2022 Full Year Highlights
- Minto completed 2022 with consolidated production totaling 28.9 million pounds of copper, a 12.6% increase over 2021.
- Copper sales increased in the first, second and third quarters of 2022, compared to the same periods in 2021.
- The Company navigated through a significant water event during spring freshet, which was caused by a snow pack that was 417% above normal, with no environmental impact. More than 1,400,000m3 of water was discharged from site, which was more than double the volume discharged over the last 7 years combined:
Water Treatment Plant enhancements were made, creating the ability to discharge water through the winter months for the first time in Minto's history; and- Operations at the mill were suspended for a total of 8 weeks due to this water event, and tonnes milled were lower than expected as a result.
- New tele-remote scooptram (controlled from surface) began operating underground in between shift changes moving ore/waste.
- Equipment condition monitoring was operational and communicates in real-time using new fiber network installed underground, key operating data/information from onboard the equipment.
- 2 new ore lenses were identified, with plans to build on these in 2023.
Production Results YE 2022 | YE 2022 | YE 2021 | % Change | ||
Ore Tonnes Produced | 904,066 | 866,805 | 4.30 % | ||
Ore Tonnes Milled | 878,380 | 903,498 | -2.80 % | ||
Head Grade % | 1.58 % | 1.40 % | 12.90 % | ||
Payable Copper (million pounds) | 28.86 | 25.64 | 12.60 % | ||
Gold (ounces) (1) | 12,168 | 11,783 | 3.30 % | ||
Silver (ounces) (1) | 135,878 | 135,354 | 0.40 % |
- Under the Wheaton Precious Metals agreement, the Company receives 65% of the adjusted Gold price up to a maximum of
US$1,250 for 2 years and then 50% up to a maximum ofUS$1,000 thereafter (12 Months remaining on initial term). Silver receipts are at the lesser of the prevailing market price and US$4.35 /oz with 1% annual escalator.
"I am pleased to report we completed 2022 achieving both our safety and production targets. Minto delivered within our market guidance by producing 28.9 million pounds of copper, a 13% increase over the previous year. 2022 presented challenges to all copper producers as our metal had a bit of a wild ride. Copper went from a high of
"In addition, and specific to our area of the
"In 2023 we will be investing in our
Changes to Board of Directors
The Company also announces that
Replacing
Minto wishes to thank Greg and Edie for their service and commitment to
2023 Outlook Guidance
Minto is pleased to announce guidance for 2023. The Company anticipates that 2023 will be a transformational year at our operations, as we continue to ramp up our ore production. We are committed to a cost control strategy while improving our mine and milling operations. Capital investment is required for the development of our assets and we are working closely with our partners at the Selkirk First Nation and the Yukon Government to facilitate the permits needed for this. Our goal is to deliver a high-quality copper concentrate while protecting the Selkirk First Nation's land that we operate on.
The following table summarises the production, cost and capital expenditure outlook for 2023. The plan is to operate the mill at an average throughput of 3900 tonnes/day as the ore production continues to climb closer to our mill's ultimate permitted capacity of 4,200 tonnes/day.
Production and Cash Costs | Minto Yukon | |
Copper Production (million pounds) | 31.0 - 34.0 | |
C1 cash cost (USD /lb)1, 2 | ||
Capital Expenditure (CAD millions, rounded) | ||
22.4 | ||
Vehicle Lease | 6.3 | |
Sustaining | 10.2 | |
In-fill drilling | 7.1 | |
Total Capital expenditures | 46.0 | |
Exploration (CAD millions, rounded) | 7.0 - 9.0 | |
1. Foreign Exchange used CDN:USD = 0.76 | ||
2. This is a non-GAAP measure, see "Non GAAP" at the end of this release |
Qualified Person
The technical contents of this news release have been reviewed and approved by
Non-GAAP Financial Measure
C1 Cash Costs
C1 cash costs consist of production and selling costs net of by-product credits and is provided in this news release as it is a key measure that management uses to monitor and evaluate the performance of the Company's mining operation. This measure does not have a standard meaning within GAAP and, therefore amounts presented may not be comparable to similar data presented by other mining companies. This performance measure should not be considered in isolation as a substitute for measures of performance in accordance with GAAP.
Cash Cost Calculation |
Production Costs (Cost of Production) |
Less: Exploration costs |
Less: Corporate Costs |
Less: By-product credits |
Total Cash Costs |
Cash Costs CAD/lbs |
Cash Costs USD/lbs (CAD/USD FX RATE) |
About
Minto operates the producing Minto mine located within the traditional territory of the Selkirk First Nation in the Minto Copper Belt of the
Forward-Looking Information
This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements"), within the meaning of applicable Canadian securities laws and "forward-looking information" within the meaning of applicable
Such forward-looking statements are based on a number of material factors and assumptions, including, but not limited to: that financing will be available as required and permits will be obtained; more favourable commodity prices and exchange rates; interest rates; general economic conditions; no labour disputes or disruptions, no flooding, ground instability, geotechnical failure, fire, failure of the plant; that equipment and processes continue to operate as anticipated and other risks of the mining industry will not be encountered; that contracted parties provide goods or services in a timely manner; that there is no material adverse change in the price of copper, gold or other metals; competitive conditions in the mining industry; title to mineral properties; costs; taxes; the retention of the Company's key personnel; no changes in-laws, and no material worsening of the direct and indirect impact of COVID-19 including rules and regulations applicable to Minto.
Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause actual results, performance, or achievements to differ materially from those anticipated in such forward-looking statements. The Company believes the expectations reflected in such forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and you are cautioned not to place undue reliance on forward-looking statements contained herein. Some of the risks and other factors which could cause actual performance and results to differ materially from those expressed in the forward-looking statements contained in this news release, include, but are not limited to: the ability to obtain financing on acceptable terms and in a timely manner or at all; changes in commodity prices, general economic conditions, mineral reserve and mineral resource estimates may change and may prove to be inaccurate; life of mine estimates are based on a number of factors and assumptions and may prove to be incorrect; unexpected costs and delays related to, or the failure of the Company to obtain, necessary permits could impede the Company's outlook for 2023; Minto has a limited operating history and is subject to risks associated with establishing new mining operations; sustained increases in costs, or decreases in the availability, of commodities consumed or otherwise used by the Company may adversely affect the Company; adverse geotechnical and geological conditions (including geotechnical failures) may result in operating delays and lower throughput or recovery, closures or damage to mine infrastructure; the Company's operations may encounter delays in or losses of production due to equipment delays or the availability of equipment; the Company's operations are subject to continuously evolving legislation, compliance with which may be difficult, uneconomic or require significant expenditures; the Company may be unsuccessful in attracting and retaining key personnel; labour disruptions could adversely affect the Company's operations; risks related to the Company's use of contractors; the hazards and risks normally encountered in the exploration, development and production of copper, gold and silver; the Company's operations are subject to environmental hazards and compliance with applicable environmental laws and regulations; the Company's operations and workforce are exposed to health and safety risks; the Company's title to exploration, development and mining interests can be uncertain and may be contested; the Company's properties may be subject to claims by various community stakeholders; risks related to limited access to infrastructure and water; the Company may not be able to secure additional financing when needed or on acceptable terms; the Company may be subject to litigation; and those risk factors set out in the Company's annual information form dated
Neither the
SOURCE
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