Alamos Gold Inc (AGI) 2024 Q2 法說會逐字稿

Good morning to all participants. I will now turn the call over to Mrs. Scott Parsons, Alamos' Senior Vice President, Investor Relations. Go ahead, Mrs. Parsons.

所有參與者早安。我現在將把電話轉給阿拉莫斯投資者關係高級副總裁斯科特·帕森斯女士。繼續吧，帕森斯夫人。

Thank you, Paul, and thanks to everybody for attending Alamos' Second Quarter 2020 for our conference call. In addition to myself, we have on the line today John McCluskey, President and Chief Executive Officer; Greg Fisher, Chief Financial Officer; Luc Guimond, Chief Operating Officer; and Scott R.G. Parsons, Vice President of Exploration.

謝謝 Paul，也謝謝大家參加阿拉莫斯 2020 年第二季的電話會議。今天除了我本人之外，我們還有總裁兼執行長約翰‧麥克拉斯基 (John McCluskey)；格雷格·費雪，財務長； Luc Guimond，營運長；和斯科特·R.G.帕森斯，勘探副總裁。

We will be referring to a presentation during the conference call that is available through the webcast and on our website. I would also like to remind everyone that our presentation will be followed by a Q&A session. As we will be making forward-looking statements during the call, please refer to the cautionary notes included in the presentation news release and MD&A as well as the risk factors set out in our annual information form.

我們將參考電話會議期間的演示文稿，該演示文稿可透過網路廣播和我們的網站取得。我還想提醒大家，我們的演講之後將會有問答環節。由於我們將在電話會議期間做出前瞻性陳述，因此請參閱演示新聞稿和 MD&A 中包含的警示說明以及我們的年度資訊表中列出的風險因素。

Technical information in this presentation has been reviewed and approved by Chris Boswick, our Senior VP of Technical Services and a qualified person. Also, please bear in mind that all of the dollar amounts mentioned in this conference call are in US dollars unless otherwise noted.

本簡報中的技術資訊已由我們的技術服務資深副總裁兼合格人員 Chris Boswick 審核並批准。另外，請記住，除非另有說明，本次電話會議中提到的所有美元金額均為美元。

Now John will provide you with an overview.

現在約翰將為您提供概述。

Thank you, Scott. We recently announced the closing of the Organon acquisition, and I'll start off by welcoming all of the Magino employees to the Alamos staff. The uniting of the Magino and Island Gold Mines to form the Island Gold district is a pivotal moment for the company.

謝謝你，斯科特。我們最近宣布完成對 Organon 的收購，首先我要歡迎所有 Magino 員工加入 Alamos 員工隊伍。馬吉諾金礦和島嶼金礦合併形成島嶼金礦區對該公司來說是一個關鍵時刻。

Together, we are building an even brighter future by creating one of the largest and lowest cost operations in Canada, led by an even stronger workforce. We delivered an outstanding second quarter marked by numerous records. This included record production of 139,100 ounces, exceeding guidance for the quarter.

在更強大的勞動力的帶領下，我們正在共同建立加拿大規模最大、成本最低的營運機構之一，以創造更光明的未來。我們的第二季表現出色，創造了多項記錄。其中包括創紀錄的 139,100 盎司產量，超出了本季的指導價值。

Our costs also declined from the first quarter and combined with rising gold prices, we generated record revenue, cash flow from operations and free cash flow of $107 million. With a solid first half of the year we are well positioned to achieve full year production and cost guidance.

我們的成本也較第一季有所下降，加上金價上漲，我們創造了創紀錄的收入、營運現金流和自由現金流，達到 1.07 億美元。憑藉今年上半年的強勁表現，我們有能力實現全年生產和成本指導。

Now turning to slide 4, with the closing of the Argonaut acquisition three weeks ago, the integration of the Magino and Island Gold is well underway. The combination of the two mines will create one of the largest operations in Canada with annual production of more than 400,000 ounces of gold at first quartile costs once the Phase 3 expansion is complete.

現在轉向幻燈片 4，三週前完成了對 Argonaut 的收購，Magino 和 Island Gold 的整合正在順利進行中。第三階段擴建完成後，這兩個礦山的合併將成為加拿大最大的礦山之一，以第一四分位成本計算，年產量將超過 400,000 盎司黃金。

The two deposits host over 11 million ounces of gold, and given the exploration success we are seeing, we expect the reserve and resource base to continue to grow given the proximity of the two operations, the utilization of one centralized mill and tailings facility will result in a considerable amount of capital and operational synergies totaling $515 million.

這兩個礦床蘊藏著超過1100 萬盎司的黃金，鑑於我們所看到的勘探成功，我們預計儲量和資源基礎將繼續增長，因為這兩個作業地點鄰近，將導致使用一個集中式工廠和尾礦設施巨額資本和營運協同效應總計達 5.15 億美元。

The combined operation also unlock significant longer term upside opportunities through the further expansion of the genome mill to accommodate the large and growing reserve and resource base and other near-mine opportunities such as North here, but the inclusion of the Magino, we expect production to increase to a new record of between 145,000 and 155,000 ounces in the third quarter. We will produce additional details in September on our second half outlook as part of our updated consolidated guidance incorporating Magino.

合併後的業務也透過進一步擴大基因組工廠來釋放重要的長期上行機會，以適應龐大且不斷增長的儲備和資源基礎以及其他近礦機會，例如北這裡，但包括 Magino，我們預計產量將第三季度產量增加至145,000 至155,000 盎司的新紀錄。我們將在 9 月提供有關下半年前景的更多詳細信息，作為納入 Magino 的更新綜合指南的一部分。

Now turning to Slide 5. The addition of the Magino mine has increased company-wide gold production to a rate of approximately 600,000 ounces per year. In 2026, the completion of the Phase 3 plus expansion at Island Gold is expected to drive annual production closer to 700,000 ounces per year.

現在轉向投影片 5。Magino 礦場的增加使全公司的黃金產量增加到每年約 60 萬盎司。到 2026 年，Island Gold 第三期擴建工程的完成預計將使年產量接近 70 萬盎司。

And at lower costs. We expect the PDA project in the Magino district to take us over 700,000 ounces per year. The Lynn Lake project provides additional growth as early as the second half of 2027 and will take us to a long-term rate of around 900,000 ounces per year.

且成本更低。我們預計 Magino 地區的 PDA 專案每年將為我們帶來超過 700,000 盎司的產量。Lynn Lake 計畫最快將於 2027 年下半年額外成長，長期產量將達到每年 90 萬盎司左右。

All of this growth can be funded internally and all of this growth is lower costs. Beyond that, there is a considerable amount of upside, both on the exploration front as well as through a potential longer-term expansion of the Island Gold districts. In addition to the planned expansion of the Magino mill to 12,400 tons per day in 2026, that started evaluating a longer-term expansion scenario to between 15,000 and 20,000 tonnes per day. Ultimately, this could increase our consolidated production to close at 1 million ounces per year.

所有這些成長都可以透過內部融資，而所有這些成長都可以降低成本。除此之外，無論是在勘探方面還是透過島嶼金礦區潛在的長期擴張，都有相當大的上升空間。除了計劃在 2026 年將 Magino 工廠產能擴展至每天 12,400 噸外，該工廠還開始評估長期產能擴展至每天 15,000 至 20,000 噸的方案。最終，這可能會使我們的綜合產量達到每年 100 萬盎司。

Turning to slide 6, we continue to add value in the second quarter. In addition to the Organon acquisition, we also completed our acquisition of Oxford Mines to which we added the highly prospective Qiqavik project in Quebec. We have our largest exploration budget ever planned in 2024 at more than $60 million. And we are seeing the benefits with exceptional results across our operations.

轉向投影片 6，我們在第二季繼續增加價值。除了收購 Organon 外，我們還完成了對 Oxford Mines 的收購，其中又增加了位於魁北克省極具前景的 Qiqavik 項目。我們計劃在 2024 年實現有史以來最大的勘探預算，超過 6000 萬美元。我們在整個營運中看到了卓越成果所帶來的好處。

In May, we announced the discovery of a new style of higher-grade gold mineralization in the hanging wall of Young-Davidson. More recently, we outlined the broad-based exploration success we are having across the Island Gold mine structure and within the hanging wall and footwall, we expect this will drive another year, another increase in high group in high-grade reserves and resources at Island Gold for the ninth consecutive year.

5 月，我們宣佈在 Young-Davidson 的上盤發現了一種新類型的高品位金礦化體。最近，我們概述了我們在島上金礦結構以及上盤和下盤內取得的廣泛勘探成功，我們預計這將推動新一年島上高品位儲量和資源的再次增長。 。

Last month, we released our 2023 ESG report outlining our progress on several key metrics. This included an 8% decrease in Scope 1 and Scope 2 greenhouse gas emissions and a 5% reduction in our total recordable injury frequency rate. We have a number of catalysts coming in the second half of the year. We expect to release our PDA development plan and provide updated consolidated guidance incorporating Magino in September.

上個月，我們發布了 2023 年 ESG 報告，概述了我們在幾個關鍵指標上的進展。這包括範圍 1 和範圍 2 溫室氣體排放量減少 8%，以及我們的總可記錄傷害頻率減少 5%。今年下半年我們將出現許多催化劑。我們預計將在 9 月發布 PDA 開發計劃並提供包含 Magino 的更新綜合指南。

We also expect to provide additional exploration updates outlining the success we are having at Mulatos and other operations. Towards the end of the year, we plan on releasing the results of a study incorporating Burnt Timber and Linkwood into the Lynn Lake project, outlining another value driver as upside to the 2023 feasibility study.

我們還希望提供更多勘探更新，概述我們在 Mulatos 和其他業務中的成功。今年底，我們計劃發布一項將 Burnt Timber 和 Linkwood 納入 Lynn Lake 計畫的研究結果，概述了作為 2023 年可行性研究的另一個價值驅動因素。

I'll now turn the call over to our CFO, Greg Fisher, to review our financial performance. Greg.

現在我將把電話轉給我們的財務長格雷格費雪 (Greg Fisher)，以審查我們的財務表現。格雷格.

Thank you, John. On the slide 7. In the second quarter, we sold 141,000 ounces of gold at an average realized price of $2,336 per ounce for record quarterly revenues of $333 million. Total cash costs of $830 per ounce, and all-in sustaining costs of $1,096 per ounce were down 9% and 13%, respectively, from the first quarter.

謝謝你，約翰。在投影片 7 上。第二季度，我們以每盎司 2,336 美元的平均實現價格出售了 141,000 盎司黃金，季度收入達到創紀錄的 3.33 億美元。總現金成本為每盎司 830 美元，總維持成本為每盎司 1,096 美元，較第一季分別下降 9% 和 13%。

We remain well positioned to achieve our full year production and cost guidance given the solid first half performance. Our reported net earnings of $70 million in the first quarter or $0.18 per share included unrealized foreign exchange losses of $16 million recorded within deferred taxes and foreign exchange and other adjustments net of taxes of $11 million. Excluding these items, our adjusted net earnings were $97 million or $0.24 per share.

鑑於上半年的穩健表現，我們仍處於有利地位，可以實現全年生產和成本指引。我們報告的第一季淨利潤為7000 萬美元，即每股0.18 美元，其中包括遞延稅項下記錄的未實現外匯損失1600 萬美元以及扣除稅款後的外匯和其他調整淨額1100 萬美元。排除這些項目，我們調整後的淨利潤為 9,700 萬美元，即每股 0.24 美元。

Operating cash flow before changes in noncash working capital increased to a record $191 million or $0.48 per share. Free cash flow totaled a record $107 million, a significant increase from the first quarter. All three operations generated solid mine-site free cash flow, including a record $40 million from Young-Davidson.

非現金營運資本變動前的營運現金流增至創紀錄的 1.91 億美元，即每股 0.48 美元。自由現金流總計創紀錄的 1.07 億美元，較第一季大幅成長。所有三項業務都產生了穩定的礦場自由現金流，其中包括 Young-Davidson 創紀錄的 4000 萬美元現金流。

The impressive free cash flow generation occurred while continuing to fund the Phase three plus expansion at Island Gold and is net of $15 million in cash taxes paid in Mexico in the quarter.

令人印象深刻的自由現金流產生是在繼續為 Island Gold 三期及以上擴建提供資金的同時產生的，並且扣除本季度在墨西哥繳納的 1500 萬美元現金稅。

Capital spending totaled $88 million in the quarter and included $21 million of sustaining capital and $59 million of growth capital, the majority of which was focused on the Phase 3 plus expansion. With the acquisition of Magino completed in July and the Island Gold, no expansion no longer required.

本季資本支出總額為 8,800 萬美元，其中包括 2,100 萬美元的維持資本和 5,900 萬美元的成長資本，其中大部分用於第三階段及擴建。隨著 7 月完成對 Magino 和 Island Gold 的收購，不再需要擴張。

We are in the process of updating capital estimates, which will also include required upgrades in the Magino Mill as well as the impact of ongoing inflationary pressures.

我們正在更新資本估算，其中還包括馬吉諾工廠所需的升級以及持續通膨壓力的影響。

Our balance sheet continued to strengthen in the quarter with our cash balance growing over 30% to $314 million. At quarter end, we remain debt-free. However, subsequent to quarter end, we withdrew $250 million on our credit facility to pay off Argonaut's term loan and revolving credit facility that were inherited through the acquisition.

本季我們的資產負債表持續增強，現金餘額成長超過 30%，達到 3.14 億美元。到季度末，我們仍然沒有債務。然而，在季度末之後，我們提取了 2.5 億美元的信貸額度，以償還透過收購繼承的 Argonaut 定期貸款和循環信貸額度。

With a strong cash position, more than $550 million of total liquidity and solid ongoing cash flow generation, we remain well positioned to fund our organic growth initiatives, including the Phase 3 plus expansion optimization and the Magino mill and development of PDA and Lynn Lake.

憑藉強勁的現金狀況、超過5.5 億美元的總流動性和穩定的持續現金流生成，我們仍然有能力為我們的有機增長計劃提供資金，包括第三階段及擴張優化、Magino 工廠以及PDA 和Lynn Lake的開發。

In July, we completed the gold sale prepayment agreement for the delivery of 49,400 ounces in 2025 based on forward curve prices of $2,520 per ounce. We used the proceeds to eliminate Gold corp contracts inherited from Argonaut totaling 180,000 ounces that were hedged at an average gold price of $1,840 per ounce.

7月，我們完成了2025年交割49,400盎司的黃金銷售預付款協議，遠期曲線價格為每盎司2,520美元。我們用所得收益消除了從 Argonaut 繼承的總計 180,000 盎司的黃金公司合約，這些合約以每盎司 1,840 美元的平均黃金價格進行對沖。

Through this transaction, we have eliminated all of the hedges we inherited from Argonaut in 2024 and 2025 and significantly increased our exposure to rising gold prices on attractive terms. We continue to review opportunities to eliminate the remainder of the Argonaut hedge book, which is comprised of gold forwards, totaling a combined 150,000 ounces in 2026 and 2027.

透過這筆交易，我們消除了 2024 年和 2025 年從 Argonaut 繼承的所有對沖，並以有吸引力的條件顯著增加了我們對金價上漲的曝險。我們將繼續審查消除 Argonaut 對沖帳簿剩餘部分的機會，該帳簿由黃金遠期組成，2026 年和 2027 年總計 150,000 盎司。

I will now turn the call over to our COO, Luc Guimond, to provide an overview of our operations.

我現在將把電話轉給我們的營運長 Luc Guimond，以概述我們的營運情況。

Thank you, Greg. Moving to slide 8. Young-davidson delivered a strong quarter with production of 44,000 ounces, a 10% increase over the first quarter on higher mining rates and grades processed. Costs also improved with total cash cost down 13% and mine-site all-in sustaining costs down 19% quarter over quarter.

謝謝你，格雷格。轉到投影片 8。Young-davidson 季度表現強勁，產量達 44,000 盎司，由於採礦率和加工品位提高，較第一季成長 10%。成本也有所改善，總現金成本較上季下降 13%，礦場整體維持成本較上季下降 19%。

With grades expected to continue to increase in the second half of the year and milling rates expected to remain at 8,000 tonnes per day. The operation is on track to achieve full year guidance. In the second quarter, the operation delivered record mine-site free cash flow of $40 million and $55 million for the first half of the year.

預計下半年品位將持續提高，銑削量預計將保持在每天 8,000 噸。該業務有望實現全年指引。第二季度，該業務創造了創紀錄的礦場自由現金流，分別為 4,000 萬美元和上半年的 5,500 萬美元。

Young-davidson is well positioned to generate over $100 million of free cash flow for the fourth consecutive year as well as well over the long term given its 15-year mineral reserve life.

Young-davidson 處於有利地位，能夠連續第四年產生超過 1 億美元的自由現金流，考慮到其 15 年的礦產儲備壽命，從長遠來看也是如此。

Over to slide 9, Island Gold delivered a solid quarter with production increasing 25% from the first quarter to 41,700 ounces and mine-site all-in sustaining costs decreasing 27% to $805 per ounce. This was driven by higher grades mined and processed. Mine grades averaged 14 grams per tonne in the quarter above the annual guidance range reflecting the planned mining of higher-grade stopes as well as positive grade reconciliation.

從投影片 9 來看，Island Gold 季度業績表現穩健，產量較第一季成長 25% 至 41,700 盎司，礦區整體維持成本下降 27% 至每盎司 805 美元。這是由開採和加工的更高品位所推動的。本季礦山品位平均每噸高出 14 克，高於年度指導範圍，反映出計劃開採較高品位採場以及積極的品位調節。

This more than offset lower mining rates earlier in the quarter as we focused on maximizing the extraction of significantly higher-grade ore within the 1025 mining horizon. In addition, we experienced lower haul truck availability from older units in the fleet that are being phased out.

這足以抵消本季度早些時候較低的採礦率，因為我們專注於在 1025 採礦期限內最大限度地開採品位明顯較高的礦石。此外，我們發現車隊中正在淘汰的舊設備的運輸卡車可用性較低。

Mining rates improved in the latter part of the quarter following the receipt of the two new haul trucks, mining rates are expected to average similar levels in the third quarter, reflecting planned downtime in the latter part of July to upgrade the underground ventilation infrastructure.

在收到兩輛新運輸卡車後，本季後半段採礦率有所改善，預計第三季採礦率將達到類似水平，這反映出 7 月下旬計劃停工以升級地下通風基礎設施。

The ventilation upgrade was successfully completed earlier this week with mining rates expected to increase to average 1,200 tonnes per day in August and through the rest of the year. The upgrade to ventilation capacity was completed as part of the Phase 3 plus expansion and will support increased development rates in the near term and higher underground mine mining rates over the longer term, following the completion of the expansion.

通風升級已於本週稍早成功完成，預計 8 月和今年剩餘時間的採礦量將增加至平均每天 1,200 噸。通風能力的升級是作為第三階段擴建的一部分而完成的，擴建完成後將支持短期內開發速度的提高和長期地下礦井開採率的提高。

With the strong operational performance, Island Gold generated 15 million of mine-site free cash flow while continuing to fund the Phase 3 plus expansion. Given the strong performance in the first half of the year, the operation is well positioned to achieve annual guidance.

憑藉強勁的營運業績，Island Gold 產生了 1500 萬礦場自由現金流，同時繼續為第三期及擴建提供資金。鑑於上半年的強勁表現，該業務完全有能力實現年度指引。

Over to slide 10. While the Magino mine was not under our control in the second quarter, the operation continued to show improvements. Production increased 36% quarter-over-quarter to 22,700 ounces. Average mining rates increased to 53,200 tonnes per day in the quarter, including 16,300 tons per day of ore, up 24% from the first quarter. Mill throughput also increased 33% to 8,400 tonnes per day relative to the first quarter and recoveries improved to 94%.

轉到投影片 10。雖然馬吉諾礦在第二季不受我們的控制，但營運情況繼續出現改善。產量較上季增加 36% 至 22,700 盎司。本季平均開採量增至每天 53,200 噸，其中礦石每天 16,300 噸，較第一季增加 24%。與第一季相比，工廠吞吐量也增加了 33%，達到每天 8,400 噸，回收率提高至 94%。

We expect similar production in the third quarter, reflecting downtime to implement various improvements to the grizzly, crushing and conveying more flow and mill liner design. These improvements are expected to positively impact the fourth quarter and ongoing production and costs. As John noted, we will be providing more detailed guidance on Magino as part of our updated consolidated guidance be released in September.

我們預計第三季的產量將類似，反映了對格柵、破碎和輸送更多流量以及磨機襯板設計進行各種改進的停機時間。這些改進預計將對第四季度以及持續的生產和成本產生積極影響。正如 John 指出的那樣，我們將在 9 月發布的更新綜合指南中提供有關 Magino 的更詳細指南。

Moving to slide 11. The Phase 3 plus expansion continues to move along with the shaft sinking advancing to a depth of 403 meters as of June 30 and tracking towards the 1,000 meter level by year end.

轉到投影片 11。第三期加擴建工程持續推進，截至 6 月 30 日，豎井下沉深度已達 403 米，年底將接近 1,000 公尺。

During the second quarter, we made considerable progress, including completion of the various services of the shaft area, commissioning of the upgraded voltage regulation facility and we commenced construction on the house. Detailed engineering for the paste plant is now 90% complete, and earthworks are currently underway with construction activities expected to ramp up in the second half of the year.

第二季度，我們取得了長足的進展，包括完成了井區的各項服務、調試了升級後的調壓設施，並開始了房屋的建設。漿料廠的詳細工程現已完成 90%，土方工程目前正在進行中，預計施工活動將在今年下半年加快。

Over to slide 12. As of June 30, approximately 60% of the total initial capital of $756 million had been spent and committed on the project. With the acquisition of a Magino now complete, we no longer need to expand the Island Gold mill or tailings facility expansion remains on track for completion during the first half of 2026 will be a significant driver of our expected production growth and declining costs over the next several years.

轉到投影片 12。截至 6 月 30 日，初始資本總額 7.56 億美元中的約 60% 已用於該項目並承諾。隨著 Magino 的收購現已完成，我們不再需要擴建 Island Gold 工廠，或尾礦設施擴建仍有望在 2026 年上半年完成，這將是我們未來預期產量成長和成本下降的重要推動力幾年。

Over to slide 13, the Mulatos district had another solid quarter with stronger than expected production of 53,400 ounces at costs below full year guidance. This was once again driven by lower Yaqui Grande which benefited from both rate and stacking rates coming in at or above the top end of guidance. With the onset of the rainy season, stacking rates are expected to decrease to average 10,000 tons per day in the second half of the year.

從投影片 13 來看，穆拉托斯地區的季度產量又優於預期，達到 53,400 盎司，而成本卻低於全年指引。這再次受到 Yaqui Grande 價格下跌的推動，Yaqui Grande 受益於利率和堆疊率均達到或高於指導上限。隨著雨季的到來，預計下半年堆放量將下降至日均1萬噸。

Grades stacked are also expected to decrease slightly through the remainder of the year, leading to declining production and costs increasing to be consistent with guidance. Given the very strong first half of the year, the Mulatto's district is well positioned to achieve annual guidance. Mine site free cash flow increased $70 million in the second quarter, net of $15 million of cash tax payments.

預計今年剩餘時間內的品級也將略有下降，導致產量下降和成本增加，以與指導一致。鑑於今年上半年的強勁表現，穆拉托地區完全有能力實現年度指導。第二季礦場自由現金流增加 7,000 萬美元，扣除 1,500 萬美元的現金稅。

For the first half of the year, and Mulatto's generated $120 million of mine-site free cash flow on impressive performance, considering this was net of $60 million of tax payments. Work on our development plan for the Puerto Del Aire deposit is advancing, and we plan to release that in September, we expect this will outline another attractive project and significantly extend the mine life of the Mulatto's district.

今年上半年，Mulatto's 憑藉令人印象深刻的業績創造了 1.2 億美元的礦場自由現金流，考慮到這還扣除了 6,000 萬美元的稅款。我們的 Puerto Del Aire 礦床開發計劃正在推進，我們計劃在 9 月發布該計劃，我們預計這將概述另一個有吸引力的項目，並顯著延長 Mulatto 地區的礦山壽命。

I will now turn the call over to our VP of Exploration, Scott R.G. Parsons, to review our exploration success through the first half of the year.

我現在將把電話轉給我們的探索副總裁 Scott R.G.帕森斯先生，回顧我們上半年的探勘成果。

Thank you. And moving to slide 14. In May, we announced the discovery of a new style of higher grade gold mineralization within the youngest within the hanging wall of Young-Davidson. This mineralization is hosted in conglomerates, whereas the majority of the current reserves and resources at Young-Davidson are hosted within.

謝謝。轉到投影片 14。五月份，我們宣佈在 Young-Davidson 上盤最年輕的礦體中發現了一種新型的更高品位的金礦化體。這種礦化位於礫岩中，而 Young-Davidson 目前的大部分儲量和資源都位於其中。

The zones located 10 to 200 meters south of existing infrastructure with grades intersected well above the current reserve grade drilling is ongoing and is focused on testing the extent of the conglomerates and to evaluate controls and continuity of high-grade mineralization.

這些區域位於現有基礎設施以南 10 至 200 公尺處，其品位相交遠高於目前儲備品位，鑽探正在進行中，重點是測試礫岩範圍並評估高品位礦化的控制和連續性。

Additionally, we are relaunching a sampling core that was historically drilled through the Hanging Wall Zone from surface, which had limited sampling for gold outside of the cyanide, given the proximity to existing infrastructure and higher grade zones, could potentially provide meaningful production upside.

此外，我們正在重新啟動一個取樣岩心，該取樣岩心歷史上是從地表鑽過懸牆區域的，考慮到靠近現有基礎設施和更高品位的區域，該取樣岩心對氰化物之外的黃金取樣有限，可能提供有意義的生產上行空間。

Moving to slide 15. Last week, we provided a comprehensive exploration update at Island Gold, where we highlighted the broad-based exploration success we're experiencing across the district. This included an extensive list of exceptional intercepts which have extended high-grade mineralization across the main deposit, and we have multiple hanging wall to wall structures.

轉到投影片 15。上週，我們提供了 Isl​​​​and Gold 的全面勘探最新情況，其中我們強調了我們在整個地區取得的廣泛勘探成功。其中包括一系列特殊的截距，這些截距已將高品位礦化延伸到整個主要礦床，並且我們擁有多個懸掛式牆到牆結構。

Some of the highlights and the main Argo structure include 37 grams per tonne over seven meters in Island West and 17 grams per ton over 10 meters to the east, both beyond existing reserves and resources. Within the hanging wall and footwall, we continue to find new zones of higher grade mineralization and expand upon recently defined zones across the main Island Gold deposit. This includes multiple intercepts from regionally defined zones grading above 70 grams per tonne over two meters.

一些亮點和主要的 Argo 結構包括島西 7 公尺處每噸 37 克，東邊 10 公尺處每噸 17 克，均超出現有儲量和資源量。在上盤和下盤內，我們繼續尋找更高品位的新礦化區域，並在主島金礦床最近確定的區域上進行擴展。這包括在兩公尺範圍內從區域定義的區域多次攔截分級超過每噸 70 克的區域。

These zones represent significant opportunities to continue to grow near mine reserves and resources, which are low-cost development produce given their proximity to existing infrastructure. In the 2023 reserve and resource update. We added 1 million ounces before depletion with the additions in the hanging wall to wall zones accounting for approximately 70% of this growth. Given our ongoing ongoing success, we expect these zones to be a significant factor in Island Gold's continued growth.

這些區域代表著在礦山儲量和資源附近繼續發展的重大機會，由於它們靠近現有基礎設施，因此是低成本的開發產品。2023年儲量和資源更新。我們在耗盡前增加了 100 萬盎司，其中上盤到盤牆區域的增量約佔這一增長的 70%。鑑於我們不斷取得的成功，我們預計這些區域將成為 Island Gold 持續成長的重要因素。

Within our delineation drilling program, which is focused on resource conversion annuities. We've defined a significantly wider and higher grade zone than typically seen within the deposit over an 18 by 130 meter area. Highlighting the zone grew to 102 grams per tonne over 17 meters and 135 grams per tonne over eight meters.

在我們的圈定鑽探計劃中，該計劃的重點是資源轉換年金。我們定義了一個比礦床內通常看到的 18 x 130 公尺區域更寬、品位更高的區域。突出顯示的區域在 17 公尺以上增長至每噸 102 克，在 8 公尺以上增長至每噸 135 克。

Collectively, these exploration results are expected to drive further growth in high-grade reserves and resources with the year-end update for what continues to be one of the highest grade and fastest growing deposits in the world. With the Island Gold main structure open laterally and down-plunge and an increasing number of high-grade zones being defined in the hanging wall and foot wall, we see excellent potential for this growth to continue well into the future.

總的來說，這些勘探結果預計將推動高品位儲量和資源的進一步成長，年底更新仍將是世界上品位最高、成長最快的礦床之一。隨著 Island Gold 主體結構橫向開放和下傾，以及上盤和下盤界定出越來越多的高品味區域，我們看到這種成長在未來持續的巨大潛力。

Moving to slide 16, we're also trying to find longer-term upside opportunities through the integration of Island Gold and Magino. One of those opportunities is the expansion of the Magino open pit. Gold mineralization has been intersected east of the Magino open pit reserve, supporting the potential for extension of the Magino deposit to the east beyond the previous property boundary.

轉到投影片 16，我們也試著透過 Island Gold 和 Magino 的整合來尋找長期上行機會。這些機會之一是馬吉諾露天礦場的擴建。金礦化已與 Magino 露天礦場保護區東部相交，支持了 Magino 礦床向東延伸至先前礦區邊界之外的潛力。

The North Shear is another near-mine opportunity as a potential source of additional mill feed for an expanded Magino milling complex. The Northeast Shear corridor is located in the northern limb of an active form within and along the northern portion of the Westlake stock.

北剪切機是另一個近礦機會，可以作為擴建後的 Magino 銑削綜合體的額外磨機進料的潛在來源。東北剪切走廊位於西湖水庫北部內及其沿線的活躍形態的北翼。

The larger the North shear corridor is 20 to 30 meters wide. Near-surface appears to widen the depth of 60 meters and has been interpreted to be over 1,000 meters in strike that has been drilled to a depth of 600 meters and remains open at depth. Higher-grade mineralization has been intersected within the normal year, both this year as well as historically.

較大的北剪切廊道寬20至30公尺。近地表的深度似乎擴大了 60 米，據解釋，其走向已超過 1,000 米，已鑽探至 600 米深度，並且在深處仍保持開放。無論是今年還是歷史上，較高品位的礦化都在正常年份內出現。

And we plan to following up with additional drilling and modeling to continue to evaluate the potential for underground mining given the larger capacity of the Magino mill with further expansion potential. the North Shear will be one of the many opportunities we're going to be evaluating as sources of higher grade feed for the centralized mill.

鑑於 Magino 磨機的產能較大且具有進一步擴張的潛力，我們計劃進行額外的鑽探和建模，以繼續評估地下採礦的潛力。北剪將是我們將評估的眾多機會之一，作為集中式工廠的高品位飼料來源。

With that, I'll turn the call back to John.

這樣，我會將電話轉回給約翰。

Thank you, Scott. That concludes the formal presentation. I'll now turn the call over to the operator will take your questions.

謝謝你，斯科特。正式演講到此結束。我現在將把電話轉給接線員來回答您的問題。

(Operator Instructions) Ovais Habib, Scotiabank.

（操作員指示）Ovais Habib，豐業銀行。

Hi, John and his team and congrats to you and your team on a really a great quarter. And the first ask John, a couple of questions from me. At Island Gold, it was great to see grades improve over 30% quarter-over-quarter. And what was the average grade you were expecting in Q2? I mean, I'm trying to figure out what this was expected and how much was actually the positive grade reconciliation.

嗨，約翰和他的團隊，恭喜您和您的團隊度過了一個非常美好的季度。先問約翰，我問了幾個問題。在 Island Gold，我們很高興看到成績環比提高了 30% 以上。您期望第二季的平均成績是多少？我的意思是，我試著弄清楚這是預期的結果，以及實際上的正向成績調節有多少。

And the second part of that is also are these higher grades expected to persist in the second half?

第二部分也是這些較高的成績預計在下半年持續嗎？

Yes, Hi, Ovais. Luke here. I can take the first part of the question. I think I missed the second part.So I'll get you to repeat that. But as far as the forecasted rates for Island in Q2, we were we were looking to be about 12 to 12.5 grams in the quarter.

是的，嗨，奧瓦伊斯。盧克在這裡。我可以回答問題的第一部分。我想我錯過了第二部分。但就第二季 Island 的預測率而言，我們預計該季度的產量約為 12 至 12.5 克。

I didn't catch your second question. Maybe if you can repeat that for me, please.

我沒聽清楚你的第二個問題。也許您可以為我重複一遍。

Sure. Hi, Luc. So, yeah, so I just wanted to understand, are these grades expected to persist going into the second half?

當然。嗨，呂克。所以，是的，所以我只是想了解，這些成績預計會持續到下半年嗎？

Our grades in the second half of the year are going to be more in line with our reserve rate to about 11 grams is what our expectation is in the second half of the year.

我們下半年的成績將更加符合我們的儲備率，大約是 11 克，這是我們下半年的預期。

And would you be in the same zones that you're currently mining in? And I'm trying to, again, figure out if there would be any sort of potential positive reconciliation going into the second half as well.

您是否位於目前採礦的同一區域？我再次試圖弄清楚下半年是否也會有任何潛在的正面和解。

Similar mining areas, yes. I mean, there's a high-grade complex at 1025 every mining and we'll continue to mine there in the second half of the year. But I mean, the positive reconciliation we have seen has been not just specific to that high-grade zone, but some of the other areas that we're mining with some of the other mining fronts as well.

類似的礦區，是的。我的意思是，每次開採都有一個1025的高級綜合體，我們下半年將繼續在那裡開採。但我的意思是，我們看到的積極協調不僅針對該高品位區域，而且還針對我們正在與其他一些採礦前緣進行採礦的其他一些區域。

Okay. Got it.Thanks for that. And just a second question from me again, very early days regarding Magino. Have there been any surprises so far either from an operating or financial standpoint?

好的。明白了。我又問了第二個問題，這是關於 Magino 的早期問題。到目前為止，從營運或財務角度來看是否有任何意外？

So from an operating standpoint, based on our due diligence and no surprises. I think as we mentioned on the call, through Q3, we're looking to make some continual improvement certainly through the mining operations as well as milling operations. And then looking to obviously pick up production as we move into the latter half of the year and then as we move forward into 2025.

因此，從營運角度來看，基於我們的盡職調查，這並不令人意外。我認為正如我們在電話會議中提到的，透過第三季度，我們希望透過採礦作業和銑削作業進行持續改進。然後，隨著我們進入下半年，然後進入 2025 年，產量將明顯回升。

Sounds good. Again, that's it for me, guys. Thanks for taking my questions and look forward to the PDA study.

聽起來不錯。再說一次，這對我來說就是這樣，夥計們。感謝您提出我的問題並期待 PDA 研究。

Kerry Smith, Haywood Securities.

凱裡史密斯，海伍德證券。

Thanks, operator. John, I may interested in in the release, but you mentioned that the Phase three plus expansion was still on schedule or is it still on budget as well with the CapEx, the $756 million, knowing that that's going to be adjusted once you incorporate the Magino mill and mill tailings?

謝謝，接線生。約翰，我可能對這個版本感興趣，但你提到第三階段加擴張仍然按計劃進行，或者它仍然在預算之內，資本支出為 7.56 億美元，因為你知道一旦你將馬吉諾磨機和磨機尾礦？

Hi, Kerry. It's Greg here. I'll grab that question. Yeah, obviously, there's savings that we expect as a result of not needing to expand the island mill. We do have costs that we will need to incur to expand the Magino mill to hit that 12,400 tonnes per day by by mid-2026 when we complete the Phase three expansion.

嗨，凱瑞。我是格雷格。我會抓住這個問題。是的，顯然，由於不需要擴建島式工廠，我們預計會節省成本。我們確實需要承擔擴建 Magino 工廠的成本，以便在 2026 年中期完成第三階段擴建時達到每天 12,400 噸的產量。

But we've also seen inflationary pressures, especially around labor over the last couple of years, and we expect that to persist. So overall, we're looking at the updated estimates, but I suspect that if anything, we'll have a modest, a modest increase compared to the $750 million that we had the released a couple of years ago.

但我們也看到了通膨壓力，尤其是過去幾年圍繞勞動力的通膨壓力，我們預計這種情況將持續下去。總體而言，我們正在研究更新後的估算，但我懷疑，與幾年前發布的 7.5 億美元相比，我們將有適度的成長。

Okay. And that modest increase, that would not reflect the $140 million savings, obviously for no mill expansion, the tailings through right? Just on an apples to apples basis, it will be modestly higher.

好的。這種適度的成長並不能反映出 1.4 億美元的節省，顯然是在不擴建工廠的情況下，尾礦通過了，對嗎？僅在同類產品的基礎上，它會略高一些。

No, no. On an overall basis, including the savings that we have on the mill, but also including the additional capital that we need to spend on the Magino mill, will come in somewhere around the set of the original budget of $750 million, potentially a modest increase.

不，不。總體而言，包括我們在工廠上節省的資金，以及我們需要在 Magino 工廠上花費的額外資本，將在 7.5 億美元的原始預算左右，可能會略有增加。

Okay, got you. Okay, perfect. That's helpful. Thanks. And then you had kind of guided earlier in the year that first, your production would be second-half weighted. With the with the better first half. And then I guess you are expecting and you are guiding, are you still expecting second half production to actually be higher than first half production?

好的，明白了。好的，完美。這很有幫助。謝謝。然後你在今年早些時候得到了某種指導，首先，你的產量將是下半年加權的。上半場表現更好。然後我猜你在期待並且在指導，你仍然期望下半年的產量實際上高於上半年的產量嗎？

I think the biggest driver of this effect with the higher production in the first half was in Mexico. But with the onset of the rainy season in Q3 as well as we're expecting some lower grades in the second half of May. After Randy, we're going to see a potential decrease in Mexico.

我認為上半年產量增加的最大動力來自墨西哥。但隨著第三季雨季的開始以及我們預計 5 月下半月的成績會有所下降。在蘭迪之後，我們將看到墨西哥的潛在下降。

So overall, we're comfortable with the guidance that we have. That said, we're releasing an updated three year guidance and one in September, and we'll continue to monitor that.

總的來說，我們對現有的指導感到滿意。也就是說，我們將發布更新的三年指南和 9 月的指南，我們將繼續關注這一情況。

Okay. That's helpful. And then so I’m clear the let's call it, $756 million CapEx and might be slightly higher than that. That will that number when you update it will it include the cost too expand the Magino Mill to the 15,000 to 20,000 tonne per day rate? I assume not, but just to be sure.

好的。這很有幫助。我很清楚，我們稱之為 7.56 億美元的資本支出，可能會略高於這個數字。當你更新這個數字時，它會包括將 Magino 工廠擴大到每天 15,000 到 20,000 噸的成本嗎？我想不會，但只是為了確定一下。

No, I will not only include the costs to expand the 12,400 tons per day, which is inclusive of bringing the island door into a into the Magino mill.

不，我不僅會包括擴大每天 12,400 噸產能的成本，還包括將島門搬入 Magino 工廠的費用。

Got you. Perfect. And then while I've got you, what is direct interest rate that you just remind me the interest rate on the debt on your facility that you drew down.

明白你了。完美的。然後，當我聯繫到您時，直接利率是多少，您只是提醒我您提取的貸款的債務利率。

It's based on SOFR, but right now, we're paying just over 7% interest rate on the on the credit facility.

它基於 SOFR，但目前我們支付的信貸額度利率略高於 7%。

Okay. Okay. Perfect. And then just wanted to first, Scott R. G. How many holes are YG do you have that hanging wall conglomerate so far?

好的。好的。完美的。然後我想先問一下，Scott R. G. 到目前為止，YG 的掛牆集團有多少洞？

We drilled that as from two drill bays were about 5,000 meters of drilling in approximately 15 holes, and it's ongoing and the first objective of defining the extent of the conglomerates that we're making good progress on. And then those holes will be continue to be targeting the continuity and the plunge of the mineralization within the conglomerate.

我們從兩個鑽台開始鑽探，在大約 15 個孔中鑽探了大約 5,000 米，該工作正在進行中，第一個目標是確定我們正在取得良好進展的企業集團的範圍。然後，這些孔洞將繼續針對礫岩內礦化的連續性和崩落。

So it's looking positive. It's still early days and we're continuing to evaluate the first 15 holes and 5,000 meters.

所以它看起來很積極。現在還為時過早，我們將繼續評估前 15 洞和 5,000 公尺。

Okay. That's perfect. Thank you very much and congratulations on a great quarter.

好的。那很完美。非常感謝並祝賀您度過了一個美好的季度。

Cosmos Chiu, CIBC.

邱宇宙，CIBC。

Thanks, John, Greg, Luke, Scott, and Scott. Again, congrats on a very strong quarter, and congrats on closing the Magino deal. Maybe my first question is on guidance again. Just to confirm, I guess I heard it. So in September coming up, you're going to be putting out three year guidance. Is that on production, cost, and in CapEx?

謝謝約翰、格雷格、盧克、史考特和史考特。再次恭喜一個非常強勁的季度，並恭喜完成 Magino 交易。也許我的第一個問題又是關於指導的。只是為了確認一下，我想我聽到了。因此，在即將到來的九月，您將發布三年指導。是關於生產、成本和資本支出嗎？

That is correct, Cosmos. I mean, the main triggers being the fact that we've obviously acquired Magino and need to incorporate that over the next little bit, as well as the PDA study that we plan to put out in September. So those two items are the main triggers for for putting out that updated three year guidance.

沒錯，宇宙。我的意思是，主要的觸發因素是我們顯然已經收購了 Magino，並且需要在接下來的一段時間內將其納入其中，以及我們計劃在 9 月推出的 PDA 研究。因此，這兩項是發布更新的三年指導的主要觸發因素。

Perfect. And then I guess a broader scenario (technical difficulty)

完美的。然後我猜想一個更廣泛的場景（技術難度）

Sorry, your phone is breaking up.

抱歉，你的手機壞了。

Can you hear me now?

你聽得到我嗎？

Yeah, we missed the question. Yeah, we missed the question. Apologies.

是的，我們錯過了這個問題。是的，我們錯過了這個問題。道歉。

Yeah, sorry. Okay. I'm just wondering which you'll need to get comfort on ahead of the September update. Is it the cost? Is it the grade? Is it milling, mining? Like, which key areas to the extent they can shrink?

是的，抱歉。好的。我只是想知道在 9 月更新之前您需要獲得哪些安慰。是成本嗎？是等級嗎？是銑削、採礦嗎？例如，哪些關鍵領域可以縮小到什麼程度？

Luke here, Cosmos. I think I got your question there. It's a little bit difficult to hear you. But with regards to Magino certainly through the second half of the years that continuous improvement. With regards to mining operations, I mean there was increased performance from Q1 to Q2. We expect that as we continue to move through Q3 and Q4 to get to our ultimate right mining rates by the end of the year at about 64,000 tons per day, which is ore and waste combined.

路克在這裡，科斯莫斯。我想我已經聽到你的問題了。聽你說話有點困難。但就馬吉諾而言，下半年肯定會持續進步。關於挖礦業務，我的意思是從第一季到第二季的業績有所提升。我們預計，隨著第三季和第四季的繼續推進，我們將在年底前達到每天約 64,000 噸的最終採礦率（礦石和廢料的總產量）。

On the milling side, as we mentioned in the call, there's some improvements that we're going to continue to make through the course of Q3. So we will look at that from a processing and gold production point of view to be pretty flat line relative to Q2 results. But then looking to increase that as those improvements are completed in Q3 to see better performance in Q4 towards the end of the year.

在銑削方面，正如我們在電話中提到的，我們將在第三季度繼續進行一些改進。因此，我們將從加工和黃金生產的角度來看，與第二季度的結果相比，這是相當平坦的。但隨著這些改進在第三季完成，我們希望在年底前看到第四季更好的表現。

And our ultimate objective, as we've talked about since we announced this deal, was to we think with these improvements that we're going to make. And with this, because of the arrangement, the crushing conveying arrangement and some some configuration changes to the mill liner design with pulp lifters and operating parameters of that mill itself will get it to 11,200 tons per day by the end of the year or early early into 2025 at the latest.

正如我們宣布這項交易以來所討論的那樣，我們的最終目標是我們認為我們將做出這些改進。這樣，由於佈置、破碎輸送佈置以及帶有紙漿提升器的磨機襯板設計和磨機本身的運行參數的一些配置變化，到年底或年初將達到每天 11,200 噸最遲到2025年。

And maybe I'm just talking about the reporting here, how are you going to be presenting guidance in terms of from a Magino slush Island Gold? Is it going to be as integrated basis, is it going to be one number? Are you going to be giving us separate numbers for the different operations in terms of Island Gold and Magino separate?

也許我只是在這裡談論報告，您將如何提供有關馬吉諾雪泥島黃金的指導？它會成為一個綜合的基礎嗎？您是否打算向我們提供不同業務的獨立數字（即 Island Gold 和 Magino 的獨立數字）？

I mean, we're still working through that. I think the thought processes for 2024, it would be separate because they're running of under separate mills. As we move into 2025 and its offering of integrated mill, we'll look at it as one operation.

我的意思是，我們仍在努力解決這個問題。我認為 2024 年的思考過程將是分開的，因為它們在不同的工廠下運作。當我們進入 2025 年並提供綜合工廠時，我們將把它視為一項業務。

Great. And maybe quickly on Island Gold, just to follow up, I saw that I guess the throughput was lower in Q2 as part of the equipment refresh, I think to hold trucks had to be renewed or replaced. So Luc, maybe if you can talk talk a little bit more about your refreshment cycle here in terms of machinery and equipment on site at Island Gold. Is there anything else planned for Q3 and Q4? And how has that plan changed now with Magino?

偉大的。也許很快在 Island Gold 上，為了跟進，我發現我猜第二季度的吞吐量較低，作為設備更新的一部分，我認為必須更新或更換卡車。Luc，也許您可以多談談 Island Gold 現場機械和設備的茶點週期。第三季和第四季還有其他計畫嗎？現在，馬吉諾的計畫發生了怎樣的變化？

Well, in relation to Magino, no change. Our fleet replacement is really based on operating hours of that equipment. So as those haul trucks reach their maximum operating hours over their lifecycle, then we actually change them out and replace them as part of our fleet replacement strategy with new units.

嗯，就馬吉諾而言，沒有改變。我們的機隊更換實際上是基於該設備的運行時間。因此，當這些運輸卡車在其生命週期內達到最長運行時間時，我們實際上會將它們更換並替換為新設備，作為我們車隊更換策略的一部分。

So the two new units that we were expecting earlier in the quarter ended up arriving later in the quarter, which is what affected the overall mining rates in the quarter. And but we did receive those in early June. We do have two more trucks that are scheduled to arrive this year in the second half of the year, which was also part of our fleet replacement strategy, and that would be the full replacement as far as our requirements for 2024.

因此，我們在本季早些時候預計的兩個新設備最終在本季晚些時候到達，這影響了本季的整體採礦率。但我們確實在六月初收到了這些。我們確實還有兩輛卡車計劃在今年下半年抵達，這也是我們車隊更換策略的一部分，這將是我們 2024 年要求的全面更換。

But obviously, as we move forward and '25 '26 as these older units age out based on operating hours. And we would have new units coming into the mix to replace those older units as part of our fleet replacement strategy. So it's always an ongoing thing, Cosmos, year-over-year, depending on the operating hours of the equipment.

但顯然，隨著我們向前邁進，「25」和「26」這些舊設備會根據運行時間而老化。作為我們機隊更換策略的一部分，我們將有新的單位加入以取代那些舊單位。因此，Cosmos 始終是一項持續的工作，年復一年，取決於設備的運行時間。

And then maybe one last question at YD. I see that you started using some hybrid production scoops. Is that a transition you think you're going to bring on more hybrid scoops? And it seems like they're working out pretty well so far? Is that is that what I'm reading and would it be a full transition later on because I think.

也許還有 YD 的最後一個問題。我看到你開始使用一些混合生產勺。您認為這種轉變會帶來更多混合獨家新聞嗎？到目前為止，他們似乎表現得很好？這就是我正在讀的內容嗎？

Yes, I mean, it's the new phase, obviously, with the technology coming in with that equipment. We did get two new units this year. They've been actually performing very well. Availability has been very high on the plus 80%, which is what we would expect as far as availability on those units.

是的，我的意思是，顯然，隨著該設備所採用的技術，這是一個新階段。今年我們確實得到了兩個新單位。他們實際上表現得非常好。可用性非常高，超過 80%，這正是我們對這些設備的可用性的預期。

They've been very productive for us. So as we continue to move forward again with our fleet replacement strategy for our production scoops at Young-Davidson, we would start to probably lean more towards these hybrid units moving forward.

他們對我們來說非常有成效。因此，當我們繼續推進 Young-Davidson 生產湯匙的車隊更換策略時，我們可能會開始更傾向於這些混合動力裝置。

And does that help on cost as well? I guess it does because the efficiency, if it's going up, that could help with costs as well?

這樣對成本也有幫助嗎？我想是這樣，因為效率如果提高的話，也會有助於降低成本嗎？

Correct. Cosmos, I mean, obviously as these older units start to get each does from our point of view, of operating hours, there's more cost to maintain these units. There's less availability on these units, which obviously affect the overall productivity of the operation.

正確的。我的意思是，很明顯，從我們的角度來看，這些舊設備開始在運行時間方面表現不佳，因此維護這些設備的成本更高。這些設備的可用性較低，這顯然會影響營運的整體生產力。

So by replacing them with new units with higher availability and lower maintenance costs, it improves the overall cost profile of the business.

因此，透過用可用性更高、維護成本更低的新設備取代它們，可以改善企業的整體成本狀況。

Great. Thanks once again, John and team. Those are all the questions I have. Thank you.

偉大的。再次感謝約翰和團隊。這些就是我的所有問題。謝謝。

Thank you.

謝謝。

(Operator Instructions) Mike Parkin, National Bank.

（操作員指示）Mike Parkin，國家銀行。

Hi, guys. Thanks for taking my question. Congrats on the big quarter. Starting at YD, can you just revisit what may do you look for that kind of conglomerate zone? Was that fluke extending a hole and you hit it? Or was there something from like a mag survey or something like that that kind of indicated something might be there? Like what prompted that initial discovery hole?

嗨，大家好。感謝您提出我的問題。恭喜大季度。從 YD 開始，您能否重新審視您可能會尋找什麼類型的團體區域？是不是那個僥倖伸出了一個洞，你就擊中它了？或者是否有類似雜誌調查之類的東西表明可能存在某種東西？是什麼導致了最初的發現漏洞？

And Mike, it's Scott. We would initially profitability, obviously that search for higher grade in around Young-Davidson is a key objective for our exploration group. So we basically compile all historic exploration results and recognize the opportunities from limited sampling that occurred in 2008. Surface drilling to the south of the deposit and the hanging wall. And there was mineralized high-grade mineralization intersected not followed up on.

麥克，是斯科特。我們最初將實現盈利，顯然，在 Young-Davidson 周圍尋找更高品位是我們勘探團隊的關鍵目標。因此，我們基本上匯總了所有歷史勘探結果，並從 2008 年發生的有限採樣中認識到了機會。在礦床和上盤以南進行地面鑽探。且有礦化高品位礦化交叉未跟進。

And there was high grade mineralization intersected not followed up on. So we had drill bays available from underground to initially follow up on that intersection in the hanging wall and sampled from top to bottom of the hole. And sure enough started getting high grade mineralization in conglomerate. It wasn't obvious.

且有高品位礦化體相交，沒有進行後續處理。因此，我們在地下有可用的鑽台，最初可以追蹤上盤的交叉點，並從孔的頂部到底部進行採樣。果然，礫岩中開始出現高品位礦化。這並不明顯。

I mean it's associated with pyrite and not quartz vein like you typically see, but certainly high grade. So that's initially what led us into targeting in the hanging wall.

我的意思是它與黃鐵礦有關，而不是像您通常看到的石英脈，但肯定是高品位的。這就是我們最初瞄準上掛牆的原因。

Okay. And is that kind of taking precedence over like the YD West? I remember that was kind of a bit of a higher grade zone, but obviously down near the bottom of the reserve, given the grades and the proximity to infrastructure It would seem like you would allocate more resources there versus chasing something at depth?

好的。是不是像 YD West 那樣優先？我記得那是一個等級較高的區域，但考慮到等級和靠近基礎設施，顯然位於保護區底部附近。

That's a correct assumption. I think we're taking a balanced approach approach to know continued expansion of the resource. But obviously, given the grades and the proximity of this gold mineralization in the conglomerates to our existing infrastructure. It has now shifted to more of an area of focus for us for the balance of the year.

這是一個正確的假設。我認為我們正在採取平衡的方法來了解資源的持續擴展。但顯然，考慮到企業集團中金礦化的品位以及與我們現有基礎設施的接近程度。現在，它已成為我們今年餘下時間的重點領域。

Okay. And then one last question, maybe a little too early for this one. But yes, obviously, it's just a recent discovery but any thoughts towards metallurgy? Would there mill modifications required to bring that material into mine plan or is the way the mill set up? I see good for that different style of mineralization?

好的。最後一個問題，對於這個問題來說可能有點太早了。但是，是的，顯然，這只是最近的發現，但對冶金有什麼想法嗎？是否需要對工廠進行改造才能將該材料納入採礦計劃，或者工廠的設置方式是這樣嗎？我認為這種不同類型的礦化有好處嗎？

Hi, Mike. It's Luc here. No, I mean, certainly early early stages, but I mean, based on the early results that we've seen, no, we don't expect any real challenges from a metallurgical point of view to be able to treat that treat that news on from that within the existing plant that we have in YD currently.

嗨，麥克。我是盧克。不，我的意思是，當然還處於早期階段，但我的意思是，根據我們所看到的早期結果，不，我們預計從冶金的角度來看，不會遇到任何真正的挑戰，能夠處理該新聞從我們目前在 YD 現有的工廠開始。

What we're seeing is free gold associated with that pyrite. So it's a pyrite in the matrix of the conglomerates with gold around the margin. So I don't anticipate it being an issue from a metallurgical perspective.

我們看到的是與黃鐵礦相關的遊離金。因此，它是位於邊緣有金的礫岩基體中的黃鐵礦。因此，從冶金角度來看，我預計這不會成為一個問題。

And just one last question there. Your current TSF permit and design a comp, is that in excess of your current reserve? I'm just kind of getting at, could you either make it bigger or would you have it additional zone proved to be a size? Would you have to look for potentially another TSF site to store the add potential reserve upside here?

還有最後一個問題。您目前的 TSF 授權和設計方案是否超出您目前的儲備？我只是想問一下，你能把它做得更大嗎，或者你能把它的額外區域證明是一個尺寸嗎？您是否需要尋找另一個潛在的 TSF 網站來儲存此處增加的潛在儲備優勢？

Good problem to have, obviously, but just kind of wondering, longer dated future, what things might look like?

顯然，這是個好問題，但只是想知道，更長的未來，事情會是什麼樣子？

Yes. Hi, Mike. You're still referencing YD I assume, right?

是的。嗨，麥克。我猜你還在引用 YD，對吧？

Yeah.

是的。

So with regards to, yeah, these new finds, I mean, we would certainly have capacity under the existing footprint that we have for the new construction facility that we built a couple of years ago. It certainly handles all of our reserve and resource space and we have some upside to that as well. So capacity wise, we would be okay.

因此，關於這些新發現，我的意思是，我們肯定會在幾年前建造的新建築設施的現有佔地面積下擁有產能。它當然可以處理我們所有的儲備和資源空間，而且我們也有一些優勢。所以就容量而言，我們會沒事的。

Okay. Great. Okay. That's it for me. I had something else. I forgot what I was going to ask. I'll jump back in and see if I remember.

好的。偉大的。好的。對我來說就是這樣。我還有別的事。我忘了我要問什麼了。我會跳回來看看我是否還記得。

Thank you. There are no further questions at this time. This concludes this morning's call. If you have any further question that have not been answered, please feel free to contact Mr. Scott Parsons 416-368-9932, extension 5439.

謝謝。目前沒有其他問題。今天早上的電話會議到此結束。如果您還有任何尚未解答的問題，請隨時聯絡 Scott Parsons 先生，電話：416-368-9932，分機號碼：5439。