Mineros Sa · BVC:MINEROS
Mineros Sa — Q4 2023 Earnings Presentation
34 slides from Mineros Sa's earnings presentation, Feb 16, 2024
Slide 1: Earnings Call Q4 2023
Earnings Call Q4 2023 February 16, 2023 TSX: MSA BVC: MINEROS
Slide 2: Cautionary Statement
Cautionary Statement 2 Certain statements made and information contained herein constitute “forward-looking information”. Such statements and information relate to future events, including the company’s future performance, business prospects or opportunities. Forward-looking statements involve known
Slide 3: Non-IFRS Measures
Non-IFRS Measures 3 The Company has included non-IFRS financial measures and non-IFRS ratios in this Presentation. Management believes that non-IFRS financial measures and non-IFRS ratios, when supplementing measures determined in accordance with IFRS, provide investors with an improved ability to e
Slide 4: Management
Management 4 Andrés Restrepo Isaza President and CEO Alan Wancier CFO Ana Isabel Gaviria Arteaga VP Legal and Sustainability Ana María Ríos Puerta VP Business Development Lina Toro Palacio VP Talent Management Santiago Cardona Múnera VP Colombia Luis Fernando Villa Tabares VP Nicaragua ©2023 Mineros
Slide 5: Agenda
Agenda 5 o Highlights o Financial Performance o Operational Indicators o Details per Operation o Looking Ahead
Slide 6: Highlights
Highlights Presented by: Andres Restrepo CEO
Slide 7: 2024 Highlights
2024 Highlights 7 On March 10, we had a On May 29, terminated all the On September 7, we signed a temporary suspension of Strategic Alliance Agreements share purchase and sale operations at the Nechí Alluvial with Minerals Limited, of their agreement with Eris LLC to sell Property due to protests by
Slide 8: Gold Price Behavior
Gold Price Behavior 8 Daily Gold Price Behavior Q4 2023 ($/oz) 2,200 2,150 2,100 2,050 2,000 $2.077 1,950 1,900 1,850 1,800 $1.820 1,750 1,700 2/10/2023 2/11/2023 2/12/2023 Oct Nov Dec
Slide 9: Financial Performance
Financial Performance Presented by: Alan Wancier CFO
Slide 10: Financial Results Q4 2023
Financial Results Q4 2023 10 Revenue Q4 2022 (M USD) Q4 2023 (M USD) o The 24% increase in revenue is explained by 13% higher average realized price per ounce of gold, by a 6% increase in ounces of gold sold and a 124% 130.4 increase in sales of silver of $2.6M. Cost of sales 105.1 o Cost of sales i
Slide 11: Financial Results for the year ended December 31, 2023
Financial Results for the year ended 11 December 31, 2023 Revenue 2022 (M USD) 2023 (M USD) o The 8% increase in revenue is mainly explained by an 8% higher average realized price per ounce of gold sold and by 83% higher sales of silver of 447.3 $6.5M. 414.9 Cost of sales o The 7% increase in costs
Slide 12: Cash and Cash Equivalents
Cash and Cash Equivalents 12 Amounts in USD millions Cash Balances increased by 74% 52.9 o Cash flows from operating activities is explained by income from sales of gold and silver ($142M), less payments made to suppliers ($64M), payments of employee benefits 17.8 57.1 ($15M) and taxes ($6M) 10.1 0.
Slide 13: Adjusted EBITDA
Adjusted EBITDA 13 ADJUSTED EBITDA MUSD (1) Adjusted EBITDA from 53 continuing operations increased by 33%, 48 explained by an increase in ounces of gold sold and higher average realized 40 price per ounce of gold sold. 38 33 + 33% Adj. EBITDA Q4 2023 vs. Q4 2022 10 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q
Slide 14: Net Debt
Net Debt 14 18 13 The decrease in Net Debt is explaoned by a lower balance in loans and other borrowings of $24M, and a 1 higher cash and cash equivalents of $18M (4) (24) - 237% Net Debt Q4 2023 vs. Q4 2022 (35) Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 1. Net debt is calculated as Loans and other bo
Slide 15: Operational Indicators
Operational Indicators Presented by: Andres Restrepo CEO
Slide 16: Production, average selling price and cost
Production, average selling price and cost 16 Produced Ounces (koz) AISC (USD/oz) Cash Cost (USD/oz) Average Realized Price (USD/oz) Production from continuing operations was 65 62 positively impacted by a higher average gold grade at the Nechí Alluvial Property. 59 57 60 3,1 00 The increase in Cash
Slide 17: Detail per Operation
Detail per Operation Presented by: Andres Restrepo CEO
Slide 18: Nechí Aluvial - Colombia
Nechí Aluvial - Colombia 18 Q4 2023 vs. Q4 2022 28 koz 25 koz 25 koz 30 koz 23 koz 3,00 0 Production + 12% 20 koz 18 koz 2,50 0 2,00 0 AISC + 15% 1,50 0 10 koz Gross profit + 33% 1,00 0 1,256 1,224 1,247 1,168 1,017 500 0 koz - Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 o The 12% increase in gold produ
Slide 19: Hemco - Nicaragua
Hemco - Nicaragua 19 Q4 2023 vs. Q4 2022 40 koz 3,00 0 34 koz 33 koz 34 koz 32 koz 2,50 0 Production 0% 30 koz 27 koz 2,00 0 AISC + 6% 1,645 1,50 0 20 koz 1,357 1,348 1,432 1,00 0 Gross profit + 36% 1,269 500 10 koz - o Production for the quarter was similar to production during Q4 2022 Q1 2023 Q2 2
Slide 20: Looking Ahead
Looking Ahead Presented by: Andres Restrepo CEO
Slide 21: Looking Ahead
Looking Ahead 21 2024 Production and Cost Guidance The following table presents our production and cost projections for 2024: 2024 Guidance 2023 Guidance Gold Production (oz) 209,000 – 229,000 239,000 – 262,000 Cash Cost (USD/oz) 1,180 – 1,270 1,170 – 1,270 AISC (USD/oz) 1,430 – 1,530 1,440 – 1,540
Slide 22: Date of General Shareholders Meeting and Dividends Proposal
Date of General Shareholders Meeting and 22 Dividends Proposal Dividends Proposal The Board of Directors proposes to distribute US$ 26,976,366 in dividends between its shareholders, which in respect of each common share held is: Quarterly Annual Ordinary Dividend US$ 0.01875 US$ 0.075 Extraordinary
Slide 23: Mineros
Mineros TSX: MSA BVC: MINEROS Por el bienestar de todos
Slide 24: Adjusted EBITDA
Adjusted EBITDA 487 (1,772) Less: Interest income _ Ad pe 4,408 Add: Current tax 37,409 ferred tax ' 447 EBIT 32,066 (13,122) 49,071 | 44,979 Add: Depreciation and amortization 12,330 10,926 45,099 | 43,335 LEBITDA 44,396 (2,196) 94,170 | 88,314 Less: Other income ? (1,082) (889) Less: Finance incom
Slide 25: Net Debt
Net Debt Loans and other borrowings 32,802 56,322 Less: Cash and cash equivalents (67,118) (38,805) Net Debt _ (24,316) 17,517
Slide 26: Cash Cost and AISC per ounce of gold sold
Cash Cost and AISC per ounce of gold sold 26
Slide 27: Average Realized Price of gold
Average Realized Price of gold 27
Slide 28: Cash Cost and AISC per ounce of gold sold per Material Property
Cash Cost and AISC per ounce of gold sold 28 per Material Property
Slide 29: Mineral Reserves and Mineral Resources
Mineral Reserves and Mineral Resources 29 Effective Date Dec. 31, 2022 as per 2022 Annual Information Form MINERAL RESERVES AND MINERAL RESOURCES Tonnes Grade Contained Metal Classification/Property (kt) (g/t Au) (g/t Ag) (% Zn) (koz Au) (koz Ag) (t Zn) (Mlb Zn) Proven and Probable Nechí Alluvial Pr
Slide 30: Mineral Reserves Notes
Mineral Reserves Notes 30 Effective Date Dec. 31, 2022 as per 2022 Annual Information Form Mineral Reserve Reporting Notes: (1) CIM (2014) definitions were followed for Mineral Reserves. (2) Mineral Reserves are as of December 31, 2022. (3) Numbers may not add due to rounding. Nechí Alluvial Propert
Slide 31: Mineral Reserves Notes
Mineral Reserves Notes 31 Effective Date Dec. 31, 2022 as per 2022 Annual Information Form HEMCO Property – Nicaragua: (1) Mining method: Panama and Pioneer: shrinkage stoping, sub-level open stoping (SLOS), and bench and fill. (a) Porvenir: cut-and-fill stoping and sub-level stoping. (b) (2) Minimu
Slide 32: Mineral Resources Notes
Mineral Resources Notes 32 Effective Date Dec. 31, 2022 as per 2022 Annual Information Form Mineral Resource Reporting Notes: (1) CIM (2014) definitions were followed for Mineral Resources. (2) Mineral Resources are exclusive of Mineral Reserves. (3) Mineral Resources that are not Mineral Reserves d
Slide 33: Mineral Resources Notes
Mineral Resources Notes 33 Effective Date Dec. 31, 2022 as per 2022 Annual Information Form HEMCO Property: (1) Cut-off grades and values: (a) Panama: 2.0 g/t Au (b) Pioneer: 2.0 g/t Au (c) Porvenir: NSR cut-off value of US$82.30/t (d) Luna Roja: open pit: 0.87 g/t Au; underground: 2.0 g/t Au (e) Le
Slide 34: Mineral Resources Notes
Mineral Resources Notes 34 Effective Date Dec. 31, 2022 as per 2022 Annual Information Form La Pepa Project: (1) Open pit Mineral Resources are estimated inside of an optimized pit envelope at a cut-off grade of 0.20 g/t Au for oxides and 0.26 g/t Au for sulphides, which corresponds to the marginal