Q3 2022 IAMGOLD Corp Earnings Call
Thank you for standing by this is the concrete operator welcome to the I am Gold's third quarter 2022, operating and financial results conference call and webcast.
As a reminder, all participants are in listen only mode and the conference is being recorded.
Two of the presentation there'll be an opportunity to ask questions.
Join the question queue. You May Press Star then one on your telephone keypad should you need assistance during the conference call you May signal, an operator by pressing Star then zero.
I'd now like to turn the conference over to Graeme Jennings VP Investor Relations and corporate communications for Ion Golf. Please go ahead Mr journey.
Thank you operator, and welcome everyone to the <unk> third quarter 2022, operating and financial results Conference call today, joining me on the call are.
Are you still owe Jamie chair of the board and interim President and CEO , Martin introducing interim Chief Financial Officer.
Bruno Lemelin senior Vice President operations and projects, Craig Macdougall Executive Vice President of growth and.
Tim Bradburn Senior Vice President General Counsel and corporate Secretary.
Our remarks on this call will include forward looking statements. Please refer to the cautionary statement included in the presentation under the heading cautionary statement regarding forward looking information and be advised that the same cautionary language applies to our remarks during the call.
non-GAAP measures will also be referenced on the call and we direct you to review the cautionary statements included in this presentation and the reconciliation of these measures is included in our most recent MD&A each under the heading non-GAAP financial measures.
With respect to the technical information to beat to be discussed please refer to the information in the presentation under the heading qualified person and technical information.
Slides referenced on this call can be viewed on our website.
I will now turn the call over to our chair and interim President and CEO .
Thank you Brad good morning, everyone and thank you for joining us today.
<unk> reported another strong quarter building on the operational and productivity initiatives put in place earlier in the evening.
Yes.
Based on the exceptional performance of our operating teams, we forecast that 2022 production.
See the top end of our diabetes.
Sequentially, we increased our production guidance for the year to between 650 and 705 ounces up.
572 640000 ounces.
As previously guided.
On behalf of the board and the executive team, we applaud the tireless efforts of the Iam gold team.
<unk> commitment to operating safely responsibly and.
Consistently.
The Kony gold projects saw a significant ramp up in activity and is advancing well and is.
Following the schedule and cost rebate rebates provided to the market in December .
Currently coating is over 64% complete.
Any nearing peak manpower capacity with approximately 1500, where it appears that site.
Despite recently celebrated $6 9 million, whereas we thought the long term injury, which is a testament to the safety commitment skills and dedication of the protocol T.
Financially the company took a significant step in addressing its funding requirements for the critical Jack with the announcement of the sale of our interests in the Rosebel mine complex.
Vision mining for $360 million in cash and $40 million in assumed liabilities.
The transaction also showed strong support from our lenders.
Steve provided consent to release Rosebel someday a security package.
The remaining funding alternatives.
And we expect to be able to provide further updates in the fourth quarter.
I am under 8% confident.
Our ability to address the near term challenges due to Delta code take on its updated schedule for initial production early in 2024.
Our goal remains the same to be a leading the high margin gold producers.
And we will better position I am globe as a more resilient and agile company.
Now starting with health and safety.
Our performance continues to improve and trucks below our annual annual targets.
These risks.
Restricted and transferred with a range of 22, seven and total recordable injury rate of <unk> 72.
Ensuring all of our employees go home safe after every shift.
Fundamental and core to our business.
Every gold ounces produced to be done safely.
In the third quarter I am going to reported under 84000 ounces of attributable production.
Achieving the highest quarter of production in over a two and half years.
This performance was driven by record production at Essakane steady performance from Rosebel and early signs of operating improvements at Westwood.
This strong production results and sales volumes translated to cash cost.
<unk> hundred $26 per ounce sold and all in sustaining cost of 15, <unk> hundred $59 per tons sold.
We are seeing continued cost pressure from inflation.
Though these pressures stabilized during the third quarter of 2022 relative to the first quarter. The first half of the year.
Further the impacts of these cost pressures on mining and processing costs were partially mitigated through the production performance.
The operations.
Based on this strong operating performance this year the company expect that annual production will exceed the top end of the previous guidance range of 590 to 640000 ounces.
And he's revising guidance upwards to between 650000 and 705000 ounces.
The primary driver of this increase is a tuck in.
In.
Well, we have increased guidance to 410 to 430000 ounces.
Up from 360 to 385.
As previously.
We'll.
Also adjusted guiding some costs with all in sustaining cost forecast to be below our original expectation coming in between $16 to 16 under $60 per ounce sold.
Down from the original 16 safety to 16 91.
Dollar tree.
Yes.
As noted on the prior slide we are seeing continued cost pressures from external market forces.
Which I'm showing sorry to stabilize and haven't been partially mitigated through our operating performance.
Further we continue to see benefits from our oil and foreign exchange exchange hedges.
For example, this year we.
The 80% hedge ratio on double UTI, and a 71% ratio on Brent contract at price points between 38 and $65 per barrel.
These hedges further insulating us from rising costs in the first nine months of the year.
I will now turn it over to Martin to walk us through financial review.
Thank you Mary and good morning.
The following are some key highlights of our third quarter financial results.
<unk> revenues in the third quarter totaled $343 million for a year to date talked to just over $1 billion.
Obviously realized sales price for both for the quarter was $1690 per ounce.
And that includes the impact of delivering 37500 ounces at $500 per ounce under our trading buying team prepay arrangement.
We have 37500 ounces remaining to be delivered in the fourth quarter under the prior arrangement.
Adjusted EBITDA came in at $103 million for the quarter and excludes the $74 million after tax noncash impairment charge recognized to align the carrying value of the rosebel cash generating unit with the south surprised upset with the sales price of the asset as well as the impact.
Unrealized non hedged derivatives and foreign exchange losses.
Finally, due to the impact to weakening Canadian dollar on the cash balances held in Canadian dollars.
Year to date, adjusted EBITDA was $356 million.
The company reported third quarter net loss of $129 1 million and an adjusted net loss of $13 7 million or <unk> <unk> per share, bringing adjusted earnings year to date to $6 1 million or one thing for sure.
The adjustments mainly relate to the noncash impairment charge in Rosebel and the foreign exchange differences Deviously mentioned.
Operating cash flow changes in working capital was $108 million for the quarter at $336 6 million for the year to date.
Mine site free cash flow increased to $59 2 million in the quarter.
<unk> totaled 189 3 million for the year to date.
In terms of our financial position.
We ended the quarter was approximately $536 million in cash.
Cash equivalents and short term investments and we had approximately $107 million available under our credit facility.
After drawing down $380 million.
Year to date and accounting for the letters of credit in the amount of $19 3 million issued under the French.
Saturday as collateral for certain surety bonds issued at environmental Indemnities.
Taken together this Trump approx.
Approximately $637 million in total liquidity at quarter end of note $238 million of our cash cash equivalents insult by drug zinc gold and his account.
As the article both you JV requires its joint venture partners to fund in advance two months of future expenditures.
And that is a can the company uses dividends and intercompany loans to repatriate funds from its operations and the timing of dividends is usually the second and third quarter of every year.
As a result, we typically do between 200 $250 million of cash on our balance sheet for normal course business purposes.
At the end of the third quarter, the remaining attributable spend to complete the construction of the <unk> project is estimated to be between one and $1 1 billion.
Based on information currently available and providing market conditions, we continue to expect that I'm going to require additional liquidity in 2023. In addition to the proceeds expected to be received from the site of Rosebel to complete the construction of the project.
The company is actively pursuing various alternatives to increase its liquidity and capital resources, including the options listed here.
The funding alternatives are advancing well and we expect to be able to provide an update either in the fourth quarter.
It is worth highlighting that the strategic view review of our development and exploration assets in the <unk> region of West Africa is active and ongoing and we will provide further updates in due course.
Thank you Martin.
Now on to operations.
And Tim will talk first about <unk>.
It's again achieved its highest quarterly production ever.
Reporting attributable gold production of 116000 ounces.
The mine continues to benefit from the higher grade mineralization in the lower portion of the faithful pet with a higher amounts of cost growth.
Mining activity of $12 6 million tons increased from the prior quarter.
As mining operations resumed at full capacity in September thanks to an easing of supply chain challenges in country and abroad.
Mill throughput increased in the third quarter to 3 million tonnes benefiting from improved Greg site and higher plant availability at 93%.
Head grades were reported at one five grams per tonne.
And recovery, 90% remaining at the same levels as seen in the second quarter.
As announced subsequent to quarter end, there were political developments in Burkina Faso, with a change of leadership within the military government.
I am gold personal with phase <unk> operation continues to operate as period your business plan.
The company continues to take proactive measures to ensure the safety and security of our in country personnel and we continue to adjust protocols and activity levels that site. According to the security situation.
As we look to the end of the year, we have increased our production guidance for a second to between 410 and 430000 ounces.
From 360 to 385000 ounces previously.
<unk> is well positioned to have its best production year and got the best year on record.
We will continue to review the positive reconciliation between <unk> and the updated block model. While we are also executing on targeted operational improvements.
Since initiative focused on increasing mill throughput and recovery.
Improved blast fragmentation and enhance gravity circuit recoveries through the planned addition of a double deck screen.
Now turning to Rosebel.
Other operation will lead the turnaround at Rosebel has continued with Q3 attributable production of 50000 ounces.
This is the fifth progressive quarter on higher production as a result of the infrastructure improvements initiated at the end of last year and did you life of mine plan.
Announced earlier this year.
It does.
Our roadmap to return to the Rosebel to being a 300000 ounces plus producer by 2025.
Subsequent to quarter end on October 18.
<unk> announced that it entered into a definitive agreement with physician mining group to sell its interest in the Rosebel mine for total consideration of $401 million.
With cash consideration of $360 million and the assumption of.
So a $41 million of liabilities related to equipment leases.
When we initiated a strategic review process for Rosebel.
Our goal was to find a new owner committed to the future of the Rosebel complex and who would make the necessary investments in the operation and place it on the path for long term success.
Rosebel has been an important contributor to <unk> results and we are pleased that accompany with the capabilities and reputation of <unk>, a leading global mining company.
We will be taking over this operation for the benefit of all stakeholders.
The transaction is expected to close in the first quarter of 2023.
Fairly youre subject to regulatory approvals.
With the exceptional diligence and effort.
Our rosebel employees and management Rosebel is expected to produce 175 to 200000 ounces up from our prior guidance.
155 to 180000 ounces.
Ups crushers remain in Suriname.
Country is heavily exposed to the U S dollar and a net importer of goods.
Oil prices continue to be partially mitigated by our existing hedge program.
On Westwood.
Gold production was 19000 ounces in the quarter as a result of higher volumes of underground ore at a higher grade and higher tonnages from the Grand Duke satellite open pit.
Lateral development in the third quarter was noninterest 51 meter lagged.
Lagging from the previous quarter due to continued continued sorry labor constraints and lower mechanical availability of our new grinding equipment.
Underground rehab utilization progress at the planned rate, despite challenging ground conditions and impacts from supply chain challenges.
Underground mining activity in the third quarter and focus on accessing additional stope sequences in the eastern zones.
To supplement the recently opened the higher grade western and central zones.
Due to secure multiple ore faces, which will allow for seamless.
Titian underpinning the 'twenty two 'twenty three production plan.
As a result of the improvement seen in Q3 and expectations for Q4, we raised the bottom end of our production guidance.
65 to 75000 ounces up from 55 to 75000 ounces previously.
Now turning to coated goal.
The project has made significant progress over the last few months.
Progress rates are currently at peak level.
With the updated project plant.
This site is currently.
That city with approximately 1500 awarded periods.
I would not.
A couple of weeks ago, and I have to come in the project management team for their diligent.
Diligent and focus to keep everyone on task.
As of September 30th the company's estimated attributable remaining project spend to complete construction and bring coating goes into production.
Is one to one $1 billion net of leases and working capital.
It is worth noting.
Considering current market that estimates also assume a Canadian to U S exchange rate of 125 to one.
So any further strength in the U S. Dollar provides a benefit to coty gold's construction costs.
Our contracts and expenses page in dollar denominated.
The company is putting in additional Canadian dollar foreign exchange hedges. In addition to its existing hedges to increase exposure to current rates overdue construction per yet.
The project at the end of September was 64, 2% complete with monthly project advancement estimated to be approximately 3% to 4% per month. During this peak construction period.
Detailed engineering is now under 8% complete.
Our focus is on execution and mechanical installation.
Key progress milestones in the quarter include restaurant structural mechanical and piping activities in the processing plant with Dupont mill now marching on the reception cradles and deposit So Asia box set in play.
<unk> progress on the tailings management facility water realignments channel polishing pad them and I'll do water management infrastructure damage.
The handover and assembly of the autonomous control route.
Completion of the primary crushers concrete to the 490 elevation wager.
One more vertical left remaining and concrete foundations for the HPT, a secondary crusher screening building and fine ore bin ended over to Ed.
<unk> contractors.
So counting gold continues to track well to the updated projects tangible towards initial production in early 2024.
I am goal and our partner Sumitomo.
Aligned and focused.
On building Cody safely on time and.
Into the current scope and budget.
And did some decryptable path for the project continues to be through the processing plant and all teams are focused on in sharing.
<unk> has been executed to facilitate mechanical installation within the plant once the winter season hits.
The company cautions that potential further disruption.
Including without limitation caused by COVID-19, due Ukrainian war, whether potential labor disruption and the tight labor market could continue to impact the timing of activity availability of workforce productivity and supply.
Chain in logistic logistics, and consequently could further impact the timing of actual commercial production and project cost.
No right next is J goff when.
At the end of last year, we announced an initial results for the <unk> deposit, which is located immediately adjacent to coty.
<unk> contains $3 4 million ounces of measured and indicated resources and an additional one 7 million ounces of inferred resources.
Notably doctrine as only been drill.
As did that of co.
Okay and is open along strike and adapt.
This year, we conducted a 16 does it need a diamond drill campaign targeting further delineation of the module the resort and extension of the mineralization zone upside your results boundaries.
So this program will be reported once complete.
It is worth reminding everyone that this coating the life of mine plan as defined today is based on mineral reserves of $7 2 million ounces contained within the <unk> deposit.
Taken together foodie and goslin as a total of 13 and a half million ounces.
Measured and indicated.
Our results.
We firmly believe that Coty goal is not just a project.
But the start of the new mining district.
And there is significant upside to be uncovered as there has been minimal historical exploration targeting these colgate goslin stall in trucking intrusion hosted deposits within our 596 square kilometer land package.
With that update I would like to pass the call back to the operator for Q&A.
Thank you we will now begin the question and answer session.
Just to join the question queue you May press.
Star then one on your telephone keypad.
Hear a tone acknowledging your request.
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Yeah.
Our first question comes from Tanya.
<unk> with Scotiabank. Please go ahead.
Great. Good morning, and thank you for taking my questions Muddies Martin Thank you.
Insights.
Can I ask a couple of things I have three questions. So I'm going to start number one.
Inflationary pressures.
Want to get an understanding.
Are you starting to see any easing of inflation and yet in your costs in either labor and or diesel.
And our consumables just are you starting to see that ease a little bit. So that's my first question.
Good morning Tanya.
I'll answer the question.
We have seen sharp increases like our peers in the first half of the year.
With inflation for oil <unk>.
So boiling commodities such as our grinding media.
In Q3, we started seeing those costs so.
So we have not seen further increases, but the cost remained elevated.
Those levels that we saw in Q2.
Okay.
Alright, and where would you say youre seeing it mainly in diesel and other consumables related to.
Fuel.
Metro chemicals, another yes, okay.
Items like steel grinding media that requires energy to produce.
Right.
Nothing in labor.
No.
Okay.
My second question.
Again as another technical question, which has to do with the reserves.
I'm just interested to understand what exactly is happening at essakane.
You know youre getting this positive.
Our block model reconciliation on the grade like what do you think is happening with this complex geology and my second part would be you know.
As you look at your reserves in 'twenty and 2022 are you thinking about adjusting the gold price upward to reflect these additional or higher cost.
I don't know Martin you or <unk> on that one.
Okay I'll take the question on <unk>.
We've added a few consecutive months of positive reconciliation.
John .
It is linked to really.
Cause gold in it.
The phase four pet.
That.
That caused a fact, oh seems to reinforce to directly to gravity. So we have great benefits from that.
And we are in the process of validating dose.
Block model and further we are we are now drilling and trying to better understanding.
But the type of mineralization and what's going on so I would suspect next quarter, we would be able to provide more visibility to what we see.
And it's again had deaths.
And talking.
Talking about cost.
And all of the technical aspect.
We are not seeing any changes to our kind of grade at Essakane.
That is what about the company itself for 2022 year end.
<unk> would you. Please read I guess it was just you're only left with really Westwood. So it's an underground operation that fine.
I just answered my own question there.
So my last question if I could was just on the.
The liquidity additional liquidity that looking to two.
To put in place by year end, and you mentioned that the boto and exploration is well advanced.
I thought my understanding was that you wanted to get all of that drilling done.
And then sort of get additional resource and our other before that would be sold does it appear that you can get all of this done before year end to give us an update in Q4.
Also our.
Discussions with the various parties is.
Commercially sensitive, but what I think we can say is that for these assets. We continue to make sure that we get the value for the assets as part of the sales process and that it is not a fire sale. So we are looking closely at.
The process on that.
Buying value that that part is offering for it.
Okay. So you feel you could get those done in Q4.
Okay.
And then I noticed in your language in your release that you removed joint ventures off as one of your options.
That job that John joint venture partnerships. We had mentioned these on previous calls so we're still looking to keep 100% of Essakane and <unk>.
Westwood is that a fair statement.
Yes, <unk> done yeah, Okay and then my last question just on this funding gap is just.
Once we sell or get value for boto and other exploration.
Would you put your packing order as you know options on.
Royalties and streams.
Our preferred option to debt and our equity I'm, just trying to understand the ranking of the remaining funding.
So we are looking at options.
The Bay areas solutions in the capital structure.
<unk>.
Is the tradeoff between the cost of capital and the permanent CEO of solutions. So we have not decided at beating order we are.
Through the various options.
With where Scott competitive tension between the cost of capital and the permanent solutions.
Okay, I guess I'll stay too do you think you will have the full funding so including your other option. In addition to the sale of Boto I know there by year end.
Oh, yes, we will be able to.
So Medicaid dis.
And it gets to the market before year button.
Okay. That's good great congratulations on the progress.
Thank you Danielle.
The next question is from Anita Soni with CIBC World markets. Please go ahead.
Good morning, everyone. Thanks for taking my questions.
First question, you mentioned the amount of capital or the amount of cash that is held between <unk>.
<unk> could you give us a breakout of that I think it.
Probably it's critical to my thinking in terms of how much is actually put ahead for <unk>.
Alrighty.
Hi.
So anita the widest.
Spending or cash gross work is we have to provide two months of funding, but the cash growth is on the beginning of the month. So at the end of demand we have approximately one.
One month of expenditures remaining and we need to fund over the next day and so we see this two two months of cash.
I would say that it's roughly 50 50 of that amount that that feeds into that.
And the same thing.
Okay. So 50 50 between <unk> and how long does it take you to upstream cash from <unk> to go into <unk>.
It doesn't take us long at all however, we can do it in a certain window and that window is normally Q2 and Q3.
So that's why our cash balance both up in Q4, and Q1, and then we start to get better at Kashagan.
Greenberg.
Okay.
Alright, and then as I look to just a minor point, but going into Q4 the guidance for the year at africana would imply a weaker quarter, so somewhere around them.
A range I think.
85000 ounces or so.
And you did mentioned that you would you'd be focusing on stripping to prepare yourself for the grade profile in 2023 and 2024 so.
Is that accurate my my assumption that you'd be focused more on stripping and less on delivering towards the.
To the mill at Essakane in Q4.
Thanks for the question.
First of all we do expect grades to normalize closer to reserve grade in the fall in the fourth quarter.
We also.
Expanded meal to be processing under 8% holiday rock.
As opposed to a combination of saprolite in a haul truck.
And also we have noted the security situation in the country.
That's putting a bit of pressure on our people. The situation is managed but at this point.
I'd, rather be a little conservative when it comes to S. A cat.
And then just moving backwards too to the funding gap and the.
And bug package of assets.
Believe you carry it on the balance sheet right now for about $258 million is that I mean is that an accurate assumption of the value that you're trying to achieve when you sell that or is there something else that we should be thinking about.
In Utah.
Thanks for the question. It is very commercially sensitive at this stage in our process and we cannot comment on values.
That is not our carrying value of these assets on our balance sheet.
For October it's closer to $80 million.
Oh, no I meant the package of assets all of them together, we're 250, I thought, but boto itself with $80 million you said, Doug so the other assays as exploration assets and we don't.
We expanded our exploration expenditure. So we don't have significant value on the balance sheet, but the value of the carry the accounting carrying value is not representative of the value of the package in our view.
Okay.
Alright, Okay. Thank you very much.
Yes.
Youre welcome.
Once again, if you have a question. Please press Star then one.
The next question is from Lawson Winder with Bank of America. Please go ahead.
Hi, good morning, and thank you for the update.
On the African asset sales I just wanted to.
Sort of drill down a little bit more on your previous comment when you say you expect to have some sort of.
Announcements with regard to the strategic alternatives for West Africa, but by the end of Q4 do you mean for wholesale was two <unk>.
Smaller exploration stage assets.
Yes.
Yes, it would be rectified cage, it would be for the treaty.
Properties yet.
And.
Is the idea that they would all be sold together as a package or.
Could there be multiple buyers for each of those assets within that package.
Uh huh.
They could be sold separately two of them three of them together it really depends on where we see the value and where we can create some value for the company.
So no definitive answer yet on that and.
It's still.
Where it can progress.
Okay got it that's.
That's great and then just on Rosebel with the higher guidance I mean, I think it's great that you are getting the benefit of that improved guidance.
What I'm wondering is that will there be any sort of adjustments upon closing as a result of the higher guidance or why I'm being able to fully benefit from that.
Good morning.
Awesome so.
For Rosebel there the purchase process driving $60 million would not be adjusted based on the agreement, but there is certain working capital adjustments that will be made based on the standard working capital.
The company also received the cash on the balance.
Off the silent so if there is a performance it could result in.
In <unk>.
Increase in proceeds.
Our negotiations we have shared fees.
Forecast with Swift the purchaser as well so.
It's in line with what they are seeing as well.
Okay excellent.
Just going to S again with the Capex now are running at a 100.
Sorry for the $75 million of sustaining capex.
I think if you look into 2023 and even beyond that is that kind of the correct level for maintaining that operation.
We are currently working on the budget.
Awesome right now and I think it's too early to tell.
So there will be some stripping to be to be done in 2023, and 24 for sure but again to give you the best level.
Of the capital, Florida Canadian groups, we're actually finalizing our budgets.
<unk>.
Okay, well stay tuned for that and then just finally I'm not sure. If you can you can provide any color on the.
On the search for a permanent CEO is there sort of any sense of timing at this point.
Well the CEO searches are active and ongoing.
The board.
<unk> been conducting an extensive process because we really want to find the right candidate for the job.
John .
We say in terms of calling me up.
We'd expect to be able to make an announcement before the end of the year.
Okay excellent. Thank you very much for answering my questions.
Thank you.
We have a follow up question from Anita Soni with CIBC World markets. Please go ahead.
Hi.
Just get some I guess some color I'm sure I could probably find it in the technical report if I looked but.
The working capital requirements that you would have for Coty.
You sort of leading up into the <unk>.
I guess, he's leading up into the commercial production.
Declaration early 'twenty 'twenty four could you give me a ballpark number of what Youre looking at there.
The technical reports.
Does that information in there I think what is important because its an unincorporated joint venture we will continue.
Two top to fund two months of expenditures going forward.
Each partner gets the gold credits back so the working capital is included in the cost assumptions for.
Good construction period, but also included in the.
In the technical report quantity in operation.
Okay. Thank you.
Ill speak to if we need to continue to fund the cash calls for that.
The ongoing.
Cash outflows of the project.
Alright, thank you.
The next question is from Sean <unk> with Deutsche Bank. Please go ahead.
Yes.
Hi, good morning, Thanks for taking my questions.
Just the first question I believe you provide a liquidity bridge on slide nine.
Your cash balance went up about $130 million quarter over quarter can you just describe what exactly drove that sorry, if I missed it.
Yeah.
We drew down.
On our credit facility at the end of September .
To assist us to make the Cashcall for Cotai at the beginning of October we.
We also drew down a bit more for a bit longer periods of time advantage of savings.
Recent interest rate environment. So we drew down will run their facilities than we needed in the short term.
Okay that makes sense. Thank you.
As I take a look at your income statement and it does appear that exploration and SG&A expense both came down a little bit is this a fair run rate to use moving forward.
We are working through our <unk>.
Clients in budget process.
Would be giving an update on that in our guidance.
So.
I E.
So I think we're.
We're in a position to say that that is our run rate and you also kind of looking at our exploration expenditures and vehicles based on what happens with the.
Asset disposition of exploration assets in West Africa for example, as well so we just need to complete our assessment of our client activities.
Understood understood and then is there any.
Fair enough there.
Around the Rosebel sale closing.
Anything in particular that.
Could slow the closing or gives you any pause with it.
At this point nobody is nothing that gives me pause.
We have no long regulatory required spend.
We are proceeding through dose.
As a matter of fact.
Online weakness some of them today with the SEC and the representatives to.
<unk> joined <unk> <unk> and <unk>.
It's.
Really just about customary regulatory approvals at this point.
Okay.
Thank you very much.
This concludes the time allocated for questions I'd like to hand, the conference back over to Mike <unk> for closing remarks.
Thank you very much operator, and thanks to everyone for joining us this morning and for your continued engagement to wake up in the court.
Always should you have any additional questions. Please do not hesitate to reach out to myself or <unk>.
Graeme Jennings if you will you would you would like to set up a meeting. Thank you all the aim have a great day.
Yeah.
This concludes today's conference call you may disconnect. Your lines. Thank you for participating and have a pleasant day.
Okay.
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Sure.
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