Turquoise Hill Resources yesterday announced its financial results for the year ended December 31, 2017. All figures are in U.S. dollars unless otherwise stated.
Oyu Tolgoi achieved an All Injury Frequency Rate of 0.27 per 200,000 hours worked for the year ended December 31, 2017. Underground lateral development made good progress during 2017 completing 6.1 equivalent kilometres for the year which was in-line with the 2016 Technical Report expectations. Since the re-start of development in January 2016, a total of 7.7 equivalent kilometres has been completed, which is on plan.
Shaft 2 sinking was completed in January 2018 with fit out expected to occur over 2018. • Shaft 5 had approximately 100 metres remaining at the end of 2017 and sinking is expected to be complete in Q1’18. During 2017, total underground expansion spend was $835.7 million, meeting guidance and resulting in total underground project spend since January 1, 2016 of approximately $1.1 billion. Production from first draw bell remains planned for mid-2020 and sustainable first production in 2021. During 2017, Oyu Tolgoi set operational records for total material mined and concentrator throughput.
Copper production of 157,400 tonnes and gold production of 114,000 ounces in 2017 met the Company’s guidance. Oyu Tolgoi recorded revenue of $939.8 million in 2017 compared with $1,203.3 million in 2016 reflecting lower sales volumes partially offset by higher copper prices. For 2017, the Company recorded income of $110.9 million and net income attributable to owners of Turquoise Hill of $181.2 million or $0.09 per share.
Turquoise Hill generated cash flow from operating activities before interest and tax of $325.8 million in 2017, with net cash generated from operating activities of $118.0 million. For 2017, Oyu Tolgoi’s cost of sales was $2.32 per pound of copper sold, C1 cash costs were $1.92 per pound of copper produced and all-in sustaining costs were $2.39 per pound of copper produced1 . • Operating cash costs1 of $711.6 million in 2017 beat the Company’s guidance. Of the $4.2 billion project finance facility proceeds deposited with Rio Tinto in June 2016, approximately $1.0 billion has been redrawn as of December 31, 2017 with approximately $3.2 billion available. Turquoise Hill’s cash and cash equivalents at December 31, 2017 were approximately $1.4 billion.
Full report is available at http://www.turquoisehill.com/i/pdf/news/TUR-NR-15-03-2018.pdf
Turquoise Hill Resources yesterday announced its financial results for the year ended December 31, 2017. All figures are in U.S. dollars unless otherwise stated.
Oyu Tolgoi achieved an All Injury Frequency Rate of 0.27 per 200,000 hours worked for the year ended December 31, 2017. Underground lateral development made good progress during 2017 completing 6.1 equivalent kilometres for the year which was in-line with the 2016 Technical Report expectations. Since the re-start of development in January 2016, a total of 7.7 equivalent kilometres has been completed, which is on plan.
Shaft 2 sinking was completed in January 2018 with fit out expected to occur over 2018. • Shaft 5 had approximately 100 metres remaining at the end of 2017 and sinking is expected to be complete in Q1’18. During 2017, total underground expansion spend was $835.7 million, meeting guidance and resulting in total underground project spend since January 1, 2016 of approximately $1.1 billion. Production from first draw bell remains planned for mid-2020 and sustainable first production in 2021. During 2017, Oyu Tolgoi set operational records for total material mined and concentrator throughput.
Copper production of 157,400 tonnes and gold production of 114,000 ounces in 2017 met the Company’s guidance. Oyu Tolgoi recorded revenue of $939.8 million in 2017 compared with $1,203.3 million in 2016 reflecting lower sales volumes partially offset by higher copper prices. For 2017, the Company recorded income of $110.9 million and net income attributable to owners of Turquoise Hill of $181.2 million or $0.09 per share.
Turquoise Hill generated cash flow from operating activities before interest and tax of $325.8 million in 2017, with net cash generated from operating activities of $118.0 million. For 2017, Oyu Tolgoi’s cost of sales was $2.32 per pound of copper sold, C1 cash costs were $1.92 per pound of copper produced and all-in sustaining costs were $2.39 per pound of copper produced1 . • Operating cash costs1 of $711.6 million in 2017 beat the Company’s guidance. Of the $4.2 billion project finance facility proceeds deposited with Rio Tinto in June 2016, approximately $1.0 billion has been redrawn as of December 31, 2017 with approximately $3.2 billion available. Turquoise Hill’s cash and cash equivalents at December 31, 2017 were approximately $1.4 billion.
Full report is available at http://www.turquoisehill.com/i/pdf/news/TUR-NR-15-03-2018.pdf