Compañia de Minas Buenaventura S.A.A. (“Buenaventura” or
“the Company”) (NYSE: BVN; Lima Stock Exchange: BUE.LM), Peru’s
largest publicly-traded precious metals mining company, today
announced results for the first quarter (1Q22) ended March 31,
2022. All figures have been prepared in accordance with IFRS
(International Financial Reporting Standards) on a non-GAAP basis
and are stated in U.S. dollars (US$).
First Quarter Highlights:
- 1Q22 EBITDA from direct operations reached US$ 431.9 million,
compared to US$ 39.7 million reported in 1Q22, reflecting US$ 300
million resulting from the sale of Buenaventura’s stake in
Yanacocha and US$ 45 million from Newmont’s contribution to La
Zanja’s future closure costs.
- 1Q22 EBITDA including associated companies reached US$ 578.7
million, compared to US$ 162.8 million in 1Q21.
- 1Q22 net income reached US$ 636.2 million, compared to a US$
16.4 million for the same period in 2021.
- 1Q22 exploration at operating units increased to US$ 14.0
million, from US$ 9.3 million in 1Q21, aligned with the Company’s
strategy to focus primarily on exploration.
- 1Q22 capital expenditures were US$ 19.9 million, compared to
US$ 13.0 million for the same period in 2021. 1Q22 CAPEX includes
US$ 2.8 million in CAPEX related to the San Gabriel Project and US$
4.7 million in CAPEX related to the Yumpag Project.
- The Company continued its strategy of progressively reducing
fixed costs at the Uchucchacua mine to improve the cost structure
efficiency when the operation restarts
- 1Q22 COVID related expenses were US$ 5.3 million, compared to
the US$ 11.7 million reported in 1Q21. 2022 COVID related expenses
estimates are between US$ 12.0 and US$ 14.0 million.
- Buenaventura’s cash position reached US$ 337.4 million as of
March 31, 2022. Net Debt was reduced to US$ 771 million, achieving
a 1.71x Net Debt to EBITDA ratio.
- Aligned with the Company’s commitment to deleveraging, on March
2, Buenaventura fully paid its syndicate loan amounting to US$
275.0 million, and on March 18 the Company cancelled US$ 50 million
of its revolving facility.
- On March 30, the San Gabriel Mine Project received the
Government of Peru’s approval of all required permits, enabling the
Company to immediately commence mining project construction,
development and exploitation.
- 2022 Production Guidance will be updated in 2Q22 due to a new
mine plan in progress for El Brocal, resulting in an expected 1.0
to 1.5 million ounce decrease in silver production for the full
Financial Highlights (in millions of US$, except EPS
EBITDA Direct Operations
EBITDA Including Affiliates
(*) As of March 31, 2022, Buenaventura had a weighted average
number of shares outstanding of 253,986,867.
For a full version of Compañía de Minas Buenaventura First
Quarter 2022 Earnings Release, please visit:
Compañia de Minas Buenaventura will host a conference call on
Friday, April 29, 2022 to discuss these results at 11:00 a.m.
Eastern Time / 10:00 a.m. Peru Time
To participate in the conference call, please dial:
Toll Free US: +1-844-282-4460
Toll International: +1-412-317-5611
Passcode: Ask to be joined into the
Compañía de Minas Buenaventura’s call.
If you would prefer to receive a call rather than dialing in,
please register via the following link. Please use this option
10-15 minutes prior to conference call start time:
Call Me Link:
Participants who do not wish to be interrupted to have their
information gathered may have Chorus Call dial out to them by
clicking on the above link, filling in the information, and
pressing the green phone button at the bottom. The phone number
provided will be automatically called and connected to the
conference without any interruption to the participant. (Please
note: Participants will be joined directly to the conference and
will hear hold music until the call begins. No confirmation message
will be played when joined.)
Compañía de Minas Buenaventura S.A.A. is Peru’s largest,
publicly traded, precious metals company and a major holder of
mining rights in Peru. The Company is engaged in the mining,
processing, development and exploration of gold and silver and
other metals via wholly owned mines as well as through its
participation in joint exploration projects.
Buenaventura currently operates several mines in Peru:
Tambomayo*, Orcopampa*, Uchucchacua*, Julcani*, La Zanja*, El
Brocal and Coimolache.
The Company owns 19.58% of Sociedad Minera Cerro Verde, an
important Peruvian copper producer.
For a printed version of the Company’s 2020 Form 20-F, please
contact the investor relations contacts on page 1 of this report,
or download the PDF format file from the Company’s web site at
(*) Operations wholly owned by Buenaventura
Note on Forward-Looking Statements
This press release and related conference call contain, in
addition to historical information, forward-looking statements
including statements related to the Company’s ability to manage its
business and liquidity during and after the COVID-19 pandemic, the
impact of the COVID-19 pandemic on the Company’s results of
operations, including net revenues, earnings and cash flows, the
Company’s ability to reduce costs and capital spending in response
to the COVID-19 pandemic if needed, the Company’s balance sheet,
liquidity and inventory position throughout and following the
COVID-19 pandemic, the Company’s prospects for financial
performance, growth and achievement of its long-term growth
algorithm following the COVID-19 pandemic, future dividends and
This press release may also contain forward-looking information
(as defined in the U.S. Private Securities Litigation Reform Act of
1995) that involve risks and uncertainties, including those
concerning the Company’s and Cerro Verde’s costs and expenses,
results of exploration, the continued improving efficiency of
operations, prevailing market prices of gold, silver, copper and
other metals mined, the success of joint ventures, estimates of
future explorations, development and production, subsidiaries’
plans for capital expenditures, estimates of reserves and Peruvian
political, economic, social and legal developments. These
forward-looking statements reflect the Company’s view with respect
to the Company’s and Cerro Verde’s future financial performance.
Actual results could differ materially from those projected in the
forward-looking statements as a result of a variety of factors
discussed elsewhere in this Press Release.
version on businesswire.com: https://www.businesswire.com/news/home/20220428006356/en/
Contacts in Lima: Daniel Dominguez, Chief Financial
Officer (511) 419 2540
Gabriel Salas, Head of Investor Relations (511) 419 2591 /
Contact in NY: Barbara Cano (646) 452-2334 /
Company Website: www.buenaventura.com
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