Thursday, 26 February 2015

Goldcorp: Confident In Argentina; Eyeing Free Cash Flow – Chuck Jeannes.



  Argentina is coming back to radar screens now, elections this coming Fall will bring the new catalyst. Now Goldcorp is talking about its investments in the country. Chuck Jeannes tale about The Peak Gold  in 2015 as well now.




Los Azules Copper: "Argentina's Mining Landscape Improving, Cerro Morro A Go – Yamana CEO."




 "More and more good news are coming from Argentina these days. Country will face elections this year and smart money are already positioning themselves in the best undervalued projects. Nothing should be taken as an investment advise on this blog, please always do your own DD and read my full disclosure. 
  TNR Gold is very fortunate to have McEwen Mining as its partner at the world-class Los Azules Copper project. With lower copper prices and perception of the investment risk in Argentina all valuations were driven into the ground. The return to the mean could be potentially dramatic as well. Gold Corp will put its new mine into production in Argentina this month, Yamana is moving forward with Cerro Morro and China is solidly on the track to secure supply of commodities from Latin America. I do not know when, but Los Azules Copper will be back on the radar screens of the investors one day and its fundamentals will speak for themselves.
  Now you can more appreciate the step by step approach in the development of Mariana Lihium by our J/V with top Lithium producer from China - Ganfeng Lithium. Please stay tuned for the update on our next phase development programmes. You can check more information on the links provided below and in our latest presentations on this blog. Please always consult you financial adviser before making any financial decisions, all latest financial information for TNR Gold and International Lithium can be found in the SEDAR filings and websites of the companies. Read more."





Kitco:

Confident In Argentina; Eyeing Free Cash Flow – Chuck Jeannes


(Kitco News) - Goldcorp Inc.’s (TSX:G)(NYSE:GG) belief in operating its assets in Argentina has not wavered after the company absorbed a $2.3 billion non-cash impairment charge on its newest mine in the country.
Reporting its fourth-quarter and full-year earnings last week, the company’s Cerro Negro mine was dinged pretty hard, which set off a few alarm bells in the sector regarding Goldcorp’s willingness to look further into operating in Argentina.
Chuck Jeannes, President & CEO Goldcorp Inc. 
Speaking with Kitco News at the BMO Metals & Mining Conference in Florida, Chuck Jeannes, president and chief executive officer of Goldcorp, said that the company will get through the issues in Argentina.
“Cerro Negro will be a long-term cornerstone mine for us,” Jeannes said. “I think about it the way I do our Alumbrera mine, in Argentina. 
“When it was built there was the financial crisis in 1999 and 2000 with Argentina, there was a lot of angst about what that might mean and over the long term Alumbrera’s been a very successful, profitable asset,” he said. “So, we have to look at these things with the long term in mind and we’ll get through these issues in Argentina.”
Jeannes also touched on the company’s other new mine, the Eleonore mine located in northern Quebec, which he said has the potential to be Canada’s top producing mine, once it hits full production in a few years.
“We’ve got a high-grade, vertical dipping ore body – so it takes a while to ramp up, we won’t be in full production there until 2018, but it’s a beautiful mill, it’s running well,” he said.
These two new mines will add significantly to Goldcorp’s production profile in the future as the company is well positioned to generate free cash flow in 2015.
“In terms of our actual earnings, and cash flow, for the quarter, we made $350 million in cash, and the operations are doing very well,” Jeannes said. “I’m very excited about the future, as we look in 2015, we’ll be having lower cash costs and higher production. 
“Combine that with basically the end of all of our capital spending and building these new mines, and we’ll be generating free cash flow.”  
Click HERE to listen in on Chuck Jeannes' full interview.
By Alex Létourneau of Kitco News aletourneau@kitco.com
Follow Alex Letourneau @alex_letourneau"