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Centerra Gold Reports Third Quarter 2024 Results; Consistent Operating Performance Drives Continued Strong Cash Flow From Operations
CGAUCenterra Gold (CGAU) GlobeNewswire News Room·2024-10-31 21:00

Core Viewpoint - Centerra Gold Inc. reported strong operational performance in Q3 2024, achieving significant production and cash flow growth while maintaining cost guidance for the year [2][4][5]. Operations - Consolidated gold production reached 93,712 ounces in Q3 2024, with contributions of 42,993 ounces from Mount Milligan and 50,719 ounces from Öksüt [4]. - Copper production for the quarter was 13.7 million pounds, with year-to-date totals of 294,880 ounces of gold and 41.6 million pounds of copper [4]. - The company maintained its full-year production guidance of 370,000 to 410,000 ounces of gold and 55 to 65 million pounds of copper [4][10]. Financial Performance - Q3 2024 net earnings were 28.8million,or28.8 million, or 0.14 per share, with adjusted net earnings of 38.6million,or38.6 million, or 0.19 per share [5]. - Cash provided by operating activities was 103.6million,andfreecashflowwas103.6 million, and free cash flow was 37.4 million for the quarter [5]. - Total liquidity as of September 30, 2024, was 1,004.3million,including1,004.3 million, including 604.3 million in cash [5]. Capital Expenditures - Total capital expenditures in Q3 2024 were 60.5million,withsustainingcapitalexpendituresof60.5 million, with sustaining capital expenditures of 35.3 million and non-sustaining expenditures of 25.2million[7][22].−Thecompanyplanstocontinueinvestinginitsoperations,particularlyatMountMilliganandO¨ksu¨t,toenhanceproductioncapabilities[17][22].StrategicDevelopments−CenterraannouncedastrategicplanforitsMolybdenumBusinessUnit,includingtherestartofoperationsatThompsonCreekandaramp−upplanforLangeloth[6][24].−ThecompanyisprogressingonapreliminaryeconomicassessmentforMountMilligan,expectedtobecompletedbymid−2025,whichaimstounlockadditionalvalue[3][19].ShareholderReturns−Thecompanyincreasedsharebuybacksto25.2 million [7][22]. - The company plans to continue investing in its operations, particularly at Mount Milligan and Öksüt, to enhance production capabilities [17][22]. Strategic Developments - Centerra announced a strategic plan for its Molybdenum Business Unit, including the restart of operations at Thompson Creek and a ramp-up plan for Langeloth [6][24]. - The company is progressing on a preliminary economic assessment for Mount Milligan, expected to be completed by mid-2025, which aims to unlock additional value [3][19]. Shareholder Returns - The company increased share buybacks to 12 million in Q3 2024 and declared a quarterly dividend of C0.07percommonshare[5][6].−Centerrahasreturned0.07 per common share [5][6]. - Centerra has returned 65 million to shareholders in the first nine months of 2024, including 32millioninsharebuybacksand32 million in share buybacks and 33 million in dividends [6]. Future Outlook - The company expects to publish an initial resource estimate at Goldfield in early 2025, alongside its year-end reserve and resource update [3]. - Full-year cost guidance remains unchanged, with gold production costs expected to be between 800to800 to 900 per ounce and all-in sustaining costs between 1,075to1,075 to 1,175 per ounce [4][10].