Q2 2024 Eldorado Gold Corp Earnings Call
Speaker Change: [music].
Yeah.
Thank you for standing by this is the conference operator, welcome to the Eldorado Gold second quarter 2024 results conference call.
As a reminder, all participants are in listen only mode and the conference is being recorded after the presentation. There will be an opportunity to ask questions to 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 jail.
I would now like to turn the conference over to Lynette Gould, Vice President Investor Relations Communications and external Affairs. Please go ahead misquote.
Thank you operator, and good morning, everyone I'm excited to welcome you to our second quarter 2024 results conference call before we begin I would like to remind you that we will be making forward looking statements and referring to non ifr S measures during the call. Please refer to the cautionary statements included in the presentation.
And then just closure on non Ifr's measures and risk factors in our management's discussion and analysis Joy.
Joining me on the call today, we have George Burns, President and Chief Executive Officer Al for Anyhow, Executive Vice President and Chief Financial Officer, Low Smith Executive Vice President Development, Greece, and Simon Kelly Executive Vice President operations and technical services.
Our news release yesterday details of our second quarter 2024 financial and operating results that should be read in conjunction with our second quarter 2020 for financial statements and management's discussion and analysis, both of which are available on our website.
Well also both been filed on SEDAR and Edgar all.
All dollar figures discussed today are U S dollars unless otherwise stated we will be speaking to the slides that accompany this webcast and you can download a copy of the slides from our website.
After their prepared remarks, we will open the call for Q&A.
At this time, we will invite analysts to queue for questions I will now turn the call over to George.
Thanks, Linda and good morning, everyone.
The outline for today's call.
I'll provide a brief overview of Q2 results and highlights I will then pass the call over to Paul to go through our financial results and then the whole assignment to review our operational performance.
Then open the call to questions from our analyst.
Turning to slide four our second quarter delivered safe gold production of 122319 ounces in line with our progress towards full production guidance.
Production was in line with expectations of strange increased.
Yes.
Yes Hello.
During the quarter, we did have a small impact to production as a result of a labor initiated work stoppages at olympias totaling 17 days in the quarter during negotiations on a new collective bargaining agreement. Currently we are in final stages of negotiating a mutually acceptable CPA with our unions.
Looking ahead, we continue to do it.
Expect increased production in the second half of the year remaining on track with our guidance to produce between 505 and 555000 ounces of gold.
In 2024.
Total cash cost and all in sustaining costs were in line with our expectations.
$940 per ounce sold an <unk> hundred $31 per ounce fault, respectively.
Cost increased primarily as a result of higher royalties driven by higher gold prices. In addition to higher labor and contractor costs and higher fuel prices during the quarter.
There's no early in Q1 and subsequently in the second quarter continued higher gold prices during the quarter have led to increased royalty expenses in Greece, and Turkey is the royalty structures are calculated on a sliding scale linked to the gold price.
Well, we did see higher cost this quarter. They are in line with our 2020 forward guidance ranges I'll touch on our cost in more detail later in the call.
Turning to slide five in the second quarter, our lost time frequency rate decreased to 0.40 recorded incidents per million person hours work compared to 1322 in Q2 2023, our commitment to create and maintain a safe and healthy workplace is unchanged.
We recognize this is a continuous journey of improvement.
Our health and safety focus in 2024 is based on preventing high potential incidents and further empowering our employees to promote a positive health and safety culture.
And sustainability I'd like to start by congratulating our teams in Turkey on the outstanding scores. They received following their external verification against the mining association of candidates towards sustainable mining protocols.
GSM, scoring as a range from C suite triple a with a indicating good practice and AAA, indicating excellence and leadership.
<unk> grew the site received AAA scores and tailings health and safety biodiversity, and then engineers and community relations.
The site received a double AA and AAA scores across all other indicators.
Yes, I think the site received AAA scores and all safety and health protocols indicators and a double play in AAA scores across all other indicators, notably.
Notably with the completion of the first round of PSM Verifications, we now have a triple a scoring tailings facilities across all of our operations.
I would also like to extend my congratulations to a number of our global teams that received awards during the quarter, including.
A silver award from the Hellenic Institute for Occupational Health and safety.
Best Natural resources deal at the 2023 D E M E. A project Finance awards.
This was in recognition of our Scurrying project financing facility.
And a bronze award and agenda and inclusion category at the 'twenty 'twenty four E R&D sustainability awards.
These awards recognize the outstanding achievements of <unk> clients, and promoting drink economies and better environmental and social performance.
We take great pride in our teams commendable success and this is reflected in the awards received across health and safety sustainability and finance.
Stop there and turn the call over to Paul for a review of our financial results.
Thank you Josh.
Slide six provides a summary of our second quarter results our operations delivered a steady second quarter inline with expectations and guidance and with continued high gold prices driving an overall financial results.
Looking to the full year annual guidance.
Remains unchanged across all operational and financial metrics.
With some upside possible and cash flow generation.
Gold prices remain at their current levels.
Eldorado reported net earnings attributable to shareholders from continuing operations of approximately $56 million or.
<unk> 28, a share in the second quarter.
Positively impacted by higher revenue due to higher volumes sold and higher prices realized when compared to the second quarter in 2023.
After adjusting for onetime nonrecurring items adjusted net earnings were $66 6 million or 33, a share for the quarter.
Adjusted net earnings in Q2, 2020 full accounted for the reversal of two principal items, Firstly, a $1 $9 million gain on foreign exchange due to the translation of Turkish deferred tax balances net of inflation accounting impacts.
Secondly, a $12 million unrealized loss on derivative instruments, including our goal zero cost collars.
Our free cash flow in the quarter was negative $32 million and positive $33 9 billion, excluding the capital investment in this curious project.
Cash flow generated by operating activities before changes in working capital in the quarter.
It was around $132 million compared to $82 million in the same quarter last year.
As previously noted the increase is principally related to higher sales volumes and realized gold prices.
Second quarter total cash costs were $940 per ounce sold and all in sustaining costs about $1331 per ounce of gold.
Our costs increased compared to Q2 2023, as a result of higher labor costs and consumables, such as fuel driven by production volumes as well as higher royalty expenses, primarily due to higher realized gold prices.
The higher royalty expense in Q2 impacted by approximately $40 per ounce.
In addition increased sustaining capital investment contributed to higher ASIC for the quarter compared to the same period in the prior year.
Capital expenditures on a cash basis were $173 million in the second quarter.
Cleaning investment in growth projects at Kinston, Doug when we focused on waste stripping the north heap leach pad and related infrastructure.
At <unk>, we continue to advance major earthworks and infrastructure construction for the project and as expected invested approximately $92 million in the period.
We anticipate that we will restart investing alright and that continued in the project.
He is the fourth quarter this year.
Current tax expense and just over $20 million for the second quarter decreased from approximately $22 million compared to the same period in 2023, primarily due to reduced Turkish taxes. After accounting for an increased investment tax credits and inflation accounting adjustments.
Deferred tax sorry, deferred income tax decreased to a $1 million of expense in Q2 2020 full from an expense of $17 million in the comparable quarter in the prior year.
In Q2 2020 for deferred tax included a $4 4 million expense for use of tax attributes in Canada.
$5 8 million expense related to the weakening of the Turkish lira and the euro against the U S dollar.
Firstly offset by a $7 6 million recovery from the application of Turkish inflation accounting.
Turning to slide seven stability and status quo at the key things our balance sheet continues to be well funded and able to support our growth strategy. We.
We ended the quarter with total liquidity of $810 million, including $595 million of cash and cash equivalents and $215 million of available credit capacity.
During the quarter, we extended and increased our senior secured credit facility by $100 million.
This was done proactively taking advantage of favorable market conditions, and allowing us to update and renew our previous facility that was due to expire in 2025.
Cash increased over the quarter as a result of positive cash flow from our mining operations combined with drawdowns of the project finance facility for the Scariest development.
We expect to build cash during the remainder of 2024 from cash flow into our operations as we benefit from strong gold prices.
Additionally, we continue to focus on maintaining a solid financial position.
Its flexibility to respond to opportunities and fund our growth strategy to unlock value across our global business.
With that I'll now turn the call over to low to customers a great cast that highlights.
Paul and good morning, starting on slide eight <unk> Studios Coca Cola project.
Well Q1 was primarily focused on the earthworks Q2s total construction will commence in multiple areas.
Going forward in Q3, and Q4 underground mining mechanical piping and instrumentation in the mine plant will continue to ramp up in addition to.
The construction of the building.
Overall progress is 76% when including the first phase of the construction.
We remain on track for first production in Q3 2025.
Commercial production expected at the end of 2025.
Detailed engineering is advanced and is now at 72% complete and procurement is substantially completed.
Work and recruiters.
<unk> continues to ramp up on the construction of major afoot structures, including the all roads water management ponds low grade stockpile primary crusher process facilities photo pump facility and the integrated the extract of waste.
Management facility E W.
Productivity improvement initiatives by the earthworks contract.
Including adding a partial second shift has yielded significant improvements, including optimizing cycle times for the fleet as well as improved sequencing of material placement and quality control activities.
On the critical path is the filter plant facility, which continues to advance.
We expect to have both the filter plant construction contract in the next few weeks.
The filter press pledged continued to be pre assembled with 220 fives now completed although for a total of 580.
And during Q2, the fabricated frames for those planes total lives on the site.
Welcome to Mol flotation building is progressing well.
Commissioning of all overhead cranes were completed during the second quarter.
Construction lighting scaffolding steel country concrete work on Quebec. In addition, both sides quite excluding fabrication and contractor mobilization continues on plan.
Work is also progressing singles the underground development to support the stope mining in 2025, we awarded the second contract in Q2, which includes statistical work as well as additional development and services work to support the development of the underground mine.
The contract are mobilized to site and the first blast occurred on June 17th.
We have also completed the earthworks to allow access to the Gulf of them slipped during the second quarter and construction has now commenced in addition, the Logan all stockpile full placement has also started.
Moving on to slide nine.
During the second quarter, the capital investment that studios was $92 million almost double the first quarter spiked.
This brings our year to date to speak to the scrutiny is $244 million, which is inline with our expectations as the spend is expected to have them up.
No because lee as mobilization and decides labor increases over the second half of the year.
We remain on track to meet our guidance for investment in <unk> in 2024th of between 75 and $425 million.
At the end of Q2 2020 full we had 841 personnel on site and are still on track to ramp up to 1300 by the end of the year.
The next few slides will slew the advancement of the work underway.
Turning to slide 10.
On the left hand side is the primary crusher.
As planned the output of training will close on or completed and it is expected that the full support for the concrete slab for device of the cultural building will be hold in August on the right hand side is to filter plugged area, where you can see two titles are actively working with a third one having.
Having recently arrived in July.
The contract until Covid testing could ease significantly and 270 pulse on El completed effectively finishing the pullets are required for the foot to floor building.
All of a total of 871 titles with the remainder to be completed before the onset of the buildings.
In July 2020, full preparation work for the concrete foundations for the filter plant.
Have commenced with assembly of the voting structure to commence in Q3 2024, following the award of the Fulton Bank.
Instructions contract.
The instead photo shows a closer view of what will become the Florida of default to plug building once the concrete slab is port.
The next two slides you will see work has commenced on support infrastructure, including the proceeds controlling homebuilding process plant substation, what a pump station unplugged. It blow was building and implementation to the agents plugged areas.
On Slide 11. These pictures are all under which cycles the mining process. Paul building on the left hand side, you can see the secondary substation.
On the picture on the right hand side at the top.
Pump house and the bottom is the proceeds from control group, which when completed will be full levels high.
On slide 12, the photo shows the east side until some mining process building you have to see whether the agents mixing building compressors and blowers and logging building will be.
We will continue to provide progress updates as we advance towards the first production in the third quarter of 2025.
Moving to Olympias on slide 13.
Second quarter Gold production was 13541 ounces and total cash cost.
Tells us $231 balance.
<unk>.
Production was impacted by 17 days of Labor initiated work stopped we just primarily in June as we negotiated the new CBA agreement.
Total cash costs were positively impacted by the productivity of the efficiencies from the recent transformation initiatives as well as slightly lower unit cost of certain consumables, including electricity.
We also benefited from lower transport costs.
As a result of improved shipment logistics.
For 2020 full production guidance at Olympias is between 75000 to 85000 ounces of gold pro.
Duction in the second half of the year is expected to increase over the first half of the year as a result of expected increase in ore mined and processed.
As George mentioned at the beginning of the coal we are in the final stages of the CBA negotiations I'll stop there and hand over to Simon to discuss the cookies and Canadian operations.
Thanks Lloyd studying.
Starting on slide 14.
It keeps it a second quarter production was 38990 ounces entitled cash cost of $941 per ounce sold.
Production was in line with our expectations its grades increased during the quarter as we saw higher.
Tons placed on the pad.
Total cash costs were impacted by increased royalties.
To further advance our understanding and a lot of opportunities within our ore body.
Currently have a GM metallurgical test work program underway.
This program is evaluating the effects of both type variability on the life mine resource in order to refine the crushing and agglomeration and heap Leach circuit.
With an expectation of completing a study in 2025.
The study will focus on optimal moisture reagent addition particle size.
Implementation.
Increment to Debottleneck.
Debottlenecking of crushing plant to maximize value and keeps you that.
Optimization of drama that Oklahoma ice and continues.
Within this sector to ensure product consistency and operability.
For 2020 full production guidance and keeps you that is between 180000.
195000 ounces of gold.
Production is expected to increase in the second half as compared to the first half of the year as we expect to achieve highest stacking rights.
That's M. Two crew on slide 15 second quarter Gold production was 22397 ounces at entitled cash cost of $1097 trance out.
Gold production throughput and average gold grade at F into crude were in line with the plan for the quarter.
For 2020 full production guidance I did want to accrue it's between 75095.
Answers about production in the second half of the year.
To be relatively consistent with the first half of the year.
And now moving to the La Mac complex on slide 16.
<unk> delivered.
Strong second quarter of 47391 ounces at total cash costs of $759 per episode.
Production was positively impacted by high grades during the quarter, which were in line with expectations.
Entitled Cash cost increase.
Were affected by higher sales volumes.
The remaining increase is due to additional costs incurred in labor contractors and equipment rentals.
Team is focused on increasing productivity with an eye on.
With that I am on ramping up development and marketing rights in the triangle on the old Mac.
Deposits during the second half of the year.
Mike deposit remains on track to take a bulk sample complete a pre feasibility study and <unk> by the end of 2024.
We had advanced development.
Two 190 meters at the end of June and plan monthly in advance right ramping to 120 meters moving forward.
For 2020 full production guidance at the Mac is between 175000 990000 ounces of gold.
And in the remainder of the year is expected to be stronger than the first half of the year as grades are expected to increase I'll stop there and hand back to George for his closing remarks.
Thanks team.
It's an exciting time at El Dorado, we are now just over a year away from bringing stories.
Our transformational.
Gold project online and it is rewarding to see the continued progress as we advance towards first gold.
We expect scurrying to be a powerful catalysts to drive shareholder returns as we continued to deliver and construction progress over the next year and production in Q3 2025 and.
In addition across our global operations, our teams continue to focus on continuous improvement projects, but the objective to deliver safe profitable ounces.
Couldn't be more proud of this team.
We also delivered another consistent quarter, which positions us well to achieve our production and cost guidance for 2024.
Edition the record high gold prices.
<unk> benefited significantly from margin expansion.
Additionally, the jurisdictions in which we operate have also benefited with higher royalties and increased tax payments as a result of the higher gold price.
By maintaining a disciplined focus on cost and capital allocation, coupled with higher gold prices, we continue to.
Realized margin expansion, resulting in continued growth in our free cash flow from operations.
This positions us well to further build on our already strong cash balance to continue to create value for our stakeholders. Thank.
Thank you for your time I will now turn it over to the operator for questions from our analysts.
Thank you.
The question queue, you May Press Star then one on your telephone keypad, either he had talent.
Correct.
Yeah.
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Your question. Please press Star then two.
The question comes from Mike Parkin with National Bank. Please go ahead.
Hi, guys congrats on the good quarter.
Starting with cash for the day.
The capex trend that were seeing I guess, we could still fair to assume that growth capital.
<unk> be in or around how you're kind of trending in the last 12 months on a go forward basis or are you still running at modestly.
<unk> capital like when I look back a year or two ago.
Generally grow around 20 ish million.
<unk> been more kind of mid to high <unk> 32 in Q2, how should we think about that kind of going forward.
Well I mean at a high level, Mike I would say, we well through most of the growth capital involved with HP G. R Leach pad and a collaboration.
This year.
Completing construction on the ADR plant. So you remember we put the absorption part of the plant in last year, that's where we hold a solution, but the gold out of solution on the carbon.
During the past year, we've been using the salt Leach pad.
Single lump that carbon and pour gold so.
At any rate, we're advancing now to exit the dissolved option and recovery plant.
North Leach pads, so there's not a lot of capital for that piece, but it's the last piece of that expansion.
We're reaching.
I mean, the rest of our growth capital primarily is around stripping.
And that will continue for the next six years or so.
Point, so there'll be a big drop off in stripping requirements for the remaining life of mine an inflection at inflection point in free cash flow.
Okay.
And then on production are you getting.
All of the production from the new pad now.
Now or is it snow a blend and if it is you have to like can you give us an idea of like what percentage is coming from the new pad was the old pad.
Mike: Thanks, Mike and Sun.
Right.
Speaker Change: We are the closest.
At 2024, and 2025 I still utilizing by the sat in the north heap Leach pad.
As you know we had how long leach cycle.
I can see that so we need to ensure we have sufficient lease space.
Two a laugh for that late cycle.
Run towards full.
It's full cycle.
Hum.
The percentage.
But we'd have to get back to you on the exact numbers.
We would see pro.
No.
Bleach pad.
A more dominant amazing forward in 'twenty, five and beyond that.
Speaker Change: Okay.
Obviously, the heap leach so like analysis of recovery rates is a little tricky and then your long Leach curve as you pointed it adds to the complexity.
Speaker Change: But if I look at like a trailing 12 months.
And I look back to like you.
You added in these speeds yards.
Speaker Change: <unk> and tie in about a year ago.
Yeah on the numbers, you've been kind of posting it does kind of bounce around a bit based to upgrade and ounces stacked and everything.
But it did seem like you were kind of in the mid to high Fifty's some quarters even 60.
But now you're kind of shifting down.
I'll kind of sub 50 is that what's kind of spurring the.
Review.
And optimization.
You talked about.
Exceeding your budget on the site tour last fall and <unk>.
Just kind of wondering whats your thoughts are like another technical report had you had 56% are you still seeing that.
It is ultimately achievable or do you feel like there is maybe a need for additional tweaks beyond what that technical report.
Hold for.
Thanks for the question, Mike maybe I'll frame it at a high level and Simon can add some color. So when you when you go back to the original studies.
Six different rock types that we looked at.
Salaries and impact of the <unk> investment and then later the collaboration and those recoveries are variable they run from low <unk> to low sixties.
And so part of the recovery is just a matter of which arent types are we processing.
And then and then beyond that you know how how finely crushed it how well we agglomerated also hesitant locations on on recovery.
For every one of those rock types. So it's a pretty complex June.
Fewer metallurgy metallurgical situation, we've got quite a bit of data now since we started up the circuit and.
So we're just leveraging off that information to say all right.
What can we do to further improve the circuit. So you know what.
Looking at Debottlenecking, the plant will be looking at.
Additional cooperation impacts on recovery.
And maybe even debottlenecking the entire plant. So we're taking all of the circuits up and running we've got lots of data, we're going to take a wholesome full look at her.
How the circuit is performing and what the opportunities are to make further improvement.
Or in case at all so I mean high level, we're comfortable with that 56%.
But we're going to do study work and we're going to look to see where we have opportunities to improve.
Okay. Thanks.
And then switching over to Olympias one last question.
You know you kind of started off the call there, but the labor agreements still work in progress have you had any.
Operational disruptions in July or do you is there any indications that you might still see some.
Daily kind of disruptions, while you finalize that and do you have a sense of the tent I know, it's kind of a tough question to ask you, but do you have a sense of like maybe when you'll be able to have like a signed agreement with them and is that a three year contract two year contract five year contract, what's the term on it.
So Mike could slow.
Thank you for the question.
No for the <unk>.
Options in the month of July.
In terms of concluding.
The discussions we're.
We're looking at.
Doing that over the next.
Speaker Change: Two weeks.
And.
Yeah.
So we are approaching the end of <unk> very much approaching the end of these are these discussions.
Okay, and just the term of the contract.
Speaker Change: It will be.
But the contract.
Great. Thanks, that's it for me guys.
And Mike just if I go and they.
Me too that were planned for 2024, roughly around 66% on the south heap Leach pads.
This year end policy settings, right for the right AD to the north heap Leach pad.
That will probably migrate to a heightened emphasis on the north in 2025.
The next question comes from Tanya that disconnect quick question Bank. Please go ahead.
Great. Good morning, everyone. Thank you so much.
My question, maybe just a follow up on the labor.
Yeah.
Contract.
Without getting into maybe greatly but can we get this down them you know in time yeah.
You know wage increases could be inline record what Kim has been you know sort of the inflation rate and an M. D M global mining sector.
Great.
Sure.
And we're just trying to benchmark background yeah.
Yes, Tanya I don't want to get into the specifics, but I tell you there'll be no surprises or expected on the cost side and it's Nick.
Negotiated a contract that's a win win for the workforce and the company.
Productivity initiatives that we're focused on.
And obviously the unions looking to to have wage increases so.
No surprises expected.
We're expecting this to be overall good news for both parties.
Okay. Thank you George and then just on that they're already on the contract.
Speaker Change: Not to be awarding it gets really old Navy.
No. It's kept plant contract that needs to be put in place for key hanging in there.
A couple of weeks and is that really and we've got all the contracting even got the underground leader healthcare tailing.
You know a contract in place we have everything we need and then.
So it is getting B b.
The items on site that we need and it's just getting the labor.
Getting that into place and training.
Is that how I should think right I mean does.
I mean very high.
Concluding your building back I'm, just trying to understand from a higher level and we have been.
I am.
Yeah, I'd love to tell you every contract's been signed other than the filter plant, but really it's all of the material contracts. There are smaller contracts for ancillary buildings and so forth reflected G&A building a.
By the administrative building some of those aren't finalized, but they're not on the critical path not going to impact production and we're on track with those type of contracts, but in terms of the material contracts required to get us into startup in Q3. It is just this loss filter plant facility.
As <unk> said, we're a couple of weeks from having that finalized and were not laid in.
Finalizing that contract and that we're still working on.
Piling the concrete foundation and at which point then we can put up the buildings so on track.
Okay, Perfect and then just going back to the play directly in Manhattan, and enjoying I know when we were on site and you talked about you know getting the mine.
The inquiries are the labor question.
That's going well.
Greater than that but anyway getting labor.
Clay I know, we have talked about maybe the country moving.
From Olympia operation.
In the new contract there I know you know.
Cleared that from happening.
Or anything.
Put in place to allow for that.
Pan American Labor right.
Yeah, well I mean first of all of them are management side, we have moved some of our our leadership team from <unk>.
Speaker Change: And.
As a result of enables a promote.
And.
Moving people around.
This workforce.
In terms of finding we're in contract phase wholesale.
Are being driven by contractors.
The plant facility.
We've got the operational leadership team in place, we're working now on the second level doing recruiting.
Greece.
And we're preparing the training facility or not the facility, but the training program for the hourly workforce. So that'll ramp up in the second half of the year and accelerate in the first half of next year. So we're on track with all of that there's no implications coming out of the negotiations on the screens.
Belden.
Well the feeling comfortable on the labor side for operations.
All right that's good to hear and then just.
And my final question I understand from a modeling question.
One can help me out on here.
Yes, Tom the depreciation it looks like you're running well below.
I annualize that.
The guidance you've given us so maybe someone can you help me understand why the depreciation I E not being an accountant here.
Should we be thinking of that.
Speaker Change: Laurie how are you thinking of it coming in lower than what your guidance.
Depreciation really going to ramp up in the second half of the year.
Okay.
Paul.
I think that's great things, but you just need to bear in mind.
The first one is back in Q1, we had that smaller one off adjustments that brought down the basically the first half.
Depreciation.
Second piece that I would say is we did have some additional reserves that we booked at the beginning of the year, which one they will tend to at the rates that we used for our guidance. So that moved down the unit rates a little bit on that.
The final thing I'd say is just remember went back half weighted 45%, 55% on production and so we will see depreciation tick up.
Approximately 20% higher just because of the production in the second half combined with the unit rates.
And say, yes.
With lower.
I would guide you towards the low end of the guidance at this point.
Okay.
They were quite low.
And then just on that 45, 55 and I E.
You know we have to sit here for caffeine quarterly.
I'm just trying to understand whether we should be thinking a quarter on quarter improvement or should we be thinking that Q3 is going to be the same in Q4 be kind of a grade related at cognizant carefully back on them. Each time, a define understand should I be thinking that.
My Dad can't have a stronger Q4, and then let Matt.
And I've been here, even grade for Q3, and Q4, just trying to understand how that.
Yes.
In Q3 and Q4.
I mean, just talk on a consolidated guidance and a stronger second half, we expect Q3 and Q4, both to be strong and I think my seven years at <unk>.
Eldorado is a fourth quarter spend the strongest quarter every year.
That to be the case again this year, so yeah, a ramp up quarter over quarter.
Oh.
10% higher production in the second half a bit higher in Q4.
Okay. That's helpful. Thank you so much for me on that.
Okay.
Speaker Change: If I could get one and refinement.
Bobby.
Uh huh.
You know, we talked about make debottlenecking or I'm looking at it.
Now maybe the agglomeration what more can be done there.
Aim at the end of it.
Obviously to improve the MTV bet there Jack Hammy.
Speaker Change: In increase in through the mouth locked in increase in recovery I'm, just trying to understand what your angle hopefully.
We're targeting to see improvement in one area or the house.
I just didn't know if there is one.
Okay.
Yeah.
Thanks Danielle.
I think he hit on the on the major topics that Dean.
There were evaluating.
We still have alone and mine lives at keeps you that we are moving into phase five and six.
Speaker Change: So with just reassessing.
Yeah, the Geo metallurgical performance as it relates to the plant and assessing the full plant capabilities to maximize capital invested so that we can.
Yeah, so cut out at for that and that's it. That's the purpose of this study so that we can evaluate that is that those aspects that you mentioned.
Okay. Thank you I'll leave it to someone else ask a question. Thank you so much exactly my question.
Thank you Tanya.
Once again, if you have a question. Please press Star then one.
Since there are no more questions in the queue. This concludes our question and answer question. Today's conference call. You may disconnect. Your line. Thank you for participating and have a pleasant day.
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