Q3 2024 First Quantum Minerals Ltd Earnings Call

Operator: Conference call. As a reminder, all participants are in listen-only mode, and the conference is being recorded.

A reminder, all participants are in listen only mode and the conference is being recorded.

Operator: 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 zero.

After the presentation, there will be an opportunity to ask questions.

And the question queue you May Press Star then one on your telephone keypad.

Should you need assistance during the conference call. He may signal, an operator by pressing Star then zero.

Bonita To: I would now like to turn the conference over to Bonita Toe, Director, Investor Relations. Please go ahead.

Speaker Change: I would now like to turn the conference over to Panera, two <unk> director of Investor Relations. Please go ahead.

Speaker Change: [music]. Thank you Julian and thank you everyone for joining us today to discuss our third quarter results.

Bonita To: Thank you, Julian, and thank you, everyone, for joining us today to discuss our third quarter results. During the call, we will be making forward-looking statements. As such, I encourage you to read the cautionary notes that accompany this presentation, our MDNA, and the related news release.

Speaker Change: During the call we will be making forward looking statements as such I encourage you to read the cautionary notes that accompany this presentation, our MD&A and the related news release.

Bonita To: As a reminder, the presentation is available on our website and that all dollar references are in US dollars, unless otherwise noted.

Speaker Change: As a reminder, the presentation is available on our website and that all dollar references are in U S dollars unless otherwise noted.

Bonita To: On today's call, our Tristan Pascal, our Chief Executive Officer, Ryan McWilliam, our Chief Financial Officer, and Rudi Badenhorst, our Chief Operating Officer.

Speaker Change: On today's call are Tristan Pascal, our Chief Executive Officer Wind Mcwilliam, our Chief Financial Officer, and really gotten horse, our chief operating officer, and with that I will turn the call over an interesting for opening remarks.

Tristan Pascall: And with that, I will turn the call over to Tristan for opening remarks. Thank you, Bonita, and thank you everybody for joining us today for our third quarter updates. It's pleasing to report strong operational performance from the Zambian operations during the quarter, to which Rudi will cover in his remarks. Over the last several quarters, the work by the teams at site has placed us in today's position to deliver on the upper end of the copper production guidance range and the lower end of the cost guidance that we provided earlier this year.

Tristan Pascal: Thank you Vanessa and thank you everybody for joining us today for our third quarter update.

Tristan Pascal: It's pleasing to report strong operational performance from the Zambian operations during the quarter to which really will cover in his remarks.

Tristan Pascal: Over the last several quarters to work by the teams thoughts have placed us in a nice position.

Tristan Pascal: We're on the upper end of the copper production guidance range and the lower end of the cost guidance that we provided early this year.

Tristan Pascall: While the Zambian operations had a successful quarter with production, it is with deep regret that we announce the death of a colleague at Constanti towards the end of the quarter. The health and safety of our colleagues across the business is our top priority. This includes providing all necessary support for both our employees and their families during this difficult time.

Speaker Change: Well the Zambian operations had a successful quarter with production. It is with deep regret that we announced the death of a colleague at concerned she towards the end of the quarter.

The health and safety of our colleagues across the business as our top priority. This includes providing all necessary support for both our employees and their families. During this difficult time.

Tristan Pascall: I would like to extend my deeper sympathies to the family and friends impacted by this tragedy. In Zambia, the country continued to experience power restrictions during the quarter. However, our teams at Constanti and Trident were quick to respond with operational adjustments to mitigate the impact of these restrictions. Resulting minimal disruptions to copper production. In the near term, with existing contracts covering approximately 50% of our power needs through to April 30, 2025, we expect to have sufficient power to avoid operational interruptions in the remaining quarter of the year. These agreements include options for extension, providing flexibility in our power sourcing strategy.

Speaker Change: We'd like to extend my deepest sympathies to the family and friends impacted by this tragedy.

Speaker Change: In Zambia, the country continued to experience powers frictions during the quarter. However, our teams at Constancia in Trident were quick to respond with operational adjustments to mitigate the impact of these restrictions, resulting in minimal disruptions to copper production.

Speaker Change: In the near term with existing contracts covering approximately 50% of our power needs through to April 32025, we expect to have sufficient power to avoid operational interruptions in the remaining quarter of the year.

Speaker Change: These agreements include options for extension, providing flexibility in that power sourcing strategy.

Tristan Pascall: We continue to be proactive in our power management efforts, recognizing the importance of power stability, not just for the mining sector but also for Zambia's broader civil society. And as such, we are working constructively with the government to develop long-term solutions that support both industry and the country's energy security. Our efforts reflect our broader commitment to Zambia's economic and energy stability, ensuring that essential services and industries remain operational whilst mitigating the impact of power shortages. The medium term, the company is in advanced discussion to receive offtake from three independent power producers for solar and natural gas projects that will add nearly 800 megawatts in country power generating.

Speaker Change: We continue to be proactive in that power management, if it's recognizing the importance of past ability not just.

Speaker Change: For the mining sector, but also for Zambia as broad a civil society and as such we are working constructively with the government to develop long term solutions that support both the industry and the country's energy security.

Speaker Change: Our efforts reflect our broader commitment to zambia's economic and energy stability.

Speaker Change: During the essential services and industries remain operational while some.

Mitigating the impact of power shortages.

Speaker Change: The medium term the companies even in advance discussions to receive both take from three independent power producers for solar and natural gas projects that will add nearly 800 megawatts in country power generating capacity.

Tristan Pascall: and Pascall. These projects are scheduled to come online in 2025 and will ensure that we can secure sufficient power for the commissioning and ramp-up of the S3 expansion of Consanshi. In addition, the company is looking at direct off-take arrangements with independent renewable power producers that are expected to be commissioned in 2027-28 that will add an additional 480 Mg of power generation capacity. With regards to longer-term solutions, we remain supportive of the commitments made by the country to ensure future energy resilience. On this front, we are actively collaborating with Zesco on critical projects aimed at expanding and stabilizing the national grid, including installation of static power compensators in the Northwestern Province.

Speaker Change: These projects are scheduled to come online in 2025 and will ensure that we can secure sufficient power for the commissioning and ramp up of these three expansion are concerned she.

Speaker Change: In addition, the company is looking at direct offtake arrangements with independent renewable power producers that are expected to be commissioned in 'twenty 27, 28 that will add an additional 480 megawatts of power generation capacity.

Speaker Change: With regards to longer term solutions, we remain supportive of the commitments made by the country to ensure future energy resilience on this front, we are actively collaborating with GSK on critical projects aimed at expanding and stabilizing the national grid, including installation of static felt compensated in the northwest and problems.

Speaker Change: <unk>.

Tristan Pascall: Staying in Zambia, the 2025 national budget was presented on September 27th by the Minister of Finance and National Planning. The Minister reaffirmed his commitment to maintain stable and predictable tax policies to encourage investments, and as such, there were no significant changes to the mining tax regime. Over to Panama, we continue interactions with various levels of government, stakeholder, and community groups in the country. We have not yet met with a new president. It has made public statements that the issue of the Covert-Battleman mine will only be addressed in early 2025. In the meantime, we continue to work on the approval of the preservation and safe management programme.

Speaker Change: Staying in Zambia, the 2025 National budget was presented on September 27 by the Minister of Finance in National planning.

Speaker Change: The minister reaffirmed its commitment to maintaining stable and predictable tax policies to encourage investment and as such there were no significant changes to the mining tax regime.

Speaker Change: Panama, we continue interactions with various levels of government stakeholder and community groups in the country.

Speaker Change: We have not yet met with the new president.

Speaker Change: Who has made public statements that the issue of the Cobre, Panama mine will only be addressed at nearly 2025.

Speaker Change: In the meantime, we continue to work on the approval of the preservation and Safe Management program. The plan was submitted on August 27, along with a formal presentation to the Ministry of Commerce in industries on September 25.

Tristan Pascall: The plan was submitted on August 27, along with a formal presentation to the Ministry of Commerce and Industries on September 25th. But the plan is still pending in government approval, and therefore aspects of the plan have not yet been implemented by the company. At Covert-Battleman, however, maintaining the integrity of the site remains of utmost importance to the company, and really will review the maintenance works that we continue with there. In parallel with the work at site, the company is also embarked on a comprehensive programme of public outreach to provide transparent information regarding the mines of the Panamanian people.

Speaker Change: The plan is still pending government approval and therefore ethics of the plan have not yet been influenced by the company.

Speaker Change: At Cobre, Panama, however, maintaining the integrity of the site remains of utmost importance to the company and really will review the maintenance works that we continue with it.

In parallel with the work inside the company. It's also embarked on a comprehensive program of public outreach to provide transparent information regarding the mine to the Panamanian people.

Tristan Pascall: As part of the programme, we have presented at universities, schools, and several public events. The publication of our virtual tour online has attracted a significant number of visitors, curious to further understand the role of responsible mining in Panama. And we continue to engage closely with our key stakeholders, including our workforce, local communities, and suppliers. With regards to arbitration, our ICC arbitration continues to be the most advanced, with a final hearing scheduled for September 2025. Under the FTA arbitration, the company has three years from the date of Panama's breaches, the FTA, to file its arbitration plan.

Speaker Change: Part of the program, we've presented the universities schools and several public events.

Speaker Change: The publication about virtual tour online.

Speaker Change: Has attracted a significant number of visitors curious to further understand the role of responsible mining in Panama.

Speaker Change: And we continue to engage closely with our key stakeholders, including what our workforce local communities and suppliers.

Speaker Change: With regards to arbitration ICC arbitration continues to be the most advance with a final hearing scheduled for September 2025.

Speaker Change: Under the S. T. A arbitration the company has has three years from the date of Panama breaches of the F D. A to fall its arbitration claim.

Tristan Pascall: We continue to maintain the position that arbitration is not our preferred outcome, and we remain committed to dialogue with the new government and to be being part of the solution for the country and the people of Panama.

Speaker Change: We continue to maintain the position that arbitration is not our preferred outcome and we remain committed to dialogue with the new government entity being part of the solution for the country and the people of Panama.

Tristan Pascall: Along with our third quarter results, the company announced the appointments of Mrs. Montalvo and Mr. Gierre to the Board of Directors. I'm pleased to welcome them both to the board. Both of whom bring several decades of industry experience with them, and with one-eater's experience in social affairs in Latin America and Africa, and Kevin's deep knowledge of the copper markets.

Speaker Change: Along with our third quarter results the company announced the appointment of Mrs. Montalbo and Mr. <unk> to the board of directors.

Speaker Change: I'm pleased to welcome them both to the board.

Speaker Change: Both of whom bring several decades of industry experience with them and we know what needs is experiencing social feeds in Latin America, and Africa, and Kevin's deep knowledge of the copper market.

Tristan Pascall: With that, I will conclude the opening remarks and pass the call to Rudi to review our operational results.

Speaker Change: With that I will conclude the opening remarks and pass the call to Rudy to review our operational results.

Speaker Change: Okay.

Rudi Badenhorst: Thank you, Tristan, and thank everybody for joining our call. It is pleasing to share with you today the strong operational performance during the third quarter, despite the power of challenges in Zambia. I would like to thank the teams in Zambia for their proactive and decisive actions and power management that allowed copper production to continue virtually uninterrupted for the last several quarters. Total copper production for the third quarter was 116,000 tons, a 13% increase over the second quarter. The improved volumes also resulted in a 9% quarter-over-quarter decline in C1 cash costs to average $1.57 per pound.

Rudy: Thank you Justin and thank you everybody for joining our call.

Rudy: It is pleasing to share with you today, the strong operational performance during the third quarter.

Speaker Change: The challenges in Zambia.

Rudy: I would like to thank the teams in Zambia for the proactive and decisive actions in Bell management that allowed copper production to continue virtually uninterrupted for the last several quarters.

Rudy: Total copper production for the third quarter was 116000 tons, a 13% increase over the second quarter.

Rudy: The improved volumes also resulted.

In the 9% quarter over quarter decline in C. One cash cost to average $1 57 per pound.

Rudi Badenhorst: With a strong production year to date, we have increased our copper production guidance for the year to between 400 and 420,000 tons. Can Sanji had a solid quarter, recording its highest quarterly production in copper since 2021 and in gold since 2022. Copper production totaled nearly 50,000 tons in the third quarter. An improvement of well over 8,000 tons from the second quarter as mining from main 15 and main 17 cutbacks allowed access to higher grades. In addition, we maximized mixed tons at higher grade through the most by swapping the mixed and sulfide milling circuits during the third quarter, and this will continue for the larger part of the fourth quarter.

Rudy: With a strong production year to date.

Rudy: We have increased our copper production guidance for the year to between 400 and 420000 tons.

Rudy: Consents he had a solid quarter.

Rudy: Recording its highest quarterly production in copper since 2021.

Rudy: And then gold since 2022.

Rudy: A couple of production totaled nearly 50000 tons in the third quarter.

Rudy: An improvement of well over 8000 tons from the second quarter as mining from 915, and Maine, 17th cutbacks allowed access to higher grades.

Rudy: In addition, we maximize mixed tonnes at higher grade through the most by swapping them makes them sulfide milling circuits during the third quarter.

This will continue for the larger part of this.

Rudy: Fourth quarter.

Rudi Badenhorst: As such, we have increased our copper production guidance above our previous guidance range to between 155 and 165,000 tons. As I noted earlier, gold production and consent was also strong in the third quarter at 32,000 ounces. This has allowed us to also increase our gold production guidance above the previous guidance range to between 90 and 100,000 ounces for Sanji and 120 to 135,000 ounces at the group level. Tension on reported copper production of 58,000 tons in the third quarter, approximately 48,000 tons higher than the previous quarter, as throughput continued to improve. The higher throughput was driven by improved fragmentation of all and better performance of the input crushes.

As such we have increased our copper production guidance above our previous guidance range to between 55 and 165000 tons.

Rudy: As I noted earlier gold production is concerned she was also strong in the third quarter at 32000 ounces.

Rudy: This has allowed us to also increase our gold production guidance above the previous guidance range.

Rudy: Between 90, and 100000 ounces for consenting.

Rudy: 120, 235000 ounces at the group level.

Rudy: It's an old reported a couple of production of 58000 tons in the third quarter.

Rudy: Approximately 4800 tons higher than the previous quarter as throughput continues to improve.

Rudy: The higher throughput was driven by improved fragmentation of all.

The better performance of the input crushes.

Rudi Badenhorst: Mining performance and throughput is expected to further improve over the remainder of the year with the ongoing development of the state's three Wisdom cutback which will increase the availability of soft to all. As such, we continue to expect copper production to be within our guidance range, albeit at the bottom end of the range at 220 to 230,000 tons. Enterprise had its first full quarter of commercial production, producing 48,000 tons of nickel. At the end of September, the nickel plant was turned off for nine days in order to prioritize power for the copper circuit. However, the nickel plant resumed normal operations in October, and production guidance remains unchanged at 17 to 20,000 tons of contained nickel.

Rudy: Mining performance and throughput is expected to further improve over the remainder of the year.

Rudy: The ongoing development of the stage three wisdom, cutback, which will increase the availability of softer ore.

Rudy: As such we continue to expect copper production to be within our guidance range, albeit at the bottom end of the range.

220 to 250000 tons.

Enterprise had its first full quarter of commercial production producing 4800 tonnes of nickel.

Rudy: At the end of September the nickel plant was turned off for nine days.

Rudy: Order to prioritize power for the copper circuit. However, the nickel plant resumed normal operations in October and production guidance remains unchanged at 17 to 20000 tonnes of contained nickel.

Rudi Badenhorst: At Coverage Panama, the operation remained under the phase of preservation and safe management throughout the quarter. Inspection frequency of the precious plant has increased from 28 to 56 days. However, startup frequency of the copper remains unchanged at 14 days. All the major ultra-class mobile equipment is in a maintenance cycle that adheres to the original equipment manufacturer's long-term storage recommendations and includes periodic inspections, as well as scheduled startups. The costs for the PNSM program include a fee were approximately $13 million per month, and I expected to be in the range of $11 to $13 million per month for the remainder of the year.

Rudy: At Cobre Panama.

Rudy: I should remind under the face of preservation and safe punishment throughout the quarter.

Rudy: Inspection frequency of the process plant has increased from 28 to 56 days.

Rudy: However, startup frequency of equipment remains unchanged at 14 days.

Rudy: All the major ultra class mobile equipment, using the maintenance cycle that adheres to the original equipment manufacturers long term storage as commendations.

Rudy: Includes periodic inspections as well are scheduled to start ups.

The costs for the P. M. S. N program include a fee.

Rudy: Approximately $13 million per month.

I expect it to be in the range of $11 million to $13 million per month for the remainder of the year.

Rudi Badenhorst: I wish to thank all our employees at Coverage Panama and their continued commitment to the operation and maintaining the mine area to the highest environmental standards.

Rudy: I wish to thank all our employees at Cobre, Panama and a continued commitment to the operation and maintaining the mine area to the highest environmental standards.

Rudi Badenhorst: As Tristan noted earlier, we had a tragic accident during the quarter. The death of our colleague was profoundly felt by the team at Consenti and across our company. We continue to support the family, and we are committed to applying the lessons learned from the investigations as we seek to ensure the safety of all our colleagues.

Rudy: That's just a noted earlier.

Rudy: We had a tragic exited during the quarter.

Rudy: The death of our colleague was profoundly felt by the team are concerned she and across our company.

Rudy: We continue to support the family and we are committed to applying the lessons learned from the investigations as.

Rudy: As we seek to ensure the safety of all our colleagues.

Rudi Badenhorst: Thank you, and I will now hand the call over to Ryan to review the financials. Thank you. Thank you really.

Speaker Change: Thank you I will now hand, the call over to Brian to review the financials.

Brian: Thank you Rudy.

Ryan MacWilliam: On the market side, the copper price was strong early in the quarter, supported by the weaker US dollar and lower interest rates. Prices then pulled back on concerns around Chinese growth, reaching a low of $3.91 in early August. While prices increased steadily late in the quarter following the announcement of Chinese stimulus measures, overall Q3 railed copper prices were 2% lower than Q2. Despite the slightly lower copper price, revenue and EBITDA increased by 4% and 55%, respectively.

On the market side, the copper price was strong early in the quarter.

Brian: Supported by the weaker U S dollar and lower interest rates.

Brian: Prices, then pulled back on concerns around Chinese correct reached.

Brian: Reaching a low of $3.91 and theyre the oldest.

Brian: While prices increased steadily late in the quarter following the announcements of Chinese stimulus measures.

Brian: Overall, Q3 realized copper prices were 2% lower than Q2.

Brian: Despite the slightly lower copper price revenue and EBITDA increased by 4% and 55% respectively on the back of the strong operational performance at Rudy described and the resulting higher copper sales and increased gold volumes.

Ryan MacWilliam: On the back of the strong operational performance that Rudy described and the resulting higher copper sales and increased gold volumes. Q3 net earnings attributable to shareholders also improved $108 million, returning to a positive position for the first time since Cobra Panama entered preservation and safe management.

Brian: Q3, net earnings attributable to shareholders also improved $108 million, but turning to a positive position for the first time since cobre, Panama tinted preservation and safe management.

Ryan MacWilliam: On to costs. C1 costs improved by 9% to $1.57 per pound. This improvement was due to higher production across all sites, coupled with lower fuel costs from decreased fuel prices and improved burn rates. As Rudy Interested mentioned, our Zambian electricity costs have increased because of the power shortages and the resulting higher third-party imports. The cost impact of this has been mitigated by strong gold by-product credit during the quarter. The result of both strong gold production and strong gold prices, with the gold price averaging $2,400 per ounce during the quarter.

Onto costs.

Brian: The one cost improved by 9% to $1.57 per pound.

Brian: This improvement was due to higher production across all sites, coupled with lower fuel costs from decreased fuel prices and improved then right.

Brian: As Rudi interested mentioned Zambian electricity costs have increased because of the power shortages and the resulting higher third party inputs.

Brian: The cost impact of this has been mitigated by strong gold byproduct credits during the quarter. The result of a strong gold production.

And strong gold prices with the gold price, averaging $2400 per ounce during the quarter.

Ryan MacWilliam: Officer. Additionally, the reduction in inflation that has stayed out globally in recent months has resulted in some of our input costs tracking favorably compared to the assumptions used in our initial C1 cash cost guidance. With therefore narrowing the top end of our cost guidance by 10 cents, with our revised full-year guidance range of $1.80 to $1.95 per pound.

Additionally, the reduction of inflation that has played out globally. In recent months has resulted in some of our input costs tracking favorably compared to the assumptions used in our initial C. One cash cost guidance.

Brian: With airport narrowing the top end of our cost guidance by 10 cents with our revised full year guidance range of $1 $82 95 per pound.

Ryan MacWilliam: In order to prudently manage the balance sheet through the construction of S3, we've maintained the hedging approach that we described on our Q2 call. We now have roughly 43% of our copper hedged in the form of zero cost collars through to the end of 2025. Some of our hedges that we previously put in place roll off during the quarter, resulting in a realised hedge gain of $21 million. We've continued to add new collars during the quarter, with an average floor and cap of $4.07 and $4.78 per pound respectively. This takes our current total hedge position to turn $45,000 of collars, with an average floor and cap of $4.18 to $5.01 per pound.

Brian: In order to prudently manage the balance sheet through the construction of phase III.

Brian: We've maintained the hedging approach that we described on our Q2 call.

Brian: We now have roughly 43% of all copper hedged in the form of zero cost collars through to the end of 2025.

Brian: Some of our hedges that we previously put in place rolled off during the quarter.

Brian: Dosing in our realized hedge gain of $21 million.

Brian: We've continued to add new call. It during the quarter with average floor in cap of $4, seven and $4.78 per pound respectively.

Brian: This takes our current total hedge position to 245000 tons of collars with an average floor cap of $4.18 to $5.01 per pound.

Ryan MacWilliam: Net debt increased this quarter by $154 million to $5.6 billion. This was driven by capital expenditure on S3 and increased work in capital levels. This increase in work in capital was predominantly a result of sales made towards the end of the quarter, and cash only being received for these sales after the quarter end. Acquitity remains strong at $1.5 billion, comprising of $693 million in cash and $830 million of under-owned revolver. It was also pleasing to successfully complete the amendments and extension of the Trident Facility on October 15th, with repayments now commencing in 2026 after 2028.

Brian: Net cash increased this quarter by $154 million and $5 6 billion.

Brian: This was driven by capital expenditure on a three and increased working capital levels.

Brian: This increase in working capital was predominantly a result of sales made towards the end of the quarter and cash only being received for these sales after the quarter end.

Brian: Liquidity remains strong at $1.5 billion.

Brian: Uprising of 693 million in cash and $830 million of Undrawn revolver.

Brian: Yeah.

Brian: It was also pleasing to successfully complete the amendment and extension of the tried and facility on October 15th.

Brian: With repayments now commencing in 2020 six up 2028.

Ryan MacWilliam: This frees up $4.25 million in the quantity in the coming year while we focus on delivering S3.

Brian: This frees up $425 million in liquidity in the coming year, while we focus on delivering a three.

Ryan MacWilliam: We also continue to review the merits of a sale of CLC and a minority investment into our Zambian business. This is across the group, if it creates strategic value for our business and host countries. As these discussions are currently underway, we will not be making further comments in this regard.

Brian: We also continue to continue to review the merits of a sale of C. L. C. I know minority investments into our Zambian business.

Brian: This is consistent with our broader strategy.

Brian: We are open to partnerships in Zambia and across the group is to create strategic value for our business and host countries.

Brian: As these discussions are currently underway will not be making further comments in this regard.

Ryan MacWilliam: That concludes the Finance section.

Brian: That concludes the finance section.

Tristan Pascall: I now hand the call back to Tristan. Thank you, Ryan.

Speaker Change: I'll now hand, the call back to Justin.

Justin: Thank you Rowan.

Tristan Pascall: Before handing the call over to Q&A, I'm excited to share with you the progress that has been made at the Consangi S3 expansion since our last update. During the quarter, the team at site completed the assembly of the STAG and bore mills, and installation of the gearless mill drives have commenced. System configuration of the plant control system has been completed for the primary circuit, and work is now focused on ancillary systems and services. In our presentation deck, you will see other areas of progress, including installation of the flotation cells, direction of the pebble conveys, and the primary crusher, all of which remains on schedule.

Justin: Before handing handing the call over for Q&A I'm excited to share with you. The progress that has been made at the consensus is three expansion since our last update.

Justin: During the quarter the attainment saw it completed the assembly of the stag and ball mills and installation of the Gearless mill drives have commenced.

Justin: There's some configuration of the plant control systems has been completed for the primary circuit and work is now focused on ancillary systems and services.

Justin: In their presentation deck, you will see other areas of progress, including installation of the flotation cells.

Justin: And of the Pebble conveyors, and the primary crusher all of which remains on schedule.

Tristan Pascall: The focus on site has now shifted to bolt piping and electrical installation work. Commissioning activities have started in the 33 kV distribution substation, which is scheduled to be energized in the fourth quarter. The plant simulator is now on site and operative training is expected to start imminently. We expect that all required equipment will be on site by the end of November. We have been focused on supplementing manning levels, bringing in the additional manpower that will be needed for the installation of equipment over the coming months as we commission S3. Our operational readiness team is in place at Consanshi and already working with our project teams to facilitate a smooth ramp-up on completion of the construction phase.

Justin: The focus on thought has now shifted to bolt piping and electrical installation works.

Justin: Commissioning activities have started and the city three kv distribution substation, which is scheduled to be energized in the fourth quarter.

Justin: The plant Simi life is now on site and authorize a training is expected to start imminently.

Justin: We expect that all required equipment will be on site by the end of November we have been focused on supplementing manning levels, bringing in the additional manpower that will be needed for the installation of equipment over the coming months as we commission Ace III.

Justin: Our operational readiness team is in place a consent cheat and already working with that project seems to facilitate a smooth ramp up on completion of the construction phase.

Tristan Pascall: There is a lot of activity on site, and we are on track for first production in the second half of 2025. Thank you for your attention.

Justin: There is a lot of activity on sites and we are on track for first production in the second half of 2025.

Justin: Thank you for your attention. This brings our prepared remarks to an end operator, we can open the call for Q&A.

Tristan Pascall: This brings out prepared remarks to an end.

Operator: Operator, we can open the call for Q&A. Certainly. We will now begin the analyst question as your session. Analysts are permitted to ask one question and one follow-up, and are welcome to rejoin the Q if they have more. To join the question Q, you may press star then one on your telephone keypad. You'll hear a tone acknowledging your request. If you're using a speaker phone, please pick up your handset before pressing any keys. To withdraw your question, press star, then two.

Speaker Change: Well now begin the analyst question answer session analysts. They are permitted to ask one question and one follow up I know welcome to rejoin the queue if they have more.

Speaker Change: She joined the question queue. You May Press Star then one on your telephone keypad, you'll hear a tone acknowledging your request if you're using a speakerphone. Please pick up your handset before pressing in Q2.

Speaker Change: To withdraw your question Press Star then two.

Horace: Our first question is from us to walk it out with Scotia Bank. Please go ahead. Hi. Good morning. It sounds promising that it could be a pathway to a discussion, I guess, in the new year with the new Panamanian government on restarting Covert Panama. I'm just curious. Do you think the environmental audit has to be completed to begin that process? Can you give us an update on when you think that's going to happen? And then also wondering about what the status is of the existing concentrates sitting at Covert Panama?

Speaker Change: Our first question is from our work it out with Scotiabank. Please go ahead.

Speaker Change: Hi, good morning, it sounds promising.

Speaker Change: Could be up.

Wade to discussion I guess in the new year with the new Panamanian government on restarting Cobra, Panama I'm. Just curious does the do you think the environmental audit has to be completed to begin that process and can you give us an update on when do you think that's going to happen and then also wondering about what the status is.

Speaker Change: Is that the existing concentrates sitting at Copa Panama.

Speaker Change: Yeah.

Horace: Hi, Horace. Thanks for the questions. So, in terms of the environmental audit, yes, the government's comments, the president's comments in particular, have noted that they would like to see that audit happen. We expect in the timetable that they've been providing was by the end of this year, although at this stage we haven't seen that environmental auditor appointed as yet. Currently, our understanding is that the terms of reference for that audit are being prepared and that they would then appoint the auditor. Our hope is that it can still be completed on time and that the audit would then be in place for the timing that we talked about, and the president has been made clear in terms of a restart early next year or at least dealing with the issue early next year.

Hi, Chris Thanks for the questions.

Speaker Change: So in terms of the environmental audits.

Yes, the governments' comments the President's comments in particular have noted are that they would like to see that would've happened.

Speaker Change: We expect in the timetable that they've been providing with by the end of this year. Although at this stage, we haven't seen a debt environment to order to appointed as yet currently our understanding is that the terms of reference for that order at all being prepared.

Speaker Change: And that they would then a point the auditor our hope is that it can still be completed on time and.

Speaker Change: And that the the order would then be in place too for the timing that we talked about in the prison hasn't been my clear in terms of a restock early next year or at least dealing with the issue early next year.

Horace: In terms of your question on the concentrates, that material is sitting at the port at 121,000 tons. It's in reasonable condition in terms of copper content, but we remain concerned about degradation of the sulfur in that material, and that does continue to pose some hazard environmentally. It is in the best interest of the environment and everyone there to get that material shipped off. Our understanding that it is the government's intent to do that through approval of the Preservation Safe Management Plan would allow that material to move, and we think that's important to happen as soon as practically.

Speaker Change: In terms of your question on the concentrate that materials is sitting at the port the hundred and 21000 tons each in reasonable condition in terms of copper content, but we remain concerned about degradation of the sulfur Eaton isn't that material and that that does continue to pose some hesitant environmentally.

Speaker Change: It is in the best interest of the environment and everyone needs to get that material shipped off our understanding that.

Speaker Change: The government's intent to do that through approval. The preservation site management plan would allow that material to move and we think that's important to happen as soon as practically can be achieved.

Horace: who can be achieved.

Horace: Thanks, Tristan.

Thanks Kristen.

Ralph Profiti: The next question is from Ralph Profiti with eight capital. Please go ahead. Thanks, operator. Good morning, Tristan. Just wondering, and maybe Rudi can chime in here.

Speaker Change: The next question is from Ralph for P. D with <unk> capital. Please go ahead.

Speaker Change: Yeah.

Speaker Change: Thanks, operator.

Speaker Change: Good morning, Tristan just.

Ralph: Wondering and maybe really can chime in here as the wet weather comes in at Sentinel in Q4, just wondering what the conditions of the benches are in sort of utilizing some of the terrorists mining initiatives sort of what what state are we in there and just wondering if that's kind of driving the bottom end of the range as we think about conservative.

Rudi Badenhorst: As the wet weather comes in at Sentinel in Q4, just wondering what the conditions of the benches are in sort of utilizing some of the terrorist mining initiatives. Sort of what state are we in there, and just wondering if that's kind of driving the bottom end of the range as we think about conservatism into Q4. Thanks, Ralph.

Speaker Change: Into Q4.

Speaker Change: Thanks, Ralph Rudi do you want to take that question.

Rudi Badenhorst: Rudi, do you want to take that question? Yeah, no problem. Hi, Ralph. Thanks for the question. But I can assure you we're well prepared for the wait season. A considerable amount of capital has been spent on the watering activity and setting up the, but into such a way that allows for the handling of water in the event that we have an exceptional wait season. But we're quite confident that the measures that we've taken are adequate enough, and then mining is set up to deal with it. As far as the back end of production is concerned at Sentinel, sure, yes, surely we are always taking the wait season into consideration when in our plans and in our budget.

Rudi: Yeah, no problem at all.

Rudi: Thanks for the Cushing.

Rudi:

Rudi: It's in the.

Rudi: Well, let's start off with the weight season hasn't started in Zambia it.

We at the end of this week, we are going through the 60th of.

Rudi: Both Dan and I visited Zambia with independents and normally that's when the lines thought so.

Rudi: But I can assure you we will prepare for.

Rudi: For the wait season, a considerable amount of capital that's being spent on rewards letting activity and setting up the butt into such a way.

Rudi: That allows for the handling of water in the event that we have the exceptional wait season.

Rudi: But we're quite confident that the amazing so I can oh adequate enough and then mining is set up to deal with it.

Rudi: As far as the the the backend of production is concerned that's haynesville sure. Yes, really we are always taking the wait season into consideration when you know plans and in our budget.

Ralph Profiti: But also, you know, we are taking necessary maintenance measures as well during the quarter that impacts that. Gotcha, helpful.

Rudi: But also you know we we oh.

Rudi: King, Mississippi, a maintenance amazes as well during the quarter that impacts that.

Speaker Change: Gotcha helpful. Yeah.

Ryan MacWilliam: Yeah, Ryan, can you help us out with capital spending versus budget at S3, sort of the remainder of 24 and maybe into 25. You know, Tristan's comments about ramp up and labor activities and manpower just want to go whether or not we're seeing inflationary pressures there. So we've spent $700 million on S3 to date, so that means we've got $550 million to go. As Tristan noted, we're on budget of the $550 million to go, with $200 million of that already committed. That will release a balance, which is still to be priced, but in most of those contracts, we have visibility and what we expect the pricing to be.

Speaker Change: Ryan can you can you help us out with capital spending versus budget at S. Three.

Speaker Change: Sort of the remainder of 'twenty, four and maybe into 'twenty five.

Speaker Change: You know interesting comments about a ramp up in labor activities in manpower, just wondering whether or not we're seeing inflationary pressures there.

Ryan: Sure Rob sorry, we've spent $700 million in S. Three to date, so that means we've got five or $50 million to guy as Tricia noted we're on budget off the $550 million to go with $200 million of that is already committed.

Speaker Change: That really leaves a balance which is still to be priced I bet in most of those contracts, we have better visibility on what we expect the pricing to be so I think that all of that gives us the confidence interest in his remarks about the fact that the project remains on track and on budget within that $1 billion to $5 billion.

Ryan MacWilliam: So I think that all of that gives us the confidence and tristance remarks about the fact that the project remains on track and on budget within that $1.25 billion.

Yeah.

Ian Russell: Next question is from Ian Russell with Barclays. Please go ahead. Thanks. Hi, Tim.

Speaker Change: The next question is from Andrew I'll start with Barclays. Please go ahead.

Andrew: Thanks, Helen and team just a question on DSV expansion.

Ian Russell: Just a question on the S3 expansion. Tristan, you mentioned in your remarks that first production is expected in the second half of 2025. If I compare that to some of the previous releases, the wording was mid 2025. Just wanted to get some clarification if there has been any delay to the target for first production.

Andrew: And you mentioned in your remarks first production is expected in the second half of 2025 mm if I compare that to some of the previous releases. The wording was 2025 just wanted to get some clarification. If there has been any delay to it's all good for first production.

Ian Russell: And then secondly, sticking to Consanshi, just on the gold production in the start of the year, as part of your three-year production outlook, you cut gold production guidance. It's Consanshi by 30% for this year and 25% next year. And then the increase today is essentially sort of taking that production at Consanshi back to where the guidance was last year. Can you provide a bit of details about what's resulted in these changes and whether it's mind bland and get you mentioned in the release, it's great related, but just how should we think about that for next year's figure.

Andrew: And then secondly, sticking to Consensually I'm just on the gold production in.

Andrew: And the start of the year as part of your three year production outlook, you kept gold production guidance at Constancia by 30% for this year and 25% next year.

Speaker Change: The increase today is essentially instead of taking.

Speaker Change: Production at Constancia back to where the guidance was last year can you provide a bit of details. What's what's resulted in these changes and with its mine plan I guess you mentioned in the release, it's grade related but just how should we think about that for next year's figure.

Ian Russell: Thank you.

Speaker Change: Thank you.

Ian Russell: Thanks, Ian.

Speaker Change: Thanks, Ian I'll, let Rudy take the second part of that question on gold production and how that's coming about through the swapping of the meals from so far to mixed but in terms of your first question on its three timing I think.

Ian Russell: I'll let Rudi take the second part of that question on goal production and how that's come about through the swapping of the mills from self-ide to mixed. But in terms of your first question on S3 timing, I think Ian, our response to that is we have the opportunity now, with greater clarity to the end of the project, to be more specific. So I wouldn't call it a change in outlook. It's more that we've been more specific on how we see the project land, and that is we expect completion by mid-year, and then we're really focused now on operationalising and ramping up through the second half of the year.

Speaker Change: And our response to that is we we we have the opportunity now with greater clarity to the end of the project to be more specific so I wouldn't call. It a change in outlook its more that we being more specific on how we see the project land.

Speaker Change: And that is we expect completion by midyear.

Speaker Change: And then we really focus now on operation launching and ramping up through the second half of the year. So Oh no its really speak to that how we see first or stopped and first production come through and ramp up through the second half would be but broadly speaking.

Tristan Pascall: So our notes really speak to that how we see first or start and first production come through and ramp up through the second half of the year. But broadly speaking, we're comfortable with the project delivering on the third half of the year. So at the time table we've been outlining.

Speaker Change: Comfortable with the project are delivering on the timetable we.

Speaker Change: Being that Lonnie.

Rudi Badenhorst: Rudi, would you like to just speak there on the goal and the situation for the year? Hi Ian, good to hear from you again. As you would be aware, Ian is contentious that the goal grade reasonably tracks up a couple of grades and where we currently mining and the upper benches are the main 15 cutbacks. We are seeing slightly higher mixed or grades, which also necessitated or gave us the opportunity to swap the mulling circuit. So it's meant that we have seen a higher tonnage going through the plant of mixed grade, and obviously the goal the company is that.

Speaker Change: Rudy would you like to just speak their own on the gold on the Sichuan.

Speaker Change:

Speaker Change: Oh isn't good to hear from you again.

Speaker Change:

Speaker Change: As you you would be a way that consensus.

Speaker Change: The gold grade reasonably trucks up a cup of good.

Speaker Change: And where we currently mining in the upper benches of the mine and 15 cutback.

Speaker Change: Slightly higher is mixed.

Speaker Change: All right.

Speaker Change: Which also then they sensitize that Ah well gave us the opportunity to swap the milling circuits, which meant that we have seen them.

Speaker Change: Tonnage going through the plant of mixed right.

Speaker Change: And obviously the golden companies that.

Rudi Badenhorst: And at the same time during the third quarter we installed some additional mouse and concentrate to set consent sheet and brought others online, which also resulted in the additional goal.

Speaker Change: And at the same time getting the the third quarter, we installed some additional Nelson concentrate just a consultancy and brought online which also resulted in the additional additional Gulf as far as 2025 is concerned you know.

Rudi Badenhorst: As far as 2025 is concerned, you know we'll look at that when we provide our guidance early in the year.

Speaker Change: Look at that when we provide our guidance at the end of the knee.

Speaker Change: Yeah.

Yeah.

Miles Alzaz: Next question is from Miles Elsa. Would you be a please go ahead? Yeah great thanks just going back to Cobra Panama. Could you just give us a quick update in terms of speed to remobilize. If you were to get approval tomorrow, what would be the likely sort of timing to be able to start ramping up, and you know, would be helpful to get a sense as to why you think the government has not approved the preservation and safe management plan. The kind of sense last quarter was that it was imminent, and three months later it still sounds like it's imminent.

Speaker Change: Next question is from Myles Allsop UBS.

Speaker Change: Hey.

Myles Allsop: Yeah, great. Thanks, just doesn't go back to a type of Panama could you just give us a quick update in terms of speed to re mobilize all yeah. He is.

Speaker Change: <unk> got approval tomorrow, what would be the likely sort of timing to be able to start ramping up.

Myles Allsop: And yes it.

Would be helpful to get a sense as to why you think the government is not approved the preservation and safe management planning that kind of sense law school to listen it was evidence and then three months later and it's still it sounds like it's imminent.

Miles Alzaz: Do you know do you have a better understanding as to why it's dragging, and will we be having the same conversation in three months' time.

Myles Allsop: Have a better understanding as to why.

Myles Allsop: It's dragging well we'd be having the same conversation in three months' time and that's the first question.

Miles Alzaz: That's the first question. Thanks, Miles. Yeah, so look in terms of ramping Cobra Panama back up, it's and when that decision comes through. Yeah, I think what we would how we would respond to that is certainly at this time it's really about bringing people on and bringing supplies back online. There's a lot of Panamanian supplies that are sitting idle and waiting. There's a lot of employment in Panama that's sitting idle and waiting.

Thanks, Paul Yeah. So look in terms of ramping cobre, Panama back up if and when that decision comes through yeah, I think what we would.

Myles Allsop: How we would respond to that is certainly at this time it it's really about bringing people on and bringing our suppliers back on line. There's a lot of Panamanian suppliers that are sitting idle and waiting there's a lot of employment in Panama that sitting idle and waiting a week.

Miles Alzaz: There was some... and four and a half thousand redundancies made at the site. We currently speak to around 3,000 of those people every month, and most of those are ready to come back to work immediately. But I think, as time drags on, that gets harder to get people back. It's just a natural attrition there. And so I think if it does delay too much later into the second half of next year, that gets more challenging. In terms of how we think the overall ramp up will run, we would be able to start up one train or a second train in a fairly straightforward manner, but then it's going to take time to build out capacity.

Myles Allsop: There was some.

Myles Allsop: Four and a half thousand redundancies made at the site. We currently speak to around 3000 of those people every month and most of those are ready to come back to work immediately but I think as time drags on that gets harder to get people back is it just a natural attrition there and so I think.

Myles Allsop: If it does delay.

Myles Allsop: Too much later into the second half of next year that gets more challenging in terms of how we think the uncle will ramp up will run we would be able to start up one triangle second try in a fairly in a fairly straightforward manner.

Myles Allsop: But then it's going to take time to build out capacity and so it probably would take you know in the order six months to build out to the full level.

Miles Alzaz: And so probably we'll take, in the order of six months, to build out to the full level.

Miles Alzaz: In terms of the second part of your question on the preservation and safe management plan, certainly we have felt in country, and the conversation seems to be that it's imminent. Comments from various ministers who involved in that decision making process have been public in saying that's imminent, and we continue to receive that guidance on the ground there that it is imminent. And certainly what we think is dragging on that is that the government has made clear the president has made clear they're focused on the Social Security reform at the current time. And that is taking a lot of attention.

Speaker Change: In terms of your the second part of your question on the preservation and Safe Management plan, Yes, certainly we.

Speaker Change: We had felt in country and the conversation seems to be that it's imminent comments from various ministers, who are involved in that decision, making process have been public in saying that see minutes and we continue to receive that call. It until the ground. They are the two D C minutes certainly.

Speaker Change: What we think is dragging on that is that the government has made clear the prisoners might clear they focused on the social security.

Speaker Change: Hum.

Speaker Change: At the current time and that is taking a lot of attention. Nonetheless, you know it is.

Miles Alzaz: Nonetheless, as I said, the public comments have been around imminent approval because that was important in terms of managing the environmental topic at Cover Panama. And that's in everybody's interest. That sits well outside a commercial interest or the mines' interest or the government's interest. That's in the interests of everyone that those environmental security, the acid integrity of the site is maintained. And so it's therefore our view that it should be approved without any further delay.

Speaker Change: Let's say the public comments that have been around imminent approval because that was important in terms of managing the environment tool.

Speaker Change: Topic at Cobre, Panama, and that's in everybody's interests that sits well outside of commercial interest or the mine's interest for the government's interest that's in the interest of everyone. That's always environmental environmental security the asset integrity of the sources.

Speaker Change: He has maintained a and so it's there for al Al view that it should be approved without any further delay.

Speaker Change: Yeah.

Lawson Winder: The next question is from Lawson Winder with Bank of America Security. Please go ahead. Thanks very much, operator. Good morning, Tristan, Rudy, and Ryan; excellent future results in Zambia. And thank you for the update.

Speaker Change: The next question is from Lawson Winder with Bank of America Securities. Please go ahead.

Oh, thanks, very much operator, and more interest in Rudy and Ryan excellent Q3 results in Zambia, and thank you for the update.

Lawson Winder: If I could ask about the Zambia and Appetale process in light of the recent news and of another potential offer for a minority interest. Would you be able to characterize the nature of that sale process? For example, you know, are there still new bids coming in or is the process closed? Are you in a final phase, perhaps with a short list of bidders, and you know, even can you give us an idea of maybe how many bidders might be involved? And then ultimately, what will the criteria be if that makes the first quantum makes a decision to accept an offer?

Lawson Winder: If I could ask about the Zambian asset sale process just in light of the recent news.

Speaker Change: Another potential offer for a minority interest would you really characterize the nature of that sale process, where for example, you know.

Speaker Change: Or are there still new bid coming in or is the process close.

Speaker Change: Are you in a final phase, perhaps with a shortlist of bidders and even could you give us an idea of maybe how many bidders might be involved in and ultimately what will the criteria would be is that that makes it a or sorry first quantum makes a decision to accept that offer.

Lawson Winder: Sure, Lawson. We saw it's pretty public. Sure.

Sure Lawson, Thanks, Louis pretty public.

Yeah.

Sure sure.

Lawson Winder: Lawson, we've been pretty close systems that across the business were more open to partnerships. And that includes in Zambia. But it's only if it's in the interest of our Zambian business, the Zambian government, and all the stakeholders involved. So remain open-minded in respect of potential partnerships.

Speaker Change: Listen we've been pretty consistent that across the business. We're more open to partnerships and that includes in Zambia, but it's only if it's in the interests of all Zambian business, the Zambian government and all the stakeholders involved.

Speaker Change: So we remain open minded in respect of potential partnerships. We are engaged in discussions in that respect, but we wouldnt provide any comments beyond that given there are a lot of discussions.

Lawson Winder: We are engaged in discussions in that respect that we wouldn't provide any comments beyond that, given their our live discussion. Okay, Bill. Fair enough.

Ah Okay fair enough.

Lawson Winder: And then, where were my follow-up with you?

Speaker Change: And then.

Speaker Change: One of them I, followed up with these would actually be on a sense at all so it was great to see that the improved fragmentation.

Lawson Winder: You would actually be on Sentinel. So it was great to see that the improved fragmentation in the paper was leading to some improved crushing and milling rate.

Speaker Change: In the in the pay it was leading to some improved crushing and milling rate what what are kind of the next steps to ultimately get to that 62 million ton per year run rate and when or what is the latest thank you Irwin.

Lawson Winder: What are kind of the next steps to ultimately get to that 62 million ton per year run rate? And when will you just think that that will ultimately be achieved?

While ultimately be achieved.

Lawson Winder: Hi, Lawson. It's really effectively achieved that run rate during the months of August and September with five million tons, but I'm being throughput at Sentinel. Sentinel certainly now in a position. And you know, remember during the last few calls, we said that we're setting up the pit to be productive, which means that we will continue to mine what's in front of the shovels. We won't be chasing grade. And, you know, it's all about setting up the terraces and getting those shovels in a position where they can mine effectively, and the trucks and all effectively. That's where Sentinel is at now.

Speaker Change: Alright listen.

Speaker Change: Hum.

Speaker Change: Really effectively achieve that run rate.

Speaker Change: During the months of August and September with 5 million tons per annum being throughput.

Speaker Change: The Sentinel.

Speaker Change: Sentinel sits in the know in a position and get a little bit.

Speaker Change: But.

Speaker Change: During the last few calls, we said that we're sitting up but to be productive.

Which means that we will continue to mind, what's in front of the shovels, we won't be chasing grade.

Speaker Change: Hum.

Speaker Change: You know it's all about.

Speaker Change: Sitting up the terraces on getting those shovels in a position with a like a mine that effectively in the trucks from the old effectively that's the way it's internal ease up now.

Lawson Winder: And we're quite confident that over the preceding year, we'll see those rates of five million plus on a monthly basis happening a lot more frequently.

Speaker Change: I'm confident that over the preceding year, you will see those right. So 5 million plus on a monthly basis, putting lot frequently.

Okay.

Bryce Adams: And next question is from Bryce Adams with CIBC.

Speaker Change: The next question is from Bryce Adams with CIBC. Please go ahead.

Bryce Adams: Please go ahead.

Bryce Adams: Good morning or good afternoon, everyone. Thanks for the update, and thanks for the comments around Panama. My question is a follow-up on the earlier Panama questions. If the environmental order is not yet started and the order isn't appointed, does this mean the discussions with the government are more likely to be in the second half of next year rather than earlier in the year? Understanding an audit might take up to six months to complete. The timeline here seems like those government conversations could take a little longer. Just wondering if I have it wrong, but it appears like that audit might conclude by mid next year.

Speaker Change: Good morning, or good afternoon to everyone. Thanks for the update and thanks, Kristen for the comments around Panama.

Bryce Adams: My question is a follow up on the earlier Panama questions.

Bryce Adams: If the environmental order has not yet started and the older isn't appointed does this mean the discussions with the government are more likely to be second half of next year rather than earlier in the year.

Speaker Change: Understanding and audit might take up to six months to complete the timeline here. It seems like those government conversations could take a little longer.

Speaker Change: Just wondering if I have it wrong, but it appears like that or that might conclude by mid next year.

Bryce Adams: That's all I had. Thanks a lot.

Speaker Change: That's all I had thanks a lot.

Bryce Adams: Yeah, Bryce, thanks for the question. I think we need to see what the terms of reference are for the audit and how that would work. I mean, certainly Cover Panama has been the subject of intense audit all through last year and this year. The audit result that we had is an operating asset from August to October was 100% compliance on all the environmental and biodiversity requirements of the 300 and 71 commitments under the SIA, and it was only elements of the health and safety where some improvements were warranted and were underway. Subsequent to the Supreme Court decision and why we were closed, we brought in independent orders to review, and the government itself brought in auditors when the mine was in suspension. Again, the independent audit was demonstrated a high level of compliance, and the government audit itself continued to demonstrate 100% compliance on the environmental and biodiversity requirements under the SIA.

Speaker Change: Yeah.

Speaker Change: Thanks for the question I think we need to see what the terms of reference off with the audits and how that would work I mean, certainly cobre, Panama has been the subject of intense audit all through last year and this year. The audit result that we had is not bright our operating asset from August to October was 100% compliance.

Speaker Change: All the environments will embody diversity requirements or the 300 and Sydney won't commitments under the <unk> and it was on the elements of the health and safety waste of improvements warranted when we're under way subsequent to the Supreme Court decision and while we were closed we brought an independent orders to review and the government itself brought in order to.

Speaker Change: When the demand was in suspension and again the out the independent audit was.

Speaker Change: It demonstrates a high level of compliance and the government ordered itself continues to demonstrate 100% compliance on the environmental and part of US the requirements under the sorry, I. So we feel good we feel confident about the position of the mine and that any independent audit looking at it would feel the same way that you know probably pointed out.

Tristan Pascall: So we feel good; we feel confident about the position of the mine and that any independent audit looking at it would feel the same way. That would probably point out areas, and we're quite happy that those areas are pointed out and that we get everything to the highest possible standards. But we'll just need to see what those terms of reference are in order to understand the timetable that you refer to. Beyond that, I can only point to the President's comment and his most recent comment in New York to say that there would be looking to do with the issue early in 2025.

Speaker Change: There is and we were quite happy that those areas have pointed out and that we get everything to the highest possible standards, but we'll just need to see what those terms of reference off in order to understand the timetable that you referred to beyond that I can only point to the President's comments and his most recent comments in New York to say that it would.

Speaker Change: Looking to deal with issues early in 2025.

Gabrielle Simoles: The next question is, John, pardon me, after manually updates, but the next question is from Gabrielle Simoles with Goldman Sachs. Please go ahead. Hi, I can't forget my question. I didn't end up being on the resumption of power situation, like you mentioned. You expect minimal resurption in the full core, but it'd be interesting to be familiar with this looking a bit further out, right?

Speaker Change: The next question.

Speaker Change: Pardon me.

Yeah.

Speaker Change: I have to manually update.

Speaker Change: Next question is from Gabriel and most of which Goldman Sachs. Please go ahead.

Speaker Change: Hi, Thanks for taking my question I, just didn't know if I have to be on the situation.

Speaker Change: You expect minimal reserves.

Speaker Change: But it's interesting to me.

Speaker Change: Looking a bit further out right. So what can we see in terms of exception I've convinced she's done. So I think it's been concentrated on how big of an impact that could have and if they are in nature, taking back the country.

Gabrielle Simoles: So, welcome to the students in the description. I've come and shown to you, I'm set to be a concentrator on how this impact that could have. And if there are any measures being taken by the country in terms of power generation, or in terms of infrastructure, to improve the situation, please already understand the drought, or in terms of infrastructure in the coming industry.

Speaker Change: It's a great stream origins of infrastructure to improve the situation seems oh.

Speaker Change: Extended drought or cause our future golf and become in this way.

Gabrielle Simoles: Thank you. Thanks, Gabrielle. Yeah, so certainly the situation with El Niño had an impact on the country, not just on power, but on food security. And First Quantum has been supporting Zambia. We have trucked some 4,000 tons of maize into the country to support the government's efforts on food security. On the power situation, we've been putting in place the alternative sourcing of power, and that is from imported sources, and we have three providers of that imported power, mostly from Mozambique and from Namibia, to augment the in-country supplies. And so, at this stage, we feel good about this season, and as Rudy says, the rains are expected imminently for the wet season. It does look like, in terms of your question, looking ahead, that the forecast is that the El Niño is already flipped into La Niña, although a milder La Niña than probably was earlier expected mid-year, and the current outlook is the La Niña is a mild La Niña.

Speaker Change: Thanks, Gabriel Yeah, so certainly.

The situation with El Nino had an impact on the country not just on Pal, but on food security and first quantum has been supporting Zambia, we have truck some 4000 tons of mice into the country to support the government's if it's on food security.

Speaker Change: On the power situation, we'd be putting in place the alternative sourcing of power.

Speaker Change: And that is from imported sources and we have three providers of that imported power, mostly for Mozambique, and from Namibia to augment our in country supply and so at this stage we feel good about this.

Speaker Change: This decision and as Rudy says the rains are expected imminently for the wet season. It does look like in terms of your question looking ahead at the full cost of all the they'll need.

Speaker Change: You're always already flipped into la Nino, although a model of la Nina than there probably was earlier expected mid year and the current outlook with the London Yours a malls.

Tristan Pascall: And that means rainfall, a more normal rainfall. However, we do continue to prepare for both scenarios: that is a heavy La Niña, lots of rain. And as Rudy said, we've done the work on preparing for de-watering in the mines to be able to cope with that heavy situation, but also the other scenario, which is light to rain, and that would mean that mining conditions are good, but that we might see prolonged disruption to power. So, the contracts that we've placed to external parties provide for that optionality. They provide for the ability to continue those imports, and we feel comfortable that the level of import would allow us to start S3 without substantial impact on our production expectations.

Speaker Change: And that means rightful of more normal rainfall. However, we do continue to prepare for both scenarios that has a heavy load Nino lots of rain and as Rudy said, we've done the work on preparing for the watering AR in the mines to be able to cope with that heavy situation.

Speaker Change: But also the other scenario, which is lots of rain.

Speaker Change: And that would mean that the mining conditions are good but that we might see you know prolonged disruption to power. So the contracts that we place to external parties provide for that optionality.

Speaker Change: They provide for the ability to continue those imports and we feel comfortable that the level of import would allow us to stop it's three without substantial impact on our production expectations.

Speaker Change: Expectations are beyond that we continue to work with the government utilities, ESCO and supporting infrastructure in the country. We have projects are online with them to support the stability of the grid instead he felt compensation over the next two years and we have projects with them to support increased renewable energy in the country to some.

Tristan Pascall: Beyond that, we continue to work with the Government Utilities Esco in supporting infrastructure in the country. We have projects online with them to support the stability of the grid in static valve compensation over the next two years, and we have projects with them to support increased renewable energy in the country to some 480 megawatts of power to come in from wind and solar sources, and beyond that to support them in purchasing power directly as they go from surrounding countries, including some 250 megawatts from South Africa that's coming through in the next month. I hope that covers the question, Gabriel, but in terms of outlook, we believe that we built in the flexibility and optionality that we can cover any potential shortfall in power.

Speaker Change: 490 megawatts of power to come in from wind and solar sources and beyond that to support their purchasing power directly Cisco from surrounding countries, including some 250 megawatts from South Africa, that's coming through in.

Speaker Change: In the next month or so.

Speaker Change: Hope that covers the question Gabriel but you know in terms of outlook. We believe that we've built in the flexibility and optionality that we can cover any potential shortfall in Pal.

Speaker Change: You bet. Thank you.

Speaker Change: I had another question on your hedging strategy basically you mentioned are there on 40 gig.

Speaker Change: Now I'll make a prediction on that.

Speaker Change: Turning to slide five I, just want you to understand.

Speaker Change: How are you.

Ryan MacWilliam: We're thinking about this strategy going forward; around 50% of production heads are among your constables. You can forward or should be using some of that for that policy.

Speaker Change: Thinking about the strategy there.

Speaker Change: So it's around 50% of production hedged on a Monday.

Speaker Change: Stability moving forward.

I don't see any changes to that policy.

Ryan MacWilliam: Ryan, would you take a follow-up question, please? So I'm hedging strategy, broadly at the moment we're targeting having around 40 to 50% of our production hedge through zero cost colors up to the end of 2025. And as hedges roll off, so you've seen us replace them with new hedges as we did in Q3.

Speaker Change: Ron would you chalk Hello, a question please.

Speaker Change: So on hedging strategy broadly at the moment, we're targeting having around 40% to 50% of our production hedged through zero cost color is up to the end of 2025 and as hedges roll off so you've seen us replace them with new hedges as we did in Q3 as we come into the backend of this year and into early next year, we'll decide whether or not to extend that into 'twenty.

Ryan MacWilliam: Now, as we come into the back end of this year and into early next year, we'll decide whether or not to extend that into 2026. And that decision will be driven by where the copper price comes to, you know, how we're going on Zambia, and a variety of other factors. But for now, the plan is to stay between 40 and 50% hedged through to the end of 2025.

<unk> 26, and that decision will be driven by the copper price comes to now how are we getting on Zambia and a variety of other factors, but for now the plan is to stay between 40 and 50% hedged through to the end of 'twenty to 'twenty five.

Dalton Baretto: The next question is from Dalton Boretta with Canacorn Junuity. Please go ahead. Thank you. I'll have interest in that team.

Speaker Change: The next question is from Dalton Barreto with Canaccord Genuity. Please go ahead.

Speaker Change: Thank you I'll hide dress team I'm thinking past S. We and you build a pipeline to talk a toss up.

Dalton Baretto: I'm thinking past S3 in your build pipeline to talk at Talk. Under this new Argentine, Luigi would be, I understand this in pretty specific timelines in terms of getting the project approved by Luigi and then. Some specific timelines around capital spending.

Dalton Barreto: Under this new Argentine Weegee would be I understand there's some pretty specific timelines in terms of getting the project.

Dalton Barreto: And then some specific timelines around capital spending the.

Dalton Baretto: And let me just update on how you're thinking about talk at talk as it relates to the region. Thank you.

Speaker Change: I Wonder if you can just update us in terms of how you're thinking about topic talk as it relates to the Vicki with Jean Thank you.

Tristan Pascall: Hi, Dalton. Yeah, thanks for the question. And, yeah, it's pertinent to speak about tech attacker. We saw a large delegation from Argentina at LME Week. And I think certainly that reflected a lot of confidence that the country is developing in terms of the investment promotion legislation that was passed as part of the Omnibus legislation. And we've seen Riggy. And certainly for us it provides an important step forward for attacker attacker. That project, we continue to like the project, potentially deliver, you know, perhaps 250,000 tons of copper a year for the first decade of an overall life that's 30 years plus.

Speaker Change: Hi, Dalton yeah. Thanks for the question and yeah, it's putting him to speak about our tech attack. How are we saw a large delegation from Argentina at Ellie Mae Wake and I think certainly that reflected.

Speaker Change: A lot of color.

Speaker Change: Confidence that the country is developing in terms of the investment promotion legislation that was passed as part of the a part of the omnibus legislation and we seen rigi and certainly for US. It provides an important step forward off with tech attack that project, we continue to to lock the project potentially.

Speaker Change: Live out, perhaps 250000 tonnes of copper a year for the first decade, Oh for novel lock that steady ease plus we noted a sanction decision stage yet we are the timelines of the rigi all that and application is required within the next two years.

Tristan Pascall: We've not had a sanction decision stage yet. We, the timelines of the riggy, that an application is required within the next two years. And there is a possibility that it can be extended by one year. But at the moment, the application window is around, is two years. In that time, we would also need to see the environmental permit for Attack Attack come through and the water permits. And in that timetable, we would also need to be working on the financing pathway for the project. So we see those three as parallel work streams. And, you know, that need to develop alongside each other in the timetable that's provided for under the roof.

Speaker Change: There's a possibility that it can be extended by one year, but at the moment. The the application window is around two years in that time, we would also need to see the environmental permit for tech attack come through and the water permits are ending that timetable. We would also need to to be working on the financing part.

Speaker Change: The life of the project. So we see those three as parallel work streams are and I just need to develop alongside each other.

Speaker Change: In the timetable that's provided for under the Ricky.

Speaker Change: Yeah.

Tristan Pascall: Thank you, Tristan. As my fellow, you touched on financing, and I was wondering, as you think about financing on top of the top, whether HIV is on the table, or even whether this place is potentially HIV on the table. Thank you. Sure, Dalton, I think that what we see in Argentina is a level of confidence developing, and I think that will continue to do help as we see stability come through over the coming months and during that period for the application of riggy. During that time, we think the country will continue to open up for the right partners.

Speaker Change: Oh, Thank you trusting us as my follow up I mean, you touched on financing.

Speaker Change: I was wondering as you think about financing partner talk or whether like JBT. There is on the table or even whether this plays into potentially.

Speaker Change: Thank you.

Speaker Change: Sure Dalton I think that you know.

Speaker Change: What we see in Argentina is at a level of confidence developing and I think that that will continue to pay off as we see stability come through.

Speaker Change: Over the coming months and and during that period for the application to reheat during that time, we think the country will continue to open up for the right partners we've been open.

Tristan Pascall: We've been open; Ryan made comments about our approach to partnership, that is, that we see the benefit for that. We're doing that on our Lagrange project, where we partner with Rio Tinto in Peru. We're doing that, and we're going through a process in Zambia where we look at partnership, and it's, in fact, Cobra Panama was a partnership with, call me as the Korean government. So, Argentina itself, we think and lend itself, and that the right partners will gain confidence and gain interest in the country in order to develop a financing pathway for it, and we think that the timetable that's outlined in the riggy that two years is appropriate to consider and work through that process.

Speaker Change: Ron made comments about our approach to partnership that is that we are we see the benefit for that we're doing that on a la Granja project, we partner with Rio Tinto in Peru are we doing that and we're going through a process in Zambia, where we look at partnership.

Speaker Change: And it's in fact Cobre, Panama was a partnership with call me are the Korean government. So Argentina itself, we think can lend itself and that the right partners, we will gain confidence and gain interest in the country.

Speaker Change: In order to develop a financing pathway for it and we think that the timetable that's outlined in the rigi that to use as is appropriate to consider and work through that process.

Speaker Change: Okay.

Craig Hutchison: The next question is from Craig Hutchison with QV Cohen. Please go ahead. Good morning. Thanks for taking my question. Just a question around Q3. You guys obviously had a very strong Q4. You had a very strong Q3 results. The guidance applies that you'll be somewhere in range of 80 to 100,000 tons for Q4. Yet the setup seems pretty good at Sentinel, the software, and a shift to more mixed oxidist, but it can sent you. Can you just give some context as to where you're going to see that change in terms of production and the lower guidance for Q4?

Speaker Change: The next question is from Craig Hutchison with TD Colin Please go ahead.

Craig Hutchison: Hi, Good morning, Thanks for taking my question I'm just a question around the Q3 you guys. Obviously had a very strong Q4, you had a very strong Q3 results.

Craig Hutchison: But the guidance kind of implies that you'll be somewhere in the range of 80 to 100000 tons for Q4, and you have to setup seems pretty good sense and all the softer ore and a shift to more mixed oxide consensually could you just give some context as to you know.

Speaker Change: Where are you going to see that change in terms of production and the lower guidance for Q4 is that being driven by lower grades at Constancia or is there some planned maintenance shutdowns in the quarter.

Rudi Badenhorst: Is that being driven by lower grades of consent, or is there some planned maintenance shutdowns in the quarter? Thanks.

Craig Hutchison: Thanks.

Rudi Badenhorst: Rudy, would you like to take that question? Thanks, Craig. Rudy? Yes, thanks. Hi, Craig. You hit the nail on the head. It's primarily lower grades of consent. That's driven by normalization of the mixed and sulfide circuits, where we swap back with mixed material going back towards its original circuit and then doubling up again on the tonnage throughput on sulfide, which generally runs at the lower grades. That's pretty much driven through there. The state circuit back at Sentinel, yes, it's nice and soft at all. It runs through the months a lot easier, but as we are still in the upper reaches of that cutback, it is relatively tarnished and weathered material, so it doesn't float as well as your primary sulfide.

Speaker Change: Rudy would you like to take that question. Thanks, Craig Rudy.

Craig Hutchison: Rudy.

Rudy: Yeah. Thanks.

Craig Hutchison: Craig.

Yeah, you hit the nail on the head is primarily lower grades at Constancia and that's driven by normalization of the mixed and sulfide circuit swiftly.

Craig Hutchison: We swapped back with a mixed material going back towards its original circuit and then doubling up again on the tonnage throughput on sulfide at least generally it onto the lower right. So that's pretty much driven but it went through the.

The Stacy cutback at St. Total, yes, it's nice and a softer or and runs through the most of a lot easier, but as we are still in the upper reaches of that got back it is a relatively.

Craig Hutchison: Don East and with it the material so it doesn't float as well as your primary sulfides.

Rudi Badenhorst: But yeah, I'm only driven by Ken Senchi and swapping other circuits.

Craig Hutchison: But yeah, primarily driven by Cana century in Switzerland. So good.

Rudi Badenhorst: Perfect, thank you.

Speaker Change: Perfect. Thank you.

Speaker Change: Yes.

Ian Rossouw: The next question is from Ian Rossouw, with Barclays. Please go ahead. Thanks for the follow-up. Just a quick one on the working capital. Ryan, you mentioned you filled quite a bit of material towards the end of the quarter and received the cash post. Quarter end, obviously prices are up a bit versus the quarter average, but just wanted to get a sense of how much of that $200 million working capital will do, you would expect to come back for that to normalize. Sure, Ian, so of the $200 million working capital build, $100 million of that was an increase in receivables; about $40 million of that was the AT receivable, which came in just after the quarter end. And then of the balance of $60 million receivables due to sales, we probably got about $20 to $30 million that came in just after quarter end.

Speaker Change: The next question is Ian Rossouw with Barclays. Please go ahead.

Ian Rossouw: Thanks for the follow up and just a quick one on the working capital line. You mentioned do you still have quite a bit of material towards the end of the quarter and received the cash.

Speaker Change: Post quarter end Oh.

Speaker Change: Prices are up a bit so it's just a closer average, but just wanted to get a sense of how much of that $200 million working capital build you usually expect to to come back.

Speaker Change: For that to normalize.

Speaker Change: Okay.

Speaker Change: Sure Yeah, so of the $10 million working capital build $100 million of that was an increase in receivables.

Speaker Change: About $40 million of that was a V. A T receivable, which came in just after the quarter end and then the balance of $60 million of receivables due to sales, we probably got about $20 million to $30 million that came in just after quarter end, so net about $60 million of the $100 million.

Ryan MacWilliam: So net about $60 million of the $100 million came in just post-quarter end rather than getting in before the end of the quarter.

Speaker Change: I mean, just post quarter end, rather than getting into before the end of the quarter.

Ryan MacWilliam: Thanks, and just on the inventory side, because you're still tracking fails quite a bit behind production so far this year, is there some expected on working on the inventory working capital? Not significantly, we actually had low inventory at the end of Q2, so that's why you saw it slightly move the other way through the end of this quarter. So maybe we'll get into trees a bit lower through the back end of the year, but you shouldn't assume a big release from a working capital perspective coming into the year end. A lot of that inventory is still sitting in that Cobra Panama concentrate.

Speaker Change: Thanks, and just on the inventory side, because you're still tracking sales quite a bit behind in production. So far this year is there some expected on working on inventories.

Speaker Change: Working capital.

Speaker Change: No not significantly we actually had a lot of inventories at the end of Q2. So that's why you saw it slightly moves the other way through the end of this quarter. So maybe we'll get into the trees at Butler through the back end of the air, but I shouldn't assume a big release from a working capital perspective coming into the year end.

Speaker Change: I mean, a lot of that inventory is still sitting in that cobre Panama are concentrated.

Miles Alzaz: The next question is from Miles Alzaz with UBS. Please go ahead. Yes, thanks for the follow-up. So, yeah, it's a couple of things.

Speaker Change: The next question is from Myles I'll stop with UBS. Please go ahead.

Speaker Change: Yes.

Myles Allsop: Pull up so yeah, just a couple of things first of all again go back to the preservation of the technology spend how much I'm.

Miles Alzaz: First of all, again, going back to the preservation segment, how much should we put in our forecast for the cost in 2025? Should we keep running it around $12 million a quarter, or at what stage will you take it a step lower than that, so that'd be helpful.

Myles Allsop: Should we put in our forecast for the cost in 2025 should be key.

Speaker Change: Running at around $12 million, a quarter or what stage will you take it a step.

Speaker Change: And that's yeah. So that'd be helpful. And then getting back to the Zambian power question as well can you just remind us how much power you can see them currently.

Miles Alzaz: And then going back to the Zambian power question as well, use for mind is how much power you consume currently, and how much that will lift by with S3. And then, you know, if you're 50% covered, where would you be when S3 is running? Thank you.

Speaker Change: How much that will lift by with a story.

Speaker Change: Then if you're 50% covered well would you be you wouldn't necessarily is running.

Yeah.

Tristan Pascall: Thanks, Miles. I might ask Rudy to take that second question on the specifics of the power draw in Zambia at the moment, and then with S3. But in terms of your first question on the cost of the preservation, state management plan, or the plan that we're running at the moment, as Rudy outlined, we were at around 13 million a month through the course of 23, and we're saying about 11 to 13. Miles, the tension there is to make sure that we ensure the environmental security. That covers about 1,400 people on site. That's the highest proportion; is that labor cost.

Speaker Change: Thanks malls, a mind us Rudy to take that second question on the specifics of the power draw a you can say.

Speaker Change: At the moment and then with the history, but in terms of your first question on the costs Oh, the preservation site management plan or the plan that we're running at the moment.

As Rudi outlined.

Speaker Change: We we were at around 13 million a month through the course of two three and we were saying about 11 to 13.

Speaker Change: So the tension there is to make sure that we we ensure.

Speaker Change: Foreign mental security that covers about 1400 people on site. That's the highest proportion is that labor costs.

Tristan Pascall: And it is appropriate that we continue to maintain that dedication and that level of compliance. But certainly, you know, there is a law of gravity, and we can't withstand that forever. We really do need to see, you know, the sources of funding for that to come through, and obviously the concentrate at. The, in the shed, is a source that can be applied and support all of the environmental works that need to happen. You know, to date, the company's been doing that just on the basis of ensuring good compliance, but ultimately we do need to see that come through.

Speaker Change: And it is appropriate that we continue to maintain a debt dedication and that level of compliance, but certainly you know.

Speaker Change: There is a law of gravity and we cant withstand that forever.

Speaker Change: We really do need to see.

Sources of funding for that to come through and obviously the concentrate at Athena.

Speaker Change: That's been the shape is it.

Speaker Change: He was a source that can be applied and support all of the environmental works that need to happen.

Speaker Change: To date the company has been doing that.

Speaker Change: Just on the basis of ensuring good compliance, but ultimately we do need to see that come through I think we will get to a point, where we need to go to a next step.

Tristan Pascall: I think we will get to a point where we need to go to a next step in terms of reducing that cost, and obviously that's around people. And you know, we, we, we, we're talking to the government around the timing and how that can work. We, the level of engagement is increasing and it is important that we get, you know, those answers so that we can address those questions as to what is the right level of people and performance going forward so that we can manage that cost, manage the level of employment there at the site, but also ensure that there isn't a legacy that Panama has to bear there.

Speaker Change: In terms of reducing that cost and obviously that surround people.

Speaker Change: And.

Speaker Change: We were talking to the governments around the timing and how that can work with the level of engagement is increasing.

Speaker Change: And it is important that we get.

Speaker Change: Those ounces so that we can address those questions as to what is the right level.

Speaker Change: Oh people and.

Speaker Change: Four months going forward. So that we can manage that cost manage the levels of employment there the sort of but also ensure that the the reason the legacy Panama.

Speaker Change: The Bay there.

Tristan Pascall: And all of that's part of the conversation that we're seeking engagement, having engagement on, and that's why the preservation and safe management plan is important and why we continue to push and request that that's approved as soon as possible.

Speaker Change: And all of that is part of the conversation that we had.

Speaker Change: We are seeking engagement, having engagement on and that's why the preservation and safe management plan is important and why we continue to to.

Speaker Change: Pushing and request that that's approved as soon as possible.

Speaker Change: Yeah.

Rudi Badenhorst: Miles, I jump in here on the question on power currently up power draw in on the assets and Xamias around about three hundred and ten to three hundred and fifteen megawatts. Obviously, all of that is written by a power supply agreement by Zesco and with the currently with the drought, as Justin mentioned earlier, we've obviously made various efforts to secure imported power directly through third party providers. At the moment, we're importing about a hundred and ninety megawatts of that total requirement, and the rest is provided by the state utilities, as per our agreements. When S3 comes online next year through commissioning and full ramp up, it's another eighty five to ninety megawatts, but we've already, as I highlighted in our Q2, secured power to ensure the suitable start up and maintaining a production when S3 is running.

Speaker Change: Myles jump.

Speaker Change: Jumping on the.

Myles Allsop: The question on power.

Speaker Change: Currently about roll it.

Speaker Change: And on the Essex enzyme is around about 310 to 15 megawatts.

Speaker Change:

Speaker Change: Obviously all of that is.

Speaker Change: And both our supply agreements are they scaling with the currently with the drought. That's just mentioned I mean, obviously my Vegas.

Speaker Change: If it's too.

Speaker Change: Important power directly through third party providers at the moment of importing about 190 megawatts.

Speaker Change: Of that total a requirement that they used to as provided by the SEC.

Speaker Change: Besides utilities ESCO.

Speaker Change: But all of our agreements.

Speaker Change: When they see it comes online.

Speaker Change: The next year through the commissioning and ramp up it's another 85 to 19 megawatts, but really as I highlighted in our Q2 school.

Speaker Change: Paula to ensure the.

Speaker Change: Suitable startup and and maintaining a production when he sees that I think.

Speaker Change: Yeah.

Operator: This concludes the question-and-answer session.

Speaker Change: This concludes the question and answer session I'd like to turn the conference back over to Tristan Pascal for any closing remarks.

Tristan Pascall: I'd like to turn the conference back over to Tristan Pascal for any closing remarks. Thank you, operator. I'd like to thank everybody for joining us today and for your interest, and we look forward to speaking to you again at our next update. Thank you.

Thank you operator, I'd like to thank everybody.

Speaker Change: Joining us today and for your interest and we look forward to speaking to you again at our next update thank you.

Operator: It brings to a close today's conference call. You may disconnect your line. Thank you for participating, and have a pleasant day. Thank you.

Speaker Change #100: Thanks to a close today's conference call you may disconnect. Your lines. Thank you for participating and have a pleasant day.

[noise] [laughter].

Speaker Change #100: Okay.

Speaker Change #100: [music].

Speaker Change #100: Okay.

Speaker Change #100: Right.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100:

Speaker Change #100:

Speaker Change #100: Yeah.

Speaker Change #100: Right.

Speaker Change #100: Yes.

Speaker Change #100: [laughter].

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: Hum.

Speaker Change #100: Uh huh.

Speaker Change #100: Uh huh.

Speaker Change #100: Yeah.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Right.

Speaker Change #100: Yeah.

Speaker Change #100: Yeah.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: Yeah.

Speaker Change #100: Okay.

Speaker Change #100: [music].

Speaker Change #100: Yes.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: [laughter].

Speaker Change #100: Okay.

Speaker Change #100: Thanks.

Speaker Change #100: Okay.

Speaker Change #100: [music].

Speaker Change #100: Yes.

Speaker Change #100: Okay.

Mhm.

Speaker Change #100: Okay.

Speaker Change #100: Yeah.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: Uh huh.

Yeah.

Speaker Change #100: Yeah.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Okay.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: [laughter].

Speaker Change #100: Okay.

Speaker Change #100: [laughter].

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: [music].

Okay.

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: [music].

Speaker Change #100: Hum.

Speaker Change #100: Mhm.

Speaker Change #100: Mhm.

Speaker Change #100: Yeah.

Speaker Change #100: Hum.

Speaker Change #100: Yeah.

Speaker Change #100: Hum.

Speaker Change #100: Okay.

Speaker Change #100: [music].

Operator: I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say, I have to say,

Speaker Change #100: Hum.

Speaker Change #100: Hum.

Speaker Change #100:

Speaker Change #100: Yeah.

Speaker Change #100: Okay.

[music].

Speaker Change #100: Uh huh.

Speaker Change #100: [music] Oh.

Speaker Change #100: Hum.

Speaker Change #100: Hum.

Speaker Change #100: Okay.

Speaker Change #100: Mhm.

Speaker Change #100: Yeah.

Speaker Change #100: Yeah.

Speaker Change #100: [music].

Speaker Change #100: Hum.

Speaker Change #100: [music].

Speaker Change #100: Mhm.

Speaker Change #100: Sure.

Mhm.

Speaker Change #100: Yeah.

Speaker Change #100: [music].

Speaker Change #100: Okay.

Speaker Change #100: Okay.

Speaker Change #100: [music].

Speaker Change #100: Hum.

Speaker Change #100: Yes.

Speaker Change #100: Okay.

Speaker Change #100: Hum.

Okay.

Speaker Change #100: Okay.

Speaker Change #100: [music].

Speaker Change #100: Hum.

Speaker Change #100: [music].

Speaker Change #100: Hum.

Speaker Change #100: Yeah.

Speaker Change #100: Hum.

Mhm.

Speaker Change #100: Yes.

Speaker Change #100: Yeah.

Speaker Change #100: [music].

Speaker Change #100: Okay.

Speaker Change #100: Hum.

Speaker Change #100: [music].

Speaker Change #100: Yeah.

[music].

Speaker Change #100: Yeah.

Speaker Change #100: [music].

Speaker Change #100: Hum.

Speaker Change #100: Hum.

Speaker Change #100: Yeah.

Speaker Change #100: [music].

Speaker Change #100: Yeah.

Speaker Change #100: Okay.

Speaker Change #100: Yeah.

Speaker Change #100: [music].

Speaker Change #100: Yes.

Speaker Change #100: [music].

Speaker Change #100: Yeah.

Speaker Change #100: [music].

Speaker Change #100: Hum.

Speaker Change #100: Yeah.

Speaker Change #100: [music].

Speaker Change #100: Okay.

Yeah.

Speaker Change #100: Hum.

Speaker Change #100: [music].

Speaker Change #100: Sure.

Speaker Change #100: Hum.

Speaker Change #100: Yeah.

Speaker Change #100: Yeah.

Speaker Change #100: [music].

Speaker Change #100: Oh.

Speaker Change #100: [music].

Speaker Change #100: Okay.