Canadian gold major Yamana has reported strong fourth-quarter results, with net earnings surging to $103-million, or $0.11 a share, from $14.6-million, or $0.02 a share, a year earlier.
Adjusted earnings for the quarter, ended December, were $107.7-million.
Fourth-quarter cash flows from operating activities were $181.5-million and net free cash flow was $118.9-million, exceeding the averages of the preceding three quarters by 25% and 6%, respectively.
Net earnings for the full year decreased to $203.6-million, or $0.21 a share, from $225.6-million, or $0.24 a share, in 2019.
Fourth-quarter gold equivalent ounce (GEO) production was 255 361, including 221 659 oz of gold and 2.59-million ounces of silver. Full-year GEO production came to 901 155, including 779 810 oz of gold and 10.37-million ounces of silver, exceeding the original guidance for the year of 890 000 GEOs.
Over the next three years, Yamana expects sequential growth in gold production. Gold output will increase to 862 000 oz in 2021, 870 000 oz in 2022 and 889 000 oz in 2023. Silver production is forecast to decrease over the next three years, with 10-million ounces expected in 2021, 9.4-million ounces in 2022 and 8-million ounces in 2023.
Meanwhile, Yamana also announced that it had formally adopted a climate change strategy, demonstrating the mining company’s commitment to transition to a low-carbon future.
The strategy is underpinned by the adoption of two targets – a 2 °C science-based target and an aspirational net-zero 2050 target.