Q3 2025 AngloGold Ashanti PLC Earnings Call
here is
good afternoon, ladies and gentlemen. And welcome to the anger, gold Shanty 2025 Q3 resolves.
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Our now hand you over to Mr. Stewart Bailey. Please go ahead.
Thanks, Judith and good morning. Good afternoon everybody, and welcome to degree, results calls. Um, as normal, you have Alberta and Jillian, doing the presentation. You have other members of the executive team available to answer questions after um, that presentation uh, before we start, I would point you to the safe harbor statement at the front of the presentation which contains important information regarding forward-looking steps and we urge you to look at it. Uh, I'll hand over to Alberto.
Thank you, sorry.
Thank you remains.
Our highest priority and we're committed to eliminating severe injuries from all, all right.
What 17% year on year?
And it's now at 0.96. Well, with all the 2024 it in that average.
We're proud of this result and the strides been made in recent years.
But we're always mindful that we're only ever been scored as our last injury-free day.
Will continue to work, hard to mitigate risk and to learn from our mistakes and new mistakes.
I'm pleased to report, another excellent quarter showing clearly how momentum continues to build alongside a successful business improvements interventions.
This result, Strong by any measure is undertaken by the much improved resilience of our portfolio. Stay delivery to V and growth in free, cash flow and earnings.
We did set a number of new records free cash flow for the board. There was always a billion dollars and close to the free cash flow. We generated for all of 2024 and we will pay half of that as of today.
Our adjusted net cash position of 450 million, gets us a strongest balance sheet. Ever once again, we control costs very well despite persistent inflationary, headwinds and higher royalties, they only cost, but we would like,
Our performance back to the long term industry trend of course, Rising ahead of the gold price.
Since 2021.
This is the result.
Of operational excellence, driven by production potential discipline project, execution and tight cost control.
What we can control, we continue to control very well.
That's clear. When you look at our managed operations.
Production benefited from higher contributions from both wasi kibali data and kuya Bank.
Strong performance that were part of the offset by lower towns and grades at 803, September 8th stoppage at ingredient lower, on the ground tones and great at sunrise.
Delivered. Another steady on plan performance. In Q3, we're seeing the ongoing improvements in recoveries and town treated.
The result is supported by the incentives, we made in ventilation and also generally better equipping availability that we're working hard to sustain.
Total cash cost for managed operations year to date was following up. Only 3%, we expect that number for the full year to be similar, only 3% up,
And this is the spine macrofactor of 9%. When you take into account the prevailing inflation rate of around 5% and the increase in Royal which are linked to the gold price.
Let me clarify this, we expect to be within our guidance range and that is before discounting the impact of royalties that we estimate for the year around, 40 an ounce.
Free cash flow and also billion dollars for South 1 4 4.
Headline earnings were about 185%. The bad machine is in excellent shape. We have ample liquidity and non-material near-term maturities.
At quarter’s end, and even after record dividend payments in the first nine months, we have moved to an adjusted net cash position of $450 million.
Let's have a quick refresher of our dividend policy. It provides for quarterly payoff of 12 and a half cents, a share of around 60 to 8 million dollars. It also provide for an analog through a payment breaking the payout to 50% of free cash flow. We use this question to make potential up up the half year. Underlying it not only the extraordinary cash flow generation but also our confidence in the Outlook of the business that took
Dividend declaration for the half year to 469 million.
When done the same again for Q3 with a dividend Declaration of 460 million which matches in 3 months, what we did in the first 6 Months of the Year, this provides 1 of the most generous and highest yields in the sector. And as normal, we expect a strong final quarter.
With double the last continue to ramp up our deal, 1 access now account for More than 70% of production and 80% of reserves, we expect to see the production share from our gases to rise. Still further our tier 2 assets are also delivering historical contribution. We are seeing healthy oranges across the portfolio exceptional. Cash flow leverage as we remain, active managers of volumes the sale of C which is expected to be finalized. Before the end of the year will ensure that we can further sharpen our focus on the core basically.
During this extraordinary, turnaround Journey. We've been on since 2021, we continually assess what we can generate that where we can generate the most value and the answer is clear the best opportunities bring running remaining Within.
first, we are committed to this performance from our glorified driving margin growth to cost distantly
Which is continuing to do what we have done well in the past.
And potential has been invaluable in this regard. Keeping cost Flats in real terms.
Cost per ounce in real terms. That's improved our position on the cost curve and help us to reliably deliver guidance.
The Insight from this program can also help to 1 of the fine plan of organic growth options that are beginning to reveal themselves. This extends Beyond, which is starting to develop a consistent operating Cadence as it runs UPS.
And extend life at several other key assets. These are relatively low, low, Capital intensive, jobs that allow us to leverage our existing footprint infrastructure and knowledge.
The returns that you can imagine are more than competitive.
Well, flesh shows out in the coming. Quarters was helping to Daylight more value in this extraordinary portfolio of ours and third were laying a foundation. For the next stage of growth in Nevada, our world trust gold count where we're building schedules, and optionality.
We committed to Breaking some of our most exciting in circle facilities to life, and we'll start today with GA or Marquee assets.
for years data has been viewed as a world class, mind and worldly short, reserved life,
That is completely changing. This is a tier 1 operation by every measure, consistent delivery, strong margins, and exceptional operational stability.
What's often overlooked is the geological quality data sets in the Lake Victoria. Greenstone belt on the Tanzanian Creighton part of the same goal province that hoski Valley and North Mother. After 2 Decades of mining Lord large parts of the concession remains under explored with compelling structural and geotechnical governments pointed to significant bump up potential along strike and death.
Today gave the holster open pain and multiple underground operations producing around 500,000.
Houses per year under pin by 3.5 million houses, in reserves and more than 7 million houses in resources.
We're now showcasing the next chapter to get a a mind position to remain a tier 1 asset or at least the next 20 years. But in reality, it's going to be much longer than that.
Here you see the simple to unlock further value. We're allocating a total of 15 million dollars and additional 15 million year to expiration with that investment. We expect to grow resource by about 60%.
To increase life to 10 years or more from around 7.5 today to about 10 years or more. Our focus is on near mind drilling with a priority of that announces to the 4 mining fronts, we have established, we're working through a conceptual option to increase milk capacity.
So this will expansion which we conserve it before us to cost around a hundred million dollars, we expect to grow production by 20% to about 600,000 Oz. Importantly we're focused on maintaining margin here and not simply creating an expansion to push through lower grading until we will update you as we move through the studying process at a proposed Capital intensive, intensity of only a thousand.
Production. This is an extraordinary profitable project.
We're looking to pull this additional investment to work in an area with proven geological quality and longevity. Since we started tiling up our exploration investment in 2021, reserve life has more or less doubled, with current levels around 7 years. We're looking to do a little further. We valued 2 million ounces of reserves between 2017 and 2020, which is over and above that 4.3 million ounces of decrease during that period.
That comes of cost of 39 announced, which is exceptional value by any measure and we enforce the quality of the geology and our exploration team.
The pipeline of targets is exceptionally Rich, we might identify it around 40 plus weeks already and believe that we will easily improve reserved life with an initial Target of full of 10 years or more we aim to achieve the first Milestone by 2028 the first round marker for US. It was engaged this reserve and around 4 million Oz by next year and then 5 million Oz by the end of 2028.
We have said, clear initial priority agent areas for this.
With closets.
S for and comment is very much sustainable. Resource definition dwelling is aimed at defining the extension of the resource.
And I Lima drilling has confirmed the extension of the old body of death with good potential to transition to underground. Mining in time we have additional high confidence exploration targets with Striking Distance and the pit where we've already intercepted mineralization including some high-grade areas.
So where does this on? We have a world class or body supporting a compelling investment case. With the incremental exploration spend, we expect to leverage the large businesses, resource base growing Reserve Life, to 10 years or more. And keeping it at that level. For many, many years, the mind has maintained a resource to reserve conversion rate of more than 30%. This will underpin the Baseline production of plus 500,000 houses over a reserved life of 10 years for aluminium term. We will continue to work rest. The middle expansion opportunity which will step up production to 600,000, Oz will update you to you and pay for it to the disability process. That is data. Well, positioned to unlock significant value to sustain a tier 1 for decades to come,
We will be talking about.
Our first step in Nevada, after the total 1 discovery and the strategy turns, is one of the most significant gold discoveries in a generation. This is one of the world's top mines in terms of jurisdiction.
This is not a modest. Asset is a large with significant high-grade.
As of our latest topic, we have a resource of around 16 million ounces.
the deposit of preserve which is key. Our focus is currently on the Merlin deposit where we have some more exceptionally high grade intercepts during resource definition drilling Heat, this re solves reinforce our confidence in the project Tier 1 Quality when fully developed the, a complex is anticipated to be long life. Multi-million house producer, which will become the center of gravity for the value of gold. The 70 and will become the largest and probably most longevity uh facet that we will have in the portfolio giving us low cost low risk, High work analysis and plenty of them.
We're currently at the back of our comprehensive, free accessibility study, which will run through the remainder of the year. We expect to talk about the results of that presentability study in our results in February of next year. However, just a quick anticipation: if you see in the graph, the number 1, that small green, that's where we are concentrating our efforts right now. We already are seeing how we can quickly go in that area to about 800,000 plus ounces for a year. And then when you look at the whole area, you can understand why we say that it's a multi-day, multi-million ounce deposit.
The drill pages are best to look for value creation. Our strategy is delivery, structured in two phases, each with a distinct purpose but one shared goal: to turn the world-class resource into a long-life return complex. Our immediate focus is to convert resource to reserve.
We expect again to bring those results in February this infiltrating program across Merlin and silicon is it delivering the data to finalize, big Designs. Great control me uh models and Swift ratios for the PFS and BFS once we've established the Reserve Base, we will be able to grow expanding the footprint and extending my life.
We'll hand over to Jillian now to run through the financials.
Thank you, Alberto.
Q3 was marked by reference goals prices driven by continued Central Bank, buying strong ETF inflows, and still pay their demand and made geopolitical tensions, and the weakening US dollar.
Oil prices were up around 13%, lower year-on-year, based on both.
The wtr and Brent crude Industries.
Inflation moderated across most of our operating jurisdictions, most notably in Argentina, while Brazil saw a moderate increase to 5.2%, up from 4.4% last year.
Keeping an awful pressure on our cost base.
We continue to actively look for opportunities to mitigate cost impacts across the business which we continue to demonstrate within our cash cost performance.
Production was 17% higher year-on-year in the quarter at 768,000 ounces. From our managed operations, production rose 16% to 682,000 ounces, up from 586,000 ounces in Q3 of last year.
this stemmed from the additional sorry with 135,000 Oz and a 30% increase in answers from a
The result was also supported by growth and our other key assets including kabali data and queer back.
These production gains were offset somewhat by the plant stoppage at the euro.
Total cash cost for a managed operations increased by 5% with pressure from Insulation at just under 5% and royalties which rose in line with the gold price.
Market driven factors beyond our control would have increased cash costs from 1,172. An ounce in Q3 of 2024 to 1,272 per month in Q3 of 2025.
We were however, able to reduce this to 1,225 in to disciplined cost management, the additional security to the flat volume and the impact of our full asset potential program.
All in sustaining costs for managed operations Rose 6% a year on year to 1,766 per amps up from 1,665 and 23 of 24.
That increase reflects our planned reinvestments and saves business capital, partially offset by a higher goal of status.
Our financial results for the quarter reflect another strong performance from our managed operations, with a number of new record sets.
Earnings and free cash flow more than doubled year on year, driven by continued cost discipline. The 17% increase in production and the 40% higher average gold price.
Is the D Rose up 109% year-on-year to $1.6 billion, driven by price and sales volumes?
This was partly offset by higher costs, which as I've said, were driven by inflation and the increase in royalties.
Basic earnings rose to $669 million, up from $223 million year-on-year, bolstered by price increases and higher volumes.
Net cash from operating activities. Was up, 134% to 1.4 billion reflecting improved, operating fundamentals and cash conversion.
After taking into account, capex and kabali, cash industry, 3 cash flow, more than doubled to 920 million as Alberto mentioned. It's another record
We ended Q3 with an adjusted net cash position of 450 million. Another first for our company, and it compares to a 9006 million in net debt just a year ago.
Our focus is on changed. We are working hard to realize more operational improvements to maximize cash conversion. Extend, money. Life can ensure we are disciplined in allocating capital.
This slide highlights our progress in strengthening our competitive position on cost. Curve total cash costs were $1,225 and ended in Q3, up 5% year on year.
Market share in 52 including inflation, royalties fuel price, and exchange added around, a hundred dollars an ounce, or a 9% to the cost.
The plant, still Theory added around 58 to cash costs as of 1 off.
Basic from a managed operations increased by just 6% to 1,766 an ounce reflecting our ongoing capital reinvestment.
We remain focused on converting fire role prices to build free cash flow gold price. Gains of $683 million, higher gold sales driven by strong performance that have increased, and the contribution from sorry, as well as the focus on working capital improvement, all flowed through to free cash flow.
Offset by higher operating costs. Linked to the higher growth sales, volumes higher cash taxes on higher revenue and the plans increasing Capital spend with the integration of sorry.
It's all supported the widening. Free cash flow margin, which almost doubled to 45% in just 1 year, reflecting the strong focus on ensuring that higher gold, prices and increased margins where you do flow to our bottom line.
The balance sheet has never been stronger. We ended Q3 in a net cash position of 450 million dollars under pinning, tolerances of 3.9 billion, where in an excellent position, not only to the funds and capital of pipelines, but to to continue returning Capital to shareholders.
And finally, we remain on track to meet our 2025 guidance, in all metrics.
I'll hand back 12 for our wrap-up.
Thank you, Julian.
Since 2029, our total cash cost in real terms has traded lower versus a 19% gain for our peers. We have stayed flat. As you can see, the average of the peers in wheelchairs has gone close to 20%.
That led to a margin growth that has outpaced the same peers as a result.
This has been enabled by our full asset potential, which focuses on producing more answers with fewer costs. We just became more competitive.
We're working hard to ensure that we maintain this advantage.
Some years ago, we
The analysts would say well, we tried as a difficult, we have because we have a lower margin as you can see. Now we have the same margin but we still have some quarter of a discount that means to you in the next slide.
We may study progress in bearing. The rating got relative to our North American beers.
This hasn't been about fixing a single issue, but rather executing a comprehensive plan over the past years to strengthen every aspect of the business. Our fundamentals are robust, and both our values and performance have never been more promising. We continue to progress in Nevada.
But we probably have more pride in having received this year than in 2026, Taylor Lindsley. The Exploration Award just underpins that this has been one of the most significant discoveries in the U.S. in more than a decade.
We're delivering on what we said. We would achieving consistent, operational improvements, enhance it with church and positioning the company with sustainable growth.
And importantly, we will ensure that 94% of the gold price increase has flown on to the bottom line. Let me just explain this if you multiply the dollars increase in the gold price by ones, you get the increase in the revenue, 94% of that increase have flown on to the bottom line. To net, operational cash flows.
This has generated 1 of the highest free cash flow news in the industry. Actually, if you look at the third quarter we would be the highest
free cash flow per ounce in the industry, but any of the large companies,
As you assess on valuation metrics, we believe in Google, the charting represents a compelling investment proposition, combining strong, cash, generation anticipate, and shareholder focused Capital, allocation framework Market leading yield.
Predictability and valuation that offers clear ups and potential with that. I'll take your questions.
Thank you, sir. Ladies and gentlemen, we will not be conducting a question and answer session.
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Our first question, from the telephone lines comes from Adrienne Hammond of SBG. Please go ahead.
Yeah, thanks operator. Um, good day. Um, Alberto and Julian. And I have a question for each of you. Um, if we just start with with Alberto,
since we last spoke on, on your results, it was
Uh, a gold price. It was a thousand dollars an ounce or so below where we are today.
so, um,
There's certainly most.
Change the way you you think about the business um, or at least ensure all the returns. So,
you have a dividend policy and your free cash flow is certainly well in excess of what your immediate needs and plans are so
Uh, what is your strategy with dividends? Um,
Specifically, are you you've certainly done a throughout on this quarter and we get to expect that I see him going forward. It's it's about persists but uh certainly you'll start building a lot of cash. So
BuyBacks or increased payouts and debt, Redemption. Are you able to talk a bit more to that? Thanks.
Thanks.
Yeah. Look every
Every corporate we sort of.
all about how we can, uh, obviously have our shareholders share in in, in this gold price and our time mentioned, in my presentation, the fact that we have
We have been able to pass all of the gold by, and then 44% is the one where we eat again, said. Okay, let's make an exception to the policy, and let's distribute 50%.
I've also said, I only said in the first half that we will reassess things in February and we will,
Determine, uh, if there's any need for additional further, capital allocations, and as you mentioned between debt, reduction, debt, reduction or dividends additional or migrants, but we will talk about that in, in February of next year. I don't know this that there's a
Many gold companies again, um, are sort of comfortable with a positive, uh, net cash. Again, I think that there's limits to that, but, uh, I think we're far away from that. But in February, we will definitely, uh, deal with, uh, additional sort of, uh,
Ideals for Capital distribution.
It's clear, thanks but perhaps, Jillian on costs, you training at at the end of your guidance and certainly royalties is putting pressure there. That uh, I'm assuming wasn't part of your assumption at the start of the year, when you put these forecasts out or guidance out. So could you just reconcile, uh, what those assumptions were and
Are you confident that given you know, you're probably going to pay a bit more on royalties?
Uh, this quarter, where you, where you think, uh, why you think at least we should meet that guidance and.
and then, secondly, um,
Some of your peers that really started ramping up the reserve gold prices assumption.
um,
I assume that's going to be a trend for the sector.
But probably some more than others, which is telling in respect of what sort of capital.
Uh, you plan on investing in the business because those reserves will need infrastructure. So, are you able to give us some sort of insight into your reserve, gold price plans in respect of capital discipline? Thank you.
start with that and Julian will help me with the labor but we did say Adrian a very, very clearly that we were assuming that 2,315
To be right on the top end.
And then with the Royal pieces doing the royalty way within the cash cost. As I mentioned, we will our managed operations and the non-managed has gone up more than we would want it, but our management operations are only up 3% in nominal terms. So I I think this will be 1 of our best years in terms of managing costs. And so we're quite big happy about that.
and then,
We will reconsider the gold price, but
We said it before that we distinguish very clearly between if we are planning constraint or mind constraint. If you're trying to constrain this, there's just no point in changing the reserve of this reservable device. If you're not, then we’ll look at it, but.
I would say that in general our default is we're really not changing anything because of the high and low price, but we’ll look at it and probably we will adjust it on a cost basis.
It's not so how we would cost on the industry have gone up and then that's probably how we will look at it. But we we will be probably along the most conservative in the industry. Is that regard? Because this we just don't see a point there. But yes, so thanks Alberto as over to that, the focus is on, maintaining great in in in in our operations and and not change.
Using that uh, focus on on Race because of gold rice changes. Um, you'll know that our, their prices 1600 and then it's currently and the resource prices 1900. We do obviously, do an annual assessment of that and would anticipate sort of marginal increases um, in 25, maybe a hundred dollars an hour, but it's really, um, looking at the change in the cost curve and its impact on us, maintaining those grades rather than focusing on on the prices Alberto said. And if the other thing we always do on major capital projects is um look at Price sensitivity, regardless of of that price that you set for the there. Um and and that's just a standard thing um that that we would do anyway
That's clear. Thanks, thanks to you both and well done on a good quarter and look forward to some more insights into uh Reserve extensions and Life Extensions. If you have thank you.
Alex.
Our next question comes from Joseph rigger of Roth Capital Partners. Please go ahead.
Hey, Alberto and team. Uh, thanks for taking the questions. Um
Just a quick thing. And uh, do you guys have any plans shutdowns? Like the to the magnitude that was cigary in the quarter, um, for Q4 that we should be aware of
no.
That's a quick answer. No, no.
This is everything we spent. We expect a very strong force of water right now. What we know, and Grumps will say, "Well, we don't know. We don't know." Well, that's different; but what we know, we don't know, and what we know we know, we're fine.
Okay, fair enough. Thanks, I'll turn it over.
Thank you, ladies and gentlemen. Just a further reminder to the participants who have dialed in.
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Our next question comes from Tanya Yakosan of Scotia Bank. Please go ahead.
Oh great. Good morning everyone. Thank you so much for taking my questions. Um, Adrian have a few of them so I too look forward to hearing about the reserves and what's happening on that front. But I I'm going to come back and I'm going to focus on data if I could. I'm just looking at, um, some of the slides you presented.
Required on the mining side from the capital standpoint as well.
That's my first question.
Tanya, look on the second question. We already have 4 sources of oil. I don't see. There's nothing.
There's not a big chunk of, let's say unusual Capital that we would need them on, on, on that. Uh, I think that's what makes data so strong and so predictable in those 4 sources of support. So there's nothing.
About it. We are our last 1 set up the data to, to give any details on the plant expansion. But we it's, it's it's still an probably not even increases ability but it
It is a project that is 1 of those when it counts that will be a no-brainer extremely profitable and relatively minor cause. So it's a pure this all comes from Full asset potential but that's a potential. Is IT addresses the 5 or 6 things that we can be bought and they can have the greatest rate of return. So this comes from from that type of of thinking, but Marcelo is there any more details on that?
Plan, obvious processing plan. So, absolutely, and the thanks for the question. Uh, our plan is spoke with on optimized as best as possible. The capacity that we have in the plan without major Investments, as our business has pointed out, we are planning to do investments in around 100 billion dollars as we are foreseeing. Now, according to our level also the day generally,
Ing for this plan and uh, our expectation is that uh, we are going to add 1 additional, um, capability capacity, but it's going to be confirmed by the British, by the engineering studies that we are offering. Now at this moment, we see very good capacity, so by additional Investments but all of these are going to be confirmed and binding generate studies that we are performing at this moment.
Okay, so it looks like just upgrading these components, and at this point, there's nothing really major to do beyond that. It appears then, on the mining front.
Can you open pet mining and underground? Would that be development work? Would that be fair? Yeah.
Yeah, yeah. Okay.
Okay. Okay, that's great. Hopefully 1 day get to see this asset as well. Um my my second question if I could um Alberto it's to you. It's um you started your presentation by talking about your best opportunities are within the company. So organic growth. So you've got data that's um, um, you know, ramping up, you've got obvious, sorry data was is ramping up the data opportunity. Now, you've got uh, the Arthur gold that's coming in towards the end of the. Well, after the end of the decade for Merlin, um, what about how do you balance that with m&a opportunities? Um, you know, we
Talked about safety jurisdictions or selling some assets. How do you look about? How do you think about that in terms of replacing those ounces and change and looking at your overall geopolitical risk profile
Thanks Tanya.
look, I
I'll probably start with your.
what you implied in that when you start the question, we, when we look at the
This opportunity like cater but also kuya.
Um and its potential, the potential of Suey in the, in the, in the long term. It's it's it's just a very uh
Very impactful and very low cost so it's actually very difficult to compete because the rate of returns of all of those 3 and others of Whois, we expect from others, it's just extremely high.
And so that's uh, if you look at our branches, expiration budget, it's increasing.
by about,
40% of something like that. And that's what we're doing. Exploring more in the index, foreign more inquiry about exploring more and sukari. So just to delineating what we have multi- decade deposits. And so, that's, as I said, that's where, uh, I would say the focus of the bulk of the management team in 99.99% of the people this, yes, there is a group in BD, that looks
will affect an opportunities and
is there, for example, competitive amount, 74, probably we will lose and that's fine. Again, we we, we will only do something with the tax funding and, and, and that's about it. So yeah, in summary.
Main focus is 1, the more opportunities we have. We have a big team that is very good.
And that its track record to date in terms of core CVS, Augusta, and obviously sent them in and then it's very disciplined in selling things in selling what we sold in, um, in in, in, in, in, in Africa. Now starting to have a ground. This selling CVS, say your numbers is very good, so they'll continue to try to do that, and yeah.
That's how we look at those things. Thank you.
Okay. And so should I be thinking that maybe the completion of of zero zero vanguardia? Uh, mine asset would be sold in 2025 as well. Or is that the 26th story?
For an asset sale, I think it will be closed in the fourth quarter or first quarter of next year.
Okay. And I, I
Okay, cool. Cool. And is that pretty much in your portfolio? You're done with the asset sales. I think you still have a royalty portfolio.
Is that correct?
Sorry.
What was the question?
Thank you. I was just commenting that I I after we've done Sierra vanguardia that asset sale, are you done with asset sales? I think you still have a royalty portfolio, that could be sold. But besides that, is that it on the asset sales,
Uh, I think it's more of a we could look at it and then cvsa again. Let me probably reassess with we we we're in the process. We have good offers, but as always, we never know if it's going to be considered or not, but we know that we'll be completely done as soon as MSG but the other portfolio, the Loyalty portfolio. Uh, I don't think it's very uh, significant for us right now. But I think Terry mentioned something. I don't know. Terry, I think you're on the call.
yeah, this is something we'll probably look at in 2026 um because it's still the 2 ongoing sales processes Alberto mentioned which might come with contingent payments that will add to the existing row royalty portfolio but it's it's relatively modest but something before we look at next year
Okay, thank you so much for taking my questions.
Thank you.
Thank you at this stage. I will hand over for questions from the webcast.
All right, Alberto, Jillian, I'll go with no particular order here but um, Shashi shekhar from City Bank says, what is the title expenditure capital expenditure? You're planning to um, increase the reserve by 60%. So that's obviously the Gateway question. Um, and then to increase production, to 600,000 Oz. Um, on security just, um, is the processing plant operating at 100% currently and when do you expect the mind but not processed at all, um, that we produced into 3 to be fully processed.
okay, so the gate that we're
We're we're increasing our the budget from 35 million dollars to 50 million dollars. And that's why we've gone from here. And that should take us to the 10 year, uh, to 4 million in 2026 and to 5 million ounce, or so of of reserving in 2027 and 28.
Uh, and then the 600,000 Oz. That's the plant. And the plant is 100 million dollars. Today, I can do, we'll see what it is, but we we know that it will be approaching that we will do because it's such a vibrate that returns look is. Is it really the mind is operating normally the plant is, is operating but it will go and, and at full speed again, probably the third quarter of next year. But because we're processing, such high grade because the mind has not
Uh, we expect, for example, that for the years, it really will still be up 8% versus 2024, so it will still be a very good year to see.
368 million a quarter.
Implying 5 90 million in Q4 to reach them at 1 of guidance. Can we expect to see a big capex number in Q4? Or some of this? Be rolled over to 26?
Julia, thank you for the question. Um, I think we would anticipate relatively stable Capital spend in um stripping or development Etc. We do in to 4 some orders for 3 management strategy. Um and so you will definitely see an increase um but we're going to manage that where we did have this range from 40 years.
Good. Um, there is another question here from Herbert Kariba at Absa. He says, um, what is the outstanding dividend payment plan from cvsa? And is it likely that she received the an amount this quarter?
So we, um, just to just to get clear. Um, we have finalized our 2024 financial statements for cvsa which allows us to pay off dividends through uh to what parent company. Um, we have done that quite significantly actually in 2025 and so there's no restrictions on how much we can, um, kind of slow, back through to the parent company. Um, we of course, will want to maintain working capital levels in Argentina, but we've made really good progress on. Um,
You know, cash lock-ups and not reach. Uh, yeah, yeah. The cash lock-ups. I think if you look at it, we've gone from 176 to 100, roughly. So, we've dramatically reduced the cash lock-ups, probably where we've made the most gains. So, just obviously, that's not surprising, given sort of...
that there's some paddles aspect in it in charge for the first time in a long time in Argentina, so things have rather...
Thanks Alberta. Um, we have 1 from Larry Clarkson and random intelligence. And he just wants to understand if we can pay back any of our bonds over the quarter.
The answer for that is no no not. Um
And then just to sort of close up. Um, there are a couple of questions. Martin creamed mining weekly Martin, you've asked some questions and, um, clean energy use installed and whatnot. If you would just allow me to come back to you after the call on those questions and Jack Forbes. Um, Jack you can get a hold of me um just to follow up on your question, on failey at Agra gold and we can um, we can have a discussion, um, just around the difficulty and having um,
uh,
I hadn't thought about that. But anyway, uh, I...
look, it's
It's all about discipline execution. It's um,
it's, it's really
And when we talk about discipline, exclusion is 40,000 people who really do the work on delivery day. It's just pretty amazing to see. And it's been a journey over the last four years. But seeing how everybody's singing to that same tune.
And just being able to remind me and predict that we deliver what we say we're going to do. That's that's that's your ambition in mind and the highest Ambitions we do that and we are we have been able to do it and just again it's just that 40,000 people who understand it and all with the getting up every day and delivering that. So this is just for me, it's just the thanks to all of them. And thanks to our shareholders and investors, and we will keep trying to be predictable reliable, and at the top in of the mining, gold mining industry. Thank you, perfect. Thank you.
Thank you all ladies and gentlemen, that concludes today's event. Thank you for joining us any minute. I'll just connect your lines.