Mineros Sa · BVC:MINEROS
Mineros Sa — Q1 2022 Earnings Presentation
26 slides from Mineros Sa's earnings presentation, May 10, 2022
Slide 1: Q1 2022 Earnings Release
Q1 2022 Earnings Release May 10, 2022 TSX: MSA MINEROS: CB
Slide 2: Cautionary Statement
Cautionary Statement 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 a
Slide 3: Non-IFRS Measures
Non-IFRS Measures 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 eva
Slide 4: Management
Management Andrés Restrepo Isaza President & CEO Alan Wancier CFO Ana Isabel Gaviria VP Legal and Sustainability Eduardo Flores Zelaya VP of Business Development and Strategy Country Manager Chile Santiago Cardona Country Manager Colombia Carlos Mario Gómez Country Manager Nicaragua John Jairo Cuerv
Slide 5: Agenda
AGENDA o Highlights o Financial Performance o Operational Indicators o Details per Operation o Looking Ahead
Slide 6: Highlights
Highlights Presented by: Andrés Restrepo Isaza President & CEO
Slide 7: General Shareholders’ Assembly
General Shareholders’ Assembly On March 31, 2022, the Company held the ordinary meeting of its General Shareholders Assembly. Approved dividends o Quarterly dividend per Common Share of USD 0.0162, payable on April 20, July 22, October 20 of 2022 and January 20, 2023 o A one time special dividend of
Slide 8: Approval of environmental permits
Approval of environmental permits (Colombia) o On April 25, 2022, the Colombian National Authority of Environmental Licenses “ANLA”, by Resolution 812, approved Minero’s application to amend the environmental management plan for the Nechí Alluvial Property, which was submitted on November 18, 2021.
Slide 9: Acquisition of Additional 25% Interest in GNM Exploration Target
Acquisition of Additional 25% Interest in GNM Exploration Target o On July 22, 2021, Mineros exercised a first option to acquire a 25% interest in the GNM Exploration Target from Royal Road Minerals Limited ("Royal Road"), after investing USD 1 million for exploration, under the terms of the Royal R
Slide 10: Gold Price behavior
Gold Price behavior First Quarter 2022 Gold Price ($/oz) 2,100 $2,051 2,050 2,000 1,950 1,900 1,850 1,800 1,750 $1,791 1,700 1,650 03/01/2022 03/02/2022 03/03/2022 Jan Feb Mar 10
Slide 11: Share Price behavior
Share Price behavior MSA(1) vs. GDX vs. GDXJ (last 30 days) 8.0% 3.0% -2.0% -7.0% -12.0% -17.0% MSA GDX GDXJ (1) The graph shows the share price behavior for Mineros’ shares on the TSX 11
Slide 12: Financial Performance
Financial Performance Presented by: Alan Wancier CFO
Slide 13: Financial Results Q1 2022
Financial Results Q1 2022 Q1 2021 (MUSD) o Revenues decreased slightly, as a result of Q1 2022 (MUSD) a reduced number of ounces of gold sold, partially offset by a 6% increase in the 125.4 124.7 average realized gold price and by increased sales of silver o A 4% increase in costs is due to a higher
Slide 14: Cash and Cash Equivalents
Cash and Cash Equivalents o Cash flows from operating activities is explained by income 5.3 from sales of gold, and cash 63.1 outflows due to payments to 0.7 suppliers, salaries and taxes 10.1 49.4 o Cash flows used in investment 9.6 activities refer to purchases of property, plant and equipment and
Slide 15: Adjusted EBITDA
Adjusted EBITDA ADJUSTED EBITDA MUSD (1) Lower Adjusted EBITDA, due to higher 45 gold price in artisanal 42 mining purchases, 41 higher prices of some 35 supplies and lower 32 gross margin at the Gualcamayo Property - 9% ADJUSTED EBITDA 10 Q1 2022 vs. Q1 2021 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022
Slide 16: Net Debt to Adjusted EBITDA Ratio
Net Debt to Adjusted EBITDA Ratio Cash balance increased and Net Debt (MUSD) (1) debt decreased, since the Debt (MUSD) / Adj. EBITDA (LTM MUSD) (2) proceeds of concurrent public offerings in Canada and Colombia in Q4 2021, were used for debt repayment and 0.26x working capital 0.0 0x 0.10x 0.22x -0.
Slide 17: Operational Indicators
Operational Indicators Presented by: Andrés Restrepo Isaza President & CEO
Slide 18: Monthly sold ounces of gold
Monthly sold ounces of gold Monthly sold ounces of gold 26,230 23,061 22,780 22,837 21,781 15,471 Enero January Febrero February Marzo March 2021 2022 18
Slide 19: Production, Average Realized Price, Cash Cost and AISC
Production, Average Realized Price, Cash Cost and AISC Higher production in Nicaragua, offset Produced Ounces (koz) by lower production in Colombia and AISC (USD/oz) (1) Argentina (1) Cash Cost (USD/oz) Average Realized Price (USD/oz) (1) Higher costs associated with the cost of purchasing mineraliz
Slide 20: Details by Operation
Details by Operation Presented by: Andrés Restrepo Isaza President & CEO
Slide 21: Colombia
Colombia Q1 2022 vs. Q1 2021 25 koz 3,0 00 21 koz 19 koz 2,5 00 2,0 00 Production - 7% 15 koz 1,5 00 AISC + 12% 1,0 00 Gross Profit - 16% 1,127 1,259 50 0 5 koz - Q1 2021 Q1 2022 o Lower production compared to Q1 2021, explained by Produced Ounces (koz) AISC (USD/oz) the delay of the approval of env
Slide 22: Nicaragua
Nicaragua Q1 2022 vs. Q1 2021 40 koz 3,0 00 33 koz 30 koz 2,5 00 30 koz 2,0 00 Production + 9% 1,5 00 AISC - 6% 1,395 1,305 20 koz 1,0 00 Gross Profit + 17% 50 0 10 koz - Q1 2021 Q1 2022 o The 9% increase in production is explained by the Produced Ounces (koz) AISC (USD/oz) increase in production fr
Slide 23: Argentina
Argentina Q1 2022 vs. Q1 2021 1,999 2,5 00 1,627 25 koz 2,0 00 Production - 3% 1,5 00 15 koz 14 koz AISC - 19% 15 koz 1,0 00 Gross Profit - 55% 50 0 5 koz - Q1 2021 Q1 2022 o The lower production is explained by supply chain Produced Ounces (koz) AISC (USD/oz) interruptions that affected the purchas
Slide 24: Looking Ahead
Looking Ahead Presented by: Andrés Restrepo Isaza President & CEO
Slide 25: Looking Ahead
Looking Ahead o We are on track to reach 2022 production guidance between 262,000 – 285,000 ounces of gold o Advance in growth and exploration campaigns • Porvenir Project (Nicaragua): We remain on track to announce the results of the feasibility study in the second half of 2022 • Luna Roja Explorat
Slide 26: TSX: MSA MINEROS: CB
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