Compania de Minas Buenaventura SAA (BVN) 2024 Q3 法說會逐字稿

Good day, ladies and gentlemen. Welcome to the Compañía de Minas Buenaventura third-quarter 2024 earnings results conference call. (Operator Instructions) And please note that this call is being recorded.

女士們、先生們，大家好。歡迎參加米納斯布埃納文圖拉公司 2024 年第三季收益業績電話會議。（操作員指示）請注意，本次通話正在錄音。

I would now like to introduce your host for today's call, Mr. Gabriel Salas, Investor Relations Officer. Mr. Salas, you may begin.

現在，我想介紹今天電話會議的主持人、投資者關係官加布里埃爾·薩拉斯先生。薩拉斯先生，您可以開始啦。

Good morning, everyone, and thank you for joining us today to discuss our third-quarter 2024 results. Today's discussion will be led by Mr. Leandro Garcia, Chief Executive Officer. Also joining our call today and available for your questions are Mr. Daniel Dominguez, Chief Financial Officer; Mr. Juan Carlos Ortiz, Vice President of Operations; Mr. Aldo Massa, Vice President of Business Development and Commercial; Mr. Alejandro Hermoza, Vice President of Sustainability; Mr. Renzo Macher, Vice President of Projects; Mr. Juan Carlos Salazar, Vice President of Geology and Explorations; Mr. Roque Benavides, Chairman; and Mr. Raul Benavides, Director.

大家早安，感謝您今天加入我們討論我們的 2024 年第三季業績。今天的討論將由執行長 Leandro Garcia 先生主持。今天參加我們電話會議並回答您問題的還有財務長 Daniel Dominguez 先生；營運副總裁 Juan Carlos Ortiz 先生；業務發展與商務副總裁Aldo Massa先生；永續發展副總裁 Alejandro Hermoza 先生；專案副總裁 Renzo Macher 先生；地質與勘探副總裁 Juan Carlos Salazar 先生；羅克·貝納維德斯先生，主席；以及主任 Raul Benavides 先生。

Before I hand our call over, let me first touch on a few items. On Buenaventura's website, you will find our press release that was posted yesterday after the market closed. Please note that today's remarks include forward-looking statements that are based on management's current views and assumptions. While management believes that its assumptions, expectations and projections are reasonable in view of the currently available information, you are cautioned not to place undue reliance on these forward-looking statements. I encourage you to read the full disclosure concerning forward-looking statements within the earnings results press release issued on October 30, 2024.

在轉達我們的呼籲之前，讓我先談談一些事情。在 Buenaventura 的網站上，您可以看到我們昨天市場收盤後發布的新聞稿。請注意，今天的評論包括基於管理層當前觀點和假設的前瞻性陳述。儘管管理層認為根據目前可用的信息，其假設、預期和預測是合理的，但請注意不要過度依賴這些前瞻性陳述。我鼓勵您閱讀 2024 年 10 月 30 日發布的收益結果新聞稿中有關前瞻性陳述的完整揭露。

Let me now turn the call to Mr. Leandro Garcia.

現在我把電話轉給萊安德羅·加西亞先生。

Thank you, Gabriel. Good morning to all, and thank you for joining us today to discuss the quarterly results of Compañía de Minas Buenaventura. On the slide 2, this is our cautionary statement, important information that I encourage you to read.

謝謝你，加布里埃爾。大家早安，感謝大家今天加入我們討論米納斯布埃納文圖拉公司的季度業績。在投影片 2 上，這是我們的警告聲明，也是我鼓勵您閱讀的重要資訊。

Today, we will be discussing our performance for the third quarter of 2024, highlighting key achievements and strategies moving forward. After the presentation, we will be available for our question-and-answer session, where our team will be happy to answer your questions.

今天，我們將討論 2024 年第三季的業績，重點介紹主要成就和未來策略。演示結束後，我們將舉行問答環節，我們的團隊很樂意回答您的問題。

The next slide, please. This is a slide I would like to highlight a few key areas that contributed to our strong third-quarter 2024 results. Our EBITDA from direct operations for the third quarter has increased to $132 million compared to the previous year, primarily driven by stronger sales from Yumpag and El Brocal. This performance is also reflected in a higher EBITDA margin of 40% compared to 25% in the previous year.

請翻到下一張投影片。這張投影片中，我想重點介紹促成我們 2024 年第三季業績強勁的幾個關鍵領域。我們第三季直接營運的 EBITDA 與上年相比增加至 1.32 億美元，主要得益於 Yumpag 和 El Brocal 銷售強勁成長。這一業績也反映在 EBITDA 利潤率從上年的 25% 上升至 40%。

Third-quarter 2024 net income, including the sale of Chaupiloma Royalty Company reached $237 million, compared to $28 million net loss for the same period in 2023. Copper production decreased 9% year over year in third quarter 2023, copper production of El Brocal has increased due to higher estimated copper content mine from the open pit transactional port. In the third quarter of 2024, silver production reached 4.4 million ounces, a significant increase compared to the 1.9 million ounces produced during the same period last year. Of this total 3.2 million ounces came from Uchucchacua and Yumpag.

包括出售 Chaupiloma Royalty Company 在內的 2024 年第三季淨收入達到 2.37 億美元，而 2023 年同期淨虧損為 2,800 萬美元。2023 年第三季銅產量年減 9%，由於露天交易港口估計礦場銅含量較高，El Brocal 的銅產量增加。2024年第三季度，白銀產量達440萬盎司，與去年同期的190萬盎司相比大幅成長。其中，有 320 萬盎司產自 Uchucchacua 和 Yumpag。

Coal production increased 7% year over year, mainly explained due to increased output at Julcani and La Zanja. We are pleased to share that Buenaventura completed the sale of its Chaupiloma Royalty Company to Franco-Nevada for $210 million during third quarter 2024. Buenaventura's CapEx is in third quarter 2024, totaled $98 million, which includes $77 million allocated to the San Gabriel project, primarily allocated to the mines water down and to power line construction. Buenaventura's credit rating was upgraded by Moody's to B1 with a positive outlook. Moody's cited Buenaventura's operational improvement driven by increased production from its El Brocal, Yumpag, Uchucchacua mine as well as efficiency in cost reduction, cash flow generation and conservative liquidity management as key factor.

煤炭產量年增 7%，主要原因是 Julcani 和 La Zanja 產量增加。我們很高興地宣布，Buenaventura 於 2024 年第三季以 2.1 億美元的價格將其 Chaupiloma Royalty Company 出售給 Franco-Nevada。Buenaventura 的資本支出在 2024 年第三季總計 9,800 萬美元，其中包括分配給聖加布里埃爾計畫的 7,700 萬美元，主要用於礦井水利和電力線路建設。穆迪將布埃納文圖拉的信用評等上調至 B1，展望正面。穆迪指出，布埃納文圖拉營運狀況的改善主要得益於其 El Brocal、Yumpag 和 Uchucchacua 礦山產量的增加，以及成本降低、現金流產生和保守的流動性管理的效率。

Our cash position reached $458 million with a total debt of $675 million. We continue deleveraging the company reaching a net debt-to-EBITDA ratio of 0.5 times, lowest in years and within our targeted range.

我們的現金狀況達到 4.58 億美元，總負債為 6.75 億美元。我們繼續對公司進行去槓桿，使淨債務與 EBITDA 比率達到 0.5 倍，為多年來的最低水平，且在我們的目標範圍內。

Moving on to our cost structure in slide 4. The third-quarter 2024 all-in sustaining costs have been reduced by 69% year over year. This reduction is primarily attributed to the increased silver contribution from Uchucchacua and Yumpag.

繼續討論投影片 4 中的成本結構。2024 年第三季總維持成本年減了 69%。這種減少主要歸因於 Uchucchacua 和 Yumpag 的銀貢獻增加。

Moving on to cost applicable to sales trend. As you can see, corporate cash decreased in the quarter, mainly due to an increase in volume processed during the quarter, resulting from a stockpile ore process, the cash is in line with the third quarter 2023 figure. Silver cash has decreased year over year, primarily driven by the higher contribution of silver ounces from Uchucchacua and Yumpag. However, it has increased quarter to quarter due to higher exploration expenses and increased cost at Uchucchacua and Yumpag related to ground support works. Gold cash increased year over year, primarily driven by lower grades at Tambomayo and Orcopampa.

繼續討論適用於銷售趨勢的成本。如您所見，本季企業現金減少，主要是由於本季處理量增加，由於庫存礦石處理導致，現金與 2023 年第三季的數字一致。白銀現金年減，主要由於 Uchucchacua 和 Yumpag 的白銀盎司貢獻增加。然而，由於勘探費用增加以及 Uchucchacua 和 Yumpag 地面支援工程相關成本的增加，其收入逐季增加。黃金現金年增，主要由於坦博馬約和奧爾科潘帕黃金品位較低。

On the next slide, we will present our free cash flow generation. The third quarter 2024 cash position increased during the quarter, driven mainly by the strong performance of El Brocal, Uchucchacua and Yumpag. The sale of Chaupiloma for $220 million and dividends received from silverware. In addition to these drivers, the EBITDA to cash through the free cash flow reconciliation reflects Buenaventura -- Buenaventura current growth phase with significant CapEx investment related to San Gabriel.

在下一張投影片中，我們將展示我們的自由現金流的產生。2024 年第三季的現金狀況在本季有所增加，主要得益於 El Brocal、Uchucchacua 和 Yumpag 的強勁表​​現。以 2.2 億美元的價格出售 Chaupiloma 並從銀器中獲得股息。除了這些驅動因素之外，透過自由現金流調節而實現的 EBITDA 與現金的比率反映了布埃納文圖拉——布埃納文圖拉目前的成長階段以及與聖加布里埃爾相關的大量資本支出投資。

Moving on to the slide 6. This slide shows the San Gabriel project, cumulative progress, reaching 65% overall completion by the third quarter 2024, primarily driven by the advancements in the water dam and the power line construction. A key milestone, we are closely monitoring for the next quarter is the completion of the pipeline works.

轉到投影片 6。這張幻燈片展示了聖加布里埃爾工程的累積進度，到 2024 年第三季將整體完成 65%，這主要得益於水壩和電力線建設的進展。我們正在密切關注下個季度的一個重要里程碑是管道工程的完成。

Out of the $650 million total CapEx, we have already executed $250 million and committed close to $230 million, allowing us to derisk the project completion at and any cost increase. 100% of the structural steel is now on site, a major contract for planning and interferencing has been awarded. On the next slide, we are showing the processing plans progress that will operate 3,000 tons per day. Currently, the SAG and Ball mills mechanical works are at 60%. The primary crusher mechanical works at 90%. And finally, the CIL tank's mechanical works are at 65%.

在 6.5 億美元的總資本支出中，我們已經執行了 2.5 億美元，並承諾了近 2.3 億美元，這使我們能夠降低專案完成的風險和任何成本增加。目前，100% 的結構鋼已到達現場，一項主要的規劃和乾擾合約已經授予。在下一張投影片中，我們展示了每天處理 3,000 噸的加工計畫進度。目前，半自磨機和球磨機的機械工作量為 60%。初級破碎機機械運轉率達90%。最後，CIL罐的機械性質達到65％。

Moving on to slide 8. We present the progress at various facilities, essential for the underground mine development, including the North Ramp portal, fan installations and the shotcrete plant.

轉到投影片 8。我們展示了地下礦開發所必需的各種設施的進展情況，包括北坡道入口、風扇裝置和噴射混凝土廠。

Moving to slide 9. We are showing the progress at various infrastructure of the project. What we would consider a filtered tailing plant, the water dam, the power line and the campsite 100% completed.

移至幻燈片 9。我們正在展示該項目各個基礎設施的進展。我們認為的尾礦過濾廠、水壩、電線和露營地已經 100% 完工。

Finally, to our closing remarks, I would like to finish with the presentation with these comments. First, Uchucchacua exceeded expectations, reaching an average throughput of 1,500 tons per day earlier than expected, while Yumpag maintained a steady production and 1,000 tons per day, delivering 3.2 million ounces of silver in the third quarter. Second at El Brocal, we successfully processed 100% of the stockpile ore enabled us to meet our production targets for the first nine months 2024.

最後，在我們的結束語中，我想用這些評論來結束我們的演講。首先，Uchucchacua超出預期，比預期提前達到平均日產量1500噸；而Yumpag則保持穩定產量，日產量1000噸，第三季度交付了320萬盎司白銀。其次，在 El Brocal，我們成功處理了 100% 的庫存礦石，使我們能夠實現 2024 年前 9 個月的生產目標。

The underground mine reached a record average throughput of approximately 12,000 tons per day during the quarter. Third, the San Gabriel project achieved a 65% overall progress, meeting our planned targets. Buenaventura continues derisking the project by completing engineering and procurement. And lastly, I am pleased to report a record low leverage ratio of 0.5 times for the quarter, driven by a strong EBITDA growth, the sale of non-core assets and effective debt management.

本季度，地下礦場的平均產量達到了創紀錄的每天約 12,000 噸。第三，聖蓋博計畫整體進度65%，達到了計畫目標。布埃納文圖拉透過完成工程和採購繼續降低專案風險。最後，我很高興地報告，本季的槓桿率創下 0.5 倍的歷史新低，這得益於強勁的 EBITDA 成長、非核心資產的出售和有效的債務管理。

Thank you for your attention, and I will hand the call back to the operator to open the line for questions. Operator, please go ahead.

感謝您的關注，我會將電話交回給接線員，以便開通熱線來回答您的問題。接線員，請繼續。

(Operator Instructions) Cesar Perez-Novoa, BTG Pactual.

(操作員指令) Cesar Perez-Novoa，BTG Pactual。

Thank you. And congratulations for your third quarter, really outstanding results and a lot of progress. If I may have three questions. The first one relates to El Brocal. I believe the company is on track to achieve average mining rates of around 11,000 metric tons in 2024.

謝謝。恭喜你們第三季的業績，取得了非常出色的成績和很大的進步。我可以問三個問題。第一個與 El Brocal 有關。我相信該公司預計在 2024 年實現約 11,000 公噸的平均採礦率。

However, during the third quarter, copper production fell around 10%, even though your average rates for the quarter stood at 12,000 metric tons per day. Can you please comment on why the volume fell and when will El Brocal reach the targeted rate of 12,500 per day, if I recall correctly.

然而，第三季度，銅產量下降了約 10%，儘管該季度的平均產量為每天 12,000 公噸。如果我沒記錯的話，您能否評論一下交易量下降的原因以及 El Brocal 什麼時候才能達到每天 12,500 筆的目標交易量？

My second question relates to San Gabriel, Alejandro mentioned the completion is already at 68%. Could you please comment on project economics now that you have fully revised CapEx. And in addition, any new update on Trapiche would be also a great deal appreciated.

我的第二個問題與聖加百列有關，亞歷杭德羅提到完成度已經達到 68%。現在您已經完全修改了資本支出，您能否對專案經濟狀況發表評論。此外，如果能提供有關 Trapiche 的任何新更新，我們將不勝感激。

And finally, if I again, if you could indicate where your sources of inflows and outflows of cash will be in the next year including your dividends from San Gabriel. I asked a lot of questions, but thank you very much for taking them.

最後，如果我再問一次，您是否可以指出明年您的現金流入和流出來源，包括來自聖加布里埃爾的股息。我問了很多問題，但還是非常感謝您回答我的提問。

Thank you, Cesar, of course. Regarding El Brocal, we already reached the objective to treat 12,000 tons per day. The best of the deal was planned to be reached on December this year, but we reached it before. Maybe Juan Carlos -- can give more explanation to the production of copper, please?

當然，謝謝你，塞薩爾。至於El Brocal，我們已經達到了每天處理12,000噸的目標。該協議的最佳協議原計劃於今年12月達成，但我們提前達成了。也許胡安卡洛斯——可以對銅的生產給出更多的解釋嗎？

Thank you, Leandro. And thank you, Cesar, for the question. Yes, we reached 12,000 tons per day average rate production in the mine. We are planning to keep ramping up this rate up to 12,500 tons per day, probably by the first or second quarter of 2025. So we are on track to reach full capacity of the underground mine as we plan it.

謝謝你，萊安德羅。感謝塞薩爾提出這個問題。是的，我們礦井的平均日產量達到了 12,000 噸。我們計劃繼續將這一產量提高到每天 12,500 噸，可能要到 2025 年第一季或第二季。因此，我們正在按計劃實現地下礦井的全部產能。

The difference in between third quarter 2023 and third quarter 2024 in copper production that 10% lower production compared between quarters is because in the last year, we have production, an exceptional production of the shipping ore from the opening pit. We have like 12,000 tons is straight from the open pit, crush it and sell it directly to the market with an average of 20% copper. So you have almost 1,400 tons of fine copper as a spot sale on third quarter 2023. That's the main difference between the third quarter of 2023, when we have this spot production there in third quarter 2024, when -- where 100% of the production -- copper production came from the underground mine. That's the main difference of copper production between quarters.

2023 年第三季和 2024 年第三季的銅產量差異，即季度間產量下降了 10%，是因為去年我們的露天礦運輸礦石產量異常高。我們有大約 12,000 噸直接從露天礦開採的銅，將其粉碎後直接賣到市場上，平均含銅量為 20%。因此，您將在 2023 年第三季獲得近 1,400 噸純銅現貨銷售。這是與 2023 年第三季的主要區別，當時我們有現貨產量，而 2024 年第三季 100% 的銅產量都來自地下礦場。這就是各季銅產量的主要差異。

And continuing with the second question. You were asking about the economics of San Gabriel. San Gabriel, we are planning to have an EBITDA around $100 million per year our cash cost should be around 1,300 and with sustaining CapEx yearly between $5 million and $7 million. And more important, the production will be around 130,000 ounces per year. And in terms of inflow and cash flow, Daniel, please, can you give more color to the question.

繼續第二個問題。您詢問的是聖蓋博的經濟狀況。聖蓋博，我們計劃每年的 EBITDA 達到 1 億美元左右，現金成本應在 1,300 左右，每年的維持資本支出在 500 萬至 700 萬美元之間。更重要的是，年產量將達到約13萬盎司。關於流入和現金流，丹尼爾，請您更詳細地解釋這個問題。

Yes, of course. Thank you, Cesar, for the question. For 2025, we expect to start the year with a cash position of around $370 million. And considering the prices for gold of $2,100 for silver, $27. And for copper, $9,000 per ton. We estimate an EBITDA for the following year of around to $350 million to $380 million.

是的當然。謝謝塞薩爾提出這個問題。展望 2025 年，我們預計年初的現金狀況將達到約 3.7 億美元。考慮到黃金價格為 2,100 美元，白銀價格為 27 美元。銅的價格為每噸 9,000 美元。我們預計下一年度的 EBITDA 約為 3.5 億至 3.8 億美元。

In addition to this, we expect to receive $150 million of dividends from Cerro Verde. This is regarding the inflows. And regarding the outflows, we expect to spend at San Gabriel close to $240 million to $250 million, plus our sustaining CapEx, which is in the order of $100 million to $120 million. And finally, we are going to pay the taxes for the Chaupiloma sale, which we received $210 million this year, but we are going to pay the corporate tax of 29.5%, which is $45 million and will be paid in the first quarter of next year.

除此之外，我們預計將從Cerro Verde獲得1.5億美元的股息。這是關於資金流入的問題。至於資金流出，我們預計在聖蓋博工廠的支出將接近 2.4 億至 2.5 億美元，加上我們的維持資本支出，約 1 億至 1.2 億美元。最後，我們將支付 Chaupiloma 出售的稅款，今年我們獲得了 2.1 億美元，但我們將支付 29.5% 的公司稅，也就是 4,500 萬美元，將於明年第一季支付。

All right. Very good. So much for the detailed explanation.

好的。非常好。詳細解釋就這麼多。

I lift the your question about topic, any news about this. We continue with the feasibility side. And very pleased if you can give more information to that.

我提出您關於該主題的問題，有任何關於此的消息嗎？我們繼續討論可行性方面的問題。如果您能提供更多信息，我將非常高興。

Sure. So exactly we are in the middle of the feasibility study, and we are starting to receive the test results from our second set of column testing on-site, confirming the business case. We keep working to consolidate the write-off pass for the power line. We are probably 60% advance in that one.

當然。因此，我們正處於可行性研究的中間階段，我們開始收到現場第二組柱測試的測試結果，以確認商業案例。我們不斷努力鞏固電力線路的註銷通行證。我們在這方面可能已經取得了 60% 的進展。

And in the environmental impact assessment process, we finished the public assemblies. Those are great news. We are in the process of absorbing the authority question. So hopefully, within the next six months, which will have an environmental impact assessment approval.

在環境影響評估過程中，我們完成了公眾集會。這些都是好消息。我們正處於吸收權威問題的過程中。因此希望在未來六個月內獲得環境影響評估批准。

Carlos De Alba, Morgan Stanley.

摩根士丹利的卡洛斯·德阿爾巴。

Sorry about that. So I have several questions. The first one is on San Gabriel, just continuing the discussion there. Any expectations, any guidance on how do you see the mine ramping up to full normalized production run rate of 130,000 ounces per year. It seems that the first ore is in the second quarter of next year. But how do you see the ramp-up?

很抱歉。我有幾個問題。第一個是關於聖蓋博的，只是繼續那裡的討論。您對於該礦如何將生產能力提升至每年 130,000 盎司的完全正常化運作率，有何期望或指導？好像第一顆礦是明年第二季了。但您如何看待這項成長？

Well, Renzo, Juan Carlos, please.

好吧，請叫我倫佐，胡安卡洛斯。

Yes. So the start-up plan we're expecting to reach 65% of our production capacity by the third quarter of 2025. With commissioning activities on the mill and Russia starting in the first quarter next year. And then we're going to start -- then we're going to start the ramp-up process up to 3,000. I don't know, if Juan Carlos you can comment on that part.

是的。因此，我們預計啟動計劃到 2025 年第三季將達到我們生產能力的 65%。該工廠和俄羅斯的調試活動將於明年第一季開始。然後我們將開始——然後我們將開始將產量提升至 3,000。我不知道，胡安卡洛斯你能對這部分發表評論嗎？

Sure. We have right now the contracts are ready in the tunnels underground. We have two crews, two fleets, working for the north and the south ramp at the same pace. We are reaching an average development rate of about 500 to 600 meters per month. We are getting into the ore body right now.

當然。我們現在已經準備好地下隧道的合約了。我們有兩個機組、兩個船隊，以同樣的速度在北坡道和南坡道工作。我們的平均開發速度達到每月約 500 至 600 公尺。我們現在正在進入礦體。

So we will have -- we're scheduled to have access to the pilot phase -- initial pilot phase by December this year in order to start training our people on the mining method that we're going to be using San Gabriel and continue with this training along the first half of 2025.

因此，我們計劃在今年 12 月進入試點階段 - 初步試點階段，以便開始培訓我們的員工我們將在聖加布里埃爾使用的採礦方法，並在 2025 年上半年繼續進行這項培訓。

We have been reaching the work -- close the decision to purchase all the mining equipment. That's for the mining operation. We have good delivery time. So for rented equipment and new equipment according to the plan that we have for ramping up this whole production for you. So we are well on track for the mine development side, along as Renzo mentioned, with the construction and commissioning of the processing plan.

我們已經達成了工作——接近購買所有採礦設備的決定。這是用於採礦作業的。我們的交貨時間很好。因此，對於租用的設備和新設備，我們將按照計劃為您提高整個產量。因此，正如 Renzo 所提到的，我們的礦山開發工作以及加工計劃的建設和調試進展順利。

Just to clarify, the 65% of capacity by the third quarter of 2025. Is that throughput? Or is this your final production?

需要澄清的是，到 2025 年第三季度，容量將達到 65%。這是吞吐量嗎？還是這是你的最後作品？

No, no. That's the is 65%, which was 2,000 tons per day. That's we're going to -- that's when the project will end with a constant production of 2,000 tons per day for three weeks without major response and with a commercial product at the end. That's kind of it. That's kind of where we finish a project and we start operating.

不，不。這就是65%，也就是每天2000噸。這就是我們要做的——該項目將在三週內以每天 2,000 噸的穩定產量結束，不會出現重大反應，並最終推出商業產品。就是這樣。這就是我們完成一個專案並開始運作的地方。

Okay. Then the next question on Cerro Verde. Any expectations for dividends in the fourth quarter?

好的。接下來的問題是關於塞羅韋爾德 (Cerro Verde)。對於第四季的股利有什麼預期嗎？

Well, you may see the financials Cerro Verde. And there is some cash that we expect to -- maybe we will discuss it in the next Board meeting.

好吧，您可能會看到 Cerro Verde 的財務狀況。我們預計會有部分現金——也許我們會在下次董事會上討論這個問題。

How much will it be your expectations?

您的期望會是多少？

We expect an additional $50 million or $60 million for us for Buenaventura.

我們預計為布埃納文圖拉額外注入 5,000 萬或 6,000 萬美元。

$50 million to $60 million for Buenaventura in the fourth quarter, potentially?

布埃納文圖拉在第四季的薪酬可能達到 5,000 萬到 6,000 萬美元嗎？

Potentially.

有可能。

Yes. All right. Great. And then on a couple of operations, what can we expect on Comolache profitability in the coming quarters given that in spite the good prices in a struggle in the third quarter?

是的。好的。偉大的。然後就幾項業務而言，儘管第三季價格走勢良好，但我們對 Comolache 未來幾季的獲利能力有何預期？

Well, the current situation, we are expecting a per month. Yes, Comolache, we are expecting a permit for continued our operations. Once we have the permit, the production will come as we were used to around 70,000 ounces per year, we expect to put more mineral ore in the leach pad that has been constructed and we are expecting that permit. We will begin production in the third quarter of -- between the third quarter and the fourth quarter and the next year, maybe more detail when Carlos can give us.

嗯，目前的情況是，我們預計每個月會有。是的，科莫拉奇，我們正在等待一份繼續運作的許可證。一旦我們獲得許可證，產量就會開始增長，因為我們過去的產量為每年約 70,000 盎司，我們預計將在已建成的浸出墊中放入更多的礦石，我們期待獲得許可證。我們將在第三季至第四季之間以及明年開始生產，當卡洛斯可以提供更多細節時。

Thank you, Leandro. Yes, the real profitability were for this quarter and maybe the coming quarters close to a breakeven situation in Coimolache, we are extracting goals from the inventories that we hold on the past. As Leandro had mentioned, we already have the environmental license to do the expansion of the pads -- we will hold the land. We are currently filing for the construction permit.

謝謝你，萊安德羅。是的，本季的實際獲利能力以及未來幾季在科伊莫拉切的接近盈虧平衡情況，我們正在從過去持有的庫存中提取目標。正如萊安德羅所提到的，我們已經擁有擴建發射台的環境許可證——我們將持有這塊土地。我們目前正在申請建築許可證。

So to have the construction permit ready by the end of the year and early 2025. And there are some other detail on the permits, but on that sequence of ideas. We will have the chance to start putting fresh ore on top of the pad -- by the third quarter of 2025. So the idea is that we hold the situation kind of close to breakeven -- cash breakeven, and we will reach the permit for construction permits for placing fresh ore on top of the pad by the third quarter of 2025. And at that time, we will resume profitability as we had in the past.

因此要在今年年底和 2025 年初之前準備好施工許可證。關於許可證還有一些其他細節，但都是關於這個想法的順序。到 2025 年第三季度，我們將有機會開始將新鮮礦石放置在礦場頂部。因此，我們的想法是，讓情況接近收支平衡——現金收支平衡，到 2025 年第三季度，我們將獲得在礦場頂部放置新鮮礦石的施工許可證。到那時，我們將恢復過去的獲利能力。

But so basically, you're going to resume leaking in the third quarter, probably you only see production until the fourth quarter '25 or first quarter '26?

但基本上，你會在第三季恢復洩漏，可能你只會看到生產到 25 年第四季或 26 年第一季？

Yes, it will be ramping up, as you know, we used to have place in the ore and you have a leasing period, total leasing period of total of 60 days. So usually, you need to start waiting that third quarter of next year will be a pivotal moment for Comolache back in profitability because there will be some gold -- also coming from the past, the existing inventory that we have, and we are taking it out right now, plus the addition of fresh ore in the third quarter. So it will be a combination of both of them. So probably the fresher will add a lot of fuel for the profitability of Comolache by the third quarter.

是的，它會增加，如你所知，我們以前在礦石中有一個地方，你有一個租賃期，總租賃期總共 60 天。因此通常情況下，您需要開始等待明年第三季度，這將是 Comolache 恢復盈利的關鍵時刻，因為會有一些黃金 - 也來自過去，我們現有的庫存，我們現在正在將其取出，再加上第三季度的新礦石。因此這將是兩者的結合。因此，到第三季度，更新版的車型可能會為 Comolache 的獲利能力增添助力。

All right. Excellent. And then lastly, sorry for all these questions, but to get the math of the way on Julcani, what is the rationale to sustain -- to keep this operation in Buenaventura portfolio given elevated costs?

好的。出色的。最後，很抱歉問了這麼多問題，但是要從數學角度來了解 Julcani 的情況，在成本高企的情況下，維持——將這項業務保留在 Buenaventura 投資組合中的理由是什麼？

Yes. Well, we are trying to make more efficient with Julcani. We have to make some -- to take some decisions there, but we are moving to the copper and gold areas that give us more production of gold in order to be more efficient with that mine. As I told you, Carlos, we are evaluating the situation and the continuity of that mine in our portfolio.

是的。嗯，我們正在嘗試提高 Julcani 的效率。我們必須在那裡做出一些決定，但我們正在轉向銅和金礦區，以便讓我們生產更多的黃金，從而提高該礦的效率。正如我告訴你的，卡洛斯，我們正在評估礦場的情況及其在我們投資組合中的連續性。

(Operator Instructions) Tanya Jakusconek, Scotiabank.

(操作員指示) Tanya Jakusconek，加拿大豐業銀行。

Sorry, I just want a bit late. It was another call ahead of you. Just wanted to come back to San Gabriel. I think I heard an EBITDA of $110 million. Was that assigned San Gabriel EBITDA?

抱歉，我只是想晚一點。您前面還有另一通電話。只是想回到聖蓋博。我聽說 EBITDA 是 1.1 億美元。那是分配給聖蓋博的 EBITDA 嗎？

Yes, between $90 million and $110 million. Yes. $ 90 million -- between $90 million and $110 million, yes.

是的，9,000 萬至 1.1 億美元之間。是的。 9000 萬美元——9000 萬美元到 1.1 億美元之間，是的。

Okay. And sorry, what gold price was that based on?

好的。抱歉，這個金價是基於什麼計算的？

$2,000.

2,000 美元。

$2,000. Okay. All right. Can I just ask -- I heard you mention the total cash costs went to $1,300. And I think originally, the feasibility study or your plan was $800. So that's like a 60% increase. Can someone explain to me what has happened to the total cash costs? It's not inflation. Has something changed in the mine plan.

2,000 美元。好的。好的。我可以問一下嗎——我聽到您提到總現金成本達到了 1,300 美元。我認為最初的可行性研究或您的計劃的費用是 800 美元。所以這相當於成長了 60%。有人可以向我解釋一下總現金成本發生了什麼變化嗎？這不是通貨膨脹。礦山計劃有什麼變化嗎？

Yes, yes. The mining metal has been changed. Juan Carlos, I don't know if you can give more information to Tanya.

是的，是的。採礦金屬已改變。胡安卡洛斯，我不知道你是否可以向塔妮亞提供更多資訊。

Yes, sure, Leandro. Well, if we split the operation of San Gabriel into the mine, the processing plant and the overhead expenses pretty much the processing plant and the overhead pretty much are aligned it with the feasibility studies, operating costs. The main difference is on the underground mine. Right now that we get our hands on the miners, as I mentioned before, we are grinding tunnels and assessing the quality of the rock and what is the safe way to proceed to mine the deposit. The quality of the rock is very poor, we require a lot of reinforcement and we need to change the volume of ore that will be extracted with underhand mining methods compared to the original study.

是的，當然，萊安德羅。好吧，如果我們將聖加布里埃爾的運營分為礦山、加工廠和管理費用，那麼加工廠和管理費用基本上與可行性研究和運營成本一致。主要的區別是在地下礦井。正如我之前提到的，現在我們已經掌握了礦工，我們正在磨隧道和評估岩石的質量，並確定開採礦床的安全方法。岩石的品質非常差，我們需要大量的加固，並且與原來的研究相比，我們需要改變用秘密採礦方法開採的礦石量。

So it's a combination of more expensive standards to be driven in this full quality growth, more expensive openings to be made due to quality of a rock and a larger percentage of ore extracted by the underhand mining method is that instead of the overhand. So the underhand is more expensive, we're required to use more cemented backfill with 7% cement. So the combination of all these factors is the one that make a significant change on the operating cost of San Gabriel.

因此，在這種全面質量增長中，需要更昂貴的標準，由於岩石的質量而需要更昂貴的開口，並且通過暗挖法而不是上挖法開采的礦石比例更大。因此，底線的成本更高，我們需要使用含 7% 水泥的更多水泥回填料。因此，所有這些因素的結合對聖蓋博的營運成本產生了重大變化。

So can I ask what is the operating cost per ton, like of this operation? Like if you take the mining plus the mailing plus the G&A processing. So what would it be? Is it like $200 a ton? I don't know anymore, $250?

那我可以問一下這個操作每噸的營運成本是多少嗎？例如，如果你進行採礦，郵寄，再加上 G&A 處理。那麼會是什麼呢？每噸是200美元嗎？我不知道了，250 美元？

In the initial years, we'll be in the area of $150 per ton and then gradually while we start doing less of the expensive openings, the first cut that we need to make for gander head, we will start coming down to $140, $135 per ton. That's a combination of processing overhead and the under low mine.

在最初幾年，我們的價格將在每噸 150 美元左右，然後隨著我們開始減少昂貴的開孔量，我們需要為雄鵝頭進行第一次切割，價格將開始降至每噸 140 美元、135 美元。這是處理開銷和低位礦井的組合。

Okay. And that's US dollars?

好的。那是美元嗎？

US dollars.

美元。

Yes. Okay. And can I ask like when did you understand that the mining cost had to change? Was this a recent thing that you -- once you started to put the decline in and you started to see the rock conditions or when did you kind of note that you have to change?

是的。好的。我可以問一下，您什麼時候了解到採礦成本必須改變？這是最近發生的事情嗎——當您開始考慮衰退並開始關注岩石狀況時，或者您什麼時候注意到必須進行改變的？

Yes, I have been recently once we start driving the tunnels along their body in the last two quarters. We're starting in May, with a contractor driving tunnels in a (inaudible) body. So we have the chance to reassess the quality of the rock. We redo all the mechanics, the selection of the mining networks, and then we need to run the mining, planning or the mine plan. There was an opportunity, we have reduced a lot of tunneling in the new design, almost in $100 million of less expenses on tunneling to be made in the newer arrangement, that is offset by the larger expenses on cemented backfill.

是的，最近兩個季度我們開始沿著他們的身體挖掘隧道，我最近一直在那裡。我們將於五月開始，與承包商一起在（聽不清楚）車身內挖掘隧道。因此我們有機會重新評估岩石的品質。我們重新做了所有的機制，選擇了挖礦網絡，然後我們需要運行挖礦、規劃或挖礦計劃。這是一個機會，我們在新的設計中減少了大量隧道施工，在新的安排中，隧道施工的費用減少了近 1 億美元，但這筆費用被水泥回填料的較大費用所抵消。

So it was in the last five months to six months that we have more thorough access to the ore body or assessment, not by drill holes by with openings galleries, which we know better in the quality of the rock, and we are on the conservative side of the equation. So we are now putting more -- reinforcement. And probably during the operation we will repay it, if that is necessarily or there are sale opportunities that we foresee right now to reduce expenses and do something more efficient in the coming months.

因此，在過去的五到六個月裡，我們對礦體進行了更徹底的了解或評估，而不是透過鑽孔和開口巷道，我們對岩石的品質更加了解，而且我們處於保守的一邊。因此我們現在要加大力度。並且可能在營運期間我們會償還貸款，如果有必要或我們現在預見有銷售機會，可以減少開支並在未來幾個月採取更有效率的措施。

And just on the sustaining capital, which you mentioned would be $5 million to $7 million. Most of the companies that we follow with underground mines and that sort of range would have like maybe $200 an ounce of sustaining capital, which brings it to $25 million a year. Can you explain to me why your sustaining capital is so low?

僅就維持資本而言，您提到的維持資本將是 500 萬至 700 萬美元。我們所關注的大多數擁有地下礦場和類似規模的公司的維持資本可能為每盎司 200 美元，即每年 2,500 萬美元。你能解釋為什麼你的維持資本這麼低嗎？

Well, our decision of sustained capital is just to keep all the assets in good shape, keep maintaining all the equipment that we have. So we have experience in Tambomayo, Orcopampa (inaudible) mature provision, we know pretty much what we need. So everything that we need for the construction and the spare parts any ancillary service is being taken down or taking considered inside the CapEx.

嗯，我們對持續資本的決定只是為了保持所有資產的良好狀況，繼續維護我們擁有的所有設備。因此，我們在坦博馬約、奧爾科潘帕（聽不清楚）方面擁有成熟的經驗，我們非常清楚我們需要什麼。因此，我們建造所需的一切以及備件和任何輔助服務都將被拆除或在資本支出內考慮。

So that's the reason that in the coming years after completion of the full year, we all expect to be in the range of less than $10 million sustaining CapEx as we see for maintenance of all the facilities. It's a very compact footprint and it's a brand-new operation. So we expect to be in that range based on our experience and the dynamics of the project itself.

因此，我們預計在未來幾年全年完成後，所有設施的維護資本支出將在 1,000 萬美元以下。它的佔地面積非常緊湊，而且是一種全新的操作。因此，根據我們的經驗和專案本身的動態，我們預期會處於這個範圍內。

Okay. Maybe if I can leave San Gabriel and go to just talking about just your cost you go into 2025. Can someone just share with me, as you think about your budgeting of your costs, what sort of labor inflation are you forecasting or overall inflation for 2025 estimates over '24?

好的。也許如果我可以離開聖蓋博並只談論你的成本，那麼你將進入 2025 年。有人可以告訴我，當您考慮成本預算時，您預測 2025 年的勞動力通膨率或整體通膨率將比 24 年高出多少嗎？

Thank you. during the COVID time, there was increase in the labor cost due to the cost of inflation. The inflation rate, we reached around 9%. But the last year, we expect to have -- this year, we expect to have 2.4%, 2.5% of inflation. So in that range should be the increase in labor costs. We normally are at those levels with inflation.

謝謝。在疫情期間，由於通貨膨脹，勞動成本增加。通貨膨脹率達到了 9% 左右。但我們預計去年——今年的通膨率為 2.4% 至 2.5%。因此勞動成本應該在這個範圍內增加。通常情況下，通貨膨脹都會處於這樣的水平。

And what about other items within your cost structure? So when I think about your 2025 cost, should I just think that there are only 2.5% higher than 2024? Or are there other things within your cost structure that will move those costs more than 2.5%.

那麼你們的成本結構中的其他項目又如何呢？所以當我考慮 2025 年的成本時，我是否應該認為它只比 2024 年高出 2.5%？或者您的成本結構中是否有其他因素導致這些成本增加超過 2.5%。

From -- in our business, 60% of our cost, it comes from the contractors and the manpower, right? So it is a big component of our operations. Remember, we are trying to replace the contractor for the -- in the most important mine, we are trying to replace the contractor with our own people and our own equipment. So we should expect, in the long run, not necessarily in 2025.

在我們的業務中，60% 的成本來自承包商和人力，對嗎？所以它是我們營運的一個重要組成部分。請記住，我們正試圖用我們自己的人員和設備來取代承包商——在最重要的礦井中。因此，從長遠來看，我們應該預期，不一定是在 2025 年。

But it's a strategy that we are beginning this 2025 year. And so we expect to reduce the cost of tunneling all the labors we need in our mines. So we shouldn't expect any important increase in our cost.

但這是我們從 2025 年開始實施的策略。因此，我們希望降低礦井挖掘隧道所需的所有勞動力的成本。因此我們不應該預期成本會有任何大幅增加。

Okay. And of the 60% of your cost, which is labor, what percentage of that is just contractors? Is that third?

好的。在您的 60% 成本（即勞動成本）中，有多少比例是承包商的費用？那是第三個嗎？

Yes. Exactly. Can we have, right, Daniel, I don't know it.

是的。確切地。我們可以嗎，對吧，丹尼爾，我不知道。

If I can give you a little bit more detail on this, Tanya. The labor is between 16% and 20% of our total costs. Total contractors are 56%. From this 56%, 25% is labor from contractors. So the 16% plus, the 14% are labor. This will be affected by the 2% to 4% inflation that Leandro mentioned.

如果我可以就此問題向您提供更詳細的信息，Tanya。勞動力占我們總成本的16%到20%。承包商佔比總計 56%。在這 56% 中，25% 是來自承包商的勞動力。因此，16% 加上 14% 就是勞動力。這將受到萊安德羅提到的2%至4%通膨的影響。

So if 16% is your own people and then 14% is contractors.

因此，如果 16% 是您自己的員工，那麼 14% 就是承包商。

Correct..

正確的..

So 16% plus 14% gets me to 30%. 30% is --

因此 16% 加上 14% 得到 30%。 30% 是--

That will be correct.

那是正確的。

Okay. Perfect. And then, Daniel, while I have you on, I saw obviously, you've got your Cerro Verde dividend, which you got about, I think, it was at $60 million, and then we got the $210 million from the sale of the royalties of Franco. So now you have more cash than debt on your balance sheet. Can you just review with me your capital allocation for that additional cash.

好的。完美的。然後，丹尼爾，當我讓你發言時，我顯然看到，你獲得了 Cerro Verde 股息，我想，大約是 6000 萬美元，然後我們從出售 Franco 的特許權使用費中獲得了 2.1 億美元。因此現在你的資產負債表上的現金多於債務。您能否和我一起檢視一下這些額外現金的資本分配情況？

Obviously, you've got $280 million or whatever the number was to pay for San Gabriel still, right? We have to finish San Gabriel, but what -- maybe your capital allocation on the -- all this cash on the balance sheet?

顯然，你仍有 2.8 億美元或其他金額來支付聖蓋博的費用，對嗎？我們必須完成聖蓋博項目，但是——也許你的資本配置在——資產負債表上的所有現金上？

Tanya, at this point in time, we will use all the profits from Cerro Verde dividend and the asset sale to fund San Gabriel. Remember that we have $200 million in the revolver facilities, RCF that we have induced -- so that will -- those facilities will remain undrawn because we have -- we count with these profit. So at this point in time, the funds will be revolted to fund San Gabriel.

塔尼婭，目前，我們將使用 Cerro Verde 股息和資產出售的所有利潤來資助 San Gabriel。請記住，我們擁有 2 億美元的循環信貸額度，即我們已經引入的 RCF - 因此 - 這些額度將保持未提取狀態，因為我們已經 - 我們用這些利潤來計算。所以此時，這些資金將被轉而用於資助聖蓋博。

Okay. And we just continue to pay the dividend as per formula. Cash to fund the San Gabriel? And is there any money going to Comolache that I should know about the feasibility study? How much is this costing?

好的。我們只是繼續按照公式支付股息。用現金資助聖蓋博？是否有任何資金流向科莫拉奇，我應該了解可行性研究嗎？這個要花多少錢？

We are spending at Comolache around $20 million per year until we reach the prefeasibility study. So that is the average. And regarding the dividends, we continue paying dividends as every year. Next year, we should evaluate what would be the amount of dividend paid considering the good performance of the company this year.

在完成預可行性研究之前，我們每年在科莫拉什礦場花費約 2,000 萬美元。這就是平均值。至於股息，我們每年都會繼續派發股息。考慮到公司今年的良好業績，明年我們應該評估應該支付多少股利。

Okay. So if I understand all of the cash and about the dividend go to San Gabriel and then your debt outstanding will just be paid over time with your cash flow? Would that be a safe assumption?

好的。所以，如果我理解正確，所有現金和股息都歸聖蓋博所有，那麼你的未償債務將隨著時間的推移透過你的現金流償還？這是一個安全的假設嗎？

Exactly. We will pay $50 million of El Brocal loan. We are doing this quarter. So maybe you will see at the end of the year, $50 million less in cash.

確切地。我們將支付 5000 萬美元的 El Brocal 貸款。我們正在進行本季的工作。因此也許你會看到到年底現金減少了 5000 萬美元。

Okay. Okay. Got it. And look forward to hopefully seeing San Gabriel is up and running.

好的。好的。知道了。並希望看到聖蓋博能夠正常運作。

Ladies and gentlemen, that concludes the question-and-answer session of today's conference call. I would like to turn it back over to management for closing remarks.

女士們、先生們，今天電話會議的問答環節到此結束。我想將這個發言權交還給管理階層，請他們作最後發言。

Thank you, Rico. Before we finish today's conference call, we are excited to announce that Buenaventura's Annual Investor Day will be held in the (inaudible). Daniel? You have to put mute -- this event is an excellent opportunity for us to connect with you. This Buenaventura's Day will be held on December 10 in New York.

謝謝你，里科。在今天的電話會議結束之前，我們很高興地宣布，Buenaventura 的年度投資者日將在（聽不清楚）。丹尼爾？您必須保持靜音—這次活動是我們與您建立聯繫的絕佳機會。本屆布埃納文圖拉日將於12月10日在紐約舉行。

There we will share our latest update and discuss our strategic vision and key projects for the coming year. We hope you all join to gain deeper insight to Buenaventura's growth plans and operational progress. Please save the date and gave a keep an eye for our more details coming soon. We look forward to see you in New York. And again, thank you very much, and have a wonderful day. Thank you.

我們將在那裡分享我們的最新進展並討論我們來年的策略願景和重點項目。我們希望大家加入，以更深入了解布埃納文圖拉的成長計畫和營運進度。請記住日期並留意我們即將發布的更多詳細資訊。我們期待在紐約見到您。再次感謝您，祝您有美好的一天。謝謝。

Conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。