New Gold Inc. (NYSE:NGD) Q2 2022 Results Conference Call August 4, 2022 8:30 AM ET

Company Participants

Ankit Shah - VP, Strategy and Business Development

Renaud Adams - President and CEO

Rob Chausse - CFO

Patrick Godin - COO

Conference Call Participants

Trevor Turnbull - Scotiabank

Mohamed Sidibe - CIBC

Operator

Good morning. My name is Chris, and I'll be your conference operator today. Welcome to the New Gold Second Quarter 2022 Earnings Conference Call. [Operator Instructions] Please be advised that today's conference call and webcast is being recorded. [Operator Instructions]

I would now like to hand the conference over to Ankit Shah, VP of Strategy and Business Development. Thank you.

Ankit Shah

Thank you, Chris, and good morning, everyone. We appreciate you joining us today for New Gold's Second Quarter 2022 Earnings Conference Call and webcast. On the line today, we have Renaud Adams, President and CEO; Rob Chausse, our CFO; and Patrick Godin, our COO. Should you wish to follow along with the webcast, please sign in from our homepage at newgold.com.

Before the team begins the presentation, I'd like to direct your attention to our cautionary language related to forward-looking statements found on Slides 2 and 3 of the presentation. Today's commentary includes forward-looking statements relating to New Gold. In this respect, we refer you to our detailed cautionary note regarding forward-looking statements in the presentation.

You are cautioned that actual results and future events could differ materially from those expressed or implied in forward-looking statements. Slides 2 and 3 provide additional information and should be reviewed.

We also refer you to our section entitled Risk Factors in New Gold's latest MD&A and other filings available on SEDAR, which set out certain material factors that could cause actual results to differ. In addition, at the conclusion of the presentation, there are a number of end notes that provide important information and should be reviewed in conjunction with the material presented.

I will now hand the call over to Renaud.

Renaud Adams

Thanks, Ankit, and good morning, everyone. Production and mine sequencing were impacted by heavy rainfall resulting in the flooding of the pit. While significant progress has been made to date to restore the situation and optimize each step moving forward, we have to replan our last 6 months, and Pat will provide more detail on that one.

The equipment was relocated and the capital waste stripping events resulting in the strip ratio for the quarter of nearly 8:1. When you can access ore at the bottom of the pit resulting from the flooding, then you have managed your waste as a dissolved part of the same overall. Our in-pit mineral reserve at the start of the year was at nearly 44 million tonnes of ore or approximately 1 gram a tonne gold including in-pit, all of which contained in the mining strip ratio of 2.32:1, which has been further reduced now as a result of the Q2 execution, a very attractive plan moving forward.