OceanaGold (OTCPK:OCAN.D) Conference Transcript

OceanaGold Conference Call Summary Company Overview - Company: OceanaGold (OTCPK:OCAN.D) - Industry: Gold Mining - Operating Mines: 4 mines located in the USA, New Zealand, and the Philippines [3][4] Key Financial Highlights - 2025 Performance: - Generated $543 million in free cash flow [5] - Ended the year with $477 million in net cash and no debt [6] - Average gold price for 2025 was $3,500 per ounce [4] - Achieved record profitability metrics and free cash flow [5] - 2026 Projections: - Expected production growth of 12% year-on-year [6] - All-in sustaining costs projected to be 7% lower year-on-year [6] - Anticipated gold prices are 50% higher than the previous year [6] Major Projects and Developments - Waihi North Project: - Received all necessary permits for development on December 18, 2025 [5][10] - Contains 1.2 million ounces at 9 grams per tonne [11] - Plans to double the number of drill rigs to enhance exploration [9][11] - Haile Gold Mine: - Expected to produce 245,000 ounces in 2026, representing 45% of total production [7] - Projected to have 35% higher production and 25% lower all-in sustaining costs compared to 2025 [7] - Macraes Mine: - Technical report to extend mine life by 5 years [28] - Increased reserve price from $1,750 to $2,200 [28] Shareholder Returns - Capital Returns: - Doubled dividend at the start of 2025 and executed $175 million in buybacks [6][18] - Plans to triple the dividend and initiate a $350 million buyback program in 2026 [17][18] - Return Metrics: - Achieved a 15% return on free cash flow available to equity holders [14] - 18% return on capital employed at a gold price of $3,500 [14] Strategic Initiatives - New York Stock Exchange Listing: - Scheduled for April 7, 2026 to enhance liquidity and attract U.S. investors [10][33] - Exploration and Resource Growth: - Increased exploration expenditure by 50% from the previous year [16] - Focus on resource addition and reserve conversion across all sites [16][27] Operational Insights - Didipio Mine: - Produces gold at a cost of just over $1,000 per ounce [39] - High dividend payer, distributing over 90% of free cash flow [39][40] - Waihi Production: - Increased from 50,000 ounces to 75,000 ounces in recent years, with guidance for 65,000-70,000 ounces in 2026 [35] Conclusion - OceanaGold is positioned for significant growth in 2026 with strong financial health, strategic projects, and a focus on shareholder returns. The company is set to enhance its market presence through a U.S. listing and continued exploration efforts across its assets [19][33].