Q2 2020 Nexa Resources SA Earnings Call
Good morning, and welcome to the next in resources second quarter 2020 conference call.
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The presenters on this call are mr. to Tito Martin feel its extra resources.
Mr. Rodrigo they.
Yeah, So next resources.
And then Berta ROA cut us Investor relations.
Please note this event is being recorded.
I would now like to turn the conference over to Mr. Tito Martin. Please go ahead.
Thank you I'm good morning, and good afternoon, everyone. Thanks for joining us from all the next it's Durbin Sculpsure in school.
Today, we'd be talking about those holds for the second quarter walked away to do it.
Oh, you have more lumpy walks when they say no.
Yes, that's moved its light sweet.
To begin Oliver the bridge.
Before no presentation. They make good results were squawked with the healthy people local community Oh, hi, its religion.
Well good like GE.
Oh My God.
It could be back no became the second quarter.
Our mining operations, you've been responsible could even go.
But the guidance you mean, situated almost topic Walker.
I can get smelting hopefully reduce rates.
You may be stopped.
Operations have been shield in my view.
Yes.
Jumping off the books since you know.
Steve So you can sometimes be by some constraints relate to the workforce will be lumpy.
Schedule provided about dog food makes a big culture.
Robby.
Probably the last one son boardwalk.
The cost itself, we've done the mines.
Sorry to keep it which of the gross production suspended.
Hi, its costs.
Maybe less than that.
The Guy mosquitoes melted that's all they do we run.
Yeah, Brazil.
It's actually quite smelter, which was a bridge and making sure we do see rates because aboard the mail no almost back that's it.
I would certainly smells like do you have been agreed normally do you all do it's complex side.
Despite the challenging somebody you were able to mitigate the economic impacts.
Thanks.
The script units measurements of the method and the strong commitment a fortune.
My husband's you posted record high keep.
Walk.
Oh, excuse off Madison Square Garden, ethanol, Depletions, and all fall off or do you didnt need because you are getting home off seems to be off the crisis.
The mitigate sped up the buyers we wouldn't have to benchmark what people's no all operations and projects.
In order to keep social de stuff, Yeah duck organizations, you have to use interest workstation.
We changed the workforce sheep, no baby bonds, and we are providing cobiz body deaths in the helps checks all the good personal no no with sites.
The second quarter look to extract incremental costs relate equaled you'd like you were approximately $4 million.
Did you got stupid Super simple, they'll rubicon, because well see multiple issues that we feel good yeah.
Oh no.
Let me walk from surgeons will be names, we expect they either all the production guidance.
Oh, that's no guidance for the year rebates as previously announced.
I was shocked and stuff and you can choose to do cash conservation and cost reduction you also could show to manage all boat shoes in our liquidity remains a strong.
I know you towards the Cold War people make sell this yet.
Your provide what do think informational ballpark on issues.
Right.
Thank you cheap and good morning, everyone.
On slide four now.
We ended March with a solid cash position, but in response to the cobi 19th escalation in the mandatory suspension of our operations improve we increased our liquidity position by adding almost $360 million to our cash balance shouldn't you.
The $45 million true all were busy lives. It did you read the draw down about revolving credit facility the amount of $300 million true next of resources in Luxembourg.
They can be advantage of the capital market momentum in June.
Issue dog, new loan seven year bonds of $500 million and its net proceeds were who use to rebate short term debt and our revolving credit facility.
As a result maturity is now over five years.
Note that the revolving credit facility remains committed until October two problem 24.
As we previously anticipated due to the impact of lower metal prices and lower production in our cash generation, we were already expecting leverage to increase and potentially breach that four times.
The attorney for the leverage ratio in financial covenants on certain loans.
During the quarter, we were successful in thing certain debts and I'll shoot negotiating waivers. The dollar counterparts no wait we will not be required to measure the leverage greenshoe into June 2021.
Other financial problems remain place in RBC complied with.
Turning now to slide five.
Slide five we present next it's free cash flow generation.
During the quarter, we generated $342 million basically driven by new debt.
During that period.
Describing it harder and starting from all 40 billion dollar adjusted EBITDA.
I had the 19 billion dollar gaming working capital mainly as a result of increased average supplier payment terms.
What's that can be offset by $19 million sustaining capex in another $30 million interest paid in Texas.
Still next it has generated $10 million up cash flow before expansion projects during a very tough quarter.
Some sustaining capital.
This concludes mainly our expansion project.
I think when it amounted to $41 million.
Finally during the quarter as explained in the previous like you raise new debt repaid all others.
Taking a positive impact from loans in prime interim investments.
$405 million, resulting in a final cash flow generation $343 million.
Moving to the next slide.
Now on slide six I would comment on our investments.
[laughter] corridor, we invested $69 billion.
Needed if capex of $149 billion the person that throughout the year.
We have disclosed previously we revised our capex guidance downwards to $300 million in 2020.
Response to could be 19, aiming to preserve cash.
No one for good leader, we confirm our search guidance, where do you.
Rebalance its distribution.
We have we just made it a leap one in best mm $172 million.
Second quarter disbursements were lower than expected.
Actually impacted by cold and further reduce throughout the year as the current FX rate level impact favorably the amounts in dollar terms.
On the other him sustaining investments were increased to $73 million.
In our commitment to people appropriations run safely.
Complimentary.
Other operating investments amounted to $24 billion during the entire semester, including exploration mineral rights and project development being well reduce given the current situation, but it's too on track within our guidance.
No I would like to passenger Rebecca about rail our head of Investor relations with comment or second quarter results.
Thank you maintain good morning, and good evening, everyone. Please let's move to life.
Beginning with the first shark on your last month for the turn up 62000 pounds decreased by 32% compared to second quarter off 2019.
The following the performance how far mine thing, but you will satisfy demand the person sanction I'll call it might be good.
Result, anything I need to make a decrease of 1.7 million pounds in threeq and for our volume in the water.
Copper production was also affected and decreased by 44% you know very good primarily driven by challenging.
With respect to all right now can segment socal zinc metal, saying about 120000 pounds Mcqueen, Glenn <unk> percent versus same period a year ago.
Even different you said, if the waking rates in both got much <unk> and we dislike melters as demand for all products was impacted by cooking 19th.
Oh wonderful new breast consolidating method, Brad was $237 million compared with $613 million a year ago.
Reflecting the declining volumes and lower base metal price.
Yeah, let me ever prices for think called <unk>, <unk> went down by 29%, 12% and 11%.
Oh, that's effect like four to off 2019.
Turning to slide nine will comment on our consolidated EBITDA.
Adjusted EBITDA decreased 66% to $40 million into second quarter.
This performance was mainly driven by lower sales volumes weakening back off $36 billion.
Another price effect off $69 million related to lower Airmini crisis and changes in market prices with backed off for patients with adjustment.
Within byproduct credits due to lower treated or bought an area crisis.
Which were partially offset by.
Lower operating costs and expenses, partially driven by lower production volume.
Yeah, that's kinda exploration project development expenses and the because we've been incorporates expenses.
The U.S. dollar appreciation I guess regular reale had to bikinis, that's all $14 million.
Great.
Well, let's move just like can you discuss how our minds segment guidance.
Oh this is a glide, we discuss guidance and mining operations like though.
This strong performance Oh, my thinking more humble device was offset by demand the car suspension instead of.
As a result, he said that Chang the second quarter off 20 plant between 52% to see <unk> called <unk>.
Well I think that people in production because its 39%.
So he win as convenient resuming operations on the other ivas revenue increasing their true.
Pat coaching and into Q3.
I thought core check.
But I hope and keep in mind, we started operation onto Inc. why are the higher costs under well mine, we make spend it.
That's an area to requires culture and the number off could be pieces like in America have continued to increase.
And I'll talk a high level for her kids remains even pay out blank Blaney production died as well I wore me.
We have seen there would be no additional suspension, but if we get made we've been changed your Facebook fix and you know operation the true it up and measures to combat cookies 19th.
Regarding cash costs in first half off to college and training mining cash costs averaged 45 cents per pound below or annual estimate.
This performance was mainly driven by the temporary decrease in fact, when do you know and preventing.
We did not incurring some operating costs isn't due to the books bornemann affecting mining activities following ore production.
As we expect to increase production both might compare to the for top of you will believe who perform according to our estimated that.
In order to have an appropriate comparison, but even though we did that the cash cost present in trouble. My name is now page segments not include the cost of identified in our breach.
Moving to the next glide.
On slide 11 will discuss the mining segments before.
In second quarter of playing Atlanta, I, just didn't need out we're bringing in dollars compared to $44 million a year ago.
This decrease was primarily driven by lower blood she could be temporary suspension.
We don't have anything in fact, all having to seven even worse.
Mockups related factor, we can I get information back of $13 million from lower energy prices and higher quick charger.
And lower byproduct credits totaling 19, you handle.
He's not because effects were partially offset by decreasing operating costs and mineral exploration talking about reflects that.
Looking to the graph at the bottom right, we present, the global cash costs car parking.
By the challenging scenario, we remain well positioned at the beginning of that their core tie off the cashcall score.
Moving to the next is like.
On slide 12 will discuss our routing segment operationally Hilton died.
Meadow say isn't separately for Delphi need rainy were down 23% year over year, reflecting never used to the breaking rate a forward and that this is already explained.
Despite its sort of volume reduction if money as a smelter had another solid quarter zinc metal production of 45000 tons increased by 11% from Turkey, when things get rid of 2019.
How about cases now there are also break it better than we used to me doing the cranking peering and we've really seen cutbacks came to be not yet.
During this call is now so he's also closer to cut back in July.
That said beaming pain or metal season, Cas cost guidance, assuming we operate than normal kept that's doing the second half of media.
Moving onto there's like 13 will discuss our smelting EBITDA for the quarter.
How can it be got was $39 million, 47% lower year over year.
The decrease was primarily driven by the negative net price effect of $59 million related to changes in market prices and $5 million from lower byproduct credits.
$19 million negative variation from that would depend on volume.
Well I try to upset by the $11 million gain from higher tea and lower operating costs is incorporates expenses.
The BRL devaluation also had a positive impact of $7 million.
Looking to the graph the bottom right will present, the global cash costs Corp. fourth Inc. Melkert amex's position at the beginning the second before tie off the car.
I'll now turn over the culture. He told me a casino our presentation she complete.
That's all balances, but it's still in two slides 15 here you talked about putting on board.
That's disclosed.
I've had the change in our management.
And the mix of most of what was appointed as Nexus.
Do you know vice President for Roger.
Yeah, Yeah, the point of drugs in small piece responsibly.
We have also reorganized gold project team and make some change in the school portfolio contractors, who can afford to be congrats for the project execution.
No no no joint efforts with the local problems to come but it could be bags.
Keep up Mobileyes works to do so I look at the reduced they even the proof of holding Goodman.
Well the conviction should increase along the next month, reaching our construction part.
There are multiple definitely the second quarter was less than expected and always to be scopic for do you use know something alone 100, and Southernsun $2 billion.
Going forward, then you would be like for the project will be available sometimes the second half of easy.
People are not zone me priority and we keep working to successfully as it could be project plan.
Yes, well smelters like six deals.
Oh this is like <unk> comments about goal like the legal structure.
That's your vote, we reassess how we kept the location strategy because of Dick will be.
Well, so far green fuselages, let loose on hold.
Maybe just started studies.
You asked him to watch book as we had will dissipate well if you'd like deemed to be measures could end up slowing down all worked went deeper into targets.
As a result, the sell through conclusions and all that spectrum, what doing to 21.
This is the biggest goods for shall be fighting we'd be on home.
Weve I'd be glad you want.
Vince resumed always really should bumping the separately.
Moving now to warrant exercises like 17.
Dear.
Ill make some comments about market fundamentals.
Spiked the first impact could be buying team on LNG prices, we have seen though some signs of recovery.
During the quarter zinc price to be burst that don't ward trim and gradually be coke.
There are out some positive signs from China recall choices, we look to service their plans to spend the happen.
Makes sense consistent investment you matters, where they use and those who use all disease like people restructure.
However, you fight using stock symbol future, where all just one thing you have to work drams, reflecting I still depressed about.
You know about Susie.
Oh price also be burst at Billboard tram rivlin by signs up demand recovery and tightening supply <unk> book to bill different regions as Lucky number.
No that's moved through all five whose lives.
And I do.
As I stated seem to be Unifill presentation, our commitment to protect and preserve their old being told people know host communities, we named our first priority.
The business continue to be Andrews, and nickel meet them all forward team to improve efficiency and old through additional work from the methods and helped goes to reduce the could you maybe team back.
The results.
The short jumps in a U haul, but I was just do value Chuck.
We remain focused on ensuring this just things are beautiful forward do this and we expect a country would there be we know guidance.
Refinancings question, how do we make will meet the beauty that might help to future supported by operational and financial discipline with a high 40 sites.
Thank you all for your time, and let's move to the Cuban <unk> session.
Thank you we went I'll begin my question answer session.
To ask a question you May Press Star then one on your Touchtone phone.
If you're using speakerphone, please pick up your handset before pressing lucky.
To withdraw your question. Please press Star then.
At this time, we'll pause momentarily to assemble our roster.
Our first question comes from Jackie perspective ski with BMO capital markets. Please go ahead.
Hi, Good morning, I, just I guess my first question.
It's just a a specific one I haven't seen any mention excuse me on the jury site conversion project.
And then this release can you maybe talk a little bit about what the what's the plan is is that project completely on hold or canceled right now.
Hi, Jackie Thank you Paula I think rational.
I hope you okay.
That's not the music or anybody.
Just like what's going on as we announced it would be you know the yet we stopped the project to revise it.
There's been some spend good when they go beach.
We we decided not to go back to do is along the year.
[noise] stealing all blouse a revision has viewed almost got yeah. So as soon as we.
Yeah absolutely.
[noise] come back to a more normal situation, we shouldn't have news about is the Jos I just feel very important project for us it jumps off the increasing the recovery and the production capacity on the Guy mosquitoes.
Great. Thanks, and on a refund I know you're you're working on the Rebaselining study now he can you talk a little bit about what that might include is it's going to be a new our new project timeline and and some sort of inflation do you think to the capex.
Our budget that you'd have right now.
Yeah, what happened here. So we we have built the difficulties at the end of last year, reaching back then to be made go to move the completion of the bugs worked off to went to work.
We're still keeping do they have to know.
We are revising some back that Cobiz may have.
Along with the oldest pursue mass alone the prices right what happened here as we never stops you to move along with a broad with the development, but we are operate you see it reduced capacity I know youve been but there is about 80%. So what would the difficulty of states do big production to be fine.
<unk> based casual will be gets.
Well I mean, the third quarter fly off next year and how much getting financial terms, if you actually affect us.
Ah I tend to be optimist, I think there will be some some additional costs because fine valves deeper informed your regional ones. So we'll finish it is we should have yields or something like a couple of months, but.
We're still with the level of from surgeons and given the how much they will be to actually giving effect to goods.
Before I mean, we know how much you have stepped away, but we don't know how bunch of getting back into the future that we'd be more delayed seems to be should be able to which brings me oh. The people we need that's all sites, but just to give an example, oh we have nowadays.
How's among the 500 people.
All sites and then we should have already bought the 2000.
Difficult does relate to the protocols.
The message you bring that people do any partner they put it really far away from everything.
So you need to best people before would send them Bill and then they have to wait two weeks before be are allowed to two to move to the sites.
I have to keep definitely them from five to five so don't get goods as are the ones we officially now.
No we have tried to negotiate we'd go parts as well.
George would change the proposal it'll be done babies loss, having keep the quite a deal in the city would be probably moved to the so I gave like women's soccer mouth, we should be able actually to come up with a much or besides big.
And the precise number for the project.
But in general rate Bugs, and we'll be well given that you could you be updates.
Okay, but it is really just a question no scheduled you're not you're not actually changing the scope of the project at all its is no not at all not at all so yeah, okay everything people that sounds great.
Thank you thanks very much detail.
Oh.
Our next question comes from Genspace with Morgan Stanley. Please go ahead.
Yes, Hello, Thank you for taking my questions I just wanted to ask if the.
Percentage off the 4 million due to call because labor costs.
Thank you mentioned I think it what's that.
60%.
That will be recurring it's that already included in in the cash cost guidance that you didn't change.
And secondly, the at the cost said the decision to.
To keep it or close to the underground mine is it.
Due to the cost of the mine <unk> or is it related to operating issues, what's what's the rationale there.
Hello, Gensix Tilidine limit your thank you for your questions first of all the Kobin related expenses are already included in the cash cost the guidance that Israel, providing to the a year. So we are.
Absorbing those costs, yes, but we are also constantly looking for other efficiencies that can be a week, resulting in cost reduction so the costs or not so he's not in a magnitude that worries us we understand or in the coming quarters costs can be approximately the same as we saw.
So in the second quarter are probably a bit.
Your into in the third quarter made converging towards the end of yours, but I believe that not only for our kids, but also for all your peers, it's yet too early to define how much of this quarter.
Come to state Medicaid or we are constantly revising it.
Absorbing other efficiencies so we can cope with it.
In case of a quick question addressing or point, we have a course underground as the high costs a mine. So under the current situation. We provided that we had already operation suspended or we decided to maintain suspension. So that we all are Oprah reason that specific.
And only would be open pits of some good I'd.
Which has a much lower cost there are no operation <unk> issues. As you mentioned there's a question are you you you mentioned so that we are only rich suspending if that's true cost.
Hi by address your questions.
Yes, that's clear thank you.
Thank you.
Our next question comes from Orest Lakota with Scotiabank. Please go ahead.
Hi, good morning, and.
Hope everybody is well there I realize you know most the focus of here has been on covert and managing through the pandemic, but I was wondering if there's been any thought or discussion about the next door to file and whether.
There was any consideration being given to moving from Luxembourg to another location or likely a north America.
And whether that's a priority for the board.
Oh this thing for question.
Everybody, so well beyond the size for sure.
Doing home office.
No no honestly, we use I'm not talking about that.
Our or when they come up one day with the conclusion about being incorporated in Luxembourg moved up either.
Ideal situation.
We have to see how do we are.
Potentially.
The poor soon or New award after this but you're right. So everything is possible, but no. It's it started dollar plans at all the change anything right now.
Okay. Thanks, Ted Okay, you know in my view it would just gotta you know about that.
Got it.
Question.
Actually stryder.
A reasonable though I mean, it's we could do shoes relate to the fact that you're busy Brooks.
Well I personally think it impacts your trading liquidity, because your because you're up you're talking to file you're not in and that any of the north American indices. So I'm, okay moving in my view of moving the dollar how would what help trading liquidity.
Okay.
Makes sense okay. Thank you.
Thanks to.
Our next question comes from Oscar Cabrera with C.I.D.C. Please go ahead.
Thank you operator good morning.
In the evening, everyone. Then you know so hope everyone and their families are doing well.
Well I may just start with your smelting segment.
Huh.
The treatment charges spoke treatment charges, having coming down.
And I'm just wondering if you can remind us of the structure of your contracts.
Most of your.
Sales from the smelting.
There's nothing side or on an annual contract you have exposure to the spot market.
Well its color you said for the question.
The the standard Crohns, Rob I was skew.
As it was before I mean, we have.
Agreements that they go overboard give a year usually.
The box death is really the spot boxes goes mall.
Oh, that's why usually Oh, Oh Pcs or twice.
Well sebree.
In the average three years theses.
A benchmark disease.
So that's why we.
Well, we are having a little bit lowered them, the benchmarks and see which is $300.
We we did not states.
Any problem during the crisis I mean, the supply of concentrate.
ER whatsoever.
I would say that will happen yes.
The decision to shut down for example, given a dumped into reducing capacity.
In terms of qualities, Belgium.
For a jewel love was busy the consumer it had about the meal.
We actually.
Oh God bless longer probably would have some plugged into the supply of concentrate either look I'm a few dog in Brazil.
But no we are all contracts very stable or we're comfortable with though and we should not change if at all because gives us more stability gives up poor captain Costas and on the books, so you'd stop each of these matters.
I hope I happen to answer that question.
Yeah, well, that's that'd be great P type is a good reminder, that the your smoking business is very strong and counter cyclical to up to what we've seen we seem to be can handle the year. The other question I had for you is you guys have done a really good job and keeping your cause down.
During your independent and mix.
The decision to keep Tom Hi cause operation. This is.
So this is sound I would just wondering because they think that reduction in calls that we saw in the second quarter.
That's a mention Oh.
For maintenance.
And and what I believe is like you know maybe just.
You know, putting your subcontracting activities on hold but gosh you moved forward like you know I would argue lagging in development of stopes in their minds can you just put context around the saving so how do you how do you plan to move forward.
Hi, Oscar celebrities I hope you're fine. Thank you for your question. So good question.
You see those those expenses going down the second quarter, specifically, because everything was pretty much ships are doing drugs most of the quarter.
When you look towards the year, a part of the kept the relocation. So we formed in our Capex guidance going from a from a expansion true to the sustaining capex, it's pretty much because we have be monitoring this all the time and though the majority of the activities that we are.
Increasing our sustaining capex with it's precisely mine development as you mentioned.
The last quarter, So you feel or if you remember well we mentioned that we would keep all the essential in place. So that we have all operations fits and say right and also the business so because of the disbursements throughout the second quarter, India summation throughout.
The second half of the year.
It's too early for now and also the the the a bench approach that have been or kind of a delay.
Due to two lower personnel working on the project. We have also revised the expenses on mine development and a in and then so debts. We we keep the business safe and also in shape month delay anything that could cause.
In the future so you've nailed that it's precisely.
Okay. Yeah, Okay. Thank you very much and they say well be well.
Thank you Oh, good I had one thing I would doubt about being yet it's important to note won't be the performance so far mines in Brazil, which were not affected by the by the good the crisis or has been very close to what we were a bloody.
Yeah, so far so the guidance through shows clearly that the performance that's perfectly the cost of young goes right now in the mines in Brazil.
Smelters Israel.
And on its a matter of fact now just looking out that you don't.
And the first half is lower than drivers that come anyway. Thank you very much and be well. Thank you.
So again, if you'd like to ask a question. Please press Star then one.
Our next question comes from Timna Tanners with Bank of America Merrill Lynch. Please go ahead.
Hey, good morning, everyone hope, you're all doing well one of Caf two questions one is pretty high level.
Just listened to some of the other commentaries from and miners that have operations, and Peru, and Brazil, I feel like they've talked about the worth being behind and kind of more you know that representations of the better outlook and and I feel like your outlook still talks about risks and uncertainties.
I'm just wondering is that more on the cost side is that more potential disruptions or or maybe why there might be a difference there if you it.
Hi, Deanna Dukas speaking thank you for your question.
I would say the risk of we made space they have more to do with our ability to get performing as we have gone so far.
The loved all these into for example was a major disruption for all body sculpting mining companies operating there.
Yeah, we managed to come back.
We are still ramping up production, we haven't lost to reach yeah, the 100% production <unk> ER sites.
The main reason for that has to do without kept past Q2 brief off to bring him all the necessary work number of workers wiped out because of what is the political officials and all those protocols and by the way all protocols are our market Street. The protocols that was set by the golf.
They requires detected the body that's before they moved to the side definitely they are at the site. After some days. So we have intensified or maybe people that are not allowed you live to the sorry.
If you look at sub official data available.
Or the consolidation there is no preservatives around 20%.
Well those what does the which is a huge number right.
In Brazil that gives a little bit different bizarre, there, but less than the what we saw two along the last stupid Piedmont.
So I would say as long as we cannot operates Jim stewards of the cost would not be a problem with only the we have to pay attention to the disruptions.
Related to do.
Professionals and workers available.
Okay. Thanks for that and then if you wouldn't mind that and I'm sure I missed something in the and I apologize for that but on page 10, you have that cash cost and and they are increasing and for the second half just to get to the guidance.
Give us a little bit more color on the puts and takes with the it looks like its net of by products, but but I'm not sure because it seems like commodity values are going up so would that not be more positive and the resumption of operations I would've thought would be a positive but then the premium costs are higher so I'm just trying to understand the puts and takes to get us to that.
The guidance if you would place.
Right.
I'm going to answer that on behalf of America since that to do what steps.
Basically what happened he is.
The lower cost too much saw most of the mining companies. You know you know muddy insights into a rule has to do with the fact that you are logically Felipe.
So some of the services, but make no services award last performance or the 100%.
So easy back the cash costs, where do we moved back to full operation.
We should have gloves and will be up.
It should be close to the guidance.
Our expectations, all the U.P. actually tender age or the property scale the old projectable costs to be to end up the year with gloss are I would say below.
With the little bit below the guidance or closer to daughters.
But if we have additional clubs relates because you had so far the costs. We've had reactors are related to go view that ultimately dollars.
What do I, probably don't balls, we got something lower than about before.
We'll take the mine is it too many $2.6 billion.
Most of them, they oh, well do a pure it just was what I've second to do too soon to matter regarding costs, except those relate directly but that's been things like that but things are of course, we disclaim or do you.
I'm good control as long as the situation remains as it is today.
So I would advise to look up advisors, who helped provide that should be there [laughter] I'd be able to here.
Everywhere.
Okay, great. Thanks, guys they walk.
Okay very good.
Okay, and if you'd like to ask a question. Please press Star then one at this time.
[laughter].
So in no further questions. This concludes our question and answer session.
We will now hand over to Tito for his final remarks Mr. Martin. Please go ahead.
Thanks very much.
I would like to thank all of you for being here today.
I Hope you follow the this call useful.
We we want to improve the communication, we're having with all dies and please if you have added suggestions and get back to Oh.
Oh, a investor relations team would be glad to hear we just see what you can do attitude to be close or do you have to be more to you as far as good as much as possible actually.
Let's go to end up, though our priorities hubs being matched with the that saved in the health of our people go to what goes to our operations.
It's really important for us but of course, you want to keep up keep all the production in good shape.
Meaning.
I've been able to produce as much as possible as planet and at the same time.
Developing all Oh are you put a broader bridges, our main priorities and being able to come later after that you couldn't completion with there. The other ER, we brought rig if you'll probably see an hour or by July.
Finally.
I think that given.
The situation, we're leaving today, considering what we've been through already.
I tend to be more optimist about a year.
Yeah, well get back to.
While our operations to normal life, not ideal normalized let's look Israel.
The.
So assuming that no disruption will regardless to actually to close the beyond that the sites you go through should have a more smooth second half.
No no hope to see you and then that's already it's called the next next quarter, thank very much and they have a good they stay healthy.
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