This release should
be read with the Company's Financial Statements and Management
Discussion & Analysis ("MD&A"), available at
www.tasekomines.com and filed on www.sedar.com.
Except where otherwise noted, all currency amounts are stated in
Canadian dollars. Taseko's 75% owned Gibraltar Mine is located
north of the City of Williams Lake in south-central British
Columbia. Production volume stated in this release are on a 100%
basis unless otherwise indicated.
|
VANCOUVER, Aug. 7, 2018 /CNW/ - Taseko Mines Limited
(TSX: TKO; NYSE American: TGB) ("Taseko" or the "Company") reports
earnings from mining operations before depletion and amortization*
of $36.3 million, adjusted EBITDA* of
$32.3 million and adjusted net
income* of $2.3 million the second
quarter of 2018.
Russell Hallbauer, President
& CEO commented, "Following six months of lower head grade at
Gibraltar, mining operations
returned to plan and copper grades increased by approximately 50%
in the second quarter, as compared to the previous two quarters.
This resulted in copper production of 34 million pounds in the
second quarter, much higher than the previous two quarters.
Improved metal production was due to the higher copper grade ore
and improved copper recovery. Copper recovery improvement was a
result of higher grades as well as less oxidation in the ore that
was processed. We expect copper grades and recovery to average
similar levels for the balance of 2018."
"Our Florence Copper Project continues to advance on time and on
budget. Wellfield construction was completed in April and we have
recently conducted a number of wellfield tests with very
encouraging results that meet or exceed the bench-scale testing
used for the 2017 technical report. We expect to begin
injecting solutions and pre-leaching the deposit in August at the
same time as we are commissioning the SX/EW plant. First
cathode is anticipated before the end of December," Mr. Hallbauer
added. "Development of our Florence project will come at a critical
time as trade tariffs and trade disputes continue among the largest
consumers of copper in the world. The USA imports approximately 600,000 metric
tonnes of refined copper annually. With limited new copper
production capacity expected to come on stream in the USA, Florence is an extremely valuable asset
for our Company."
Mr. Hallbauer continued, "Demand for molybdenum remains strong
and continues to reflect a tight market. We experienced some
recovery issues with our molybdenum circuit in the second quarter
which impacted metal production and resulted in reduced by-product
credits. The circuit issues have been resolved and we expect
molybdenum production to increase for the rest of the year and the
important by-product credits to improve accordingly."
"Cash flow in the quarter was impacted by continued spending at
our Florence Copper Project as well as a semi-annual bond interest
payment. With our current cost structure and spending at
Florence on the decline, we
anticipate maintaining a solid cash balance in the months
ahead. While the copper price has been volatile over
the past six weeks, we continue to believe the fundamentals remain
strong for copper in the medium to long-term," concluded Mr.
Hallbauer.
Second Quarter Highlights
- Earnings from mining operations before depletion and
amortization* were $36.3 million;
- Copper and molybdenum production in the second quarter was 33.5
million pounds and 0.5 million pounds, respectively, an increase
from previous quarters as a result of the higher head grades and
recoveries;
- Net loss was $4.7 million
($0.02 net loss per share) and
Adjusted net income* was $2.3 million
($0.01 per share);
- Site operating costs, net of by-product credits* were
US$1.66 per pound produced and Total
operating costs (C1)* were US$1.98
per pound produced, as unit costs were positively impacted by the
higher grades and production;
- Total sales (100% basis) for the quarter were 32.2 million
pounds of copper and 0.4 million pounds of molybdenum;
- Construction of the Production Test Facility ("PTF") for the
Florence Copper Project progressed on time and on budget.
Construction activities at the site are now nearing completion and
the facility is expected to be operational by the end of third
quarter, with first copper cathode expected by the end of this
year. Capital expenditures in the second quarter were $10.1 million (US$7.3
million);
- Cash flow from operations was $20.3
million and was negatively impacted by a $10.9 million working capital adjustment related
to increased accounts receivables and inventories;
- At June 30, 2018 the Company held
put options for 30 million pounds of copper with maturities between
July 2018 and December 2018 at a strike price of US$2.80 per pound; and
- The Company's cash balance at June 30,
2018 was $52 million, reduced
from $64 million at the end of the
previous quarter due in part to cash used for construction of the
Florence Copper PTF.
*Non-GAAP performance
measure. See end of news release.
|
HIGHLIGHTS
Financial
Data
|
Three months ended
June 30,
|
Six months ended
June 30,
|
(Cdn$ in thousands,
except for per share amounts)
|
2018
|
2017
|
Change
|
2018
|
2017
|
Change
|
Revenues
|
94,273
|
99,994
|
(5,721)
|
158,452
|
204,383
|
(45,931)
|
Earnings from mining
operations before depletion and amortization*
|
36,267
|
46,460
|
(10,193)
|
49,811
|
99,887
|
(50,076)
|
Earnings from mining
operations
|
18,312
|
34,661
|
(16,349)
|
17,076
|
78,511
|
(61,435)
|
Net income
(loss)
|
(4,671)
|
5,247
|
(9,918)
|
(23,152)
|
21,726
|
(44,878)
|
|
Per share - basic
("EPS")
|
(0.02)
|
0.02
|
(0.04)
|
(0.10)
|
0.10
|
(0.20)
|
Adjusted net income
(loss)*
|
2,337
|
14,305
|
(11,968)
|
(8,662)
|
29,560
|
(38,222)
|
|
Per share - basic
("adjusted EPS")*
|
0.01
|
0.06
|
(0.05)
|
(0.04)
|
0.13
|
(0.17)
|
EBITDA*
|
25,509
|
43,805
|
(18,296)
|
25,879
|
92,950
|
(67,071)
|
Adjusted
EBITDA*
|
32,251
|
42,820
|
(10,569)
|
39,788
|
90,754
|
(50,966)
|
Cash flows provided
by operations
|
20,349
|
62,291
|
(41,942)
|
31,905
|
142,056
|
(110,151)
|
Operating Data
(Gibraltar - 100% basis)
|
Three months ended
June 30,
|
Six months ended
June 30,
|
|
|
|
|
|
|
|
|
2018
|
2017
|
Change
|
2018
|
2017
|
Change
|
Tons mined
(millions)
|
27.4
|
21.1
|
6.3
|
54.1
|
42.9
|
11.2
|
Tons milled
(millions)
|
7.5
|
7.5
|
-
|
15.0
|
14.8
|
0.2
|
Production (million
pounds Cu)
|
33.5
|
39.4
|
(5.9)
|
56.4
|
80.6
|
(24.2)
|
Sales (million pounds
Cu)
|
32.2
|
40.7
|
(8.5)
|
55.0
|
81.5
|
(26.5)
|
*Non-GAAP performance
measure. See end of news release.
|
REVIEW OF OPERATIONS
Gibraltar Mine
(75% Owned)
|
|
|
|
|
|
|
Operating data
(100% basis)
|
|
Q2
2018
|
Q1
2018
|
Q4
2017
|
Q3
2017
|
Q2
2017
|
Tons mined
(millions)
|
|
27.4
|
26.7
|
26.9
|
23.3
|
21.1
|
Tons milled
(millions)
|
|
7.5
|
7.5
|
7.9
|
7.2
|
7.5
|
Strip
ratio
|
|
1.9
|
4.1
|
4.9
|
4.1
|
2.8
|
Site operating cost
per ton milled (CAD$)*
|
|
$10.31
|
$8.68
|
$7.68
|
$5.93
|
$7.67
|
Copper
concentrate
|
|
|
|
|
|
|
|
Grade (%)
|
|
0.263
|
0.201
|
0.209
|
0.284
|
0.309
|
|
Recovery
(%)
|
|
85.3
|
75.7
|
77.5
|
86.1
|
85.2
|
|
Production (million
pounds Cu)
|
|
33.5
|
22.9
|
25.5
|
35.1
|
39.4
|
|
Sales (million pounds
Cu)
|
|
32.2
|
22.8
|
32.0
|
30.2
|
40.7
|
|
Inventory (million
pounds Cu)
|
|
4.2
|
2.9
|
2.7
|
9.3
|
4.6
|
Molybdenum
concentrate
|
|
|
|
|
|
|
|
Production (thousand
pounds Mo)
|
|
506
|
443
|
537
|
445
|
789
|
|
Sales (thousand
pounds Mo)
|
|
424
|
433
|
589
|
403
|
794
|
Per unit data (US$
per pound produced)*
|
|
|
|
|
|
|
|
Site operating
costs*
|
|
$1.78
|
$2.25
|
$1.86
|
$0.97
|
$1.08
|
|
By-product
credits*
|
|
(0.12)
|
(0.23)
|
(0.17)
|
(0.09)
|
(0.11)
|
Site operating costs,
net of by-product credits*
|
|
$1.66
|
$2.02
|
$1.69
|
$0.88
|
$0.97
|
Off-property
costs
|
|
0.32
|
0.31
|
0.42
|
0.30
|
0.34
|
Total operating costs
(C1)*
|
|
$1.98
|
$2.33
|
$2.11
|
$1.18
|
$1.31
|
OPERATIONS ANALYSIS
Second quarter results
Gibraltar mining operations
returned to plan during the quarter, following the impact of the
2017 summer wildfires that affected the previous two quarters.
Copper production in the second quarter was 33.5 million pounds,
approximately 50% higher than the previous two quarters as a result
of increased copper grade and recovery. Copper head grade was
0.263%, in line with expectations and consistent with Gibraltar's average reserve grade.
Copper recovery also improved to 85.3% for the quarter, a result of
the increased head grades and reduced oxidized ore in the mill
feed.
A total of 27.4 million tons were mined during the period, an
increase over previous quarters as additional trucking capacity was
utilized to increase the mining rate. The strip ratio for the
second quarter of 1.9 to 1 was lower than recent quarters and 1.9
million tons of mined ore was added to the ore stockpile. Whereas
in the previous three quarters the strip ratio was higher and mill
feed was drawn from the ore stockpile.
*Non-GAAP performance
measure. See end of news release.
|
OPERATIONS ANALYSIS - CONTINUED
Site operating cost per ton milled* was $10.31 in the second quarter of 2018, which is
higher than the first quarter primarily due to the decreased
capitalization of stripping costs. Waste stripping costs of
$7.7 million (75% basis), or
$1.37 per ton milled, were
capitalized in the second quarter, compared to $14.7 million ($2.61 per ton milled) in the first quarter of
2018. However, total site spending (including capitalized costs)
remained at a similar level to the previous quarter.
Site operating costs per pound produced* decreased to
US$1.78 from US$2.25 in the previous quarter, primarily due to
higher copper production.
Molybdenum production was 0.5 million pounds in the second
quarter which was in line with the previous quarter.
Mechanical issues in the molybdenum plant, which have now been
resolved, impacted recovery and as a result, molybdenum production
did not increase in line with copper production in the period.
By-product credits per pound of copper produced* decreased to
US$0.12 in the second quarter from
US$0.23 in the previous quarter.
Off-property costs per pound produced* were US$0.32 for the second quarter of 2018, which is
in line with recent quarters. Total operating costs (C1) per pound*
decreased to US$1.98, a 15% decrease
from the first quarter of 2018.
GIBRALTAR
OUTLOOK
Copper grades are expected to average approximately 0.26% for
the remainder of 2018, which is consistent with the life of mine
average grade and will result in continued strong production in the
second half of the year.
Copper markets have declined since the end of the second
quarter, falling from US$3.01 per
pound at June 30, 2018 to
US$2.78 per pound as of August 7, 2018. Molybdenum prices have
strengthened to US$12.30 per pound as
of August 7, 2018, compared to
US$10.72 per pound at the end of the
second quarter.
The Company is progressing with an insurance claim related to
the Cariboo region wildfires in July
2017. The amount of the insurance claim has not been
finalized and is currently estimated to be in the range of
$4 million to $10 million on a 75% basis.
REVIEW OF PROJECTS
Taseko's strategy has been to grow the Company by leveraging
cash flow from the Gibraltar Mine to assemble and develop a
pipeline of projects. We continue to believe this will generate the
best, long-term returns for shareholders. Our development projects
are located in British Columbia
and Arizona and represent a
diverse range of metals, including gold, copper, molybdenum and
niobium. Our current focus is on the development of the Florence
Copper Project.
*Non-GAAP performance
measure. See end of news release.
|
REVIEW OF PROJECTS - CONTINUED
Florence Copper Project
In September 2017, the Company
announced that it was moving forward with the construction of the
Production Test Facility ("PTF") for the Florence Copper Project.
The SX/EW Plant and the associated wellfield, comprised of 24
production, monitoring, observation and point of compliance wells,
will be built for approximately US$25
million. Construction of the PTF progressed smoothly
through the second quarter and is now nearing completion.
The project is on time and on budget with expenditures in the
first half of 2018 of $24.4 million
(US$18.1 million). The facility,
plant and wells are expected to be operational at the end of the
third quarter of 2018, and first copper production is expected by
the end of the year.
Successful operation of the in situ leaching process will allow
permits to be amended for the full scale operation of 85 million
pounds per year of copper cathode. It is anticipated that by late
2019, construction on the commercial scale operation could be
commenced.
Aley Niobium Project
In 2014, the Company filed an NI43-101 technical report for the
Aley Niobium Project. Further engineering and metallurgical test
work has been completed since then which is expected to result in
improved project economics. Environmental monitoring on the project
continues and a number of product marketing initiatives are
underway. A drill program is underway in the third quarter to
collect samples for further metallurgical testing.
The Company will host a telephone conference call and live
webcast on Wednesday, August 8, 2018
at 11:00 a.m. Eastern Time
(8:00 a.m. Pacific) to discuss these
results. After opening remarks by management, there will be a
question and answer session open to analysts and investors.
The conference call may be accessed by dialing (877) 303-9079 in
Canada and the United States, or (970) 315-0461
internationally.
The conference call will be archived for later playback until
August 15, 2018 and can be accessed
by dialing (855) 859-2056 in Canada and the
United States, or (404) 537-3406 internationally and using
the passcode 3185058.
Russell Hallbauer
President and CEO
No regulatory authority has approved or disapproved of the
information contained in this news release.
NON-GAAP PERFORMANCE MEASURES
This document includes certain non-GAAP performance measures
that do not have a standardized meaning prescribed by IFRS. These
measures may differ from those used by, and may not be comparable
to such measures as reported by, other issuers. The Company
believes that these measures are commonly used by certain
investors, in conjunction with conventional IFRS measures, to
enhance their understanding of the Company's performance. These
measures have been derived from the Company's financial statements
and applied on a consistent basis. The following tables below
provide a reconciliation of these non-GAAP measures to the most
directly comparable IFRS measure.
Total operating costs and site operating costs, net of
by-product credits
Total costs of sales include all costs absorbed into inventory,
as well as transportation costs and insurance recoverable. Site
operating costs is calculated by removing net changes in inventory,
depletion and amortization, insurance recoverable, and
transportation costs from cost of sales. Site operating costs, net
of by-product credits is calculated by removing by-product credits
from the site operating costs. Site operating costs, net of
by-product credits per pound are calculated by dividing the
aggregate of the applicable costs by copper pounds produced. Total
operating costs per pound is the sum of site operating costs, net
of by-product credits and off-property costs divided by the copper
pounds produced. By-product credits are calculated based on actual
sales of molybdenum (net of treatment costs) and silver during the
period divided by the total pounds of copper produced during the
period. These measures are calculated on a consistent basis for the
periods presented.
|
Three months
ended
June
30,
|
Six months
ended
June
30,
|
(Cdn$ in thousands,
unless otherwise indicated) – 75% basis
|
2018
|
2017
|
2018
|
2017
|
Cost of
sales
|
75,961
|
65,333
|
141,376
|
125,872
|
Less:
|
|
|
|
|
|
Depletion and
amortization
|
(17,955)
|
(11,799)
|
(32,735)
|
(21,376)
|
|
Insurance
recoverable
|
-
|
-
|
4,000
|
-
|
|
Net change in
inventories of finished goods
|
(813)
|
23
|
154
|
256
|
|
Net change in
inventories of ore stockpiles
|
5,007
|
(5,021)
|
1,111
|
(3,849)
|
|
Transportation
costs
|
(4,529)
|
(5,492)
|
(7,358)
|
(10,709)
|
Site operating
costs
|
57,671
|
43,044
|
106,548
|
90,194
|
Less by-product
credits:
|
|
|
|
|
|
Molybdenum, net of
treatment costs
|
(3,830)
|
(4,335)
|
(8,839)
|
(10,142)
|
|
Silver, excluding
amortization of deferred revenue
|
(159)
|
(82)
|
(251)
|
(530)
|
Site operating costs,
net of by-product credits
|
53,682
|
38,627
|
97,458
|
79,522
|
Total copper produced
(thousand pounds)
|
25,120
|
29,531
|
42,265
|
60,474
|
Total costs per pound
produced
|
2.14
|
1.31
|
2.31
|
1.31
|
Average exchange rate
for the period (CAD/USD)
|
1.29
|
1.34
|
1.28
|
1.33
|
Site operating
costs, net of by-product credits (US$ per pound)
|
1.66
|
0.97
|
1.80
|
0.99
|
Site operating costs,
net of by-product credits
|
53,682
|
38,627
|
97,458
|
79,522
|
Add off-property
costs:
|
|
|
|
|
|
Treatment and
refining costs of copper concentrate
|
5,938
|
8,066
|
9,892
|
16,522
|
|
Transportation
costs
|
4,529
|
5,492
|
7,358
|
10,709
|
Total operating
costs
|
64,149
|
52,185
|
114,708
|
106,753
|
Total operating
costs (C1) (US$ per pound)
|
1.98
|
1.31
|
2.12
|
1.32
|
NON-GAAP PERFORMANCE MEASURES - CONTINUED
Adjusted net income (loss)
Adjusted net income (loss) remove the effect of the following
transactions from net income as reported under IFRS:
- Unrealized foreign currency gains/losses;
- Unrealized gain/loss on copper put options; and
- Losses on settlement of long-term debt and copper call
option.
Management believes these transactions do not reflect the
underlying operating performance of our core mining business and
are not necessarily indicative of future operating results.
Furthermore, unrealized gains/losses on derivative instruments,
changes in the fair value of financial instruments, and unrealized
foreign currency gains/losses are not necessarily reflective of the
underlying operating results for the reporting periods
presented.
|
|
|
|
Three months
ended
June
30,
|
Six months
ended
June
30,
|
($ in thousands,
except per share amounts)
|
2018
|
2017
|
2018
|
2017
|
Net income
(loss)
|
(4,671)
|
5,247
|
(23,152)
|
21,726
|
|
Unrealized foreign
exchange (gain) loss
|
7,729
|
(6,249)
|
16,061
|
(8,926)
|
|
Unrealized (gain)
loss on copper put options
|
(987)
|
373
|
(2,152)
|
425
|
|
Loss on copper call
option
|
-
|
4,891
|
-
|
6,305
|
|
Loss on settlement of
long-term debt
|
-
|
13,102
|
-
|
13,102
|
|
Estimated tax effect
of adjustments
|
266
|
(3,059)
|
581
|
(3,072)
|
Adjusted net
income (loss)
|
2,337
|
14,305
|
(8,662)
|
29,560
|
Adjusted
EPS
|
0.01
|
0.06
|
(0.04)
|
0.13
|
EBITDA and Adjusted EBITDA
EBITDA represents net income before interest, income taxes, and
depreciation. EBITDA is presented because it is an important
supplemental measure of our performance and is frequently used by
securities analysts, investors and other interested parties in the
evaluation of companies in the industry, many of which present
EBITDA when reporting their results. Issuers of "high yield"
securities also present EBITDA because investors, analysts and
rating agencies consider it useful in measuring the ability of
those issuers to meet debt service obligations. The Company
believes EBITDA is an appropriate supplemental measure of debt
service capacity, because cash expenditures on interest are, by
definition, available to pay interest, and tax expense is inversely
correlated to interest expense because tax expense goes down as
deductible interest expense goes up; depreciation is a non-cash
charge.
Adjusted EBITDA is presented as a further supplemental measure
of the Company's performance and ability to service debt. Adjusted
EBITDA is prepared by adjusting EBITDA to eliminate the impact of a
number of items that are not considered indicative of ongoing
operating performance.
Adjusted EBITDA is calculated by adding to EBITDA certain items
of expense and deducting from EBITDA certain items of income that
are not likely to recur or are not indicative of the Company's
future operating performance consisting of:
- Unrealized foreign exchange gains/losses;
- Unrealized gain/loss on copper put options; and
- Losses on settlement of long-term debt and copper call
option.
NON-GAAP PERFORMANCE MEASURES - CONTINUED
While some of the adjustments are recurring, other non-recurring
expenses do not reflect the underlying performance of the Company's
core mining business and are not necessarily indicative of future
results. Furthermore, unrealized gains/losses on derivative
instruments, and unrealized foreign currency translation
gains/losses are not necessarily reflective of the underlying
operating results for the reporting periods presented.
|
|
|
|
Three months
ended
June
30,
|
Six months
ended
June
30,
|
($ in
thousands)
|
2018
|
2017
|
2018
|
2017
|
Net income
(loss)
|
(4,671)
|
5,247
|
(23,152)
|
21,726
|
Add:
|
|
|
|
|
|
Depletion and
amortization
|
17,955
|
11,799
|
32,735
|
21,376
|
|
Amortization of
share-based compensation expense (recovery)
|
231
|
170
|
(608)
|
3,529
|
|
Finance
expense
|
9,733
|
21,319
|
19,044
|
29,353
|
|
Finance
income
|
(321)
|
(470)
|
(644)
|
(801)
|
|
Income tax expense
(recovery)
|
2,582
|
5,740
|
(1,496)
|
17,767
|
EBITDA
|
25,509
|
43,805
|
25,879
|
92,950
|
Adjustments:
|
|
|
|
|
|
Unrealized foreign
exchange (gain) loss
|
7,729
|
(6,249)
|
16,061
|
(8,926)
|
|
Unrealized (gain)
loss on copper put options
|
(987)
|
373
|
(2,152)
|
425
|
|
Loss on copper call
option
|
-
|
4,891
|
-
|
6,305
|
Adjusted
EBITDA
|
32,251
|
42,820
|
39,788
|
90,754
|
Earnings from mining operations before depletion and
amortization
Earnings from mining operations before depletion and
amortization is earnings from mining operations with depletion and
amortization added back. The Company discloses this measure, which
has been derived from our financial statements and applied on a
consistent basis, to provide assistance in understanding the
results of the Company's operations and financial position and it
is meant to provide further information about the financial results
to investors.
|
Three months
ended
June 30,
|
Six months
ended
June 30,
|
(Cdn$ in
thousands)
|
2018
|
2017
|
2018
|
2017
|
Earnings from
mining operations
|
18,312
|
34,661
|
17,076
|
78,511
|
Add:
|
|
|
|
|
|
Depletion and
amortization
|
17,955
|
11,799
|
32,735
|
21,376
|
Earnings from
mining operations before depletion and amortization
|
36,267
|
46,460
|
49,811
|
99,887
|
NON-GAAP PERFORMANCE MEASURES - CONTINUED
Site operating
costs per ton milled
|
|
|
|
Three months
ended
June 30,
|
Six months
ended
June 30,
|
(Cdn$ in thousands,
except per ton milled amounts)
|
2018
|
2017
|
2018
|
2017
|
Site operating
costs (included in cost of sales)
|
57,671
|
43,044
|
106,548
|
90,194
|
|
|
|
|
|
Tons milled
(thousands) (75% basis)
|
5,592
|
5,611
|
11,225
|
11,100
|
Site operating
costs per ton milled
|
$10.31
|
$7.67
|
$9.49
|
$8.13
|
CAUTION REGARDING FORWARD-LOOKING INFORMATION
This document contains "forward-looking statements" that were
based on Taseko's expectations, estimates and projections as of the
dates as of which those statements were made. Generally, these
forward-looking statements can be identified by the use of
forward-looking terminology such as "outlook", "anticipate",
"project", "target", "believe", "estimate", "expect", "intend",
"should" and similar expressions.
Forward-looking statements are subject to known and unknown
risks, uncertainties and other factors that may cause the Company's
actual results, level of activity, performance or achievements to
be materially different from those expressed or implied by such
forward-looking statements. These included but are not limited
to:
- uncertainties and costs related to the Company's exploration
and development activities, such as those associated with
continuity of mineralization or determining whether mineral
resources or reserves exist on a property;
- uncertainties related to the accuracy of our estimates of
mineral reserves, mineral resources, production rates and timing of
production, future production and future cash and total costs of
production and milling;
- uncertainties related to feasibility studies that provide
estimates of expected or anticipated costs, expenditures and
economic returns from a mining project;
- uncertainties related to our ability to complete the mill
upgrade on time estimated and at the scheduled cost;
- uncertainties related to the ability to obtain necessary
licenses permits for development projects and project delays due to
third party opposition;
- uncertainties related to unexpected judicial or regulatory
proceedings;
- changes in, and the effects of, the laws, regulations and
government policies affecting our exploration and development
activities and mining operations, particularly laws, regulations
and policies;
- changes in general economic conditions, the financial markets
and in the demand and market price for copper, gold and other
minerals and commodities, such as diesel fuel, steel, concrete,
electricity and other forms of energy, mining equipment, and
fluctuations in exchange rates, particularly with respect to the
value of the U.S. dollar and Canadian dollar, and the continued
availability of capital and financing;
- the effects of forward selling instruments to protect against
fluctuations in copper prices and exchange rate movements and the
risks of counterparty defaults, and mark to market risk;
- the risk of inadequate insurance or inability to obtain
insurance to cover mining risks;
- the risk of loss of key employees; the risk of changes in
accounting policies and methods we use to report our financial
condition, including uncertainties associated with critical
accounting assumptions and estimates;
- environmental issues and liabilities associated with mining
including processing and stock piling ore; and
- labour strikes, work stoppages, or other interruptions to, or
difficulties in, the employment of labour in markets in which we
operate mines, or environmental hazards, industrial accidents or
other events or occurrences, including third party interference
that interrupt the production of minerals in our mines.
For further information on Taseko, investors should review the
Company's annual Form 40-F filing with the United States Securities
and Exchange Commission www.sec.gov and home jurisdiction filings
that are available at www.sedar.com.
Cautionary Statement on Forward-Looking Information
This discussion includes certain statements that may be deemed
"forward-looking statements". All statements in this
discussion, other than statements of historical facts, that address
future production, reserve potential, exploration drilling,
exploitation activities, and events or developments that the
Company expects are forward-looking statements. Although we
believe the expectations expressed in such forward-looking
statements are based on reasonable assumptions, such statements are
not guarantees of future performance and actual results or
developments may differ materially from those in the
forward-looking statements. Factors that could cause actual
results to differ materially from those in forward-looking
statements include market prices, exploitation and exploration
successes, continued availability of capital and financing and
general economic, market or business conditions. Investors
are cautioned that any such statements are not guarantees of future
performance and actual results or developments may differ
materially from those projected in the forward-looking
statements. All of the forward-looking statements made in
this MD&A are qualified by these cautionary statements.
We disclaim any intention or obligation to update or revise any
forward-looking statements whether as a result of new information,
future events or otherwise, except to the extent required by
applicable law. Further information concerning risks and
uncertainties associated with these forward-looking statements and
our business may be found in our most recent Form 40-F/Annual
Information Form on file with the SEC and Canadian provincial
securities regulatory authorities.
View original
content:http://www.prnewswire.com/news-releases/taseko-reports-second-quarter-2018-financial-and-operational-results-300693555.html
SOURCE Taseko Mines Limited