“The importance of having a diversified, high-quality portfolio of low-cost assets was especially apparent in 2021. Strong performances from Peñasquito, Antamina and Constancia more than offset challenges at some of our other mines and resulted in Wheaton’s production meeting our guidance range yet again,” said Randy Smallwood, Wheaton’s President and Chief Executive Officer. “, Wheaton further diversified its asset base in 2021 by adding five additional streams on development assets, which will contribute to our steady organic growth over the next five years. Given the strong tenure of our reserve and resource base, we are also pleased to present ten-year production guidance showing continued strength in our portfolio.”
Wheaton Precious Metals™ Corp. (“Wheaton” or the “Company”) will provide full production and financial details with the release of its 2021 fourth quarter and full year results on Thursday, March 10, 2022.
2021 Attributable Production and Sales
Metal 2021 Forecast Production 2021 Actual Production1 2021 Actual Sales
Gold Ounces 330,000 to 345,000 342,546 312,465
Silver Ounces (‘000s) 25,500 to 26,500 25,801 22,860
Other Metals (GEOs2]) 45,000 to 55,000 49,324 33,457
Palladium Ounces 20,908 19,344
Cobalt pounds (‘000s) 2,293 886
Gold Equivalent Ounces2 based on:
$1,800 / oz gold, $25 / oz silver, $2,300 / oz palladium and $17.75 / lb cobalt
735,000 to 765,000 750,220 663,415
In 2021, gold equivalent production exceeded the midpoint of guidance primarily as a result of stronger than expected production from Peñasquito, Antamina, Constancia and Voisey’s Bay, partially offset by weaker production from Salobo and Sudbury. Attributable production exceeded Wheaton’s forecast at: 1) Peñasquito due to higher recoveries as the result of the implementation by Newmont Corporation of the Full Potential program; 2) Antamina due to higher grades; 3) Constancia due to higher grades as the result of the successful commencement of mining at the Pampacancha deposit; and 4) Voisey’s Bay due to higher production as a result of Wheaton being entitled to any cobalt processed at the Long Harbour Processing Plant as of January 1, 2021, resulting in reported production in the first quarter of 2021 including some material produced at the Voisey's Bay Mine in the previous year. Attributable production was below Wheaton’s forecast at: 1) Salobo due to lower throughput and grades as the result of changes in maintenance routines which restricted mine movement in the first half of 2021 coupled with the effect on production of the conveyor belt fire during October 2021; and 2) Sudbury due to lower throughput and grades as the result of operations at the mine being suspended following a labour dispute from June 1, 2021 to August 9, 2021, and the suspension of mining at the Totten mine resulting from a shaft incident.
2022 and Long-Term Production Outlook
Metal 2022 Forecast1 5-year Annual Average (2022-2026)3 10-year Annual Average
(2022-2031)3
Gold Ounces 350,000 to 380,000
Silver Ounces (‘000s) 23,000 to 25,000
Other Metals (Palladium & Cobalt) (GEOs4) 44,000 to 48,000
Gold Equivalent Ounces4 based on: $1,800 / oz gold, $24 / oz silver, $2,100 / oz palladium, $1,000 / oz platinum and $33.00 / lb cobalt
700,000 to 760,000 850,000 900,000
In 2022, gold equivalent production is forecast to remain comparatively unchanged relative to 2021 as expected stronger attributable production from Constancia, Salobo, Sudbury and Keno Hill is forecast to be offset by weaker production from Antamina, Voisey’s Bay and 777. Attributable production is forecast to increase at: 1) Constancia due to higher grades associated with the mining of the Pampacancha deposit; 2) Salobo due to uninterrupted operations in 2022 as well as the initial start-up of the Salobo III mine expansion in the latter half of 2022; 3) Sudbury due to uninterrupted operations in 2022 as well as the restart of mining operations at the Totten mine; and 4) Keno Hill due to the continued ramp-up of operations. Attributable production is forecast to decrease at: 1) Antamina due to lower mine grades as per the mine plan; 2) Voisey’s Bay due to the inclusion in 2021 of cobalt production that the Company was entitled to that was produced within prior periods; and 3) 777 due to the mine reaching its end of life in 2022.
Average forecast production over the next five years is expected to increase primarily due to anticipated continued production growth from Salobo, Stillwater, Constancia, Voisey’s Bay and Marmato as well as incremental production ounces from Blackwater, Toroparu, Fenix, Marathon, Rosemont and Santo Domingo towards the latter end of the forecast period. Average forecast production over the next ten years includes additional incremental production from the Kutcho project and the Victor mine in Sudbury. Vale S.A. has indicated the potential for an additional expansion after the completion of the current Salobo III expansion, but Wheaton does not currently include this in its forecast. Lastly, although Barrick Gold Corp. continues to advance a comprehensive review of the Pascua Lama project, Wheaton does not include any production from the project in its estimated average ten-year production guidance.
Fourth Quarter and Full Year 2021 Results
Wheaton will release its 2021 fourth quarter and full year results on Thursday, March 10, 2022, after market close.
A conference call will be held on Friday, March 11, 2022 starting at 11:00 am (Eastern Time) to discuss these results. To participate in the live call please use one of the following methods:
Dial toll free from Canada or the US: 1-888 664-6383
Dial from outside Canada or the US: 1-416 764-8677 |
