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- **Q2 Production Beats Expectations**: 63,000 oz gold, 12.4M lbs copper driven by high commodity prices.
- **Goldfield Project Launched**: $252M capex, 30% IRR, $245M NPV; hedging locks in 50% of 2029-30 production at $3,200/oz floor.
- **Mount Milligan PFS Progress**: Evaluates 10% throughput increase and tailings expansion for mine life extension.
- **Strong Liquidity**: $920M liquidity fully funds growth pipeline; $75M buyback authorization continues.
- **Sustainability Milestones**: 19% indigenous workforce, 26% YoY local procurement growth, gender diversity targets exceeded.

**【CEO Opening Remarks】**
- Q2 2025 production: 63,000 oz gold, 12.4M lbs copper. Mount Milligan and Oksut drove strong earnings amid high commodity prices.
- New COO David Hendriks and GM Eric Dell implemented infill drilling, improving operational focus and confidence in Mount Milligan's future performance.
- Progress on key projects:
  - Mount Milligan PFS (due Q3 2025) evaluates 10% throughput increase via ball mill upgrades and tailings expansion.
  - Kemess PEA (due Q4 2025) leverages existing infrastructure for lower execution risk.
  - Goldfield Project: $252M capex, 7-year mine life, 100,000 oz/yr peak, 30% IRR, $245M NPV at $2,500/oz gold.
- Sustainability highlights: 19% indigenous workforce at BC sites, 26% YoY increase in local procurement ($134M), gender diversity targets exceeded.

**【COO Operational Update】**
- Mount Milligan:
  - Q2 production: 35,000 oz gold, 12.4M lbs copper.
  - Revised 2025 guidance: 145-165K oz gold, 50-60M lbs copper (weighted to H2).
  - AISC guidance updated to $1,350-1,450/oz (prev $1,250-1,350) due to lower grades and higher sustaining capex.
  - Infill drilling program underway to improve grade control and mine plan visibility.
- Oksut:
  - Q2 production: 28,250 oz gold (above plan due to higher grades).
  - 2025 AISC guidance raised to $1,675-1,775/oz (prev $1,550-1,650) due to higher royalties ($2,793/oz realized price).
  - Production weighted to H2 as higher-grade zones accessed.
- Thompson Creek restart: 20% capex spent ($82M/total $397M), on track for 2027 first production.

**【CFO Financial Highlights】**
- Q2 adjusted net earnings: $53M ($0.26/share) vs $42M (Q1).
- Cash flow from operations: $98M (22% QoQ increase). Free cash flow deficit: $25M (Mount Milligan: +$43M, Oksut: -$28M).
- Liquidity: $920M (cash: $522M, undrawn credit: $400M). Fully funds organic growth pipeline.
- Share buybacks: $27M in Q2 (80% increase vs Q1). Total 2025 buyback authorization: $75M.
- Dividends: $0.07/share declared.

**【Q&A Highlights】**
- **Mount Milligan Grade Variability**: Infill drilling improving confidence, but lower grades expected through 2025. PFS will detail mine life extension options.
- **Goldfield Project Rationale**: 30% IRR, $245M NPV at $2,500/oz; hedging strategy locks in 50% of 2029-30 production at $3,200/oz floor. 80% of LOM production remains unhedged.
- **Capital Allocation**: All projects (Goldfield, Mount Milligan, Kemess, Thompson Creek) self-funded from existing liquidity. Buybacks continue alongside growth capex.
- **M&A Strategy**: No intention for large-scale M&A. Focus on organic growth and bolt-on opportunities with strategic fit.
- **Oksut Royalty Impact**: Turkish government updated royalty scale to 22.5% at current gold prices (vs 18.75% previously). 40% reduction applies due to in-country processing.


Centerra Gold Inc. (CGAU) Q2 2025 Earnings Call Transcript

- **Production Strength**: 60K oz gold, 12M lbs copper in Q1; 2025 guidance intact with H2 grade recovery.
- **Cash Flow & Buybacks**: $608M cash; $75M share buyback program active ($15M executed Q1).
- **Kemess Potential**: 2.7M oz indicated gold resource; PEA due Q4 with brownfield advantage.
- **Molybdenum Resilience**: 4.2M lbs sold Q1; exploring U.S. feed to mitigate tariffs.
- **Sustainability Focus**: Mount Milligan permit filed; 2024 ESG report highlights responsible mining.

**【CEO Overview】**
- Q1 2025 production: 60,000 oz gold, 12M lbs copper. 2025 guidance unchanged, with H2 strength from higher grades.
- Free cash flow: $10M (Mount Milligan: $27M, Öksüt: $42M). Cash position: $608M, supporting $75M share buyback program.
- Kemess resource update: 2.7M oz indicated gold, 971M lbs indicated copper. 2025 exploration budget doubled to $10-12M. PEA expected Q4 2025.
- Strategic investment in Thesis Gold for regional infrastructure synergies.
- Sustainability: Mount Milligan permit application filed; 2024 ESG report in progress.

**【CFO Financial Highlights】**
- Adjusted net earnings: $26M ($0.13/share). Gold sales: 61,000 oz at $2,554/oz; copper: 12.1M lbs at $3.80/lb.
- All-in sustaining costs: $1,491/oz. Free cash flow: $10M (net of $26M Thompson Creek capex).
- Share buybacks: 2.5M shares ($15M) in Q1, up 25% vs prior quarter. Dividend: CAD$0.07/share.
- Liquidity: $1B total, supporting projects without debt/equity dilution.

**【Key Q&A Takeaways】**
- **Kemess Capital Allocation**: CEO confirms internal funding via existing liquidity; PEA will assess exact capex. Kemess infrastructure (mill, camp, power) reduces greenfield risk.
- **Tariff Impact**: Molybdenum business 60% reliant on South American concentrate subject to tariffs. Seeking U.S. feed alternatives; 2025 demand strong at Langeloth (4.2M lbs sold Q1).
- **Operational Visibility**: Mount Milligan mid-term RC drilling to complete Q2; Öksüt on track for H2 grade improvement.
- **M&A Strategy**: Kemess and Mount Milligan extensions deprioritize external acquisitions due to project pipeline strength.


Centerra Gold Inc. (CGAU) Q1 2025 Earnings Call Transcript

- **Strong Cash Flow**: Q4 free cash flow of $47 million, with total liquidity over $1 billion, enabling strategic investments.
- **Mount Milligan Expansion**: Pre-feasibility study expected in Q3 2025, targeting 10% throughput increase and mine life extension beyond 2036.
- **Cost Efficiency**: Mount Milligan's AISC of $1,114/oz in Q4, 15% lower than Q3, driven by reduced sustaining capital.
- **Kemess Potential**: Evaluating open-pit options with existing infrastructure, aiming for a long-life operation.
- **Shareholder Returns**: $88 million returned in 2024, with plans to continue buybacks and dividends.


**【CEO Summary Section】**
- Fourth-quarter production of 73,000 ounces of gold and 12.8 million pounds of copper, with full-year production near the low end of the guidance range. Mount Milligan contributed strong free cash flow, increasing the cash balance to $625 million.
- 2025 focus on expanding Mount Milligan and evaluating Kemess, with a pre-feasibility study expected in Q3 2025. Mount Milligan's mine life extended to 2036 due to tailings capacity optimization.
- Sustainability initiatives include environmental compliance and climate action analysis, identifying emission reduction opportunities.

**【CFO Financial Commentary】**
- Q4 adjusted net earnings of $37 million ($0.17 per share), with Q4 free cash flow of $47 million and capital expenditures of $23 million for Thompson Creek restart.
- 2025 guidance: 270,000-310,000 oz gold, 50-60 million lbs copper, and AISC of $1,400-$1,500/oz. Full-year 2024 returned $88 million to shareholders via buybacks and dividends.
- Mount Milligan's AISC on a byproduct basis for Q4 was $1,114/oz, 15% lower than Q3, driven by reduced sustaining capital.

**【Q&A Key Points】**
- **Growth Strategy**: Prioritizing organic growth through Mount Milligan expansion and Kemess evaluation, with no immediate M&A plans. Mount Milligan's pre-feasibility study includes 10% throughput increase and tailings capacity options.
- **Resource Updates**: Mount Milligan's resource update reflects model adjustments, extending mine life to 2036. Thompson Creek restart on track for 2027 first production.
- **Cost Management**: Mount Milligan's site-wide optimization program reduced milling costs by 11% in 2024. Öksüt's 2025 AISC expected to rise due to lower production and Turkish inflation.
- **Goldfield Outlook**: Shelved for now, with no immediate development plans, but strategic evaluations ongoing.


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