LIMA, Peru–(BUSINESS WIRE)–
The first bullet point in the Second Quarter 2015 Highlights should read: In 2Q15, EBITDA from direct operations was US$ 32.9 million and adjusted EBITDA (including associated companies) was US$ 90.7 million. (instead of …adjusted EBITDA (including associated companies) was US$ 92.4 million.)
The corrected release reads:
BUENAVENTURA ANNOUNCES SECOND QUARTER AND SIX-MONTH PERIOD 2015 RESULTS
Compañia de Minas Buenaventura S.A.A. (“Buenaventura” or “the Company”) (NYSE:BVN; Lima Stock Exchange:BUE.LM), Peru’s largest publicly-traded precious metals mining company, announced today results for the second quarter (2Q15) and six-month (6M15) periods, ended June 30, 2015. All figures have been prepared in accordance with IFRS (International Financial Reporting Standards) on a non GAAP basis and are stated in U.S. dollars (US$ ).
Second Quarter 2015 Highlights:
- In 2Q15, EBITDA from direct operations was US$ 32.9 million and adjusted EBITDA (including associated companies) was US$ 90.7 million.
- Total attributable production (including associates) in 2Q15 was 186k gold ounces and 4.4 million silver ounces (compared to 191k gold ounces and 4.6 million silver ounces in 2Q14).
- At the Tambomayo project, construction permits were granted in June 2015. Production should begin in 3Q16 at 1,500 TPD (120K-150K gold ounces and 2.5-3.0 million silver ounces per year).
- At the San Gabriel (Chucapaca) project, construction of the ramp started in June 2015. The Environmental Impact Assessment (EIA) of the project´s construction is expected to be submitted in 3Q15.
- During 2Q15, El Brocal average plant capacity reached 14K TPD level due to technical problems with the main mill´s engine. Full production capacity level (18K TPD) will be reached in 4Q15.
- Cerro Verde’s plant expansion to 360K TPD is in-line with schedule and budget (close to 90% complete). Completion of the plant is expected by late 2015, and will become the largest concentration facility in the world.
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Financial Highlights (in millions of US$ , except EPS figures): |
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| 2Q15 | 2Q14 | Var% | 6M15 | 6M14 | Var% | ||||||||||||
| Total Revenues | 256.3 | 302.2 | -15% | 508.3 | 583.1 | -13% | |||||||||||
| Operating Profit | -34.0 | 34.8 | N.A. | -40.0 | 48.8 | N.A. | |||||||||||
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EBITDA Direct |
32.9 | 85.4 | -62% | 82.0 | 147.6 | -44% | |||||||||||
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Adjusted EBITDA |
90.7 |
168.4 | -45% | 235.3 | 275.9 | -15% | |||||||||||
| Net Income | -18.7 | 23.1 | N.A. | -1.4 | 7.0 | N.A. | |||||||||||
| EPS* | -0.06 | 0.12 | N.A. | 0.01 | 0.10 | N.A. | |||||||||||
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(*) as of June 30, 2015 Buenaventura had 254,186,867 outstanding shares. |
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Operating Revenues
During 2Q15, net sales were US$ 248.9 million, a 16% decrease compared to the US$ 294.8 million reported in 2Q14. This was mainly explained by the decrease in gold, silver and copper prices as well as lower gold and silver volume sold.
Royalty income was US$ 7.4 million in 2Q15 in-line with the figure reported in 2Q14.
| Operating Highlights | 2Q15 | 2Q14 | Var% | 6M15 | 6M14 | Var% | |||||
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Net Sales
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248.9 | 294.8 | -16% | 491.8 | 567.7 | -13% | |||||
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Average Realized Gold Price |
1,185 | 1,273 | -7% | 1,204 | 1,292 | -7% | |||||
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Average Realized Gold Price |
1,187 | 1,279 | -7% | 1,206 | 1,290 | -7% | |||||
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Average Realized Silver Price |
16.17 | 19.76 | -18% | 15.76 | 19.78 | -20% | |||||
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Average Realized Lead Price |
1,918 | 2,073 | -7% | 1,791 | 2,123 | -16% | |||||
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Average Realized
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2,145 | 2,093 | 3% | 2,103 | 2,144 | -2% | |||||
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Average Realized Copper |
5,150 | 6,575 | -22% | 5,124 | 6,802 | -25% | |||||
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(*) Buenaventura’s Direct Operations |
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| Volume Sold | 2Q15 | 2Q14 | Var% | 6M15 | 6M14 | Var% | ||||||
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Gold Oz Direct |
91,474 | 109,020 | -16% | 192,707 | 216,258 | -11% | ||||||
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Gold Oz inc Associated |
192,274 | 205,117 | -6% | 413,359 | 414,301 | 0% | ||||||
| Silver Oz | 4,785,933 | 4,949,060 | -3% | 9,583,574 | 9,104,294 | 5% | ||||||
| Lead MT | 6,309 | 4,199 | 50% | 15,678 | 8,281 | 89% | ||||||
| Zinc MT | 13,364 | 2,947 | 354% | 26,899 | 5,781 | 365% | ||||||
| Copper MT | 8,831 | 10,186 | -13% | 12,462 | 19,187 | -35% | ||||||
For 6M15, net sales decreased 13%, from US$ 567.7 million in 6M14 to US$ 491.8 million in 6M15. Royalties increased 7%, from US$ 15.4 million in 6M14 to US$ 16.5 million in 6M15.
Production and Operating Costs
In 2Q15, Buenaventura’s gold equity production from direct operations decreased 15%, from 107,807 ounces in 2Q14 to 91,454 ounces in 2Q15 due to the decline in production at Breapampa mine. Gold production including associated companies was 185,705 ounces, 3% lower than the reported in the same period 2014. Silver equity production from direct operations decreased 7%, mainly due to lower production at Uchucchacua mine.
| Equity Production | ||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | |||||||
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Gold Oz Direct Operations1 |
91,454 | 107,807 | -15% | 176,764 | 207,264 | -15% | ||||||
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Gold Oz inc Associated |
185,705 | 191,045 | -3% | 379,291 | 381,081 | 0% | ||||||
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Silver Oz Direct Operations1 |
4,303,569 | 4,647,397 | -7% | 9,783,518 | 8,620,363 | 13% | ||||||
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Silver Oz inc Associated |
4,429,322 | 4,802,767 | -8% | 10,043,053 | 8,913,163 | 13% | ||||||
| Lead TM | 5,652 | 4,413 | 28% | 13,092 | 8,881 | 47% | ||||||
| Zinc TM | 9,660 | 4,145 | 133% | 21,005 | 8,065 | 160% | ||||||
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Copper MT Direct Operations1 |
5,263 | 5,998 | -12% | 7,453 | 11,357 | -34% | ||||||
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Copper inc Associated |
14,450 | 17,097 | -15% | 21,160 | 34,391 | -38% | ||||||
1 Direct Operation production includes 100% of Buenaventura’s operating units, 53.06% of La Zanja, 54.07% of El Brocal and 40.10% of Coimolache (Tantahuatay).
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Orcopampa’s (100% owned by Buenaventura) |
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| Production | |||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | ||||||||
| Gold | Oz | 51,921 | 51,102 | 2% | 101,989 | 96,031 | 6% | ||||||
| Silver | Oz | 133,401 | 86,328 | 55% | 245,611 | 166,111 | 48% | ||||||
| Cost Applicable to Sales | |||||||||||||
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2Q15 |
2Q14 |
Var % |
6M15 |
6M14 |
Var % |
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| Gold | US$ /Oz |
695 |
756 |
-8% |
697 |
795 |
-12% |
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Gold production at Orcopampa increased 2% in 2Q15 (compared to 2Q14) due to higher ore grade (Appendix 2). Cost Applicable to Sales (CAS) in 2Q15 decreased 8% explained by lower diesel costs and improvements in energy consumption.
Gold production guidance for 2015 is 190k – 205k ounces.
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Uchucchacua (100% owned by Buenaventura) |
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| Production | ||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | |||||||||
| Silver | Oz | 2,497,189 | 2,997,602 | -17% | 6,026,362 | 5,366,112 | 12% | |||||||
| Zinc | MT | 1,212 | 1,575 | -23% | 2,798 | 3,045 | -8% | |||||||
| Lead | MT | 1,470 | 1,717 | -14% | 3,529 | 3,405 | 4% | |||||||
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| Cost Applicable to Sales | ||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | |||||||||
| Silver | US$ /Oz | 15.66 | 15.82 | -1% | 15.03 | 16.37 | -8% | |||||||
Silver production in 2Q15 decreased 17% compared to 2Q14, due to the 29-day stoppage in May. Cost Applicable to Sales (CAS) in 2Q15 decreased 1% compared to 2Q14, mainly explained by a decrease in exploration expenses, as a result of less diamond drilling.
Revised silver production guidance for 2015 is 14.0 million – 14.5 million ounces.
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Mallay (100% owned by Buenaventura) |
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| Production | ||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | |||||||||
| Silver | Oz | 297,777 | 302,118 | -1% | 605,031 | 599,298 | 1% | |||||||
| Zinc | MT | 2,141 | 2,570 | -17% | 4,320 | 5,020 | -14% | |||||||
| Lead | MT | 1,776 | 1,904 | -7% | 3,428 | 3,716 | -8% | |||||||
| Cost Applicable to Sales | ||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | |||||||||
| Silver | US$ /Oz | 13.63 | 13.31 | 2% | 13.97 | 13.48 | 4% | |||||||
Silver production in 2Q15 was in-line with the figure reported in 2Q14. Cost Applicable to Sales (CAS) in 2Q15 was 2% higher compared to 2Q14 due higher commercial deductions and an increase in exploration expenses.
Silver production guidance for 2015 is 1.1 million – 1.25 million ounces.
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Julcani (100% owned by Buenaventura) |
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| Production | ||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | |||||||||
| Silver | Oz | 786,628 | 763,529 | 3% | 1,602,980 | 1,526,966 | 5% | |||||||
| Cost Applicable to Sales | ||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | |||||||||
| Silver | US$ /Oz | 12.29 | 13.55 | -9% | 12.62 | 13.04 | -3% | |||||||
Silver production in 2Q15 increased 3% compared to 2Q14 production, due to higher ore treated despite the lower grade (Appendix 2). Cost Applicable to Sales (CAS) in 2Q15 was 9% lower than 2Q14, mainly explained by lower community relations expenses.
Silver production guidance for 2015 is 2.9 million – 3.1 million ounces.
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La Zanja’s (53.06% owned by Buenaventura) |
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| Production | |||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | ||||||||||
| Gold | Oz | 37,254 | 36,685 | 2% | 67,709 | 72,622 | -7% | ||||||||
| Silver | Oz | 67,817 | 138,674 | -51% | 163,125 | 234,060 | -30% | ||||||||
| Cost Applicable to Sales | |||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | ||||||||||
| Gold | US$ /Oz | 678 | 363 | 87% | 747 | 423 | 77% | ||||||||
Gold production in 2Q15 increased 2% compared to 2Q14. CAS in 2Q15 increased 87% mainly due to higher ore hauling costs explained by the longer distance between Pampa Verde pit and the leaching pad.
Gold production guidance for 2015 is 138k – 142k ounces.
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Tantahuatay’s (40.10% owned by Buenaventura) |
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| Production | ||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | |||||||||
| Gold | Oz | 32,139 | 35,171 | -9% | 62,346 | 67,804 | -8% | |||||||
| Silver | Oz | 178,695 | 170,200 | 5% | 338,959 | 292,516 | 16% | |||||||
| Cost Applicable to Sales | ||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | |||||||||
| Gold | US$ /Oz | 497 | 476 | 4% | 575 | 461 | 25% | |||||||
Gold production in 2Q15 decreased 9% compared to the figure reported in 2Q14. CAS in 2Q15 increased 4% due to higher blasting supplies explained by an increase in the stripping ratio.
Gold production guidance for 2015 is 138k – 142k ounces
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El Brocal (54.07% owned by Buenaventura) |
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| Production | ||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | |||||||||
| Copper | MT | 9,580 | 10,977 | -13% | 13,450 | 20,769 | -35% | |||||||
| Zinc | MT | 11,664 | 0 | N.A. | 25,683 | 0 | N.A. | |||||||
| Silver | Oz | 768,385 | 498,440 | 54% | 1,750,639 | 996,104 | 76% | |||||||
| Cost Applicable to Sales | ||||||||||||||
| 2Q15 | 2Q14 | Var % | 6M15 | 6M14 | Var % | |||||||||
| Copper | US$ /MT | 5,297 | 4,463 | 19% | 5,366 | 4,803 | 12% | |||||||
| Zinc | US$ /MT | 1,659 | 0 | N.A. | 1,578 | 0 | N.A. | |||||||
During 2Q15, El Brocal average plant capacity reached 14K TPD. Copper production decreased 13% compared to 2Q14 and silver production increased 54% compared to the figure reported in 2Q14.
In 2Q15, Zinc CAS was US$ 1,659/MT. Copper CAS increased 19% compared to 2Q14, due to higher commercial deduction.
Zinc production guidance for 2015 is 60k – 70k MT. Copper production guidance for 2015 is 30k – 35k MT.
General and Administrative Expenses
General and administrative expenses in 2Q15 were US$ 18.8 million, 15% lower compared to the 2Q14 figure (US$ 22.0 million) due to lower labor expenses, explained by a decrease in worker´s profit sharing. For the six-month period 2015, the expense was US$ 40.3 million (US$ 49.7 million in 6M14).
Exploration in Non-Operating Areas
Exploration in non-operating areas during 2Q15 was US$ 9.7 million compared with the US$ 14.8 million in 2Q14. During the period, Buenaventura’s main exploration efforts were focused on the following projects: Tambomayo (US$ 4.2 million) and La Zanja Underground (US$ 1.6 million). For the six-month period 2015, the expense was US$ 20.4 million (US$ 25.2 million in 6M14).
Share in Associated Companies
During 2Q15, Buenaventura’s share in associated companies was US$ 12.0 million, compared to US$ 20.2 million reported in 2Q14, composed by:
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Share in the Result of Associates |
2Q15 | 2Q14 | Var% |
6M15 |
6M14 | Var% | ||||||
| Cerro Verde | -0.2 | 26.5 | N.A | 7.8 | 42.2 | -82% | ||||||
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Coimolache |
3.9 | 6.1 | -36% | 6.0 | 10.9 | -45% | ||||||
| Yanacocha | 8.3 | -12.9 | N.A | 34.5 | -37.4 | N.A | ||||||
| Other Small Investments | 0.0 | 0.5 | NA | 0.0 | 0.0 | NA | ||||||
| Total | 12.0 | 20.2 | -41% | 48.2 | 15.7 | 207% | ||||||
YANACOCHA
At Yanacocha (43.65% owned by Buenaventura), during 2Q15, gold production was 215,924 ounces of gold, 13% higher than 2Q14 production (190,695 ounces). For the six-month 2015 period, gold production was 463,979 ounces, 17% higher than 398,106 ounces in 6M14. Gold production guidance at Yanacocha for 2015 is 880k – 940k ounces.
In 2Q15, Yanacocha reported net income of US$ 18.9 million compared to -US$ 24.2 million reported in 2Q14. CAS in 2Q15 was US$ 648/oz, 36% lower than the US$ 1,005/oz reported in 2Q14 due to better stripping ratio (waste-ore ratio).
Capital expenditures at Yanacocha were US$ 18.2 million in 2Q15, while for 6M15 was US$ 33.4 million.
Yanacocha still has a strong pipeline of growth projects: Quecher Main (prefeasibility), Chaquicocha Sulphides and Yanacocha Verde (scoping) and Maqui (exploration).
CERRO VERDE
At Cerro Verde (19.58% owned by Buenaventura), during 2Q15 copper production was 46,920 MT (9,187 MT attributable to Buenaventura), a 17% decrease compared to 2Q14 (56,683 MT and 11,098 MT attributable to Buenaventura). For 6M15, copper production was 95,543 MT (18,707 MT attributable to Buenaventura).
During 2Q15, Cerro Verde reported net loss of US$ 0.9 million compared to US$ 138.3 million in 2Q14. This was mainly due to lower sales explained by the decline in copper price (US$ 2.56/lb in 2Q15 vs US$ 3.27/lb in 2Q14). For 6M15, net income was US$ 39.8 million (compared to US$ 236.4 million in 6M14).
Capital expenditures at Cerro Verde were US$ 467.4 million in 2Q15, and US$ 936.3 million in 6M15.
Cerro Verde’s plant expansion was 360K TPD, in-line with schedule and budget (close to 90% complete). As of June 30, 2015, total CAPEX of the expansion project was US$ 3.9 billion (out of US$ 4.6 billion budget). Completion of the plant is expected by late 2015, and will become the largest concentration facility in the world.
COIMOLACHE (Tantahuatay operation)
At Coimolache (40.10% owned by Buenaventura), attributable contribution to the net income in 2Q15 was US$ 3.9 million (US$ 6.1 million in 2Q14). For 6M15, the contribution was US$ 6.0 million, compared to US$ 10.9 million reported in 2014.
Project Development and Exploration
The Tambomayo Project (100% ownership)
Construction permits to treat 1,500 TPD were granted in May, 2015.
Production should begin in 3Q16 (120K-150K gold ounces and 2.5-3.0 million silver ounces per year) with a total CAPEX of US$ 250 million.
The San Gabriel Project (100% ownership)
The construction of the ramp started in June 2015. The Environmental Impact Assessment (EIA) of the project´s construction is expected to be submitted in 3Q15.
Recent events
At the Board of Directors meeting held July 30, 2015, the following resolutions were passed:
1. Acceptance the resignation of Mr. Timothy Snider as a member of the Company’s Board of Directors.
2. The nominating committee proposed and, consequently, the Board of Directors appointed Mr. John Marsden as a new member of the Board of Directors, effective August 1st, 2015. Mr. Marsden is a mineral technology engineer from the Royal School of Mines, Imperial College of London. With 33 years of broad international experience managing major, innovative copper, gold, silver, molybdenum & cobalt operations and projects in North and South America and Africa. Marsden has held various operations and technical management positions during eighteen years with Freeport-McMoRan Copper & Gold Inc. (formerly Phelps Dodge) and nine years with Consolidated Gold Fields plc.
Company Description
Compañía de Minas Buenaventura S.A.A. is Peru’s largest, publicly traded, precious metals company and a major holder of mining rights in Peru. The Company is engaged in the mining, processing, development and exploration of gold and silver and other metals via wholly owned mines as well as through its participation in joint exploration projects.
Buenaventura currently operates several mines in Peru (Orcopampa*, Uchucchacua*, Breapampa*, Mallay*, Julcani*, Recuperada*, El Brocal, La Zanja and Coimolache and is developing the Tambomayo and San Gabriel projects.
The Company owns 43.65% of Minera Yanacocha S.R.L (a partnership with Newmont Mining Corporation), an important precious metal producer; 19.58% of Sociedad Minera Cerro Verde, an important Peruvian copper producer.
For a printed version of the Company’s 2014 Form 20-F, please contact the investor relations contacts on page 1 of this report, or download the PDF format file from the Company’s web site at www.buenaventura.com.
(*) Operations wholly owned by Buenaventura
Note on Forward-Looking Statements
This press release may contain forward-looking information (as defined in the U.S. Private Securities Litigation Reform Act of 1995) that involve risks and uncertainties, including those concerning the Company’s, Yanacocha’s and Cerro Verde’s costs and expenses, results of exploration, the continued improving efficiency of operations, prevailing market prices of gold, silver, copper and other metals mined, the success of joint ventures, estimates of future explorations, development and production, subsidiaries’ plans for capital expenditures, estimates of reserves and Peruvian political, economic, social and legal developments. These forward-looking statements reflect the Company’s view with respect to the Company’s, Yanacocha’s and Cerro Verde’s future financial performance. Actual results could differ materially from those projected in the forward-looking statements as a result of a variety of factors discussed elsewhere in this Press Release.
**Tables to follow**
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APPENDIX 1 |
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Equity Participation in
|
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| BVN | Operating | |||
| Equity % | Mines / Business | |||
| El Molle Verde S.A.C* | 100.00 | Trapiche project | ||
| Minera La Zanja S.A* | 53.06 | La Zanja | ||
| Sociedad Minera El Brocal S.A.A* | 54.07 | Colquijirca and Marcapunta | ||
| Compañía Minera Coimolache S.A ** | 40.10 | Tantahuatay | ||
| Minera Yanacocha S.R.L ** | 43.65 | Yanacocha | ||
| Sociedad Minera Cerro Verde S.A.A ** | 19.58 | Cerro Verde | ||
| Processadora Industrial Rio Seco S.A* | 100.00 | Rio Seco chemical plant | ||
| Consorcio Energético de Huancavelica S.A* | 100.00 | Energy – Huanza Hydroelectrical plant | ||
| Buenaventura Ingenieros S.A* | 100.00 |
Engineering Consultant |
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(*)Consolidates |
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| APPENDIX 2 | ||||||||||||||
| GOLD PRODUCTION | ||||||||||||||
| 2Q15 | 2Q14 | % | 6M15 | 6M14 | % | |||||||||
| Mining Unit | Operating Results | Underground | ||||||||||||
| Orcopampa | Ore Milled DMT | 114,421 | 115,857 | -1% | 222,836 | 219,084 | 2% | |||||||
| Ore Grade OZ/MT | 0.47 | 0.45 | 3% | 0.47 | 0.45 | 4% | ||||||||
| Recovery Rate % | 95.7% | 97.3% | -2% | 96.1% | 96.8% | -1% | ||||||||
| Ounces Produced* | 51,921 | 51,102 | 2% | 101,989 | 96,031 | 6% | ||||||||
| Mining Unit | Operating Results | Open Pit | ||||||||||||
| La Zanja | Ounces Produced | 37,254 | 36,685 | 2% | 67,709 | 72,622 | -7% | |||||||
| Tantahuatay | Ounces Produced | 32,139 | 35,171 | -9% | 62,346 | 67,804 | -8% | |||||||
| * Includes ounces from retreatment of taling dams | ||||||||||||||
| SILVER PRODUCTION | ||||||||||||||
| 2Q15 | 2Q14 | % | 6M15 | 6M14 | % | |||||||||
| Mining Unit | Operating Results | Underground | ||||||||||||
| Uchucchacua | Ore Milled DMT | 209,949 | 244,992 | -14% | 492,522 | 457,700 | 8% | |||||||
| Ore Grade OZ/MT | 14.16 | 15.28 | -7% | 14.58 | 14.94 | -2% | ||||||||
| Recovery Rate % | 84.0% | 80.0% | 5% | 83.9% | 78.4% | 7% | ||||||||
| Ounces Produced | 2,497,189 | 2,997,602 | -17% | 6,026,362 | 5,366,112 | 12% | ||||||||
| Julcani | Ore Milled DMT | 44,306 | 41,137 | 8% | 87,988 | 82,754 | 6% | |||||||
| Ore Grade OZ/MT | 18.67 | 19.50 | -4% | 19.14 | 19.38 | -1% | ||||||||
| Recovery Rate % | 95.1% | 95.2% | 0% | 95.2% | 95.2% | 0% | ||||||||
| Ounces Produced | 786,628 | 763,529 | 3% | 1,602,980 | 1,526,966 | 5% | ||||||||
| Mallay | Ore Milled DMT | 36,615 | 37,080 | -1% | 73,424 | 72,247 | 2% | |||||||
| Ore Grade OZ/MT | 8.70 | 8.72 | 0% | 8.70 | 8.88 | -2% | ||||||||
| Recovery Rate % | 93.9% | 93.5% | 0% | 94.6% | 93.4% | 1% | ||||||||
| Ounces Produced | 297,777 | 302,118 | -1% | 605,031 | 599,298 | 1% | ||||||||
| Mining Unit | Operating Results | Open Pit | ||||||||||||
| Colquijirca | Ounces Produced | 434,042 | 0 | N.A. | 1,263,545 | 0 | N.A. | |||||||
| ZINC PRODUCTION | ||||||||||||||
| 2Q15 | 2Q14 | % | 6M15 | 6M14 | % | |||||||||
| Mining Unit | Operating Results | Underground | ||||||||||||
| Uchucchacua | Ore Milled DMT | 209,949 | 244,992 | -14% | 492,522 | 457,700 | 8% | |||||||
| Ore Grade % | 1.08% | 1.06% | 2% | 1.07% | 1.09% | -2% | ||||||||
| Recovery Rate % | 52.6% | 60.5% | -13% | 53.1% | 61.0% | -13% | ||||||||
| MT Produced | 1,212 | 1,575 | -23% | 2,798 | 3,045 | -8% | ||||||||
| Mallay | Ore Milled DMT | 36,615 | 37,080 | -1% | 73,424 | 72,247 | 2% | |||||||
| Ore Grade % | 6.89% | 8.13% | -15% | 6.63% | 8.13% | -18% | ||||||||
| Recovery Rate % | 84.9% | 85.3% | 0% | 88.7% | 85.5% | 4% | ||||||||
| MT Produced | 2,141 | 2,570 | -17% | 4,320 | 5,020 | -14% | ||||||||
| Mining Unit | Operating Results | Open Pit | ||||||||||||
| Colquijirca | MT Produced | 11,664 | 0 | N.A. | 25,683 | 0 | N.A. | |||||||
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APPENDIX 3: EBITDA Reconciliation (in thousand US$ ) |
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| 2Q15 | 2Q14 | 6M15 | 6M14 | |||||||||
| Net Income | -31,490 | 32,574 | -21,242 | 22,202 | ||||||||
| Add / Substract: | 64,353 | 52,790 | 103,254 | 125,435 | ||||||||
| Provision for income tax, net | -61 | 10,493 | 10,366 | 17,815 | ||||||||
|
Share in associated companies by the |
-11,966 | -20,169 | -48,240 | -15,689 | ||||||||
| Interest income | -970 | -1,841 | -1,614 | -3,647 | ||||||||
| Interest expense | 8,273 | 3,256 | 14,152 | 6,157 | ||||||||
| Loss on currency exchange difference | 1,262 | 245 | 3,580 | 767 | ||||||||
| Long Term Compensation provision | 0 | 0 | 0 | 1,925 | ||||||||
| Depreciation and Amortization | 63,189 | 49,691 | 117,808 | 95,089 | ||||||||
| Workers´ participation provision | -89 | 906 | 383 | 1,872 | ||||||||
| Impairment of long-term lived assets | 3,803 | 0 | 3,803 | 0 | ||||||||
| Write-Down adjustment | 0 | 0 | 0 | 0 | ||||||||
| Loss from discontinued operations | 912 | 10,209 | 3,016 | 21,146 | ||||||||
| EBITDA Buenaventura Direct Operations | 32,863 | 85,364 | 82,012 | 147,637 | ||||||||
| EBITDA Yanacocha (43.65%) |
42,574 |
24,392 | 112,726 | 21,753 | ||||||||
| EBITDA Cerro Verde (19.58%) | 6,448 | 46,001 | 24,311 | 82,826 | ||||||||
| EBITDA Coimolache (40.10%) | 8,775 | 12,599 | 16,205 | 23,649 | ||||||||
| EBITDA Buenaventura + All Associates |
90,660 |
168,356 | 235,254 | 275,864 | ||||||||
Note:
EBITDA (Buenaventura Direct Operations) consists of earnings before net interest, taxes, depreciation and amortization, share in associated companies, net, loss on currency exchange difference, other, net, provision for workers’ profit sharing and provision for long-term officers’ compensation.
EBITDA (including associated companies) consists of EBITDA (Buenaventura Direct Operations), plus (1) Buenaventura’s equity share of EBITDA (Yanacocha) (2) Buenaventura’s equity share of EBITDA (Cerro Verde), plus (3) Buenaventura’s equity share of EBITDA (Coimolache). All EBITDA mentioned were similarly calculated using financial information provided to Buenaventura by the associated companies.
Buenaventura presents EBITDA (Buenaventura Direct Operations) and EBITDA (including affiliates) to provide further information with respect to its operating performance and the operating performance of its equity investees, the affiliates. EBITDA (Buenaventura Direct Operations) and EBITDA (including affiliates) are not a measure of financial performance under IFRS, and may not be comparable to similarly titled measures of other companies. You should not consider EBITDA (Buenaventura Direct Operations) and EBITDA (including affiliates) as alternatives to operating income or net income determined in accordance with IFRS, as an indicator of Buenaventura’s, affiliates operating performance, or as an alternative to cash flows from operating activities, determined in accordance with IFRS, as an indicator of cash flows or as a measure of liquidity.
APPENDIX 4: COST APPLICABLE TO SALES RECONCILIATION
Reconciliation of Costs Applicable to Sales and Cost Applicable to Sales per Unit Sold
Cost applicable to sales consists of cost of sales, excluding depreciation and amortization, plus Selling expenses. Cost applicable to sales per unit sold for each mine consists of cost applicable to sales for a particular metal produced at a given mine divided by the volume of such metal produced at such mine in the specified period. We note that cost applicable to sales is not directly comparable to the cash operating cost figures disclosed in previously furnished earnings releases.
Cost applicable to sales and Cost applicable to sales per unit of mineral sold are not measures of financial performance under IFRS, and may not be comparable to similarly titled measures of other companies. We consider Cost applicable to sales and Cost applicable to sales per unit of mineral sold to be key measures in managing and evaluating our operating performance. These measures are widely reported in the precious metals industry as a benchmark for performance, but do not have standardized meanings. You should not consider Cost applicable to sales or Cost applicable to sales per unit of mineral sold as alternatives to cost of sales determined in accordance with IFRS, as indicators of our operating performance. Cost applicable to sales and Cost applicable to sales per unit of mineral sold are calculated without adjusting for by-product revenue amounts.
The tables below set forth (i) a reconciliation of consolidated Cost of sales, excluding depreciation and amortization to consolidated Cost applicable to sales, (ii) reconciliations of the components of Cost applicable to sales (by mine and mineral) to the corresponding consolidated line items set forth on our consolidated statements of profit or loss for the three and six months ended June 30, 2014 and 2015, and (iii) reconciliations of Cost of sales, excluding depreciation and amortization to Cost applicable to sales for each of our mining units. The amounts set forth in Cost applicable to sales and Cost applicable to sales per unit sold for each mine and mineral indicated in the tables below can be reconciled to the amounts set forth on our consolidated statements of profit or loss for the three and six months ended June 30, 2014 and 2015 by reference to the reconciliations of Cost of sales, excluding depreciation and amortization (by mine and mineral), Selling Expenses (by mine and metal) expenses and Exploration in units in operations (by mine and mineral) to consolidated Cost of sales, excluding depreciation and amortization, consolidated Selling Expenses and consolidated Exploration in units in operations expenses, respectively, set forth below.
| Set forth below is a reconciliation of consolidated Cost of sales, excluding depreciation and amortization, to consolidated Cost applicable to sales: | ||||||||||||
| For the 3 months ended Jun 30 | For the 6 months ended Jun 30 | |||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||
| (in thousands of US$ ) | ||||||||||||
|
Consolidated Cost of sales excluding depreciation and |
160,893 | 147,832 | 297,372 | 287,270 | ||||||||
| Add: | ||||||||||||
| Consolidated Exploration in units in operation | 22,630 | 27,425 | 45,100 | 51,155 | ||||||||
| Consolidated Commercial deductions | 53,575 | 41,693 | 90,102 | 78,357 | ||||||||
| Consolidated Selling expenses | 3,918 | 4,597 | 8,108 | 8,589 | ||||||||
| Consolidated Cost applicable to sales | 241,016 | 221,547 | 440,682 | 425,371 | ||||||||
| Set forth below is a reconciliation of Cost of sales, excluding depreciation and amortization (by mine and mineral) to consolidated Cost of sales: | ||||||||||||
| For the 3 months ended Jun 30 | For the 6 months ended Jun 30 | |||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||
| Cost of sales by mine and mineral | (in thousands of US$ ) | |||||||||||
| Julcani, Gold | 23 | 0 | 34 | -8 | ||||||||
| Julcani, Silver | 8,208 | 5,639 | 12,681 | 10,453 | ||||||||
| Julcani, Lead | 693 | 473 | 1,138 | 895 | ||||||||
| Julcani, Copper | 88 | 11 | 147 | 73 | ||||||||
| Mallay, Silver | 1,801 | 1,849 | 3,849 | 3,955 | ||||||||
| Mallay, Lead | 1,361 | 1,329 | 2,546 | 2,806 | ||||||||
| Mallay, Zinc | 1,695 | 1,566 | 3,352 | 2,987 | ||||||||
| Breapampa, Gold | 2,940 | 8,854 | 7,185 | 18,174 | ||||||||
| Breapampa, Silver | 470 | 539 | 1,086 | 1,259 | ||||||||
| Orcopampa, Gold | 23,338 | 21,198 | 54,034 | 49,872 | ||||||||
| Orcopampa, Silver | 873 | 618 | 1,823 | 1,398 | ||||||||
| Uchucchacua, Silver | 25,029 | 34,038 | 50,174 | 62,624 | ||||||||
| Uchucchacua, Lead | 1,583 | 1,770 | 2,901 | 3,621 | ||||||||
| Uchucchacua, Zinc | 2,266 | 1,043 | 3,017 | 2,365 | ||||||||
| La Zanja, Gold | 24,371 | 13,562 | 50,490 | 29,612 | ||||||||
| La Zanja, Silver | 609 | 583 | 1,733 | 1,352 | ||||||||
| El Brocal, Gold | 877 | 606 | 1,310 | 1,166 | ||||||||
| El Brocal, Silver | 3,834 | 2,546 | 9,810 | 5,387 | ||||||||
| El Brocal, Lead | 2,079 | 167 | 6,863 | 348 | ||||||||
| El Brocal, Zinc | 9,607 | -14 | 20,062 | -1 | ||||||||
| El Brocal, Copper | 20,750 | 20,228 | 28,880 | 44,780 | ||||||||
| Non Mining Units | 28,398 | 31,227 | 34,257 | 44,154 | ||||||||
|
Consolidated Cost of sales, excluding depreciation |
160,893 | 147,832 | 297,372 | 287,270 | ||||||||
| Set forth below is a reconciliation of Exploration expenses in units in operation (by mine and mineral) to consolidated Exploration expenses in mining units: | ||||||||||||
| For the 3 months ended Jun 30 | For the 6 months ended Jun 30 | |||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||
|
Exploration expenses in units in operation by mine and mineral |
(in thousands of US$ ) | |||||||||||
| Julcani, Gold | 12 | 0 | 17 | -4 | ||||||||
| Julcani, Silver | 4,184 | 2,553 | 6,370 | 5,038 | ||||||||
| Julcani, Lead | 353 | 214 | 572 | 431 | ||||||||
| Julcani, Copper | 45 | 5 | 74 | 35 | ||||||||
| Mallay, Silver | 797 | 669 | 1,479 | 1,297 | ||||||||
| Mallay, Lead | 602 | 481 | 978 | 920 | ||||||||
| Mallay, Zinc | 750 | 566 | 1,288 | 979 | ||||||||
| Breapampa, Gold | 10 | 201 | 71 | 321 | ||||||||
| Breapampa, Silver | 2 | 12 | 11 | 22 | ||||||||
| Orcopampa, Gold | 9,778 | 14,145 | 21,300 | 26,947 | ||||||||
| Orcopampa, Silver | 366 | 412 | 718 | 755 | ||||||||
| Uchucchacua, Silver | 4,957 | 7,491 | 10,909 | 13,086 | ||||||||
| Uchucchacua, Lead | 313.4 | 390 | 631 | 757 | ||||||||
| Uchucchacua, Zinc | 448.8 | 229 | 656 | 494 | ||||||||
| La Zanja, Gold | 13 | 54 | 25 | 73 | ||||||||
| La Zanja, Silver | 0 | 2 | 1 | 3 | ||||||||
| El Brocal, Gold | 0 | 0 | 0 | 0 | ||||||||
| El Brocal, Silver | 0 | 0 | 0 | 0 | ||||||||
| El Brocal, Lead | 0 | 0 | 0 | 0 | ||||||||
| El Brocal, Zinc | 0 | 0 | 0 | 0 | ||||||||
| El Brocal, Copper | 0 | 0 | 0 | 0 | ||||||||
| Non Mining Units | 0 | 0 | 0 | 0 | ||||||||
| Consolidated Exploration expenses in units in operation | 22,630 | 27,425 | 45,100 | 51,155 | ||||||||
| Set forth below is a reconciliation of Commercial Deductions in units in operation (by mine and mineral) to consolidated Commercial deductions: | ||||||||||||
| For the 3 months ended Jun 30 | For the 6 months ended Jun 30 | |||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||
|
Commercial Deductions in units in operation by mine and mineral |
(in thousands of US$ ) | |||||||||||
| Julcani, Gold | 7 | 0 | 9 | -2 | ||||||||
| Julcani, Silver | 2,682 | 1,549 | 4,010 | 3,165 | ||||||||
| Julcani, Lead | 225 | 130 | 352 | 268 | ||||||||
| Julcani, Copper | 30 | 3 | 49 | 25 | ||||||||
| Mallay, Silver | 920 | 797 | 1,799 | 1,768 | ||||||||
| Mallay, Lead | 682 | 548 | 1,188 | 1,210 | ||||||||
| Mallay, Zinc | 1,235 | 1,157 | 2,093 | 2,080 | ||||||||
| Breapampa, Gold | 8 | 33 | 47 | 58 | ||||||||
| Breapampa, Silver | 0 | 0 | 2 | 0 | ||||||||
| Orcopampa, Gold | 64 | 72 | 120 | 129 | ||||||||
| Orcopampa, Silver | 0 | 0 | 0 | 0 | ||||||||
| Uchucchacua, Silver | 8,179 | 8,867 | 16,142 | 15,951 | ||||||||
| Uchucchacua, Lead | 495 | 440 | 921 | 917 | ||||||||
| Uchucchacua, Zinc | 2,237 | 790 | 3,127 | 1,667 | ||||||||
| La Zanja, Gold | 39 | 113 | 63 | 156 | ||||||||
| La Zanja, Silver | 0 | 5 | 0 | 5 | ||||||||
| El Brocal, Gold | 1,098 | 709 | 1,635 | 1,156 | ||||||||
| El Brocal, Silver | 3,361 | 3,078 | 6,946 | 5,746 | ||||||||
| El Brocal, Lead | 1,078 | 216 | 3,271 | 369 | ||||||||
| El Brocal, Zinc | 6,282 | 73 | 12,088 | 168 | ||||||||
| El Brocal, Copper | 24,953 | 23,113 | 36,241 | 43,520 | ||||||||
| Non Mining Units | 0 | 0 | 0 | 0 | ||||||||
| Consolidated Commercial deductions in units in operation | 53,575 | 41,693 | 90,102 | 78,357 | ||||||||
| Set forth below is a reconciliation of Selling expenses (by mine and mineral) to consolidated Selling expenses: | ||||||||||||
| For the 3 months ended Jun 30 | For the 6 months ended Jun 30 | |||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||
| Selling expenses by mine and mineral | (in thousands of US$ ) | |||||||||||
| Julcani, Gold | 1 | 0 | 2 | 0 | ||||||||
| Julcani, Silver | 344 | 218 | 585 | 439 | ||||||||
| Julcani, Lead | 29 | 18 | 52 | 38 | ||||||||
| Julcani, Copper | 4 | 0 | 7 | 3 | ||||||||
| Mallay, Silver | 133 | 168 | 272 | 342 | ||||||||
| Mallay, Lead | 101 | 121 | 180 | 243 | ||||||||
| Mallay, Zinc | 126 | 142 | 237 | 258 | ||||||||
| Breapampa, Gold | 21 | 99 | 54 | 207 | ||||||||
| Breapampa, Silver | 3 | 6 | 8 | 14 | ||||||||
| Orcopampa, Gold | 192 | 214 | 442 | 455 | ||||||||
| Orcopampa, Silver | 7 | 6 | 15 | 13 | ||||||||
| Uchucchacua, Silver | 545 | 713 | 1,351 | 1,385 | ||||||||
| Uchucchacua, Lead | 34 | 37 | 78 | 80 | ||||||||
| Uchucchacua, Zinc | 49 | 22 | 81 | 52 | ||||||||
| La Zanja, Gold | 353 | 320 | 654 | 655 | ||||||||
| La Zanja, Silver | 9 | 14 | 22 | 30 | ||||||||
| El Brocal, Gold | 37 | 63 | 65 | 97 | ||||||||
| El Brocal, Silver | 160 | 263 | 485 | 448 | ||||||||
| El Brocal, Lead | 87 | 17 | 340 | 29 | ||||||||
| El Brocal, Zinc | 402 | -1 | 993 | 0 | ||||||||
| El Brocal, Copper | 869 | 2,090 | 1,429 | 3,724 | ||||||||
| Non Mining Units | 411 | 69 | 758 | 78 | ||||||||
| Consolidated Selling expenses | 3,918 | 4,597 | 8,108 | 8,589 | ||||||||
| JULCANI | JULCANI | |||||||||||||||||||||||||||
| 2Q 2015 | 2Q 2014 | 6M 2015 | 6M 2014 | |||||||||||||||||||||||||
| GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | |||||
| Cost of Sales (without D&A) (US$ 000) | 23 | 8,208 | 693 | – | 88 | 9,012 | -0 | 5,639 | 473 | – | 11 | 6,122 | Cost of Sales (without D&A) (US$ 000) | 34 | 12,681 | 1,138 | – | 147 | 14,001 | -8 | 10,453 | 895 | – | 73 | 11,413 | |||
| Add: | Add: | |||||||||||||||||||||||||||
| Exploration Expenses (US$ 000) | 12 | 4,184 | 353 | – | 45 | 4,594 | -0 | 2,553 | 214 | – | 5 | 2,772 | Exploration Expenses (US$ 000) | 17 | 6,370 | 572 | – | 74 | 7,033 | -4 | 5,038 | 431 | – | 35 | 5,500 | |||
| Commercial Deductions (US$ 000) | 7 | 2,682 | 225 | – | 30 | 2,944 | -0 | 1,549 | 130 | – | 3 | 1,681 | Commercial Deductions (US$ 000) | 9 | 4,010 | 352 | – | 49 | 4,420 | -2 | 3,165 | 268 | – | 25 | 3,457 | |||
| Selling Expenses (US$ 000) | 1 | 344 | 29 | – | 4 | 378 | -0 | 218 | 18 | – | 0 | 237 | Selling Expenses (US$ 000) | 2 | 585 | 52 | – | 7 | 645 | -0 | 439 | 38 | – | 3 | 479 | |||
| Cost Applicable to Sales (US$ 000) | 42 | 15,418 | 1,300 | – | 168 | 16,928 | -0 | 9,959 | 835 | – | 20 | 10,812 | Cost Applicable to Sales (US$ 000) | 62 | 23,645 | 2,114 | – | 277 | 26,098 | -14 | 19,094 | 1,632 | – | 137 | 20,849 | |||
| Divide: | Divide: | |||||||||||||||||||||||||||
| Volume Sold | 49 | 1,254,805 | 926 | – | 39 | Not Applicable | -1 | 734,963 | 592 | – | 6 | Not Applicable |
Volume Sold |
64 | 1,873,579 | 1,399 | – | 58 | Not Applicable | -12 | 1,463,716 | 1,137 | – | 29 | No Aplicable | |||
| CAS | 872 | 12.29 | 1,403 | – | 4,256 | Not Applicable | – | 13.55 | 1,411 | – | 3,313 | Not Applicable | CAS | 973 | 12.62 | 1,511 | – | 4,739 | No Applicable | – | 13.04 | 1,436 | – | 4,789 | No Applicable | |||
| MALLAY | MALLAY | |||||||||||||||||||||||||||
| 2Q 2015 | 2Q 2014 | 6M 2015 | 6M 2014 | |||||||||||||||||||||||||
| GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | |||||
| Cost of Sales (without D&A) (US$ 000) | – | 1,801 | 1,361 | 1,695 | – | 4,858 | – | 1,849 | 1,329 | 1,566 | – | 4,744 | Cost of Sales (without D&A) (US$ 000) | – | 3,849 | 2,546 | 3,352 | – | 9,747 | – | 3,955 | 2,806 | 2,987 | – | 9,747 | |||
| Add: | Add: | |||||||||||||||||||||||||||
| Exploration Expenses (US$ 000) | – | 797 | 602 | 750 | – | 2,148 | – | 669 | 481 | 566 | – | 1,716 | Exploration Expenses (US$ 000) | – | 1,479 | 978 | 1,288 | – | 3,745 | – | 1,297 | 920 | 979 | – | 3,196 | |||
| Commercial Deductions (US$ 000) | – | 920 | 682 | 1,235 | – | 2,837 | – | 797 | 548 | 1,157 | – | 2,502 | Commercial Deductions (US$ 000) | – | 1,799 | 1,188 | 2,093 | – | 5,080 | – | 1,768 | 1,210 | 2,080 | – | 5,059 | |||
| Selling Expenses (US$ 000) | – | 133 | 101 | 126 | – | 360 | – | 168 | 121 | 142 | – | 431 | Selling Expenses (US$ 000) | – | 272 | 180 | 237 | – | 688 | – | 342 | 243 | 258 | – | 843 | |||
| Cost Applicable to Sales (US$ 000) | – | 3,651 | 2,746 | 3,806 | – | 10,203 | – | 3,483 | 2,478 | 3,431 | – | 9,392 | Cost Applicable to Sales (US$ 000) | – | 7,398 | 4,892 | 6,970 | – | 19,261 | – | 7,362 | 5,179 | 6,305 | – | 18,845 | |||
| Divide: | Divide: | |||||||||||||||||||||||||||
|
Volume Sold |
– | 267,856 | 1,654 | 1,841 | – | Not Applicable | – | 261,718 | 1,731 | 2,049 | – | Not Applicable | Volume Sold | – | 529,674 | 3,110 | 3,477 | – | Not Applicable | – | 546,175 | 3,586 | 3,863 | – | Not Applicable | |||
| CAS | – | 13.63 | 1,660 | 2,067 | – | Not Applicable | – | 13.31 | 1,431 | 1,675 | – | Not Applicable | CAS | – | 13.97 | 1,573 | 2,005 | – | No Applicable | – | 13.48 | 1,444 | 1,632 | – | No Applicable | |||
| BREAPAMPA | BREAPAMPA | |||||||||||||||||||||||||||
| 2Q 2015 | 2Q 2014 | 6M 2015 | 6M 2014 | |||||||||||||||||||||||||
| GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | |||||
| Cost of Sales (without D&A) (US$ 000) | 2,940 | 470 | – | – | – | 3,410 | 8,854 | 539 | – | – | – | 9,393 | Cost of Sales (without D&A) (US$ 000) | 7,185 | 1,086 | – | – | – | 8,270 | 18,174 | 1,259 | – | – | – | 19,433 | |||
| Add: | Add: | |||||||||||||||||||||||||||
| Exploration Expenses (US$ 000) | 10 | 2 | – | – | – | 12 | 201 | 12 | – | – | – | 213 | Exploration Expenses (US$ 000) | 71 | 11 | – | – | – | 82 | 321 | 22 | – | – | – | 343 | |||
| Commercial Deductions (US$ 000) | 8 | – | – | – | – | 8 | 33 | – | – | – | – | 33 | Commercial Deductions (US$ 000) | 47 | 2 | – | – | – | 49 | 58 | – | – | – | – | 58 | |||
| Selling Expenses (US$ 000) | 21 | 3 | – | – | – | 24 | 99 | 6 | – | – | – | 105 | Selling Expenses (US$ 000) | 54 | 8 | – | – | – | 62 | 207 | 14 | – | – | – | 221 | |||
| Cost Applicable to Sales (US$ 000) | 2,979 | 475 | – | – | – | 3,453 | 9,186 | 557 | – | – | – | 9,744 | Cost Applicable to Sales (US$ 000) | 7,356 | 1,107 | – | – | – | 8,463 | 18,760 | 1,295 | – | – | – | 20,055 | |||
| Divide: | Divide: | |||||||||||||||||||||||||||
| Volume Sold | 5,203 | 62,374 | – | – | – | Not Applicable | 21,611 | 87,297 | – | – | – | Not Applicable | Volume Sold | 12,598 | 145,376 | – | – | – | Not Applicable | 44,024 | 202,113 | – | – | – | Not Applicable | |||
| CAS | 573 | 7.61 | – | – | – | Not Applicable | 425 | 6.38 | – | – | – | Not Applicable | CAS | 584 | 7.61 | – | – | – | No Applicable | 426 | 6.41 | – | – | – | No Applicable | |||
| ORCOPAMPA | ORCOPAMPA | |||||||||||||||||||||||||||
| 2Q 2015 | 2Q 2014 | 6M 2015 | 6M 2014 | |||||||||||||||||||||||||
| GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | |||||
| Cost of Sales (without D&A) (US$ 000) | 23,338 | 873 | – | – | – | 24,210 | 21,198 | 618 | – | – | – | 21,816 | Cost of Sales (without D&A) (US$ 000) | 54,034 | 1,823 | – | – | – | 55,856 | 49,872 | 1,398 | – | – | – | 51,269 | |||
| Add: | Add: | |||||||||||||||||||||||||||
| Exploration Expenses (US$ 000) | 9,778 | 366 | – | – | – | 10,144 | 14,145 | 412 | – | – | – | 14,558 | Exploration Expenses (US$ 000) | 21,300 | 718 | – | – | – | 22,018 | 26,947 | 755 | – | – | – | 27,702 | |||
| Commercial Deductions (US$ 000) | 64 | – | – | – | – | 64 | 72 | – | – | – | – | 72 | Commercial Deductions (US$ 000) | 120 | 0 | – | – | – | 120 | 129 | -0 | – | – | – | 129 | |||
| Selling Expenses (US$ 000) | 192 | 7 | – | – | – | 199 | 214 | 6 | – | – | – | 220 | Selling Expenses (US$ 000) | 442 | 15 | – | – | – | 457 | 455 | 13 | – | – | – | 468 | |||
| Cost Applicable to Sales (US$ 000) | 33,371 | 1,246 | – | – | – | 34,617 | 35,629 | 1,036 | – | – | – | 36,665 | Cost Applicable to Sales (US$ 000) | 75,895 | 2,556 | – | – | – | 78,451 | 77,403 | 2,165 | – | – | – | 79,568 | |||
| Divide: | Divide: | |||||||||||||||||||||||||||
|
Volume Sold |
48,047 | 133,795 | – | – | – | Not Applicable | 47,156 | 89,913 | – | – | – | Not Applicable |
Volume Sold |
108,957 | 279,184 | – | – | – | Not Applicable | 97,388 | 180,087 | – | – | – | Not Applicable | |||
| CAS | 695 | 9.31 | – | – | – | Not Applicable | 756 | 11.53 | – | – | – | Not Applicable | CAS | 697 | 9.16 | – | – | – | No Applicable | 795 | 12.02 | – | – | – | No Applicable | |||
| UCHUCCHACUA | UCHUCCHACUA | |||||||||||||||||||||||||||
| 2Q 2015 | 2Q 2014 | 6M 2015 | 6M 2014 | |||||||||||||||||||||||||
| GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | |||||
| Cost of Sales (without D&A) (US$ 000) | 2 | 25,029 | 1,583 | 2,266 | – | 28,880 | – | 34,038 | 1,770 | 1,043 | – | 36,851 | Cost of Sales (without D&A) (US$ 000) | 2 | 50,174 | 2,901 | 3,017 | – | 56,092 | – | 62,624 | 3,621 | 2,365 | – | 68,610 | |||
| Add: | Add: | |||||||||||||||||||||||||||
| Exploration Expenses (US$ 000) | 0.38 | 4,956.88 | 313.42 | 448.83 | – | 5,719.5 | – | 7,491 | 390 | 229 | – | 8,110 | Exploration Expenses (US$ 000) | 0 | 10,909 | 631 | 656 | – | 12,196 | – | 13,086 | 757 | 494 | – | 14,337 | |||
| Commercial Deductions (US$ 000) | 1 | 8,179 | 495 | 2,237 | – | 10,911 | – | 8,867 | 440 | 790 | – | 10,097 | Commercial Deductions (US$ 000) | 1 | 16,142 | 921 | 3,127 | – | 20,190 | – | 15,951 | 917 | 1,667 | – | 18,534 | |||
| Selling Expenses (US$ 000) | 0 | 545 | 34 | 49 | – | 629 | – | 713 | 37 | 22 | – | 772 | Selling Expenses (US$ 000) | 0 | 1,351 | 78 | 81 | – | 1,510 | – | 1,385 | 80 | 52 | – | 1,517 | |||
| Cost Applicable to Sales (US$ 000) | 3 | 38,710 | 2,425 | 5,002 | – | 46,139 | – | 51,110 | 2,637 | 2,084 | – | 55,831 | Cost Applicable to Sales (US$ 000) | 3 | 78,576 | 4,531 | 6,881 | – | 89,988 | – | 93,046 | 5,375 | 4,579 | – | 102,999 | |||
| Divide: | Divide: | |||||||||||||||||||||||||||
|
Volume Sold |
3 | 2,472,030 | 1,273 | 1,701 | – | Not Applicable | – | 3,231,325 | 1,612 | 919 | – | Not Applicable | Volume Sold | 3 | 5,226,729 | 2,736 | 2,415 | – | Not Applicable | – | 5,685,264 | 3,140 | 2,057 | – | Not Applicable | |||
| CAS | 1,123 | 15.66 | 1,906 | 2,940 | – | No Applicable | – | 15.82 | 1,636 | 2,267 | – | No Applicable | CAS | 1,101 | 15.03 | 1,656 | 2,850 | – | No Applicable | – | 16.37 | 1,712 | 2,226 | – | No Applicable | |||
| LA ZANJA | LA ZANJA | |||||||||||||||||||||||||||
| 2Q 2015 | 2Q 2014 | 6M 2015 | 6M 2014 | |||||||||||||||||||||||||
| GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | |||||
| Cost of Sales (without D&A) (US$ 000) | 24,371 | 609 | – | – | – | 24,979 | 13,562 | 583 | – | – | – | 14,146 | Cost of Sales (without D&A) (US$ 000) | 50,490 | 1,733 | – | – | – | 52,222 | 29,612 | 1,352 | – | – | – | 30,964 | |||
| Add: | Add: | |||||||||||||||||||||||||||
| Exploration Expenses (US$ 000) | 13 | 0 | – | – | – | 13 | 54 | 2 | – | – | – | 56 | Exploration Expenses (US$ 000) | 25 | 1 | – | – | – | 26 | 73 | 3 | – | – | – | 76 | |||
| Commercial Deductions (US$ 000) | 39 | – | – | – | – | 39 | 113 | 5 | – | – | – | 118 | Commercial Deductions (US$ 000) | 63 | – | – | – | – | 63 | 156 | 5 | – | – | – | 161 | |||
| Selling Expenses (US$ 000) | 353 | 9 | – | – | – | 362 | 320 | 14 | – | – | – | 333 | Selling Expenses (US$ 000) | 654 | 22 | – | – | – | 677 | 655 | 30 | – | – | – | 685 | |||
| Cost Applicable to Sales (US$ 000) | 24,776 | 618 | – | – | – | 25,393 | 14,049 | 604 | – | – | – | 14,653 | Cost Applicable to Sales (US$ 000) | 51,233 | 1,756 | – | – | – | 52,989 | 30,496 | 1,390 | – | – | – | 31,886 | |||
| Divide: | Divide: | |||||||||||||||||||||||||||
| Volume Sold | 36,518 | 68,376 | – | – | – | Not Applicable | 38,694 | 112,355 | – | – | – | Not Applicable | Volume Sold | 68,598 | 176,299 | – | – | – | Not Applicable | 72,164 | 217,228 | – | – | – | Not Applicable | |||
| CAS | 678 | 9.03 | – | – | – | Not Applicable | 363 | 5.38 | – | – | – | Not Applicable | CAS | 747 | 9.96 | – | – | – | No Applicable | 423 | 6.40 | – | – | – | Not Applicable | |||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||
| BROCAL | BROCAL | |||||||||||||||||||||||||||
| 2Q 2015 | 2Q 2014 | 6M 2015 | 6M 2014 | |||||||||||||||||||||||||
| GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | |||||
| Cost of Sales (without D&A) (US$ 000) | 877 | 3,834 | 2,079 | 9,607 | 20,750 | 37,148 | 606 | 2,546 | 167 | -14 | 20,228 | 23,533 | Cost of Sales (without D&A) (US$ 000) | 1,310 | 9,810 | 6,863 | 20,062 | 28,880 | 66,926 | 1,166 | 5,387 | 348 | -1 | 44,780 | 51,679 | |||
| Add: | Add: | |||||||||||||||||||||||||||
| Exploration Expenses (US$ 000) | – | – | – | – | – | – | – | – | – | – | – | – | Exploration Expenses (US$ 000) | – | – | – | – | – | – | – | – | – | – | – | – | |||
| Commercial Deductions (US$ 000) | 1,098 | 3,361 | 1,078 | 6,282 | 24,953 | 36,773 | 709 | 3,078 | 216 | 73 | 23,113 | 27,189 | Commercial Deductions (US$ 000) | 1,635 | 6,946 | 3,271 | 12,088 | 36,241 | 60,180 | 1,156 | 5,746 | 369 | 168 | 43,520 | 50,959 | |||
| Selling Expenses (US$ 000) | 37 | 160 | 87 | 402 | 869 | 1,555 | 63 | 263 | 17 | -1 | 2,090 | 2,431 | Selling Expenses (US$ 000) | 65 | 485 | 340 | 993 | 1,429 | 3,311 | 97 | 448 | 29 | -0 | 3,724 | 4,298 | |||
| Cost Applicable to Sales (US$ 000) | 2,012 | 7,356 | 3,245 | 16,292 | 46,571 | 75,476 | 1,377 | 5,888 | 400 | 58 | 45,431 | 53,154 | Cost Applicable to Sales (US$ 000) | 3,010 | 17,241 | 10,474 | 33,142 | 66,550 | 130,417 | 2,419 | 11,581 | 746 | 167 | 92,024 | 106,936 | |||
| Divide: | Divide: | |||||||||||||||||||||||||||
| Volume Sold | 1,656 | 526,698 | 2,456 | 9,822 | 8,792 | Not Applicable | 1,560 | 431,490 | 264 | -21 | 10,180 | Not Applicable | Volume Sold | 2,488 | 1,352,732 | 8,432 | 21,007 | 12,403 | Not Applicable | 2,694 | 809,711 | 418 | -139 | 19,159 | Not Applicable | |||
| CAS | 1,215 | 13.97 | 1,321 | 1,659 | 5,297 | Not Applicable | 883 | 13.64 | 1,513 | – | 4,463 | Not Applicable | CAS | 1,210 | 12.75 | 1,242 | 1,578 | 5,366 | No Applicable | 898 | 14.30 | 1,782 | – | 4,803 | Not Applicable | |||
| NON MINING COMPANIES | NON MINING COMPANIES | |||||||||||||||||||||||||||
| 2Q 2015 | 2Q 2014 | 6M 2015 | 6M 2014 | |||||||||||||||||||||||||
| GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | |||||
| Cost of Sales (without D&A) (US$ 000) | – | – | – | – | – | 28,398 | – | – | – | – | – | 31,227 | Cost of Sales (without D&A) (US$ 000) | – | – | – | – | – | 34,257 | – | – | – | – | – | 44,154 | |||
| Add: | Add: | |||||||||||||||||||||||||||
| Selling Expenses (US$ 000) | – | – | – | – | – | 411 | – | – | – | – | – | 69 | Selling Expenses (US$ 000) | – | – | – | – | – | 758 | – | – | – | – | – | 78 | |||
| Total (US$ 000) | – | – | – | – | – | 28,809 | – | – | – | – | – | 31,296 | Total (US$ 000) | – | – | – | – | – | 35,015 | – | – | – | – | – | 44,232 | |||
| BUENAVENTURA CONSOLIDATED | BUENAVENTURA CONSOLIDATED | |||||||||||||||||||||||||||
| 2Q 2015 | 2Q 2014 | 6M 2015 | 6M 2014 | |||||||||||||||||||||||||
| GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | |||||
| Cost of Sales (without D&A) (US$ 000) | 51,551 | 40,824 | 5,716 | 13,569 | 20,838 | 160,895 | 44,219 | 45,813 | 3,739 | 2,595 | 20,239 | 147,832 | Cost of Sales (without D&A) (US$ 000) | 113,054 | 81,156 | 13,449 | 26,431 | 29,028 | 297,372 | 98,816 | 86,426 | 7,670 | 5,351 | 44,853 | 287,270 | |||
| Add: | Add: | |||||||||||||||||||||||||||
| Exploration Expenses (US$ 000) | 9,813 | 10,306 | 1,268 | 1,199 | 45 | 22,630 | 14,400 | 11,140 | 1,084 | 796 | 5 | 27,425 | Exploration Expenses (US$ 000) | 21,414 | 19,488 | 2,181 | 1,944 | 74 | 45,100 | 27,337 | 20,201 | 2,108 | 1,474 | 35 | 51,155 | |||
| Commercial Deductions (US$ 000) | 1,216 | 15,141 | 2,480 | 9,755 | 24,984 | 53,575 | 927 | 14,296 | 1,334 | 2,019 | 23,116 | 41,693 | Commercial Deductions (US$ 000) | 1,874 | 28,899 | 5,732 | 17,308 | 36,289 | 90,102 | 1,498 | 26,635 | 2,764 | 3,915 | 43,545 | 78,357 | |||
| Selling Expenses (US$ 000) | 604 | 1,202 | 251 | 577 | 872 | 3,918 | 695 | 1,388 | 193 | 163 | 2,090 | 4,597 | Selling Expenses (US$ 000) | 1,216 | 2,738 | 650 | 1,310 | 1,436 | 8,108 | 1,414 | 2,670 | 389 | 311 | 3,727 | 8,589 | |||
| Cost Applicable to Sales (US$ 000) | 63,183 | 67,473 | 9,716 | 25,099 | 46,739 | 241,018 | 60,241 | 72,637 | 6,350 | 5,573 | 45,451 | 221,547 | Cost Applicable to Sales (US$ 000) | 137,559 | 132,280 | 22,011 | 46,993 | 66,827 | 440,683 | 129,064 | 135,933 | 12,931 | 11,050 | 92,161 | 425,371 | |||
| Divide: | Divide: | |||||||||||||||||||||||||||
| Volume Sold | 91,474 | 4,785,933 | 6,309 | 13,364 | 8,831 | Not Applicable | 109,020 | 4,949,060 | 4,199 | 2,947 | 10,186 | Not Applicable | Volume Sold | 192,707 | 9,583,574 | 15,678 | 26,899 | 12,462 | Not Applicable | 216,258 | 9,104,294 | 8,281 | 5,781 | 19,187 | Not Applicable | |||
| CAS | 691 | 14.10 | 1,540 | 1,878 | 5,292 | Not Applicable | 553 | 14.68 | 1,512 | 1,891 | 4,462 | Not Applicable | CAS | 714 | 13.80 | 1,404 | 1,747 | 5,363 | Not Applicable | 597 | 14.93 | 1,562 | 1,911 | 4,803 | Not Applicable | |||
| COIMOLACHE | COIMOLACHE | |||||||||||||||||||||||||||
| 2Q 2015 | 2Q 2014 | 6M 2015 | 6M 2014 | |||||||||||||||||||||||||
| GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | GOLD (OZ) | SILVER (OZ) | LEAD (MT) | ZINC (MT) | COPPER (MT) | TOTAL | |||||
| Cost of Sales (without D&A) (US$ 000) | 12,873 | 963 | – | – | – | 13,836 | 14,684 | 1,010 | – | – | – | 15,694 | Cost of Sales (without D&A) (US$ 000) | 25,349 | 1,913 | – | – | – | 27,262 | 26,646 | 1,769 | – | – | – | 28,415 | |||
| Add: | Add: | |||||||||||||||||||||||||||
| Exploration Expenses (US$ 000) | 1,752 | 131 | – | – | – | 1,883 | 2,374 | 163 | – | – | – | 2,537 | Exploration Expenses (US$ 000) | 8,853 | 668 | – | – | – | 9,521 | 3,493 | 232 | – | – | – | 3,725 | |||
| Commercial Deductions (US$ 000) | 89 | 7 | – | – | – | 95 | 127 | 7 | – | – | – | 134 | Commercial Deductions (US$ 000) | 289 | 23 | – | – | – | 312 | 214 | 13 | – | – | – | 227 | |||
| Selling Expenses (US$ 000) | 215 | 16 | – | – | – | 231 | 256 | 18 | – | – | – | 274 | Selling Expenses (US$ 000) | 440 | 33 | – | – | – | 474 | 456 | 30 | – | – | – | 486 | |||
| Cost Applicable to Sales (US$ 000) | 14,928 | 1,117 | – | – | – | 16,045 | 17,440 | 1,198 | – | – | – | 18,639 | Cost Applicable to Sales (US$ 000) | 34,931 | 2,637 | – | – | – | 37,568 | 30,809 | 2,045 | – | – | – | 32,854 | |||
| Divide: | Divide: | |||||||||||||||||||||||||||
| Volume Sold | 30,024 | 162,106 | – | – | – | Not Applicable | 36,607 | 167,321 | – | – | – | Not Applicable | Volume Sold | 60,746 | 331,507 | – | – | – | Not Applicable | 66,873 | 288,129 | – | – | – | Not Applicable | |||
| CAS | 497 | 6.89 | – | – | – | Not Applicable | 476 | 7.16 | – | – | – | Not Applicable | CAS | 575 | 7.95 | – | – | – | No Applicable | 461 | 7.10 | – | – | – | Not Applicable | |||
|
APPENDIX 5: ALL-IN SUSTAINING COST |
||||||||||||
|
|
||||||||||||
|
All-in Sustaining Cost for 2Q14 |
||||||||||||
|
|
||||||||||||
| Buenaventura1 | La Zanja | Tantahuatay | Attributable Production2 | |||||||||
| 2Q14 | 2Q14 | 2Q14
|
2Q14
|
|||||||||
| Au Ounces Sold BVN | 105,910 | |||||||||||
| Au Ounces bought from La Zanja | -37,145 | |||||||||||
| Au Ounces Sold Net | 68,766 | 37,592 | 36,607 | 103,390 | ||||||||
| 2Q14 |
2Q14 |
2Q14
|
2Q14
|
|||||||||
| Income Statement & Cash Flow | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | ||||
| Cost of Sales3 | 92,837 | 1,350 | 20,457 | 544 | 15,694 | 429 | 109,984 | 1,064 | ||||
| Exploration in Operating Units | 27,369 | 398 | 5,678 | 151 | 2,537 | 69 | 31,399 | 304 | ||||
| Royalties | 5,214 | 76 | 0 | 0 | 0 | 0 | 5,214 | 50 | ||||
| Comercial Deductions4 | 14,386 | 209 | 921 | 25 | 134 | 4 | 14,928 | 144 | ||||
| Selling Expenses | 1,780 | 26 | 333 | 9 | 274 | 7 | 2,067 | 20 | ||||
| Administrative Expenses5 | 13,506 | 196 | 2,717 | 72 | 494 | 13 | 15,146 | 146 | ||||
| Other Expenses | 0 | 0 | 2,670 | 71 | 1,110 | 30 | 1,862 | 18 | ||||
| Other Incomes | -4,872 | -71 | -2,683 | -71 | -1,374 | -38 | -6,847 | -66 | ||||
| Other administrative charges | 0 | 0 | 399 | 11 | 148 | 4 | 271 | 3 | ||||
| Sustaining Capex6 | 8,403 | 122 | 4,482 | 119 | 3,618 | 99 | 12,231 | 118 | ||||
| By-product Credit | -101,617 | -1,478 | -2,532 | -67 | 3,251 | 89 | -101,657 | -983 | ||||
| All-in Sustaining Cost | 57,005 | 829 | 32,441 | 863 | 25,885 | 707 | 84,597 | 818 | ||||
| *All-in Sustaining Cost does not include: Depreciation and Amortization, Stoppage of mining units, Exploration in non-operating areas. | ||||||||||||
| Notes: | ||||||||||||
| 1. Non-consolidated financial statements for Compañia De Minas Buenaventura S.A.A. | ||||||||||||
| 2. Considers 100% from Compañia De Minas Buenaventura S.A.A., 53.06% from La Zanja and 40.095% from Tantahuatay. | ||||||||||||
| 3. For Buenaventura does not consider purchase of concentrate from La Zanja. | ||||||||||||
| 4. For all metals produced. | ||||||||||||
| 5. For Buenaventura, does not consider management services charged to subsidiaries. | ||||||||||||
| 6. Sustaining Capex + Growth Capex equals Acquisitions of mining concessions, development costs, property, plant and equipment. | ||||||||||||
|
All-in Sustaining Cost for 1H14 |
||||||||||||
| Buenaventura1 | La Zanja | Tantahuatay | Attributable Production2 | |||||||||
| 1H14 | 1H14 |
1H14 |
1H14
|
|||||||||
| Au Ounces Sold BVN | 212,014 | |||||||||||
| Au Ounces bought from La Zanja | -70,614 | |||||||||||
| Au Ounces Sold Net | 141,399 | 69,589 | 66,873 | 205,136 | ||||||||
| 1H14 | 1H14
|
1H14
|
1H14
|
|||||||||
| Income Statement & Cash Flow | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | ||||
| Cost of Sales3 | 181,429 | 1,283 | 38,849 | 558 | 28,415 | 425 | 213,435 | 1,040 | ||||
| Exploration in Operating Units | 51,079 | 361 | 8,693 | 125 | 3,725 | 56 | 57,185 | 279 | ||||
| Royalties | 10,812 | 76 | 0 | 0 | 0 | 0 | 10,812 | 53 | ||||
| Comercial Deductions4 | 27,237 | 193 | 1,880 | 27 | 227 | 3 | 28,325 | 138 | ||||
| Selling Expenses | 3,554 | 25 | 685 | 10 | 486 | 7 | 4,112 | 20 | ||||
| Administrative Expenses5 | 29,983 | 212 | 3,085 | 44 | 1,183 | 18 | 32,094 | 156 | ||||
| Other Expenses | 0 | 0 | 4,934 | 71 | 1,973 | 29 | 3,409 | 17 | ||||
| Other Incomes | 7,161 | 51 | -4,849 | -70 | -2,619 | -39 | 3,538 | 17 | ||||
| Other administrative charges | 0 | 0 | 878 | 13 | 218 | 3 | 553 | 3 | ||||
| Sustaining Capex6 | 19,740 | 140 | 6,713 | 96 | 5,811 | 87 | 25,632 | 125 | ||||
| By-product Credit | -189,242 | -1,338 | -4,605 | -66 | 5,751 | 86 | -189,380 | -923 | ||||
| All-in Sustaining Cost | 141,754 | 1,003 | 56,263 | 809 | 45,169 | 675 | 189,717 | 925 | ||||
| *All-in Sustaining Cost does not include: Depreciation and Amortization, Stoppage of mining units, Exploration in non-operating areas. | ||||||||||||
| Notes: | ||||||||||||
| 1. Non-consolidated financial statements for Compañia De Minas Buenaventura S.A.A. | ||||||||||||
| 2. Considers 100% from Compañia De Minas Buenaventura S.A.A., 53.06% from La Zanja and 40.095% from Tantahuatay. | ||||||||||||
| 3. For Buenaventura does not consider purchase of concentrate from La Zanja. | ||||||||||||
| 4. For all metals produced. | ||||||||||||
| 5. For Buenaventura, does not consider management services charged to subsidiaries. For La Zanja does not consider US$ 3.8 MM Impairment. | ||||||||||||
| 6. Sustaining Capex + Growth Capex equals Acquisitions of mining concessions, development costs, property, plant and equipment. | ||||||||||||
|
All-in Sustaining Cost for 2Q15 |
||||||||||||
| Buenaventura1 | La Zanja | Tantahuatay | Attributable Production2 | |||||||||
| 2Q15 | 2Q15 | 2Q15
|
2Q15
|
|||||||||
| Au Ounces Sold BVN | 89,819 | |||||||||||
| Au Ounces bought from La Zanja | -36,518 | |||||||||||
| Au Ounces Sold Net | 53,301 | 39,651 | 30,024 | 86,378 | ||||||||
| 2Q15 | 2Q15
|
2Q15
|
2Q15
|
|||||||||
| Income Statement & Cash Flow | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | ||||
| Cost of Sales3 | 68,479 | 1,285 | 33,793 | 852 | 13,836 | 461 | 91,957 | 1,065 | ||||
| Exploration in Operating Units | 22,617 | 424 | 2,600 | 66 | 1,883 | 63 | 24,751 | 287 | ||||
| Royalties | 4,801 | 90 | 0 | 0 | 0 | 0 | 4,801 | 56 | ||||
| Comercial Deductions4 | 16,764 | 315 | 945 | 24 | 95 | 3 | 17,303 | 200 | ||||
| Selling Expenses | 1,590 | 30 | 362 | 9 | 231 | 8 | 1,874 | 22 | ||||
| Administrative Expenses5 | 10,699 | 201 | 366 | 9 | 394 | 13 | 11,051 | 128 | ||||
| Other Expenses | 0 | 0 | 4,518 | 114 | 1,862 | 62 | 3,144 | 36 | ||||
| Other Incomes | -1,602 | -30 | -5,549 | -140 | -2,155 | -72 | -5,410 | -63 | ||||
| Other administrative charges | 0 | 0 | 858 | 22 | 126 | 4 | 506 | 6 | ||||
| Sustaining Capex6 | 4,599 | 86 | 9,406 | 237 | 9,178 | 306 | 13,270 | 154 | ||||
| By-product Credit | -83,451 | -1,566 | -1,249 | -32 | -2,643 | -88 | -85,174 | -986 | ||||
| All-in Sustaining Cost | 44,495 | 835 | 46,048 | 1,161 | 22,808 | 760 | 78,073 | 904 | ||||
| *All-in Sustaining Cost does not include: Depreciation and Amortization, Stoppage of mining units, Exploration in non-operating areas. | ||||||||||||
| Notes: | ||||||||||||
| 1. Non-consolidated financial statements for Compañia De Minas Buenaventura S.A.A. | ||||||||||||
| 2. Considers 100% from Compañia De Minas Buenaventura S.A.A., 53.06% from La Zanja and 40.095% from Tantahuatay. | ||||||||||||
| 3. For Buenaventura does not consider purchase of concentrate from La Zanja. | ||||||||||||
| 4. For all metals produced. | ||||||||||||
| 5. For Buenaventura, does not consider management services charged to subsidiaries. For La Zanja does not consider US$ 3.8 MM Impairment. | ||||||||||||
| 6. Sustaining Capex + Growth Capex equals Acquisitions of mining concessions, development costs, property, plant and equipment. | ||||||||||||
|
All-in Sustaining Cost for 1H15 |
||||||||||||
| Buenaventura1 | La Zanja | Tantahuatay | Attributable Production2 | |||||||||
| 1H15 | 1H15 | 1H15
|
1H15
|
|||||||||
| Au Ounces Sold BVN | 190,219 | |||||||||||
| Au Ounces bought from La Zanja | -68,598 | |||||||||||
| Au Ounces Sold Net | 121,621 | 67,628 | 60,746 | 181,860 | ||||||||
| 1H15 | 1H15
|
1H15
|
1H15
|
|||||||||
| Income Statement & Cash Flow | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | US$ 000′ | US$ /Oz Au | ||||
| Cost of Sales3 | 152,832 | 1,257 | 57,182 | 846 | 27,262 | 449 | 194,104 | 1,067 | ||||
| Exploration in Operating Units | 45,074 | 371 | 8,310 | 123 | 9,521 | 157 | 53,300 | 293 | ||||
| Royalties | 11,600 | 95 | 0 | 0 | 0 | 0 | 11,600 | 64 | ||||
| Comercial Deductions4 | 29,859 | 246 | 1,639 | 24 | 312 | 5 | 30,853 | 170 | ||||
| Selling Expenses | 3,364 | 28 | 677 | 10 | 474 | 8 | 3,913 | 22 | ||||
| Administrative Expenses5 | 24,128 | 198 | 740 | 11 | 928 | 15 | 24,893 | 137 | ||||
| Other Expenses | 0 | 0 | 6,630 | 98 | 2,748 | 45 | 4,620 | 25 | ||||
| Other Incomes | -3,018 | -25 | -9,335 | -138 | -3,599 | -59 | -9,414 | -52 | ||||
| Other administrative charges | 0 | 0 | 2,442 | 36 | 571 | 9 | 1,525 | 8 | ||||
| Sustaining Capex6 | 10,009 | 82 | 13,536 | 200 | 15,552 | 256 | 23,427 | 129 | ||||
| By-product Credit | -152,373 | -1,253 | -2,636 | -39 | -5,532 | -91 | -155,990 | -858 | ||||
| All-in Sustaining Cost | 121,474 | 999 | 79,185 | 1,171 | 48,236 | 794 | 182,830 | 1,005 | ||||
| *All-in Sustaining Cost does not include: Depreciation and Amortization, Stoppage of mining units, Exploration in non-operating areas. | ||||||||||||
| Notes: | ||||||||||||
| 1. Non-consolidated financial statements for Compañia De Minas Buenaventura S.A.A. | ||||||||||||
| 2. Considers 100% from Compañia De Minas Buenaventura S.A.A., 53.06% from La Zanja and 40.095% from Tantahuatay. | ||||||||||||
| 3. For Buenaventura does not consider purchase of concentrate from La Zanja. | ||||||||||||
| 4. For all metals produced. | ||||||||||||
| 5. For Buenaventura, does not consider management services charged to subsidiaries. For La Zanja does not consider US$ 3.8 MM Impairment. | ||||||||||||
| 6. Sustaining Capex + Growth Capex equals Acquisitions of mining concessions, development costs, property, plant and equipment. | ||||||||||||
|
APPENDIX 6 |
|||||
| Compañía de Minas Buenaventura S.A.A. and Subsidiaries | |||||
| Consolidated Statement of Financial Position | |||||
| As of June 30, 2015 and December 31, 2014 | |||||
| 2,015 | 2,014 | ||||
| Assets | US$ (000) | US$ (000) | |||
| Current assets | |||||
| Cash and cash equivalents | 125,276 | 78,512 | |||
| Trade and other accounts receivable, net | 245,530 | 281,604 | |||
| Income tax credit | 53,926 | 53,746 | |||
| Prepaid expenses | 13,755 | 16,954 | |||
| Hedge derivative financial instruments | 3,623 | 3,688 | |||
| Inventory, net | 146,621 | 150,284 | |||
| Total current assets | 588,731 | 584,788 | |||
| Assets classified as held for sale | 16,789 | 18,683 | |||
| 605,520 | 603,471 | ||||
| Non-current assets | |||||
| Trade and other accounts receivable, net | 31,423 | 26,651 | |||
| Long-term inventory | 9,883 | 34,088 | |||
| Investment in associates | 2,269,603 | 2,224,381 | |||
| Mining concessions, development costs, property, plant and equipment, net | 1,713,497 | 1,715,452 | |||
| Investment properties, net | 10,934 | 11,200 | |||
| Deferred income tax asset | 40,465 | 47,675 | |||
| Intangible assets, net | 4,253 | 4,592 | |||
| Other assets, net | 4,732 | 4,764 | |||
| Total non-current assets | 4,084,790 | 4,068,803 | |||
| Total assets | 4,690,310 | 4,672,274 | |||
| Liabilities and shareholders’ equity | |||||
| Current liabilities | |||||
| Overdrafts and bank loans | 85,807 | 40,000 | |||
| Trade and other accounts payable | 231,003 | 254,000 | |||
| Provisions | 70,450 | 67,895 | |||
| Current income tax payable | 2,914 | 3,556 | |||
| Hedge derivative financial instruments | 3,017 | – | |||
| Embedded derivatives for concentrate sales, net | 8,477 | 9,072 | |||
| Financial obligations | 46,142 | 69,950 | |||
| Total current liabilities | 447,810 | 444,473 | |||
| Liabilities directly associated with assets classified as held for sale | 22,850 | 28,890 | |||
| 470,660 | 473,363 | ||||
| Non-current liabilities | |||||
| Financial liability at fair value through profit or loss | 23,026 | 23,026 | |||
| Trade and other accounts payable | 15,103 | 15,240 | |||
| Provisions | 94,240 | 63,571 | |||
| Financial obligations | 338,077 | 313,355 | |||
| Deferred income tax liability | 16,570 | 21,594 | |||
| Total non-current liabilities | 487,016 | 436,786 | |||
| Total liabilities | 957,676 | 910,149 | |||
| Shareholders’ equity | |||||
| Issued capital | 750,497 | 750,497 | |||
| Investment shares | 1,396 | 1,396 | |||
| Additional paid-in capital | 219,055 | 219,055 | |||
| Legal reserve | 162,710 | 162,710 | |||
| Other reserves | 269 | 269 | |||
| Retained earnings | 2,326,996 | 2,328,423 | |||
| Other equity reserves | (567) | 1,755 | |||
| 3,460,356 | 3,464,105 | ||||
| Non-controlling interest | 272,278 | 298,020 | |||
| Total shareholders’ equity | 3,732,634 | 3,762,125 | |||
| Total liabilities and shareholders’ equity | 4,690,310 | 4,672,274 | |||
|
|
| Compañía de Minas Buenaventura S.A.A. and Subsidiaries | ||||||||
| Consolidated Statement of Income | ||||||||
|
For the three-month period |
For the six-month period |
|||||||
| 2,015 | 2,014 | 2,015 | 2,014 | |||||
| US$ (000) | US$ (000) | US$ (000) | US$ (000) | |||||
| Continued operations | ||||||||
| Operating income | ||||||||
| Net sales | 248,908 | 294,813 | 491,840 | 567,690 | ||||
| Royalty income | 7,390 | 7,399 | 16,480 | 15,424 | ||||
| Total operating income | 256,298 | 302,212 | 508,320 | 583,114 | ||||
| Operating costs | ||||||||
| Cost of sales, without considering depreciation and amortization | (160,895) | (147,832) | (297,372) | (287,270) | ||||
| Exploration in operating units | (22,630) | (27,425) | (45,100) | (51,155) | ||||
| Depreciation and amortization | (63,189) | (49,691) | (117,808) | (95,089) | ||||
| Mining royalties | (6,552) | (7,088) | (15,077) | (14,441) | ||||
| Total operating costs | (253,266) | (232,036) | (475,357) | (447,955) | ||||
| Gross profit | 3,032 | 70,176 | 32,963 | 135,159 | ||||
| Operating expenses, net | ||||||||
| Administrative expenses | (18,831) | (22,033) | (40,347) | (49,684) | ||||
| Exploration in non-operating areas | (9,704) | (14,821) | (20,401) | (25,195) | ||||
| Selling expenses | (3,918) | (4,597) | (8,108) | (8,589) | ||||
| Impairment of long-lived assets | (3,803) | – | (3,803) | – | ||||
| Provision for contingencies | (58) | (3,381) | 192 | (10,888) | ||||
| Other, net | (758) | 9,423 | (478) | 7,948 | ||||
| Total operating expenses, net | (37,072) | (35,409) | (72,945) | (86,408) | ||||
| Operating profit (loss) | (34,040) | 34,767 | (39,982) | 48,751 | ||||
| Other income, net | ||||||||
| Net share in the results of associates under equity method | 11,966 | 20,169 | 48,240 | 15,689 | ||||
| Financial income | 970 | 1,841 | 1,614 | 3,647 | ||||
| Financial expenses | (8,273) | (3,256) | (14,152) | (6,157) | ||||
| Net loss from currency exchange difference | (1,262) | (245) | (3,580) | (767) | ||||
| Total other income, net | 3,401 | 18,509 | 32,122 | 12,412 | ||||
| Profit (loss) before income taxes and non-controlling interest | (30,639) | 53,276 | (7,860) | 61,163 | ||||
| Current income tax expense | (2,006) | (6,939) | (7,383) | (14,744) | ||||
| Deferred income tax income (expense) | 2,067 | (3,554) | (2,983) | (3,071) | ||||
| Profit (loss) from continued operations | (30,578) | 42,783 | (18,226) | 43,348 | ||||
| Discontinued operations | ||||||||
| Loss from discontinued operations | (912) | (10,209) | (3,016) | (21,146) | ||||
| Net profit (loss) | (31,490) | 32,574 | (21,242) | 22,202 | ||||
| Attributable to: | ||||||||
| Owners of the parent | (18,746) | 23,088 | (1,427) | 6,976 | ||||
| Non-controlling interest | (12,744) | 9,486 | (19,815) | 15,226 | ||||
| (31,490) | 32,574 | (21,242) | 22,202 | |||||
| Basic and diluted earnings per share attributable | ||||||||
| to the owners of the parent, stated in U.S. dollars | (0.07) | 0.09 | (0.01) | 0.03 | ||||
| Weighted average number of shares outstanding | ||||||||
| (common and investment), in units | 254,186,867 | 254,186,867 | 254,186,867 | 254,186,867 | ||||
| Compañía de Minas Buenaventura S.A.A. and Subsidiaries | ||||||||
| Consolidated Statement of Cash Flows | ||||||||
|
For the three-month period |
For the six-month period ended |
|||||||
| 2,015 | 2,014 | 2,015 | 2,014 | |||||
| US$ (000) | US$ (000) | US$ (000) | US$ (000) | |||||
| Operating activities | ||||||||
| Proceeds from sales | 250,675 | 266,880 | 482,454 | 533,734 | ||||
| Value Added Tax (VAT) recovered | 19,506 | 21,981 | 52,873 | 39,685 | ||||
| Royalties received | 9,397 | 8,429 | 22,841 | 15,424 | ||||
| Dividends received | 902 | 2,065 | 2,959 | 4,442 | ||||
| Interest received | 855 | 1,704 | 1,797 | 3,829 | ||||
| Payments to suppliers and third-parties | (183,029) | (188,407) | (361,783) | (388,141) | ||||
| Payments to employees | (41,700) | (51,341) | (87,028) | (106,961) | ||||
| Payment of income tax | (7,121) | (12,533) | (11,262) | (17,944) | ||||
| Payment of royalties | (5,684) | (3,513) | (11,882) | (10,966) | ||||
| Payment of interest | (4,129) | (3,505) | (9,599) | (5,453) | ||||
| Net cash and cash equivalents provided by operating activities | 39,672 | 41,760 | 81,370 | 67,649 | ||||
| Investing activities | ||||||||
| Proceeds from collections of loans | – | 1,426 | – | 10,458 | ||||
| Proceeds from sales of mining concessions, property, plant and equipment | 1,886 | 67 | 2,020 | 90 | ||||
| Proceeds from settlement of investment in shares | – | 80 | – | 80 | ||||
| Acquisitions of mining concessions, development costs, property, plant and equipment | (44,514) | (60,383) | (81,632) | (133,956) | ||||
| Acquisitions of investment properties | – | – | – | (11,705) | ||||
| Loans granted | – | (157) | – | (157) | ||||
| Contributions and investments in associates | – | (472) | – | (1,475) | ||||
| Net cash and cash equivalents used in investing activities | (42,628) | (59,439) | (79,612) | (136,665) | ||||
| Financing activities | ||||||||
| Increase of bank loans | – | 2,321 | 90,000 | 2,321 | ||||
| Increase of financial obligations | – | 108,780 | 10,000 | 183,439 | ||||
| Repayment of bank loans | – | – | (40,000) | – | ||||
| Payment of financial obligations | (4,068) | (29,053) | (9,086) | (33,593) | ||||
| Dividends paid | – | (2,797) | – | (2,797) | ||||
| Dividends paid to non-controlling interest | (2,640) | (2,240) | (5,908) | (4,200) | ||||
| Net cash and cash equivalents provided by (used in) financing activities | (6,708) | 77,011 | 45,006 | 145,170 | ||||
| Net increase (decrease) in cash and cash equivalents during the period | (9,664) | 59,332 | 46,764 | 76,154 | ||||
| Cash and cash equivalents at the beginning of the period | 134,940 | 78,720 | 78,512 | 61,898 | ||||
| Cash and cash equivalents at period-end | 125,276 | 138,052 | 125,276 | 138,052 | ||||
|
For the three-month period |
For the six-month period ended |
|||||||
| 2,015 | 2,014 | 2,015 | 2,014 | |||||
| US$ (000) | US$ (000) | US$ (000) | US$ (000) | |||||
|
Reconciliation of net profit (loss) to cash and cash equivalents provided by operating activities |
||||||||
| Net profit (loss) attributable to owners of the parent | (18,746) | 23,088 | (1,427) | 6,976 | ||||
| Plus (less): | ||||||||
| Depreciation and amortization | 63,189 | 50,669 | 117,808 | 96,067 | ||||
| Net profit (loss) attributable to non-controlling interest | (12,744) | 9,486 | (19,815) | 15,226 | ||||
| Provision for employee bonus | (8,175) | (11,897) | – | – | ||||
| Deferred income tax expense (income) | (2,067) | 3,554 | 2,983 | 3,071 | ||||
| Provision for estimated fair value of embedded derivatives related to concentrate | ||||||||
| sales and adjustments on open liquidations | 6,061 | (13,549) | (595) | (4,100) | ||||
| Provision for impairment of inventories | 6,034 | 2,207 | 4,782 | (835) | ||||
| Accretion expense of provision for closure of mining units and exploration projects | 2,560 | (221) | 2,835 | 1,222 | ||||
| Provision for stock appreciation rights | 20 | – | 135 | 1,931 | ||||
| Provision for impairment of long-lived assets | 3,803 | – | 3,803 | 794 | ||||
| Net loss from currency exchange difference | 1,186 | 242 | 3,504 | 764 | ||||
| Net share in the results of associates under equity method | (11,966) | (20,169) | (48,240) | (15,689) | ||||
| Loss (gain) on sales of mining concessions, property, plant and equipment | 1,639 | (41) | 2,953 | (64) | ||||
| Provision for interest payable | 2,227 | – | 2,742 | – | ||||
| Allowance for doubtful accounts | 846 | (204) | 847 | 19 | ||||
| Others provisions | 7,358 | 19,435 | 191 | 22,293 | ||||
| Net changes in operating assets and liabilities | ||||||||
| Decrease (increase) in operating assets | ||||||||
| Trade and other accounts receivable, net | 8,780 | (18,366) | 29,474 | (16,902) | ||||
| Income tax credit | (1,879) | 43 | (180) | (5,551) | ||||
| Inventory, net | (3,335) | 7,248 | 24,466 | 27,437 | ||||
| Prepaid expenses | 1,539 | (1,888) | 2,699 | (1,055) | ||||
| Increase (decrease) in operating liabilities | ||||||||
| Trade and other accounts payable | 20,286 | (3,665) | (14,359) | (46,405) | ||||
| Provisions | (23,941) | (4,004) | (32,594) | (17,596) | ||||
| Income tax payable | (3,003) | (208) | (642) | 46 | ||||
| Net cash and cash equivalents provided by operating activities | 39,672 | 41,760 | 81,370 | 67,649 | ||||
View source version on businesswire.com: http://www.businesswire.com/news/home/20150731005554/en/
Compañía de Minas Buenaventura S.A.A.
Carlos Galvez, Chief Financial Officer
Tel (511) 419 2540
or
Daniel Dominguez, Director of Treasury and Investor Relations
Tel (511) 419 2591
[email protected]
or
Contacts in New York:
i-advize Corporate Communications
Maria Barona – Rafael Borja
[email protected]
Tel (212) 406 3691 – 3693
