Avino Silver & Gold Mines Ltd (ASM) 2021 Q2 法說會逐字稿

This is the conference operator. Welcome to the Avino Silver & Gold Mines Second Quarter 2021 Conference Call and Webcast.

這裡是會議接線員。歡迎參加 Avino Silver & Gold Mines 2021 年第二季電話會議與網路直播。

(Operator Instructions)

（接線員指示）

I would now like to turn the conference over to Jennifer North, Manager of Investor Relations. Please go ahead.

現在我想把會議交給投資人關係經理 Jennifer North。請開始。

Thank you, operator. Good morning, everyone, and welcome to the Avino Silver & Gold Mines Limited Q2 2021 Financial Results Conference Call and Webcast. On the call today, we have the company's President and CEO, David Wolfin; our Chief Financial Officer, Nathan Harte; our Chief Operating Officer, Carlos Rodriguez; and our VP, Technical Services, Peter Latta.

謝謝，接線員。各位早安，歡迎參加 Avino Silver & Gold Mines Limited 2021 年第二季財務結果電話會議與網路直播。今天與會者包括公司總裁兼執行長 David Wolfin；財務長 Nathan Harte；營運長 Carlos Rodriguez；以及技術服務副總裁 Peter Latta。

Before we get started, please note that certain statements made today on this call by the management team may include forward-looking information within the meaning of applicable securities laws. Forward-looking statements are subject to known and unknown risks uncertainties and other factors that may cause the actual results to be materially different to those expressed by or implied by such forward-looking statements.

在開始之前，請注意，管理團隊今天在本次電話會議中所作的某些陳述，可能包含適用證券法所定義的前瞻性資訊。前瞻性陳述受已知與未知風險、不確定性及其他因素影響，可能導致實際結果與該等前瞻性陳述所明示或暗示者存在重大差異。

The company does not intend to and does not assume any obligation to update such forward-looking statements or information other than as required by applicable law. For more information, we refer you to our detailed cautionary note in the presentation accompanying this call or on our press release of yesterday's date.

除非適用法律另有要求，公司無意且不承擔更新該等前瞻性陳述或資訊的任何義務。更多資訊請參閱本次電話會議隨附簡報中的詳細警示說明，或我們於昨日發布的新聞稿。

I would like to remind everyone that this conference call is being recorded and will be available for replay later today. Replay information and the presentation slides accompanying this conference call and webcast will be available on the website. Thank you. I will now turn the call over to Avino's President and CEO, David Wolfin. David?

提醒各位，本次電話會議將被錄音，並於今日稍後提供重播。重播資訊以及本次電話會議與網路直播隨附的簡報投影片將公布於公司網站。謝謝。現在我把電話交給 Avino 總裁兼執行長 David Wolfin。David？

Thanks, Jen. Good morning, everyone, and welcome to Avino's Q2 2021 financial results conference call and webcast. Thanks for joining us. Before we begin, please note that the full financial statements and MD&A are now available on our website.

謝謝，Jen。各位早安，歡迎參加 Avino 2021 年第二季財務結果電話會議與網路直播。感謝各位加入。在開始之前，請注意完整財務報表與 MD&A 現已公布於我們的網站。

On today's call, we will cover the highlights of our second quarter 2021 financial and operating performance and our plans for Q3 2021, then we will open it up for questions. Please note that all figures are stated in U.S. dollars unless otherwise noted.

今天的電話會議將涵蓋我們 2021 年第二季財務與營運表現重點，以及 2021 年第三季的計畫，之後將開放提問。請注意，除非另有說明，所有數字均以美元計價。

During the second quarter, we focused on the necessary work and activities at the mine site that would allow us to resume operations. In addition, we made excellent progress in our exploration program, which was announced during the first quarter of this year.

在第二季期間，我們專注於礦區必要的工作與活動，以便恢復營運。此外，我們在今年第一季宣布的勘探計畫方面也取得了極佳進展。

Prior to the restart of operations, multiple preparations were ongoing, including hiring mine workers, upgrades to improve recoveries at the mill, reestablishing or testing the mill circuits and the cleanup of equipment, grounds and facilities.

在重啟營運之前，多項準備工作同步進行，包括招募礦場工人、進行提升磨礦廠回收率的升級、重新建立或測試磨礦廠迴路，以及清理設備、場地與設施。

In addition, our exploration program yielded an initial test of drill results, which were announced in July. We had drilling results from El Trompo vein, which is a priority target and an offshoot of the Avino vein, which has been one of the feeder veins for the company's milling complex.

此外，我們的勘探計畫取得了初步鑽探測試結果，並已於 7 月公布。我們取得 El Trompo 礦脈的鑽探結果；該礦脈為優先目標，且為 Avino 礦脈的分支，而 Avino 礦脈一直是公司選礦廠系統的主要供礦礦脈之一。

Historically, data indicates that there are high-grade areas within the vein over considerable widths and there is underground infrastructure adjacent to the vein, which would allow access for mining.

歷史資料顯示，該礦脈在相當的厚度範圍內存在高品位區段，且礦脈附近有地下基礎設施，可提供採礦進入條件。

Drilling on the vein has been from surface to confirm continuity of mineralization at depth. We also had receivables from Santiago vein, which is further north in the Avino mining district in an area of narrow veins that average between 1 and 2 meters in width and intersect the San Gonzalo vein with mineralization similar to the historically high grade San Gonzalo silver gold mineralization.

對該礦脈的鑽探係自地表進行，以確認深部礦化的連續性。我們也取得 Santiago 礦脈的應收款項，該礦脈位於 Avino 採礦區更北方，屬於窄脈區域，平均寬度約 1 至 2 公尺，並與 San Gonzalo 礦脈相交，其礦化特徵與歷史上高品位的 San Gonzalo 銀金礦化相似。

The continuity of the mineralization of the Santiago vein is being tested. In addition, we received results from La Malinche vein. The style mineralization intersected resembles the low sulfatization epithermal San Gonzalo vein. The vein may represent a Northwestern fault dislocated extension of the San Gonzalo vein. These results are encouraging as the presence of mineralized material in the La Malinche vein has been shown to extend along the strike distance of 250 meters and to depth of 75 meters from the surface.

目前正在測試 Santiago 礦脈礦化的連續性。此外，我們也收到 La Malinche 礦脈的結果。所交會的礦化型態類似低硫化型（low sulfatization）淺成熱液的 San Gonzalo 礦脈。該礦脈可能代表 San Gonzalo 礦脈向西北方向、受斷層錯移的延伸。這些結果令人鼓舞，因為 La Malinche 礦脈中礦化物質的存在已證實沿走向延伸 250 公尺，並自地表向下延伸至 75 公尺深度。

The 650-meter gap between the La Malinche vein and the Northwest termination of the San Gonzalo vein remains prospective. We are currently infill drilling the oxide tailings resource that sits within our tailings storage facility, TSF #1, we call it. 200 holes were planned, of which 57 holes have -- were drilled by the end of Q2.

La Malinche 礦脈與 San Gonzalo 礦脈西北端之間 650 公尺的空白區仍具勘探潛力。我們目前正在對位於尾礦儲存設施（我們稱為 TSF #1）內的氧化尾礦資源進行加密鑽探，原計畫 200 個鑽孔，截至第二季末已完成 57 個鑽孔。

In addition to these 4 areas of drilling, we are also testing the Nuestra Senora and San Jorge veins. Last week, we were extremely pleased to have announced that operations were resuming at the mine. We had to take necessary steps over the last few months. And although at times, this may have seen arduous that were necessary in order to find have the positive outcome that we have all been waiting for. During the quarter, there was some mining activities at the Avino mine, which included testing of the mill, and resulted in the following production: 3,504 ounces of silver produced, 45 ounces of gold produced, 55,043 pounds of copper produced, all totaling up to 15,477 ounces of silver equivalent.

除上述 4 個鑽探區域外，我們也在測試 Nuestra Senora 與 San Jorge 礦脈。上週，我們非常高興宣布礦場營運正在恢復。過去幾個月我們必須採取必要步驟，雖然有時看起來相當艱鉅，但這些都是為了達成大家一直期待的正面成果。第二季期間，Avino 礦場進行了一些採礦活動，包括磨礦廠測試，並產出如下：白銀 3,504 盎司、黃金 45 盎司、銅 55,043 磅，合計為 15,477 盎司白銀當量。

At the mine, we will continue to take precautionary measures as we begin restarting operations the health and safety of workforce, their families and the communities in which we operate is paramount, and we continue to be dedicated to maintaining a safe work environment.

在礦場方面，隨著我們開始重啟營運，我們將持續採取預防措施。員工、其家人以及我們營運所在社區的健康與安全至關重要，我們也將持續致力於維持安全的工作環境。

We believe that the outlook for silver is positive. And according to the Silver Institute global demand, silver will rise to 1.025 billion ounces in 2021, the highest in 8 years. led by investments in industrial and investment-grade physical silver, i.e., bars and coins.

我們認為白銀前景正面。根據白銀協會（Silver Institute）的全球需求預測，2021 年白銀需求將上升至 10.25 億盎司，為 8 年來最高，主要由工業用途與投資級實物白銀（即銀條與銀幣）的投資所帶動。

The uses of silver are expanding and they are expanding quickly. According to the Midas Touch Consulting, the price will be forced higher by any expansion in new applications of silver. They see expandable markets for silver, use in water treatment, flexible displays, the pharmaceutical industry, 5G communication, RFID, radio frequency identification devices, nanotechnology, silver oxide batteries, high-performance engines, functional clothing and solar technology.

白銀的用途正在擴大，而且擴張速度很快。根據 Midas Touch Consulting 的看法，任何白銀新應用的擴張都將迫使價格走高。他們認為白銀具備可擴展的市場，包括水處理、可撓式顯示器、製藥產業、5G 通訊、RFID（射頻辨識）裝置、奈米科技、氧化銀電池、高性能引擎、機能服飾以及太陽能技術。

As well, exploration activities across Mexico is on the rise with hundreds of thousands of meters from various mining companies are planned across the country with increasing budgets. And the same for Avino as our own drill program was announced and then increased in the first quarter.

此外，墨西哥各地的勘探活動正在升溫，多家礦業公司計畫在全國進行數十萬公尺的鑽探，且預算持續增加。Avino 亦同，我們自有的鑽探計畫已於第一季宣布，並隨後擴大。

Also in the quarter, we continue to make excellent progress with the dry stack tailings storage facility, TSF #2, we call it, which is on privately owned Avino land is permitted and is currently in the final stage prior to commencing construction. The concrete foundations have been poured for the building that will house the filter presses needed.

同樣在本季，我們在乾式堆置尾礦儲存設施（我們稱為 TSF #2）方面持續取得極佳進展。該設施位於 Avino 私有土地上，已取得許可，目前正處於開始施工前的最後階段。用於安置所需濾壓機的建築，其混凝土基礎已完成澆置。

And our expectation was that the project will be completed during the fourth quarter of 2021 or slightly pushed into Q1 2022 due to the unseasonably heavy rainfall. As I have mentioned before, it should add an additional 8 to 10 years of tailings capacity based on the current mill throughput rate. We chose dry stack tailings for its environmentally safety and economic advantages.

我們原先預期該專案將於 2021 年第四季完成，或因反常的強降雨而略延至 2022 年第一季。如我先前所提，依目前磨礦廠處理量計算，該設施可額外增加約 8 至 10 年的尾礦容量。我們選擇乾式堆置尾礦，係基於其環境安全性與經濟優勢。

Dry stack is the most stable form of tailings storage. It reduces water consumption and reduces the storage footprint by requiring less land. Our ESG initiatives continue to move forward as we incorporate principles of our sustainability and social responsibility. During the second quarter, multiple social governance policies were implemented, as well as health and safety plan, which includes a new medical doctor and department on site who inspects different work areas to detect any possible risk to the health of our workers.

乾式堆置是最穩定的尾礦儲存形式。它可降低用水量，並因所需土地較少而縮小儲存占地。我們的 ESG 倡議持續推進，並在納入永續與社會責任原則的同時向前邁進。第二季期間，我們實施了多項社會治理政策，以及健康與安全計畫；其中包括在現場增設新的醫師與部門，巡檢不同工作區域，以偵測任何可能危及員工健康的風險。

We are committed to growing in a sustainable way that supports the well-being of our communities in the environment in which we operate. We believe that the push towards a green economy and the fact that we mine the metals needed will certainly benefit our shareholders going forward. I will now ask Nathan Harte, Avino's Chief Financial Officer, to present the financial results for Q2 2021.

我們致力於以永續的方式成長，在我們營運所在的環境中支持社區福祉。我們相信，推動綠色經濟的趨勢，以及我們開採所需金屬的事實，未來必將使股東受益。現在我將請 Avino 的財務長 Nathan Harte 報告 2021 年第二季的財務結果。

Thank you, David. It's my pleasure to be on the call, and I would like to welcome everyone who has joined us and is viewing our presentation today. As you can imagine, Avino's financial results were impacted by lack of production at the Avino mine.

謝謝你，David。很高興能參與這通電話會議，也歡迎今天加入並觀看我們簡報的各位。如各位所能想像，Avino 的財務結果受到 Avino 礦場缺乏產量的影響。

Having said that, we exited the second quarter in an extremely strong financial position. Our cash balance at the end of the quarter was $26.8 million, which represents a significant increase when compared to $12 million at the beginning of the year. Working capital at quarter end was $30.4 million compared to $15 million at the beginning of the year, which represents an increase of over 100%.

儘管如此，我們在第二季結束時的財務狀況極為強勁。季末現金餘額為 2,680 萬美元，較年初的 1,200 萬美元大幅增加。季末營運資金為 3,040 萬美元，較年初的 1,500 萬美元增加，增幅超過 100%。

We continued with our plans to reduce debt during the first half of the year, having lowered debt liabilities by a further $1.7 million for the year-to-date June 30, 2021. This brings total debt reduction since the beginning of 2020 to just under $9 million, and we are happy to report that we expect to be debt free other than the usual payables and equipment leases by the end of Q3 2021. This will allow Avino to maintain significant financial flexibility moving forward.

我們在上半年持續推進減債計畫，截至 2021 年 6 月 30 日的年初至今，債務負債再降低 170 萬美元。這使得自 2020 年初以來的總減債金額接近 900 萬美元；我們也很高興報告，預期在 2021 年第三季末，除了一般應付帳款與設備租賃外，我們將可達到零負債。這將使 Avino 在未來維持顯著的財務彈性。

During Q2, no revenues were generated and as such, no silver equivalent ounces were sold. Avino reported mine operating losses of $1 million for the second quarter, which is made up of $500,000 in standby care and maintenance costs and $500,000 in depreciation and depletion.

第二季未產生任何營收，因此也未出售任何白銀當量盎司。Avino 第二季礦山營運虧損為 100 萬美元，其中包括 50 萬美元的待命照護與維護成本，以及 50 萬美元的折舊與耗竭。

Losses before interest, taxes, depreciation and amortization were $2.9 million compared to $800,000 in Q2 of 2020. Adjusted losses for Q2 2021 were $800,000 compared to adjusted earnings of $2 million in Q2 of 2020. We reported net losses from after taxes from continuing operations of $2.7 million or $0.03 per share for the second quarter, which includes noncash losses of $1.2 million related to foreign exchange movements and $100,000 relating to the realized loss on the exercise of warrants in which Avino received proceeds of around $100,000 during the quarter.

息稅折舊攤銷前虧損為 290 萬美元，相較於 2020 年第二季的 80 萬美元。2021 年第二季調整後虧損為 80 萬美元，相較於 2020 年第二季調整後獲利 200 萬美元。我們報告持續營運稅後淨虧損 270 萬美元，或每股 0.03 美元；其中包含與外匯變動相關的 120 萬美元非現金損失，以及 10 萬美元與認股權證行使之已實現損失相關（本季 Avino 因此收到約 10 萬美元款項）。

Capital expenditures for the first 6 months of the year were $1 million. With the strike action, the company took specific measures to limit unnecessary capital expenditures during the first half of the year other than for exploration activities, which have ramped up since February.

今年前 6 個月的資本支出為 100 萬美元。由於罷工行動，公司在上半年採取特定措施以限制不必要的資本支出，除勘探活動外；勘探活動自 2 月以來已加速推進。

All necessary projects and upgrades have continued on as planned, which includes the new dry stack tailing storage facility. We do expect the capital and exploration expenditures will increase over the coming quarters. as we continue to move forward with the increased exploration as well as the ongoing tailings upgrades.

所有必要的專案與升級均按計畫持續進行，其中包括新的乾式堆疊尾礦儲存設施。我們預期未來幾季資本與勘探支出將增加，因為我們將持續推進更大規模的勘探，以及正在進行的尾礦升級。

Finally, I want to reiterate the strength of Avino's financial position. We continued with our plans in reducing debt. And at the end of the quarter, we maintained over $30 million in liquidity, including our investment holdings. With cash representing over 8x our debt liabilities at the end of the quarter, we are continuing with our plans to add value for our shareholders and our stakeholders throughout the rest of 2021. I will now hand it back over to David for a discussion on exploration as well as what Avino has planned for the rest of the year.

最後，我想再次強調 Avino 財務狀況的強勁。我們持續推進減債計畫。季末我們維持超過 3,000 萬美元的流動性（包含投資持有部位）。季末現金約為債務負債的 8 倍以上；我們將在 2021 年剩餘期間持續推進為股東與利害關係人創造價值的計畫。現在我把時間交還給 David，討論勘探以及 Avino 在今年剩餘時間的規劃。

Thank you, Nathan. The exploration program is ongoing and is targeting several areas of the property, including the Avino vein, the Santiago vein and the El Trompo vein. To date, 9,200 meters have been drilled. The breakdown of the drilling is as follows: 2,469 meters at the Avino vein, 1,717 meters at the Santiago vein, 1,568 meters at the El Trompo vein, 820 meters at the La Malinche vein, 340 meters at the Neustra Senora vein, 133 meters at the San Jorge vein, 2,160 meters at the oxide tailings.

謝謝你，Nathan。勘探計畫正在進行中，目標鎖定礦區內數個區域，包括 Avino 礦脈、Santiago 礦脈以及 El Trompo 礦脈。截至目前已鑽探 9,200 公尺。鑽探分布如下：Avino 礦脈 2,469 公尺、Santiago 礦脈 1,717 公尺、El Trompo 礦脈 1,568 公尺、La Malinche 礦脈 820 公尺、Neustra Senora 礦脈 340 公尺、San Jorge 礦脈 133 公尺，以及氧化尾礦 2,160 公尺。

We are currently waiting for additional assays to be received. Hiring is ongoing at the mine as we are looking to ensure we are getting closer to the amount of workers at the mine that we had prior to the shutdown. The dry stack tailings project is going well with long lead items on site now, prefab building to be erected soon with concrete having already been poured.

我們目前正在等待收到更多化驗結果。礦場的招募仍在進行中，因為我們希望確保礦場人力逐步接近停工前的水準。乾式堆疊尾礦專案進展良好，長交期項目目前已到場，預製建物即將架設，混凝土也已完成澆置。

Improvements to Circuit 4 are ongoing that will improve gold and silver recoveries through the use of new equipment. Avino main focus for the next quarter is to ramp up the production levels and operating activities at the mine and to keep moving forward with the exploration program.

第 4 回路（Circuit 4）的改善工程正在進行中，將透過新設備提升黃金與白銀回收率。Avino 下一季的主要重點是提升礦場產量與營運活動，並持續推進勘探計畫。

We are focused on locating new mineralized zones within the property and confirming continuity of mineralization in the current Avino ET production area. Finally, the health and safety of our employees and communities is always top priority, and we continue to analyze situations in Vancouver and Mexico and collaborate together to make the best decisions that are the most beneficial to the widest group, including all our stakeholders. As of this past Monday, the Canadian land border will be opened to fully vaccinated Americans and further opening up to the international community starting in September.

我們專注於在礦區內尋找新的礦化帶，並確認目前 Avino ET 生產區的礦化連續性。最後，員工與社區的健康與安全始終是最優先事項；我們持續分析溫哥華與墨西哥的情勢並共同協作，以做出對最廣泛群體（包括所有利害關係人）最有利的決策。自本週一起，加拿大陸路邊境將對已完成疫苗接種的美國人開放，並將自 9 月起進一步對國際社群開放。

So this is a great step forward as we look to put the pandemic behind us. We were pleased with the progress we made in Q2, and we look forward to an even more productive third quarter and remaining 2021. We would now like to move the call to the question-and-answer portion. Operator?

因此，這是我們朝著把疫情拋在身後邁出的重要一步。我們對第二季取得的進展感到滿意，也期待第三季以及 2021 年剩餘時間能更具生產力。接下來我們將進入問答環節。接線員？

(Operator Instructions)

（接線員指示）

The first question comes from Heiko Ihle with H.C. Wainright.

第一個問題來自 H.C. Wainright 的 Heiko Ihle。

Can you hear me okay?

你們聽得到我嗎？

Yes.

聽得到。

Good news. You know -- so we started operations on August 3rd. So we're just over a week into production that is in the public domain. Can you just venture a bit of a guess with your current throughput, recovery rate and production level at sites?

好消息。你知道——我們在 8 月 3 日恢復營運。所以我們公開資訊所涵蓋的投產時間才剛超過一週。你們能否就目前的處理量、回收率以及各場址的產量水準，稍微推估一下？

And if you want to be so kind, maybe you could go over the trajectory on how you see the remainder of the month and September?

另外如果方便的話，能否談談你們對本月剩餘時間以及 9 月的走勢／軌跡的看法？

And then just building on all of that, any idea how much cash -- cash money was spent at the site in the last 30 days?

再延伸上述問題，過去 30 天在現場大概花了多少現金——現金支出？

Okay. I'm going to turn that to Peter Latta, VP of Technical Services, and Nathan to talk about the cash portion. Go ahead, Pete.

好的。我會把這個問題交給技術服務副總裁 Peter Latta，以及 Nathan 來談現金的部分。Pete，你先請。

Thanks so much, David. Yes, Heiko, so just we're just getting kind of the initial reports back from this week, and we are ramping up. So I mean, are you looking for specific numbers or what kind of answer can I give you?

非常感謝，David。是的，Heiko，我們這週才剛收到一些初步回報，我們正在逐步拉升產能。所以——你是想要具體數字，還是我該怎麼回答比較好？

If you can do specific numbers, that will be wonderful. It's more than I asked for, but I wasn't bold enough to ask for it. So if you have specific numbers, that would be amazing.

如果你能提供具體數字，那就太好了。這比我原本問的還多，但我剛才不夠大膽不敢直接問。所以如果你有具體數字，那會非常棒。

No. So I mean we're right now at about 1,000 tonnes per day. So -- and we're looking to wrap up to what that was pre-COVID, which is around the 1,800 to 2,000 mark.

好的。也就是說，我們目前大約是每天 1,000 噸。所以——我們希望逐步拉升到 COVID 之前的水準，大約在 1,800 到 2,000（噸/日）左右。

Okay. And so what's sort of key trajectory for that ramp-up?

好的。那麼，這次爬坡增產的關鍵進度路徑大概是什麼？

We're hoping to do that in the month of August.

我們希望在八月份完成。

All in all, there's still time. Perfect. And then, yes, just not much how much cash was -- but by the way, that's extremely helpful. And then so grades, more or less, are looking like pre-COVID grass as well? Or are you high-grading a bit? Or are you trying to get through the veins? Is there anything that's sufficient surprise us?

總體來說，時間還是夠的。很好。另外，是的，現金方面其實沒有太多——不過順帶一提，這非常有幫助。那麼品位大致也看起來回到 COVID 之前的水準了嗎？還是你們有稍微挑高品位（high-grading）？或是你們在嘗試把礦脈打通？有沒有什麼可能讓我們感到意外的地方？

No. I mean, we're following a mine schedule and a plan that was laid out last year, and is updated. We happen to be in a high-grade area, but that's not because we're doing any type of high grading or anything. We're just following the sequence that's planned basically going from bottom to top. And we can talk more about that if you're interested. But the grades are quite good, just the [sequence].

沒有。我的意思是，我們是依照去年制定並已更新的礦山排程與計畫在執行。我們剛好位於一個高品位區域，但那不是因為我們在做任何挑高品位之類的事情。我們基本上只是按照既定的採掘順序，從下往上推進。如果你有興趣，我們可以再多談一些。不過品位確實相當不錯，就只是依照這個［順序］。

Got it. Perfect. Yes, and then just a cash question. I guess that's a Nate thing. That was extremely detailed, and I think it really helps investors and it certainly helps us.

了解。很好。是的，然後就是一個現金問題。我想那是 Nate 的部分。那段說明非常詳細，我覺得對投資人很有幫助，對我們當然也很有幫助。

Yes, Nathan here. So in addition, obviously, there wasn't a bit of lag as we ramp up before we see revenues come back in. So I would say we probably spent about an additional $1 million in bringing that up but we'll definitely recoup that fairly quickly, where we do -- will have couple of sales in August and they're getting paid on those there soon.

是的，我是 Nathan。補充一下，顯然在我們爬坡增產、收入回流之前會有一點時間落差。所以我會說，我們為了把產能拉上來大概多花了約 100 萬美元，但我們肯定會很快回收，因為我們在八月會有幾筆銷售，而且那些款項很快就會入帳。

Great. And then just a little follow-up for Nate. And just thinking out loud a little bit. I mean your balance sheet at present is stronger than it's ever really been. I'm talking when I say now, I'm talking about 2021. Looking ahead a bit and again, as much as you're willing to disclose here, have your considerations for a minimum cash balance, minimum working capital, et cetera, change compared to what you would have thought in 2020 or before even?

很好。再追問 Nate 一下，我也稍微把想法講出來。你們目前的資產負債表是有史以來最強的。我說的「現在」是指 2021 年。往前看一點，並且在你願意揭露的範圍內，你們對最低現金餘額、最低營運資金等的考量，和你們在 2020 年或更早之前的想法相比，有所改變嗎？

No, that's a fair question. I think our view is about balance sheet or -- obviously, we think very highly of where it is right now, and we'd like to keep it there. So I would say, yes -- I mean, to answer the question, I guess, yes, probably our minimum cash balance has gone up a bit just based on where the company is now versus where it was sort of 18 or 16 months ago. But at the same time, we want to make sure that we're putting our cash to work for our shareholders.

不，這是個合理的問題。我想我們對資產負債表的看法——顯然，我們非常肯定目前的狀況，也希望能維持在這個水準。所以我會說，是的——我的意思是，要回答這個問題，我想是的，我們的最低現金餘額可能確實提高了一些，主要是基於公司現在的狀況相較於大約 18 或 16 個月前已不同。但同時，我們也希望確保把現金有效運用，為股東創造價值。

The next question comes from Matthew O'Keefe with Cantor Fitzgerald.

下一個問題來自 Cantor Fitzgerald 的 Matthew O'Keefe。

Great to see you back in production. On some of the other programs that you've got going on, the exploration is going well. On the dry stack tailings project, when is that -- is that expected to be completed by the end of the year? When is that expected to be completed?

很高興看到你們恢復生產。關於你們正在進行的其他計畫，勘探進展良好。就乾式堆疊尾礦（dry stack tailings）專案而言，那個——預計會在年底前完成嗎？預計什麼時候完成？

Yes, is expected to be completed by the end of the year. But there has been some delays because of the heavy rainfall. It's possible it could be Q1 next year, but we're shooting for the end of this year.

是的，預計在年底前完成。但因為豪雨造成了一些延誤。也有可能會延到明年第一季，但我們的目標仍是今年底。

Okay. Great. And then are there other -- any more mill improvements that you're working on? If so, can you sort of talk about that? And also on the mine development front, what's the plan there?

好的，很好。那麼你們還有沒有在做其他——更多的選礦廠改善？如果有，能否大致談談？另外在礦山開發方面，計畫是什麼？

Sure. I'll let Peter Latta take that. He can talk about what's going on in the mill and the mine development. Go ahead, Pete.

當然。我讓 Peter Latta 來回答。他可以談談選礦廠和礦山開發的進展。請說，Pete。

Thanks, Matthew. Yes, we are looking at a few different projects in the mill for sure. We've added some additional recovery equipment, and that's been completed. We're looking at an automation project that we've kind of just kicked off, which is good to try and modernize a lot of our automation and tie everything together with kind of a central DCS system, which is fantastic, which should help reduce both costs and hopefully improve recoveries.

謝謝你，Matthew。是的，我們確實在選礦廠評估幾個不同的專案。我們已新增一些額外的回收設備，且已完成。我們也在看一個自動化專案，剛剛啟動，目的是讓我們的自動化系統更現代化，並透過一個中央 DCS 系統把所有東西串接起來，這非常棒，應該能同時降低成本並希望提升回收率。

We're also looking at some a variety of different types of projects to increase efficiency. And I'm happy to talk about those in more detail, maybe offline.

我們也在評估各式各樣不同類型的專案以提升效率。如果你願意，我也很樂意之後私下再更詳細說明。

Okay. No, that's good to know. And within the mine, are there -- there's still some development there to allow for increased capacity? Is that correct?

好的，不錯，了解了。那在礦山內部，是否——仍有一些開發工作可以讓產能提升？是這樣嗎？

Yes. That's kind of what we talked about last time before we ended up shutting down And that work done. That's that extra. That's to bring us up from the 18,00 to 2,000 tonnes per day that we saw before pre-COVID to that 2,500 tonne per day limit. And we do need to do that underground development. And it sits at about 350 meters of development required of that underground development to make for that one-way traffic. And I think that was something we were talking about last year.

是的。這就是我們上次在停產前談到的內容，而那項工作已完成。那是額外的工作，目的是把我們從 COVID 前看到的每日 1,800 到 2,000 噸提升到每日 2,500 噸的上限。我們確實需要進行那段地下開發。目前估計需要約 350 公尺的地下開發，才能實現單向通行。我想這也是我們去年談過的事情。

So will you pick that up now? And -- or what would be the time line to get up to that increase?

所以你們現在會把那個撿回來做嗎？以及——要達到那個提升的時間表會是什麼？

Yes. I mean we're going to see how the ramp-up goes. Carlos is busy bringing back more underground workers and making sure that we can get mine up to the throughput first, the pre-COVID throughput. And then we'll look at the underground (inaudible) project.

是的。我的意思是，我們會先看看爬坡增產的進展。Carlos 正忙著召回更多地下作業人員，並確保我們能先把礦山吞吐量拉回到 COVID 前的吞吐量。之後我們再來看那個地下（聽不清）專案。

Okay. Okay. That's good.

好的。好的。了解，這很好。

We awarded some new underground equipment and larger SCOOP trams.

我們也採購了一些新的地下設備以及更大型的鏟運機（SCOOP trams）。

(Operator Instructions)

（接線員指示）

Next question comes from Jake Sekelsky with Alliance Global Partners.

下一個問題來自 Alliance Global Partners 的 Jake Sekelsky。

Just a quick one on TSF #2, sort of the timing on that. And it sounds like it was pushed to Q4 or early 2022. What does existing capacity look like now? And are you guys fairly comfortable that if there are any more delays, we shouldn't see any interruption at all in production?

關於 TSF #2 我有個簡短問題，主要是時程方面。聽起來它被推遲到第四季或 2022 年初。那目前既有容量看起來如何？如果再有任何延誤，你們是否相當有把握不會對生產造成任何中斷？

Yes. There's still capacity in the open pit. So at current rate, yes, it should be fine there. But also we have some capacity left in TSF #1 and which won't impact the drilling that's going on there. And then another option, if we wanted to increase the size of TSF #1, we could consider putting in some safety barriers and then we could have more capacity there. So we don't see any interruption between now and getting TSF #2 completed.

是的。露天礦坑仍有容量。所以以目前的速率來看，是沒問題的。此外，TSF #1 也還有一些剩餘容量，而且不會影響目前在那裡進行的鑽探。再者，如果我們想要擴大 TSF #1 的規模，我們也可以考慮設置一些安全屏障，那樣就能有更多容量。因此我們不認為從現在到 TSF #2 完工之間會有任何中斷。

Okay. That's good. So you definitely have some flexibility if you get -- that was all from my end.

好的，這很好。所以如果你們遇到——你們確實有一些彈性。我的問題就到這裡。

(Operator Instructions)

（接線員指示）

This concludes the question-and-answer session. I would like to turn the conference back over to the presenters for any closing remarks.

問答環節到此結束。我想把電話會議交回給簡報人員，請他們做任何結語。

Thank you, everyone, for taking the time to listen today. We're looking forward to ramping up production now that operations have resumed. We appreciate all of our stakeholders' patience and support. We're excited for the remainder of 2021 and for Avino. Thanks again for listening, and have a great day.

感謝各位今天撥冗收聽。我們很期待在營運恢復後開始爬坡增產。我們感謝所有利害關係人的耐心與支持。我們對 2021 年剩餘時間以及 Avino 的發展感到振奮。再次感謝收聽，祝各位有美好的一天。

This concludes today's conference call. You may disconnect your lines. Thank you for participating, and have a pleasant day.

今天的電話會議到此結束。您可以掛斷電話線。感謝您的參與，祝您有愉快的一天。