Gold Resource Corporation

Good afternoon, ladies and gentlemen, and welcome to the Gold Resource Q2 2024 Earnings Call. At this time, all lines are in listen-only mode. Following the presentation, we will conduct a question-and-answer session. If at any time during this call you require immediate assistance, please press star zero for the operator. This call is being recorded on Wednesday, August 7, 2024. I would now like to turn the conference over to Chad Holyock. Please go ahead.

Thank you, Ina, and good morning to everyone. On behalf of the Gold Resource Team, I would like to welcome you to our conference call covering our second quarter 2024 results. Before we begin the call, there are a couple housekeeping matters I would like to address. Please note that certain statements to be made today are forward-looking in nature and, as such, are subject to numerous risks and uncertainties, as described in our annual report on Form 10-K and other SEC filings. Please note all amounts referenced during this presentation are in U.S. dollars unless otherwise stated. Joining me on the call today is Alan Palmier, our President and CEO, and Alberto Reyes, our Chief Operating Officer. Following Alan, Alberto, and my prepared remarks, we will be available to answer questions. This conference call is being webcast. For those of you joining us on the webcast, you can download a PDF copy of the conference call slides. The event will also be available for replay on our website later today. Yesterday's news release that was issued following the close of the market and the accompanying Form 10-Q have been filed with the SEC on EDGAR and are also available on our website at www.goldresourcecorp.com. I will now turn the call over to Alan.

Thank you, Chet, and good morning, everyone. I'd like to thank you for joining our second quarter conference call. I'd like to address a few points first, and then Alberto will address operations, followed by Chet with the financial results. Following their remarks, I'll make a few closing comments and we will take questions. The second quarter continued the trends that we've seen over the past few quarters with similar results. Limited working areas and challenging ground conditions resulted in lower mine production than planned. This was compounded by work stoppages due to blockades on the public roads and extremely wet weather conditions. That being said, we are continuing to cover our costs and anticipate positive cash flow for the balance of the year. We are looking at various alternatives to increase productivity and profitability, and hopefully we'll see results in the fourth quarter. The elephant in the room is the market meltdown earlier this week. The capital markets were off as well as commodities. The only bright spot for Gold Resource Corp was the significant devaluation of the pay zone. As you know, approximately 50% of our operating costs are denominated in the pay zone. So the relative decline in the rates results in a corresponding decrease in operating costs. This partially offsets the declining commodity prices. We have undertaken a planning exercise to ensure that to the extent possible, We can predict by stope for the balance of the year. This exercise reflects our year-to-date productivity and mechanical availability. The assumptions are conservative. The forecast shows us to be beginning to build cash in Q4. Longer term, we are looking at what is necessary to allow us to accelerate access into the new areas of Three Sisters and Gloria. This is effectively a third mine within our existing two. Currently, it looks possible to access these areas in the first quarter of 2026. This is potentially very exciting as the drilling continues to provide very exciting results. Cash continues to be tight and remains a key focus for the company. I'll now turn the call over to Alberto for an update on the operations.