Endeavour Silver Corp (EXK) 2023 Q3 法說會逐字稿

Thank you for standing by. This is the conference operator. Welcome to the Endeavour Silver Corp. Third Quarter 2023 Financial Results Conference Call. (Operator Instructions) The conference is being recorded. (Operator Instructions) I would now like to turn the conference over to Galina Meleger, Vice President of Investor Relations. Please go ahead.

謝謝你的支持。這是會議操作員。歡迎參加 Endeavor Silver Corp. 2023 年第三季財務業績電話會議。 （操作員指示）會議正在錄音。 （操作員指示）我現在想將會議轉交給投資人關係副總裁 Galina Meleger。請繼續。

Thank you, operator, and good morning, everyone. Before we get started, I ask that you view our MD&A for cautionary language regarding forward-looking statements and the risk factors pertaining to these statements. Our MD&A and the financial statements are available on our website at edrsilver.com. With us on today's call is Dan Dickson, Endeavour Silver's CEO, Christine West, our Chief Financial Officer; and Don Gray, Endeavour's COO. Following Dan's formal remarks, we will open the call for questions. And now over to Dan.

謝謝接線員，大家早安。在我們開始之前，我要求您查看我們的 MD&A，以了解有關前瞻性陳述以及與這些陳述相關的風險因素的警示性語言。我們的 MD&A 和財務報表可在我們的網站 edrsilver.com 上取得。參加今天電話會議的有 Endeavor Silver 執行長 Dan Dickson、我們的財務長 Christine West；以及 Endeavour 的營運長 Don Gray。在丹正式發言後，我們將開始提問。現在輪到丹。

Thank you, Galina, and welcome, everyone. I'd like to begin by saying that we navigated through a difficult third quarter. Not only were we hit with challenging market conditions that caused a sharp decline in the Silver Miners Index by nearly 20%, our cornerstone mine, Guanaceví, had a difficult operating quarter.

謝謝你，加琳娜，歡迎大家。首先我想說我們度過了艱難的第三季。我們不僅面臨充滿挑戰的市場環境，導致白銀礦業指數大幅下跌近 20%，而且我們的基石礦場 Guanacevá 的營運季度也很困難。

The impact of lower throughput, significantly lower grades, nonroutine expenses related to repairs and maintenance and an increased operating development results in escalated costs on a per unit basis in Q3. Costs were further amplified by macro factors such as the ongoing industry-wide inflation pressures and a strong Mexican peso.

吞吐量下降、品位顯著降低、與維修和維護相關的非常規費用以及營運開發增加的影響導致第三季單位成本上升。持續的全行業通膨壓力和墨西哥比索走強等宏觀因素進一步放大了成本。

While the headline for this quarter is our elevated costs, we've taken corrective measures to get Guanaceví back on track and not have issues affecting productivity persist. Of course, nobody likes to experience a lot less for the quarter, but it's an opportunity to learn and improve.

雖然本季的頭條新聞是我們的成本上升，但我們已採取糾正措施，使Guanaceví 重回正軌，不讓影響生產力的問題持續存在。當然，沒有人願意在本季經歷更少的事情，但這是一個學習和改進的機會。

Such was the case for us as our new VP of Operations is taking steps to sustainably improve Guanaceví operating performance. I'm pleased to tell you that we're seeing a significant improvement in mine productivity this quarter.

我們的情況就是如此，我們的新任營運副總裁正在採取措施持續改善Guanaceví 的營運績效。我很高興地告訴您，我們看到本季礦山生產力顯著提高。

Of course, during the past quarter, we continued to advance in the Terronera project. Terronera provides a clear path to margin expansion, repositioning the company to attain significant free cash flow once the mine is in production.

當然，在過去的一個季度，我們繼續推進 Terronera 專案。 Terronera 提供了一條清晰的利潤擴張之路，重新定位公司，以便在礦場投入生產後獲得大量的自由現金流。

Let's discuss this year's -- or this quarter's production in more detail. Consolidated Q3 silver equivalent production was down 14% year-over-year to 1.9 million silver equivalent ounces, bringing us to 6.5 million silver equivalent ounces year-to-date. While this quarter's results still put us on track to be within this year's production guidance range, there's a little room for setback in Q4.

讓我們更詳細地討論今年或本季的產量。第三季白銀當量綜合產量年減 14%，至 190 萬白銀當量盎司，年初至今為 650 萬白銀當量盎司。雖然本季的業績仍使我們預計在今年的生產指導範圍內，但第四季仍有一點回落的空間。

Guanaceví's production shortfall is due to a number of factors. If you recall, we discussed initiating changes to our mine plan and infrastructure to improve working conditions for our employees by providing better ventilation and improving our water management. To address these conditions, we temporarily changed mine sequencing.

瓜納塞維的產量短缺是由多種因素造成的。如果您還記得的話，我們討論過對礦山計劃和基礎設施進行更改，透過提供更好的通風和改善水管理來改善員工的工作條件。為了解決這些問題，我們暫時改變了我的定序。

This meant mining lower silver and gold grade stopes until we sufficiently address the temperatures and the water inflows lower in our mine. Ultimately, these issues could have been better managed to prevent impacts on production. Simultaneously, increased fill development during Q3 to open more stopes further impacted Q3's mine outlook.

這意味著要開採較低品位的銀和金採場，直到我們充分解決礦場溫度較低和水流入較低的問題。最終，這些問題本來可以得到更好的管理，以防止對生產造成影響。同時，第三季增加的充填開發以開設更多採場進一步影響了第三季的礦場前景。

Sequencing of sill development will continue to be a focus for Guanaceví to ensure stable production schedule going forward near term and long term. While the temporary changes have lasted longer than we anticipated, conditions have improved and mine output has increased.

床台開發的順序將繼續成為Guanacevà 的重點，以確保近期和長期穩定的生產計劃。雖然臨時變化持續的時間比我們預期的要長，但情況有所改善，礦山產量增加。

With the conditions within the mine, management felt it was an appropriate opportunity for an extended plant shutdown to address areas within the plant requiring more time than our standard maintenance shutdowns. Considerable maintenance work was performed in all areas of the plant, including crushing, grinding, thickeners and the filter press to ensure we maintain consistent throughput going forward and alleviate risks that could result in unplanned downturn.

鑑於礦井內的情況，管理層認為這是延長工廠停工時間的適當機會，以解決工廠內需要比標準維護停工時間更長的區域的問題。在工廠的所有區域進行了大量的維護工作，包括破碎、研磨、濃縮機和壓濾機，以確保我們保持穩定的吞吐量，並減輕可能導致意外衰退的風險。

With the plant maintenance completed in early October, both the mine and the plant are operating at or above capacity. The combination of these events during the third quarter resulted in quarterly silver-gold production decreasing by 22% and 13%, respectively. It equates to a production shortfall of nearly 400,000 ounces of silver compared to previous quarters and our annual mine plan.

隨著工廠維護工作於 10 月初完成，礦山和工廠均已達到或超過產能運作。第三季這些事件的綜合導致季度銀金產量分別下降 22% 和 13%。與前幾季和我們的年度礦場計畫相比，這相當於白銀產量缺口近 40 萬盎司。

But as I've said, we are back on track, with Q4 expected to meet plan. The performance of our other mine, Bolañitos, remained steady. Increased gold production was offset by a lower silver production in Q3. The Bolañitos operation teams continue a strong effort to meet or beat their targets, including mined and process tonnes. Our safety programs and results have been outstanding at both operations.

但正如我所說，我們已回到正軌，第四季度預計將達到計劃。我們的另一個礦山 Bolañitos 的業績保持穩定。第三季黃金產量的增加被白銀產量的下降所抵銷。 Bolañitos 營運團隊繼續努力實現或超越他們的目標，包括開採和加工噸數。我們的安全計畫和結果在這兩項行動中都表現出色。

Moving to our financials. We reported revenue of $49.5 million, with cost of sales of $46.7 million, [for] operating earnings of $2.7 million and mine operating cash flow of $10.6 million. After exploration, G&A and other investment expenses, we reported a net loss of $2.3 million or a loss -- a $0.01 loss per share. This quarter, our cost of sales increased 35% compared to the same period last year.

轉向我們的財務狀況。我們報告的收入為 4,950 萬美元，銷售成本為 4,670 萬美元，營業利潤為 270 萬美元，礦場經營現金流為 1,060 萬美元。扣除勘探、一般行政費用和其他投資費用後，我們報告淨虧損 230 萬美元，即每股虧損 0.01 美元。本季度，我們的銷售成本與去年同期相比成長了35%。

While there are a number of drivers including the strength in Mexican peso, higher labor, power and consumable costs and increased royalty costs, a significant part the Q3 story was low production at Guanaceví impacting costs on a per unit basis. Guanaceví delivered $6.7 million of operating cash flow after.

雖然有許多驅動因素，包括墨西哥比索的強勢、勞動力、電力和消耗品成本上升以及特許權使用費成本增加，但第三季度的一個重要部分是瓜納塞維的產量較低，影響了單位成本。之後，Guanacevá 實現了 670 萬美元的營運現金流。

However, after capital and exploration expenditures, Guanaceví reported negative mine free cash flow of $1.3 million. It's been quite some time since Guanaceví has not delivered a positive free cash flow quarter. Year-to-date, Guanaceví has delivered $12.2 million of mine free cash flow, and Bolañitos remained slightly above breakeven.

然而，在扣除資本和勘探支出後，Guanacevà 報告礦場自由現金流為 130 萬美元。瓜納塞維已經有一段時間沒有實現正的自由現金流季度了。今年迄今為止，Guanaceví 已交付 1,220 萬美元的礦場自由現金流，而 Bolañitos 仍略高於盈虧平衡點。

Regarding operating costs, we've seen pressures on several fronts. Our direct cost per tonne were up 23%. The increase in operating development paired with higher energy costs, increased labor due to reshifting the workforce, an increase in costs from accepting more tolled ore, had the largest effect this quarter.

關於營運成本，我們看到了幾個方面的壓力。我們每噸的直接成本上漲了 23%。營運開發的增加加上能源成本的上升、勞動力轉移導致的勞動力增加以及接受更多收費礦石導致的成本增加，在本季度產生了最大的影響。

While the Mexican peso weakened in the latter part of Q3, it remained high, averaging 17:1 in the third quarter. The peso has recently reversed course, but it's still 10% above our budgeted assumptions. Again, all these factors translate into higher costs overall.

儘管墨西哥比索在第三季後半段走弱，但仍保持在高位，第三季平均比索為 17:1。比索最近扭轉了趨勢，但仍比我們的預算假設高出 10%。同樣，所有這些因素都會轉化為更高的整體成本。

Quarterly cash costs and the all-in sustaining costs are at $17.95 per ounce and $29.64 per ounce, respectively. On a year-to-date basis, we've reported a $13.08 cash cost and $23.41 all-in sustaining costs, which are both above our original guidance provided in January.

季度現金成本和整體維持成本分別為每盎司 17.95 美元和每盎司 29.64 美元。年初至今，我們報告的現金成本為 13.08 美元，整體維持成本為 23.41 美元，均高於我們 1 月提供的原始指引。

Looking to the rest of the year, containing costs will continue to be a focus as we work to improve the efficiencies of our operations. We're closely reviewing our purchasing practices to see where and how we can make improvements.

展望今年剩餘時間，在我們努力提高營運效率的過程中，控製成本將繼續成為關注的焦點。我們正在仔細審查我們的採購實踐，看看我們可以在哪些方面以及如何進行改進。

At this time, while we expect cost metrics to improve, additional maintenance work related to the plant shutdown continued for the first week of Q4 and increased operating development is expected to continue into Q4. Additionally, cost pressures related to macro factors will continue. However, management anticipates that Q4 cost metrics will improve as productivity and production are expected to return to historic levels.

目前，雖然我們預計成本指標將會改善，但與工廠關閉相關的額外維護工作將在第四季度的第一周繼續進行，並且預計營運開發的增加將持續到第四季度。此外，宏觀因素帶來的成本壓力仍將持續。然而，管理層預計，隨著生產力和產量有望恢復到歷史水平，第四季的成本指標將會改善。

As at September 30, we had cash on hand of $41 million and working capital of $76 million. During the quarter, we raised gross proceeds of $23 million through the ATM and another allotment of $17 million was raised subsequent to quarter end to ensure there is sufficient funding for the development of the Terronera project.

截至 9 月 30 日，我們手頭現金為 4,100 萬美元，營運資金為 7,600 萬美元。本季度，我們透過 ATM 籌集了 2,300 萬美元的總收益，並在季度末後籌集了 1,700 萬美元的撥款，以確保有足夠的資金用於 Terronera 專案的開發。

On October 10, we executed the $120 million project financing agreement with SocGen and ING Capital to fund the Terronera project. As per requirements under the project loan, the company will primarily self-fund development through cash on hand before drawing down on the facility. As such, the company expects to draw down on these funds in 2024. Based on the project spend schedule, it's anticipated we'll be fully committed on the project capital costs in the early Q2 2024.

10 月 10 日，我們與法國興業銀行和 ING Capital 簽署了 1.2 億美元的專案融資協議，為 Terronera 專案提供資金。根據專案貸款的要求，公司將主要透過手頭現金自籌開發資金，然後再提取貸款。因此，公司預計將在 2024 年動用這些資金。根據專案支出計劃，預計我們將在 2024 年第二季初完全承擔專案資本成本。

Moving to more detail information on the construction of Terronera. At the end of Q3, we reached 38% completion, and we expect to be close to crossing the halfway mark by year-end. We spent $95 million to the end of Q3 on direct development. Project commitments totaled $160 million, which is 69% of the $230 million initial CapEx budget. With the execution of the $120 million senior secured debt facility, we are well positioned to satisfy the financing requirements of the budget.

前往有關 Terronera 建設的更多詳細資訊。第三季末，我們完成了 38%，預計到年底將接近完成一半。到第三季末，我們在直接開發上花了 9500 萬美元。專案承諾總額為 1.6 億美元，佔初始資本支出預算 2.3 億美元的 69%。隨著 1.2 億美元優先擔保債務融資的執行，我們完全有能力滿足預算的融資需求。

During the quarter, we made notable progress in a number of key areas. Not only have we completed construction of our permanent camp and now can fully accommodate our workforce, but we've also made significant progress on construction of our process plant, with surface construction now above 42% complete. If you're interested in seeing photos of the construction progress, I encourage you to visit our website under the Terronera page.

本季度，我們在一些關鍵領域取得了顯著進展。我們不僅完成了永久營地的建設，現在可以完全容納我們的員工，而且我們的加工廠建設也取得了重大進展，地面建設現已完成 42% 以上。如果您有興趣查看施工進度的照片，我鼓勵您訪問我們的 Terronera 頁面下的網站。

Let me recap some recent developments. Of note, with rainy season upon us during Q3, construction safety measures were modified. The focus was on visibility and project road maintenance. We are pleased the extensive improvements over the last year helped maintain the site roads, keeping them in good condition and accessible. As a result, equipment access and material deliveries to the site were unaffected during the rainy season. Additionally, visibility control measures were reinforced.

讓我回顧一下最近的一些進展。值得注意的是，隨著第三季雨季的到來，施工安全措施也發生了變化。重點是能見度和專案道路維護。我們很高興去年的廣泛改進有助於維護現場道路，使其保持良好狀態和無障礙。因此，雨季期間設備進出和物資運送沒有受到影響。此外，能見度控制措施也得到加強。

On the recruitment side, the workforce continues to grow, with on-site personnel having increased over 520 employees and contractors. The total engineering progress is nearly complete. Most equipment has now been purchased and deliveries for all major plant equipment will be completed by year-end.

在招聘方面，勞動力持續成長，現場人員增加了 520 多名員工和承包商。整體工程進度已接近完成。目前大部分設備已購買完畢，所有主要工廠設備的交付將於年底完成。

During Q3, the request for bid proposals for the mill construction contract was nearly complete, which includes structural steel, mechanical, piping, electrical and instrumentation. Mine development remains our critical path. At quarter end, over 1,300 meters have been completed and advanced rates are gaining momentum as Portal 2 and 4 pass-through the fault zone and ground conditions have improved.

第三季度，工廠建設合約的招標已接近完成，其中包括鋼結構、機械、管道、電氣和儀表。礦山開發仍然是我們的重要出路。截至季度末，已完成 1,300 多米，隨著 2 號和 4 號通道穿過斷層帶以及地面條件的改善，進度正在加快。

During the quarter, Portal 1 reached its design elevation, allowing for mine development events now on 4 fronts, Portal 1, 2, 4, which is incline and decline directions. Plant site earthworks, concrete work and rebar installation are underway. Concrete work and rebar installations continuing the SAG and ball mill grinding areas, coarse ore stockpile and flotation areas.

在本季度，Portal 1 達到了設計高度，現在可以在 4 個前沿進行礦山開發活動，Portal 1、2、4，即傾斜和下降方向。廠區土方工程、混凝土工程及鋼筋安裝正在進行中。混凝土工程和鋼筋安裝延續了 SAG 和球磨機研磨區域、粗礦石堆放和浮選區域。

Concrete work also began for the primary crusher and excavation work started in the tailings thickener area. And lastly, on the community side, we continue to focus on supporting the municipality with projects like upgrades to our roads, our local landfill and communication infrastructure.

初級破碎機的混凝土施工也已開始，尾礦濃縮機區域的挖掘工作也已開始。最後，在社區方面，我們繼續專注於支持市政府的道路、當地垃圾掩埋場和通訊基礎設施升級等項目。

Looking ahead, our main focuses remain progressing our mine development, advancing concrete work for the mill platform on schedule with electromechanical contractor mobilization in early 2024, which marks the next major phase of the construction for Terronera, and starting excavation on the filtration and LNG power plant areas and the TSF.

展望未來，我們的主要重點仍然是推進礦山開發，在 2024 年初動員機電承包商按計劃推進磨機平台的具體工作，這標誌著 Terronera 建設的下一個主要階段，並開始過濾和液化天然氣發電的挖掘廠區和TSF。

That wraps up my formal comments for today. Myself, Don Gray and Christine are happy to answer any questions that you may have. Over to you, operator, for Q&A.

我今天的正式評論到此結束。我本人、唐·格雷和克里斯汀很樂意回答您的任何問題。接線員，請您進行問答。

(Operator Instructions) The first question comes from Heiko Ihle with H.C. Wainright.

（操作員說明）第一個問題來自 Heiko Ihle 和 H.C.溫賴特。

It's nice to see an 8-figure mine operating cash flow before taxes figure, even though this was obviously a challenging quarter. Building on all of that, you had a production shortfall at Guanaceví due to mine sequencing changes required to focus on improved access and ventilation.

很高興看到礦山稅前營運現金流達到 8 位數，儘管這顯然是一個充滿挑戰的季度。在此基礎上，由於需要重點改善通道和通風而改變礦山順序，瓜納塞維出現了產量短缺。

Some of the maintenance there was completed in September. It's now November as per your release. So building on all of that, which, if any, of the effects from the mine sequencing changes should we anticipate the last through the remainder of the year, maybe even into 2024? Phrasing it differently, I guess, more simple. Has your expectation for Q4 changed from what it was 2 months ago, and are there meaningful impacts that we should model out?

那裡的部分維護已於九月完成。根據您的發布，現在是 11 月。因此，基於所有這些，我們是否應該預測到今年剩餘時間，甚至可能到 2024 年，礦山定序變化的影響（如果有的話）？我想換個說法，更簡單。您對第四季的預期與兩個月前相比是否發生了變化？我們應該模擬哪些有意義的影響？

Sorry, Heiko. It's good to hear from you. Just your question got muffled there a little bit at the end. I'm not sure I heard it properly.

對不起，海子。很高興收到你的來信。只是你的問題最後有點模糊了。我不確定我聽得是否正確。

The question ultimately is, building on the changes that we saw at Guanaceví, should we anticipate them to last through the remainder of the year? Or are most of the impacts from them gone? And then I phrased it a little differently. Has your expectation for Q4 for the site changed from where it was about 2 months ago?

最終的問題是，基於我們在瓜納塞維看到的變化，我們是否應該預期這些變化會持續到今年剩餘時間？或者它們的大部分影響已經消失了嗎？然後我的措辭略有不同。您對該網站第四季度的期望與大約 2 個月前相比有變化嗎？

Yes. It's a very fair question, and it's nice to hear from you, Heiko. Ultimately, our -- the designs of the change that we put through is to improve ventilation and improve our -- the management of our water. We're getting more inflow down the El Curso concession than necessarily was expected about a year ago.

是的。這是一個非常公平的問題，很高興收到你的來信，Heiko。最終，我們所做的改變的設計是為了改善通風並改善我們的水管理。我們從 El Curso 特許權流入的資金比大約一年前的預期還要多。

And we're making those changes. And ultimately, our throughput and our mine output have increased here in Q4. We expect that most of the work that we did in Q2 and Q3 would be lasting. So not only do we expect Q4's production throughput -- production output from the mine and ultimately, throughput through the plant to meet plan, which is effectively around 1,200 tonnes per day, those changes should help benefit us for 2024 and beyond.

我們正在做出這些改變。最終，我們的吞吐量和礦山產量在第四季度增加。我們預計第二季和第三季所做的大部分工作將是持久的。因此，我們不僅預計第四季度的產量——礦山的產量，以及最終工廠的產量，以滿足計劃（實際上約為每天 1,200 噸），這些變化應該有助於我們在 2024 年及以後受益。

And I'd say some of these things are preventable. The fact that we could have managed it better last year, made sure that we were advanced on our ventilation program and our water inflow program, it's something we didn't do. We can be better on it. It's just that all this came kind of all at once and ultimately impacted our production here in Q3.

我想說，其中一些事情是可以預防的。事實上，我們去年可以做得更好，確保我們在通風計劃和進水計劃方面取得進展，但我們沒有這樣做。我們可以做得更好。只是所有這些突然發生並最終影響了我們第三季的生產。

And with that impact on production in Q3, it really showed in our financial results and, ultimately, our cost metrics at Guanaceví. I wouldn't say it's completely behind us. We're still working on ventilation and water management. We expect that to be done here in Q4, but ultimately, our output is up. So with our output up, we'll at least meet our production plan.

由於對第三季生產的影響，它確實體現在我們的財務表現中，並最終體現在我們瓜納塞維的成本指​​標中。我不會說它已經完全落後我們了。我們仍在致力於通風和水管理。我們預計這將在第四季度完成，但最終我們的產量將會上升。因此，隨著產量的增加，我們至少可以滿足我們的生產計劃。

I think that's a very fair answer and reassuring as well. Completely different thing. You're hosting a visit for Terronera in 2 weeks, and you're obviously excited to attend. Construction progress at the site is 38% complete as per your release today of the (inaudible).

我認為這是一個非常公平的答案，也令人放心。完全不同的事情。兩週後您將接待 Terronera 的訪問，您顯然很高興能參加。根據您今天發布的消息（聽不清楚），現場施工進度已完成 38%。

Just going through the last release you had on the site, it stated that procurement as a whole, procurement efforts are on schedule with most long-lead major equipment anticipated be received by year's end. It was 1.5 weeks ago. What exactly is still missing and where exactly is it? Is it at customs? Is it a shift? Is it with the suppliers? Anything that's concerning you or maybe should concern us? I assume the answer is no, but I just wanted to make sure.

剛剛瀏覽了網站上發布的最新版本，它表示採購作為一個整體，採購工作正在按計劃進行，大多數長期領先的主要設備預計將在年底前收到。那是 1.5 週前。到底還缺什麼？它到底在哪裡？是在海關嗎？是換班嗎？與供應商有關嗎？有什麼與您有關或可能應該與我們有關的事情嗎？我認為答案是否定的，但我只是想確定一下。

No, there's always things that concern us. I mean, the big thing that comes to mind right now is some delays in [houses]. Those weren't expected. I wouldn't necessarily call them critical items, but they're important items because every piece of equipment and parts matter to get the plant up and going. As I say, all our key components for the mine and key components to the plant were ultimately ordered quite early on, and most of that's being delivered this year.

不，總有一些事情讓我們擔心。我的意思是，現在想到的最重要的事情是[房屋]的一些延誤。這些是沒有預料到的。我不一定稱它們為關鍵物品，但它們是重要物品，因為每種設備和零件對於工廠的啟動和運作都很重要。正如我所說，我們礦山的所有關鍵部件和工廠的關鍵部件最終都是很早就訂購的，其中大部分將於今年交付。

There's smaller equipments now that we're going through. Right now, we're going through ATCs on steel. That's going to be kind of delivered out to suppliers and that expectation is going to come. But over the next year until we get into production and start up the plant, there'll be all these little things, and our job is to manage that. And there's always unforeseen items that we have to manage. And right now, it's been fine. So there's been nothing critical, but something will come up and it will be our job to manage that.

現在我們正在使用更小的設備。現在，我們正在對鋼鐵進行 ATC。這將交付給供應商，並且這種期望將會到來。但在明年，直到我們投入生產並啟動工廠之前，將會出現所有這些小事情，而我們的工作就是管理這些事情。我們總是需要管理不可預見的事。現在，一切都很好。因此，沒有什麼重要的事情，但會出現一些問題，我們的工作就是管理它。

The next question comes from Lucas Pipes with B. Riley Securities.

下一個問題來自 B. Riley Securities 的 Lucas Pipes。

My first question is a follow-up on Guanaceví. As you look out to 2024, what do you think could these measures you've taken mean when it comes to production and the cost profile?

我的第一個問題是關於瓜納塞維的後續問題。展望 2024 年，您認為您所採取的這些措施對生產和成本狀況意味著什麼？

Yes. For us for 2024, we'll put out guidance in January, but Guanaceví, we've been there 18 years. The plant capacity is 1,200 tonnes per day. I mean now it's pretty easy to make the assumptions that we'll be able to do 1,200 tonnes per day for 2024. Ultimately, the measures we've taken in Q3 ensures that we can have a 1,200 tonne per day operation.

是的。對於我們的 2024 年，我們將在 1 月發布指導，但 Guanacevà，我們已經這樣做了 18 年。該工廠的產能為每天 1,200 噸。我的意思是，現在很容易做出這樣的假設：到 2024 年，我們將能夠每天生產 1,200 噸。最終，我們在第三季度採取的措施確保我們能夠每天生產 1,200 噸。

If we can maintain our production profile, it will allow us to meet guidance from a cost standpoint, and our all-in sustaining cost is expected to be between $19 and $20 this year. That's probably going to be a little bit higher next year because of the inflation factors, but we'll come out with that guidance in January.

如果我們能夠維持我們的生產狀況，這將使我們能夠滿足成本角度的指導，今年我們的整體維持成本預計在 19 至 20 美元之間。由於通貨膨脹因素，明年的價格可能會更高一些，但我們將在一月份公佈這項指導。

I appreciate those comments. And then a question on Terronera. In terms of kind of your minimum cash and liquidity targets while you do the development there, anything specific we should keep in mind as we model kind of cash flow over the coming quarters? Would appreciate your perspective.

我很欣賞這些評論。然後是關於 Terronera 的問題。就您在那裡進行開發時的最低現金和流動性目標而言，在我們對未來幾季的現金流量進行建模時，我們應該記住什麼具體內容？非常感謝您的觀點。

Yes. I think it's important that we maintain a certain level of liquidity. Right now, we're sitting on $76 million of working capital, and that's what we look to when we're looking at our liquidity, especially during this development cycle that we're in with Terronera.

是的。我認為保持一定程度的流動性很重要。目前，我們擁有 7,600 萬美元的營運資金，這就是我們在考慮流動性時所關注的，特別是在我們與 Terronera 合作的這個開發週期中。

I think it's important to know that we do have to spend our cash first before we can drawdown on our debt facility. And we expect to draw down our cash not to 0, but to a certain level, probably $20 million, $25 million before we draw down on that facility. Then once we start drawing down that facility, hopefully, our cash builds with performance at Guanaceví and Bolañitos, and we'll see that in 2024.

我認為重要的是要知道我們必須先花掉現金才能提取債務融資。我們預計在提取該額度之前，我們的現金不會提取到 0，而是提取到一定水平，可能是 2000 萬美元、2500 萬美元。然後，一旦我們開始提取該貸款，我們的現金預計將隨著瓜納塞維和博拉尼托斯的業績而增加，我們將在 2024 年看到這一點。

The next question comes from [Trevor Ward], private investor.

下一個問題來自私人投資者 [Trevor Ward]。

Calling from Hawaii. I'm relatively new in terms of purchasing common stocks and I bought a substantial -- in my opinion, anyway, a substantial position in Endeavour. So I'm currently holding 40,000 shares at an average cost of $3.10. What I'm curious about is all this jargon and the numbers, for me, the bottom line is, in terms of, let's say, over the next year and then looking forward, when do I expect to actually see Endeavour actually turn a profit and show a dividend?

從夏威夷打來的電話。我在購買普通股方面相對較新，而且我購買了大量的——無論如何，在我看來，是奮進公司的大量頭寸。因此，我目前持有 40,000 股，平均成本為 3.10 美元。我很好奇的是所有這些行話和數字，對我來說，底線是，比如說，在明年，然後展望未來，我預計什麼時候才能真正看到 Endeavour 真正實現盈利並顯示股息？

Well, Trevor you're lucky that you're sitting in Hawaii right now. We're here in Vancouver. It's a beautiful day, but ultimately cold, so I do wish I was where you were. For Endeavour Silver, where we are right now from a growth profile standpoint is we're investing in our Terronera project and Terronera is going to take us from 9 million ounces of silver equivalent to 16 million ounces of silver equivalent production per year.

好吧，特雷弗，你很幸運，你現在坐在夏威夷。我們在溫哥華。這是美好的一天，但最終還是很冷，所以我真希望我在你所在的地方。對於 Endeavor Silver 來說，從成長概況的角度來看，我們現在正在投資 Terronera 項目，而 Terronera 將使我們每年的白銀產量從 900 萬盎司增加到 1600 萬盎司。

Having that scale is going to improve our earnings, and we've had positive earnings over the years. This quarter in itself, of course, we lost $0.01. Obviously, we don't want to be in that position. We want to be making money no matter what price of silver is or what price of gold is. And I think Terronera is going to do that for us.

擁有這樣的規模將提高我們的收入，而且多年來我們已經獲得了正收益。當然，本季我們損失了 0.01 美元。顯然，我們不想處於這種境地。無論白銀價格或黃金價格如何，我們都希望賺錢。我認為特羅內拉將為我們做到這一點。

As far as dividend, because of Terronera, that's going to be in the future. I wouldn't say in the near future because we also have the Pitarrilla project coming in behind that. Our goal is to advance Pitarrilla. Pitarrilla would be a significant scale project that we still have a lot of work to do on, but we are feeling confident with it. But again, any capital and cash flow that comes from Terronera, we're probably going to reinvest in the company.

至於股息，由於 Terronera，這將是未來的事情。我不會說在不久的將來，因為我們還有 Pitarrilla 計畫在後面。我們的目標是推動 Pitarrilla 的發展。 Pitarrilla 將是一個規模龐大的項目，我們還有很多工作要做，但我們對此充滿信心。但同樣，來自 Terronera 的任何資本和現金流，我們都可能會對該公司進行再投資。

So unfortunately, if you're looking for a dividend from Endeavour Silver, it's probably not going to come in the near future. But with what can happen in the silver price, and ultimately, if you're investing in Endeavour Silver, you're investing in the price of silver, that could change, and I hope it does. But like I say, currently, right now, with where we're at with $23 silver, I don't see a dividend in the near future until we're fully invested with and exploit what we have with Pitarrilla, Parral and our other exploration programs.

因此，不幸的是，如果您正在尋求 Endeavour Silver 的股息，它可能不會在不久的將來派發。但隨著白銀價格的變化，最終，如果你投資 Endeavour Silver，你就是投資白銀的價格，這可能會改變，我希望它會改變。但就像我說的，目前，現在，我們的白銀價格為 23 美元，在我們充分投資並利用 Pitarrilla、Parral 和我們的其他產品之前，我認為在不久的將來不會有股息。探索計劃。

All right. So just a couple of more quick questions with that. (inaudible) a little while ago, I saw -- I watched a interview with yourselves and your projection, and your assumption at that time was that by the end of 2023, silver would hit $30 an ounce. Just to quickly -- what brought you to that?

好的。那麼還有幾個簡單的問題。 （聽不清楚）不久前，我看到──我看了你們自己的訪談和你們的預測，你們當時的假設是，到 2023 年底，白銀將達到每盎司 30 美元。快點說一下——是什麼讓你這麼做的？

And also in terms of maybe a quick brief explanation of how the international silver market works. And then the last question before I say goodbye is, what is your current position? And can you tell me, since you've been in this position, what is your current holding of stock? And when was the last time you bought or sold the stock?

或許還可以簡單解釋一下國際白銀市場的運作方式。告別之前的最後一個問題是，你目前的職位是什麼？您能告訴我，既然您擔任這個職位，您目前持有的股票是多少？您最後一次買入或賣出股票是什麼時候？

Sure. And there's a lot of questions there, the overall market and my personal position. My personal position, I believe I hold about 400,000 and 450,000 shares of Endeavour. My holding price would probably be between $4 and $5, and my carrying price would be. The last time I bought stock would have been last year, about May or March of 2022. But that's probably enough about me.

當然。那裡有很多問題，包括整體市場和我個人的立場。我個人的立場是，我相信我持有大約400,000股和450,000股Endeavour股票。我的持有價可能在 4 美元到 5 美元之間，而我的持有價則是。我上次買股票是在去年，大約是 2022 年 5 月或 3 月。但這對我來說可能就足夠了。

With regards to me saying that silver price would been $30, I couldn't tell you when -- which YouTube or which interview you listened to, but I have said on in the past, and ultimately, that would be based on where gold price is. And if you look at the history of gold and silver ratio, the last 35 years has averaged about 35:1.

至於我說白銀價格將是 30 美元，我無法告訴你什麼時候——哪個 YouTube 或你聽了哪個採訪，但我過去說過，最終，這將取決於金價是。如果你看一下黃金和白銀的歷史比例，過去 35 年的平均比例約為 35:1。

Right now, gold is sitting below $2,000. Maybe at that time, gold was at $2,100. So to get to a ratio -- right now, I think we're sitting 86:1. To get to a ratio similar to what we've seen historically, that would push silver up into the high 20s and ultimately $30. We hit $29 silver a couple of years ago now, and we've really come off of that. And I mean it's been a very uncertain times, and with rising interest rates, silver prices not performed.

目前，金價跌破 2,000 美元。也許那時黃金是2100美元。因此，為了達到一個比例——現在，我認為我們的比例是 86:1。為了達到與我們歷史上看到的類似的比率，這將推動白銀價格升至 20 美元左右，最終達到 30 美元。幾年前，我們的白銀價格達到了 29 美元，現在我們已經真正擺脫了這一困境。我的意思是，這是一個非常不確定的時期，隨著利率的上升，白銀價格並沒有表現出來。

But funny enough, gold has held on considerably well. I think that's a positive thing for the silver price. I think if gold pushes up through $2,000 and $2,100, silver always eventually follows. It's just there's a lag time and a lag period, and sometimes that lag period's 6 months, sometimes that lag period's 1 year. So with me procrastinating or projecting that silver was going to be $30, I don't think I've never not said that. So I likely did and it maybe based on where gold price is.

但有趣的是，黃金的表現相當不錯。我認為這對白銀價格來說是一件正面的事情。我認為，如果金價突破 2,000 美元和 2,100 美元，白銀最終總是會跟隨上漲。只是有一個滯後時間和一個滯後期，有時滯後期是6個月，有時滯後期是1年。因此，當我推遲或預測白銀將達到 30 美元時，我想我從來沒有說過這樣的話。所以我很可能這麼做了，這可能取決於金價的情況。

And then ultimately, how the silver market works in the world, that's a huge question. I mean it's a large market. There's over 800 million ounces that are produced and sold. It's sold through different exchanges in the United States, China, across everywhere. I don't think I'll get into that right now, Trevor. But happy to answer those questions through our info line. Give our IR group a call, and we'll take you through that another time. But I'll move now to next question, operator.

最終，白銀市場在世界上如何運作，這是一個巨大的問題。我的意思是這是一個很大的市場。生產和銷售量超過 8 億盎司。它透過美國、中國等世界各地的不同交易所進行銷售。我想我現在不會討論這個，特雷弗。但很高興透過我們的資訊熱線回答這些問題。請給我們的 IR 小組打電話，我們下次會幫您解決這個問題。但我現在要轉向下一個問題，接線員。

The next question comes from Craig Hutchison with TD Securities.

下一個問題來自道明證券的 Craig Hutchison。

I was wondering if you guys can give us an update with respect to Pitarrilla, what some of the milestones are. I know you had some issues around ground control, but any kind of milestones in terms of the exploration work there and potential for an updated PEA?

我想知道你們能否為我們介紹一下 Pitarrilla 的最新情況，以及其中的一些里程碑。我知道你們在地面控制方面遇到了一些問題，但是在勘探工作和更新 PEA 的潛力方面有什麼里程碑嗎？

Yes. No, that's a great question, Craig. Thank you. Ultimately, we wished we were drilling at Pitarrilla this quarter. As you touched on, we had some ground issues. It's the fault that we're getting through, [we support it]. But ultimately, there's continue to be rockfalls in the old [audit] that was there. So we are doing a parallel audit, and we've taken that drill program and ultimately put it into an audit advance this year.

是的。不，這是一個很好的問題，克雷格。謝謝。最終，我們希望本季能夠在 Pitarrilla 進行鑽探。正如您所提到的，我們遇到了一些基本問題。這是我們正在克服的錯誤，[我們支持它]。但最終，舊的[審計]中仍然存在落石現象。因此，我們正在進行並行審計，我們已經採取了該演習計劃，並最終將其納入今年的審計預付款中。

So we will not be drilling Pitarrilla until January, possibly February of next year. Still allows us to do a PEA or start doing economic studies on Pitarrilla next year, but we want to make sure we get that audit complete, get the drilling done on what we think is some feeder zones and then ultimately look at this project as potentially a next development project after Terronera. And that would be like I said, starting to make those economic studies hopefully midyear to end of next year.

因此，我們要等到明年一月（可能是明年二月）才會鑽探 Pitarrilla。仍然允許我們明年對 Pitarrilla 進行 PEA 或開始進行經濟研究，但我們希望確保完成審計，在我們認為的一些支線區域完成鑽探，然後最終將該項目視為潛在的項目Terronera 之後的下一個開發項目。就像我說的那樣，希望在年中到明年年底開始進行這些經濟研究。

Okay. And just one other question for me. Just with regards to the debt funding, there's a stipulation that you'll need a cost overrun funding in the form of cash or letter of credit up to $48 million. How should we think about that? Is that a requirement? Would that effect become like a restricted cash requirement you have to hold for a certain period? Or how do we just understand that $48 million requirement?

好的。還有一個問題想問我。僅就債務融資而言，有一項規定是您需要以現金或信用證形式提供高達 4800 萬美元的成本超支資金。我們該如何思考這個問題？這是一個要求嗎？這種影響是否會變得像您必須在一段時間內持有的受限現金需求一樣？或者我們如何理解 4800 萬美元的要求？

Yes. It's a very good question, fair question. It's actually broken into 2 tranches. So the first $60 million of $120 million is available to us with costs overrun funding of $24 million. Ultimately, it wouldn't be restricted. However, it's almost treated like restricted cash. And then, of course, when the next $60 million funding comes of $120 million, another $24 million (inaudible).

是的。這是一個非常好的問題，公平的問題。它實際上分為兩部分。因此，我們可以使用 1.2 億美元中的首 6,000 萬美元，其中成本超支的資金為 2,400 萬美元。最終，它不會受到限制。然而，它幾乎被視為受限現金。當然，當下一個 6,000 萬美元的資金達到 1.2 億美元時，又是 2,400 萬美元（聽不清楚）。

Now we'll look at where we are from project construction standpoint and whether the full $48 million of overfunding is required, and we'll do that with the independent engineers. So we'll come to that sometime, I guess, midyear in 2024. But in your question, is that restricted? Possibly yes.

現在，我們將從專案建設的角度來看看我們所處的位置，以及是否需要全額 4,800 萬美元的超額資金，我們將與獨立工程師一起完成這項工作。所以我們會在 2024 年年中的某個時候討論這個問題。但你的問題是，這是否受到限制？可能是的。

Okay. And maybe just maybe as a follow-up. I guess, would it be fair to say you have more to do on the ATM facility this quarter just to kind of get your cash position up ahead of that drawdown?

好的。也許只是作為後續行動。我想，公平地說，本季您在 ATM 設施上還有更多工作要做，只是為了在提款之前增加您的現金部位？

Yes, it's very possible if the market allows it. Obviously, we want us [to be] -- perform as expected, and that impacts our balance sheet. Now I think our balance sheet is in great shape. We have over $41 million of cash at the end of the quarter with $76 million in working capital. There are some levers on our long term.

是的，如果市場允許的話，這是很有可能的。顯然，我們希望我們能夠按預期執行，這會影響我們的資產負債表。現在我認為我們的資產負債表狀況良好。截至本季末，我們擁有超過 4,100 萬美元的現金，其中營運資金為 7,600 萬美元。從長遠來看，我們有一些槓桿。

We had [EVA] of about $18 million related to Terronera that hopefully we can get to current in relatively short order. So that gives us more funding that's available, almost $96 million of working capital if we include that EVA. So I think we're in really good shape, but it's something that we have to be mindful of while we're in development and with these markets. So we will be, and I think we're doing a good job managing that.

我們擁有與 Terronera 相關的約 1800 萬美元的 [EVA]，希望我們能夠在相對較短的時間內實現這一目標。因此，這為我們提供了更多可用資金，如果算上 EVA，營運資金將接近 9,600 萬美元。所以我認為我們的狀況非常好，但這是我們在開發和這些市場中必須注意的事情。所以我們會的，而且我認為我們在管理方面做得很好。

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

問答環節到此結束。我想將會議轉回丹·迪克森（Dan Dickson）發表閉幕詞。

Thanks, operator, and thank you, everyone joining our Q3 call. Again, I think it's important to know that management is working to resolve some of these cost issues that we have at Guanaceví. I think that's going to be done through getting our output up to where we expect it to be in on plan.

謝謝接線員，也謝謝大家加入我們的第三季電話會議。再次強調，我認為重要的是要知道管理階層正在努力解決我們在瓜納塞維遇到的一些成本問題。我認為這將透過使我們的產出達到我們預期的計劃來實現。

Thank you, everyone. I look forward to having our Q4 call and financial release for 2023 and talk to everybody again in March 2024. Thank you.

謝謝大家。我期待著 2023 年第四季的電話會議和財務發布，並於 2024 年 3 月再次與大家交談。謝謝。

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。您可以斷開線路。感謝您的參與，祝您有個愉快的一天。