Q4 2022 Centerra Gold Inc Earnings Call

February 24, 2023

Okay.

Greetings and welcome to the Q4 and full year 2022 results conference call. During the presentation. All participants will be in a listen only mode. Afterwards, we will conduct a question and answer session at that time. If you have a question. Please press the one followed by the four on your telephone if at any time during the conference you need to reach an operator.

Please press Star Zero as a reminder, this conference is being recorded Friday February 24 to 2023, I would now like to turn the conference over to Toby cared Treasurer and director of Investor Relations. Please go ahead.

Thank you operator, welcome to <unk> fourth quarter and full year 2022 results Conference call. Please note that presentation slides are available on <unk> website to accompany each speaker's remarks todays call is open to all members of the investment community and media in listen only mode.

Following the formal remarks, the operator will give the instructions for asking a question and then we will open the line to questions. Please note that all figures are in U S dollars unless otherwise noted joining me on the call today are Paul <unk> interim President and Chief Executive Executive Officer, Paul <unk>, Chief operating officer, and Darren Millman Chief.

<unk> officer.

I would like to caution everyone that certain statements made today may be forward looking and as such are subject to known and unknown risks, which may cause our actual results to differ from those expressed or implied.

Also certain of the measures we will discuss today are non-GAAP measures. Please refer to the description of non-GAAP measures in our news release and MD&A issued yesterday evening.

For a more detailed discussion of material assumptions risks and uncertainties. Please refer to our news release and MD&A, along with the audited financial statements and notes and all of our other filings, which can be found on SEDAR Edgar and on the company's website at <unk> Dot Com and now I'll turn the call over to Paul Great. Thanks Tobey.

Good morning, everyone and thank you for joining our fourth quarter and full year 2022 conference call.

I'd like to start the presentation by speaking to some tariff short term strategy as we continue to maintain our goal of establishing a stable and strong platform for future growth.

This entails firstly, obtaining all the regulatory approvals to restart operations at our <unk> mine.

Continuing to optimize operations and exploration of the Mount Milligan mine.

Advancing the Goldfield project, where the initial resource estimate mid year 2023, followed by a feasibility study.

Updating our view on other molybdenum business unit.

The future will be described as MDU, including the issuance of pre feasibility study detailing a potential restart of the Thompson Creek mine and this has to be delivered in Q3 of 2023.

Moving on to slide five firstly, an update on the Oxford mine.

In January 2023, we received notices of approval for the operating license extension for a period of 10 years as.

As well as in large grazing land permit, allowing for the expansion of the mine areas.

These two important approvals demonstrate that continued support for both the company and the Oxford Lane.

Also in January 2023 of the amended EIA was submitted for regulatory review.

This remains in process with government authorities now reviewing our technical studies to support our EIA Amendment.

The Mercury abatement retrofit to the ADR plant is now complete.

Following regulatory approvals, which are underway.

We'll be positioned to process gold at the rate of 35000 ounces per months.

As of December 31, 2022, there were 100000 ounces of gold stored in carbon.

And 200000 ounces recoverable and the inventory on the heap leach pads at install files.

Considering the recent tragic earthquakes from Turkey, there were no injuries to our employees or contractors. Unfortunately, no damage to the infrastructure at the mine I will speak more to this on the next slide.

Moving on from Oxford, The company reported Q4, 2022, and full year of 2022 gold production of 53000 ounces and 244000 ounces respectively.

There were 189000 ounces of payable gold and 74 million pounds of copper produced five Mount Milligan in 2022 50.

<unk> 55000 ounces of gold produced and sold by the opposite mined in Q1 2022 prior to the shutdown of operations on March 18 2022.

In January we announced Mount Milligan as guidance for the year, which includes gold production of 160 to 170000 ounces copper production of 60 to 70 million pounds gold production costs of 900 to $950, an ounce and all in sustaining cost on a byproduct base.

<unk> 1075 to 11 $125 an ounce.

As mentioned earlier the company continues to evaluate strategic options for the MDU.

Including a potential restart of the Thompson Creek mine based on the continued strengthening of molybdenum prices and positive medium term outlook.

A pre feasibility detailing this restart of Thompson Creek is planned for Q3 2023.

Ah Goldfield, we continue our advancement of the project and completed approximately 50000 meters of drilling in 2022, which will be incorporated in our planned initial resource estimate mid year.

Moving on to slide six.

In 2022, we had a number of PSG highlights I won't touch on all of these but first would like to extend our heartfelt condolences to the people of Turkey, but particularly those who have lost loved ones due to the natural disaster.

In support of the Turkish government's efforts to Antero has mobilized emerging response teams from the auction mine to assist Turkish state emergency preparedness authorities and regional disaster response organizations. The company continues to provide equipment and material support to the ongoing recovery activities where possible.

And we have coordinated with one of our mining contractors to support the recovery effort with equipment suppliers as well as trucks and crews and continuing to assist the local authorities and providing temporary housing.

Moving forward in Q4, 2022, so terra successfully completed the full rollout of the responsible gold mining principles. This has been a consistent and committed effort for many since our employees, especially at our Mount Milligan and auction operations, we recognize and appreciate all this hard work.

Additionally, the company continued to demonstrate the safety remains Sentara is top priority, having achieved 1 million hours milestone without a lost time injury at the Mount Milligan mine.

I will now pass the baton over to Paul showroom, who will walk through some tariffs operational highlights for the third quarter.

Thank you Paul on slide eight we have the operating highlights at Mount Milligan for both the quarter and the year 'twenty.

<unk> 2022 was a good year for Mount Milligan.

Firstly, we achieved a record annual throughput for the plant at $21 3 million tons.

Additionally, the mine operated well with a total material mined at $44 3 million tonnes and ore mined at approximately $19 4 million tonnes.

Cash provided at free cash flow from mine operations for 2022 or $162 million and $100 million respectively.

Gold production costs remained low at $790 per ounce in Q4 at $767 per ounce for the year.

All in sustaining cost on a byproduct basis was $629 per ounce in Q4 and $630 per ounce.

The year of 2022.

We continue to remain committed to the optimization of our life of mine plan and as mentioned in our January 2023 release, we anticipate higher gold and copper production in 2024 and 2025.

That is shown in the most recent 43 I don't want Technical report published last October .

On the exploration front, we have completed approximately 55000 meters of drilling since the most recent resource update.

The comprehend grade for the year was 2% with a metal recovery at 81, 9%.

The gold head grade was <unk> four two grams per ton with a metal recovery at 66, 9%.

Copper grades were lower than in previous years, primarily because we are starting to feed a higher proportion of the high grade gold low grade copper ore, which is planned to continue in 2023.

The staged flotation reactors have been operating since the beginning of May with circuit optimization and full commissioning completed in the fourth quarter.

The initial results have indicated elevated recoveries as flat.

So moving to slide nine.

So here, we provide the operating results for oxy.

As Paul previously mentioned, we received notices of approval of our operating license extension in January 2023, which is valid for 10 years as well as the enlarge grazing land permit allowing for the expansion of the mining areas.

The amended EIA was submitted for this January for regulatory review and remains in progress.

Construction of the Mercury abatement retrofit to the ADR plant is now complete and ended up being completed below the original budget of $5 million.

Following regulatory approvals and restarted the ADR plant after operations ramp up we will be in a position to process gold at a rate of up to 35000 ounces per months.

2023 mining activities at Oxy will be focused on the phase five wall pushback to expand the <unk> pit.

As of December 31, 2022, four process into storage Golden carbon inventory is approximately 100000 recoverable ounces with an additional approximately 200000 recoverable ounces on the heap leach pad and in stockpiles.

Moving on to slide 10.

We announced our 2023 operating guidance for Mount Milligan in January .

<unk> already provided the production highlights, but I'd like to add some additional color.

Mount Milligan gold production for 2023 of 160 to 170000 ounces and copper production of 60 to 70 million pounds is expected to be weighted higher in the second half of the year with approximately 30% to 35% of the concentrate sales expected to occur in the fall.

Quarter.

The lower overall production in 2023 compared to 2022 is driven by mine sequencing with the grade profile of both gold and copper is slightly lower than in 2022.

Mount Milligan gold production costs for the year are expected to be in the range of 900 to $950 per ounce sold.

The all in sustaining cost on a byproduct basis in 2023 are expected to be in the range of 1075.

Two $1125 per ounce due to the higher production cost higher capital expenditures and lower copper by product credits due to the lower copper sales estimated for 2023 like compared to 2022.

Moving to slide 11.

Touching briefly on the reserves and resource update first with Mount Milligan.

In October 2022, we released a new reserves estimate and life of mine plan, showing an increase of $1 1 million contained ounces of gold and 260 million pounds of contained copper, which extended the mine life by four years to 2023 2033.

This update was effective December 31, 2021, so just highlighting that the 2022 year end reserves and resource statement applies to the depletion that occurred in the past year.

Approximately 55000 meters of drilling that was completed in 2022 will be used to update the current resource model, which will be incorporated into the 2023 mineral reserves and resources update next year.

As of year end 2022 estimated proven and probable gold mineral reserves at Mount Milligan totaled two 6 million ounces of contained gold.

For copper the estimated proven and probable reserves totaled 902 million pounds of contained copper.

On slide 12.

<unk> proven and probable reserves total an estimated <unk> 9 million ounces of contango as of December 31, 2022, compared to the estimated $1 1 million ounces of contained gold as of year end 2021.

A portion of the decrease decrease of <unk> 2 million ounces in proven and probable gold reserves can be attributed to the processing of orders this past year into an existing inventory at Golden carbon which as we said previously is estimated to be 100000 ounces and in addition, there are over 200000 ounces of recoverable gold contain.

<unk> on the heap leach pad and stockpiles.

A resource update to include exploration drilling completed in 2022 is ongoing and will be included in the 2023 mineral reserves update.

As you would expect our focus at 2022 for Oxy was to prepare and submit underlying technical studies to support the amended EIA deliver the mercury abatement retrofit to the ADR plant on time and under budget and prepare for the operational restart.

On slide 13.

We outlined the reserves and resources for the MDU.

So as of December 31, 2022, the total measured and indicated resources at the TCM totaled an estimated 177 million pounds of contained molybdenum and an estimated 166 million pounds of contained molybdenum at Endako mines.

We have not changed since <unk> acquisition of Thompson Creek metals in 2016.

As previously mentioned by Paul our current focus is on issuing a pre feasibility on a potential restart of the Thompson Creek mine in Q3 2023.

As you well know the Thompson Creek mine has an overall average grade compared.

Higher overall average rate compared to Endako and historically the Thompson Creek mine operated at a lower unit cost per pound of Mali.

When we issued the Thompson Creek mine pre feasibility we plan to provide an update on the reserves and resources.

Yes.

Moving on to slide 14.

A brief overview of our <unk> business unit.

And there are three components.

Thompson Creek mine currently under care and maintenance with the restart under evaluation and a pre feasibility currently under preparation.

<unk> currently on care and maintenance with no medium term plans for a restart given our focus on Thompson Creek.

And the Lang loss metallurgical facility based in Pittsburgh currently in operation.

This facility purchases and processes third party molybdenum concentrate from mines and upgrades this into molybdenum products to be sold predominantly to the U S steel and chemical markets.

100, Thompson Creek metals Lang loss was fed by the Thompson Creek and Endako mines.

This facility is also in.

A part of our focus for the pre feasibility assessment.

Of a potential restart of the Thompson Creek mine.

And now I will pass on to Darren our Chief Financial Officer to discuss the financial highlights Thanks, Paul and good morning all.

For those following on the slide deck initially be speaking to slide 16.

<unk> recorded 208 million in net revenue during the quarter, consisting of demand Milligan mine and the molybdenum business unit.

No revenue was recorded at the Oxford mud.

I've been at Milligan mine gross sales of copper sales were $67 million and 53 million respectively.

In the quarter Mount Milligan, So 49444 ounces of gold and $15 4 billion pounds of copper.

<unk> has now recorded solid oil production in the quarter, we continue to hold the store Golden carbon the retreat of 100000 recoverable ounces.

The cost associated with the Oxford solely carbon inventories approximately $450 all in sustaining cost per ounce, which is being capitalized at current as a current asset within endometrial.

Importantly, this quarter, we are highlighting our additional 200000 ounces and heap leach pad and stockpiles that will be subsequently process. Once we return to operational status theocracy Martin.

At the molybdenum business unit, approximately 4 million pounds of molybdenum.

<unk> sold generated <unk>.

We have an average market price in the quarter of $21 49 per pound of molybdenum.

During the quarter, the molybdenum business unit generated $8 6 million in free cash flow with a focused effort on reducing inventory levels.

During the quarter. The Milligan mine operations average gold price realized was $1352 per ounce and $3 43 per pound of copper.

This incorporates the existing stream arrangements over the volume.

Cash used in operating activities by operations was approximately 10 million for the quarter and generated 25 million in free cash flow.

So our 25 million free cash flow deficit in the quarter.

As noted in the MD&A Milligan mine generated 26 million in positive free cash flow in <unk> and free cash flow for the quarter.

Year.

Milligan mine generated over 100 million in free cash flow.

I was not impactful another strong operational performance at Mount Milligan demand with record annual throughput at the mill.

Given <unk> currently on the street and one of a quarter with operations continuing we had 16 being used from Treasury. This is a reduction from the previous quarter at 23 as a result of reduction in activities at the site.

The net loss from continued operation was $130 1 million in the quarter with $13 7 million adjusted net loss per quarter.

The earnings in the quarter attributable to operations with $30 million contributed from the Mount Milligan mine three.

$3 4 billion loss from the <unk> mine and $5 million loss from the Loopnet business unit.

For the quarter there were three adjusting items.

Impairment losses of $138 million net of tax.

Deferred income tax recovery of 14 billion, resulting from the underlying tax basis adjustment the opposite volume and $4 4 million non cash gain de recognition of past employee health plan at the Lifelock facility. This was in connection with the spending of the unique workforce with no future commitments on the plant.

On the command an impairment loss as the company and its technical team are focused on the delivery of the pre feasibility and the potential restart of the Thompson Creek modeling Q3, 2023, together with the delivery of the initial results of the Goldfields bumpy year. There has been narrowed resources financial otherwise committed to the commenced.

Project.

Given this was a similar status at the end of 2021 has resulted in an impairment indicator on the <unk> 16 for the subsequent impairment assessment occurring in Q4 and retest the reclassification of the commencement project as a non core asset.

Impairment consists of two components of value per institute gold equivalent ounces and evaluation of capital equipment that thought.

Refer to note seven of the financial statements for further details.

Yes.

The all in sustaining costs recorded for the quarter was relatively high compared to the previous quarter. This was primarily driven by lower copper production in Q4, and thus resulting in lower corporate credits.

As explained.

To explain this earlier with the all presented to the mill in Q4 being high call right with lower copper grades.

I would call. It also in 2022, OLED operating cost metrics, either within guidance or performed better in the 2020 guidance range previously provided.

Speaking to slide 17.

For the full year Sentara produced 244000 ounces of gold and 74 million pounds of copper.

Given the inventory levels at Oxford, Tommy Restock regional operational performance, we are well placed as we move into 2023.

In Q4, we returned 23 million to shareholders in dividends and share buybacks with a total of $60 million in returns to shareholders in 2022.

And in early February we initiated changes to streamline our corporate structure and reduce workforce levels at regional and corporate office with our groups, but overall, 20% reduction in headcount at these locations.

The company has exited 2022 with a cash balance of $532 million over 900 million in liquidity.

Given our strong financial position.

Board has declared a quarterly dividend of <unk> <unk> per share.

Those are my closing comments, we've got off to a pretty sharp.

Thank you very much Darrin and Paul.

Stage, operator, I think we'll open up for questions.

Thank you certainly ladies and gentlemen on the phone lines. If we wish to register for a question. Please press. The one followed by the four on your telephone you will hear at Daytona pump Technology Quest. If your question has been answered and I would like to withdraw your registration you can pass one tweet once again, ladies and gentlemen that is one four to ask a question.

On the phone lines.

One moment please.

Once again, ladies and gentlemen on the phone lines you can press one four on your telephone if you have a question.

Alright at this moment I'm showing no questions on the phone lines.

Alright, well, thank you very much all for attending.

Attending.

Look forward to speaking.

Next quarterly call Julia weekend, Thank you operator.

Thank you, ladies and gentlemen that does conclude today's call. We thank you for your participation and ask that you. Please disconnect your lines have a good day.

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Greetings and welcome to the Q4 and full year 2022 results conference call. During the presentation. All participants will be in a listen only mode. Afterwards, we will conduct a question and answer session at that time. If you have a question. Please press. The one followed by the four on your telephone is up anytime given.

The conference you need to reach an operator, Please press star Zero as a reminder, this conference is being recorded Friday February 24, 2023, I would now like to turn the conference over to Toby Karen Treasurer and director of Investor Relations. Please go ahead.

Thank you operator, welcome to <unk> fourth quarter and full year 2022 results Conference call. Please note that presentation slides are available on <unk> Gold's website to accompany each speaker's remarks todays call is open to all members of the investment community and media in listen only mode.

Joining me on the call today are Paul rate interim President and Chief Executive Executive Officer, Paul <unk>, Chief operating Officer, and Darren Millman, Chief Financial Officer.

Also certain of the measures we will discuss today are non-GAAP measures. Please refer to the description of non-GAAP measures in our news release and MD&A issued yesterday evening.

Thanks Tobey.

Good morning, everyone and thank you for joining our fourth quarter and full year 2022 conference call.

I'd like to start the presentation by speaking to some tariff short term strategy as we continue to maintain our goal of establishing a stable and strong platform for future growth.

This entails firstly, obtaining all the regulatory approvals to restart operations at our Oxford, Mike <unk>.

<unk> to optimize operations and exploration of the Mount Milligan mine.

Advancing the Goldfield project with an initial resource estimate mid year 2023, followed by a feasibility study.

Updating our view on the molybdenum business unit.

The future will be described as MDU, including the issuance of pre feasibility study detailing a potential restart of the Thompson Creek mine and this has to be delivered in Q3 of 2023.

Moving on to slide five firstly, an update on the Oct with mine.

In January 2023, we received notices of approval for the operating license extension for a period of 10 years as.

As well as in large degrees, England permit, allowing for the expansion of the mine areas.

These two important approvals demonstrate that continued support for both the company and the Oxford Lane.

Also in January 2023, the amended EIA was submitted for regulatory review.

This remains in process with government authorities now reviewing our technical studies to support our EIA Amendment.

The Mercury abatement retrofit to the ADR plant is now complete.

And following regulatory approvals, which are underway.

We'll be positioned to process gold at the range of 35000 ounces per months.

As of December 31, 2022, there were a 100000 ounces of gold stored in carbon.

And 200000 ounces recoverable and the inventory on the heap leach pads at installed piles.

Concerning the recent tragic earthquake from Turkey.

No injuries to our employees or contractors. Unfortunately, no damage to the infrastructure at the mine I will speak more to this on the next slide.

Moving on from Oxford, The company reported Q4, 2022, and full year 2022 gold production of 53000 ounces and 244000 ounces respectively.

There were 189000 ounces of payable gold and 74 million pounds of copper produced by Mount Milligan in 2022, and 55000 ounces of gold produced and sold by the opposite mine in Q1 2022 prior to the shutdown of operations on March 18 2022.

A 1075 to 11 $125 an ounce.

As mentioned earlier the company continues to evaluate strategic options for the MDU.

<unk> a potential restart of the Thompson Creek mine based on the continued strengthening of molybdenum prices and positive medium term outlook.

A pre feasibility detailing with restart of Thompson Creek.

<unk> for Q3 2023.

Ah Goldfield, we continue our advancement of the project and completed approximately 50000 meters of drilling in 2022, which will be incorporated in our planned initial resource estimate mid year.

Moving on to slide six to.

In 2022, we had a number of PSG highlights I won't touch on all of these but first I would like to extend our heartfelt condolences to the people of Turkey, and particularly those who have lost loved ones due to the natural disaster.

In support of the Turkish government's efforts to Antero has mobilized emergency response teams from the Oxford mine to assist Turkish state emergency preparedness authorities and regional disaster response organizations. The company continues to provide equipment and material support to the ongoing recovery activities where possible.

And we have coordinated with one of our mining contractors to support the recovery effort with equipment suppliers as well as trucks and crews and continue to assist the local authorities and providing temporary housing.

Moving forward in Q4 2022, so on Terra successfully completed the full rollout of the responsible gold mining principles. This has been a consistent and committed effort for many since our employees, especially at our Mount Milligan and auction operations, we recognize and appreciate all this hard work.

Additionally, the company continued to demonstrate the safety remains <unk> top priority, having achieved 1 million hours milestone without a lost time injury at the Mount Milligan mine.

I will now pass the baton over to Paul showroom, who will walk through some tariffs operational highlights for the third quarter.

Thank you Paul on slide eight we have the operating highlights at Mount Milligan for both the quarter and the year 'twenty.

2022 was a good year for Mount Milligan, Firstly, we achieved a record annual throughput for the plant at $21 3 million tons. Additionally, the mine operated well with a total material mined at $44 3 million tonnes and ore mined at approximately $19 4 million tonnes.

Cash provided and free cash flow from mine operations for 2022 or $162 million and $100 million respectively.

Gold production costs remained low at $790 per ounce in Q4 and $767 per ounce for the year.

All in sustaining cost on a byproduct basis was $629 per ounce in Q4 and $630 per ounce.

Financial year 2022.

We continue to remain committed to the optimization of our life of mine plan and as mentioned in our January 2023 release, we anticipate higher gold and copper production in 2024 and 2025.

And that is shown in the most recent 43 101 Technical report published last October .

On the exploration front, we have completed approximately 55000 meters of drilling since the most recent resource update.

The comprehend grade for the year was 2% with a metal recovery at 81, 9%.

The gold head grade was <unk> four two grams per ton with a metal recovery at 66, 9%.

Copper grades were lower than in previous years, primarily because we are starting to feed a higher proportion of the high grade gold low grade copper ore, which is planned to continue in 2023.

The staged flotation reactors have been operating since the beginning of May with circuit optimization and full commissioning completed in the fourth quarter.

Initial results have indicated elevated recoveries as planned.

So moving to slide nine.

So here, we provide the operating results for oxy.

As Paul previously mentioned, we received notices of approval of our operating license extension in January 2023, which is valid for 10 years as well as the enlarged raising land permit allowing for the expansion of the mining areas.

The amended EIA was submitted for this January for regulatory review and remains in progress.

Construction of the Mercury abatement retrofit to the ADR plant is now complete and ended up being completed below the original budget of $5 million.

Following regulatory approvals and restarted the ADR plant after operations ramp up we will be in a position to process gold at a rate of up to 35000 ounces per months.

2023 mining activities at Oxy will be focused on the phase five wall pushback to expand the couch at the pit.

Moving on to slide 10.

We announced our 2023 operating guidance for Mount Milligan in January .

<unk> already provided the production highlights, but I'd like to add some additional color.

Mount Milligan gold production for 2023 of 160 to 170000 ounces and copper production of 60 to 70 million pounds is expected to be weighted higher in the second half of the year.

With approximately 30% to 35% of the concentrate sales are expected to occur in the fourth quarter.

The lower overall production in 2023 compared to 2022 is driven by mine sequencing with the grade profile of both gold and copper is slightly lower than in 2022.

Mount Milligan gold production costs for the year are expected to be in the range of 900 to $950 per ounce sold.

The all in sustaining cost on a byproduct basis in 2023 are expected to be in the range of 1075 to.

<unk> $1125 per ounce due to the higher production cost higher capital expenditures and lower copper by product credits due to the lower copper sales estimated for 2023 when compared to 2022.

Moving to slide 11.

Touching briefly on the reserves and resource update first with Mount Milligan.

This update was effective December 31, 2021, so just highlighting that the 2022 year end reserves and resource statement applies to the depletion that occurred in the past year.

Approximately 35000 meters of drilling that was completed in 2022 will be used to update the current resource model, which will be incorporated into the 2023 mineral reserves and resources update next year.

As of year end 2022 estimated proven and probable gold mineral reserves at Mount Milligan totaled two 6 million ounces of contained gold for.

For copper the estimated proven and probable reserves totaled 902 million pounds of contained copper.

On.

Slide 12.

<unk> proven and probable reserves total an estimated <unk> 9 million ounces of contango as of December 31, 2022, compared to the estimated $1 1 million ounces of contango as of year end 2021.

<unk> on the heap leach pad and stockpiles.

A resource update to include exploration drilling completed in 2022 is ongoing and will be included in the 2023 mineral reserves update.

As you would expect our focus at 2022 for US was to prepare and submit underlying technical studies to support the amended EIA deliver the mercury abatement retrofit to the ADR plant on time and under budget and prepare for the operational restart.

Yes.

On slide 13.

<unk> outlined the reserves and resources for the <unk>.

So as of December 31, 2022, the total measured and indicated resources at the TCM total an estimated 177 million pounds of contained molybdenum at an estimated 166 million pounds of contained molybdenum at Endako mines. These have not changed since <unk> acquisition of the <unk>.

Thompson Creek metals in 2016.

As previously mentioned by Paul our current focus is on issuing a pre feasibility on a potential restart of the Thompson Creek mine in Q3 2023.

As you well know the Thompson Creek mine has an overall average grade compared a higher overall average rate compared to Endako and historically the Thompson Creek mine operated at a lower unit cost per pound of Mali.

When we issued the Thompson Creek mine pre feasibility we plan to provide an update on the reserves and resources.

Moving on to slide 14.

A brief overview of our <unk> business unit.

And there are three components. The Thompson Creek mine currently under care and maintenance with the restart under evaluation and a pre feasibility currently under preparation.

<unk> currently on care and maintenance with no medium term plans for a restart given our focus on Thompson Creek.

And the landlord metallurgical facility based in Pittsburgh currently in operation.

This facility purchases and processes third party molybdenum concentrate from mines and upgrades this into molybdenum products to be sold predominantly to the U S steel and chemical markets.

Under Thompson Creek metals laying loss was fed by the Thompson Creek and Endako mines.

This facility is also.

A part of our focus for the pre feasibility assessment.

Of a potential restart of the Thompson Creek mine.

And now I will pass on to Darren our Chief Financial Officer to discuss the financial highlights Thanks, Paul and good morning.

Today's following on the slide deck initially be speaking to slide 16.

<unk> recorded 208 million in net revenue during the quarter, consisting of demand Milligan mine and the molybdenum business unit.

No revenue was recorded at the Oxford month.

Milligan mine gross sales of copper sales were $67 million and 53 million respectively.

In the quarter, Mount Milligan sold 49444 ounces of gold and $15 4 billion pounds of copper.

The oxide mine has now recorded solid oil production in the quarter, we continue to hold the store Golden company retreat of 100000 recoverable ounces.

The costs associated with the Oxford solar carbon inventory was approximately $450 all in sustaining cost per ounce, which is being capitalized as current as a current asset within inventory.

Importantly, this quarter, we are highlighting our additional 200000 ounces and heap leach pad and stockpiles that will be subsequently process. Once we return to operational status at the oxide mine.

At the molybdenum business unit, approximately 4 million pounds of molybdenum was sold generated $87 million.

With an average market price in the quarter of $21 49 per pound of molybdenum.

During the quarter, the molybdenum business unit generated $8 6 million in free cash flow.

<unk> effort on reducing inventory levels.

During the quarter that Milligan mine operations average gold price realized was $1352 per ounce and $3 43.

Per pound of copper this incorporates the existing stream arrangements over the volume.

Cash used in operating activities by operations was approximately 10 million for the quarter and generating 25 million in free cash flow.

Sorry, 25 million free cash flow deficit in the quarter.

As noted in the MD&A demand Milligan mine generated 26 million positive free cash flow in <unk> and free cash flow for the quarter.

Year.

Milligan mine generated over 100 million in free cash flow.

I was not impactful another strong operational performance at Mount Milligan mine with record annual throughput at the mill.

Given our sales occurred the Oxford amount of a quarter with operations continuing we had 16 being used from Treasury. This is a reduction from the previous quarter at 23 as a result of reduction in activities at the site.

The net loss from continued operation was $130 1 million in the quarter with $13 7 million adjusted net loss per quarter.

The earnings in the quarter attributable to operations with $30 million contributed from the Mount Milligan mine three.

Three four being lost from the oxide mine and $5 million loss from the believes that business unit.

For the quarter there were three adjusting items.

Impairment losses of $138 million net of tax.

Deferred income tax recovery of 14 billion, resulting from the underlying tax basis adjustment the opposite mine at $4 4 million non cash gain de recognition of past employee health plan at the landmark facility. This was in connection with the spending of the workforce with no future commitments on the plant.

On the Canadian payment loss.

The company in its technical team are focused on the delivery of the pre feasibility and the potential restart of the Thompson Creek modeling Q3, 2023, together with the delivery of the initial results of the Goldfields bumpy year. There has been narrowed resources financial otherwise committed to the commenced project.

Given this was a similar status at the end of 2021 has resulted in an impairment indicator on the RF for <unk> for the subsequent impairment assessment occurring in Q4 and retest. The reclassification of the commencement project is a noncore asset.

Impairment consists of two components of value per institute gold equivalent ounces and evaluation of capital equipment that site.

Refer to note seven of the financial statements for further details.

The all in sustaining costs recorded for the quarter was relatively high compared to the previous quarter. This was primarily driven by lower copper production in Q4, and thus, resulting in lower copper credits.

Paul has explained to explain this earlier with the all presented to the building Q4 being high coal right with lower copper grade.

I'd call. It also in 2022, OLED operating cost metrics were either within guidance or performed better in the 2022 products range previously provided.

Yes.

Moving to slide 17.

For the full year and tariff produced 244000 ounces of gold and 74 million pounds of copper.

Given the inventory levels at Oxford, Tommy Restock regional operational performance, we are well placed as we move into 2023.

In Q4, we returned 23 million to shareholders in dividends and share buybacks with a total of $60 million in returns to shareholders in 2022.

And in early February we initiated changes to the streamlined corporate structure and reduce workforce levels at regional and corporate office with average, but overall, 20% reduction in head count at these locations.

The company has exited 2022 with a cash balance of $532 million and over 900 million in liquidity.

Given our strong financial position.

Board has declared a quarterly dividend of <unk> six per share.

Those are my closing comments with that I'll pass it to Paul.

To finish up.

Thank you very much Darrin and Paul at this stage operator, I think we'll open up for questions.

Okay.

Your question has been answered and I would like to withdraw your registration you can pass one.

Once again, ladies and gentlemen that is one four to ask a question on the phone lines.

One moment please.

Once again, ladies and gentlemen on the phone lines you can press one four on your telephone if you have a question.

Alright at this moment I'm showing no questions on the phone lines.

Alright, well, thank you very much all for.

Attending.

Look forward to speaking.

Our next quarterly call Julia weekend, Thank you operator.

Thank you, ladies and gentlemen that does conclude today's call. We thank you for your participation and ask that you. Please disconnect your lines have a good day.

Q4 2022 Centerra Gold Inc Earnings Call

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