Q4 2020 New Gold Inc Earnings Call
[music].
Yeah.
Ladies and gentlemen, thank you for standing by and welcome to the new gold fourth quarter, 'twenty and 'twenty earnings Conference.
And this time all the participants are in listen only mode.
After the speaker's presentation, there will be a question and answer session on.
Ask the question during the session you will need the press star one on your telephone if you require for assistance. Please press star zero and.
And it's now my pleasure.
French gold gold over to your speaker today, Ms Andi and please go ahead.
Thank you operator, and good morning, everyone. Thanks for joining us today for new Gold's fourth quarter earnings conference call and webcast.
We have with US today, Renaud Adams, CEO, and Rob She'll say CFO.
Rob what percent of our Q4.
The integration of financial results, followed by Renaud, who will discuss our operational results. After the protest and presentations have been completed we will open the lines for a brief Q&A period.
Before the team begins the presentation today I would like to direct your attention to our cautionary language related to forward looking statements.
Found in the presentation.
Today's commentary includes forward looking statements relating to new gold.
And this respect we.
Refer you to our detailed cautionary note regarding forward looking statements and the presentation.
You are cautioned that actual results and future events could differ materially from those expressed or.
Or implied and forward looking statements.
Slide two and slide three provides additional information and should be reviewed.
We also refer you to the section entitled Risk factors, and new Gold's latest MD&A and the other filings available on SEDAR, which set out certain material factors that could cause.
Actual results.
Felt the differ.
Please note that and all amounts are presented and U S dollars.
In addition included in the presentation. There are a number of and notes that for by more important information and should be reviewed in conjunction with the material presented.
I will now turn the call over to Rob shows day.
Thanks, Anne and good morning.
Renault of do you want to open up and some not all of that spring the hammer okay.
Hi, good morning, just jumping straight into slide five of which provides our operating highlights for Q4 and the year to date. The details are consistent with our January production the press release.
During Q4 of the company produced 120005 hundred 67 gold equivalent ounces the of MAU.
The consisted of 18 5 million pounds of copper and 666000, and 734 gold ounces from rainy River and 16000, and 362 gold ounces from new Afton totaling 83000.
And in 96 gold ounces and higher gold production as compared to the prior year quarters, primarily due the higher grades at rainy River and new Afton on.
Operating expense per equivalent ounce was lower than the prior year quarter due to production and sales higher production and sales volume consolidated all in sustaining cost for the quarter were <unk> hundred 90.
The $1 per equivalent ounce, 20% lower than the prior year quarter, primarily due to the lower sustaining capital at rainy River and moving to slide six on our financial results for.
Quarter revenue was approximately $199 million driven by sales of approximately 86005 hundred gold ounces at.
On an average realized price of 16, and 23 per ounce and sales of $17 5 million pounds of copper at.
At $3 34 per pound of Q4 revenue was 43% higher than the prior year quarter due to higher metal prices and higher grades are operating cash flow before working capital adjustments was 95 million.
<unk> 14 per share for the quarter higher than the prior year quarter, primarily due to higher metal prices. The company recorded a net loss of $21 1 million or <unk> <unk> per share during Q4 compared to earnings of zero cents per share and Q4 of 2019 after adjusting for other certain charges net earnings.
$27 9 million of <unk> per share and the quarter compared to a net loss of $28 million of for per share and the fourth quarter.
2019 of difference was driven by higher revenue lower operating costs and depreciation.
Our Q4 adjusted earnings also includes adjustments related to the previously announced.
The redemption of notes unrealized the adjustments on our gold price option contracts rainy River stream mark to market and our new App and free cash flow royalty. Our MD&A has additional details on the non-GAAP measures discussed here.
Moving to slide seven on our Capex.
On this slide.
Slide provides the breakdown of our Q4 of 2020 capital expenditures, our total sustaining capital and and leases for the quarter was $69 2 million and the spend was primarily related to tailings work and Wick drains at rainy River and <unk> mine development and advancement of tailings dam of tailing dams raised at new Afton growth capital was focused on.
And on project development at New Afton.
Slide eight provides the details of our capital structure at December 31, 2020, we had approximately $185 million and cash and approximately $490 million and liquidity.
During the fourth quarter of new gold completed of 200 million dollar of redemption.
With cash on hand of the outstanding six 375% senior notes due in 2025, leaving a balance of $100 million on those notes.
Also in the early Q4 of the company extended its credit facility to 2023.
I would refer you to the company's press releases for further information on those specific transactions.
On slide nine provides our 2021 consolidated guidance, where no will provide details by operation, but on a consolidated basis. The company is expecting to produce between 440 and 490000 equivalent gold ounces by metal of the estimated gold production range is.
322, thousands of 352000 ounces and the estimated copper production range is expected to be 56 million of between 56 million and 66 million pounds when compared to the prior year of production guidance includes an increase and production from rainy River mine offset by lower production at the new Afton line the consolidated.
<unk> cash costs are expected to be in line with the prior year with lower costs from the rainy River mine and higher from the new Afton line. The all in sustaining cost ranging between 12, 30, and $13 30 per equivalent ounce are expected to decline as compared to the prior year, primarily primarily due to the lower sustaining capital requirements.
Outside of rainy River.
Growth capital and is expected to increase over the prior year, primarily related to the new Afton and seize on project development and the Intrepid underground at rainy River with that I'll turn the call back to Renaud to grow.
Thanks, Rob and and tank.
And so everyone who is joining us today and I'm on slide 11.
And before I start.
It's where the mix failing that I'm addressing you today.
The year started on the on the <unk>.
<unk> way of new go on with the fatality that occurred.
Thank you and you asked and mine.
And we're.
When I looked at the new often the team the new often family.
I see a very very strong.
Group of people, so committed to the health and safety and wellbeing of favorite one working of the new often.
And the <unk>.
Come along for operating the block cave of new Afton and delivered so much over the years, including tremendous milestone to achieve and the health and safety.
The mine ended the year with more than $3 6 million man hours worked.
And without L T I injuries.
This represents over a thousand.
And 50 days.
Significant milestone.
Reductions in every aspect of the.
The frequencies and and and incident.
Trending way below the cash.
Adrian.
Adrian industry, and as a company and general reduce or 45%, our overall frequencies and and incident.
New gold comes with the significant commitment and as a part of the slide 11, and when you look at.
Everything we do.
From the environment.
All of them.
And our and <unk>.
And for main area of focus on the new water tailings and climate and the indigenous and this is all in fact of the end of the day going back to one thing is our tremendous commitment to.
And the health safety environment, and wellbeing and everything that is on that.
Aspect of people and it.
But the mine was hits on February 2nd with the Mad Rush and that occurred.
And the recovery level, resulting in a fatality.
And this I hit.
The whole family of new from family in particular and.
And more families.
And for the whole group of new Afton, the new golf and did hit hard because it hits you right and of metal you know where you touched on most of your core value.
And people.
And with the same.
The same strength and solid foundations and and commitment with.
We have to.
Get back and our feet and.
And move on and and find the way to move on understanding the the <unk>.
Tremendous heart for and incident and like a fatality of like this.
But it doesn't take away.
We have been and will remain.
And these are always focused on the health safety and put our people first and it was in the line from this.
And this this accident.
And.
And as we've done and the past when it comes to adversity will will overcome.
And constant need to move on and our solid commit.
Oh, and I turned back as the CEO and I say, it's a mixed feeling when I turned back and I looked at 2020.
I see on the tremendous achievement and they are briefing with debt and everything we do the.
Significant progress.
And turning and reposition and discount.
And it started with the health and safety as I said, we've achieved significant milestone.
And chunky and new to de risk and every single environment for all aspect of positioning the mine for success.
We've reduced our of that week.
We restructure our balance sheet.
And we did so.
While the preserve a very healthy balance sheet and cash and liquidity.
And we're moving forward and the very bright light.
Yeah.
It's a mixed feelings because we've done so much but yes, we started the year on the tragic.
Way and we have to bounce back and.
And it's always the the fine line has and we put our people first because we understand what it debt and how it hurts.
And how is the CEO of this company of could assure everyone that the new.
New Afton family has been and will remain there.
Sheets and committed to the health and safety and with the same creativity. That's been so a part of the story on overcoming technical issues.
Well and find a way to move on.
I'm on slide 12.
When I look at the rainy River and I look back.
2020 was all about repositioning the mind and making sure by the end of 2020 of the mine will be positioned to enter 2021.
At the and increase production radios cost and.
And the free cash flow stream, starting in 'twenty, one and for the remaining of the mine. This this is how it's been.
Design.
Look of the result of 2020 achieved the the high and kind of their gold equivalent production.
Tremendous effort and controlling and reducing our unit costs resulted in the and the lower cash costs.
Below the revised guidance.
Completed all.
But all of a project on the deferred of constructions and now moving on to sustaining capital and what I would call the more.
The regular and sustaining moving forward and we've done all of this by of CIT by advancing a little bit of 2021, as well and ended the year and the low end of the sustaining capital resulting in the Navy.
All of the.
Below the guidance.
Now as we go on to see moving forward, we're extremely well positioned now that the rainy and we're looking on the future of and and Theyre very very bright way.
On Slide 13, you can see how we've transformed of mine with two main focus operational.
And for the last two quarters of the mine to mill and that's been operating of the design of the.
The 150000 tonnes mine and 27000 tons of mail.
And.
We've done so by and also focusing on our on our unit costs and positioning the cost structure of the asset to compete.
Or even.
The corner with the 43, one on one assessment that we've made early in the year.
So if I move forward and I look at the slide 14, and I look on a refresh of our operational outlook for 2021.
I see a tremendous and improvement.
And while we've made.
And those assumption and the 43, one and one that late in the year and you're looking at the.
Covid situation and we bounds of back from it and reposition the mine.
Two of them dragged and 75% to 295000 ounces equivalent and a significant reduction and cost.
The cash calls below the 800.
And that and they sick and the midpoint slightly below the $1200 an ounce equivalent reduction of sustaining capital.
This is the significant improvement over 2020, and this will bring a good margin and free cash flow.
The first part of the year.
And we'll see the mine and the higher.
On dry ratio and a little bit of a lower grade as we come to new our effort of strip.
Stripping, but and the second half of the year, we should be back in the phase two and the benefit better grade and lower strip ratio.
On the mine will continue to operate and an average of about 100.
51000 tons all of the year round, but it would be a bit of fish shift from higher stripping the ore grade to lower stripping and the higher grade and in the second half of the mill will be GAAP with this for capacity and will come to new to improve on the recovery of site.
Very good upside of the underground mining we've.
We've made the decision in 'twenty and 'twenty to accelerate the development of the Intrepid zone.
Originally planned for mining and 23 and will spend the first part of 2021 really understanding and fine tuning.
Our block model and.
And and lungs of a mining method with the.
The view of that maybe we can accelerate the on the Intrepid zone and and now that Intrepid is all pretty much all within the reserves and will be part of the 22 to 28 mine plan.
There isn't a fortunate do here to accelerate the Intrepid zone.
Capital project as I mentioned most of the sustaining.
Damian GAAP at all the tailings the tailings increase the capacity of tailings and the stripping.
And some of basic maintenance.
On the main components with the reductions of nearly 50% compared to previous year.
On slide 15.
Our significant progress with regards to how do we bring back as many ounces possible and the mine plan underground and.
And potentially extend the life of mine and.
The M F 2000 and.
And 'twenty as you could see on the upper or the.
Perfect.
Yes.
The the Intrepid zone was basically all transferred back to reserve as a result of the higher gold price used.
So now we have the basically the hull Intrepid zone now back into the reserve and will be incorporated and the 2020.
The figure I was on 28 mine plan.
And what provide better grade and at the earlier stage and the current plan and.
And may extend the.
The life of the stockpile as we would be incorporating more on the ground. During the period originally answer of bad was.
And as only a small portion included in the current plan.
And now we're moving the whole and ship it into the reserve and as you can see at the bottom right.
And there is still a significant amount of resources that are outside of the reserve, but with them their reach.
Potentially being there.
Included in the mine plan.
Standing the life of mine beyond 28, as the Standalone underground.
To do so will be carrying and 2021, the study and economic study looking at the visibility of bringing back and of course.
With the milling scenario that would be adjusted.
As a as the potential standalone underground so more to come on this but.
The significant progress the day.
Almost the replays the deflation of.
Of mining deflation of 2020, you buy and operating and trip in and a little bit around the open pits as well.
Justin.
But the big upside here is eventually to migrate back from resource to reserve a significant amount of pounds for us from underground and.
2020 of them.
And on Slide 16, and exploration company not the rainy River, where we've launched it and the fork water.
To have the first tower of the 4000 meters that are complete and the assay spending.
And we intend to to release before or late Q1 and.
The exploration update which we will be ramping up all worked oh, it'll be a rep for a wrap up you know aldi.
The result of data on rainy river and will incorporate and as well the other new.
Asking some more to come on the exploration front.
Yes.
I'm on slide 17.
Okay.
So.
Looking back at the new often and 2021.
The new Afton and then gauge of course.
And the construction development and construction of the <unk> zone, and the C zone and.
The significant progress were made in 2020 and the first achieving the are the mid range of our gold equivalent production.
And we've done so with the unit cost within.
Within our cash costs towards the lower and.
With the with I know and advancing if I can play the <unk> zone and by the end of the.
And at the end of 2020.
And we were well positioned to initiate a there'd be three zone and the first half of 2021 and this.
And this discounting.
On the gross capital side, mostly around the C. The CS on development and we ended the year at 110% of the development.
We were fully engaged and the construction of the Pic and amended tailing.
The facilities by the end of 'twenty.
Working hard and under standardized nation, as well and Sean.
<unk>, we're now fully engaged on all fronts.
For some Cabot, although were deferred to 2021, but overall at the end of 'twenty, where we're extremely well positioned to continue to deliver with the view that 2021 is about getting basically up to speed and initiate the b III and.
And ramping.
And and been in position and at the end of 'twenty. So we enter 'twenty one sorry, so we enter 2022 with the <unk> three as the lead.
Ore source for new Afton as we continued to build on the C zone.
On slide 18, a while I will not.
Not chalk.
Of the <unk>.
And the town of the accident as of the investigation of come to new at New Afton.
And I thought I would provide with the with the three D of sketch to better picture of you know where it would be incident of care.
As you can see the recovery zone.
Ramping out of small zone sticking out of the bottom of the lift one.
With the <unk>.
Quite a quite a space of decoupled and space with the <unk> three and the C zone and as the as a result of all activities and there'd be three and seize on has resumed.
The view to initiate the be three the sequence in.
The study.
And the and the.
And second quarter.
While we complete the permitting and the and development to get ready and the fees on that as well as you could see even further down.
The development and as a resume as well with the view to deliver on our capital plan and 2021.
The lift one located above is as well most of the area and the last one and in fact has no interactions with the recovery of zone.
And as a general view of the recovery zone that the stages and the remote mucking and the assumption is made that will remain remote mucking.
<unk> for the rest of the year.
And therefore expand the remaining extraction of the recovery once the recovery zone and the most likely and the first half two and it too.
And the left the one will now be ramping up to over the next week towards the Q2, where we are we expect to be.
And the pre incident the mining rate.
On slide 19, looking forward for new Afton and 2021.
There is two aspects of it there is the operation and all of course and there is building the future. So on the mine plan.
And there was a.
Back to mine plan that was released this morning.
And basically what is the main plant about is.
And obviously.
The limitation around the recovery level.
So from the original top of 2021 and as previously disclosed the recovery.
The revised was expected to be more to it.
Whereas the three or 4000 tonnes a day.
And now with average probably more around the 1700 tens of day, and therefore would extend the next year.
That would be basically replaced by some stockpile on surface and as the lift one and will ramp back to what we expect to.
B the pre incident mining rate.
And at some point in Q2 and would represent about 60, 65% of of the town.
And of the plan to initiate the phase III and.
And the second quarter, and Hasnt changed a little bit of ramping up from the incident and of course, but be three is expected to represent.
20% to 25% of the or for the year.
In terms of capital project.
Our sustaining this year has become played the be three of development and put in and production.
And on the growth capital side, it's all about C zone.
Increased GAAP at all because we're now engaged in the offering.
And we expect.
The C zone to be significantly their risk and by the end of two.
1021.
On slide 20.
A lot of work has been done so far from the first space of exploration on the Cherry Creek.
Friends of bottom right to figure.
And where our.
Our waiting of lot of assaying, and and interpretation pending and as I said, we'll we shouldn't position to release and data exploration of <unk>.
Salary by D and of the first quarter.
And we continue to work on the ground as well but.
It's really from 'twenty, two when we have better angles from.
From the Ram going down to see zone and that would be more actively looking for potential continuity of the C zone and the S. L. C of death. Meanwhile, there's a bit of delineation, taking are taking place but.
It's fair to say that the explorer.
The completion program of 2021 will be mostly focused around the new around the Cherry Creek area with.
With some underground picking up more and that starts and 22, so more to come and our.
Exploration update planned for late Q1.
On that the Ala and that will complete.
Export rate the most for most parts of the call and I'll pass it back to the operator for the Q&A section. Thank you.
And as a reminder, I asked the question you will need the variety of star one on your of California back again that Star line to ask the question. Please.
Please stand by the law, we compile.
Completely on Eros now.
Okay.
Your first question comes from and he Dasani frenzy, I D C and World markets. Your line is open.
Hi, good morning, Rob and Renault and and I'm I'm, just I'm wondering about the capital numbers.
They come on you've provided for both new Afton and rainy River.
There's a bit of a range on on that quite a wide range and particularly on the new Afton. So can you just give me and understanding like and what cases, you would spend the lower amount and what can't you would spend the higher amount of like why and why is that range there.
Well.
Do you feel like the capital project for New Afton is a four year project right. So there is a as we as we experience and.
And 2020 out of rainy River for instance, where we are we are we were in position to accelerate some 21 for instance.
And so.
So you look at the new often generally speaking are we we make and that you know we made our estimate based on and then the average productivity of these and and timeline around but other because most of it is all about you know they have a lot of men and the there is always a possibility.
The ability of where you could you could improve on your performance and you wanted to do maybe more of the development or maybe your advance more stabilization and plan.
And because of those activities Oh care of over four years. So you have a lot of room based on performance and we and and equally important.
And we're doing very well on the Covid as well where case free of new Afton rainy as we speak but there are some.
Aspect out there and that sometimes you the 100% control. So without you know we were felt comfortable with you know guidance been set and the mid range of of what we could achieve a week.
On a bit of room should we.
Should we bear better perform a.
To to increase some aspect as well rainy River is.
Is the somewhat.
More focused on the on the tailings. So we have the good handle on that one of stripping wise look.
We have the gold price and so for it so there's maybe a bit of flexibility around how we we want to operate the debt as well and maintenance wise, there's depending how it goes this can reaccelerate a bit some aspects so.
I would say that that would be the thinking behind the meter.
And and again, if you look at our mid range of for a cap of at all of its program of <unk>, where.
Where we feel comfortable to achieve but but we have the property of room should we shall be better performed.
Or maybe something all of their slowing us down and events.
Yeah, and just wondering if on capital allocation and you know and Ida.
You know sort of.
Hitting that free cash flow inflection point, I think as most people and attracted the terrorists.
Part of the and planning like are you know do.
Do you do you really have any kind of focus on whether or not and there you got free cash flow negative for or are you kind of maintain positive.
It's all about the price you apply to it but if you look at the.
Rainy River today beside the 10 and 12 million Canadian of.
In fact, accelerating our accelerating are the the entropy the euro and and a thick you know slightly below the 1200, so it's a significant margin rate and.
And we will bring a lot of free cash flow in.
And we have the second payment this year has the wells for Mark and match them.
Yes, we remain very confident that we'll be again, we don't control of the metal price. This we all know what's happening with the copper as well.
The new Afton is all about the shaping of self funded you and our approach over the four years no doubt.
But the but globally and the tie in and of all when I look at the current prices and.
And and the work we have to do on new Afton can we'd be close to the to the natural cash flow and benefits from the rainy and and the second payments of definitely we're targeting free cash flow this year.
Okay.
And then and other more technical question typical of me and can you give us an idea of where you're mining milling and G&A costs are sitting for both of those off of.
Oh I don't I don't have this handy right now, but I would safety of luck at rainy River are you looking.
Our plan for the year and you're looking at for instance, the 43, one O one where we have shown on the year by year basis, I would say it remains of a very good reference when it comes to rainy.
Our new often is a bit of defend the situation considering the new plants. So again.
Again, if you if you use the 43 one on one.
Looking out and some of the year by year or yes, we would be of unit costs higher as the current situation, but we should be back on our feet and 2022. So I don't have the the answer but please refer to the 43 one on one.
And then on the unit cost and he mentioned off for new often.
Would that be a little bit on that.
And I noticed you said, we're not marketing so I was on increasing not by a little bit and because the only about 10 and 15% and then onto the processing side looks like the perfect line.
Right and is a little lower than what you were pushing locked yourself. Similarly the.
And a little bit line, a little bit higher on that plan and if you took the ratio of them.
The rest of it's more on the line on the unit Yeah. It's on the unit basis right. So when you do a recovery zone that plan and then the remote mucking up 1700 tons. A day. When you were supposed to do manwell, marking a three or 4000 and there is an impact there either.
And there is an impact obviously on the global and Sudan and ramp.
And the impact of the downtime of course.
Globally, but once you're back on your feet and term off of let's say lift one and the productivity and the second half and what.
And what we have planned for the B three of unit cost again, all the restaurants are pretty true on a one.
We still feel very strong of.
That is the thing we could achieve better than usually plant and than originally planned.
So we'll be very close and some aspect on unfortunately, a will be a will be impacted a bit on our unit costs for you on the ground as a result of what's happening.
And and last question for me is on the capital spend is there.
Or any kind of sort of waiting between the quarters that we should be aware of and typically people tend to understand and Q1, and then really try and make it up and Q4, so I'm just curious.
Curious if it's an even spread that youre looking at or is there and obviously, new afton things had to be pared back and Q1, but outside of that is there anything we should be aware.
No I think our I think our disclosure of dress as well and as you as you say.
Definitely the second half of new Austin will be stronger.
And Oh, you know as we ramp up from the Q1, but the Q1 Q2, but no I think our I think the other than that the.
Our disclosure is that.
And obviously every aspect to guide the west.
Thank you.
Thank you and other things.
Uh huh.
Again to ask the question. Please press Star then the number one on your telephone keypad.
Your next question comes from.
Mike Parkin from National Bank. Your line is open.
Hey, guys. Thanks for taking my questions are on rainy.
Bumping up against the the permit limit on your processing.
And I shouldn't moving into the second half you've indicated you know more favorable kind of mining scenario, where you are.
Dress into a lower strip.
And also a better grades.
Is there can you just give us an update there in terms of what you're thinking of boat in terms of the permit limit or are you looking to get that revised if it.
Any kind of details you can shed there.
Uh huh.
And you've got conversation you know was somewhat of initiated a if you look at this from what we can peak Mike I mean, we we can pick up to 32, right and the outrageous when your seven and I'm not saying, we're taking 32 of every day of course, it depends of the hardness, but but generally speaking.
We've been for took water and their role.
Of course, you would take a little more downtime to not surpassed the 27 and then you have the life of mine attached to this as well.
Expanding the the mind the the mill capacity to let's say, a something that would be of reducing the 20% between the peak the peak and the average.
And where it could.
Could be eventually possible very embarked on is the are the the not shorting the life of mine and comes the need to do so and progress and expand as we also extend the life of mine.
So this whole legs of the size and 21 is very important for us because it's it's about them.
A more efficient more profitable, but also continue to to grow this enterprise and and the region, which is very important to us and to everyone and all stakeholders, including the government.
Well.
It's kind of link it to this whole exercise there is maybe.
And our conversation to be helped to increase the bet, but it has to be well capture and all of the effort on a fixed standing the life of mine as well and bring back more on the ground as well and so we'll see where it goes second half of the year may be a stretch.
I think we wanted to fully understand potentially how this whole thing is going to reshape and then you go after the optimization of that so it could be a could be a more conversation and the second half, but I'm not expecting any increase of the milling capacity, if you will permanent and 'twenty one.
And we'll see how as we advance and the exercise does that does serve of 22 are talking maybe.
Okay. That's great thanks, very much growth.
Thanks.
Your next question comes from Mike Callen, and friend and Bank of America.
And the children.
So of Robin and her.
And I'm sure you noticed the and I am going to just sort of bunch of royalties for up to $47 million, none of the royalties and production.
And I'm, obviously out of the stream on the Blackwater, which was moving to production.
And I guess.
Yeah.
Oh wait and they probably haven't forgotten your phone number so I'm just wondering.
For your thinking on that stream of is it something that will be sold a day of buyers [laughter]. Thanks.
The we're definitely not questioning ourselves if they could be of buyer out there.
Uh huh.
Proud with the more specific I think our I think definitely and I wanted to look at the the stream where we.
We own the on the Artemis Blackwater.
In Canada.
All of the project on its way to be developed and.
So we understand the the.
And the interest.
With that I think of Rob and the team did an unbelievable job and 2020 to restructure the balance sheets of the company and and maintaining cash and cash liquidity and so far and with only 100 million to be repaid if you will but for 25 and all of the basically the whole long term debt.
The 27, and so is there any need and the short term to monetize or no.
And you know, we we saw black water, we sold the <unk>.
And if you will a portion and the on and all of the pipeline and retained very strategic a stream on that and.
Some equity and more payment this year and and as we move forward is a it would be always the question for us how do you build more value from those.
So.
Of course, we have this a very very solid stream that you could eventually.
Surely monetize and.
And maybe down the road accelerates on the debt repayment, but I would think I would think of the stream for us represent something more strategic than this.
And we worked hard and repositioning this company and and build on the free cash flow with no need to use this dream for any debt repayment.
Repayments.
And if you ask me I would say, we're very pleased to on it and and we're very pleased of the progress of Artemis and we see the value increasing over time.
But my preference would be to the non just.
Sales for the sake of even though there was some interest out there.
But it'd be a little more strategic about it.
Okay all right.
Thank God.
Yeah.
Yeah.
And I don't see any for a day question at this time I would like to turn the call over of that Duane.
Thank you operator and thanks.
Everyone for joining us today, you know as always should you have any additional questions and require more information please feel free to reach out.
But that completes today's call. Thanks again.
Ladies and gentlemen, this concludes today's conference call. Thank you for participating you may now disconnect.
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