Fresnillo plc (FRES) Q2 2024 Earnings Call

Investor webinar replay

Replay transcript excerpt

Thank you for joining us, this Fresnillo PLC Centering Results. I'm joined by Mario Arreguin, our CFO, and also by our COOs on the Central Region, Tomasi Turriaga, on the Northern Region, Daniel Diaz. and also by our team of the London office. This morning you will hear an update how we are doing up to this half year on the operations, but also on the prospects and projects and how we are going. First of all, the disclaimer. This is the agenda that we will discuss this morning, investment proposition, HSECR, the highlights on the operational side and the financial side, operational performance at each one of the mines, the financial performance addressed by Mario Arreguin, and to finalize with the outlook before we go to Q&A. We continue to be the world's largest silver producer and also leading producer of gold in Mexico. Underpinned by the portfolio of quality assets, 2.2 billion ounces of silver resources and close to 38 million ounces of gold. We've been working to improve the margins At each one of the mines, working twofold, very much on productivity, but also to contain and mitigate the costs caused by inflation and the effects at our mines. But also, I can say that, of course, these prices are helping us in that regard. We have good cash flows coming from our operations, attractive returns, so that we have cash on hand very healthy. The strong balance sheet as well, and we are on full year production guidance on track to hit it on the gold side and also on the silver side. A few words on the markets. We cannot disregard that the silver, with its duality in terms of industrial demand, has a very good support, growing at a nice pace, but also on the gold side, regarded for the store of value. But the good thing about these two markets is that scarcity of resour...