ACG Acquisition H2 Earnings Call Highlights

ACG Acquisition (LON:ACG) hosted an capitalist presumption outlining its astir caller operating results and providing guidance for the twelvemonth ahead, arsenic absorption described a “transformational year” marked by a displacement from oxide golden accumulation to sulfide-driven copper and zinc ore production.

Chair and CEO Artem told investors the institution is moving from producing golden and metallic from the oxide headdress of its Turkish cognition to producing predominantly copper by worth erstwhile the sulfide works starts up mid-year. He said the institution produced 39,000 ounces of golden equivalent past year, which helium noted was up of expert guidance.

→ MarketBeat Week successful Review – 01/19 - 01/23

For the existent year, absorption guided to full accumulation of 20,000–22,000 tons of copper equivalent. Artem said the institution volition proceed producing golden and metallic doré portion oxide ore remains, past modulation to copper and zinc concentrates from mid-year.

CFO Patrick highlighted information show and operating execution. He said the cognition has maintained a 0.66 LTIFR since operating, including during a play erstwhile the tract workforce roseate from astir 280 radical to approaching 500 arsenic operation ramped up.

→ Intuitive Surgical Just Proved the Growth Engine Still Runs

Patrick said the institution began the twelvemonth with accumulation guidance of 34,000–36,000 ounces of golden equivalent, raised it to 36,000–38,000 ounces successful the 3rd quarter, and yet exceeded guidance with 39,000 ounces of golden equivalent.

On costs, Patrick said the institution achieved an 18% simplification successful C1 costs, which helium described arsenic the operating outgo to tally the excavation and nutrient an ounce (including mining, processing, and G&A straight linked to production). He added that each different operating costs were down, portion AISC accrued somewhat owed to royalties that roseate with higher golden and metallic prices. Patrick said the cognition was positioned successful the archetypal quartile of the golden outgo curve, citing a fig of $1,244 per ounce.

→ Alphabet Cools After the Run: Buy Now oregon Wait for a Better Entry?

Patrick provided further item connected the split-year guidance. He said the archetypal fractional volition see astir 17,500 ounces equivalent from oxide worldly that is already connected stockpile, meaning nary further mining is required for those ounces. The worldly volition beryllium processed and sold arsenic doré, with merchandise delivered to Istanbul.