Q1 2025 Wesdome Gold Mines Ltd Earnings Call
Good morning, welcome to Western coal mines conference call to discuss the company's financial and operating results for the first quarter ended March 31st 2025.
As a reminder, this call is being recorded.
Speaker Change: Host for today is Trish Maryanne Westin.
Speaker Change: Vice President of Investor Relations Ms. Ma'am. Please go ahead.
Speaker Change: Thank you and good morning, everyone before we get started I'd like to point out that during today's call. We may make forward looking statements as defined under Canadian Securities Law I ask that you you or slide presentation for cautionary language regarding forward looking statements and the risk factors pertaining to these statements. Please note that all figures discussed on this call are you.
Speaker Change: In Canadian dollars unless otherwise noted.
Speaker Change: Our press release, MD&A and financial statements are available on SEDAR and on our corporate website Whetstone Dot com.
Anthea: With us on todays webcast is anthea, Bob West Coast, President and CEO he blew our CLO.
Andover Gong: Andover Gong, our CFO, Joe No Lora SVP exploration Raj Gill, SVP, corporate development, and Investor Relations and Kevin long ago S&P.
Anthea: Technical services following management's formal remarks, well then open the call to questions.
Speaker Change: Robert Dan Thank.
Speaker Change: Thank you Chris Good morning, everyone is off to a good start in your piece to be sharing with you in another quarter with solid results across the board.
Speaker Change: Starting with health and safety, we continue to see reductions in our lagging indicators.
Speaker Change: We have example of total quota recordable injury frequency rate.
Speaker Change: In the first quarter is at its lowest level in more than four years.
Speaker Change: It demonstrates that our efforts to both safety.
Speaker Change: Safety culture.
Speaker Change: As shown on slide four we produced nearly 46000 ounces.
Speaker Change: Quarter, one financial captured the upside moving the goalposts.
Speaker Change: Many cookie based quotes.
Speaker Change: Revenue EBITDA net income free cash flow.
Speaker Change: Importantly, easily quotes were sitting on a per share basis as well.
Speaker Change: Also increased our liquidity and an $18 million, which included I think <unk> done it in cash.
$50 million of Undrawn capacity on our revolver.
Speaker Change: As we go through this quarter's results.
Speaker Change: The key messages that we want to emphasize safety.
Speaker Change: I'll find it.
Speaker Change: Operator.
Speaker Change: Second half weighted.
Speaker Change: Mainly driven by still coming online in the second half of 2025.
Speaker Change: We're making progress on engaging our principles of optimization and penetration across the operation.
Speaker Change: In Turkey.
Speaker Change: Boston disposable safety, which will save us value for shareholders.
Speaker Change: Post quarter end, we announced the acquisition of Ingersoll.
Speaker Change: By the end of June.
Speaker Change: The acquisition is a strong fit within our.
Speaker Change: Strategy as you can see on slide five.
Speaker Change: So it's a unique opportunity to consolidate and expand distinctiveness ambition around equal with the quadrupling it to roughly 400 square kilometers.
Speaker Change: This transaction underscores our long term commitment to Eagle River and will meaningfully enhance our regional Greenfield exploration popcorn.
Speaker Change: We are the logical acquirer and with a strong balance sheet is that the infrastructure and strategic relationships.
Speaker Change: Positioned as both Chris and Scott was already lined up and accelerate exploration development.
Find land package, creating real value for our shareholders.
Speaker Change: Moving to slide six organic growth strategy, what we call. The food alone has the potential to unlock significant additional value to our shareholders over the next three to five years.
Speaker Change: If you recall our strategy has three pillars, namely global resource model initiatives strategic exploration and cost optimization.
Speaker Change: Related to each of these initiatives is ongoing and will be incorporating new technical reports for both equally the 18th next yet.
Speaker Change: Let me update you, we hope to achieve each of these assets.
Speaker Change: Eddie over that the focus of the global model initiatives, if I'm incorporating all available data to get a re compete in the QA QC processes to qualify the database.
Speaker Change: Reading all historically it was recently genotypes.
Speaker Change: We have modeled the target areas and design, an aggressive drill program in the Mexican market condition.
Speaker Change: We want to ensure we can revisit the potential for restocked at the historic niche in that area.
Speaker Change: Leaving the kina.
Speaker Change: Ultimate aim to stay in our focused areas.
Speaker Change: <unk> are different.
Speaker Change: Whereas the Eagle River Technical report is looking to drive trial have been.
Speaker Change: Primarily the global model and resource model initiatives.
Speaker Change: We look to unlock value so a combination of cost optimization.
Speaker Change: Yeah stupid deposits loans 33 level.
Speaker Change: Listing strategic mining Penny.
Speaker Change: Its matchbook upfront to be done to publish two technical reports in 2026, and we will certainly keep you updated along the way.
Speaker Change: Now over to <unk> to review the quarters operating highlights thank you and.
Speaker Change: Good morning, everyone. The year is up to a solid start moving to slide nine you can reverse delivered a strong quarter one performance producing approximately 29000 ounces up 16% compared to the same quarter in 2024, driven by sequence and dilution control.
Speaker Change: As planned approximately 65% of tons produced came from two zone.
Speaker Change: 300, and 720 <unk>.
Speaker Change: Average head grade of Eagle River was above the guidance range for the quarter due to two main factors can be over with material from the high grade stope in the transition zone from late 2024 into Q1 and positive grade reconciliation in the still in the 720000.
Speaker Change: Sequencing remains compliance the overall plan for the year and in the second quarter processed grades are planned to be back within the guidance range.
Speaker Change: As we open up new mining fronts, we're creating optionality and flexibility within our mining plan, resulting in a higher level of predictability.
Speaker Change: Notably we have increased our available stope inventory to three months and are establishing new mining areas with sustainable production such as six eight and five zone.
Speaker Change: Zone development is planned to be one year ahead of the production front, giving us ample time for elimination of the orebody at depth.
Speaker Change: As part of our plan set up Eagle River for long term success, a continuous improvement program has been implemented.
Speaker Change: To see results one of our focus areas has been a transition from contractor to owner operated activity.
Speaker Change: Plans are in place to transition the surface ore haulage to owner operated by the end of the second quarter and we also continue to see a progressive transition of the underground development meters.
Speaker Change: Another focus has been on maintenance and the warehouse improvements.
Speaker Change: Investing in infrastructure and improving our practices in these areas, we can significantly enhance equipment availability and reliability. Furthermore.
Speaker Change: And that is in control continues to improve contributing to eagle's reverse positive results, particularly in long haul stoping through a multiphase program initiated late in 2024.
Speaker Change: On the processing side throughput increased to an average of 667 tonnes per day, an increase of 18% over the first quarter of last year and 10% above the 2024 average.
Speaker Change: This reflects the success of our 2024 initiatives to boost drilled and developed inventory as well as operational Debottlenecking and optimization.
Speaker Change: All in sustaining costs for quarter, one were U S $1337 per ounce.
Speaker Change: $13 million in sustaining capex in.
Speaker Change: In 2025, we're also making investments to improve mill reliability and upgrade infrastructure during a two week scheduled shutdown this month.
Speaker Change: We are proud of Eagle river's performance to date and are excited about what lies ahead.
Speaker Change: Turning now to <unk> on slide 10, our focus remains on ramping up <unk> and delivering value to our shareholders.
Speaker Change: In quarter, one cannot produce about 16700 ounces double the output of quarter one 2024.
Speaker Change: What's plan that Q1 would be the lowest production quarter of the year due to planned sequencing. There was also a delay in the sequencing of some key <unk> stoping and development area due to lower than planned equipment availability, which is being addressed.
Speaker Change: Staining strict adherence with the mining plan for the mine plan remains a critical performance driver for <unk>.
Speaker Change: Second quarter is expected to improve in the back half of the year is projected to represent 60% of total production as outlined in our guidance released in January.
Speaker Change: Overall grade reconciliation of Keno deep is trending well two block metal grades and the mine delivered an average head grade of 10 eight grams per tonne in quarter. One 2025, despite persisting a small volume of lower grade material from the recovery slope in.
Speaker Change: In the quarter, we experienced a delay in the sequencing and some key high grade stoping and development areas due to lower than planned equipment.
Speaker Change: So we improved performance our focus remains on maintenance reliability mine planning and execution and increasing available mining fronts as we move towards first production from rescue and mining at level $1 36 next year.
Speaker Change: The hybrid cut and fill mining method continues to be implemented in specific area and is yielding better than expected results with a significant reduction in dilution.
Speaker Change: Moving from mining to processing, the mills performed well in quarter, one 2025 processing 541 tons per day up 7% year over year.
Speaker Change: Associated production cost per ton or $489 has done a 5% increase over Q1 2024, primarily due to higher mining and site administration costs.
Speaker Change: All in sustaining cost for the quarter.
Speaker Change: One $412 per ounce and includes $9 million in sustaining capex.
Speaker Change: Another $9 million in sustaining capex, mostly relates to the delivery of our first battery electric trucks was carried over from quarter one to quarter. Two these new energy efficient vehicles. The first one is for world of wisdom will improve material movement and free up ventilation capacity there.
Speaker Change: Is a lot going on at Qunar beyond day to day operations, Let me highlight the status of several ongoing projects.
Speaker Change: First we recently completed the exploration drift on level 134.
Speaker Change: Setting us up for joining success with two active underground platform. Next 136 is expected to be completed in Q3, establishing a second mining horizon. Our goal is to add three mining fronts by year end.
Speaker Change: The Frisco continues to advance towards the year end completion target.
Speaker Change: This two five kilometer rent is the final major step in gaining access to material in the upper portion of the Kina mine and a critical component of achieving our fill the mill strategy.
Speaker Change: The <unk> deposit is already established in our guidance calls for up to 10000 ounce.
Speaker Change: From the area in 2025, it's a busy year at Keno Hill.
Speaker Change: Linda team remained sharply focused on safe disciplined execution.
Speaker Change: And now over to Joe <unk> to discuss exploration.
Joe: Thank you Keith.
Joe: Good morning, everyone.
Joe: During my first four months I've had the opportunity to have robust conversations with the exploration and geology teams at site.
Joe: Visit our extensive land packages familiarize myself with the geology and reviewed postural programs and results.
Joe: From this collaborative with the teams now have revised western exploration strategy to better support the company's organic growth plans.
Joe: The key shift in focus has been from short term reserve replacement to a longer term growth are interesting.
Joe: We've come up with a program that creates the most value for our shareholders by effectively supporting our short medium and long term growth aspirations.
Joe: In reference to slide 12.
Joe: I'm going to highlight the strategy, which is a tonne guidance resource generative approach.
Joe: <unk> and our project pipeline designed to extend the loss of our mines.
Joe: Our strategy is designed to generate incremental additions to resources in the near term.
Joe: To generate at least one new discovery in the medium term.
Joe: And to extend the mine life, but further discoveries in the long term to deliver stable production and cash flow beyond 2028.
Joe: The strategy has three guys.
Joe: First to support our life of mine over the next 12 months by replacing depletion.
Joe: Growing our resource base.
Joe: Supporting our fill the mill strategy.
Joe: The second is to extend out lots of mine over the next one to three years by evaluating the continuity of deposits.
Joe: <unk> and <unk>.
And targeting discovery of at least one new deposits, we do this by continuous global portfolio management.
Joe: Constant ranking of opportunities Andy.
Joe: And district consolidations.
Joe: The third on the best strategy is to transform our life of mine in the long term.
Joe: Taking analytic approach to the exploration of mineralization potential in our district.
Joe: Understanding the GM metallurgy, and mineralization style of potential targets.
Joe: And the grade and volume characteristics of targets and the potential economic upsides arising Gulf cost borrowings.
Joe: And regional consolidation.
Joe: These two are critical as explorations are truly <unk> and data driven pricing.
Joe: The tool that we have chosen to manage our global exploration program is to target triangle.
Joe: Not a new concept in the industry spending the last few months assessing our property wide prospects at both assets has really given me a sense of the tremendous opportunity that we have with wisdom.
Joe: As you can see from slide 13, we've taken the approach ranking our targets in terms of priority.
Joe: Solodyn as global view of the current opportunity at Westin <unk>.
Joe: <unk> six <unk> and the tier four five and six categories.
Joe: As you can see this nice shortage of target opportunities for us to work.
Joe: Now that we have a list of targets both eagle in Cana are in the target selection and probability weighted ounce potential stage.
Joe: This is a critical part of the process and it will help rank the targets to prioritize work and associated budget actions.
Joe: Our primary objective for the rest of the year complete detailed geologic and valuations at the mining preliminaries and surrounding claims and at Eagle. This includes the Eagle River Nishi in magnet Con claims and the exploration claims immediately adjacent to these areas.
Joe: Valuation will focus on two aspects.
Joe: Surface target areas defined during the <unk> process and underground targets defined as part of the global model still the mill with prices.
Joe: While the process of Cana is similar the unique nature of the ore body under the life requires us to use slightly different tools.
Joe: To help delineate and fine tune targets of high resolution, drawing magnetic survey will be executed as we'd like and planted areas to save.
Joe: I will deliver more detailed information than previously available, which could help identify key features that contribute to the development of the mineralized zone.
Joe: Stay tuned.
Joe: Before I wrap up let.
Let me give you a.
Joe: Brief update on our exploration programs in the first quarter, starting at Eagle on Slide 14.
Joe: Drilling at the <unk> Central Zone was successful in confirming the continuation of mineralization down plunge at similar thickness in grade.
Joe: The latest interpretation of drill results are 300 sign indicates the presence of separate sub parallel structure to that hosting main 300 site mineralization.
Joe: Initial S sized niche soon now known as the 300 folks.
Joe: Continuation of thickness in the tenor of mineralization with down plunge continuation open for further exploration.
Joe: <unk> are also indicating that the mineralization is punching at a more moderate ankle and the.
Joe: Steeply plunging 9300 say this was a key interpretation as it highlights the variability of the plunge of the sheets in this case exploration opportunities with testing down plunge continuation.
Joe: Finally during our surface drilling program, we drilled five holes at IP anomaly D. In 11 holes at the Deutsche Bank on the Eagle with display.
Joe: Two of the halls of pod peer normally D intercept anomalous gold several holes to birch intercepted smoky quartz veining with strong volume Todd alteration.
Joe: Assays are pending.
Joe: <unk> continues to follow up on these results and we will be discussing more of these areas in the press release in quarter three.
Joe: Turning to Cana on slide 15.
Joe: Focus in the first quarter has been on preparing development for the rest of the year's drilling.
Joe: Currently there are six weeks underground with batch drilling expected to commence in July.
Joe: The exploration drift from the one nine level was completed and drilling commenced targeting the BCC.
Joe: <unk> priority for us to drill in 2025.
C Zone, historically returned to high grade intercept device the mineralization Wi Fi and the mineralization is open at depth and demonstrates style that's analogous to community.
Joe: Drilling to date has been unsuccessful due to poor ground conditions between the drilling and the BC side.
Reviewing options to extend the underground development to a more optimal location, which is expected to enable more effective drilling of both the <unk> and the nearby Northland targets.
Drilling continues at <unk> deep and we remain encouraged with the results we have seen particularly in the football side.
Joe: Excitingly preparation of the first two drill platforms.
Joe: On the 134 exploration drill is almost completed and drilling is expected to commence at Mount Saint drilling.
Joe: Drilling from this platform will target, both makena and footwall zones, giving us more optimal drill intersection angles.
Joe: Exploration drilling also commenced level 33, confirming the continuity of the porphyry host into Schulke 22 zone and work has progressed towards setting up platforms drove do the salt and Duchenne in July.
Joe: An exploration update as explained to be released later this quarter.
Joe: Now I would just Linda will take you through this quarters financial results.
Linda: Thank you John and good morning, everyone.
Linda: Turning to slide 17, we have achieved strong gold production of nearly 46000 ounces.
Linda: 77% increase over the comparative quarter in 2024.
Linda: The year over year increase analysis produced was driven mainly by accessing a greater proportion of high grade ore from the 300 zone at Eagle River.
Linda: And a high grade ore from the deep.
Linda: Recall that we were still advancing the ramp in Q1 last year.
Linda: We did not start mining and processing keener deep material until around mid April 2024.
Linda: On a per ounce basis, we have seen another sequential decline in quarterly all in sustaining costs.
Linda: 1366 U S dollar per ounce, which include about 200.
Linda: For sustaining exploration and development in the first quarter.
Linda: Now moving to slide 18, the first quarter of 2020, turning 25 was really solid from a financial perspective.
Linda: <unk> increased 86% year over year to $198 million.
Linda: Mainly for a significantly higher production and a 38% increase in average realized gold price per ounce sold in U S dollars.
Linda: During the first quarter. The company recorded net income of over $62 million or 42 cents per share.
Linda: An increase of almost five times over the prior year due to the increased production on the higher operating realized gold price.
Linda: In addition, compared to the first quarter of 2024.
Linda: Margin was up by 174% to $128 million.
Linda: EBITDA nearly tripled to $130 million net.
Linda: Net cash from operating activities grew by 72% to $80 million and free cash flow increased by about two and a half time $41 million.
Linda: We have a clean balance sheet with zero debt.
Linda: Our working capital increased to $191 million from.
Linda: $131 million as of December 31, 2024.
Linda: Primarily an increase in our cash balance, which grew by $45 million during the quarter to $168 million at the end of March.
Linda: The analysts acquisition is scheduled to close by the end of June and therefore, you should model the cash portion of the purchase of approximately $31 million.
Linda: Q2 cash predictions.
Linda: Between cash on hand, and our fully Undrawn senior secured revolving credit facility, we had $319 million.
Linda: I should mention that we are currently in discussion with a group of banks the renewal of our revolving credit facility, which matures in late August we will keep you appraised of our progress.
Linda: As a reminder.
Linda: A reminder, on slide 19.
Linda: Our guidance for 2025.
Linda: The only change I would note and again this is effective with Dan with transaction is that our annual exploration expense is expected to increase by up to $5 million.
Linda: Following the closing of the transaction.
Linda: Lastly for those of you who did not picked up in our management information circular file a couple of weeks ago non stop them, who has been our auditor for more than 20 years.
Linda: Change is the overall strategic direction.
Linda: As a result of that we're changing our auditors subject to shareholders' approval interesting Yang will assume all responsibilities in relation to the period ended in June 30.
Linda: We would like to thank them for the many years.
Linda: Service.
Speaker Change: And with that operator, you can now open the last two questions.
Linda: Thank you.
Linda: If you have dialed in and would like to ask a question. Please press star one on your telephone keypad to raise your hand and join the queue.
Linda: If you would like to withdraw your question Press Star one a second time.
Linda: If you are called upon to ask your question and our listening via Speakerphone on your device. Please pickup your handset and ensure that your phone is not on mute when asking your question.
Again, it is star one if you would like to ask a question.
Wayne Lam: And our first question comes from the line of Wayne Lam with TD Cowen Your line is open.
Wayne Lam: Hey, good morning, guys.
Speaker Change: Just wondering maybe on the recent Angus called transaction.
Wayne Lam: Given the proximity of that.
Speaker Change: <unk> operations.
Wayne Lam: To the existing <unk>.
Wayne Lam: Nishu pit.
Wayne Lam: Would there be an accelerated pruning process to operations today, if everything was drilled off and then maybe just curious in terms of the future tailings storage what is the current capacity remaining and what does the permitting timeline look like for construction of the next facility.
Wayne Lam: Ladies and gentlemen, thank you for your question got.
Speaker Change: I'll speak just to help me a little bit with your first question regarding I guess what were you what were you asking.
Speaker Change: I'm, just wondering what the permitting timeline might be.
Speaker Change: From a cadence perspective.
Speaker Change: In terms of in terms of advancing it into operations like if everything was drilled off.
Speaker Change: Would you guys be able to mine it today or.
Speaker Change: You'd have to go through it and get an operating permit.
Speaker Change: Yes, absolutely I think it would be a whole process around that said the focus whatnot Angus is to gain a drilling program that supports the development of the resource and the Rockaway following decade sort of pivoting accordingly.
Speaker Change: The second question on the talent we have.
Speaker Change: We have sufficient painting, obviously to run the gross churn quite substantially for the period after that.
Helpful.
Speaker Change: Kevin.
Speaker Change: Seven seven.
Speaker Change: Is it tightening.
Speaker Change: Well managed with an equal with that.
Speaker Change: Okay understood. Thanks, and then maybe a keener can you maybe provide us a bit more detail on the plan to switch to the hybrid mining approach with the greater pattern. So just wondering if that's a function of dilution control or ground conditions and would that entail a scale back in underground mining.
Speaker Change: Taking a deeper or impact to fill the mill strategy.
Speaker Change: Again, let me maybe.
Speaker Change: Reiterate the message on the hybrid model to other models to optimize the dilution within the mine, which we see as an opportunity and recovery.
Speaker Change: Do we see any impacting I think.
Speaker Change: But the whole budget for 2025, and it's slowly coming in I think he told me is have you done.
Speaker Change: This year of the total extension and introduced.
Speaker Change: And.
Speaker Change: This should increase slightly to $3 26 in terms of percentage of the total stopes that have actually been impacted by it.
Speaker Change: Not impacting the sequence or the timing undergrad.
Speaker Change: Okay, great. Thanks, and maybe just last one Chris scale. It seems like pretty good progress. There are you guys ahead of schedule on development there given the mining of ore this quarter and then what would the targeted tonnage contribution be on a go forward basis.
Speaker Change: So we are on track on the development to deliver as per plan for skill for the CN. Obviously this continues into next year and it went up and yet tonnage contribution for next year is what you're asking weighing offered this yet.
Speaker Change: Maybe for next year.
Speaker Change: Okay. It's about 100000 tons for next year.
Speaker Change: Okay, perfect alright, great. Thanks for taking my questions.
Speaker Change: Thank you.
Don Demarco: And our next question comes from the line of Don Demarco with National Bank. Your line is open.
Speaker Change: Thanks, operator, and good morning, Andy and team congratulations on a strong quarter.
Speaker Change: Our first question. There was you mentioned a delay in the sequencing of some key high grade areas.
Speaker Change: Lower than expected equipment availability.
Speaker Change: Has this been resolved and is it potentially reoccur.
Don Demarco: So Don.
Don Demarco: Due to availability of equipment and it is understood and we dealing with it.
Speaker Change: Okay and was it something that came about.
Speaker Change: Towards your like how much of an impact as we have them.
Speaker Change: How should we think about it going forward in terms of.
Speaker Change: Timing of expectations, we get resolved.
Speaker Change: I think what you should see this as normal operations.
Speaker Change: If we need to manage it we'll manage it I don't think you should see it as a concern that problem with kina.
Speaker Change: When fostered some months typically so when you delay on this step.
Speaker Change: Does that.
Speaker Change: Into the next quarter.
Speaker Change: This is the reality of managing and leasing 50 came this month. However, we understand it very well and we will continue to solve it.
Speaker Change: Okay. So you mentioned that you are reiterating your backend loaded year, but.
Speaker Change: Maybe.
Speaker Change: We expect Q2 to be maybe just a touch soften or.
Speaker Change: Really no material impact next year.
Speaker Change: Thank you.
Speaker Change: Should EQT, increasing from Q1 <unk>.
Speaker Change: It's aligned with our plan.
Speaker Change: Okay great.
Wayne Lam: And then just carrying on with Wayne's questions on press keel.
Speaker Change: Maybe if you could.
Speaker Change: Are you still on track to kind of come out with updated technical reports early next year and then those reports would we see the contributions from <unk> you mentioned.
Speaker Change: Next year, what are you thinking about first pour through the mill this year tonnage this year.
Speaker Change: And.
Speaker Change: And how much more you got spare mill capacity certainly at Keno how much.
Speaker Change: No capacity might this.
Speaker Change: Utilized once it gets ramped up.
Speaker Change: Good question just on the technical reports I think we will stay within the first half it makes sense, we'll be aiming for.
Speaker Change: We are sending focus of making sure that the inputs into that support our data, which is really around the <unk>.
Speaker Change: Cancel database into the that can you talk database that's the key.
Speaker Change: The key point that strength.
Speaker Change: <unk> skills for 2025, we have between 20 540000 tons in the current plan and that increases.
Speaker Change: The skill set to be a part of a technical report going forward.
Speaker Change: Pardon.
Speaker Change: <unk> mentioned that the lunch and the typical 14 more than compensated between can you give us some as well.
Speaker Change: It takes it was that Chinese able team.
Speaker Change: Q2 of last year.
It will not see the utilization of the blue and the unique within the technical folks Latina.
Speaker Change: Okay, great. Thanks for that.
Speaker Change: And then perhaps just as a final question.
Speaker Change: Balance sheet is getting stronger.
Speaker Change: We would expect that to continue what are your plans for the cash do you want to stockpile dry powder in the event of M&A or potential next mine development or are you, considering a potential dividend or share buyback program.
Speaker Change: Great question again.
Speaker Change: Youll notice of healthy after the AGM, we can apply.
Speaker Change: <unk> Dot chairman and.
Speaker Change: We see if we can be having these conversations with eight I think just from a capital.
Speaker Change: The most important thing in Sweeney on organic opportunities with current operational sense Im looking lift towards smartphone in China, yes, and pushing and driving the exploration program as hard as we can and that's one of the two.
Jake: Jake Holistically in western mass.
Speaker Change: And I think.
Speaker Change: Safety remains a prudent on everything we're doing with regards to capital deployment and then we'll make those decisions on industrial.
Speaker Change: Dovetails demand obviously.
Speaker Change: And if this money.
Speaker Change: Let me just state that the competition will be having with our board and happy to talk to the market.
Speaker Change: Half of the year to discuss those thoughts.
Okay.
Speaker Change: Great well, we look forward to.
Speaker Change: To those developments as they progress.
Speaker Change: Alright, Thank you Mike.
Speaker Change: That's all from me, Thanks, again, and good luck with the rest of the quarter.
Speaker Change: Good luck.
Speaker Change: And as a reminder, it is star one if you would like to ask a question.
Speaker Change: And our next question comes from the line of Andrew Mitchell with BMO capital markets. Your line is open.
Andrew Mitchell: Thank you for let.
Speaker Change: Let me ask some questions that some great ones have already been asked can we come back to.
Andrew Mitchell: <unk>.
Andrew Mitchell: The developed ore tons for.
Andrew Mitchell: Both Eagle and Tina.
Andrew Mitchell: Scribble down that there was three months available stopes for Eagle.
How does that contrast, with maybe where you were previously and where you want to get too and then.
Andrew Mitchell: I didn't hear any sense of where you are on the similar situation for key ni in terms of.
Andrew Mitchell: <unk> developed and where you want to get them to please.
Andrew Mitchell: And just with regards to Eagle River I think our baseline.
Andrew Mitchell: Congress typically killing it but we're doing a significantly higher.
Andrew Mitchell: In terms of <unk>.
Andrew Mitchell: Okay.
Andrew Mitchell: And we are targeting at tracking at three months, if you're really making sure we can devise minimums and then operation.
Andrew Mitchell: Phoenix and all the different keen as countries are still very much just in time on that operation and we obviously.
Andrew Mitchell: Pulling up get the mining fund to number 136, Okay sure that's been units will move.
Andrew Mitchell: More flexibility within the mine.
Andrew Mitchell: And then obviously with skill.
Andrew Mitchell: <unk> Center will be the second in the sequence, which gives us a mixed paper flexibility.
Andrew Mitchell: So this is something that youre, hoping we've seen mix shifts onto credit related when we speak about this as the condos.
Andrew Mitchell: Let me speak to around this is the flexibility we like to give us that ability to be much more silicon going forward. So this is <unk>.
Andrew Mitchell: Kind of initiatives, it's really going to drive a much.
Andrew Mitchell: When statement execution model.
Speaker Change: Okay. So just to be clear so that three months at Eagle. That's there today you guys would look to increase that with time is that fair.
Andrew Mitchell: Piedmont is sufficient.
Andrew Mitchell: This is <unk>.
Andrew Mitchell: What we believe is good for us from that perspective from the facility.
Andrew Mitchell: Yes, the sweet spot for us from that side, obviously from the cold outside it's a bit further thank you.
Andrew Mitchell: This trend is might be slightly different.
Andrew Mitchell: Comfortable with that.
Andrew Mitchell: Okay and then just one last question on this exploration the pyramid I think kind of puts everything into perspective, the one that was up on on the presentation.
Andrew Mitchell: But.
Andrew Mitchell: My question is how long in terms of time or even dollars.
Andrew Mitchell: Would it take to ink.
Andrew Mitchell: Incorporate the Angus.
Andrew Mitchell: Acquisition into that is that something that would take.
Andrew Mitchell: A few months or is it a more material amount of work to integrate that into into the process.
John: Andrew Hi, it's John here.
Andrew Mitchell: Yes.
Andrew Mitchell: <unk> had to look at the opportunities on the Angus ground before we initiated the transaction.
Andrew Mitchell: We definitely do see upside in that property.
And when.
Andrew Mitchell: The transaction is finalized we will be going through that data and a very aggressive manner and treating it in the same methodology that we have for our existing assets all around Eagle.
Andrew Mitchell: Timing wise, we would be doing drew.
Andrew Mitchell: Drilling this year in the second half utilizing.
Andrew Mitchell: And advancing.
Andrew Mitchell: The programs at doses as well as over at the Einstein formation.
Andrew Mitchell: More background information for us, but also hitting the ground.
Andrew Mitchell: In 2026 and 2027.
Andrew Mitchell: Confirmation drilling proof of Ids validation of some holes.
Andrew Mitchell: But definitely drilling and advancing more with the top in 2026, but we will be aggressive in processing and reviewing that data as soon as the transaction finishes.
Andrew Mitchell: Okay, well, thank you very much.
Andrew Mitchell: We'll sign off and let others ask questions.
Speaker Change: Thanks, Andrew.
Speaker Change: And ladies and gentlemen, this concludes our question and answer session and also concludes this morning's call. If you have any further questions. Please contact Tricia Moran at Trish stock Moran at West Elm Dot com.
Speaker Change: For participating today and you may now disconnect.
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