DPM Metals Inc.

Good day, and thank you for standing by. Welcome to the Dundee Precious Metals second quarter 2023 earnings results conference call. At this time, all participants are in listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 1-1 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 1-1 again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to Jennifer Cameron. Please go ahead.

Thank you and good morning. I'm Jennifer Cameron, Director of Investor Relations, and I'd like to welcome you to our second quarter conference call. Joining us today are members of our senior management team, including David Ray, President and CEO, and Navin Dayal, Chief Financial Officer. Before we begin, I'd like to remind you all that all forward-looking information provided during this call is subject to the forward-looking qualification, which is detailed in our news release and incorporated in full for the purposes of today's call. Certain financial measures we will be referring to are not measures recognized under IFRS and are referred to as non-GAAP measures or ratios. These measures have no standardized meaning under IFRS and may not be comparable to similar measures presented by other companies. The definitions established and calculations performed by DPM are based on management's reasonable judgment and are consistently applied. These measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures prepared in accordance with IFRS. Please refer to the non-GAAP financial measures section of our most recent MD&A for reconciliations of these non-GAAP measures. Please note that unless otherwise stated, operational and financial information communicated during this call are related to continuing operations and have generally been rounded. References to 2022 pertain to possible periods in 2022 and references to averages are based on midpoints of our outlook or guidance. I'll now turn the call over to David Ray.

Good morning and thank you all for joining us. I'm pleased to provide you with an overview of our second quarter of first half results and to provide some insights into our achievements during this period. This morning, I'll briefly review our results and discuss why we believe DPM continues to be well positioned to deliver value to all our stakeholders now and over the long term. The highlights from our second quarter, these include strong production of approximately 76,000 ounces of gold and 8 million pounds of copper, excellent all-in sustaining cost performance of $733 per ounce of gold sold, which continues to rank us among the lowest cost producers. record-free cash flow generation of over $70 million, and continued exploration success at Shoka Rikita in Serbia, with the most recent results we released in July extending the deposit to the south and confirming and further extending the high-grade zone. With strong production and cost performance in the first half of the year, both of our mining operations are on track to achieve the 2023 production and cost guidance. We exited the quarter in a very strong financial position reflecting our significant pre-cash flow generation in the first half of this year, as well as the proceeds of our divestment of B2 Gold shares following its acquisition of Savina. We continue to deploy our capital in a disciplined manner, and in addition to investing in our future growth and exploration prospects, we returned approximately 36% of our pre-cash flow to shareholders in the first half of the year, through our sustainable quarterly dividend and the enhanced share buyback program, which Navin will touch on shortly. Looking at our operations in more detail, Chalapach continued its track record of strong performance in the second quarter, producing approximately 44,000 ounces of gold and 8 million pounds of copper at an all-in sustaining cost of $776 per ounce of gold sold. We continue to advance the Chalapach brownfield exploration program with eight drill rigs currently active along the Breveni exploration license and the Charlotte Deary target within the mine concession. With increased in-mine and brownfield exploration drilling, we believe there is strong potential to continue our track record of extending mine life at Chalapetch, which currently extends to 2031. Turning to Adetepe, the mine continued to deliver impressive performance, producing approximately 32,000 ounces of gold. with an all-in sustaining cost of $530 per ounce of gold sold, which is at the low end of Adatepe's guidance range costs. Adatepe has consistently outperformed our expectations since commissioning in 2019, and we are confident that Adatepe will continue to deliver strong results, supported by the updated life of mine plan we announced in January. We're also continuing our exploration efforts around Adatepe, At the newly granted Krymovitsa exploration license, we have a permit for 29 drill sites in process, and drilling at three priority targets is planned to commence in early August. We are planning an aggressive drilling delineation and scout drilling program at Krymovitsa with 15,000 meters expected to be completed in the second half of 2023. At Sumeb, complex concentrates melted during the quarter was approximately 49,000 tons, which was below our expectations as a result of unplanned maintenance in the off-gas system. We are planning to undertake additional maintenance in the off-gas system concurrently with the Osmalt furnace maintenance, which is currently underway and is expected to resolve the issues in the off-gas system. As a result of these issues, TUMEP is trending at the low end of its production guidance and towards the higher end of its cost guidance. In Serbia, exploration activities focus on the accelerated with nine drill rigs currently in operation. In mid-July, we released additional assay results, which extended the deposit to the south and continues to confirm and further extend the high-grade zone. The 40,000-meter infill and extensional drill program is largely complete, including infill drilling at 60 by 60 meters spacing, and we've started an additional 30,000-meter infill drilling program to take the spacing to 30 by 30 meters. We expect to complete a maiden mineral resource estimate for Chocoriquita by the end of this year, and we're also progressing activities to accelerate the advancement of the project, including geotechnical drilling and metallurgical test work. We've also started scout drilling to test other camp-wide targets near Chocoriquita, as well as the 10,000-meter scout drilling program on the Unka license, which is some five kilometers south of Chocoriquita. Csoka Rikida has several positive attributes that we look for in projects, including a very high grade core, good initial metallurgical results, strong infrastructure, and it's a great fit with our skill sets, resulting in significant potential within our organic growth portfolio. As a result of this increased activity and the positive results we are seeing, we have increased our 2023 guidance for exploration spend in Serbia, which Navin will discuss shortly. Turning to Loma Lago in Ecuador, we continue to advance the updated feasibility study, including optimisation work, leveraging our significant expertise at Celefech in Bulgaria, and we expect to complete this work in the second half of 2020. During the quarter, the EIA for the 69kV power line, the primary power supply to the project, received technical approval, and the community consultation process for this aspect of the project is currently underway. At Loma Laga, drilling activities as well as the citizens' participation process for the environmental impact assessment remain paused pending the outcome of the appeals process related to the decision on the constitutional protective action following the hearing in mid-October last year. The decision on the appeal is expected to provide clarity on the consultation process and whether an indigenous consultation could be completed in parallel as we'd originally planned or would need to be completed The expected timing for the environmental license is subject to the outcome of this appeal process. As we advance the project, our approach will benefit from our firm commitment to the highest standards for engagement with local communities and environmental stewardship, in addition to our operating expertise to unlock the significant potential of the project. As a result of the ongoing optimization work for the feasibility study and increased stakeholder engagement activities, We're increasing our 2023 guidance for growth capital at Loma Laga, which Navin will discuss further. At the Tierras Coloradas concession, which is located 200 kilometers south of Loma Laga in Ecuador's Loja province, we expect to commence a 10,000-meter drilling program this month. This is designed to follow up on the positive results we reported at the end of February, which confirmed the presence of two high-grade vein systems that remain open in multiple directions. The primary focus will be to further assess the extension and geometry of the two vein systems and to test recently discovered high-grade vein and soil anomalies. In closing, our second quarter results continue to demonstrate BPM's strong performance and highlights within our industry. These highlights include strong consistent production from our operations and an all-in sustaining cost that ranks among the lowest in the gold industry, significant free cash flow generation financial strength and flexibility, a record of disciplined capital allocation and returning capital to shareholders, attractive development projects, proven exploration successes both in our existing mine life extensions and discovering new ground field opportunities, also demonstrates industry-leading ESG performance and an impressive track record in securing our social license to operate, and strong leadership and technical teams with a history of adding real value to innovation. I'll now turn the call over to Navin for a review of our financial results and outlook, following which we will open the call to questions.