Q2 2022 McEwen Mining Inc Earnings Call
Hello, Ladies and gentlemen, welcome to Mcewen Mining's Q2, 2022 operating and financial results Conference call.
Present from the company today are Rob Mcewen, Chairman and chief owner.
Gary.
Chief Financial Officer.
William Schaefer, Chief operating officer.
Even in the given executive Vice President of exploration and Michael <unk>, Vice President human copper and general manager.
After the speaker's presentation, there will be a question and answer session.
You would like to ask a question. During this time simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question again.
Star one.
I will now turn the call over to Mr. Rob Mcewen Chief owner. Please go ahead Sir.
Thank you operator.
Good morning, ladies and gentlemen.
And welcome.
2000, the first quarter of this year.
It was a lot weaker than our second quarter.
Second quarter was much stronger we had higher production and lower cost per ounce. The drivers of this improvement.
Where our Fox complex that delivered its best performance since 2018.
And this is Zane mine, which bounced back sharply delivering in.
Q2, what it should have done in Q1.
Looking ahead, we expect gold bar south to be in production in the fourth quarter of this year and it will be delivering more ounces and lowering gold bars cost per ounce.
Exploration at the Fox complex has been successful building the gold resources at stock and should result in a significant reduction in the payback period.
From its current six years towards our goal of less than three years for the Fox P. A.
Which we published in January of this year. The P. Eight I'd like to stress outlines a longer mine life extending into the mid 2000, and thirties and a higher average annual production.
80000 ounces, which is almost twice this year's guidance for production that ox.
Progress at Mcewen copies lots of village project has been substantial.
During the year.
A strong management team with extensive experience operating in Argentina has been assembled.
Really there has improved our knowledge of the deposit and will result in a big conversion of inferred resources into the indicated category.
Multiple simulations have been conducted to optimize the mine planning these results.
Other results will be included in the updated losses P. Eight that will be released early next year.
I also want to stress what we believed it was very important to preserve and that with our listing on the New York stock exchange and that led to a 10 for one consolidation.
I'd say the importance of maintaining it because 90% of our trading volume occurs on that exchange.
Now I'd like to ask Perry to present, our financials.
Thanks, Rob and good morning, everyone. It's a pleasure to be back at Mcewen mining our CFO after several years away and having the opportunity to retail and a strong management team.
Haven't joined halfway through the second quarter I do observe the honestly the company experienced significant operating challenges during the first quarter as well as various other times during the Covid pandemic, but I do believe the company is now well positioned from a financial operating and leadership perspective.
For success in the second half of the year and enter the Fenix Sir.
Looking at our results I don't intend to read out a lot of numbers, but I'll just touch on our GAAP earnings so starting with that on a GAAP basis forever.
We reported a consolidated net loss for the quarter of $12 4 million or 26 cents a share but that includes $19 2 million invested in exploration and advanced projects of which $14 4 million relates to the losses, They will a copper project.
If you look at just our operating assets, we actually generated $4 2 million and positive gross profit from our operations.
As Rob mentioned, we completed a share consolidation just recently in July and our results on a per share basis for the second quarter are retroactively.
It reflects the 10 for one consolidation.
Looking now at our gold at our production for the quarter production improved significantly compared to the first quarter production was 27600 ounces of gold at 704600 ounces of silver for a total of 36140 level in ounces.
So this represents an increase of approximately 44% from the first quarter as we experienced COVID-19 related labor shortages at both the Fox complex in San Jose mine during the first quarter.
The improved throughput in the second quarter as reflected in our cash costs and all in sustaining costs for the quarter, which were $11 69, and $15 49 per ounce.
15% and 11% below the mid point of our annual guidance for the year as Rob noted the highlight was strong production from the Fox complex of 11200 gold equivalent ounces.
Production was also very strong at the San Jose Mine, which produced 19600 Panthers.
The only disappointing result was from the gold Bar mine, which produced 5100 gold equivalent ounces for the quarter due to the continued presence of carbonaceous ore, but as Rob noted we have a plan in place to.
To accelerate them.
Mining from the gold Bar South project, and we believe will show positive benefits from that by the fourth quarter.
I will leave further discussion on this topic that they'll say ever.
Yeah.
And finally looking at our Treasury.
Our cash and equivalents balance stood at $44 million and including restricted cash at 48 million at June 30th. This is down just over $10 million kind of getting of the year, but I'll note that our accounts payable and accrued liabilities balance decreased by approximately 14 million tons at the beginning of the year.
From a capital market standpoint, our primary activity during the quarter was the completion of a $15 million private placement fireman Mcewen Cocker subsidiary in late June .
So now like human copper has raised $55 million of the intended 80 million.
First tranche financing.
Following this transaction Mcewen mining ownership of lots to do list is not now stands at 76%.
So with that I'll now turn the call over to Bill for a review of operations.
Thank you very much Karen and good morning.
I'm also happy to have been called upon to join the Mcewen management team as CEO .
I've been here about three months and in that time has visited all of our operations, including Mexico and Argentina.
And have been to each of the operating entities.
All times.
We are happy to report that Q2 has been a safe quarter with one minor medical aid involving Diamond drillers.
Who had a cut to his hand it required some stitches.
Mike just comment in my visits around to the various sites.
Reasonably happy with the state of our <unk>.
Environmental social.
Hum.
Reclamation.
Matters as well as our safety programs.
At Fox complex, we had a relatively good quarter producing 11200 <unk>.
Gold equivalent ounces a record apparently for the best quarter in three years.
The cost per tonne and per ounce were in line with budgets and expectations and the mine was significantly ahead of schedule and tons of ore produced in.
And most of the other measures.
For development production drilling.
And backfill it.
Exploration.
<unk> is also confirming a lower.
Extension of the ore.
At the <unk> deposit, which will extend the mine life into.
Late 'twenty 'twenty four.
Or and or early 2025.
We are also fully engaged in debottlenecking.
The process plant, which we hope will improve mill throughput improved reliability and reduced unanticipated downtime.
To that end we've.
Installed a new screen tower.
In the month of July and have purchased rebuilt cone crusher to improve reliability in this portion of the plant.
The screen will direct define or that is already the right size directly to the ball mill, thereby.
Passing the cone crusher and improving the performance of the cone crusher and allowing more time for maintenance of this part of the plan at the same time, we're improving maintenance capability.
The plant personnel.
All of these things will increase the mill throughput, which will result in more gold production at a lower cost as we move forward.
Yes.
Yeah.
At Gold bar, we had a tough quarter due to the carbonaceous ore that Barry mentioned.
This was encountered in the pit this ore, which is <unk> robbing cannot be placed on the leach pad as it attracts and keeps.
<unk> captured in <unk>.
In this material.
This impacted our production and costs for the quarter.
We were able to mitigate this situation to some extent by pivoting to other ore sources.
We did.
Did carry out of 10 hole drilling program on very intense basis to try to quantify the carbonaceous material.
And we now have the results of that study.
And we feel we have the situation.
Under control in terms of understanding where we cannot mine.
We see.
But we do see the impact of this continuing into Q.
Q3 in terms of our production.
Part of our strategy is to move ahead more quickly on the gold bar South.
Project to that end, we have all of the permits now in hand, and we will be starting the access road and site development at this month.
This will allow us to have ore production from gold bar South in Q4.
And as you May know the grade at gold bar, South is generally a little bit better.
And of course, the ore is very clean of deleterious elements. The stripping ratio at gold bar, South will be lower and the overhaul is shorter although the recovery may be low.
Lower long term.
And we plan to mine as much ore from Loeb ourselves in Q4 and continue.
Mining into.
2023.
Yeah and.
The plan is.
Too concentrated on the best grades possible in Q4 and into 2023.
In Mexico.
We have completed the leaching as planned in the month of July .
And.
I would say I am happy to say that we.
We are carrying on with our remediation plan for the waste dumps in other parts of the site and this work is growing well and looks.
Very very good.
We also have come up with a different approach to the processing of the leach pad materials.
With the traditional mill.
In a manner, which will reduce the capex significantly and basically.
Make that a project that.
We should be able to.
Finance from a mixture of.
Some of our present financing.
A little bit better production from some of our operation.
And.
This will.
We're in the midst of completing a study on this and we anticipate that this might start.
2022 2023, rather.
So.
In summary, I'm relatively happy with our progress today to date, we have a good dedicated group of people working hard to do a little bit better. We have some critical personnel holes that we need to fill and there is more some more process driven discipline that.
We need in the organization, but we're in the midst of putting that into place.
So with that I'll. Thank you very much and now I'll turn it over to Steve for some exciting exploration results both in government and.
<unk>. Thank you.
Thank you Bill and good morning, everyone.
Our Q2 exploration investments in Ontario, and Nevada.
Totaled $3 $8 million and Theyre generating exciting results and positioning us for a strong second half of the year.
The goal of each is to extend the life of our mines and grow our mineral resource base.
Firstly at the Fox complex near Timmins, Peru.
Underground drilling has continued to produce positive exploration results as bill alluded to and these are extending mineralization to depth.
Recently hold $2 25 L. O 41, 118 ran five two grams per ton gold over eight six meters at 100 meters below the mines access ramp.
We are drilling.
And delineating to depth with two drills up to 220 high level.
In the mind on surface, our stock property coverage E kilometers or five miles of the gesture Porcupine fault zone.
And include three gold deposits that occur within a three kilometer or two mile links that are open for expansion.
In 2022.
We have four key target areas near our stock property mill with excellent potential to materially grow mineral resources based on poorly tested vertical and lateral trends.
During Q2, we continued drilling mineralization proximal to the past producing stock mine with a view that a successful campaign could shorten the payback period in the Fox PVA delivered earlier this year.
We have confirmed multiple areas with attractive initial results that can be expanded with additional drilling from surface or in time from underground recently.
Success included identifying a deeper mineralized body.
Most of the desk Porcupine fault zone.
We reported an encouraging drill results at the stock property.
In our green carbonate.
Or host that May support improvement to the PVA. These results included two holes.
547 grams per tonne over seven seven meters true width, and 662 grams per ton gold over eight three meters true width.
These holes intercept.
The mineralization at about 500 meters below surface, we have a third hall pending results that.
Including visible gold.
Noticed while core logging, we anticipate reporting on these and other exploration results from Fox in a press release in the very near future.
At gold bar.
Q2 result activities focused on several areas in the mine on the pick extensions to the north and infill of the Pik phase two pit.
At the Atlas pit, our highest grade past producing open pit located three miles west of the gold bar mine drilling got underway on three target areas proximal to the historic pit, including following up on Paul <unk> <unk> drilled in 2021 that.
Intersected three one grams per ton gold over 27 meters or about 90 feet at the east Atlas target.
That drilling has been just completed and we hope to be reporting on results in the near future as well.
At San Jose.
In Argentina 3600 meters of drilling were completed on the mine site exploration program and a further 700 meters of drilling at the <unk> Este project located about 70 kilometers south of San Jose mine.
<unk> site drilling result highlights include seven five tons are grams per ton gold and 84 grams per ton silver over four one meters.
And six nine grams per ton gold and 648 grams per ton silver over one five meters.
An additional 2000 meters or 6600 feet of exploration drilling is planned in Q3.
The San Jose property surrounds Newmont's, Cerro <expletive> mine and is host to high grade Epicentral gold and.
And silver deposits.
Finally at Los <unk>.
Our exploration program completed about 13500 meters or more than 44000 feet of drilling prior to the close of the field season in late me.
I'll ask the results from the exploration holes have been returned and are being included in the PVA update.
Slated for early 2023.
This drilling is confirming mineralization of historic intercepts using the 2017 PVA mineral resource estimate.
Recently.
Returned to assays include Hall.
20 to $1 58.
Which intersected 222 meters of nine 5% copper, including an interval comprising 44 meters of 138% copper in the Super gene enriched zone.
Importantly, we believe we are meeting one of our primary goals of converting previous inferred mineral resources to indicated resources and thus improving our confidence in your body.
Our drilling often extended to depth well below the 2017 PVA pit with mineralization that continued to the bottom of the completed homes.
Giving us more confidence that there is plenty of room for the resource to grow much more.
I'll now turn the presentation over to Michael who will tell you more about our developments that loss of units.
Thank you Steve the facilities project located in South one Argentina is one of the worlds largest undeveloped open pit copper porphyry deficits occur.
According to mining intelligence, we are a top 10 by resource if you look at it we are top five by resource not owned by a major.
As Steve mentioned, we completed some 13 five kilometer of surface drilling with good results as we have published in our latest press releases.
Three primary objectives of the past and upcoming drilling program includes.
To improve confidence in the resource by converting inferred mineral resources to the indicated and measured category accelerated project advancement with metallurgical hydrological and geotechnical drilling and to.
To test the limits of the depth extension of the higher grade mineralization.
Results from this drill program will be used to update the 2017 preliminary economic assessments, and which estimated indicated and inferred mineral resources were 10, 2% and $19 3 billion pounds of copper respectively.
The updated Pea study as Steve mentioned is planned to be released in the beginning of 2023.
We have built a strong management team in Argentina as already mentioned by Rob that will support us going from the updated pea into the preparation of a definitive feasibility study and demonstrates our confidence in the accelerated development of this project.
As shown in our annual meeting presentation, we have seen significant mineralization below the prior pit outline and in our depot vertical holes, our existing geophysical work indicated indicates promising targets to the southwest and the northeast of our main mineralization that we aim to test further no upcoming drilling program.
Combined with infill resource drilling.
Our aim is to convert resource to the measured category for the first five years of future production and we are executing additional metallurgical testing to analyze the option of an initial long life heap Leach operation, which could significantly lower the required capex logistics costs and environmental footprint and should prove.
<unk> is an attractive business case.
We have brought together a world class team, including Samuel Engineering basketball, Stan Tech and most recently <unk> sold to.
To support the definition that development work for the update work towards the development of the PVA basis has begun with the initiation of metallurgical testing program leveraging prior work and the completion of a geo metallurgical model to ensure a comprehensive understanding of the deficit.
Extensive enterprise optimization work with video consulting from Australia is underway on the potential larger scale lower cost and lower carbon footprint alternatives.
Based on the new information from the completed drilling and geological logging resource angelic geological modeling upgrades are being refined for the inclusion in the PVA.
Mclendon design Arena owned architectural design from the Green architectural space has also been working to assistant incorporating regimen writers and sustainable design concepts already into the PVA at this point in time.
As reported loss as soon as is now accessible during most of the year by a two access roads, which will make further development safer and more cost effective we have successfully used the southern access road at the end of last season and leverage shared resources together with <unk> from other bond in resources, and Glencore I'll touch on which our neighboring prop.
Next the.
The company is currently preparing for the upcoming drilling season, beginning of Q4 this year our growth through its already improving access to the project site for an early start.
I will now turn back the presentation drop. Thank you. Thank you Michael.
Yep.
I Trust you will agree that our operating performance represents a big improvement over our past.
In addition to our improving precious metal operations.
<unk> heard from Michael is that there is a lot of activity at losses earlier.
And the <unk> copper and I'd just like to go over.
Some numbers with us.
Illustrate why we believe that losses are the list represents a very large asset for us and will play a big role in the future value of the company.
No.
What's the losses are less worse.
Well, one comparison could be with a project a copper project in the same province in Argentina that sold earlier this year for $485 million that's called losses.
Hey, Maria.
Jose Maria is located at a higher altitude than us their 900 meters higher so there into an area that has potential problems with <unk>.
Yeah.
The resource base of losses or list is.
Over twice the size of Jose Maria.
Losses earliest copper grade is significantly higher.
San Jose Maria.
The projected capex of losses, Xu list is lower and the NPV higher losses, it is closer to infrastructure, such as highways and power agreement.
And according.
According to Goldman Sachs based on.
2018 numbers losses or less was in the lowest cost quartile of.
The industry for undeveloped copper projects and Jose Maria within the highest cost quartile.
So.
I thought I'd look at it and say well if we were to look at that $485 million.
And safe.
Discount it by 50% and say that's the value of it for Mcewen mining.
And.
That would be.
Mcewen mining owns 76% of Mcewen copper right now.
That at a 50% discount as a $485 million that would work out to our per share value.
Of $3 88, a share.
Okay.
If you said well it's not.
50% discount maybe it's the same price.
<unk> is worth 485 million times.
And then there is a $7.78 value per share.
Behind every.
Share of Mcewen mining.
And then if you said well it's.
More than twice the size is higher grade its closer to infrastructure.
And you'll get a 50% premium.
Dan you have better than $11 60, a share.
Value behind every share of Mcewen mining for that 70.
6% interest.
So.
When youre looking at Mcewen mining, we have exposure to two of the critical metals.
The future.
We have gold, which is the ultimate form of money.
And we have copper, which is the middle of electrification.
Clean energy going forward.
So.
What you get is 100 to 150000 ounces of gold at our improving cost plus.
76% interest in one of the world's largest undeveloped copper projects.
And right now we're trading well.
Well below the value of losses Louis contained in intercompany.
I am quite optimistic that we're going to see improving results for our operations and the advancement of losses is quite exciting in terms of building value for.
All of us shareholders.
I'd now like to open the session up to question and answers.
Operator, if you could do that and before you get any.
Questions.
Online I have a number then it has to come in.
This call.
So there is a the first question comes from.
And Gs and Christian Love shed.
Of Oregon.
They say we are longtime shareholders and want to know when you will declare a regular dividends again.
With the investment in new minds behind US what is the plan for sustained growing income that supports the dividend.
I'm, a big believer in dividends and when we are in Goldcorp, we got to a point, where we're paying.
Monthly dividends.
We're not at that point, yet and I think we are a considerable distance from that that we are building our assets to get to that point in the future.
The second question from gallon TCA.
Management planning to do in order to stop the slide in the stock.
Well I think we have better results this quarter and we're going to see continued improvements in our operations and continued growth in our copper and that should translate into an improving share price.
John from British Columbia will the company need to do any financing for the remainder of 2022 I'll ask Perry to champion sure Rob I think from the Treasury side I think on Mcewen mining will.
We have stabilized the balance sheet. So we don't foresee any need for mcewen mining.
To raise equity during the remainder of 2022, obviously for Makena as copper is now complete at $55 million of the intended to $80 million.
First tranche financing to advance the losses are less copper project. So there is a potential to execute that before the IPO, but other than that no.
Plans to raise financing and another question for Perry. This is from Steve Ellis what are the current projections on when the company will make a profit.
Good question Rob.
Honestly.
<unk> mining is it U S GAAP reporting company.
<unk> expense.
Operations.
So.
As long as we're consolidating the results.
Losses, Nevertheless, and continuing to.
Stat and lots of money advancing the project those will all be deducted.
From the company's actual profitable operations. So it's really a bit of an accounting exercise, but I'll say that the company's operations as demonstrated this quarter.
We're quite profitable.
Thank you Perry next question from Marie <unk> from Belgium.
And I'm going to refer this to Michael.
The recent sharp decline in copper prices, how does management see the evolution of the Chilean copper in the near future.
So we don't build them in mind based on our current spot price, we look into the longer term future, but even looking at today's spot prices for Copa.
We think that the Los <unk> project will be very profitable.
At the moment, we use in our simulations $3 25.
For valuation.
And looking forward into the electrification and what is going on with the communication of our economies. We think there will be significant need for copper in the future and this will be supported by Baidu.
By the copper price and there's a significant upside potential for loss of solus. So.
Comfortable with regards to the losses on this project at this point in time.
Thank you Michael Morris has a second question how does management see the evolution of Mcewen mining for the rest of this year and for the coming year.
Yeah.
That's an easy one we see continued improvement in operations as Michael said, we see the copper project growing and profile and we will be delivering.
Updated preliminary economic assessment early next year, and we're driving towards it after that a feasibility study on the project.
Where we think there is.
It will become a property that should attract significant attention and just this morning I saw someone.
Commenting on the copper price and suggesting a $10 a pound is coming in the future.
Operator.
Open for questions that are online. Thank you at this time I would like to remind everyone in order to ask a question press star followed by the number one on your telephone keypad. Your first question comes from the line of Jacob Schakowsky with Alliance Global Partners. Your line is open.
Hey, Rob Hey, Jake Thanks for taking the question Hey, Rob.
So just looking at cost I mean, the obviously decrease substantially quarter over quarter.
Do you think there is there is further room for improvement in the second half or should we expect similar levels.
What we saw in Q2 I know, it's a difficult question with the inflationary environment, but any color there would be helpful.
I'll ask bill to jump in there.
So yes, that's a good question.
I guess the.
Where are we have to look to.
To improve cost is improve production.
Steve Fox complex. So if we look at our our cost for Q2.
So we were slightly.
Under our budget in terms of production, but right on target for cost per ounce and cost per tonne. So.
If we can improve.
Our production or the ore processing production.
That will have a follow on impact on our operating costs. So.
So I guess in terms of that operation.
It will lower.
Of course.
And the third.
Yes in the third quarter.
At gold bar.
We hope to get back closer to our budget.
Numbers.
So that in terms of the production of coal so that should help the cost per ounce.
At Gold Bar and then the combination of those two will overall.
Hopefully reduce the cost.
And going forward, when we ramp up <unk>.
All by ourselves, which is a little bit higher.
Raid shorter.
Charter distance to the mill.
A little bit lower recovery.
Lower stripping ratio than that.
That should help the overall operating costs.
And again I think as we move forward.
Great and some of the exploration work that Steve has been doing.
Appears to be at least consistent with what we have seen in the mining operations up till now so I think the road forward is around.
Trying to improve each of our assets that are operating and two.
Look to the future expansion.
And any way that we can.
Okay.
Okay that makes sense and sticking with gold bar South.
Can you maybe just touch on the number of ounces that you guys have in the mine plan.
For that area.
How long do you expect gold bar south to be the dominant source of seeds.
At gold bar.
So.
So the total ounces in gold bar.
So.
Recovered as something in the order of 120000.
Ounces.
And.
It should operate.
Through.
2023 and on into.
2024 base.
Based on the present data it will.
Okay.
Of the resource.
That operation will end in 2024.
But what we're hoping is that once we get into the operation and see exactly where the ore is that we're a bit optimistic that we're going to find some more ore there.
So the once we get.
Our teeth into gold by ourselves.
Understand.
How the are all occurs and so on.
There'll be some exploration work that we have to do to understand the extensions of the ore to the north and south.
Also downward.
Two lower elevations, which which I would say, though north and south were a bit more optimistic about them.
Then the possibility of the or extending deeper.
So I hope that answers your question to some extent.
Hey, guys that was helpful.
That was all for me thanks again thank.
Thank you Jake.
Your next question is from the line of Heiko with H C. Wainwright. Your line is open.
Hey, everyone. This is <unk>, calling in for Heiko, Thanks for taking our call today.
So we're looking at Fox and you spent $2 6 million on exploration in the quarter.
Extrapolating that to the year, we're at $10 4 million so right in line with your forecasted $10 million.
And then next year, we're looking at $15 million in spend so a strong 50% increase can you provide a bit of color on where exactly those funds will be spent and how much of a 50% increase is attributable to higher costs.
And how many meters do you think you can drill in 2023.
Okay.
Steve would you like to.
Yes, I can certainly add add color to that question firstly.
Drilling costs.
If you.
If we look back a year ago.
Are our two primary concerns with respect to drilling was one the availability of drills and two.
The likely cost increase in in drilling in the future in late 2022 2023.
What we've seen so far this year that that drills generally had been more available than what we had had felt a year earlier at perhaps the drillers youre increasing your capacity was more drills and we found that our drilling costs are in line and 10, specifically at far below what.
We had budgeted for unit cost for the year. So so that that has been has been gratifying.
Certainly for us.
You mentioned that.
The spend on the year to date for exploration.
Our planned.
On surface at the Fox complex for the second half of this year is to complete about 39000 meters of drilling and that will take.
For the most part five drills drilling continuously both at.
The stock property and App.
The Fox Black Fox property, primarily at Grey Fox.
We.
In order to come.
Complete.
Our goals for 2023, a very important part of the program next year will be to ensure we're prepared and to and actively drilling on.
Targets that can typically only be drilled in winter.
Often because of difficult conditions, and we are beginning preparation for that part of our program next year.
And on average.
Exploration program. This year has begun to migrate from Dylan.
Delineation related work focused on improving.
Payback on the PVA.
In and around the stock mine and on the margins on stock West that drilling is continuing but now we're also migrating towards looking at a very attractive.
<unk> dot.
We've been aware of and we have been planning to follow up.
The future program some of those targets will be deeper than have been drilled and last year year and a half but also have the potential to two with success.
Bring meaningful improvement to our resource base, either app stock or on Grey Fox So.
We believe the second half of the year is going to be quite an exciting one we are accelerating our our spend versus the first half of the year.
We expect the second half of the year the spend will be in the order of about $7 million at the Fox complex.
<unk>.
Similarly, we are we expect to be ramping up.
Drilling in time at <unk>.
In Nevada, as well, but specific to Fox, we are planning already for our winter drill program and expect to have quite an exciting program, taking us through to the end of next year.
Sure.
Great. Thank you that helps a lot okay.
Again, if you would like to ask a question.
Press Star followed by the number one on your telephone keypad.
Your next question comes from the line of Mark <unk> with land use your line is open.
Okay. Thank you. So much. This question is for Rob when you were going over the valuation and comparing.
To Jose Maria where you're talking about pre or post split value.
Okay.
Yeah.
Hi, Marc Robert step out of the railcar.
Take a call, but maybe Stefan can answer this question.
So rob's numbers were on a post split or post reverse split basis.
Got his per share values.
Great. Thank you so much I only ask because I know that it is highly sensitive to the price of copper and just wanted to make sure. That's all for me. Thank you all.
Thanks Mark.
There are no further questions at this time, Mr. Rob Mcewen I turn the call back over to you.
Uh huh.
Thanks, operator.
As I mentioned, Rob I had to step out of the room, but on behalf of the management team that Mcewen mining. Thanks for joining the second quarter results call and we look forward to speaking to you again in the future.
Ladies and gentlemen. This concludes today's conference call you may now disconnect.
Wait the conference will begin shortly.
Sure.
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