Coeur Mining Inc (CDE) 2024 Q2 法說會逐字稿

Good day and welcome to the second quarter 2024 financial results for Coeur Mining Conference Call. All participants will be in a listen-only mode. (Operator Instructions) Please note, this event is being recorded.

美好的一天，歡迎來到 Coeur Mining 電話會議 2024 年第二季財務業績。所有參與者將處於僅聽模式。（操作員說明）請注意，正在記錄此事件。

I would like now to turn the conference over to Mr. Mitch Krebs, President and Chief Executive Officer of Coeur Mining. Please go ahead.

我現在將會議交給 Coeur Mining 總裁兼執行長 Mitch Krebs 先生。請繼續。

Hello everyone and thanks for joining our call. Before we start, I want to point out our cautionary language regarding forward-looking statements in today's slide deck and refer to our SEC filings on our website.

大家好，感謝您加入我們的通話。在開始之前，我想指出我們對今天幻燈片中的前瞻性陳述的警告性語言，並參考我們網站上的 SEC 文件。

I'll kick off with some highlights on slide 3 before turning the call over to the team and then we'll open it up for questions.

我將首先在投影片 3 上介紹一些重點內容，然後將通話轉交給團隊，然後我們將開始提問。

The main focus during the second quarter was getting Rochester ramped up and positioning the company to make the transition to positive free cash flow in the second half of the year.

第二季的主要重點是讓羅徹斯特加速發展，並使公司在下半年過渡到正自由現金流。

We were successful in that effort with Rochester now consistently crushing and placing around 90,000 tons per day which should drive sharp production increases and unit cost reductions in the second half.

我們在這項努力中取得了成功，羅徹斯特現在每天的破碎和放置量約為 90,000 噸，這將推動下半年產量大幅增加並降低單位成本。

Rochester's silver and gold production both jumped nearly 40% in the second quarter, which was a great sign that the team out in Nevada is building momentum heading into the back half of the year. Mick will provide some additional details on Rochester in a few minutes.

羅徹斯特的白銀和黃金產量在第二季度均增長了近 40%，這是一個很好的跡象，表明內華達州的團隊正在為今年下半年積蓄動力。米克將在幾分鐘內提供有關羅徹斯特的一些其他詳細資訊。

Our three other operations are also on track for solid years as we pass the midway point. Palmarejo generated another strong free cash flow quarter, Wharf remained consistent and on plan and Kensington is now establishing a good rhythm after a couple of years of elevated investment and implementing several operational enhancements, which Mick will cover in greater detail.

當我們過了中間點時，我們的其他三個業務也將在多年內步入正軌。Palmarejo 又創造了強勁的自由現金流季度，Wharf 保持穩定並按計劃進行，Kensington 經過幾年的投資增加和實施了多項運營增強措施，現在正在建立良好的節奏，Mick 將更詳細地介紹這些內容。

Our leading leverage to higher prices was on full display during the quarter. Prices in the second quarter were about 10% higher year-over-year, yet our quarterly adjusted EBITDA jumped 136%, and our LTM adjusted EBITDA increased 90% to $192 million.

我們對價格上漲的領先優勢在本季度得到了充分展示。第二季的價格年增約 10%，但我們的季度調整後 EBITDA 躍升 136%，LTM 調整後 EBITDA 成長 90%，達到 1.92 億美元。

On the back of Rochester's ramp-up, Kensington is set to have its own free cash flow inflection point in the second half of next year. The elevated levels of underground development and drilling over the past two years are expected to drop off mid next year, leaving Kensington positioned to deliver positive free cash flow with greater operational flexibility and a longer mine life. Mick and Aoife will both touch on the progress at Kensington.

在羅徹斯特的崛起的背景下，肯辛頓預計將在明年下半年迎來自己的自由現金流拐點。過去兩年地下開發和鑽探的高水準預計將在明年年中下降，使 Kensington 能夠提供正的自由現金流、更大的營運靈活性和更長的礦山壽命。米克和奧伊夫都將談到肯辛頓的進展。

It was great to close the acquisition last month of two key concessions from Fresnillo and consolidate the land package to the east of Palmarejo. Aoife will talk in a couple of minutes about our plans and priorities for this large prospective land position that sits outside the Franco-Nevada gold stream boundary and provides a whole new set of higher-margin mine life extension opportunities at Palmarejo. Aoife will also cover the objectives and progress from the summer exploration program underway at Silvertip.

上個月完成了對弗雷斯尼洛兩項關鍵特許權的收購，並鞏固了帕爾馬雷霍東部的土地包，這真是太好了。Aoife 將在幾分鐘內討論我們對這一大型潛在土地位置的計劃和優先事項，該土地位於弗蘭科-內華達金礦流邊界之外，並為Palmarejo 提供了一套全新的高利潤礦山壽命延長機會。Aoife 還將介紹 Silvertip 正在進行的夏季勘探計劃的目標和進展。

We continue to believe that the convergence of all of these catalysts, higher commodity prices, a ramped up Rochester, a stable suite of US centric mines full of organic growth opportunities, and a world-class Canadian exploration project, along with our impending transition to positive free cash flow followed by a period of aggressive debt reduction sets us apart from our peers and leads us in a great place heading into the second half.

我們仍然相信，所有這些催化劑的融合、商品價格的上漲、羅徹斯特的崛起、一系列以美國為中心、充滿有機增長機會的穩定礦山、世界一流的加拿大勘探項目，以及我們即將向積極的自由現金流以及隨後一段時期的積極債務削減，使我們在同行中脫穎而出，並使我們在進入下半年時處於有利位置。

Mick, over to you.

米克，交給你了。

Thanks Mitch. Rochester's successful ramp-up and consistent contributions from across our portfolio have the company well positioned at the midway point of 2024. More importantly, Coeur's deeply embedded safety culture continues to show through in our overall safety performance. I'm pleased to report that a clean slate at Wharf in June marked one year at the operation without the loss payment dilute.

謝謝米奇。羅徹斯特的成功發展以及我們整個投資組合的持續貢獻使該公司在 2024 年中期處於有利地位。更重要的是，Coeur 根深蒂固的安全文化持續體現在我們的整體安全績效中。我很高興地向大家報告，六月，Wharf 的營運已恢復正常，標誌著營運一周年，沒有損失賠償。

Also in June, 7 individuals at Rochester were honored with safety awards by the Nevada Manning Association. Congratulations to the team there for their contributions to pursuing a higher standard in safety.

同樣在 6 月，羅徹斯特的 7 位個人榮獲內華達曼寧協會頒發的安全獎。祝賀那裡的團隊為追求更高的安全標準做出的貢獻。

Turning to our second quarter results on slide 4 and kicking off with Rochester. Silver production in the second quarter increased to 973,000 ounces while gold production increased to over 8,000 ounces, driven by more crush tonnes placed with the new circuit. As reported on July 11, placement of ounces during the second quarter was lighter than initially planned. But Rochester remains on track to deliver on 2024 production guidance.

轉向幻燈片 4 上的第二季業績，從羅徹斯特開始。第二季白銀產量增加至 973,000 盎司，而黃金產量則增加至超過 8,000 盎司，這是由於新流程中壓碎噸數增加所致。根據 7 月 11 日報道，第二季的盎司投放量低於原先計畫。但羅徹斯特仍有望實現 2024 年的生產指引。

Over the first several weeks of the third quarter, throughput reads have regularly achieved or exceeded expected average rolling capacity of 88,000 tonnes per day, and the team continues to take full advantage of down periods to optimize and refine the operation. We crushed and placed nearly 2 million tonnes in July, and we remain well positioned to deliver crushing and placement rates of 7 million to 8 million tonnes per quarter in the second half and into 2025.

在第三季的前幾週，吞吐量經常達到或超過每天 88,000 噸的預期平均滾動能力，團隊繼續充分利用停機時間來優化和完善營運。7 月份，我們破碎和放置了近 200 萬噸，並且我們仍處於有利地位，可以在下半年和 2025 年期間實現每季度 700 萬至 800 萬噸的破碎和放置率。

Concurrent with delivering these higher crushing and placement rates, our focus in the second half of 2024 will be on working down material crush size towards a targeted 5 years of an inch in order to maximize recoveries.

在提供更高的破碎和安置率的同時，我們 2024 年下半年的重點將是將材料破碎尺寸降低到 5 年一英寸的目標，以便最大限度地提高回收率。

Moving on to Palmarejo. Domain followed up a very strong first quarter with another solid three months, delivering about 25,000 meters of gold and nearly 1.6 million ounces of silver. In June, the team brought grown on a third access portal at Hidalgo, which is expected to significantly enhance our underground mine development and exploration efforts at this future or source located just north and west of Independencia.

繼續前往帕爾馬雷霍。Domain 繼第一季非常強勁之後，又在三個月內交付了約 25,000 公尺黃金和近 160 萬盎司白銀。6 月，該團隊在伊達爾戈建立了第三個入口，預計將顯著加強我們在獨立北部和西部的這個未來或來源的地下礦山開發和勘探工作。

Following the completion of the transaction with Fresnillo, the operating team is working closely with the exploration team on plans to pursue near-term development opportunities, which Ita will discuss further in a moment.

與 Fresnillo 的交易完成後，營運團隊正在與勘探團隊密切合作，制定尋求近期開發機會的計劃，Ita 將稍後進一步討論。

At Kensington, the operation continues to regain momentum where significant improvements have been realized in long-haul drilling capacity, pace placement and getting more stock fees to the service.

肯辛頓 (Kensington) 的業務繼續恢復勢頭，在長途鑽井能力、速度安排和獲得更多服務費方面實現了重大改進。

As Mitch mentioned, the Kensington team have begun the hard yards to position the operation as a long-lived revitalized source of free cash flow generation starting in the second half of next year. The multiyear capital development investment continues to advance well, with progress ahead of schedule with additional funds being allocated to the program to provide more operating flexibility and to access new ores. The program now stands about 82% complete for the current scope of the project.

正如米奇所提到的，肯辛頓團隊已經開始努力，從明年下半年開始，將業務定位為自由現金流產生的長期活力來源。多年資本開發投資繼續順利推進，進度提前，為該計劃分配了額外資金，以提供更大的營運靈活性並獲得新礦石。該計劃目前已完成目前專案範圍的 82% 左右。

Finishing up with Wharf, strong grades drove increased gold production to 22,000 ounces in the quarter, while adjusted cash decreased 29% compared to the first quarter to an impressive $822 per ounce. When Wharf was acquired by Coeur in 2015, reserves stood at approximately 560,000 ounces.

九龍倉的強勁表現推動本季黃金產量增加至 22,000 盎司，而調整後現金較第一季下降 29%，至每盎司 822 美元，令人印象深刻。當 Wharf 於 2015 年被 Coeur 收購時，其儲量約為 560,000 盎司。

At year-end 2023, nine years later, Wharf stood at over 760,000 ounces with even further exploration upside. The team there has recently identified 2 new opportunities near existing mining areas, aimed at substantially extending Wharf's already long life. The two targets, North Foley and Juno, will be drill-tested over the remainder of 2024 and 2025 to demonstrate the scope of the potential opportunity.

九年後的 2023 年底，Wharf 的產量超過 760,000 盎司，並且還有進一步勘探的空間。該團隊最近在現有礦區附近發現了兩個新機會，旨在大幅延長九龍倉本已漫長的壽命。North Foley 和 Juno 這兩個目標將在 2024 年剩餘時間和 2025 年進行鑽探測試，以展示潛在機會的範圍。

With that, I'll pass the call over to Tom.

這樣，我會將電話轉給湯姆。

Thanks, Mick. I'll begin with a brief review of our second quarter financial results before spending a moment on our refresh cost guidance as we hit the midway mark of 2024. And I'll finish with an update on our plans for delevering the balance sheet on the back of Rochester's and the overall company's return to free cash flow.

謝謝，米克。我將首先簡要回顧我們第二季度的財務業績，然後花點時間討論我們在 2024 年即將到來之際更新的成本指引。最後，我將介紹羅徹斯特公司去槓桿化資產負債表以及整個公司恢復自由現金流的計畫的最新情況。

As detailed on slide 10, Coeur’s rapidly improving financial results are due to the three-way combination of stronger gold and silver production, higher metals prices and declining levels of capital spending at Rochester.

正如幻燈片 10 所詳述的那樣，Coeur 財務業績的快速改善歸功於黃金和白銀生產的強勁、金屬價格的上漲以及羅徹斯特資本支出水準下降的三向結合。

With Rochester continuing to settle into steady-state operations and the rest of the portfolio delivering 100% unhedged gold and silver production, that free cash flow inflection point is upon us. We remain on track to achieve 2024 production guidance at each of our operations and have made the following refinements to our 2024 cost guidance.

隨著羅徹斯特繼續穩定運營，投資組合的其餘部分提供 100% 未對沖的黃金和白銀產量，自由現金流拐點即將到來。我們仍有望在每個營運點實現 2024 年生產指導，並對 2024 年成本指導進行了以下改進。

At Palmarejo, higher grades combined with easing inflationary pressures and a weaker Mexican peso have resulted in a reduction in its 2024 cost guidance. 2024 cost guidance at Wharf has also been reduced as a result of better-than-expected crusher performance and mining efficiencies due to ongoing business improvement initiatives.

在 Palmarejo，較高的品級加上通膨壓力的緩解和墨西哥比索的疲軟導致其 2024 年成本指導下調。由於持續的業務改善舉措，破碎機效能和採礦效率好於預期，九龍倉的 2024 年成本指引也有所降低。

At Rochester, we increased our cost guidance to reflect excess trucking capacity used during the first half of the year to place profitable, but higher cost for run-of-mine material, which helped to offset the lighter than planned tonnes placed on Stage 6 through the first half of the year.

在羅徹斯特，我們提高了成本指導，以反映上半年使用的過剩卡車運輸能力，以實現盈利，但原礦材料的成本較高，這有助於抵消第六階段的噸數比計劃輕。 。

In addition, overall, 2024 CapEx and exploration guidance has also been adjusted to reflect the following; at Rochester, we have increased the full year capital guidance to reflect an earlier than planned final payment to our major contractor from the recently completed expansion. We also accelerated equipment purchases to lock in savings and there are a handful of post-start-up modifications.

此外，總體而言，2024 年資本支出和勘探指導也進行了調整，以反映以下內容：在羅徹斯特，我們提高了全年資本指導，以反映最近完成的擴建項目向主要承包商支付的最終付款早於計劃。我們還加快了設備採購以鎖定節省，並且進行了一些啟動後的修改。

At Kensington, we increased our full year capital range to reflect accelerated underground mine development and exploration investments, which reflect higher-than-planned productivity by both our underground mine development and drilling contractors.

在肯辛頓，我們增加了全年資本範圍，以反映地下礦山開發和勘探投資的加速，這反映了我們的地下礦山開發和鑽探承包商的生產力高於計劃。

And at Wharf, we increased our full year exploration guidance to reflect drilling, we plan to carry out at the recently identified opportunities that Mick just mentioned. This allocation of capital is consistent with our capital allocation framework, as highlighted on slide 13.

在碼頭，我們增加了全年勘探指導，以反映鑽探，我們計劃在米克剛才提到的最近發現的機會中進行。此資本配置與我們的資本配置架構一致，如投影片 13 所示。

Turning to the balance sheet on slide 12. We ended the quarter with approximately $275 million drawn on our $400 million revolving credit facility. Our balance sheet ratios have already seen significant improvements since the high watermark one year ago, and we now sit below three times net debt to EBITDA for the first time in over two years. We expect to begin aggressively paying down the revolver as cash flows begin to accelerate over the second half of the year as we drive towards our long-term leverage targets of total debt to EBITDA of one time and net debt-to-EBITDA of nil.

轉向投影片 12 上的資產負債表。本季結束時，我們從 4 億美元的循環信貸額度中提取了約 2.75 億美元。自從一年前的高水位以來，我們的資產負債表比率已經有了顯著改善，現在我們的淨債務與 EBITDA 的比率在兩年多來首次低於三倍。隨著下半年現金流開始加速，我們預計將開始積極償還左輪手槍，因為我們正在努力實現總債務與 EBITDA 比率為一倍、淨債務與 EBITDA 為零的長期槓桿目標。

I will now pass the call to Aoife.

我現在將把電話轉給奧伊夫。

Thanks, Tom.

謝謝，湯姆。

Starting at Palmarejo on slide 8. The newly acquired concession from Fresnillo provide us with full access to the 4 Northwest trending mineralized belts in the district. Of these belts, the mine trend has seen the most historic expiration with a high percentage of resource and reserve assets coming from deposits here.

從幻燈片 8 上的 Palmarejo 開始。從弗雷斯尼洛新獲得的特許權使我們能夠完全進入該地區的 4 個西北趨勢礦化帶。在這些礦帶中，礦山趨勢經歷了最具歷史意義的到期，其中很大一部分資源和儲備資產來自這裡的礦床。

The new Independencia Sur claim block highlighted in the red oval in the center of the map, contains the Southeast extension of the mine trend. It sits directly adjacent to our existing mining infrastructure and contains the continuation of a number of key veins, including Independencia and La Nación.

新的 Independencia Sur 礦區在地圖中心的紅色橢圓形中突出顯示，包含礦山趨勢的東南延伸。它緊鄰我們現有的採礦基礎設施，包含許多關鍵礦脈的延續，包括 Independencia 和 La Nación。

Fresnillo conducted drilling on this block, and we are hopeful that with additional exploration, we can outline new resources in the very near term. Mapping is already well underway and relogging of Fresnillo core and incorporating it into Coeur's database and geological models or immediate aims, with drilling planned for early 2025.

弗雷斯尼洛在該區塊進行了鑽探，我們希望透過進一步的勘探，我們能夠在不久的將來概述新的資源。Fresnillo 岩心的測繪和重新測井工作已經在順利進行，並將其納入 Coeur 的資料庫和地質模型或近期目標，計劃於 2025 年初進行鑽探。

The new Guazapares block of concessions outlined in the large red oval on the top right of the map is the most easterly northwest trending belt of mineralization at Palmarejo. It surrounds multiple advanced exploration targets containing significant drilling and historic resources that were added to Coeur's portfolio through the 2015 acquisition of Palmarejo Gold and Silver. This new block of Fresnillo concessions allows full access to these historic resources and opens up significant down depth and the long strike opportunities.

地圖右上角的大紅色橢圓形勾勒出的新瓜薩帕雷斯礦區是帕爾馬雷霍最東邊的西北走向的礦化帶。它圍繞著多個先進勘探目標，其中包含重要的鑽探和歷史資源，這些資源透過 2015 年收購 Palmarejo Gold and Silver 被添加到 Coeur 的投資組合中。弗雷斯尼洛特許權的這個新區塊允許充分利用這些歷史資源，並開闢了重要的地下深度和長期開採機會。

Validation of these historic resources and extension along strike and down depth is a short- to medium-term exploration focus. Between the Northwest trending mine and Guazapares trend as mineralization exists the Camuchin- Escondida Trend. This is the third of four identified belts at Palmarejo and has a number of key exploration targets that are expected to span the short- to long-term exploration focus.

驗證這些歷史資源以及沿走向和深度的延伸是中短期勘探的重點。在西北走向礦區和 Guazapares 走向之間存在著 Camuchin-Escondida 走向礦化。這是 Palmarejo 四個已確定礦帶中的第三個，擁有許多關鍵勘探目標，預計將涵蓋短期和長期勘探重點。

Other key news for the quarter include commencement of the largest thermal program ever at Silvertip. We are undertaking a three-pronged approach this year including near-mine extensions to known mineralization via underground drilling, larger step-outs unknown structures to rapidly add resources via surface drilling, and regional scale exploration to identify Silvertip local likes and larger structures with potential to host larger ore bodies. We look forward to providing an update on the program later in the year.

本季度的其他重要新聞包括 Silvertip 有史以來最大的熱力計劃的啟動。今年我們將採取三管齊下的方法，包括透過地下鑽探對已知礦化進行近礦區延伸、透過地表鑽探擴大未知結構以快速增加資源，以及進行區域規模勘探以識別Silvertip 當地喜歡的礦區和具有潛力的大型結構容納更大的礦體。我們期待在今年稍後提供該計劃的最新資訊。

At Kensington, the multiyear program is progressing well and is outlining new zones in upper and lower Kensington and is showing continuity of mineralization between Elmira and Elmira set. We continue to be very encouraged for ongoing mine life growth throughout this program.

在肯辛頓，多年計畫進展順利，正在勾勒上肯辛頓和下肯辛頓的新區域，並顯示埃爾邁拉和埃爾邁拉組之間礦化的連續性。在整個計劃中，我們繼續對礦山壽命的持續增長感到非常鼓舞。

With that, I'll hand the call back to Mitch.

這樣，我會將電話轉回米奇。

Thanks, Aoife. Before moving to the Q&A, I want to quickly highlight slide 14 that summarizes our top priorities for the remainder of the year. We're looking forward to delivering a strong and safe second half, highlighted by higher production levels, positive free cash flow and lower debt levels as we build up momentum heading into what should be a fantastic 2025.

謝謝，奧菲。在進行問答之前，我想快速強調投影片 14，它總結了我們今年剩餘時間的首要任務。我們期待在下半年實現強勁而安全的業績，突出表現在更高的生產水平、正的自由現金流和更低的債務水平，因為我們正在積蓄動力，邁向美好的 2025 年。

With that, let's go ahead and open it up for questions.

接下來，讓我們繼續提問。

We will now begin the question-and-answer session (Operator Instructions)

我們現在開始問答環節（操作員說明）

Joseph Reagor, ROTH Capital Partners.

約瑟夫‧雷戈爾，羅仕資本合夥人。

Hey, Mitch and team, thanks for taking my questions.

嘿，米奇和團隊，感謝您回答我的問題。

Hi, Joe.

嗨，喬。

Okay. So first thing on Rochester, you guys adjusted the cost guidance there, and there was some note about that being related to placement timing. Can you give us a little more color on that, like what exactly is driving that? And if there was any changes to your expectations as far as costs, excluding that item?

好的。因此，在羅徹斯特，你們調整了那裡的成本指導，並且有一些與安置時間相關的註釋。您能否給我們更多的訊息，例如到底是什麼推動了這一點？如果不包括該項目，您對成本的期望有任何變化嗎？

Yes, sure. I'll take a crack at it, and then Mick, maybe you can follow-up. It's really, Joe, a function of the denominator versus the numerator. So no real changes at all in any of the inputs. It was really a function of timing of ounces placed out on to Stage VI.

是的，當然。我會嘗試一下，然後米克，也許你可以跟進。喬，這其實是分母與分子的函數。因此任何輸入都沒有真正的變化。這其實是第六階段投放的盎司時間的函數。

In the second quarter, we took a few more downs than planned to knock out some items that had been identified during the ramp-up to try and make sure we've got a good clean second half ahead of us. And so just by a function of the timing of tons being put out there on Stage VI, that's really the driver behind what we decided to do with the cost guidance in the back half of the year for Rochester. Mick, anything you want to add?

在第二季度，我們比計劃進行了更多的調整，以淘汰一些在準備階段已確定的項目，以確保我們有一個乾淨的下半場。因此，僅根據第六階段發布的大量時間的函數，這確實是我們決定在今年下半年對羅徹斯特進行成本指導的驅動因素。米克，你還有什麼要補充的嗎？

Yes, we're really happy with the ramp-up. But as Mitch said, we took the opportunity to really do the work so that once we got up to that nameplate capacity and run rate, we could stay there while in the second half optimizing the size PSD, so we can get those recoveries up. So everything is going the way we expect it to, just a little bit delayed on a few of those answers to the pilot.

是的，我們對升級感到非常滿意。但正如 Mitch 所說，我們藉此機會真正開展工作，以便一旦我們達到銘牌容量和運行速度，我們就可以保持在那裡，同時在下半年優化 PSD 大小，這樣我們就可以提高回收率。所以一切都按照我們預期的方式進行，只是對飛行員的一些答覆有點延遲。

And I guess just to follow-up, one last thing, Joe, there. It was, I think, in the comments we made or maybe in the release, just with some of the downtime then we took the opportunity with the trucks to haul some run-of-mine material. So that was also

我想只是為了跟進，最後一件事，喬，在那裡。我認為，在我們發表的評論中，或者在發布的版本中，只是在一些停機時間內，我們利用卡車運輸了一些原礦材料。所以這也是

part of the equation as we thought about second half cost guidance for Rochester.

當我們考慮羅徹斯特下半年的成本指引時，這是等式的一部分。

Okay. That's helpful. On the land that was acquired near Palmarejo. When do you think the earliest time frame would be where you pull your first ounce out of the ground there?

好的。這很有幫助。在帕爾馬雷霍附近收購的土地上。您認為最早的時間範圍是何時從地下開採出第一盎司？

Good question. We'll probably start seeing some drilling first part of next year, particularly in the nearer section that's outlined on that slide in the materials. Of course, a lot of the underground development then will have to come on the heels of defining mineralization further there really on the Southeast or an extension of both Independencia and Nacion, which would probably put us into 2026 as far as the first window of seeing some ounces out of that near area that we just acquired from Fresnillo.

好問題。我們可能會在明年上半年開始看到一些鑽探，特別是在材料幻燈片中概述的較近部分。當然，許多地下開發將緊隨東南部進一步確定礦化或獨立和納西翁的延伸之後進行，這可能會讓我們在 2026 年看到第一個窗口。地區有一些盎司。

If Mick, anything to add.

如果是米克，有什麼要補充的嗎？

Yes. I mean the other thing is that underground, it's close to infrastructure. It's already areas that were mined, so it's really extensions of those areas. So as Mitch said, there's some work to do. We'll have to characterize it and we'll have to develop towards it, but it's not too far away.

是的。我的意思是另一件事是在地下，它靠近基礎設施。它已經是布雷過的區域，所以它實際上是這些區域的延伸。正如米奇所說，還有一些工作要做。我們必須描述它的特徵，我們必須朝著它發展，但它並不遙遠。

Yes. The first program that we're going to undertake there is some re-logging of that old Fresnillo core, and that's going to happen imminently. We've been mapping and sampling throughout that whole land package this year, and we would aim to get the drills in there particularly next year.

是的。我們要進行的第一個計劃是對舊的 Fresnillo 核心進行一些重新記錄，這很快就會發生。今年我們已經對整個土地包進行了測繪和採樣，我們的目標是在明年特別是在那裡鑽探。

Okay. Sounds good. And then last thing, as cash flow increases, and you guys are able to focus on debt repayment, what's the cash balance you guys would like to cover? And how much debt would you guys like to wipe out over the next couple of years?

好的。聽起來不錯。最後一件事，隨著現金流的增加，你們能夠專注於償還債務，你們想要支付的現金餘額是多少？你們希望在未來幾年內消除多少債務？

Yes. Tom, do you want to talk about how we see the balance sheet and where we're trying to get over the longer term?

是的。湯姆，你想談談我們如何看待資產負債表以及我們在長期目標上的努力嗎？

Yes. I'd just go back to our comments, we're always aiming for a total debt-to-EBITDA long term of one time and a net debt to EBITDA of no. And so to get there, when you look at where our senior notes balance looks like right now just under a shade under $300 million.

是的。我只想回到我們的評論，我們的目標始終是長期總債務與 EBITDA 比率為一倍，淨債務與 EBITDA 比率為一倍。為了實現這一目標，當你看到我們的高級票據餘額目前略低於 3 億美元。

That kind of marries up to what we think long-term EBITDA of the company is going to be on a go-forward basis. So once the free cash flow starts happening and in a second half of the year. It's all going to be geared towards repaying that revolver. I mean how fast can we get that revolver paid?

這與我們認為公司未來的長期 EBITDA 相吻合。因此，一旦自由現金流開始發生，就在今年下半年。這一切都是為了償還那把左輪手槍。我的意思是我們能多快拿到那把左輪手槍的錢？

How fast can we get to that long-term goal? I think it would be a stretch to say we'd have it done by the end of '25, but certainly in 2016. It's not out of the question to '25, it's the commodity prices were to bounce back up and stay at a level just a little bit higher than this. And in terms of the minimum cash, we probably want to always have at least $50 million on the balance sheet, operating in 3 jurisdictions. It's probably nicer to be maybe a little bit higher than that, but a fair minimum we need is $50 million.

我們能多快實現這個長期目標？我認為說我們會在 25 年底前完成這件事有些言過其實，但肯定會在 2016 年完成。到25年這並不是不可能的，而是大宗商品價格會反彈並保持在比這個高一點點的水平。就最低現金而言，我們可能希望資產負債表上始終有至少 5,000 萬美元，在 3 個司法管轄區運作。比這個高一點可能會更好，但我們需要的最低金額是 5000 萬美元。

Okay. Good stuff, guys. I'll turn it over.

好的。好東西，夥計們。我會把它翻過來。

Yes. Thanks, Joe.

是的。謝謝，喬。

(Operator Instructions) Marc Ferrari, National Bank Finance.

（操作員說明）Marc Ferrari，國家銀行財務部。

Hi guys. Just wondering how the Rochester crushing circuit is performing on a reliability basis and if you guys are seeing any problem there?

嗨，大家好。只是想知道羅徹斯特破碎電路的可靠性如何，以及你們是否發現任何問題？

Yes. Mick, do you want to give an update on kind of July, August and then how you see the back half of this year going and then into 2025?

是的。Mick，您想介紹一下 7 月、8 月的最新情況嗎？

Yes. Really, we're seeing good things. I mean, we're still only 4, 5 months into what would be a longer ramp up when we hit the nameplate. We're really happy about that. We're seeing consistent numbers on a daily basis, running at a sort of 90,000 to 100,000 tonnes per day.

是的。確實，我們看到了好事。我的意思是，當我們達到銘牌時，我們距離更長的爬坡時間還只有 4、5 個月。我們對此感到非常高興。我們每天都會看到一致的數字，每天的產量約為 90,000 至 100,000 噸。

And so last not even with a few times, we delivered nearly 2 million tonnes to the pad. Our expectation is north of that for the rest of the year and expecting to land between 7 million and 8 million tones per quarter, and that's really set work well because during that period of 78 million tons, we are continuing to optimize for size fraction. We're already seeing that getting dialed in a little bit.

就這樣，最後沒過幾次，我們就向碼頭交付了近 200 萬噸。我們的預期超出了今年剩餘時間的預期，預計每季產量將在 700 萬噸至 800 萬噸之間，這確實非常有效，因為在 7800 萬噸期間，我們正在繼續優化尺寸比例。我們已經看到了這一點。

We're seeing some really good results coming from July and a good start to August. And so it's given us a lot of confidence that we'll hit the 32 million tonnes in 2025. And we'll have that size fraction dialed into the 5 years and be getting the recoveries that we expect going forward. So yes, overall, everything is due and what we said it would do and we're pretty happy with the performance.

我們看到 7 月取得了一些非常好的結果，並為 8 月帶來了良好的開端。因此，這給了我們很大的信心，我們將在 2025 年達到 3,200 萬噸。我們將在 5 年內實現這一規模，並獲得我們預期的未來復甦。所以，是的，總的來說，一切都已完成，我們所說的話將會完成，我們對錶現非常滿意。

Yes. The first half theme was stabilized, and now the second half theme is optimized. And I think it's fair to say we're comfortably into that optimize mode there, Rochester.

是的。上半場主題穩定，現優化下半場主題。我認為可以公平地說，我們已經輕鬆地進入了最佳化模式，羅徹斯特。

Yes. There's a few little jobs to do, but there is a day here, a couple of days there to fine tune as we go through by the end of the year and we'll optimize that size fracture.

是的。有一些小工作要做，但是在年底之前，我們會在這裡一天，在那裡幾天進行微調，我們將優化尺寸裂縫。

Okay. Perfect. That's great color. That's all for me.

好的。完美的。那顏色真棒。這就是我的全部。

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

我們的問答環節到此結束。我想將會議轉回給米切爾·克雷布斯先生發表閉幕詞。

Okay. Well, hey, we appreciate everybody's time today and we look forward to talking again in November to discuss our third quarter results. Until then, have a good end of the summer and fall. Bye-bye.

好的。嗯，嘿，我們感謝大家今天抽出時間，我們期待在 11 月再次討論我們的第三季業績。在那之前，祝夏天和秋天有個美好的結束。再見。

The 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。