TSX | NYSE | LSE: WPM
Designated News Release
FOURTH QUARTER AND FULL YEAR FINANCIAL RESULTS
VANCOUVER,
BC, March 10, 2022
/PRNewswire/ - "Wheaton generated record annual revenue and
operating cash flow in 2021 as our diversified portfolio of
high-quality, long-life assets delivered strong results. We are
proud of the value we were able to return to our shareholders
resulting from our record-setting performance, with total dividends
paid in 2021 increasing by over 35% from 2020," said Randy Smallwood, President and Chief Executive
Officer of Wheaton Precious Metals. "In 2021, Wheaton also remained
focused on accretive growth, and over the past three months alone,
we added five new streams to our already robust portfolio. This
additional growth is readily apparent in our ten-year production
forecast, where we see annual production climbing to well over
900,000 gold equivalent ounces."
"In addition to our financial and corporate development
successes in 2021, Wheaton also made significant strides in
bolstering our sustainability efforts while continuing to support
community programs around our offices and mining partners' sites.
We substantially strengthened our policies and disclosure around
our environmental, social and governance strategy, including
aligning our approach with the most recent climate science with the
goal of reaching net zero carbon emissions by 2050. As we enter
2022, we look forward to building off our accomplishments from 2021
and continuing to create lasting value for all of our
stakeholders."
Fourth Quarter and Year End 2021
Highlights:
- Nearly $200 million in
operating cash flow during the fourth quarter and a record
$845 million during 2021.
- $278 million in revenue
during the fourth quarter and a record $1.2
billion during 2021.
- $132 million in adjusted
net earnings1 during the fourth quarter and a record
$592 million during 2021.
- Attributable production in 2021 was 752,958 gold
equivalent ounces2 ("GEOs"), in line with Company
guidance.
- Announced a new precious metal purchase agreement
("PMPA") on Artemis Gold Inc.'s Blackwater Gold Project
("Blackwater") in respect of silver production and acquired the
existing PMPA held by New Gold Inc. in respect of gold production
from Blackwater.
- Announced new PMPA on Generation Mining Limited's
Marathon Project in respect of gold and platinum
production.
- Subsequent to the quarter, announced new PMPAs on
Adventus Mining Corporation's Curipamba Project in respect of gold
and silver production and Sabina
Gold & Silver Corp.'s Goose Project in respect of gold
production.
- On a GEO3 basis,
total attributable Proven and Probable Mineral Reserves for all
metals increased by 13%, driven by a 20% increase in total
attributable gold Proven and Probable Mineral Reserves, primarily
due to recently added PMPAs and increases at Salobo.
- Declared quarterly
dividend1 of $0.15 per common share
Operational Overview
(all figures in US
dollars unless
otherwise noted)
|
|
|
Q4 2021
|
|
|
Q4 2020
|
|
Change
|
|
|
2021
|
|
|
2020
|
|
|
Change
|
Units produced
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gold ounces
|
|
|
88,321
|
|
|
92,039
|
|
(4.0)%
|
|
|
342,546
|
|
|
366,321
|
|
|
(6.5)%
|
Silver
ounces
|
|
|
6,356
|
|
|
6,509
|
|
(2.4)%
|
|
|
25,999
|
|
|
22,892
|
|
|
13.6 %
|
Palladium
ounces
|
|
|
4,733
|
|
|
5,672
|
|
(16.6)%
|
|
|
20,908
|
|
|
22,187
|
|
|
(5.8)%
|
Cobalt
pounds
|
|
|
381
|
|
|
-
|
|
n.a.
|
|
|
2,293
|
|
|
0
|
|
|
n.a.
|
Gold equivalent ounces
2
|
|
|
186,404
|
|
|
189,682
|
|
(1.7)%
|
|
|
752,958
|
|
|
712,624
|
|
|
5.7 %
|
Units sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gold ounces
|
|
|
79,622
|
|
|
86,243
|
|
(7.7)%
|
|
|
312,465
|
|
|
369,553
|
|
|
(15.4)%
|
Silver
ounces
|
|
|
5,116
|
|
|
4,576
|
|
11.8 %
|
|
|
22,860
|
|
|
19,232
|
|
|
18.9 %
|
Palladium
ounces
|
|
|
4,641
|
|
|
4,591
|
|
1.1 %
|
|
|
19,344
|
|
|
20,051
|
|
|
(3.5)%
|
Cobalt
pounds
|
|
|
228
|
|
|
-
|
|
n.a.
|
|
|
886
|
|
|
-
|
|
|
n.a.
|
Gold equivalent ounces
2
|
|
|
158,864
|
|
|
155,665
|
|
2.1 %
|
|
|
663,415
|
|
|
662,275
|
|
|
0.2 %
|
Revenue
|
|
$
|
278,197
|
|
$
|
286,212
|
|
(2.8)%
|
|
$
|
1,201,665
|
|
$
|
1,096,224
|
|
|
9.6 %
|
Net earnings
|
|
$
|
291,822
|
|
$
|
157,221
|
|
85.6 %
|
|
$
|
754,885
|
|
$
|
507,804
|
|
|
48.7 %
|
Per share
|
|
$
|
0.648
|
|
$
|
0.350
|
|
85.1 %
|
|
$
|
1.677
|
|
$
|
1.132
|
|
|
48.1 %
|
Adjusted net earnings 1
|
|
$
|
132,232
|
|
$
|
149,441
|
|
(11.5)%
|
|
$
|
592,079
|
|
$
|
503,335
|
|
|
17.6 %
|
Per share
1
|
|
$
|
0.293
|
|
$
|
0.333
|
|
(12.0)%
|
|
$
|
1.315
|
|
$
|
1.122
|
|
|
17.3 %
|
Operating cash flows
|
|
$
|
195,290
|
|
$
|
207,962
|
|
(6.1)%
|
|
$
|
845,145
|
|
$
|
765,442
|
|
|
10.4 %
|
Per share
1
|
|
$
|
0.433
|
|
$
|
0.463
|
|
(6.5)%
|
|
$
|
1.878
|
|
$
|
1.706
|
|
|
10.1 %
|
All amounts in thousands except gold, palladium &
gold equivalent ounces and cobalt pounds produced & sold, and
per share amounts.
|
Production Guidance
- 2022 Guidance: Wheaton's
estimated attributable production in 2022 is forecast to be 350,000
to 380,000 ounces of gold, 23.0 to 25.0 million ounces of silver,
and 44,000 to 48,000 GEOs3 of
other metals, resulting in production of approximately 700,000 to
760,000 GEOs3.
- Five-year guidance: For the
five-year period ending in 2026, the Company estimates that average
production will amount to 850,000
GEOs3.
- Ten-year guidance: For the
ten-year period ending in 2031, the Company estimates that average
annual production will amount to 910,000
GEOs3.
Financial Review
Revenues
Revenue was
$278 million in the fourth quarter of
2021 representing a 3% decrease from the fourth quarter of 2020 due
primarily to a 5% decrease in the average realized
gold equivalent² price; partially offset by a 2% increase in the
number of GEOs² sold.
Revenue was $1,202 million
in the year ended December 31, 2021
representing a 10% increase from 2020 due primarily to a 9%
increase in the average realized gold equivalent² price.
Cash Costs and
Margin
Average cash costs¹ in the fourth
quarter of 2021 were $429 per GEO² as
compared to $415 in fourth quarter of
2020.This resulted in a cash operating margin¹ of
$1,322 per GEO² sold, a decrease of
7% as compared with the fourth quarter of 2020.
Average cash costs¹ in 2021 were $434 per GEO² as compared to $403 in 2020. This resulted in a cash operating
margin¹ of $1,377 per GEO² sold, an
increase of 10% as compared with 2020.
Impairment Reversals of Mineral Stream
Interests
Net earnings were positively
impacted as the result of an impairment reversal on the Voisey's
Bay PMPA amounting to $157 million at
December 31, 2021.
Indicators of impairment reversal were identified relative
to the Voisey's Bay PMPA, as a result of significant and sustained
increases in the market prices of cobalt. Management estimated that
the recoverable amount under the Voisey's Bay PMPA exceeded the
carrying amount that would have been determined, net of depletion,
had no impairment charge been recognized for the PMPA in prior
years, resulting in an impairment reversal of $157 million at December
31, 2021.
Balance Sheet (at
December 31,
2021)
- Approximately $226 million
of cash on hand.
- The Company's $2 billion
revolving term loan (the "Revolving Facility") remains fully
undrawn.
Fourth Quarter Asset Highlights
Salobo: In the fourth quarter
of 2021, Salobo produced 48,200 ounces of attributable gold, a
decrease of approximately 23% relative to the fourth quarter of
2020 primarily due to lower throughput, grades and recovery, with
throughput being impacted as a result of an 18-day suspension of
operations following a conveyor belt fire in October 2021. According to Vale S.A. ("Vale"),
other activities, including mine and maintenance operations,
continued as usual during this period but concentrate production
was interrupted. Concentrate production resumed on October 22, 2021 and ramped up over a three-day
period. Vale reported that despite the challenges, mine movement
continued to improve at Salobo operation and reached pre-safety
review levels by the end of the year.
As per Vale's Fourth Quarter 2021 Performance Report, on
January 6, 2022, heavy rainfall in
the region of the Salobo III mine expansion caused a landslide that
damaged part of a conveyor belt and blocked access to the project
site. Safety conditions at the area were reestablished and Vale is
working on additional preventive measures and replacement of
damaged equipment. A full assessment of impact by Vale is ongoing
with conclusion expected early in the second quarter of 2022. Vale
further reports that physical completion of the Salobo III mine
expansion was 85% at the end of the fourth
quarter.
Peñasquito: In the fourth
quarter of 2021, Peñasquito produced 2.1 million ounces of
attributable silver, an increase of approximately 7% relative to
the fourth quarter of 2020, primarily due to higher grades and
recoveries, partially offset by lower throughput.
Antamina: In the fourth quarter
of 2021, Antamina produced 1.4 million ounces of attributable
silver, a decrease of approximately 29% relative to the fourth
quarter of 2020, primarily due to lower throughput and
grades. As per Compañía Minera Antamina
S.A.'s (the operating company of Antamina) news release dated
October 31, 2021, operations at
Antamina were briefly suspended to ensure the health and safety of
its workforce and other stakeholders following localized protests
in Peru.
Constancia: In the fourth
quarter of 2021, Constancia produced 0.6 million ounces of
attributable silver and 9,900 ounces of attributable gold, an
increase of approximately 21% and 151%, respectively, relative to
the fourth quarter of 2020. Silver production increased primarily
due to higher grades. The increase in gold production was primarily
due to higher grades resulting from the commencement of ore
production from the Pampacancha satellite deposit and the increase
in fixed recoveries from 55% to 70%, partially offset by the
receipt of 2,005 ounces in the fourth quarter of 2020 related to
delays in accessing the Pampacancha deposit while no delay payment
was received in 2021.Additionally, as Hudbay mined and
processed four million tonnes of ore from the Pampacancha deposit
by December 31, 2021, the Company was
required to make an additional deposit payment of $4 million to Hudbay for the increase in the
fixed gold recoveries, which was paid on December 23, 2021.
Sudbury: In the fourth
quarter of 2021, Vale's Sudbury
mines produced 5,400 ounces of attributable gold, a decrease of
approximately 19% relative to the fourth quarter of 2020, primarily
due to lower throughputas a result of the temporary
closure of the Totten mine. As per Vale, on September 26, 2021, a large piece of equipment,
called a bucket scoop, blocked and damaged the mine shaft resulting
in its temporary closure. Vale has reported that production at the
Totten mine, which accounts for approximately 15% to 20% of the
Company's gold production from Sudbury, resumed in the first quarter of 2022
and that operations at the Sudbury
mines are expected to normalize in the second quarter of
2022.
Stillwater: In the fourth
quarter of 2021, the Stillwater
mines produced 2,700 ounces of attributable gold and 4,700 ounces
of attributable palladium, a decrease of approximately 19% for gold
and 17% for palladium relative to the fourth quarter of 2020 due to
lower throughput.
San Dimas: In the fourth
quarter of 2021, San Dimas produced 13,700 ounces of attributable
gold, an increase of approximately 18% relative to the fourth
quarter of 2020, primarily due to the
mining of higher-grade material.
Other Gold: In the fourth
quarter of 2021, total Other Gold attributable production was 8,400
ounces, an increase of approximately 131% relative to the fourth
quarter of 2020, primarily due to the mining of higher-grade
material at Minto.
Other Silver: In the fourth quarter
of 2021, total Other Silver attributable production was 2.3 million
ounces, an increase of approximately 9% relative to the fourth
quarter of 2020, primarily due to higher production at Neves-Corvo
and the newly acquired Cozamin stream, partially offset by lower
production at Yauliyacu and Aljustrel.
Voisey's Bay: In the fourth
quarter of 2021, the Voisey's Bay mine produced 381 thousand pounds
of attributable cobalt. As per Vale's Fourth Quarter
2021 Performance Report, physical completion of the Voisey's Bay
underground mine extension, which includes developing two
underground mines - Reid Brook and
Eastern Deeps - was 67% at the end of the fourth quarter.
As per Vale, production commenced from Reid Brook in the second quarter of 2021, and
the start-up of Eastern Deeps is expected by the second half of
2022.
Produced But Not Yet Delivered4 and
Inventory
As at December 31,
2021, payable ounces and pounds attributable to
the Company produced but not yet delivered amounted to:
- 85,900 payable gold ounces, an increase of 5,100 ounces
during Q4 2021, primarily due to an increase during
the period at the Sudbury and
Constancia mines.
- 4.2 million payable silver ounces, an increase of 0.4
million ounces during Q4 2021.
- 5,600 payable palladium ounces, virtually unchanged
during Q4 2021.
- 596 thousand payable cobalt pounds, virtually unchanged
during Q4 2021.
As of December 31, 2021, 657
thousand pounds of cobalt were held in inventory by Wheaton, an
increase of 169 thousand pounds during Q4 2021.
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.
Corporate Development
Fenix Gold PMPA: On
November 15, 2021, the Company
entered into the previously disclosed PMPA with Rio2 Limited
("Rio2") in connection with the Fenix Gold Project located in
Chile.
Blackwater PMPA: On
December 13, 2021, the Company
entered into a PMPA with Artemis Gold Inc. ("Artemis") in respect
of silver production from the Blackwater Gold Project located in
British Columbia, Canada. Under
the PMPA, Wheaton will be entitled to receive 50% of the payable
silver production until 17.8 million ounces ("Moz") have been
delivered, thereafter dropping to 33% of payable silver production
for the life of the mine. The Company is committed to pay total
upfront consideration of $141 million
for this stream, payable in four equal installments during the
construction of Blackwater, subject to customary conditions being
satisfied. In addition, Wheaton will make ongoing cash payments
equal to 18% of the spot silver price per ounce of silver delivered
under the agreement until the value of silver delivered, net of the
per ounce production payment for silver, is equal to the upfront
consideration of $141 million, and
22% of the spot price of silver thereafter.
Additionally, on December 13,
2021, the Company announced that it had entered into a
definitive agreement to acquire the existing gold stream held by
New Gold Inc. ("New Gold") in respect of gold production from
Blackwater. Under this agreement, Wheaton will be entitled to
receive 8% of the payable gold production until 279,908 ounces have
been delivered, thereafter dropping to 4% of payable gold
production for the life of the mine. The Company paid $300 million for the stream. In addition, Wheaton
will make ongoing production payments equal to 35% of the spot gold
price per ounce of gold delivered under the agreement.
Subsequent to the Quarter – Corporate
Development
Curipamba PMPA: On
January 17, 2022, the Company entered
into a PMPA with Adventus Mining Corporation ("Adventus") in
respect of the Curipamba Project ("Curipamba") located in
Ecuador. Under the Curipamba PMPA,
Wheaton will purchase 50% of the payable gold production until
150,000 ounces have been delivered, thereafter dropping to 33% of
payable gold production for the life of the mine and 75% of the
payable silver production until 4.6 million ounces have been
delivered, thereafter dropping to 50% for the life of mine. Under
the terms of the agreement, the Company is committed to pay
Adventus total upfront cash consideration of $175.5 million, $13
million of which is available pre-construction and
$500,000 of which will be paid to
support certain local community development initiatives around
Curipamba. The remainder will be payable in four staged
installments during construction, subject to various customary
conditions being satisfied. In addition, Wheaton will make ongoing
production payments for the gold and silver ounces delivered equal
to 18% of the spot prices until the value of gold and silver
delivered, net of the production payment, is equal to the upfront
consideration of $175.5 million, at
which point the production payment will increase to 22% of the spot
prices.
MarathonPMPA:
On January 26, 2022, the Company
entered into a PMPA with Generation Mining Limited ("Gen Mining")
in respect of the Marathon Project located in Ontario, Canada. Under the Marathon PMPA,
Wheaton will purchase 100% of the payable gold production until
150,000 ounces have been delivered, thereafter dropping to 67% of
payable gold production for the life of the mine and 22% of the
payable platinum production until 120,000 ounces have been
delivered, thereafter dropping to 15% for the life of mine. Under
the terms of the agreement, the Company has committed to pay Gen
Mining total upfront cash consideration of C$240 million, C$40
million of which will be paid prior to construction and to
be used for the development of the Marathon Project, with the
remainder payable in four staged installments during construction,
subject to various customary conditions being satisfied and
pre-determined completion tests. In addition, Wheaton will make
ongoing production payments for the gold and platinum ounces
delivered equal to 18% of the spot prices until the value of gold
and platinum delivered, net of the production payment, is equal to
the upfront consideration of C$240
million, at which point the production payment will increase
to 22% of the spot prices.
Goose PMPA: On
February 8, 2022, the Company
announced that it had entered into a PMPA with Sabina Gold & Silver Corp. ("Sabina") in
respect of the Goose Project, part of Sabina's Back River Gold
District located in Nunavut,
Canada (the "Goose Project"). Under the Goose PMPA, Wheaton
will purchase 4.15% of the payable gold production until 130,000
ounces have been delivered, thereafter dropping to 2.15% until
200,000 ounces have been delivered, thereafter dropping to 1.5% of
the payable gold production. Under the terms of the agreement, the
Company has committed to pay Sabina an upfront payment of
$125 million in four equal
installments during construction of the Goose Project, subject to
customary conditions. In addition, Wheaton will make ongoing
production payments for the gold ounces delivered equal to 18% of
the spot gold price until the value of gold, net of the production
payment is equal to the upfront consideration of $125 million, at which point the production
payment will increase to 22% of the spot gold price.
Reserves and Resources (at
December 31, 2021)
- Proven and Probable Mineral Reserves attributable to
Wheaton were 14.01 million ounces of gold compared with 11.71
million ounces as reported in Wheaton's 2020 Annual Information
Form ("AIF"), an increase of 20% (primarily due to recently added
PMPAs and increases at Salobo); 567.9 million ounces of silver
compared with 550.3 million ounces, an increase of 3%; 0.63 million
ounces palladium compared with 0.64 million ounces, a decrease of
2%; 31.4 million pounds of cobalt compared to 31.7 million pounds,
a decrease of 1%; and first time reporting of platinum of 0.17
million ounces. On a GEO3
basis, total Proven and Probable Mineral Reserves for all
metals attributable to Wheaton were 22.98 million ounces, an
increase of 13%.
- Measured and Indicated Mineral Resources attributable to
Wheaton were 5.34 million ounces of gold compared with 4.50 million
ounces as reported in Wheaton's 2020 AIF, an increase of 18%; 766.6
million ounces of silver compared with 743.0 million ounces, an
increase of 3%; 0.12 million ounces of palladium compared to 0.03
million ounces, an increase of 318%; 1.5 million pounds of cobalt
remained the same as 2020; and first time reporting of platinum of
0.097 million ounces. On a GEO3
basis, total Measured and Indicated Mineral Resources for all
metals attributable to Wheaton were 15.78 million ounces, an
increase of 9%.
- Inferred Mineral Resources attributable to Wheaton were
4.96 million ounces of gold compared with 4.46 million ounces as
reported in Wheaton's 2020 AIF, an increase of 11%; 464.0 million
ounces of silver compared with 469.5 million ounces, a decrease of
1%, 0.35 million ounces of palladium compared with 0.37 million
ounces, a decrease of 7%; 6.8 million pounds of cobalt compared to
7.6, a decrease of 10%; and first time report of platinum of 0.017
million ounces. On a GEO3
basis, total Inferred Mineral Resources for all metals
attributable to Wheaton were 11.69 million ounces, an increase of
3%.
Estimated attributable reserves and resources contained in this
press release are based on information available to the Company as
of March 9, 2022, and therefore will
not reflect updates, if any, after that date. Updated reserves and
resources data incorporating year-end 2021 estimates will also be
included in the Company's 2021 Annual Information Form. Wheaton's
most current attributable reserves and resources, as of
December 31, 2021, can be found on
the Company's website at www.wheatonpm.com.
Sustainability
Climate Change Commitments:
Subsequent to the quarter, Wheaton announced the adoption of
a climate change policy and commitment to net zero carbon emissions
by 2050. As part of this policy, Wheaton plans to establish targets
across both Scope 2 and Scope 3 attributable emissions to support a
1.5° C trajectory. The Company has also established a fund
to support our mining partners' efforts to move to renewable energy
sources and reduce emissions at the mines in which we have an
interest.
Partner Community Investment Program:
Wheaton continues to support a wide range of programs with
mining partners including Vale, Glencore, Hudbay and First Majestic
Silver, focused on education, health, entrepreneurial support, and
community engagement opportunities in the communities near the
mines from which Wheaton receives precious metals. In the fourth
quarter of 2021, the second phase of the Agricultural and Livestock
Development Program run by Hudbay in Peru was completed. The program, aimed at
improving all aspects of the production chain related to the
raising of livestock in rural communities, provided nutritional
support to nearly 37,000 animals during the fourth quarter
alone.
COVID-19 Community Support and Response
Fund: In the second quarter of 2020, Wheaton
announced the launch of a $5 million
Community Support and Response Fund (the "CSR Fund") to support
global efforts to combat the social and economic impact of the
COVID-19 pandemic. The CSR Fund is designed to meet the immediate
needs of the communities in which Wheaton and its mining partners
operate. This fund is incremental to Wheaton's already active
Community Investment Program that currently provides support to
over 50 programs in multiple communities around the world. As of
December 31, 2021, the Company has
made donations totaling approximately $4.6
million through the CSR Fund.
Webcast and Conference Call Details
A conference call and webcast will be held on Friday, March 11, 2022 starting at 8:00am PT / 11:00 am
ET to discuss these results. To participate in the live call
please use one of the following methods:
Dial toll free from
Canada or the US:
|
1-888-664-6383
|
Dial from outside
Canada or the US:
|
1-416-764-8650
|
Pass code:
|
99785763
|
Live audio
webcast:
|
Webcast URL
|
Participants should dial in five to ten minutes before the
call.
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
March 18, 2022 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:
|
1-888-390-0541
|
Dial from outside
Canada or the US:
|
1-416-764-8677
|
Pass code:
|
785763 #
|
Archived audio
webcast:
|
Webcast URL
|
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.sedar.com.
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.
About Wheaton Precious Metals Corp. and Outlook
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.
End Notes
_____________________________
|
1 Please
refer to non-IFRS measures at the end of this press release.
Dividends declared in the referenced calendar quarter, relative to
the financial results of the prior quarter. Details of the dividend
can be found in the Wheaton's news release date March 10, 2022,
titled "Wheaton Precious Metals Declares Quarterly
Dividend."
|
2
Commodity price assumptions for the gold equivalent production and
sales in 2021 are $1,800 / ounce gold, $25 / ounce silver, and
$2,300 / ounce palladium and $17.75 / pound cobalt. Other metal
includes palladium and cobalt.
|
3 Gold
equivalent forecast production for 2022 and the longer term outlook
and for mineral reserves and resources are based on the following
commodity price assumptions: $1,800 / ounce gold, $24 / ounce
silver, $2,100 / ounce palladium, $1,000 / ounce platinum and $33 /
pound of cobalt. Other metal includes palladium and cobalt. Five-
and ten-year guidance do not include optionality production from
Pascua Lama, Navidad, Cotabambas, Metates, or additional expansions
at Salobo outside of project currently in construction. In
addition, five-year guidance also does not include any production
from Kutcho or the Victor project at Sudbury.
|
4 Payable
gold, silver and palladium ounces and cobalt pounds produced but
not yet delivered are based on management estimates only and rely
upon information provided by the owners and operators of mining
operations and may be revised and updated in future periods as
additional information is received.
|
Consolidated Statements of Earnings
|
|
Years Ended December
31
|
(US dollars and
shares in thousands, except per share amounts)
|
|
2021
|
2020
|
Sales
|
|
$
|
1,201,665
|
$
|
1,096,224
|
Cost of
sales
|
|
|
|
|
|
Cost of sales,
excluding depletion
|
|
$
|
287,947
|
$
|
266,763
|
Depletion
|
|
|
254,793
|
|
243,889
|
Total cost of
sales
|
|
$
|
542,740
|
$
|
510,652
|
Gross
margin
|
|
$
|
658,925
|
$
|
585,572
|
General and
administrative expenses
|
|
|
60,985
|
|
65,698
|
Reversal of
impairment of mineral stream interests
|
|
|
(156,717)
|
|
-
|
Earnings from
operations
|
|
$
|
754,657
|
$
|
519,874
|
Other (income)
expense
|
|
|
(5,776)
|
|
(2,170)
|
Earnings before
finance costs and income taxes
|
|
$
|
760,433
|
$
|
522,044
|
Finance
costs
|
|
|
5,817
|
|
16,715
|
Earnings before
income taxes
|
|
$
|
754,616
|
$
|
505,329
|
Income tax
recovery
|
|
|
269
|
|
2,475
|
Net
earnings
|
|
$
|
754,885
|
$
|
507,804
|
Basic earnings per
share
|
|
$
|
1.677
|
$
|
1.132
|
Diluted earnings per
share
|
|
$
|
1.673
|
$
|
1.128
|
Weighted average
number of shares outstanding
|
|
|
|
|
|
Basic
|
|
|
450,138
|
|
448,694
|
Diluted
|
|
|
451,170
|
|
450,070
|
Consolidated Balance Sheets
|
As at
December 31
|
As at
December 31
|
(US dollars in
thousands)
|
2021
|
2020
|
|
|
|
|
|
Assets
|
|
|
|
|
Current
assets
|
|
|
|
|
Cash and cash
equivalents
|
$
|
226,045
|
$
|
192,683
|
Accounts
receivable
|
|
11,577
|
|
5,883
|
Other
|
|
12,102
|
|
3,265
|
Total current
assets
|
$
|
249,724
|
$
|
201,831
|
|
|
|
|
|
Non-current
assets
|
|
|
|
|
Mineral stream
interests
|
$
|
5,905,797
|
$
|
5,488,391
|
Early deposit mineral
stream interests
|
|
34,741
|
|
33,241
|
Mineral royalty
interest
|
|
6,606
|
|
3,047
|
Long-term equity
investments
|
|
61,477
|
|
199,878
|
Convertible notes
receivable
|
|
17,086
|
|
11,353
|
Property, plant and
equipment
|
|
5,509
|
|
6,289
|
Other
|
|
15,211
|
|
13,242
|
Total non-current
assets
|
$
|
6,046,427
|
$
|
5,755,441
|
Total
assets
|
$
|
6,296,151
|
$
|
5,957,272
|
|
|
|
|
|
Liabilities
|
|
|
|
|
Current
liabilities
|
|
|
|
|
Accounts payable and
accrued liabilities
|
$
|
13,935
|
$
|
13,023
|
Current portion of
performance share units
|
|
14,807
|
|
17,297
|
Current portion of
lease liabilities
|
|
813
|
|
773
|
Other
|
|
136
|
|
76
|
Total current
liabilities
|
$
|
29,691
|
$
|
31,169
|
|
|
|
|
|
Non-current
liabilities
|
|
|
|
|
Bank debt
|
$
|
-
|
$
|
195,000
|
Lease
liabilities
|
|
2,060
|
|
2,864
|
Deferred income
taxes
|
|
100
|
|
214
|
Performance share
units
|
|
11,498
|
|
11,784
|
Pension
liability
|
|
2,685
|
|
1,670
|
Total non-current
liabilities
|
$
|
16,343
|
$
|
211,532
|
Total
liabilities
|
$
|
46,034
|
$
|
242,701
|
|
|
|
|
|
Shareholders' equity
|
|
|
|
|
Issued
capital
|
$
|
3,698,998
|
$
|
3,646,291
|
Reserves
|
|
47,036
|
|
126,882
|
Retained
earnings
|
|
2,504,083
|
|
1,941,398
|
Total shareholders'
equity
|
$
|
6,250,117
|
$
|
5,714,571
|
Total liabilities and
shareholders' equity
|
$
|
6,296,151
|
$
|
5,957,272
|
Consolidated Statements of Cash Flows
|
|
Years Ended December
31
|
(US dollars in
thousands)
|
|
2021
|
2020
|
|
|
|
|
|
|
Operating activities
|
|
|
|
|
|
Net
earnings
|
|
$
|
754,885
|
$
|
507,804
|
Adjustments
for
|
|
|
|
|
|
Depreciation and
depletion
|
|
|
256,685
|
|
245,779
|
Reversal of impairment
of mineral stream interests
|
|
|
(156,717)
|
|
-
|
Interest
expense
|
|
|
352
|
|
12,366
|
Equity settled stock
based compensation
|
|
|
5,262
|
|
5,432
|
Performance share
units
|
|
|
(2,925)
|
|
9,398
|
Pension
expense
|
|
|
1,014
|
|
806
|
Income tax expense
(recovery)
|
|
|
(269)
|
|
(2,475)
|
Loss (gain) on fair
value adjustment of share purchase
warrants held
|
|
|
2,101
|
|
(337)
|
Fair value (gain) loss
on convertible note receivable
|
|
|
(5,733)
|
|
(1,899)
|
Investment income
recognized in net earnings
|
|
|
(462)
|
|
(230)
|
Other
|
|
|
(510)
|
|
1,487
|
Change in non-cash
working capital
|
|
|
(8,072)
|
|
1,025
|
Cash generated from
operations before income taxes and interest
|
|
$
|
845,611
|
$
|
779,156
|
Income taxes
recovered (paid)
|
|
|
(279)
|
|
49
|
Interest
paid
|
|
|
(429)
|
|
(13,992)
|
Interest
received
|
|
|
242
|
|
229
|
Cash generated from
operating activities
|
|
$
|
845,145
|
$
|
765,442
|
|
|
|
|
|
|
Financing activities
|
|
|
|
|
|
Bank debt
repaid
|
|
$
|
(195,000)
|
$
|
(679,500)
|
Credit facility
extension fees
|
|
|
(1,727)
|
|
(1,373)
|
Share purchase
options exercised
|
|
|
7,953
|
|
21,892
|
Lease
payments
|
|
|
(780)
|
|
(704)
|
Dividends
paid
|
|
|
(218,052)
|
|
(167,212)
|
Cash (used for)
generated from financing activities
|
|
$
|
(407,606)
|
$
|
(826,897)
|
|
|
|
|
|
|
Investing activities
|
|
|
|
|
|
Mineral stream
interests
|
|
$
|
(520,891)
|
$
|
(322)
|
Early deposit mineral
stream interests
|
|
|
(1,500)
|
|
(1,500)
|
Mineral royalty
interest
|
|
|
(3,571)
|
|
-
|
Acquisition of
long-term investments
|
|
|
(7,453)
|
|
(10,671)
|
Proceeds on disposal
of long-term investments
|
|
|
129,753
|
|
162,942
|
Dividends
received
|
|
|
221
|
|
-
|
Other
|
|
|
(775)
|
|
(801)
|
Cash (used for)
generated from investing activities
|
|
$
|
(404,216)
|
$
|
149,648
|
Effect of exchange
rate changes on cash and cash equivalents
|
|
$
|
39
|
$
|
504
|
Increase in cash and
cash equivalents
|
|
$
|
33,362
|
$
|
88,697
|
Cash and cash
equivalents, beginning of year
|
|
|
192,683
|
|
103,986
|
Cash and cash
equivalents, end of year
|
|
$
|
226,045
|
$
|
192,683
|
Summary of Units Produced
|
Q4
2021
|
Q3
2021
|
Q2
2021
|
Q1
2021
|
Q4
2020
|
Q3
2020
|
Q2
2020
|
Q1
2020
|
Gold ounces produced
²
|
|
|
|
|
|
|
|
|
Salobo
|
48,235
|
55,205
|
55,590
|
46,622
|
62,854
|
63,408
|
59,104
|
62,575
|
Sudbury
3
|
5,404
|
148
|
4,563
|
7,004
|
6,659
|
3,798
|
9,257
|
7,795
|
Constancia
7
|
9,857
|
8,533
|
5,525
|
2,453
|
3,929
|
3,780
|
3,470
|
3,681
|
San Dimas 4,
7
|
13,714
|
11,936
|
11,478
|
10,491
|
11,652
|
9,228
|
6,074
|
11,318
|
Stillwater
5
|
2,664
|
2,949
|
2,962
|
3,041
|
3,290
|
3,176
|
3,222
|
2,955
|
Other
|
|
|
|
|
|
|
|
|
Minto
|
3,506
|
1,703
|
3,206
|
2,638
|
789
|
1,832
|
2,928
|
2,124
|
777
8
|
4,462
|
4,717
|
5,035
|
6,280
|
2,866
|
5,278
|
4,728
|
4,551
|
Marmato
|
479
|
433
|
1,713
|
-
|
-
|
-
|
-
|
-
|
Total Other
|
8,447
|
6,853
|
9,954
|
8,918
|
3,655
|
7,110
|
7,656
|
6,675
|
Total gold ounces
produced
|
88,321
|
85,624
|
90,072
|
78,529
|
92,039
|
90,500
|
88,783
|
94,999
|
Silver ounces
produced 2
|
|
|
|
|
|
|
|
|
Peñasquito
7
|
2,145
|
2,180
|
2,026
|
2,202
|
2,014
|
1,992
|
967
|
2,658
|
Antamina
7
|
1,366
|
1,548
|
1,558
|
1,577
|
1,930
|
1,516
|
612
|
1,311
|
Constancia
7
|
578
|
521
|
468
|
406
|
478
|
430
|
254
|
461
|
Other
|
|
|
|
|
|
|
|
|
Los Filos
7
|
37
|
17
|
26
|
31
|
6
|
17
|
14
|
29
|
Zinkgruvan
|
482
|
658
|
457
|
420
|
515
|
498
|
389
|
662
|
Yauliyacu
7
|
382
|
372
|
629
|
737
|
454
|
679
|
273
|
557
|
Stratoni
|
129
|
18
|
164
|
165
|
185
|
156
|
148
|
183
|
Minto
|
44
|
25
|
33
|
21
|
16
|
15
|
19
|
18
|
Neves-Corvo
|
522
|
362
|
408
|
345
|
420
|
281
|
479
|
377
|
Aljustrel
|
325
|
314
|
400
|
474
|
440
|
348
|
388
|
352
|
Cozamin
|
213
|
199
|
183
|
230
|
-
|
-
|
-
|
-
|
Marmato
|
7
|
10
|
39
|
-
|
-
|
-
|
-
|
-
|
Keno Hill
|
30
|
44
|
55
|
27
|
-
|
-
|
-
|
-
|
777
8
|
96
|
81
|
83
|
130
|
51
|
96
|
108
|
96
|
Total Other
|
2,267
|
2,100
|
2,477
|
2,580
|
2,087
|
2,090
|
1,818
|
2,274
|
Total silver ounces
produced
|
6,356
|
6,349
|
6,529
|
6,765
|
6,509
|
6,028
|
3,651
|
6,704
|
Palladium ounces
produced ²
|
|
|
|
|
|
|
|
|
Stillwater
5
|
4,733
|
5,105
|
5,301
|
5,769
|
5,672
|
5,444
|
5,759
|
5,312
|
Cobalt pounds
produced ²
|
|
|
|
|
|
|
|
|
Voisey's
Bay
|
381
|
370
|
380
|
1,162
⁹
|
-
|
-
|
-
|
-
|
GEOs produced
6
|
186,404
|
183,975
|
191,271
|
191,308
|
189,682
|
181,184
|
146,857
|
194,901
|
SEOs produced
6
|
13,421
|
13,246
|
13,772
|
13,774
|
13,657
|
13,045
|
10,574
|
14,033
|
Average payable rate
2
|
|
|
|
|
|
|
|
|
Gold
|
96.0%
|
96.0%
|
95.8%
|
95.0%
|
95.2%
|
95.3%
|
94.7%
|
95.1%
|
Silver
|
86.0%
|
86.6%
|
86.9%
|
86.6%
|
86.3%
|
86.1%
|
81.9%
|
85.6%
|
Palladium
|
92.2%
|
94.5%
|
95.0%
|
91.6%
|
93.6%
|
94.0%
|
90.8%
|
91.0%
|
Cobalt
|
93.3%
|
93.3%
|
93.3%
|
93.3%
|
n.a.
|
n.a.
|
n.a.
|
n.a.
|
GEO
7
|
91.3%
|
91.2%
|
91.7%
|
90.4%
|
91.1%
|
91.1%
|
89.8%
|
90.4%
|
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.
Operations at the Sudbury mines were suspended from June 1, 2021 to
August 9, 2021 as a result of a labour disruption by unionized
employees.
|
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. Effective April
1, 2020, the fixed gold to silver exchange ratio was revised to
90:1, with the 70:1 ratio being reinstated on October 15, 2020. For
reference, attributable silver production from prior periods is as
follows: Q4-2021 - 544,000 ounces; Q3-2021 - 472,000 ounces;
Q2-2021 - 467,000 ounces; Q1-2021 - 429,000 ounces; Q4-2020 -
485,000 ounces; Q3-2020 - 420,000 ounces; Q2-2020 - 276,000 ounces;
Q1-2020 - 419,000 ounces.
|
5)
|
Comprised of the
Stillwater and East Boulder gold and palladium
interests.
|
6)
|
GEOs and SEOs, which
are provided to assist the reader, are based on the following
commodity price assumptions: $1,800 per ounce gold; $25.00 per
ounce silver; $2,300 per ounce palladium; and $17.75 per pound
cobalt; consistent with those used in estimating the Company's
production guidance for 2021.
|
7)
|
Operations at these
mines had been temporarily suspended during the second quarter of
2020 as a result of the COVID-19 pandemic. During the second half
of 2020, all of the operations were restarted.Additionally,
operations at Los Filos were suspended from September 3, 2020 to
December 23, 2020 as the result of an illegal road blockade by
members of the nearby Carrizalillo community and had been
temporarily suspended from June 22, 2021 to July 26, 2021 as the
result of illegal blockades by a group of unionized employees and
members of the Xochipala community.
|
8)
|
Operations at 777
were temporarily suspended from October 11, 2020 to November 25,
2020 as a result of an incident that occurred on October 9th during
routine maintenance of the hoist rope and skip.
|
9)
|
Effective January 1,
2021, the Company was entitled to cobalt production from the
Voisey's Bay mine. As per the Voisey's Bay PMPA with Vale, Wheaton
is entitled to any cobalt processed at the Long Harbour Processing
Plant as of January 1, 2021, resulting in reported production in
the first quarter of 2021 including some material produced at the
Voisey's Bay mine in the previous quarter.
|
Summary of Units Sold
|
Q4
2021
|
Q3
2021
|
Q2
2021
|
Q1
2021
|
Q4
2020
|
Q3
2020
|
Q2
2020
|
Q1
2020
|
Gold ounces
sold
|
|
|
|
|
|
|
|
|
Salobo
|
47,171
|
35,185
|
57,296
|
51,423
|
53,197
|
59,584
|
68,487
|
74,944
|
Sudbury
2
|
965
|
1,915
|
6,945
|
3,691
|
7,620
|
7,858
|
7,414
|
4,822
|
Constancia
6
|
6,196
|
8,159
|
2,321
|
1,676
|
3,853
|
4,112
|
3,024
|
3,331
|
San Dimas
6
|
15,182
|
11,346
|
11,214
|
10,273
|
11,529
|
9,687
|
6,030
|
11,358
|
Stillwater
3
|
2,933
|
2,820
|
2,574
|
3,074
|
3,069
|
3,015
|
3,066
|
3,510
|
Other
|
|
|
|
|
|
|
|
|
Minto
|
2,462
|
1,907
|
2,359
|
2,390
|
1,540
|
-
|
-
|
-
|
777
|
4,290
|
5,879
|
5,694
|
2,577
|
5,435
|
5,845
|
4,783
|
2,440
|
Marmato
|
423
|
438
|
1,687
|
-
|
-
|
-
|
-
|
-
|
Total Other
|
7,175
|
8,224
|
9,740
|
4,967
|
6,975
|
5,845
|
4,783
|
2,440
|
Total gold ounces
sold
|
79,622
|
67,649
|
90,090
|
75,104
|
86,243
|
90,101
|
92,804
|
100,405
|
Silver ounces
sold
|
|
|
|
|
|
|
|
|
Peñasquito
6
|
1,818
|
2,210
|
1,844
|
2,174
|
1,417
|
1,799
|
1,917
|
2,310
|
Antamina
6
|
1,297
|
1,502
|
1,499
|
1,930
|
1,669
|
1,090
|
788
|
1,244
|
Constancia
6
|
351
|
484
|
295
|
346
|
442
|
415
|
254
|
350
|
Other
|
|
|
|
|
|
|
|
|
Los Filos
6
|
17
|
12
|
42
|
27
|
-
|
19
|
25
|
37
|
Zinkgruvan
|
346
|
354
|
355
|
293
|
326
|
492
|
376
|
447
|
Yauliyacu
6
|
551
|
182
|
601
|
1,014
|
15
|
580
|
704
|
9
|
Stratoni
|
42
|
41
|
167
|
117
|
169
|
134
|
77
|
163
|
Minto
|
27
|
24
|
29
|
26
|
20
|
-
|
-
|
-
|
Neves-Corvo
|
259
|
193
|
215
|
239
|
145
|
201
|
236
|
204
|
Aljustrel
|
133
|
155
|
208
|
257
|
280
|
148
|
252
|
123
|
Cozamin
|
174
|
170
|
168
|
173
|
-
|
-
|
-
|
-
|
Marmato
|
8
|
10
|
35
|
-
|
-
|
-
|
-
|
-
|
Keno Hill
|
24
|
51
|
33
|
12
|
-
|
-
|
-
|
-
|
777
|
69
|
99
|
109
|
49
|
93
|
121
|
100
|
41
|
Total Other
|
1,650
|
1,291
|
1,962
|
2,207
|
1,048
|
1,695
|
1,770
|
1,024
|
Total silver ounces
sold
|
5,116
|
5,487
|
5,600
|
6,657
|
4,576
|
4,999
|
4,729
|
4,928
|
Palladium ounces
sold
|
|
|
|
|
|
|
|
|
Stillwater
3
|
4,641
|
5,703
|
3,869
|
5,131
|
4,591
|
5,546
|
4,976
|
4,938
|
Cobalt pounds
sold
|
|
|
|
|
|
|
|
|
Voisey's
Bay
|
228
|
131
|
395
|
132
|
-
|
-
|
-
|
-
|
GEOs sold
4
|
158,864
|
152,432
|
176,700
|
175,419
|
155,665
|
166,611
|
164,844
|
175,154
|
SEOs sold
4
|
11,438
|
10,975
|
12,722
|
12,630
|
11,208
|
11,996
|
11,869
|
12,611
|
Cumulative payable
units PBND 5
|
|
|
|
|
|
|
|
|
Gold ounces
|
85,945
|
80,819
|
66,238
|
70,072
|
70,555
|
75,750
|
79,632
|
88,383
|
Silver
ounces
|
4,200
|
3,845
|
3,802
|
3,738
|
4,486
|
3,437
|
3,222
|
4,961
|
Palladium
ounces
|
5,629
|
5,619
|
6,822
|
5,373
|
5,597
|
4,616
|
4,883
|
4,875
|
Cobalt
pounds
|
596
|
637
|
777
|
820
|
-
|
-
|
-
|
-
|
GEO
4
|
157,347
|
147,679
|
135,430
|
136,933
|
140,008
|
129,391
|
130,623
|
163,521
|
SEO
4
|
10,906
|
10,181
|
9,199
|
9,277
|
10,081
|
9,316
|
9,405
|
11,774
|
Inventory on
hand
|
|
|
|
|
|
|
|
|
Cobalt
pounds
|
657
|
488
|
134
|
132
|
-
|
-
|
-
|
-
|
1)
|
All figures in
thousands except gold and palladium ounces sold.
|
2)
|
Comprised of the
Coleman, Copper Cliff, Garson, Creighton and Totten gold
interests.
|
3)
|
Comprised of the
Stillwater and East Boulder gold and palladium
interests.
|
4)
|
GEOs and SEOs, which
are provided to assist the reader, are based on the following
commodity price assumptions: $1,800 per ounce gold; $25.00 per
ounce silver; $2,300 per ounce palladium; and $17.75 per pound
cobalt; consistent with those used in estimating the Company's
production guidance for 2021.
|
5)
|
Payable gold, silver
and palladium ounces as well as cobalt pounds produced but not yet
delivered ("PBND") are based on management estimates. These figures
may be updated in future periods as additional information is
received.
|
6)
|
Operations at these
mines had been temporarily suspended during the second quarter of
2020 as a result of the COVID-19 pandemic. During the second half
of 2020, all of the operations were restarted.
|
Results of Operations
The operating results of the Company's reportable
operating segments are summarized in the tables and commentary
below.
Three Months Ended
December 31, 2021
|
|
Units
Produced²
|
Units
Sold
|
Average
Realized
Price
($'s
Per Unit)
|
Average
Cash Cost
($'s Per
Unit) 3
|
Average
Depletion
($'s Per
Unit)
|
Sales
|
Gross
Margin
|
Impairment Reversals
4
|
Net
Earnings
|
Cash Flow
From
Operations
|
Total
Assets
|
Gold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salobo
|
48,235
|
47,171
|
$
|
1,799
|
$
|
412
|
$
|
374
|
$
|
84,849
|
$
|
47,781
|
$
|
-
|
$
|
47,781
|
$
|
63,659
|
$
|
2,437,939
|
Sudbury
5
|
5,404
|
965
|
|
1,795
|
|
400
|
|
1,024
|
|
1,732
|
|
357
|
|
-
|
|
357
|
|
1,346
|
|
307,169
|
Constancia
|
9,857
|
6,196
|
|
1,799
|
|
412
|
|
315
|
|
11,147
|
|
6,642
|
|
-
|
|
6,642
|
|
8,398
|
|
103,789
|
San Dimas
|
13,714
|
15,182
|
|
1,799
|
|
618
|
|
322
|
|
27,309
|
|
13,030
|
|
-
|
|
13,030
|
|
17,923
|
|
166,723
|
Stillwater
|
2,664
|
2,933
|
|
1,799
|
|
319
|
|
397
|
|
5,275
|
|
3,176
|
|
-
|
|
3,176
|
|
4,340
|
|
219,785
|
Other
6
|
8,447
|
7,175
|
|
1,795
|
|
676
|
|
42
|
|
12,875
|
|
7,721
|
|
-
|
|
7,721
|
|
8,463
|
|
364,792
|
|
88,321
|
79,622
|
$
|
1,798
|
$
|
472
|
$
|
338
|
$
|
143,187
|
$
|
78,707
|
$
|
-
|
$
|
78,707
|
$
|
104,129
|
$
|
3,600,197
|
Silver
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Peñasquito
|
2,145
|
1,818
|
$
|
23.28
|
$
|
4.29
|
$
|
3.55
|
$
|
42,314
|
$
|
28,064
|
$
|
-
|
$
|
28,064
|
$
|
34,515
|
$
|
322,018
|
Antamina
|
1,366
|
1,297
|
|
23.33
|
|
4.73
|
|
7.53
|
|
30,250
|
|
14,351
|
|
-
|
|
14,351
|
|
25,091
|
|
580,052
|
Constancia
|
578
|
351
|
|
23.28
|
|
6.08
|
|
7.56
|
|
8,170
|
|
3,383
|
|
-
|
|
3,383
|
|
5,739
|
|
205,884
|
Other
7
|
2,267
|
1,650
|
|
23.48
|
|
7.22
|
|
5.83
|
|
38,770
|
|
17,226
|
|
-
|
|
17,226
|
|
26,118
|
|
593,195
|
|
6,356
|
5,116
|
$
|
23.36
|
$
|
5.47
|
$
|
5.57
|
$
|
119,504
|
$
|
63,024
|
$
|
-
|
$
|
63,024
|
$
|
91,463
|
$
|
1,701,149
|
Palladium
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stillwater
|
4,733
|
4,641
|
$
|
1,918
|
$
|
340
|
$
|
442
|
$
|
8,902
|
$
|
5,268
|
$
|
-
|
$
|
5,268
|
$
|
7,323
|
$
|
232,830
|
Cobalt
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Voisey's
Bay
|
381
|
228
|
$
|
28.94
|
$
|
4.68
|
$
|
8.17
|
$
|
6,604
|
$
|
3,673
|
$
|
156,717
|
$
|
160,390
|
$
|
2,443
|
$
|
371,621
|
Operating results
|
|
|
|
|
|
|
|
$
|
278,197
|
$
|
150,672
|
$
|
156,717
|
$
|
307,389
|
$
|
205,358
|
$
|
5,905,797
|
Other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and
administrative
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
(16,955)
|
$
|
(9,139)
|
|
|
Finance
costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1,508)
|
|
(1,026)
|
|
|
Other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,581
|
|
325
|
|
|
Income tax
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(685)
|
|
(228)
|
|
|
Total
other
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
(15,567)
|
$
|
(10,068)
|
$
|
390,354
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
291,822
|
$
|
195,290
|
$
|
6,296,151
|
1)
|
Units of gold, silver
and palladium produced and sold are reported in ounces, while
cobalt is reported in pounds. All figures in thousands except gold
and palladium ounces produced and sold and per unit
amounts.
|
2)
|
Quantity produced
represent the amount of gold, silver, palladium and cobalt
contained in concentrate or doré prior to smelting or refining
deductions. Production figures are based on information provided by
the operators of the mining operations to which the mineral stream
interests relate or management estimates in those situations where
other information is not available. Certain production figures may
be updated in future periods as additional information is
received.
|
3)
|
Refer to discussion
on non-IFRS measure (iii) at the end of this press
release.
|
4)
|
Please see the
section "Impairment Reversals of Mineral Stream Interests" in this
press release for more information.
|
5)
|
Comprised of the
operating Coleman, Copper Cliff, Garson, Creighton and Totten gold
interests and the non-operating Stobie and Victor gold
interests.
|
6)
|
Comprised of the
operating 777, Minto and Marmato gold interests as well as the
non-operating Rosemont, Santo Domingo, Blackwater and Fenix gold
interests.
|
7)
|
Comprised of the
operating Los Filos, Zinkgruvan, Yauliyacu, Stratoni, Neves-Corvo,
Aljustrel, Minto, Keno Hill, Cozamin, Marmato and 777 silver
interests as well as the non-operating Loma de La Plata,
Pascua-Lama, Rosemont and Blackwater silver interests.
|
On a gold equivalent and silver equivalent basis, results
for the Company for the three months ended December 31, 2021 were as follows:
Three Months Ended
December 31, 2021
|
|
Ounces
Produced 1, 2
|
Ounces
Sold 2
|
Average
Realized
Price
($'s Per
Ounce)
|
Average
Cash Cost
($'s Per
Ounce) 3
|
Cash
Operating
Margin
($'s Per
Ounce) 4
|
Average
Depletion
($'s Per
Ounce)
|
Gross
Margin
($'s Per
Ounce)
|
Gold equivalent basis
5
|
186,404
|
158,864
|
$
|
1,751
|
$
|
429
|
$
|
1,322
|
$
|
373
|
$
|
949
|
Silver equivalent
basis 5
|
13,421
|
11,438
|
$
|
24.32
|
$
|
5.96
|
$
|
18.36
|
$
|
5.19
|
$
|
13.17
|
1)
|
Quantity produced
represent the amount of gold, silver, palladium and cobalt
contained in concentrate or doré prior to smelting or refining
deductions. Production figures are based on information provided by
the operators of the mining operations to which the mineral stream
interests relate or management estimates in those situations where
other information is not available. Certain production figures may
be updated in future periods as additional information is
received.
|
2)
|
Silver ounces
produced and sold in thousands.
|
3)
|
Refer to discussion
on non-IFRS measure (iii) at the end of this press
release.
|
4)
|
Refer to discussion
on non-IFRS measure (iv) at the end of this press
release.
|
5)
|
GEOs and SEOs, which
are provided to assist the reader, are based on the following
commodity price assumptions: $1,800 per ounce gold; $25.00 per
ounce silver; $2,300 per ounce palladium; and $17.75 per pound
cobalt; consistent with those used in estimating the Company's
production guidance for 2021.
|
Three Months Ended
December 31, 2020
|
|
Units
Produced²
|
Units
Sold
|
Average
Realized
Price
($'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
|
62,854
|
53,197
|
$
|
1,881
|
$
|
408
|
$
|
374
|
$
|
100,047
|
$
|
58,426
|
$
|
74,508
|
$
|
2,509,344
|
Sudbury
4
|
6,659
|
7,620
|
|
1,888
|
|
400
|
|
831
|
|
14,384
|
|
5,000
|
|
11,336
|
|
321,016
|
Constancia
|
3,929
|
3,853
|
|
1,881
|
|
408
|
|
338
|
|
7,246
|
|
4,373
|
|
5,674
|
|
105,569
|
San Dimas
|
11,652
|
11,529
|
|
1,881
|
|
612
|
|
315
|
|
21,683
|
|
10,993
|
|
12,812
|
|
182,202
|
Stillwater
|
3,290
|
3,069
|
|
1,881
|
|
338
|
|
449
|
|
5,772
|
|
3,357
|
|
4,735
|
|
224,310
|
Other
5
|
3,655
|
6,975
|
|
1,888
|
|
421
|
|
238
|
|
13,167
|
|
8,576
|
|
10,241
|
|
7,526
|
|
92,039
|
86,243
|
$
|
1,882
|
$
|
433
|
$
|
397
|
$
|
162,299
|
$
|
90,725
|
$
|
119,306
|
$
|
3,349,967
|
Silver
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Peñasquito
|
2,014
|
1,417
|
$
|
24.44
|
$
|
4.26
|
$
|
3.24
|
$
|
34,629
|
$
|
23,997
|
$
|
28,592
|
$
|
350,572
|
Antamina
|
1,930
|
1,669
|
|
24.44
|
|
4.86
|
|
8.74
|
|
40,782
|
|
18,079
|
|
32,667
|
|
626,934
|
Constancia
|
478
|
442
|
|
24.44
|
|
6.02
|
|
7.63
|
|
10,805
|
|
4,770
|
|
8,143
|
|
217,044
|
Other
6
|
2,087
|
1,048
|
|
25.69
|
|
8.03
|
|
1.00
|
|
26,915
|
|
17,456
|
|
20,804
|
|
474,975
|
|
6,509
|
4,576
|
$
|
24.72
|
$
|
5.51
|
$
|
5.16
|
$
|
113,131
|
$
|
64,302
|
$
|
90,206
|
$
|
1,669,525
|
Palladium
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stillwater
|
5,672
|
4,591
|
$
|
2,348
|
$
|
423
|
$
|
428
|
$
|
10,782
|
$
|
6,875
|
$
|
8,840
|
$
|
241,389
|
Cobalt
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Voisey's
Bay
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
227,510
|
Operating results
|
|
|
|
|
|
|
|
$
|
286,212
|
$
|
161,902
|
$
|
218,352
|
$
|
5,488,391
|
Other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and
administrative
|
|
|
|
|
|
|
|
|
|
$
|
(9,391)
|
$
|
(8,384)
|
|
|
Finance
costs
|
|
|
|
|
|
|
|
|
|
|
|
(2,196)
|
|
(1,980)
|
|
|
Other
|
|
|
|
|
|
|
|
|
|
|
830
|
|
(5)
|
|
|
Income tax
|
|
|
|
|
|
|
|
|
|
|
|
6,076
|
|
(21)
|
|
|
Total
other
|
|
|
|
|
|
|
|
|
$
|
(4,681)
|
$
|
(10,390)
|
$
|
468,881
|
|
|
|
|
|
|
|
|
|
|
|
$
|
157,221
|
$
|
207,962
|
$
|
5,957,272
|
1)
|
Units of gold, silver
and palladium produced and sold are reported in ounces, while
cobalt is reported in pounds. All figures in thousands gold and
palladium ounces produced and sold and per unit amounts.
|
2)
|
Quantity produced
represent the amount of gold, silver, palladium and cobalt
contained in concentrate or doré prior to smelting or refining
deductions. Production figures are based on information provided by
the operators of the mining operations to which the mineral stream
interests relate or management estimates in those situations where
other information is not available. Certain production figures may
be updated in future periods as additional information is
received.
|
3)
|
Refer to discussion
on non-IFRS measure (iii) 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)
|
Comprised of the
operating Minto, 777 and Marmato gold interests as well as the
non-operating Rosemont gold interest.
|
6)
|
Comprised of the
operating Los Filos, Zinkgruvan, Yauliyacu, Stratoni, Neves-Corvo,
Aljustrel, Minto, Keno Hill, 777, Marmato and Cozamin silver
interests as well as the non-operating Loma de La Plata,
Pascua-Lama and Rosemont silver interests.
|
On a gold equivalent and silver equivalent basis, results
for the Company for the three months ended December 31, 2020 were as follows:
Three Months Ended
December 31, 2020
|
|
Ounces
Produced 1, 2
|
Ounces
Sold 2
|
Average
Realized
Price
($'s Per
Ounce)
|
Average
Cash Cost
($'s Per
Ounce) 3
|
Cash
Operating
Margin
($'s Per
Ounce) 4
|
Average
Depletion
($'s Per
Ounce)
|
Gross
Margin
($'s Per
Ounce)
|
Gold equivalent basis
5
|
189,682
|
155,665
|
$
|
1,839
|
$
|
415
|
$
|
1,424
|
$
|
384
|
$
|
1,040
|
Silver equivalent
basis 5
|
13,657
|
11,208
|
$
|
25.54
|
$
|
5.76
|
$
|
19.78
|
$
|
5.33
|
$
|
14.45
|
1)
|
Quantity produced
represent the amount of gold, silver, palladium and cobalt
contained in concentrate or doré prior to smelting or refining
deductions. Production figures are based on information provided by
the operators of the mining operations to which the mineral stream
interests relate or management estimates in those situations where
other information is not available. Certain production figures may
be updated in future periods as additional information is
received.
|
2)
|
Silver ounces
produced and sold in thousands.
|
3)
|
Refer to discussion
on non-IFRS measure (iii) at the end of this press
release.
|
4)
|
Refer to discussion
on non-IFRS measure (iv) at the end of this press
release.
|
5)
|
GEOs and SEOs, which
are provided to assist the reader, are based on the following
commodity price assumptions: $1,800 per ounce gold; $25.00 per
ounce silver; $2,300 per ounce palladium; and $17.75 per pound
cobalt; consistent with those used in estimating the Company's
production guidance for 2021.
|
Year Ended December
31, 2021
|
|
|
Units
Produced²
|
Units
Sold
|
Average
Realized
Price
($'s
Per Unit)
|
Average
Cash Cost
($'s Per
Unit) 3
|
Average
Depletion
($'s Per
Unit)
|
Sales
|
Gross
Margin
|
Impairment Reversals
4
|
Net
Earnings
|
Cash Flow
From
Operations
|
Total
Assets
|
Gold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salobo
|
205,652
|
191,075
|
$
|
1,797
|
$
|
412
|
$
|
374
|
$
|
343,398
|
$
|
193,247
|
$
|
-
|
$
|
193,247
|
$
|
264,652
|
$
|
2,437,939
|
|
Sudbury
5
|
17,119
|
13,516
|
|
1,811
|
|
400
|
|
1,024
|
|
24,475
|
|
5,221
|
|
-
|
|
5,221
|
|
19,068
|
|
307,169
|
|
Constancia
|
26,368
|
18,352
|
|
1,797
|
|
411
|
|
315
|
|
32,974
|
|
19,658
|
|
-
|
|
19,658
|
|
25,438
|
|
103,789
|
|
San Dimas
|
47,619
|
48,015
|
|
1,797
|
|
617
|
|
322
|
|
86,290
|
|
41,199
|
|
-
|
|
41,199
|
|
56,679
|
|
166,723
|
|
Stillwater
|
11,616
|
11,401
|
|
1,797
|
|
325
|
|
397
|
|
20,487
|
|
12,259
|
|
-
|
|
12,259
|
|
16,784
|
|
219,785
|
|
Other
6
|
34,172
|
30,106
|
|
1,804
|
|
607
|
|
61
|
|
54,296
|
|
34,192
|
|
-
|
|
34,192
|
|
36,444
|
|
364,792
|
|
|
342,546
|
312,465
|
$
|
1,798
|
$
|
459
|
$
|
361
|
$
|
561,920
|
$
|
305,776
|
$
|
-
|
$
|
305,776
|
$
|
419,065
|
$
|
3,600,197
|
|
Silver
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Peñasquito
|
8,553
|
8,046
|
$
|
25.07
|
$
|
4.29
|
$
|
3.55
|
$
|
201,688
|
$
|
138,616
|
$
|
-
|
$
|
138,616
|
$
|
167,169
|
$
|
322,018
|
|
Antamina
|
6,049
|
6,228
|
|
25.17
|
|
5.04
|
|
7.53
|
|
156,735
|
|
78,458
|
|
-
|
|
78,458
|
|
125,688
|
|
580,052
|
|
Constancia
|
1,973
|
1,476
|
|
24.91
|
|
6.05
|
|
7.56
|
|
36,775
|
|
16,689
|
|
-
|
|
16,689
|
|
27,848
|
|
205,884
|
|
Other
7
|
9,424
|
7,110
|
|
25.07
|
|
8.06
|
|
5.56
|
|
178,231
|
|
81,393
|
|
-
|
|
81,393
|
|
123,359
|
|
593,195
|
|
|
25,999
|
22,860
|
$
|
25.08
|
$
|
5.78
|
$
|
5.52
|
$
|
573,429
|
$
|
315,156
|
$
|
-
|
$
|
315,156
|
$
|
444,064
|
$
|
1,701,149
|
|
Palladium
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stillwater
|
20,908
|
19,344
|
$
|
2,369
|
$
|
433
|
$
|
442
|
$
|
45,834
|
$
|
28,891
|
$
|
-
|
$
|
28,891
|
$
|
37,450
|
$
|
232,830
|
|
Cobalt
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Voisey's
Bay
|
2,293
|
886
|
$
|
23.11
|
$
|
4.67
|
$
|
8.17
|
$
|
20,482
|
$
|
9,102
|
$
|
156,717
|
$
|
165,819
|
$
|
3,687
|
$
|
371,621
|
|
Operating results
|
|
|
|
|
|
|
|
$
|
1,201,665
|
$
|
658,925
|
$
|
156,717
|
$
|
815,642
|
$
|
904,266
|
$
|
5,905,797
|
|
Other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and
administrative
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
(60,985)
|
$
|
(55,301)
|
|
|
|
Finance
costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(5,817)
|
|
(4,271)
|
|
|
|
Other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5,776
|
|
731
|
|
|
|
Income tax
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
269
|
|
(280)
|
|
|
|
Total
other
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
(60,757)
|
$
|
(59,121)
|
$
|
390,354
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
754,885
|
$
|
845,145
|
$
|
6,296,151
|
|
1)
|
Units of gold, silver
and palladium produced and sold are reported in ounces, while
cobalt is reported in pounds. All figures in thousands except gold
and palladium ounces produced and sold and per unit
amounts.
|
2)
|
Quantity produced
represent the amount of gold, silver, palladium and cobalt
contained in concentrate or doré prior to smelting or refining
deductions. Production figures are based on information provided by
the operators of the mining operations to which the mineral stream
interests relate or management estimates in those situations where
other information is not available. Certain production figures may
be updated in future periods as additional information is
received.
|
3)
|
Refer to discussion
on non-IFRS measure (iii) at the end of this press
release.
|
4)
|
Please see the
section "Impairment Reversals of Mineral Stream Interests" in this
press release for more information
|
5)
|
Comprised of the
operating Coleman, Copper Cliff, Garson, Creighton and Totten gold
interests and the non-operating Stobie and Victor gold
interests.
|
6)
|
Comprised of the
operating 777, Minto and Marmato gold interests as well as the
non-operating Rosemont, Santo Domingo, Blackwater and Fenix gold
interests.
|
7)
|
Comprised of the
operating Los Filos, Zinkgruvan, Yauliyacu, Stratoni, Neves-Corvo,
Aljustrel, Minto, Keno Hill, Cozamin, Marmato and 777 silver
interests as well as the non-operating Loma de La Plata,
Pascua-Lama, Rosemont and Blackwater silver interests.
|
On a gold equivalent and silver equivalent basis, results
for the Company for the year ended December
31, 2021 were as follows:
Year Ended December
31, 2021
|
|
Ounces
Produced 1, 2
|
Ounces
Sold 2
|
Average
Realized
Price
($'s Per
Ounce)
|
Average
Cash Cost
($'s Per
Ounce) 3
|
Cash
Operating
Margin
($'s Per
Ounce) 4
|
Average
Depletion
($'s Per
Ounce)
|
Gross
Margin
($'s Per
Ounce)
|
Gold equivalent basis
5
|
752,958
|
663,415
|
$
|
1,811
|
$
|
434
|
$
|
1,377
|
$
|
384
|
$
|
993
|
Silver equivalent
basis 5
|
54,213
|
47,766
|
$
|
25.16
|
$
|
6.03
|
$
|
19.13
|
$
|
5.33
|
$
|
13.80
|
1)
|
Ounces produced
represent the quantity of gold, silver and palladium contained in
concentrate or doré prior to smelting or refining deductions.
Production figures are based on information provided by the
operators of the mining operations to which the mineral stream
interests relate or management estimates in those situations where
other information is not available. Certain production figures may
be updated in future periods as additional information is
received.
|
2)
|
Silver ounces
produced and sold in thousands.
|
3)
|
Refer to discussion
on non-IFRS measure (iii) at the end of this press
release.
|
4)
|
Refer to discussion
on non-IFRS measure (iv) at the end of this press
release.
|
5)
|
GEOs and SEOs, which
are provided to assist the reader, are based on the following
commodity price assumptions: $1,800 per ounce gold; $25.00 per
ounce silver; $2,300 per ounce palladium; and $17.75 per pound
cobalt; consistent with those used in estimating the Company's
production guidance for 2021.
|
Year Ended December
31, 2020
|
|
Units
Produced²
|
Units
Sold
|
Average
Realized
Price
($'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
|
247,941
|
256,212
|
$
|
1,757
|
$
|
408
|
$
|
374
|
$
|
450,166
|
$
|
249,708
|
$
|
345,621
|
$
|
2,509,344
|
Sudbury
4
|
27,509
|
27,714
|
|
1,797
|
|
400
|
|
831
|
|
49,791
|
|
15,679
|
|
38,609
|
|
321,016
|
Constancia
|
14,860
|
14,320
|
|
1,785
|
|
406
|
|
338
|
|
25,556
|
|
14,907
|
|
19,744
|
|
105,569
|
San Dimas
|
38,272
|
38,604
|
|
1,775
|
|
610
|
|
315
|
|
68,519
|
|
32,813
|
|
44,978
|
|
182,202
|
Stillwater
|
12,643
|
12,660
|
|
1,766
|
|
316
|
|
449
|
|
22,353
|
|
12,666
|
|
18,351
|
|
224,310
|
Other
5
|
25,096
|
20,043
|
|
1,818
|
|
421
|
|
281
|
|
36,442
|
|
22,357
|
|
28,007
|
|
7,526
|
|
366,321
|
369,553
|
$
|
1,767
|
$
|
426
|
$
|
399
|
$
|
652,827
|
$
|
348,130
|
$
|
495,310
|
$
|
3,349,967
|
Silver
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Peñasquito
|
7,631
|
7,443
|
$
|
20.25
|
$
|
4.26
|
$
|
3.24
|
$
|
150,720
|
$
|
94,886
|
$
|
119,016
|
$
|
350,572
|
Antamina
|
5,369
|
4,791
|
|
21.34
|
|
4.19
|
|
8.74
|
|
102,241
|
|
40,312
|
|
82,188
|
|
626,934
|
Constancia
|
1,623
|
1,461
|
|
21.42
|
|
5.99
|
|
7.63
|
|
31,285
|
|
11,397
|
|
22,541
|
|
217,044
|
Other
6
|
8,269
|
5,537
|
|
20.84
|
|
7.41
|
|
1.97
|
|
115,379
|
|
63,460
|
|
74,159
|
|
474,975
|
|
22,892
|
19,232
|
$
|
20.78
|
$
|
5.28
|
$
|
4.58
|
$
|
399,625
|
$
|
210,055
|
$
|
297,904
|
$
|
1,669,525
|
Palladium
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stillwater
|
22,187
|
20,051
|
$
|
2,183
|
$
|
389
|
$
|
428
|
$
|
43,772
|
$
|
27,387
|
$
|
35,967
|
$
|
241,389
|
Cobalt
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Voisey's
Bay
|
-
|
-
|
$
|
n.a.
|
$
|
n.a.
|
$
|
n.a.
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
227,510
|
Operating results
|
|
|
|
|
|
|
|
$
|
1,096,224
|
$
|
585,572
|
$
|
829,181
|
$
|
5,488,391
|
Other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and
administrative
|
|
|
|
|
|
|
|
|
|
$
|
(65,698)
|
$
|
(46,914)
|
|
|
Finance
costs
|
|
|
|
|
|
|
|
|
|
|
|
(16,715)
|
|
(17,551)
|
|
|
Other
|
|
|
|
|
|
|
|
|
|
|
2,170
|
|
677
|
|
|
Income tax
|
|
|
|
|
|
|
|
|
|
|
|
2,475
|
|
49
|
|
|
Total
other
|
|
|
|
|
|
|
|
|
$
|
(77,768)
|
$
|
(63,739)
|
$
|
468,881
|
|
|
|
|
|
|
|
|
|
|
|
$
|
507,804
|
$
|
765,442
|
$
|
5,957,272
|
1)
|
Units of gold, silver
and palladium produced and sold are reported in ounces, while
cobalt is reported in pounds. All figures in thousands except gold
and palladium ounces produced and sold and per unit
amounts.
|
2)
|
Quantity produced
represent the amount of gold, silver, palladium and cobalt
contained in concentrate or doré prior to smelting or refining
deductions. Production figures are based on information provided by
the operators of the mining operations to which the mineral stream
interests relate or management estimates in those situations where
other information is not available. Certain production figures may
be updated in future periods as additional information is
received.
|
3)
|
Refer to discussion
on non-IFRS measure (iii) 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)
|
Comprised of the
operating Minto, 777 and Marmato gold interests as well as the
non-operating Rosemont gold interest.
|
6)
|
Comprised of the
operating Los Filos, Zinkgruvan, Yauliyacu, Stratoni, Neves-Corvo,
Aljustrel, Minto, Keno Hill, 777, Marmato and Cozamin silver
interests as well as the non-operating Loma de La Plata,
Pascua-Lama and Rosemont silver interests.
|
On a gold equivalent and silver equivalent basis, results
for the Company for the year ended December
31, 2020 were as follows:
Year Ended December
31, 2020
|
|
Ounces
Produced 1, 2
|
Ounces
Sold 2
|
Average
Realized
Price
($'s Per
Ounce)
|
Average
Cash Cost
($'s Per
Ounce) 3
|
Cash
Operating M
argin
($'s Per
Ounce) 4
|
Average
Depletion
($'s Per
Ounce)
|
Gross
Margin
($'s Per
Ounce)
|
Gold equivalent basis
5
|
712,624
|
662,275
|
$
|
1,655
|
$
|
403
|
$
|
1,252
|
$
|
368
|
$
|
884
|
Silver equivalent
basis 5
|
51,309
|
47,684
|
$
|
22.99
|
$
|
5.59
|
$
|
17.40
|
$
|
5.11
|
$
|
12.29
|
1)
|
Ounces produced
represent the quantity of gold, silver and palladium contained in
concentrate or doré prior to smelting or refining deductions.
Production figures are based on information provided by the
operators of the mining operations to which the mineral stream
interests relate or management estimates in those situations where
other information is not available. Certain production figures may
be updated in future periods as additional information is
received.
|
2)
|
Silver ounces
produced and sold in thousands.
|
3)
|
Refer to discussion
on non-IFRS measure (iii) at the end of this press
release.
|
4)
|
Refer to discussion
on non-IFRS measure (iv) at the end of this press
release.
|
5)
|
GEOs and SEOs, which
are provided to assist the reader, are based on the following
commodity price assumptions: $1,800 per ounce gold; $25.00 per
ounce silver; $2,300 per ounce palladium; and $17.75 per pound
cobalt; consistent with those used in estimating the Company's
production guidance for 2021.
|
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,
with the Company receiving its first deliveries of cobalt from
Voisey's Bay during the first quarter of 2021; and (iv) cash
operating margin. The Company has removed the non-IFRS measure
associated with net debt as Wheaton fully repaid its debt during
the first quarter of 2021.
i.
|
Adjusted net earnings
and adjusted net earnings per share are calculated by removing the
effects of non-cash impairment charges (reversals),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
December 31
|
Years Ended
December 31
|
(in thousands, except
for per share amounts)
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
Net
earnings
|
|
$
|
291,822
|
|
$
|
157,221
|
|
$
|
754,885
|
|
$
|
507,804
|
Add back
(deduct):
|
|
|
|
|
|
|
|
|
|
|
|
|
Impairment
reversal
|
|
|
(156,717)
|
|
|
-
|
|
|
(156,717)
|
|
|
-
|
(Gain) loss on fair
value adjustment of
share purchase warrants
held
|
|
|
(290)
|
|
|
(1,182)
|
|
|
2,101
|
|
|
(338)
|
(Gain) loss on fair
value adjustment of
convertible notes
receivable
|
|
|
(1,597)
|
|
|
(517)
|
|
|
(5,733)
|
|
|
(1,899)
|
Income tax expense
(recovery) recognized
in the Statement of Shareholders'
Equity
|
|
|
974
|
|
|
911
|
|
|
1,811
|
|
|
(820)
|
Income tax expense
(recovery) recognized
in the Statement of OCI
|
|
|
(325)
|
|
|
(7,011)
|
|
|
(2,314)
|
|
|
(1,866)
|
Other
|
|
|
(1,635)
|
|
|
19
|
|
|
(1,954)
|
|
|
454
|
Adjusted net
earnings
|
|
$
|
132,232
|
|
$
|
149,441
|
|
$
|
592,079
|
|
$
|
503,335
|
Divided
by:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic weighted average
number of shares
outstanding
|
|
|
450,614
|
|
|
449,320
|
|
|
450,138
|
|
|
448,694
|
Diluted weighted
average number of shares
outstanding
|
|
|
451,570
|
|
|
450,980
|
|
|
451,170
|
|
|
450,070
|
Equals:
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted earnings per
share - basic
|
|
$
|
0.293
|
|
$
|
0.333
|
|
$
|
1.315
|
|
$
|
1.122
|
Adjusted earnings per
share - diluted
|
|
$
|
0.293
|
|
$
|
0.331
|
|
$
|
1.312
|
|
$
|
1.118
|
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
December 31
|
Years Ended
December 31
|
(in thousands, except
for per share amounts)
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
Cash generated by
operating activities
|
|
$
|
195,290
|
|
$
|
207,962
|
|
$
|
845,145
|
|
$
|
765,442
|
Divided
by:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic weighted average
number of
shares outstanding
|
|
|
450,614
|
|
|
449,320
|
|
|
450,138
|
|
|
448,694
|
Diluted weighted
average number of
shares outstanding
|
|
|
451,570
|
|
|
450,980
|
|
|
451,170
|
|
|
450,070
|
Equals:
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating cash flow
per share - basic
|
|
$
|
0.433
|
|
$
|
0.463
|
|
$
|
1.878
|
|
$
|
1.706
|
Operating cash flow
per share - diluted
|
|
$
|
0.432
|
|
$
|
0.461
|
|
$
|
1.873
|
|
$
|
1.701
|
iii.
|
Average cash cost of
gold, silver and palladium on a per ounce basis and cobalt on a per
pound basis is calculated by dividing the total cost of sales, less
depletion, by the ounces or pounds sold. In the precious metal
mining industry, this is a common performance measure but does not
have any standardized meaningprescribed 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
December 31
|
Years Ended
December 31
|
(in thousands, except
for gold and palladium ounces sold and per
unit amounts)
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
Cost of
sales
|
|
$
|
127,525
|
|
$
|
124,310
|
|
$
|
542,740
|
|
$
|
510,652
|
Less:
depletion
|
|
|
(59,335)
|
|
|
(59,785)
|
|
|
(254,793)
|
|
|
(243,889)
|
Cash cost of
sales
|
|
$
|
68,190
|
|
$
|
64,525
|
|
$
|
287,947
|
|
$
|
266,763
|
Cash cost of sales is
comprised of:
|
|
|
|
|
|
|
|
|
|
|
|
|
Total cash cost of
gold sold
|
|
$
|
37,550
|
|
$
|
37,355
|
|
$
|
143,272
|
|
$
|
157,429
|
Total cash cost of
silver sold
|
|
|
27,993
|
|
|
25,228
|
|
|
132,151
|
|
|
101,529
|
Total cash cost of
palladium sold
|
|
|
1,580
|
|
|
1,942
|
|
|
8,384
|
|
|
7,805
|
Total cash cost of
cobalt sold
|
|
|
1,067
|
|
|
-
|
|
|
4,140
|
|
|
-
|
Total cash cost of
sales
|
|
$
|
68,190
|
|
$
|
64,525
|
|
$
|
287,947
|
|
$
|
266,763
|
Divided
by:
|
|
|
|
|
|
|
|
|
|
|
|
|
Total gold ounces
sold
|
|
|
79,622
|
|
|
86,243
|
|
|
312,465
|
|
|
369,553
|
Total silver ounces
sold
|
|
|
5,116
|
|
|
4,576
|
|
|
22,860
|
|
|
19,232
|
Total palladium ounces
sold
|
|
|
4,641
|
|
|
4,591
|
|
|
19,344
|
|
|
20,051
|
Total cobalt pounds
sold
|
|
|
228
|
|
|
-
|
|
|
886
|
|
|
-
|
Equals:
|
|
|
|
|
|
|
|
|
|
|
|
|
Average cash cost of
gold (per ounce)
|
|
$
|
472
|
|
$
|
433
|
|
$
|
459
|
|
$
|
426
|
Average cash cost of
silver (per ounce)
|
|
$
|
5.47
|
|
$
|
5.51
|
|
$
|
5.78
|
|
$
|
5.28
|
Average cash cost of
palladium (per ounce)
|
|
$
|
340
|
|
$
|
423
|
|
$
|
433
|
|
$
|
389
|
Average cash cost of
cobalt (per pound)
|
|
$
|
4.68
|
|
$
|
n.a.
|
|
$
|
4.67
|
|
$
|
n.a.
|
iv.
|
Cash operating margin
is calculated by subtracting the average cash cost of gold, silver
and palladium on a per ounce basis and cobalt on a per pound basis
from the average realized selling price of gold, silver and
palladium on a per ounce basis and cobalt on a per pound basis. 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
December 31
|
Years Ended
December 31
|
(in thousands, except
for gold and palladium ounces sold and per
unit amounts)
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
Total
sales:
|
|
|
|
|
|
|
|
|
|
|
|
|
Gold
|
|
$
|
143,187
|
|
$
|
162,299
|
|
$
|
561,920
|
|
$
|
652,827
|
Silver
|
|
$
|
119,504
|
|
$
|
113,131
|
|
$
|
573,429
|
|
$
|
399,625
|
Palladium
|
|
$
|
8,902
|
|
$
|
10,782
|
|
$
|
45,834
|
|
$
|
43,772
|
Cobalt
|
|
$
|
6,604
|
|
$
|
-
|
|
$
|
20,482
|
|
$
|
-
|
Divided
by:
|
|
|
|
|
|
|
|
|
|
|
|
|
Total gold ounces
sold
|
|
|
79,622
|
|
|
86,243
|
|
|
312,465
|
|
|
369,553
|
Total silver ounces
sold
|
|
|
5,116
|
|
|
4,576
|
|
|
22,860
|
|
|
19,232
|
Total palladium ounces
sold
|
|
|
4,641
|
|
|
4,591
|
|
|
19,344
|
|
|
20,051
|
Total cobalt pounds
sold
|
|
|
228
|
|
|
-
|
|
|
886
|
|
|
-
|
Equals:
|
|
|
|
|
|
|
|
|
|
|
|
|
Average realized price
of gold (per ounce)
|
|
$
|
1,798
|
|
$
|
1,882
|
|
$
|
1,798
|
|
$
|
1,767
|
Average realized price
of silver (per ounce)
|
|
$
|
23.36
|
|
$
|
24.72
|
|
$
|
25.08
|
|
$
|
20.78
|
Average realized price
of palladium (per ounce)
|
|
$
|
1,918
|
|
$
|
2,348
|
|
$
|
2,369
|
|
$
|
2,183
|
Average realized price
of cobalt (per pound)
|
|
$
|
28.94
|
|
$
|
n.a.
|
|
$
|
23.11
|
|
$
|
n.a.
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
Average cash cost of
gold 1 (per ounce)
|
|
$
|
(472)
|
|
$
|
(433)
|
|
$
|
(459)
|
|
$
|
(426)
|
Average cash cost of
silver 1 (per ounce)
|
|
$
|
(5.47)
|
|
$
|
(5.51)
|
|
$
|
(5.78)
|
|
$
|
(5.28)
|
Average cash cost of
palladium 1 (per ounce)
|
|
$
|
(340)
|
|
$
|
(423)
|
|
$
|
(433)
|
|
$
|
(389)
|
Average cash cost of
cobalt 1 (per pound)
|
|
$
|
(4.68)
|
|
$
|
n.a.
|
|
$
|
(4.67)
|
|
$
|
n.a.
|
Equals:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash operating margin
per gold ounce sold
|
|
$
|
1,326
|
|
$
|
1,449
|
|
$
|
1,339
|
|
$
|
1,341
|
As a percentage of
realized price of gold
|
|
|
74%
|
|
|
77%
|
|
|
74%
|
|
|
76%
|
Cash operating margin
per silver ounce sold
|
|
$
|
17.89
|
|
$
|
19.21
|
|
$
|
19.30
|
|
$
|
15.50
|
As a percentage of
realized price of silver
|
|
|
77%
|
|
|
78%
|
|
|
77%
|
|
|
75%
|
Cash operating margin
per palladium ounce sold
|
|
$
|
1,578
|
|
$
|
1,925
|
|
$
|
1,936
|
|
$
|
1,794
|
As a percentage of
realized price of palladium
|
|
|
82%
|
|
|
82%
|
|
|
82%
|
|
|
82%
|
Cash operating margin
per cobalt pound sold
|
|
$
|
24.26
|
|
$
|
n.a.
|
|
$
|
18.44
|
|
$
|
n.a.
|
As a percentage of
realized price of cobalt
|
|
|
84%
|
|
|
n.a.
|
|
|
80%
|
|
|
n.a.
|
1)
|
Please refer to
non-IFRS measure (iii), above.
|
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.sedar.com.
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 the future price of commodities, the estimation of
future production from Mining Operations (including in the
estimation of production, mill throughput, grades, recoveries and
exploration potential), the estimation of mineral reserves and
mineral resources (including the estimation of reserve conversion
rates) and the realization of such estimations, the commencement,
timing and achievement of construction, expansion or improvement
projects by Wheaton's PMPA counterparties at mineral stream
interests owned by Wheaton (the "Mining Operations"), the payment
of upfront cash consideration to counterparties under PMPAs, the
satisfaction of each party's obligations in accordance with PMPAs
and royalty arrangements and the receipt by the Company of precious
metals and cobalt production in respect of the applicable Mining
Operations under PMPAs or other payments under royalty
arrangements, the ability of Wheaton's PMPA counterparties to
comply with the terms of a PMPA (including as a result of the
business, mining operations and performance of Wheaton's PMPA
counterparties) and the potential impacts of such on Wheaton,
future payments by the Company in accordance with PMPAs, the costs
of future production, the estimation of produced but not yet
delivered ounces, the impact of epidemics (including the COVID-19
virus pandemic), including the potential heightening of other
risks, future sales of common shares under the ATM program,
continued listing of the Company's common shares, any statements as
to future dividends, the ability to fund outstanding commitments
and the ability to continue to acquire accretive PMPAs, including
any acceleration of payments, 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 and the impact of the CRA
Settlement for years subsequent to 2010, possible audits for
taxation years subsequent to 2015, 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 the satisfaction of each party's obligations in
accordance with the terms of the Company's PMPAs or royalty
arrangements, risks associated with fluctuations in the price of
commodities (including Wheaton's ability to sell its precious
metals or cobalt production at acceptable prices or at all), risks
of significant impacts on Wheaton or the Mining Operations as a
result of an epidemic (including the COVID-19 virus pandemic),
risks related to the 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 the exploration,
development, operating, expansion and improvement of the Mining
Operations, environmental and economic risks of the Mining
Operations, and changes in project parameters as plans continue to
be refined), the 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 Mining Operations,
uncertainty in the estimation of production from Mining Operations,
uncertainty in the accuracy of mineral reserve and mineral resource
estimation, the ability of each party to satisfy their obligations
in accordance with the terms of the PMPAs, the estimation of future
production from Mining Operations, Wheaton's interpretation of,
compliance with or application of, tax laws and regulations or
accounting policies and rules being found to be incorrect, 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, assessing the impact of the CRA
Settlement for years subsequent to 2010 (including whether there
will be any material change in the Company's facts or change in law
or jurisprudence), potential implementation of a 15% global minimum
tax, counterparty credit and liquidity, mine operator
concentration, indebtedness and guarantees, hedging, competition,
claims and legal proceedings against Wheaton or the Mining
Operations, security over underlying assets, governmental
regulations, international operations of Wheaton and the Mining
Operations, exploration, development, operations, expansions and
improvements at the Mining Operations, environmental regulations,
climate change, Wheaton and the Mining Operations ability to obtain
and maintain necessary licenses, permits, approvals and rulings,
Wheaton and the Mining Operations ability to comply with applicable
laws, regulations and permitting requirements, lack of suitable
supplies, infrastructure and employees to support the Mining
Operations, inability to replace and expand mineral reserves,
including anticipated timing of the commencement of production by
certain Mining Operations (including increases in production,
estimated grades and recoveries), uncertainties of title and
indigenous rights with respect to the Mining Operations,
environmental, social and governance matters, Wheaton and the
Mining Operations ability to obtain adequate financing, the Mining
Operations ability to complete permitting, construction,
development and expansion, global financial conditions, Wheaton's
acquisition strategy 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.sedar.com, Wheaton's Form 40-F for the year ended
December 31, 2020 and Form 6-K filed
March 10, 2022 both 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):that there will be no material adverse
change in the market price of commodities, that the Mining
Operations will continue to operate and the mining projects will be
completed in accordance with public statements
and achieve their stated production estimates, that the
mineral reserves and mineral resource estimates from Mining
Operations (including reserve conversion rates) are accurate, that
each party will satisfy their obligations in accordance with the
PMPAs, that Wheaton will continue to be able to fund or obtain
funding for outstanding commitments, that Wheaton will be able to
source and obtain accretive PMPAs, that neither Wheaton nor the
Mining Operations will suffer significant impacts as a result of an
epidemic (including the COVID-19 virus pandemic), that any
outbreak or threat of an outbreak of a virus or other contagions or
epidemic disease will be adequately responded to locally,
nationally, regionally and internationally, without such response
requiring any prolonged closure of the Mining Operations or having
other material adverse effects on the Company and counterparties to
its PMPAs, that the trading of the Company's 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, and
that the net proceeds of sales of common shares, if any, will be
used as anticipated, that expectations regarding the resolution of
legal and tax matters will be achieved (including ongoing CRA
audits involving the Company), that Wheaton has properly considered
the interpretation and application of Canadian tax law to its
structure and operations, that Wheaton has filed its tax returns
and paid applicable taxes in compliance with Canadian tax law, that
Wheaton's application of the CRA Settlement for years subsequent to
2010 is accurate (including the Company's assessment that there
will be no material change in the Company's facts or change in law
or jurisprudence for years subsequent to 2010), 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, 2021, which will be filed on or
about March 31, 2022 and other
continuous disclosure documents filed by Wheaton since January 1, 2022, available on SEDAR at
www.sedar.com. 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 terms "mineral reserve", "proven
mineral reserve" and "probable mineral reserve" are Canadian mining
terms defined in accordance with 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"). In addition, the terms "mineral resource", "measured
mineral resource", "indicated mineral resource" and "inferred
mineral resource" are defined in and required to be disclosed by NI
43-101. Investors are cautioned not to assume that any part or all
of the mineral deposits in these categories will ever be converted
into reserves. "Inferred mineral resources" have a great amount of
uncertainty as to their existence and as to their economic and
legal feasibility. It cannot be assumed that all or any part of an
inferred mineral resource will ever be upgraded to a higher
category. Under Canadian rules, estimates of inferred mineral
resources may not form the basis of feasibility or pre-feasibility
studies, except in rare cases. Investors are cautioned not to
assume that all or any part of an inferred mineral resource exists
or is economically or legally mineable. Mineral resources that are
not mineral reserves do not have demonstrated economic viability.
Disclosure of "contained ounces" in a resource is permitted
disclosure under Canadian regulations. The SEC has adopted
amendments to its disclosure rules to modernize the mineral
property disclosure requirements for issuers whose securities are
registered with the SEC under the U.S. Securities Exchange Act of
1934, as amended (the "Exchange Act"). These amendments became
effective February 25, 2019 (the "SEC
Modernization Rules") with compliance required for the first fiscal
year beginning on or after January 1,
2021. Under the SEC Modernization Rules, the historical
property disclosure requirements for mining registrants included in
SEC Industry Guide 7 will be rescinded and replaced with disclosure
requirements in subpart 1300 of SEC Regulation S-K. Following the
transition period, as a foreign private issuer that is eligible to
file reports with the SEC pursuant to the multi-jurisdictional
disclosure system, the Company is not required to provide
disclosure on its mineral properties under the SEC Modernization
Rules and will continue to provide disclosure under NI
43-101. As a result of the adoption of the SEC Modernization
Rules, the SEC will recognize estimates of "measured mineral
resources", "indicated mineral resources" and "inferred mineral
resources." In addition, the SEC has amended its definitions of
"proven mineral reserves" and "probable mineral reserves" to be
"substantially similar" to the corresponding definitions under the
CIM Definition Standards that are required under NI 43-101.
However, while the above terms are "substantially similar" to CIM
Definition Standards, there are differences in the definitions
under the SEC Modernization Rules and the CIM Definition Standards.
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
reserve or resource estimates under the standards adopted under the
SEC Modernization Rules. Accordingly, information contained herein
that describes Wheaton's mineral deposits may not be comparable to
similar information made public by U.S. companies subject to
reporting and disclosure requirements under the United States federal securities laws and
the rules and regulations thereunder. United States investors are urged to consider
closely the disclosure in Wheaton's Form 40-F, a copy of which may
be obtained from Wheaton or from
https://www.sec.gov/edgar.shtml.
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SOURCE Wheaton Precious Metals Corp.