletion
|
|
|
178,071
|
|
|
145,908
|
|
|
(32,163)
|
|
(22.0)%
|
Cost of Sales
|
|
$
|
348,943
|
|
$
|
306,321
|
|
$
|
(42,622)
|
|
(13.9)%
|
Gross Margin
|
|
$
|
555,180
|
|
$
|
396,252
|
|
$
|
158,928
|
|
40.1 %
|
General and administrative
expenses
|
|
|
30,193
|
|
|
28,922
|
|
|
(1,271)
|
|
(4.4)%
|
Share based compensation
|
|
|
17,150
|
|
|
16,217
|
|
|
(933)
|
|
(5.8)%
|
Donations and community
investments
|
|
|
4,626
|
|
|
5,054
|
|
|
428
|
|
8.5 %
|
Earnings from Operations
|
|
$
|
503,211
|
|
$
|
346,059
|
|
$
|
157,152
|
|
45.4 %
|
Gain on disposal of mineral stream
interests
|
|
|
-
|
|
|
5,027
|
|
|
(5,027)
|
|
(100.0)%
|
Other income (expense)
|
|
|
19,922
|
|
|
26,961
|
|
|
(7,039)
|
|
(26.1)%
|
Earnings before finance costs and
income taxes
|
|
$
|
523,133
|
|
$
|
378,047
|
|
$
|
145,086
|
|
38.4 %
|
Finance costs
|
|
|
4,144
|
|
|
4,138
|
|
|
(6)
|
|
(0.1)%
|
Earnings before income
taxes
|
|
$
|
518,989
|
|
$
|
373,909
|
|
$
|
145,080
|
|
38.8 %
|
Income tax expense
|
|
|
77,996
|
|
|
4,700
|
|
|
(73,296)
|
|
(1,559.5)%
|
Net earnings
|
|
$
|
440,993
|
|
$
|
369,209
|
|
$
|
71,784
|
|
19.4 %
|
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: $2,000 per ounce gold;
$23.00 per ounce silver; $1,000 per ounce palladium; and $13.00 per
pound cobalt; consistent with those used in estimating the
Company's production guidance for 2024.
Non-IFRS Measures
Wheaton has included, throughout
this document, certain non-IFRS performance measures, including (i)
adjusted net earnings and adjusted net earnings per share; (ii)
operating cash flow per share (basic and diluted); (iii) average
cash costs of gold, silver and palladium on a per ounce basis and
cobalt on a per pound basis; and (iv) cash operating
margin.
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.
The following table provides a
reconciliation of adjusted net earnings and adjusted net earnings
per share (basic and diluted).
|
Three
Months Ended
September 30
|
Nine
Months Ended
September 30
|
(in thousands, except for per share
amounts)
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
Net earnings
|
|
$
|
154,635
|
|
$
|
116,371
|
|
$
|
440,993
|
|
$
|
369,209
|
Add back (deduct):
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on disposal of Mineral Stream
Interest
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(5,027)
|
(Gain) loss on fair value
adjustment of share purchase warrants held
|
|
|
(523)
|
|
|
143
|
|
|
(903)
|
|
|
248
|
Deferred income tax (expense)
recovery recognized in the Statement of OCI
|
|
|
(1,134)
|
|
|
5,115
|
|
|
1,632
|
|
|
7,205
|
Income tax recovery related to
prior year disposal of Mineral Stream Interest
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(2,672)
|
Other
|
|
|
(175)
|
|
|
(162)
|
|
|
(521)
|
|
|
(482)
|
Adjusted net earnings
|
|
$
|
152,803
|
|
$
|
121,467
|
|
$
|
441,201
|
|
$
|
368,481
|
Divided by:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic weighted average number of
shares outstanding
|
|
|
453,641
|
|
|
452,975
|
|
|
453,389
|
|
|
452,748
|
Diluted weighted average number of
shares outstanding
|
|
|
454,302
|
|
|
453,538
|
|
|
454,037
|
|
|
453,419
|
Equals:
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted earnings per share -
basic
|
|
$
|
0.337
|
|
$
|
0.268
|
|
$
|
0.973
|
|
$
|
0.814
|
Adjusted earnings per share -
diluted
|
|
$
|
0.336
|
|
$
|
0.268
|
|
$
|
0.972
|
|
$
|
0.813
|
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.
The following table provides a
reconciliation of operating cash flow per share (basic and
diluted).
|
Three
Months Ended
September 30
|
Nine
Months Ended
September 30
|
(in thousands, except for per share
amounts)
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
Cash generated by operating
activities
|
|
$
|
254,337
|
|
$
|
171,103
|
|
$
|
708,110
|
|
$
|
508,584
|
Divided by:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic weighted average number of
shares outstanding
|
|
|
453,641
|
|
|
452,975
|
|
|
453,389
|
|
|
452,748
|
Diluted weighted average number of
shares outstanding
|
|
|
454,302
|
|
|
453,538
|
|
|
454,037
|
|
|
453,419
|
Equals:
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating cash flow per share -
basic
|
|
$
|
0.561
|
|
$
|
0.378
|
|
$
|
1.562
|
|
$
|
1.123
|
Operating cash flow per share -
diluted
|
|
$
|
0.560
|
|
$
|
0.377
|
|
$
|
1.560
|
|
$
|
1.122
|
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 and cost of sales related to delay ounces, 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.
The following table provides a
calculation of average cash cost of gold, silver and palladium on a
per ounce basis and cobalt on a per pound basis.
|
Three
Months Ended
September 30
|
Nine
Months Ended
September 30
|
(in thousands, except for gold and
palladium ounces sold and per unit amounts)
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
Cost of sales
|
|
$
|
110,840
|
|
$
|
96,243
|
|
$
|
348,943
|
|
$
|
306,321
|
Less: depletion
|
|
|
(55,530)
|
|
|
(46,435)
|
|
|
(178,071)
|
|
|
(145,908)
|
Less: cost of sales related to
delay ounces 1
|
|
|
(1,698)
|
|
|
-
|
|
|
(1,698)
|
|
|
-
|
Cash cost of sales
|
|
$
|
53,612
|
|
$
|
49,808
|
|
$
|
169,174
|
|
$
|
160,413
|
Cash cost of sales is comprised
of:
|
|
|
|
|
|
|
|
|
|
|
|
|
Total cash cost of gold
sold
|
|
$
|
33,287
|
|
$
|
33,014
|
|
$
|
107,715
|
|
$
|
98,724
|
Total cash cost of silver
sold
|
|
|
19,485
|
|
|
15,121
|
|
|
57,811
|
|
|
56,351
|
Total cash cost of palladium
sold
|
|
|
650
|
|
|
946
|
|
|
2,272
|
|
|
2,699
|
Total cash cost of cobalt sold
2
|
|
|
190
|
|
|
727
|
|
|
1,376
|
|
|
2,639
|
Total cash cost of
sales
|
|
$
|
53,612
|
|
$
|
49,808
|
|
$
|
169,174
|
|
$
|
160,413
|
Divided by:
|
|
|
|
|
|
|
|
|
|
|
|
|
Total gold ounces sold
|
|
|
75,694
|
|
|
74,426
|
|
|
245,039
|
|
|
212,325
|
Total silver ounces
sold
|
|
|
3,875
|
|
|
2,965
|
|
|
11,765
|
|
|
11,151
|
Total palladium ounces
sold
|
|
|
3,761
|
|
|
4,242
|
|
|
12,836
|
|
|
10,580
|
Total cobalt pounds
sold
|
|
|
88
|
|
|
198
|
|
|
485
|
|
|
786
|
Equals:
|
|
|
|
|
|
|
|
|
|
|
|
|
Average cash cost of gold (per
ounce)
|
|
$
|
440
|
|
$
|
444
|
|
$
|
440
|
|
$
|
465
|
Average cash cost of silver (per
ounce)
|
|
$
|
5.03
|
|
$
|
5.10
|
|
$
|
4.91
|
|
$
|
5.05
|
Average cash cost of palladium
(per ounce)
|
|
$
|
173
|
|
$
|
223
|
|
$
|
177
|
|
$
|
255
|
Average cash cost of cobalt (per
pound)
|
|
$
|
2.15
|
|
$
|
3.66
|
|
$
|
2.84
|
|
$
|
3.36
|
1) The cost of sales related
to delay ounces is a non-cash expense. Please see the Company's
MD&A for more information.
2) 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 of cobalt
sold).
iv. Cash
operating margin is calculated by adding back depletion and the
cost of sales related to delay ounces 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.
The following table provides a
reconciliation of cash operating margin.
|
Three
Months Ended
September 30
|
Nine
Months Ended
September 30
|
(in thousands, except for gold and
palladium ounces sold and per unit amounts)
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
Gross margin
|
|
$
|
197,413
|
|
$
|
126,894
|
|
$
|
555,180
|
|
$
|
396,252
|
Add back: depletion
|
|
|
55,530
|
|
|
46,435
|
|
|
178,071
|
|
|
145,908
|
Add back: cost of sales
related to delay ounces 1
|
|
|
1,698
|
|
|
-
|
|
|
1,698
|
|
|
-
|
Cash operating margin
|
|
$
|
254,641
|
|
$
|
173,329
|
|
$
|
734,949
|
|
$
|
542,160
|
Cash operating margin is comprised
of:
|
|
|
|
|
|
|
|
|
|
|
|
|
Total cash operating margin of
gold sold
|
|
$
|
155,234
|
|
$
|
111,693
|
|
$
|
453,645
|
|
$
|
314,690
|
Total cash operating margin of
silver sold
|
|
|
95,664
|
|
|
55,251
|
|
|
265,287
|
|
|
206,778
|
Total cash operating margin of
palladium sold
|
|
|
2,994
|
|
|
4,361
|
|
|
10,259
|
|
|
12,223
|
Total cash operating margin of
cobalt sold
|
|
|
749
|
|
|
2,024
|
|
|
5,758
|
|
|
8,469
|
Total cash operating
margin
|
|
$
|
254,641
|
|
$
|
173,329
|
|
$
|
734,949
|
|
$
|
542,160
|
Divided by:
|
|
|
|
|
|
|
|
|
|
|
|
|
Total gold ounces sold
|
|
|
75,694
|
|
|
74,426
|
|
|
245,039
|
|
|
212,325
|
Total silver ounces
sold
|
|
|
3,875
|
|
|
2,965
|
|
|
11,765
|
|
|
11,151
|
Total palladium ounces
sold
|
|
|
3,761
|
|
|
4,242
|
|
|
12,836
|
|
|
10,580
|
Total cobalt pounds
sold
|
|
|
88
|
|
|
198
|
|
|
485
|
|
|
786
|
Equals:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash operating margin per gold
ounce sold
|
|
$
|
2,051
|
|
$
|
1,500
|
|
$
|
1,851
|
|
$
|
1,482
|
Cash operating margin per silver
ounce sold
|
|
$
|
24.68
|
|
$
|
18.63
|
|
$
|
22.55
|
|
$
|
18.55
|
Cash operating margin per
palladium ounce sold
|
|
$
|
796
|
|
$
|
1,028
|
|
$
|
799
|
|
$
|
1,155
|
Cash operating margin per cobalt
pound sold
|
|
$
|
8.50
|
|
$
|
10.21
|
|
$
|
11.87
|
|
$
|
10.77
|
1) The cost of sales related
to delay ounces is a non-cash expense. Please see the Company's
MD&A for more information.
These non-IFRS measures do not
have any standardized meaning prescribed by IFRS, and other
companies may calculate these measures differently. The
presentation of these non-IFRS measures is intended to provide
additional information and should not be considered in isolation or
as a substitute for measures of performance prepared in accordance
with IFRS. For more detailed information, please refer to Wheaton's
MD&A available on the Company's website at www.wheatonpm.com
and posted on SEDAR+ at www.sedarplus.ca.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING
STATEMENTS
This press release contains
"forward-looking statements" within the meaning of the United
States Private Securities Litigation Reform Act of 1995 and
"forward-looking information" within the meaning of applicable
Canadian securities legislation concerning the business, operations
and financial performance of Wheaton and, in some instances, the
business, mining operations and performance of Wheaton's PMPA
counterparties. Forward-looking statements, which are all
statements other than statements of historical fact, include, but
are not limited to, statements with respect to:
· payment by the Company of $625 million to Montage and the
satisfaction of each party's obligations in accordance with the
Koné Gold PMPA;
· the
receipt by the Company of gold production in respect of the Koné
Gold Project;
· the
advance by the Company, and the repayment by Montage, of up to $75
million to Montage in connection with the Facility;
· payment by the Company of $125 million to Rio2 and the
satisfaction of each party's obligations in accordance with the
Fenix PMPA (as amended);
· the
receipt by the Company of gold production in respect of the Fenix
Gold Project;
· the
advance by the Company, and the repayment by Rio2, of up to $20
million to Rio2 in connection with the Rio2 standby loan
facility;
· the
future price of commodities;
· the
estimation of future production from the mineral stream interests
and mineral royalty interests currently owned by the Company (the
"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 the receipt by the Company of precious metals and
cobalt production or other payments in respect of the applicable
Mining Operations under PMPAs;
· 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
future sales of Common Shares under, the amount of net proceeds
from, and the use of the net proceeds from, the at-the-market
equity 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, including taxes payable
under the GMT, and the impact of the CRA Settlement, and the
Company's ability to pay its taxes;
· 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.
Generally, these forward-looking
statements can be identified by the use of forward-looking
terminology such as "plans", "expects" or "does not expect", "is
expected", "budget", "scheduled", "estimates", "forecasts",
"projects", "intends", "anticipates" or "does not anticipate", or
"believes", "potential", or variations of such words and phrases or
statements that certain actions, events or results "may", "could",
"would", "might" or "will be taken", "occur" or "be achieved".
Forward-looking statements are subject to known and unknown risks,
uncertainties and other factors that may cause the actual results,
level of activity, performance or achievements of Wheaton to be
materially different from those expressed or implied by such
forward-looking statements, including but not limited
to:
· risks
relating to the satisfaction of each party's obligations in
accordance with the terms of the Koné Gold PMPA;
· risks
relating to the satisfaction of each party's obligations in
accordance with the terms of the Facility;
· risks
relating to the satisfaction of each party's obligations in
accordance with the terms of the Fenix PMPA;
· risks
relating to the satisfaction of each party's obligations in
accordance with the terms of the Rio2 standby loan
facility;
· 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, , or the ability of the Company to pay such
taxes as and when due;
· 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 Wheaton's interpretation of, compliance with, or
application of the GMT, including Canada's GMTA and the legislation
enacted in Luxembourg, that applies to the income of the Company's
subsidiaries for fiscal years beginning on or after December 31,
2023;
· counterparty credit and liquidity risks;
· mine
operator and counterparty concentration risks;
· indebtedness and guarantees risks;
· hedging risk;
· competition in the streaming industry risk;
· risks
relating to security over underlying assets;
· risks
relating to third-party PMPAs;
· risks
relating to revenue from royalty interests;
· risks
related to Wheaton's acquisition strategy;
· risks
relating to third-party rights under PMPAs;
· risks
relating to future financings and security issuances;
· risks
relating to unknown defects and impairments;
· 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;
· 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;
· risks
related to underinsured 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;
· 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
associated with environmental, social and governance
matters;
· risks
related to fluctuations in commodity prices of metals produced from
the Mining Operations other than precious metals or
cobalt;
· risks
related to claims and legal proceedings against Wheaton or the
Mining Operations;
· risks
related to the market price of the Common Shares of
Wheaton;
· the
ability of Wheaton and the Mining Operations to retain key
management employees or procure the services of skilled and
experienced personnel;
· risks
related to interest rates;
· risks
related to the declaration, timing and payment of
dividends;
· risks
related to access to confidential information regarding Mining
Operations;
· 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 at-the-market
equity program, including the amount of any net proceeds from such
offering of Common Shares and the use of any such
proceeds;
· equity
price risks related to Wheaton's holding of long‑term investments
in other companies;
· risks
relating to activist shareholders;
· risks
relating to reputational damage;
· risks
relating to expression of views by industry analysts;
· risks
related to the impacts of climate change and the transition to a
low-carbon economy;
· risks
associated with the ability to achieve climate change and
environmental commitments at Wheaton and at the Mining
Operations;
· risks
related to ensuring the security and safety of information systems,
including cyber security risks;
· risks
relating to generative artificial intelligence;
· risks
relating to compliance with anti-corruption and anti-bribery
laws;
· risks
relating to corporate governance and public disclosure
compliance;
· risks
of significant impacts on Wheaton or the Mining Operations as a
result of an epidemic or pandemic;
· risks
related to the adequacy of internal control over financial
reporting; and
· other
risks discussed in the section entitled "Description of the
Business - Risk Factors" in Wheaton's Annual Information Form
available on SEDAR+ at www.sedarplus.ca and Wheaton's Form 40-F for the year ended December 31, 2022
on file with the U.S. Securities and Exchange Commission on EDGAR
(the "Disclosure").
Forward-looking statements are based on assumptions management
currently believes to be reasonable, including (without
limitation):
· the
payment of $625 million to Montage and the satisfaction of each
party's obligations in accordance with the terms of the Koné Gold
PMPA;
· the
advance by the Company of up to $75 million to Montage in
connection with the Facility and the receipt by the Company of all
amounts owing under the Facility, including, but not limited to,
interest;
· the
payment of $125 million to Rio2 and the satisfaction of each
party's obligations in accordance with the terms of the Fenix
PMPA;
· the
advance by the Company of up to $20 million to Rio2 in connection
with the Rio2 standby loan facility and the receipt by WPMI of all
amounts owing under the Rio2 standby loan facility, including, but
not limited to, interest;
· 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
public disclosure and other information Wheaton receives from the
owners and operators of the Mining Operations is accurate and
complete;
· that
the production estimates from Mining Operations 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
the terms and conditions of a PMPA are sufficient to recover
liabilities owed to the Company;
· that
Wheaton has fully considered the value and impact of any
third-party interests in PMPAs;
· 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
laws to its structure and operations and that Wheaton will be
able to pay taxes when due;
· that
Wheaton has filed its tax returns and paid applicable taxes in
compliance with Canadian tax laws;
· 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
Wheaton's assessment of the tax exposure and impact on the Company
and its subsidiaries of the implementation of a 15% global minimum
tax is accurate;
· that
any sale of Common Shares under the at-the-market equity 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;
· 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;
· the
estimate of the recoverable amount for any PMPA with an indicator
of impairment;
· that
neither Wheaton nor the Mining Operations will suffer significant
impacts as a result of an epidemic or pandemic; and
· such
other assumptions and factors as set out in the
Disclosure.
There can be no assurance that
forward-looking statements will prove to be accurate and even if
events or results described in the forward-looking statements are
realized or substantially realized, there can be no assurance that
they will have the expected consequences to, or effects on,
Wheaton. Readers should not place undue reliance on forward-looking
statements and are cautioned that actual outcomes may vary. The
forward-looking statements included herein are for the purpose of
providing readers with information to assist them in understanding
Wheaton's expected financial and operational performance and may
not be appropriate for other purposes. Any forward-looking
statement speaks only as of the date on which it is made, reflects
Wheaton's management's current beliefs based on current information
and will not be updated except in accordance with applicable
securities laws. Although Wheaton has attempted to identify
important factors that could cause actual results, level of
activity, performance or achievements to differ materially from
those contained in forward‑looking statements, there may be other
factors that cause results, level of activity, performance or
achievements not to be as anticipated, estimated or
intended.
Cautionary Language Regarding Reserves and
Resources
For further information on Mineral
Reserves and Mineral Resources and on Wheaton more generally,
readers should refer to Wheaton's Annual Information Form for the
year ended December 31, 2023, which was filed on March 28, 2024 and
other continuous disclosure documents filed by Wheaton since
January 1, 2024, available on SEDAR+ at www.sedarplus.ca. Wheaton's
Mineral Reserves and Mineral Resources are subject to the
qualifications and notes set forth therein. Mineral Resources,
which are not Mineral Reserves, do not have demonstrated economic
viability.
Cautionary Note to United States Investors Concerning
Estimates of Measured, Indicated and Inferred
Resources: The information contained
herein has been prepared in accordance with the requirements of the
securities laws in effect in Canada, which differ from the
requirements of United States securities laws. The Company reports
information regarding mineral properties, mineralization and
estimates of mineral reserves and mineral resources in accordance
with Canadian reporting requirements which are governed by, and
utilize definitions required by, Canadian National Instrument
43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101")
and the Canadian Institute of Mining, Metallurgy and Petroleum (the
"CIM") - CIM Definition Standards on Mineral Resources and Mineral
Reserves, adopted by the CIM Council, as amended (the "CIM
Standards"). These definitions differ from the definitions adopted
by the United States Securities and Exchange Commission ("SEC")
under the United States Securities Act of 1933, as amended (the
"Securities Act") which are applicable to U.S. companies.
Accordingly, there is no assurance any mineral reserves or mineral
resources that the Company may report as "proven mineral reserves",
"probable mineral reserves", "measured mineral resources",
"indicated mineral resources" and "inferred mineral resources"
under NI 43-101 would be the same had the Company prepared the
r