Yamana Gold Provides 2019-2021 Outlook
Press Release
TORONTO, Feb. 14, 2019 — YAMANA GOLD INC. (TSX:YRI; NYSE:AUY) (“Yamana” or the “Company”) herein provides 2019, 2020 and 2021 production, and 2019 cost guidance.
2019-2021 PRODUCTION AND COST OUTLOOK
The following table presents the Company’s total gold equivalent ounce (“GEO”) production expectations for Yamana Mines in 2019, 2020 and 2021.
| 2018 Actual |
2019 Guidance |
2020 Guidance |
2021 Guidance |
|
| Total Gold Equivalent Production (oz.)(1,2) | 1,041,300 | 1,060,000 | 1,100,000 | 1,100,000 |
- GEO includes gold plus silver with silver converted to a gold equivalent at a ratio of 79.6:1 for 2018 and a forecast ratio of 82.5:1 for 2019, 2020 and 2021.
- Excluding copper and any attribution from Yamana’s interest in Leagold Mining Corporation and Gualcamayo (sold in 2018).
The Company’s GEO production guidance includes contribution from gold and silver with silver converted to gold-equivalent production at a ratio of 82.5:1 across the guidance period. In addition, for each of 2019, 2020, and 2021 the Company is guiding for 120 million pounds of copper production.
| 2018 Guidance(1) |
2018 Actual(1) |
2019 Guidance |
2020 Guidance |
2021 Guidance |
|
| Total Gold Production (oz.) | |||||
| Current | – | 940,619 | 940,000 | 955,000 | 955,000 |
| Previous(2) | 920,000 | – | 940,000 | 970,000 | – |
| Total Silver Production (oz.) | |||||
| Current | – | 8,023,046 | 10,000,000 | 12,000,000 | 12,000,000 |
| Previous(2) | 7,550,000 | – | 10,400,000 | 12,950,000 | – |
| Total Copper Production (M lbs.) | |||||
| Current | – | 129 | 120 | 120 | 120 |
| Previous(2) | 125 | – | 120 | 120 | – |
- Excluding any attribution from Yamana’s interest in Leagold Mining Corporation and Gualcamayo (sold in 2018).
- Details related to previous guidance forecasts for 2018 are presented in the Company press release issued on October 25, 2018, while previous guidance forecasts for 2019 and 2020 are presented in the Company press release issued on February 15, 2018.
With the development and ramp-up in 2018 of the high-grade Cerro Moro mine, the Company’s newest mine, in the near and medium-term the Company remains focused on optimizing the existing portfolio of six operating mines while also advancing studies for various expansion projects and longer term development assets.
Gold and silver production are expected to increase in the guidance period, increasing to 955,000 ounces and 12 million ounces, respectively, by 2020. Gold production is expected to benefit from continued strong performance across the portfolio, led by production increases at Canadian Malartic, while silver production is expected to benefit from grade and production increases at Cerro Moro, in line with current mine plans. Copper production, all of which is from Chapada, is expected to remain constant throughout the guidance period.
Yamana expects to continue its established trend of delivering stronger production in the second half of the year compared to the first half of the year.
The following table presents per unit cost guidance for 2019. Total cost of sales is presented per unit of GEO sold, while cash costs and all-in sustaining costs (“AISC”) are presented per unit of GEO sold with copper applied as a by-product credit.
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