McEwen Mining Inc. (NYSE:MUX) Q2 2023 Earnings Conference Call August 10, 2023 11:00 AM ET
Company Participants
Rob McEwen - Chairman and Chief Owner
William Shaver - COO
Michael Meding - VP and General Manager, McEwen Copper
Perry Ing - CFO
Conference Call Participants
Jake Selesky - Alliance Global
Heiko Ihle - H.C. Wainwright
Operator
Hello, ladies and gentlemen. Welcome to McEwen Mining's Q2 2023 Operating and Financial Results Conference Call.
Present from the company today are Rob McEwen, Chairman and Chief Owner; Perry Ing, Chief Financial Officer; William Shaver, Chief Operating Officer; Michael Meding, Vice President and General Manager of McEwen Copper; Carmen Diges, General Counsel and Secretary; Jeff Chan, Vice President of Finance.
After the speaker's presentation, there will be a question-and-answer session. [Operator Instructions]
I will now turn the call over to Mr. Rob McEwen, Chief Owner. Please go ahead, sir.
Rob McEwen
Thank you, operator. Good morning and welcome, ladies and gentlemen.
Today, I will be discussing the highlights of our operating and financial results in Q2 and the first half of this year as well as our expectations for the balance of the year. Our press release of this morning discusses these matters in greater detail, and members of senior management are on the line to answer your questions.
As many of you are aware, our gold and silver assets had a weak start for the year. While activities at McEwan Copper's Los Azules project we're running at a rapid pace. I'm pleased to say that our mines delivered better results in Q2 than Q1 and the outlook for the second half of the year is significantly better.
But I'd like to share with you the highlights of the first quarter - this quarter that's passed second quarter. One, the Fox Complex generated gross profits of $6 million and is expected to deliver on our guidance. The San Jose performance was much stronger in Q2 than in Q1, and it too is expected to deliver on its production guidance, but costs will be 10% to 20% higher on a cost per ounce basis.
At Gold Bar, the outlook, again, is looking significantly better as a result, and we are increasing the mining rate we'll be mining with a lower strip ratio and processing a higher grade of ore. McEwen Copper released in June, its updated preliminary economic assessment. It displays a project with robust economics, a long life, low production costs and based on an environmentally sensitive approach to mining.