Pretivm Reports 2018 Results and 2019 Outlook

Press Release

Brucejack Generates Cash from Operations of $197 Million in 2018

VANCOUVER, British Columbia, Feb. 14, 2019 — Pretium Resources Inc. (TSX/NYSE:PVG) (“Pretivm” or the “Company”) reports financial and operating results for the fourth quarter and year-end 2018 and outlook for 2019.

All amounts are in US dollars unless otherwise noted. This release should be read in conjunction with the Company’s Financial Statements and Management’s Discussion and Analysis (“MD&A”) available on the Company’s website and on SEDAR and EDGAR.

“In our first full year of production we generated almost $200 million in cash from operations, producing 376,012 ounces of gold with an average realized cash margin of $608 per ounce of gold sold,” said Joseph Ovsenek, President & CEO of Pretivm. “Our All-In Sustaining Cost for the second half of 2018 was $745, which was well within our financial guidance of $710 to $770 per ounce of gold sold. With fourth quarter adjusted earnings of over $20 million, this is our sixth consecutive quarter with positive adjusted earnings – every quarter since the start of commercial production.”

Full-Year 2018 Financial Summary

• Revenue of $454.6 million on 367,428 ounces of gold sold.
• Total cost of sales $303.9 million or $827 per ounce of gold sold¹.
• All-in Sustaining Cost (“AISC”)¹ of $764 per ounce of gold sold.
• Generated $197.2 million cash from operating activities.
• Achieved an average realized cash margin¹ of $608 per ounce of gold sold.
• Earnings from mine operations¹ of $150.6 million.
• Net earnings of $36.6 million ($0.20 per share).
• Adjusted earnings¹ of $99.3 million ($0.54 per share¹).
• Cash and cash equivalents balance of $45.4 million as at December 31, 2018.

Full-Year 2018 Milestones

• Production of 376,012 ounces of gold at a mill feed grade of 11.9 grams per tonne gold.
• Repurchased 100% of the 8% gold and silver stream that was sold as part of the construction financing package for $237 million.
• Closed a $480.0 million debt facility to refinance the existing construction credit facility.
• Reduced total debt by approximately $180 million with the repurchase of the stream and refinancing of the construction credit facility and substantially reduced our average financing cost.
• Received amended permits to increase production 40% to an annual rate of 1.387 million tonnes (daily average of 3,800 tonnes).
• Reconciliation to the Valley of the Kings global resource model for 2018 was improved to approximately 90% from 75-80% in 2017.

Fourth Quarter 2018 Summary

• Production of 96,342 ounces of gold at a mill feed grade of 11.5 grams per tonne gold.
• Revenue of $108.6 million on 89,011 ounces of gold sold.
• Total cost of sales $72.5 million or $814 per ounce of gold sold¹.
• AISC of $784 per ounce of gold sold¹.
• Earnings from mine operations¹ of $36.1 million.
• Net earnings of $2.8 million ($0.01 per share).
• Adjusted earnings¹ of $20.2 million ($0.11 per share¹).
• Generated $42.9 million cash from operating activities.
• Achieved an average realized cash margin¹ of $594 per ounce of gold sold.

Read More: https://www.pretivm.com/news/news-details/2019/Pretivm-Reports-2018-Results-and-2019-Outlook/default.aspx

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