Release Date: February 21, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Q: What is Centerra Gold's strategy for growing its gold business, particularly in Turkey and with the Goldfield project? A: Centerra Gold is committed to maintaining gold as its primary metal. The company is focused on unlocking value within its existing portfolio, particularly through the expansion of Mount Milligan and the Kemess project. While the Goldfield project is currently on hold, Centerra is open to strategic and commercial options, including M&A, to grow its gold business. The company is also committed to Turkey and is exploring greenfield exploration programs there. (Paul Tomory, President, CEO)
Q: With the rising gold prices, is Centerra considering increasing its capital returns to shareholders through dividends or buybacks? A: Centerra remains committed to its share buyback program, believing its shares are undervalued. The company prefers to allocate capital to gold growth opportunities, such as organic projects at Mount Milligan and Kemess, while maintaining current levels of dividends and buybacks. (Paul Tomory, President, CEO)
Q: What is the potential for improving gold recoveries at Mount Milligan, and what is the timeline for achieving this? A: Centerra is focused on improving gold recoveries at Mount Milligan. The company is targeting mid-60s recovery rates and is working on better understanding the geomat model and improving blending. The timeline for improvement is ongoing, with efforts to enhance recovery through technical studies and operational adjustments. (Paul Chawrun, EVP, COO)
Q: How might tariffs impact Mount Milligan's costs, and what measures are in place to mitigate this? A: Centerra does not anticipate significant impacts from tariffs on Mount Milligan's costs. The majority of costs are from Canadian suppliers, and the company is focused on cost reduction initiatives to offset any potential cost increases. (Ryan Snyder, EVP, CFO)
Q: What is the current strategy for the Goldfield project, and is a sale or joint venture being considered? A: The Goldfield project is currently on hold as it did not meet the company's thresholds for advancement. Centerra is open to strategic options, including a sale or joint venture, while focusing on other projects like Kemess. (Paul Tomory, President, CEO)
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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