UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN ISSUER
PURSUANT TO RULE 13a-16 OR 15b-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
PURSUANT TO RULE 13a-16 OR 15b-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
For the month of May 2019
Commission File Number 001-14370
COMPANIA DE MINAS BUENAVENTURA S.A.A.
(Exact name of registrant as specified in its charter)
BUENAVENTURA
MINING COMPANY INC.
(Translation of registrant’s name into English)
(Translation of registrant’s name into English)
Republic of Peru
(Jurisdiction of incorporation or organization)
(Jurisdiction of incorporation or organization)
CARLOS VILLARAN 790
SANTA CATALINA, LIMA 13, PERU
(Address of principal executive offices)
SANTA CATALINA, LIMA 13, PERU
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F ____X___ Form 40-F
_______
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
[ ]
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): [ ]
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): [ ]
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby
furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes _______ No ___X____
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): Not
applicable.
Buenaventura Announces
First Quarter 2019 Results
Lima, Peru, April 30, 2019 – 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 (1Q19) period ended March 31, 2019. 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$).
First Quarter 2019 Highlights:
|
●
|
During 1Q19, Buenaventura generated US$ 8.0 million in additional EBITDA due to continued success of the
Company’s De-Bottlenecking Program.
|
| ● |
1Q19 EBITDA from direct operations was US$ 24.7 million, compared to US$ 99.1 million reported in 1Q18,
primarily due to lower metal prices and a reduction in volume sold at the Company’s Orcopampa, Tambomayo and Uchucchacua mines. The decrease in 1Q 2019 EBITDA was also due to increased concentrate inventories generated at Tambomayo.
|
| ● |
1Q19 Adjusted EBITDA including associated companies reached US$ 155.2 million, compared to US$ 175.2
million in 1Q18.
|
| ● |
1Q19 Net Income was US$ 27.3 million, compared to a net income of US$ 28.4 for the same period in 2018.
|
| ● |
1Q19 CAPEX was US$ 8.5 million, compared to US$ 21.2 for the same period in 2018.
|
| ● |
Subsequent to a detailed internal analysis, Buenaventura confirms annual profitability guidance (i.e.
EBITDA and FCF) per the Company’s annual production guidance press release dated April 15, 2019.
|
| ● |
At Cerro Verde, a dividend of US$ 150 million (US$ 29.4 million attributable to Buenaventura) was declared
on March 29, 2019 and was paid on April 30, 2019.
|
| ● |
At the Yanococha Sulfides Project, the Environmental Impact Assessment study was approved in March 2019.
|
Financial
Highlights (in millions of US$, except EPS figures):
|
1Q19
|
1Q18
|
Var%
|
|
|
Total Revenues
|
186.2
|
316.9
|
-41%
|
|
Operating Profit
|
-29.1
|
41.3
|
N.A
|
|
EBITDA Direct Operations
|
24.7
|
99.1
|
-75%
|
|
Adjusted EBITDA (Inc Associates)
|
155.2
|
175.2
|
-11%
|
|
Net Income
|
27.3
|
28.4
|
-4%
|
|
EPS*
|
0.107
|
0.112
|
-4%
|
(*) as of March 31, 2019 Buenaventura had a weighted average number of shares outstanding of 253,986,190.
Operating Revenues
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 2 of 26
|
|
Operating Revenues
|
|
During 1Q19, net sales were US$ 180.7 million; a 42% decrease compared to the US$ 312.5 million reported in 1Q18. This result was primarily
due to a decrease in all metals prices as well as lower sales volume of gold, silver, zinc and copper.
Royalty income increased 24%, from US$ 4.4 million in 1Q18 to US$ 5.5 million in 1Q19. This was due to a 24% increase of revenues at
Yanacocha.
|
Operating Highlights
|
1Q19
|
1Q18
|
Var%
|
|
Net Sales
(in millions of US$)
|
180.7
|
312.5
|
-42%
|
|
Average Realized Gold Price (US$/oz) (1) (2)
|
1,301
|
1,344
|
-3%
|
|
Average Realized Gold Price (US$/oz) inc. Affiliates (3)
|
1,305
|
1,341
|
-3%
|
|
Average Realized Silver Price (US$/oz) (1) (2)
|
15.45
|
16.20
|
-5%
|
|
Average Realized Lead Price (US$/MT) (1) (2)
|
2,055
|
2,667
|
-23%
|
|
Average Realized
Zinc Price (US$/MT) (1) (2)
|
2,813
|
3,451
|
-18%
|
|
Average Realized Copper Price (US$/MT) (1) (2)
|
6,122
|
6,864
|
-11%
|
|
Volume Sold
|
1Q19
|
1Q18
|
Var%
|
|
Gold Oz Direct Operations (1)
|
35,587
|
94,120
|
-62%
|
|
Gold Oz inc. Associated Companies (3)
|
106,246
|
152,261
|
-30%
|
|
Silver Oz (1)
|
3,501,679
|
5,871,687
|
-40%
|
|
Lead MT (1)
|
9,378
|
7,911
|
19%
|
|
Zinc MT (1)
|
14,768
|
17,561
|
-16%
|
|
Copper MT (1)
|
8,317
|
9,883
|
-16%
|
|
(1)
|
Buenaventura’s Direct Operations includes
100% of Buenaventura’s operating units, 100% of La Zanja and 100% of El Brocal.
|
|
(2)
|
The realized price considers the adjustments of quotational periods.
|
|
(3)
|
Considers 100% of Buenaventura’s
operating units, 100% of La Zanja, 100% of El Brocal, 40.095% of Coimolache and 43.65% of Yanacocha.
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 3 of 26
|
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Production and Operating Costs
|
|
In 1Q19, Buenaventura’s gold equity production from direct operations was 39,337 ounces; a 55% decrease as compared to 87,617 gold ounces
in 1Q18, primarily due an 85% YoY decrease in production at Orcopampa, a 29% YoY decrease in Tambomayo and a 23% YoY decrease at La Zanja. In 1Q19, gold production including associated companies was 112,912 ounces; a 22% decrease as compared to
the same period 2018. Silver equity production decreased by 45% compared to 1Q18, primarily due to a 55% decrease in production at the Uchucchacua mine due to the 21-day strike in January 2019 and to the heavy rainfall during the rainy season. Zinc and Copper equity production were lower during 1Q19 compared to 1Q18 primarily due to decreased production at El Brocal due to the heavy rainy season.
|
Equity Production
|
1Q19
|
1Q18
|
Var%
|
|
Gold Oz Direct Operations(1)
|
39,337
|
87,617
|
-55%
|
|
Gold Oz including Associated(2) Companies
|
112,912
|
145,109
|
-22%
|
|
Silver Oz Direct Operations(1)
|
3,669,243
|
6,666,745
|
-45%
|
|
Silver Oz including Associated Companies
|
3,994,851
|
7,216,248
|
-100%
|
|
Lead MT
|
8,236
|
8,124
|
1%
|
|
Zinc MT
|
12,840
|
16,565
|
-22%
|
|
Copper MT Direct Operations(1)
|
5,484
|
6,477
|
-15%
|
|
Copper MT including Associated Companies
|
28,674
|
28,114
|
2%
|
|
Consolidated Production
|
1Q19
|
1Q18
|
Var%
|
|
Gold Oz(3)
|
47,046
|
98,647
|
-52%
|
|
Silver Oz(3)
|
3,987,154
|
6,982,187
|
-43%
|
|
Lead MT(3)
|
10,176
|
9,565
|
6%
|
|
Zinc MT(3)
|
16,877
|
21,886
|
-23%
|
|
Copper MT(3)
|
8,900
|
10,520
|
-15%
|
|
(1)
|
Buenaventura’s Direct Operations includes
100% of Buenaventura’s operating units, 53.06% of La Zanja and 61.43% of El Brocal.
|
|
(2)
|
Consider 100% of Buenaventura´s operating units, 53.06% of La Zanja, 61.43% of el Brocal, 40.095% of Coimolache
and 43.65% of Yanacocha.
|
|
(3)
|
Considers 100% of Buenaventura’s
operating units, 100% of La Zanja and 100% of El Brocal.
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 4 of 26
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Tambomayo (100% owned by Buenaventura)
|
Production
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Gold
|
Oz
|
24,034
|
33,693
|
-29%
|
|
Silver
|
Oz
|
515,242
|
1,019,915
|
-49%
|
|
|
|
|
|
|
|
Cost Applicable to Sales
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Gold
|
US$/Oz
|
710
|
522
|
36%
|
1Q19 year on year gold production at Tambomayo decreased 29% mainly due to lower ore grades and reduced recovery rates. Cost Applicable to
Sales (CAS) in 1Q19 increased 36%, to 710 US$/Oz, compared to 522 US$/Oz in 1Q18 mainly due to a reduction in volume sold.
During the 1Q19, the plant flow sheet was modified as was previously announced related to the De-Bottlenecking Program, in order to reduce
cost. Due to this change, more concentrates inventory was generated than expected at Tambomayo. This inventory will be sold in the second quarter 2019.
Gold production guidance for 2019 is 90k – 110k ounces and
silver production guidance is 2.5M – 3.0M ounces.
Orcopampa (100% owned by Buenaventura)
|
Production
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Gold
|
Oz
|
5,949
|
39,987
|
-85%
|
|
Silver
|
Oz
|
3,188
|
86,002
|
-96%
|
|
|
|
|
|
|
|
Cost Applicable to Sales
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Gold
|
US$/Oz
|
2,468
|
864
|
186%
|
The decrease gold production at Orcopampa in 1Q19 was primarily due to the decision made by the Company’s management to cease mine
production in January in order to centralize the operation; prioritizing the De-Bottlenecking Program over ore extraction. Cost Applicable to Sales (CAS) increased to 2,468 US$/Oz in 1Q19, compared to 864 US$/Oz in 1Q18, primarily due to the
related decrease in volume sold.
Gold production guidance for 2019 is 75k – 90k ounces.
La Zanja (53.06% owned by Buenaventura)
|
Production
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Gold
|
Oz
|
13,616
|
17,722
|
-23%
|
|
Silver
|
Oz
|
49,182
|
64,412
|
-24%
|
|
|
|
|
|
|
|
Cost Applicable to Sales
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Gold
|
US$/Oz
|
961
|
1,016
|
-5%
|
Gold production in 1Q19 decreased by 23% year on year, in line with the mine production plan. 1Q19 Cost Applicable to Sales (CAS) was
in-line with the same figure reported in 1Q18.
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 5 of 26
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Gold production guidance for 2019 is 25k – 35k ounces.
Coimolache (40.10% owned by Buenaventura)
|
Production
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Gold
|
Oz
|
26,273
|
29,915
|
-12%
|
|
Silver
|
Oz
|
76,360
|
179,906
|
-58%
|
|
|
|
|
|
|
|
Cost Applicable to Sales
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Gold
|
US$/Oz
|
727
|
658
|
10%
|
1Q19 gold production at Coimolache decreased by 12% year on year, in line with the mine production plan. 1Q19 Cost Applicable to Sales
(CAS) increased by 10%, compared to 658 US$/Oz in 1Q18, due to an increase in hauling expenses largely associated with the purchase of ore from Goldfields.
Gold production guidance for 2019 is 150k – 170k ounces
Uchucchacua (100% owned by Buenaventura)
|
Production
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Silver
|
Oz
|
1,996,439
|
4,413,249
|
-55%
|
|
Zinc
|
MT
|
3,904
|
4,575
|
-15%
|
|
Lead
|
MT
|
2,959
|
4,184
|
-29%
|
|
|
|
|
|
|
|
Cost Applicable to Sales
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Silver
|
US$/Oz
|
11.79
|
9.77
|
21%
|
1Q19 silver production at Uchucchacua decreased primarily due to the strike that lasted 21 days in January 2019, as well as due to the
impact of significant rains during the heavy rainy season during the first quarter 2019. 1Q19 Cost Applicable to Sales (CAS) of 11.79 US$/Oz was 21% higher than 9.77 US$/Oz in 1Q18, primarily due to a 52% YoY decrease in volume sold.
Due to the aforementioned issues, 2019 silver production guidance for Uchucchacua has been reduced to 13.0 million – 14.0 million ounces.
Julcani (100% owned by Buenaventura)
|
Production
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Silver
|
Oz
|
658,715
|
504,155
|
31%
|
|
|
|
|
|
|
|
Cost Applicable to Sales
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Silver
|
US$/Oz
|
14.05
|
16.69
|
-16%
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 6 of 26
|
1Q19 silver production increased 31% YoY primarily due to a 23% YoY increase in amount of ore treated and a 7% YoY increase in ore grades.
1Q19 Cost Applicable to Sales (CAS) of 14.05 US$/Oz decreased by 16% as compared to 16.69 US$/Oz in 1Q18, mainly due to the Company’s success in centralizing the operation.
Silver production guidance for 2019 is 2.2 million – 2.5 million ounces.
El Brocal (61.43% owned by Buenaventura)
|
Production
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Copper
|
MT
|
8,856
|
10,482
|
-16%
|
|
Zinc
|
MT
|
10,467
|
13,797
|
-24%
|
|
Silver
|
Oz
|
764,388
|
739,454
|
3%
|
|
|
|
|
|
|
|
Cost Applicable to Sales
|
||||
|
|
|
1Q19
|
1Q18
|
Var %
|
|
Copper
|
US$/MT
|
5,890
|
4,989
|
18%
|
|
Zinc
|
US$/MT
|
2,208
|
1,729
|
28%
|
1Q19 copper production decreased 16% mainly due to 16% YoY decrease in ore grades. Zinc production in 1Q19 decreased 24% compared to 1Q18,
mainly due to a 20% decrease in ore grades and a 9% YoY decrease in recovery rate. In both cases, the production decrease is primarily due to the heavy rainy season.
In 1Q19, zinc Cost Applicable to Sales (CAS) increased by 28% compared to 1,729 US$/MT, primarily due to a decrease in volume sold and
higher commercial deductions. Copper CAS in 1Q19 increased by 18%, reaching 5,890 US$/MT, compared to 4,989 US$/MT in 1Q18, mainly due to lower volume sold.
Zinc production guidance for 2019 is 57k – 65k MT, while copper production guidance for 2019 is 47k – 52k MT.
|
General and Administrative Expenses
|
|
1Q19 General and Administrative expenses were US$ 19.4 million; a 22% decrease as compared to the US$ 25.0 million in 1Q18, mainly due to a
decrease in compensation provisions.
|
Exploration in Non-Operating Areas
|
|
1Q19 Exploration costs in Non-Operating Areas were US$ 3.4 million compared with US$ 6.8 million in 1Q18. During the period, Buenaventura
primarily focused its exploration efforts on the Yumpaq (US$ 1.7 million) and Emperatriz projects (US$ 0.4 million).
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 7 of 26
|
|
De-bottlenecking Program
|
|
It is important to highlight the following updates regarding the De-bottlenecking Program during 1Q19:
|
Tambomayo’s flow sheet has successfully been changed, with strong initial results sooner than expected,
particularly related to cost reduction.
|
|
The centralization process of Tambomayo and Uchucchacua has been advancing as expected. Full potential should be
achieved in the coming quarters with no problems.
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 8 of 26
|
|
Share in Associated Companies
|
|
During 1Q19, Buenaventura’s share in associated companies was US$ 49.5 million, compared to US$ 14.8 million reported in 1Q18, comprised
of:
|
Share in the Result of Associates
(in millions of US$)
|
1Q19
|
1Q18
|
Var %
|
|
Cerro Verde
|
39.2
|
27.1
|
45%
|
|
Yanacocha
|
9.7
|
-14.8
|
N.A.
|
|
Coimolache
|
0.6
|
2.6
|
-75%
|
|
Total
|
49.5
|
14.8
|
234%
|
YANACOCHA
At Yanacocha, which is 43.65% owned by Buenaventura, 1Q19 gold production was 144,423 ounces; 63,041 ounces of which were attributable to
Buenaventura. This represents a 39% increase as compared to the 104,233 ounces produced in 1Q18; 45,498 ounces of which were attributable to Buenaventura.
Gold production guidance at Yanacocha for 2019 is 510k ounces.
In 1Q19, Yanacocha reported a net income of US$ 22.1 million, compared to a net loss of US$ 32.3 million reported in 1Q18.
CAS in 1Q19 was US$ 693/oz; a 36% decrease as compared to the US$ 1,083/oz reported in 1Q18 mainly due to a 28% YoY increase in volume
sold.
Capital expenditures at Yanacocha were US$ 43.6 million in 1Q19.
The Quecher Main project, an oxide deposit, is currently in its Execution Phase. Commercial production is expected to be reached in the
fourth quarter of 2019. The Quecher Main project extends the life of the Yanacocha operation until 2027, with average annual gold production of 200,000 ounces per year expected between 2020 and 2025. Cost applicable to sales (CAS) is expected to
be between US$ 750 and US$ 850 per ounce and AISC between US$ 900 and US$ 1,000. Total CAPEX for the project is expected to be between US$ 250 and US$ 300 million with US$ 95 to US$ 105 million allocated in 2019. The project IRR is expected to be
greater than 10 percent.
The Yanacocha Sulfides project, a sulfide deposit, is currently in its Definitive Feasibility Stage. In March of 2019, the Environmental
Impact Assessment study was approved.
CERRO VERDE
At Cerro Verde (19.58% owned by Buenaventura), 1Q19 copper production was 118,435 MT; 23,190 MT of which is attributable to Buenaventura, a
7% increase from 110,506 MT produced in 1Q18; 21,637 MT of which was attributable to Buenaventura.
Cerro Verde reported in 1Q19 a net income of US$ 200.2 million compared to net loss of US$ 138.3 million in 1Q18. This increase was
primarily due to an increase in the average realized prices (US$ 3.12 per pound in 1Q19 vs US$ 2.90 per pound in 1Q18) and increased volume sold.
Capital expenditures at Cerro Verde were US$ 65.6 million in 1Q19.
Copper production guidance at Cerro Verde for 2019 is 460k MT – 500k MT.
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 9 of 26
|
COIMOLACHE (Tantahuatay operation)
At Coimolache (40.10% owned by Buenaventura), 1Q19 attributable contribution to net income was US$ 0.6 million (US$ 2.6 million in 1Q18).
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 10 of 26
|
Company Description
Compañía de Minas Buenaventura S.A.A. is Peru’s largest, publicly traded precious and base metals Company and a major holder of mining
rights in Peru. The Company is engaged in the exploration, mining development, processing and trade of gold, silver and other base metals via wholly-owned mines and through its participation in joint venture projects. Buenaventura currently
operates several mines in Peru (Orcopampa*, Uchucchacua*, Mallay*, Julcani*, Tambomayo*, El Brocal, La Zanja and Coimolache).
The Company owns 43.65% of Minera Yanacocha S.R.L (a partnership with Newmont Mining Corporation & Sumitomo Corporation), an important
precious metal producer and 19.58% of Sociedad Minera Cerro Verde, an important Peruvian copper producer (a partnership with Freeport-McMorRan Inc., Sumitomo Corporation & Sumitomo Metals).
For a printed version of the Company’s 2017 Form 20-F, please contact the Company’s IR team, or download a PDF format file from the
Company’s web site.
(*) Operations wholly owned by Buenaventura
|
|
Note on Forward-Looking Statements
This press release may 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, Yanacocha’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, Yanacocha’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.
|
|
**Tables to follow**
APPENDIX 1
|
Equity Participation in
Subsidiaries and Associates (as of March 31st, 2019)
|
|||
|
BVN
|
Operating
|
||
|
Equity %
|
Mines / Business
|
||
|
El Molle Verde S.A.C*
|
100.00
|
Trapiche Project
|
|
|
Minera La Zanja S.A*
|
53.06
|
La Zanja
|
|
|
Sociedad Minera El Brocal S.A.A*
|
61.43
|
Tajo Norte and Marcapunta
|
|
|
Compañía Minera Coimolache S.A **
|
40.10
|
Tantahuatay
|
|
|
Minera Yanacocha S.R.L **
|
43.65
|
Yanacocha
|
|
|
Sociedad Minera Cerro Verde S.A.A **
|
19.58
|
Cerro Verde
|
|
|
Processadora Industrial Rio Seco S.A*
|
100.00
|
Rio Seco chemical plant
|
|
|
Consorcio Energético de Huancavelica S.A*
|
100.00
|
Energy – Huanza Hydroelectrical plant
|
|
|
Buenaventura Ingenieros S.A*
|
100.00
|
Engineering Consultant
|
|
(*)Consolidates
(**) Equity Accounting
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 11 of 26
|
APPENDIX 2
|
Gold Production
|
13
|
||||
|
Mining Unit
|
Operating Results
|
Unit
|
1Q19
|
1Q18
|
△%
|
|
Underground
|
|||||
|
Tambomayo
|
Ore Milled
|
DMT
|
145,157
|
135,662
|
7%
|
|
Ore Grade
|
Oz/MT
|
0.20
|
0.26
|
-25%
|
|
|
Recovery Rate
|
%
|
83.85
|
91.99
|
-9%
|
|
|
Ounces Produced*
|
Oz
|
24,034
|
33,693
|
-29%
|
|
|
Orcopampa
|
Ore Milled
|
DMT
|
25,086
|
122,313
|
-79%
|
|
Ore Grade
|
Oz/MT
|
0.25
|
0.33
|
-24%
|
|
|
Recovery Rate
|
%
|
96.24
|
97.36
|
-1%
|
|
|
Ounces Produced*
|
Oz
|
5,949
|
39,987
|
-85%
|
|
|
Open Pit
|
|||||
|
La Zanja
|
Ounces Produced
|
Oz
|
13,616
|
17,722
|
-23%
|
|
Tantahuatay
|
Ounces Produced
|
Oz
|
26,273
|
29,915
|
-12%
|
|
(*) Includes ounces from retreatment of tailing dams
|
|||||
|
Silver Production
|
|||||
|
Mining Unit
|
Operating Results
|
Unit
|
1Q19
|
1Q18
|
△%
|
|
Underground
|
|||||
|
Tambomayo
|
Ore Milled
|
DMT
|
145,157
|
135,662
|
7%
|
|
Ore Grade
|
Oz/MT
|
4.04
|
8.85
|
-54%
|
|
|
Recovery Rate
|
%
|
87.95
|
83.36
|
6%
|
|
|
Ounces Produced
|
Oz
|
515,242
|
1,019,915
|
-49%
|
|
|
Uchucchacua
|
Ore Milled
|
DMT
|
249,347
|
332,816
|
-25%
|
|
Ore Grade
|
Oz/MT
|
9.29
|
15.13
|
-39%
|
|
|
Recovery Rate
|
%
|
86.21
|
82.97
|
4%
|
|
|
Ounces Produced
|
Oz
|
1,996,439
|
4,413,249
|
-55%
|
|
|
Julcani
|
Ore Milled
|
DMT
|
29,629
|
24,087
|
23%
|
|
Ore Grade
|
Oz/MT
|
22.95
|
21.49
|
7%
|
|
|
Recovery Rate
|
%
|
96.86
|
96.85
|
0%
|
|
|
Ounces Produced
|
Oz
|
658,715
|
504,155
|
31%
|
|
|
Marcapunta
|
Ore Milled
|
DMT
|
680,959
|
648,618
|
5%
|
|
Ore Grade
|
Oz/MT
|
0.70
|
0.59
|
18%
|
|
|
Recovery Rate
|
%
|
52.64
|
60.21
|
-13%
|
|
|
Ounces Produced
|
Oz
|
250,698
|
230,924
|
9%
|
|
|
Open Pit
|
|||||
|
Tajo Norte
|
Ore Milled
|
DMT
|
880,757
|
837,623
|
5%
|
|
Ore Grade
|
Oz/MT
|
0.91
|
1.01
|
-9%
|
|
|
Recovery Rate
|
%
|
63.93
|
60.27
|
6%
|
|
|
Ounces Produced
|
Oz
|
513,690
|
508,529
|
1%
|
|
|
Zinc Production
|
|||||
|
Mining Unit
|
Operating Results
|
Unit
|
1Q19
|
1Q18
|
△%
|
|
Underground
|
|||||
|
Tambomayo
|
Ore Milled
|
DMT
|
145,157
|
135,662
|
7%
|
|
Ore Grade
|
%
|
2.19
|
2.37
|
-8%
|
|
|
Recovery Rate
|
%
|
78.89
|
76.71
|
3%
|
|
|
MT Produced
|
MT
|
2,506
|
2,562
|
-2%
|
|
|
Uchucchacua
|
Ore Milled
|
DMT
|
249,347
|
332,816
|
-25%
|
|
Ore Grade
|
%
|
2.48
|
2.17
|
14%
|
|
|
Recovery Rate
|
%
|
63.13
|
63.46
|
-1%
|
|
|
MT Produced
|
MT
|
3,904
|
4,575
|
-15%
|
|
|
Open Pit
|
|||||
|
Tajo Norte
|
Ore Milled
|
DMT
|
880,757
|
837,623
|
5%
|
|
Ore Grade
|
%
|
2.21
|
2.77
|
-20%
|
|
|
Recovery Rate
|
%
|
53.82
|
59.46
|
-9%
|
|
|
MT Produced
|
MT
|
10,467
|
13,797
|
-24%
|
|
|
Copper Production
|
|||||
|
Mining Unit
|
Operating Results
|
Unit
|
1Q19
|
1Q18
|
△%
|
|
Underground
|
|||||
|
Marcapunta
|
Ore Milled
|
DMT
|
680,959
|
648,618
|
5%
|
|
Ore Grade
|
%
|
1.46
|
1.75
|
-16%
|
|
|
Recovery Rate
|
%
|
88.92
|
92.47
|
-4%
|
|
|
MT Produced
|
MT
|
8,856
|
10,482
|
-16%
|
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 12 of 26
|
APPENDIX 3: EBITDA Reconciliation (in thousand US$)
|
1Q19
|
1Q18
|
|
|
Net Income
|
24,011
|
30,826
|
|
Add / Substract:
|
674
|
68,235
|
|
Provision for income tax, net
|
-13,251
|
17,451
|
|
Share in associated companies by the equity method, net
|
-49,512
|
-14,803
|
|
Interest income
|
-2,111
|
-1,130
|
|
Provision for contingencies
|
-1,611
|
-1,475
|
|
Loss on currency exchange difference
|
-20
|
-665
|
|
Depreciation and Amortization
|
49,744
|
53,809
|
|
Interest expense
|
11,578
|
8,684
|
|
Provision of bonuses and compensations
|
4,670
|
3,639
|
|
Impairment of inventories
|
930
|
-160
|
|
Workers´ participation provision
|
27
|
1,954
|
|
Loss from discontinued operations
|
230
|
931
|
|
Impairment of Long-Lived Assets
|
||
|
Adjustment of component of stripping cost
|
||
|
EBITDA Buenaventura Direct Operations
|
24,685
|
99,061
|
|
EBITDA Yanacocha (43.65%)
|
36,782
|
3,367
|
|
EBITDA Cerro Verde (19.58%)
|
87,940
|
64,388
|
|
EBITDA Coimolache (40.01%)
|
5,767
|
8,351
|
|
Adjusted EBITDA (including Associated companies)
|
155,173
|
175,167
|
Note:
EBITDA (Buenaventura Direct Operations) consists of earnings before net interest, taxes, depreciation and amortization, share in associated
companies, net, loss on currency exchange difference, other, net, provision for workers’ profit sharing and provision for long-term officers’ compensation.
EBITDA (including associated companies) consists of EBITDA (Buenaventura Direct Operations), plus (1) Buenaventura’s equity share of EBITDA
(Yanacocha) (2) Buenaventura’s equity share of EBITDA (Cerro Verde), plus (3) Buenaventura’s equity share of EBITDA (Coimolache). All EBITDA mentioned were similarly calculated using financial information provided to Buenaventura by the
associated companies.
Buenaventura presents EBITDA (Buenaventura Direct Operations) and EBITDA (including affiliates) to provide further information with respect
to its operating performance and the operating performance of its equity investees, the affiliates. EBITDA (Buenaventura Direct Operations) and EBITDA (including affiliates) are not a measure of financial performance under IFRS, and may not be
comparable to similarly titled measures of other companies. You should not consider EBITDA (Buenaventura Direct Operations) and EBITDA (including affiliates) as alternatives to operating income or net income determined in accordance with IFRS, as
an indicator of Buenaventura’s, affiliates operating performance, or as an alternative to cash flows from operating activities, determined in accordance with IFRS, as an indicator of cash flows or as a measure of liquidity.
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 13 of 26
|
APPENDIX 4: COST APPLICABLE TO SALES RECONCILIATION
Reconciliation of Costs Applicable to Sales and Cost Applicable to Sales per Unit Sold
Cost applicable to sales consists of cost of sales, excluding depreciation and amortization, plus selling expenses.
Cost applicable to sales per unit sold for each mine consists of cost applicable to sales for a particular metal produced at a given mine divided by the volume of such metal produced at such mine in the specified period. We note that cost
applicable to sales is not directly comparable to the cash operating cost figures disclosed in previously furnished earnings releases.
Cost applicable to sales and Cost applicable to sales per unit of mineral sold are not measures of financial
performance under IFRS, and may not be comparable to similarly titled measures of other companies. We consider Cost applicable to sales and Cost applicable to sales per unit of mineral sold to be key measures in managing and evaluating our
operating performance. These measures are widely reported in the precious metals industry as a benchmark for performance, but do not have standardized meanings. You should not consider Cost applicable to sales or Cost applicable to sales per unit
of mineral sold as alternatives to cost of sales determined in accordance with IFRS, as indicators of our operating performance. Cost applicable to sales and Cost applicable to sales per unit of mineral sold are calculated without adjusting for
by-product revenue amounts.
The tables below set forth (i) a reconciliation of consolidated Cost of sales, excluding depreciation and amortization
to consolidated Cost applicable to sales, (ii) reconciliations of the components of Cost applicable to sales (by mine and mineral) to the corresponding consolidated line items set forth on our consolidated statements of profit or loss for the
three and nine months ended September 30, 2015 and 2016, and (iii) reconciliations of Cost of sales, excluding depreciation and amortization to Cost applicable to sales for each of our mining units. The amounts set forth in Cost applicable to
sales and Cost applicable to sales per unit sold for each mine and mineral indicated in the tables below can be reconciled to the amounts set forth on our consolidated statements of profit or loss for the three and nine months ended September 30,
2015 and 2016 by reference to the reconciliations of Cost of sales, excluding depreciation and amortization (by mine and mineral), Selling Expenses (by mine and metal) expenses and Exploration in units in operations (by mine and mineral) to
consolidated Cost of sales, excluding depreciation and amortization, consolidated Selling Expenses and consolidated Exploration in units in operations expenses, respectively, set forth below.
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 14 of 26
|
|
Set forth below is a reconciliation of consolidated Cost of sales, excluding depreciation and amortization,
|
|||
|
to consolidated Cost applicable to sales:
|
|||
|
For the 3 months ended March 31
|
|||
|
2019
|
2018
|
||
|
(in thousands of US$)
|
|||
|
Consolidated Cost of sales excluding depreciation and amortization
|
114,297
|
150,595
|
|
|
Add:
|
|||
|
Consolidated Exploration in units in operation
|
11,464
|
22,769
|
|
|
Consolidated Commercial deductions
|
45,600
|
49,894
|
|
|
Consolidated Selling expenses
|
3,955
|
5,997
|
|
|
Consolidated Cost applicable to sales
|
175,316
|
229,255
|
|
|
Set forth below is a reconciliation of Cost of sales, excluding depreciation and amortization
|
|||
|
(by mine and mineral) to consolidated Cost of sales:
|
|||
|
For the 3 months ended March 31
|
|||
|
2019
|
2018
|
||
|
Cost of sales by
mine and mineral
|
(in thousands of US$)
|
||
|
Julcani, Gold
|
0
|
16
|
|
|
Julcani, Silver
|
6,538
|
3,830
|
|
|
Julcani, Lead
|
282
|
349
|
|
|
Julcani, Copper
|
17
|
10
|
|
|
Mallay, Gold
|
0
|
2
|
|
|
Mallay, Silver
|
0
|
1,201
|
|
|
Mallay, Lead
|
0
|
574
|
|
|
Mallay, Zinc
|
0
|
1,383
|
|
|
Orcopampa, Gold
|
8,420
|
25,224
|
|
|
Orcopampa, Silver
|
57
|
768
|
|
|
Orcopampa, Copper
|
0
|
87
|
|
|
Uchucchacua, Gold
|
0
|
27
|
|
|
Uchucchacua, Silver
|
14,861
|
24,130
|
|
|
Uchucchacua, Lead
|
2,573
|
3,451
|
|
|
Uchucchacua, Zinc
|
4,962
|
5,168
|
|
|
Tambomayo, Gold
|
7,922
|
12,848
|
|
|
Tambomayo, Silver
|
2,270
|
4,341
|
|
|
Tambomayo, Zinc
|
1,201
|
415
|
|
|
Tambomayo, Lead
|
2,248
|
1,772
|
|
|
La Zanja, Gold
|
12,033
|
18,275
|
|
|
La Zanja, Silver
|
454
|
695
|
|
|
El Brocal, Gold
|
1,357
|
2,287
|
|
|
El Brocal, Silver
|
4,628
|
2,765
|
|
|
El Brocal, Lead
|
5,252
|
3,096
|
|
|
El Brocal, Zinc
|
12,733
|
13,044
|
|
|
El Brocal, Copper
|
24,812
|
22,688
|
|
|
Non Mining Units
|
1,677
|
2,147
|
|
|
Consolidated Cost of sales, excluding depreciation and amortization
|
114,297
|
150,595
|
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 15 of 26
|
|
Set forth below is a reconciliation of Exploration expenses in units in operation (by mine and mineral) to consolidated
Exploration expenses in mining units:
|
|||
|
For the 3 months ended March 31
|
|||
|
2019
|
2018
|
||
|
Exploration
expenses in units in operation by mine and mineral
|
(in thousands of US$)
|
||
|
Julcani, Gold
|
0
|
6
|
|
|
Julcani, Silver
|
1,517
|
1,425
|
|
|
Julcani, Lead
|
65
|
130
|
|
|
Julcani, Copper
|
4
|
4
|
|
|
Mallay, Gold
|
0
|
0
|
|
|
Mallay, Silver
|
0
|
104
|
|
|
Mallay, Lead
|
0
|
50
|
|
|
Mallay, Zinc
|
0
|
119
|
|
|
Orcopampa, Gold
|
2,521
|
8,813
|
|
|
Orcopampa, Silver
|
17
|
268
|
|
|
Orcopampa, Copper
|
0
|
31
|
|
|
Uchucchacua, Gold
|
0
|
5
|
|
|
Uchucchacua, Silver
|
1,430
|
4,327
|
|
|
Uchucchacua, Lead
|
248
|
619
|
|
|
Uchucchacua, Zinc
|
477
|
927
|
|
|
Tambomayo, Gold
|
1,884
|
2,612
|
|
|
Tambomayo, Silver
|
540
|
883
|
|
|
Tambomayo, Lead
|
286
|
84
|
|
|
Tambomayo, Zinc
|
535
|
360
|
|
|
La Zanja, Gold
|
1
|
6
|
|
|
La Zanja, Silver
|
0
|
0
|
|
|
El Brocal, Gold
|
54
|
104
|
|
|
El Brocal, Silver
|
184
|
126
|
|
|
El Brocal, Lead
|
209
|
141
|
|
|
El Brocal, Zinc
|
506
|
593
|
|
|
El Brocal, Copper
|
987
|
1,032
|
|
|
Non Mining Units
|
0
|
0
|
|
|
Consolidated Exploration expenses in units in operation
|
11,464
|
22,769
|
|
|
Set forth below is a reconciliation of Commercial Deductions in units in operation (by mine and mineral)
|
|||
|
to consolidated Commercial deductions:
|
|||
|
For the 3 months ended March 31
|
|||
|
2019
|
2018
|
||
|
Commercial
Deductions in units in operation by mine and mineral
|
(in thousands of US$)
|
||
|
Julcani, Gold
|
0
|
2
|
|
|
Julcani, Silver
|
771
|
569
|
|
|
Julcani, Lead
|
33
|
49
|
|
|
Julcani, Copper
|
3
|
1
|
|
|
Mallay, Gold
|
|
1 | |
|
Mallay, Silver
|
|
344
|
|
|
Mallay, Lead
|
|
166
|
|
|
Mallay, Zinc
|
|
417
|
|
|
Orcopampa, Gold
|
-30
|
305
|
|
|
Orcopampa, Silver
|
-1
|
34
|
|
|
Orcopampa, Copper
|
0
|
16
|
|
|
Uchucchacua, Gold
|
-2
|
7
|
|
|
Uchucchacua, Silver
|
4,789
|
7,995
|
|
|
Uchucchacua, Lead
|
392
|
1,032
|
|
|
Uchucchacua, Zinc
|
1,320
|
3,461
|
|
|
Tambomayo, Gold
|
1,591
|
98
|
|
|
Tambomayo, Silver
|
752
|
148
|
|
|
Tambomayo, Lead
|
399
|
52
|
|
|
Tambomayo, Zinc
|
1,557
|
449 |
|
|
La Zanja, Gold
|
45
|
94
|
|
|
La Zanja, Silver
|
1
|
3
|
|
|
El Brocal, Gold
|
1,200
|
2,428
|
|
|
El Brocal, Silver
|
2,381
|
1,743
|
|
|
El Brocal, Lead
|
1,177
|
1,292
|
|
|
El Brocal, Zinc
|
6,985
|
5,174
|
|
|
El Brocal, Copper
|
22,184
|
24,015
|
|
|
Non Mining Units
|
0
|
0
|
|
|
Consolidated Commercial deductions in units in operation
|
45,600
|
49,894
|
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 16 of 26
|
|
Set forth below is a reconciliation of Selling expenses (by mine and mineral) to consolidated
|
|||
|
Selling expenses:
|
|||
|
For the 3 months ended March 31
|
|||
|
2019
|
2018
|
||
|
Selling expenses
by mine and mineral
|
(in thousands of US$)
|
||
|
Julcani, Gold
|
0
|
0
|
|
|
Julcani, Silver
|
78
|
56
|
|
|
Julcani, Lead
|
3
|
5
|
|
|
Julcani, Copper
|
0
|
0
|
|
|
Mallay, Gold
|
0
|
0
|
|
|
Mallay, Silver
|
0
|
51
|
|
|
Mallay, Lead
|
0
|
25
|
|
|
Mallay, Zinc
|
0
|
59
|
|
|
Orcopampa, Gold
|
15
|
243
|
|
|
Orcopampa, Silver
|
0
|
7
|
|
|
Orcopampa, Copper
|
0
|
1
|
|
|
Uchucchacua, Gold
|
0
|
1
|
|
|
Uchucchacua, Silver
|
547
|
1,183
|
|
|
Uchucchacua, Lead
|
95
|
169
|
|
|
Uchucchacua, Zinc
|
183
|
253
|
|
|
Tambomayo, Gold
|
212
|
466
|
|
|
Tambomayo, Silver
|
61
|
158
|
|
|
Tambomayo, Lead
|
32
|
15
|
|
|
Tambomayo, Zinc
|
60
|
64
|
|
|
La Zanja, Gold
|
55
|
140
|
|
|
La Zanja, Silver
|
2
|
5
|
|
|
El Brocal, Gold
|
53
|
143
|
|
|
El Brocal, Silver
|
182
|
173
|
|
|
El Brocal, Lead
|
207
|
194
|
|
|
El Brocal, Zinc
|
501
|
818
|
|
|
El Brocal, Copper
|
976
|
1,422
|
|
|
Non Mining Units
|
690
|
344
|
|
|
Consolidated Selling expenses
|
3,955
|
5,997
|
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 17 of 26
|
|
JULCANI
|
||||||||||||
|
|
1Q 2019 |
|
1Q 2018 | |||||||||
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
|
|
Cost of Sales (without D&A) (US$000)
|
-
|
6,538
|
282
|
-
|
17
|
6,837
|
16
|
3,830
|
349
|
-
|
10
|
4,205
|
|
Add:
|
||||||||||||
|
Exploration Expenses (US$000)
|
-
|
1,517
|
65
|
-
|
4
|
1,586
|
6
|
1,425
|
130
|
-
|
4
|
1,565
|
|
Commercial Deductions (US$000)
|
-
|
771
|
33
|
-
|
3
|
807
|
2
|
569
|
49
|
-
|
1
|
621
|
|
Selling Expenses (US$000)
|
-
|
78.42
|
3.38
|
-
|
0
|
82
|
0.24
|
56.46
|
5.15
|
-
|
0.15
|
62
|
|
Cost Applicable to Sales (US$000)
|
-
|
8,904
|
384
|
-
|
24
|
9,312
|
25
|
5,880
|
534
|
-
|
15
|
6,453
|
|
Divide:
|
||||||||||||
|
Volume Sold
|
-
|
633,567
|
211
|
-
|
5
|
Not Applicable
|
10
|
352,236
|
169
|
-
|
2
|
Not Applicable
|
|
CAS
|
-
|
14.05
|
1,817
|
-
|
5,273
|
Not Applicable
|
2,470
|
16.69
|
3,161
|
-
|
7,391
|
Not Applicable
|
|
Prorrateo
|
0%
|
96%
|
4%
|
0%
|
0%
|
0%
|
91%
|
8%
|
-
|
0%
|
||
|
|
MALLAY | |||||||||||
|
|
1Q 2019 |
|
1Q 2018 | |||||||||
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
|
|
Cost of Sales (without D&A) (US$000)
|
-
|
2
|
1,201
|
574
|
1,383
|
-
|
3,161
|
|||||
|
Add:
|
||||||||||||
|
Exploration Expenses (US$000)
|
-
|
0
|
104
|
50
|
119
|
-
|
273
|
|||||
|
Commercial Deductions (US$000)
|
0
|
10
|
4
|
40
|
-
|
53
|
1
|
344
|
166
|
417
|
-
|
928
|
|
Selling Expenses (US$000)
|
2
|
0
|
51
|
25
|
59
|
-
|
135
|
|||||
|
Cost Applicable to Sales (US$000)
|
55
|
3
|
1,701
|
814
|
1,979
|
-
|
4,497
|
|||||
|
Divide:
|
||||||||||||
|
Volume Sold
|
-
|
-
|
-
|
-
|
-
|
Not Applicable
|
3
|
136,838
|
440
|
733
|
-
|
Not Applicable
|
|
CAS
|
-
|
-
|
-
|
-
|
-
|
Not Applicable
|
971.28
|
12.43
|
1,848
|
2,701
|
-
|
Not Applicable
|
|
|
ORCOPAMPA | |||||||||||
|
|
1Q 2019 |
|
1Q 2018 | |||||||||
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
|
|
Cost of Sales (without D&A) (US$000)
|
8,420
|
57
|
-
|
-
|
-
|
8,477
|
25,224
|
768
|
-
|
-
|
87
|
26,079
|
|
Add:
|
-
|
|||||||||||
|
Exploration Expenses (US$000)
|
2,521
|
17
|
-
|
-
|
-
|
2,538
|
8,813
|
268
|
-
|
-
|
31
|
9,112
|
|
Commercial Deductions (US$000)
|
-30
|
-1
|
-
|
-
|
-
|
-31
|
305
|
34
|
-
|
-
|
16
|
355
|
|
Selling Expenses (US$000)
|
15
|
0
|
-
|
-
|
-
|
15
|
243
|
7
|
-
|
-
|
1
|
251
|
|
Cost Applicable to Sales (US$000)
|
10,927
|
73
|
-
|
-
|
-
|
10,999
|
34,585
|
1,077
|
-
|
-
|
135
|
35,797
|
|
Divide:
|
||||||||||||
|
Volume Sold
|
4,427
|
2,367
|
-
|
-
|
-
|
Not Applicable
|
40,015
|
99,573
|
-
|
-
|
27
|
Not Applicable
|
|
CAS
|
2,468
|
30.68
|
-
|
-
|
-
|
Not Applicable
|
864
|
10.82
|
-
|
-
|
-
|
Not Applicable
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 18 of 26
|
|
|
UCHUCCHACUA | |||||||||||
|
|
1Q 2019
|
|
1Q 2018 | |||||||||
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
|
|
Cost of Sales (without D&A) (US$000)
|
-
|
14,861
|
2,573
|
4,962
|
-
|
22,396
|
27
|
24,130
|
3,451
|
5,168
|
-
|
32,777
|
|
Add:
|
||||||||||||
|
Exploration Expenses (US$000)
|
-
|
1,430
|
248
|
477
|
-
|
2,155
|
5
|
4,327
|
619
|
927
|
-
|
5,878
|
|
Commercial Deductions (US$000)
|
-2
|
4,789
|
392
|
1,320
|
-
|
6,499
|
7
|
7,995
|
1,032
|
3,461
|
-
|
12,495
|
|
Selling Expenses (US$000)
|
-
|
547
|
95
|
183
|
-
|
825
|
1
|
1,183
|
169
|
253
|
-
|
1,607
|
|
Cost Applicable to Sales (US$000)
|
-2
|
21,628
|
3,307
|
6,942
|
-
|
31,875
|
40
|
37,635
|
5,272
|
9,809
|
-
|
52,757
|
|
Divide:
|
||||||||||||
|
Volume Sold
|
0
|
1,834,669
|
2,456
|
3,402
|
-
|
Not Applicable
|
70
|
3,853,518
|
3,434
|
3,802
|
-
|
Not Applicable
|
|
CAS
|
-
|
11.79
|
1,347
|
2,041
|
-
|
No Applicable
|
575
|
9.77
|
1,535
|
2,580
|
-
|
No Applicable
|
|
Prorrateo
|
0.00%
|
66.36%
|
11.49%
|
22.16%
|
0%
|
74%
|
11%
|
16%
|
-
|
|||
|
|
TAMBOMAYO | |||||||||||
|
|
1Q 2019 |
|
1Q 2018 | |||||||||
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
|
|
Cost of Sales (without D&A) (US$000)
|
7,922
|
2,270
|
1,201
|
2,248
|
-
|
13,641
|
12,848
|
4,341
|
415
|
1,772.08
|
-
|
19,376
|
|
Add:
|
||||||||||||
|
Exploration Expenses (US$000)
|
1,884
|
540
|
286
|
535
|
-
|
3,244
|
2,612
|
883
|
84
|
360
|
-
|
3,939
|
|
Commercial Deductions (US$000)
|
1,591
|
752
|
399
|
1,557
|
-
|
4,299
|
98
|
148
|
52
|
449
|
-
|
747
|
|
Selling Expenses (US$000)
|
212
|
61
|
32
|
60
|
-
|
365
|
466
|
158
|
15
|
64
|
-
|
703
|
|
Cost Applicable to Sales (US$000)
|
11,609
|
3,623
|
1,918
|
4,400
|
-
|
21,549
|
16,024
|
5,529
|
567
|
2,645
|
-
|
24,765
|
|
Divide:
|
||||||||||||
|
Volume Sold
|
16,360
|
399,251
|
1,551
|
1,979
|
-
|
Not Applicable
|
30,698
|
837,123
|
528
|
1,672
|
-
|
Not Applicable
|
|
CAS
|
710
|
9.07
|
1,236
|
2,223
|
-
|
No Applicable
|
522
|
6.60
|
1,073
|
1,582
|
-
|
No Applicable
|
|
Prorrateo
|
58.07%
|
16.64%
|
8.80%
|
16.48%
|
0.00%
|
66%
|
22%
|
2%
|
9%
|
0%
|
||
|
|
LA ZANJA | |||||||||||
|
|
1Q 2019 |
|
1Q 2018 | |||||||||
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
|
|
Cost of Sales (without D&A) (US$000)
|
12,033
|
454
|
-
|
-
|
-
|
12,487
|
18,275
|
695
|
-
|
-
|
-
|
18,970
|
|
Add:
|
||||||||||||
|
Exploration Expenses (US$000)
|
1
|
0
|
-
|
-
|
-
|
1
|
6
|
0
|
-
|
-
|
-
|
6
|
|
Commercial Deductions (US$000)
|
45
|
1
|
-
|
-
|
-
|
47
|
94
|
3
|
-
|
-
|
-
|
96
|
|
Selling Expenses (US$000)
|
55
|
2
|
-
|
-
|
-
|
57
|
140
|
5
|
-
|
-
|
-
|
145
|
|
Cost Applicable to Sales (US$000)
|
12,134
|
458
|
-
|
-
|
-
|
12,592
|
18,514
|
704
|
-
|
-
|
-
|
19,217
|
|
Divide:
|
||||||||||||
|
Volume Sold
|
12,621
|
39,686
|
-
|
-
|
-
|
Not Applicable
|
18,222
|
55,814
|
-
|
-
|
-
|
Not Applicable
|
|
CAS
|
961
|
11.54
|
-
|
-
|
-
|
Not Applicable
|
1,016
|
12.61
|
-
|
-
|
-
|
Not Applicable
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 19 of 26
|
|
|
BROCAL | |||||||||||
|
|
1Q 2019 |
|
1Q 2018 | |||||||||
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
|
|
Cost of Sales (without D&A) (US$000)
|
1,357
|
4,628
|
5,252
|
12,733
|
24,812
|
48,782
|
2,287
|
2,765
|
3,096
|
13,044
|
22,688
|
43,880
|
|
Add:
|
||||||||||||
|
Exploration Expenses (US$000)
|
54
|
184
|
209
|
506
|
987
|
1,940
|
104
|
126
|
141
|
593
|
1,032
|
1,996
|
|
Commercial Deductions (US$000)
|
1,200
|
2,381
|
1,177
|
6,985
|
22,184
|
33,927
|
2,428
|
1,743
|
1,292
|
5,174
|
24,015
|
34,652
|
|
Selling Expenses (US$000)
|
53
|
182
|
207
|
501
|
976
|
1,919
|
143
|
173
|
194
|
818
|
1,422
|
2,750
|
|
Cost Applicable to Sales (US$000)
|
2,665
|
7,374
|
6,845
|
20,726
|
48,959
|
86,568
|
4,962
|
4,807
|
4,723
|
19,629
|
49,157
|
83,278
|
|
Divide:
|
||||||||||||
|
Volume Sold
|
2,178
|
592,139
|
5,159
|
9,387
|
8,313
|
Not Applicable
|
5,102
|
536,585
|
3,339
|
11,354
|
9,854
|
Not Applicable
|
|
CAS
|
1,223
|
12.45
|
1,327
|
2,208
|
5,890
|
Not Applicable
|
973
|
8.96
|
1,414
|
1,729
|
4,989
|
Not Applicable
|
|
|
NON MINING COMPANIES | |||||||||||
|
|
1Q 2019 | 1Q 2018 | ||||||||||
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
|
|
Cost of Sales (without D&A) (US$000)
|
-
|
-
|
-
|
-
|
-
|
1,677
|
-
|
-
|
-
|
-
|
-
|
2,147
|
|
Add:
|
-
|
-
|
||||||||||
|
Selling Expenses (US$000)
|
-
|
-
|
-
|
-
|
-
|
690
|
-
|
-
|
-
|
-
|
-
|
344
|
|
Total (US$000)
|
-
|
-
|
-
|
-
|
-
|
2,367
|
-
|
-
|
-
|
-
|
-
|
2,829
|
|
|
BUENAVENTURA CONSOLIDATED | |||||||||||
|
|
1Q 2019 |
|
1Q 2018 | |||||||||
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
|
|
Cost of Sales (without D&A) (US$000)
|
29732.0151
|
28,809
|
9,308
|
19,943
|
24,829
|
114,297
|
58,679
|
37,730
|
7,886
|
21,368
|
22,786
|
150,595
|
|
Add:
|
||||||||||||
|
Exploration Expenses (US$000)
|
4,460
|
3,688
|
807
|
1,518
|
991
|
11,464
|
11,546
|
7,133
|
1,024
|
2,000
|
1,066
|
22,769
|
|
Commercial Deductions (US$000)
|
2,804
|
8,702
|
2,005
|
9,903
|
22,186
|
45,600
|
2,935
|
10,835
|
2,591
|
9,501
|
24,032
|
49,894
|
|
Selling Expenses (US$000)
|
335
|
871
|
337
|
744
|
976
|
3,955
|
994
|
1,634
|
408
|
1,194
|
1,423
|
5,997
|
|
Cost Applicable to Sales (US$000)
|
37,331
|
42,060
|
12,453
|
32,067
|
48,982
|
175,316
|
74,153
|
57,333
|
11,909
|
34,063
|
49,307
|
229,255
|
|
Divide:
|
||||||||||||
|
Volume Sold
|
35,587
|
3,501,679
|
9,378
|
14,768
|
8,317
|
Not Applicable
|
94,120
|
5,871,687
|
7,911
|
17,561
|
9,883
|
Not Applicable
|
|
CAS
|
1,049
|
12.01
|
1,328
|
2,171
|
5,889
|
Not Applicable
|
788
|
9.76
|
1,505
|
1,940
|
4,989
|
Not Applicable
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 20 of 26
|
|
|
COIMOLACHE | |||||||||||
|
|
1Q 2019 |
|
1Q 2018 | |||||||||
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
GOLD (OZ)
|
SILVER (OZ)
|
LEAD (MT)
|
ZINC (MT)
|
COPPER (MT)
|
TOTAL
|
|
|
Cost of Sales (without D&A) (US$000)
|
17,573
|
627
|
-
|
-
|
-
|
18,200
|
16,342
|
1,186
|
-
|
-
|
-
|
17,528
|
|
Add:
|
||||||||||||
|
Exploration Expenses (US$000)
|
1,264
|
45
|
-
|
-
|
-
|
1,309
|
1,798
|
130
|
-
|
-
|
-
|
1,928
|
|
Commercial Deductions (US$000)
|
83
|
3
|
-
|
-
|
-
|
86
|
155
|
12
|
-
|
-
|
-
|
166
|
|
Selling Expenses (US$000)
|
114
|
4
|
-
|
-
|
-
|
118
|
112
|
8
|
-
|
-
|
-
|
120
|
|
Cost Applicable to Sales (US$000)
|
19,034
|
679
|
-
|
-
|
-
|
19,713
|
18,406
|
1,336
|
-
|
-
|
-
|
19,742
|
|
Divide:
|
||||||||||||
|
Volume Sold
|
26,191
|
75,770
|
-
|
-
|
-
|
Not Applicable
|
27,957
|
164,097
|
-
|
-
|
-
|
Not Applicable
|
|
CAS
|
727
|
8.97
|
-
|
-
|
-
|
Not Applicable
|
658
|
8.14
|
-
|
-
|
-
|
Not Applicable
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 21 of 26
|
|
Buenaventura
|
||||||||||||||||||||||||||||||||
|
All-in Sustaining Cost for 1Q19
|
||||||||||||||||||||||||||||||||
| Buenaventura1 | La Zanja | Tantahuatay | Attributable 2 | |||||||||||||||||||||||||||||
| 1Q19 | 1Q19 | 1Q19 |
1Q19 |
|||||||||||||||||||||||||||||
|
Au Ounces Sold BVN
|
20,788
|
|||||||||||||||||||||||||||||||
|
Au Ounces bought from La Zanja
|
||||||||||||||||||||||||||||||||
|
Au Ounces Sold Net
|
20,788
|
12,621
|
26,191
|
37,986
|
||||||||||||||||||||||||||||
| 1Q19 | 1Q19 | 1Q19 | 1Q19 | |||||||||||||||||||||||||||||
|
Income Statement & Cash Flow
|
US$ 000'
|
US$/Oz Au
|
US$ 000'
|
US$/Oz Au
|
US$ 000'
|
US$/Oz Au
|
US$ 000'
|
US$/Oz Au
|
||||||||||||||||||||||||
|
Cost of Sales
|
57,454
|
2,764
|
12,932
|
1,025
|
18,200
|
695
|
71,613
|
1,885
|
||||||||||||||||||||||||
|
Exploration in Operating Units
|
9,523
|
458
|
1
|
0
|
1,309
|
50
|
10,048
|
265
|
||||||||||||||||||||||||
|
Royalties
|
440
|
21
|
0
|
0
|
440
|
12
|
||||||||||||||||||||||||||
|
Comercial Deductions3
|
11,627
|
559
|
47
|
4
|
86
|
3
|
11,686
|
308
|
||||||||||||||||||||||||
|
Selling Expenses
|
1,419
|
68
|
57
|
5
|
118
|
5
|
1,497
|
39
|
||||||||||||||||||||||||
|
Administrative Expenses
|
11,999
|
577
|
809
|
64
|
1,204
|
46
|
12,911
|
340
|
||||||||||||||||||||||||
|
Other, net
|
8,386
|
403
|
648
|
51
|
218
|
8
|
8,817
|
232
|
||||||||||||||||||||||||
|
Sustaining Capex4
|
2,580
|
124
|
66
|
5
|
4,011
|
153
|
4,223
|
111
|
||||||||||||||||||||||||
|
By-product Credit
|
-67,915
|
-3,267
|
-630
|
-50
|
-1,225
|
-47
|
-826
|
-22
|
||||||||||||||||||||||||
|
All-in Sustaining Cost
|
35,512
|
1,708
|
13,929
|
1,104
|
23,921
|
913
|
52,495
|
1,382
|
||||||||||||||||||||||||
|
*All-in Sustaining Cost does not include: Depreciation and Amortization, Stoppage of mining units, Exploration in
non-operating areas.
|
||||||||||||||||||||||||||||||||
|
Notes:
|
|
|
1.
|
Non-consolidated financial statements for Compañia De Minas Buenaventura S.A.A.
|
|
2.
|
Considers 100% from Compañia De Minas Buenaventura S.A.A., 53.06% from La Zanja and 40.095% from Tantahuatay.
|
|
3.
|
For all metals produced.
|
|
4.
|
Sustaining Capex + Growth Capex equals Acquisitions of mining concessions, development costs, property, plant and equipment.
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 22 of 26
|
|
Buenaventura
|
||||||||||||||||||||||||||||||||
|
All-in Sustaining Cost for 1Q18
|
||||||||||||||||||||||||||||||||
| Buenaventura1 | La Zanja | Tantahuatay | Attributable 2 | |||||||||||||||||||||||||||||
| 1Q18 | 1Q18 | 1Q18 |
1Q18 |
|||||||||||||||||||||||||||||
|
Au Ounces Sold BVN
|
70,796
|
|||||||||||||||||||||||||||||||
|
Au Ounces bought from La Zanja
|
0
|
|||||||||||||||||||||||||||||||
|
Au Ounces Sold Net
|
70,796
|
18,222
|
27,957
|
91,674
|
||||||||||||||||||||||||||||
| 1Q18 | 1Q18 | 1Q18 | 1Q18 | |||||||||||||||||||||||||||||
|
Income Statement & Cash Flow
|
US$ 000'
|
US$/Oz Au
|
US$ 000'
|
US$/Oz Au
|
US$ 000'
|
US$/Oz Au
|
US$ 000'
|
US$/Oz Au
|
||||||||||||||||||||||||
|
Cost of Sales3
|
91,830
|
1,297
|
19,283
|
1,058
|
17,528
|
627
|
109,089
|
1,,190
|
||||||||||||||||||||||||
|
Exploration in Operating Units
|
20,767
|
293
|
5
|
0
|
1,928
|
69
|
21,543
|
235
|
||||||||||||||||||||||||
|
Royalties
|
4,343
|
61
|
0
|
0
|
0
|
0
|
4,343
|
47
|
||||||||||||||||||||||||
|
Comercial Deductions4
|
15,146
|
214
|
96
|
5
|
166
|
6
|
15,264
|
167
|
||||||||||||||||||||||||
|
Selling Expenses
|
2,889
|
41
|
145
|
8
|
120
|
4
|
3,014
|
33
|
||||||||||||||||||||||||
|
Administrative Expenses
|
19,626
|
277
|
630
|
35
|
1,243
|
44
|
20,459
|
223
|
||||||||||||||||||||||||
|
Other, net
|
3,460
|
49
|
173
|
9
|
253
|
9
|
3,653
|
40
|
||||||||||||||||||||||||
|
Sustaining Capex5
|
10,631
|
150
|
2,764
|
152
|
3,526
|
126
|
13,512
|
147
|
||||||||||||||||||||||||
|
By-product Credit
|
-119,744
|
-1,691
|
-932
|
-51
|
-2,769
|
-99
|
-1,605
|
-18
|
||||||||||||||||||||||||
|
All-in Sustaining Cost
|
48,948
|
691
|
22,164
|
1,216
|
21,996
|
787
|
69,527
|
758
|
||||||||||||||||||||||||
|
*All-in Sustaining Cost does not include: Depreciation and Amortization, Stoppage of mining units, Exploration in
non-operating areas.
|
||||||||||||||||||||||||||||||||
|
Notes:
|
|
|
1.
|
Non-consolidated financial statements for Compañia De Minas Buenaventura S.A.A.
|
|
2.
|
Considers 100% from Compañia De Minas Buenaventura S.A.A., 53.06% from La Zanja and 40.095% from Tantahuatay.
|
|
3.
|
For all metals produced.
|
|
4.
|
Sustaining Capex + Growth Capex equals Acquisitions of mining concessions, development costs, property, plant and equipment.
|
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 23 of 26
|
APPENDIX 6
|
Compañía de Minas Buenaventura S.A.A. and Subsidiaries
|
||||||||
|
Consolidated Statement of Financial Position
|
||||||||
|
As of March 31, 2019 and December 31, 2018
|
||||||||
|
2019
|
2018
|
|||||||
|
Assets
|
US$(000)
|
US$(000)
|
||||||
|
Current assets
|
||||||||
|
Cash and cash equivalents
|
279,394
|
369,200
|
||||||
|
Trade and other accounts receivable, net
|
231,543
|
211,715
|
||||||
|
Inventory, net
|
137,641
|
135,919
|
||||||
|
Income tax credit
|
20,868
|
24,396
|
||||||
|
Prepaid expenses
|
18,020
|
17,145
|
||||||
|
Hedge derivative financial instruments
|
-
|
2,759
|
||||||
|
687,466
|
761,134
|
|||||||
|
Non-current assets
|
||||||||
|
Trade and other receivables, net
|
38,339
|
40,593
|
||||||
|
Long-term inventory
|
3,895
|
3,812
|
||||||
|
Long-term income tax credit
|
63
|
319
|
||||||
|
Investment in associates
|
1,492,816
|
1,473,382
|
||||||
|
Mining concessions, development costs, property, plant and equipment, net
|
1,818,558
|
1,847,615
|
||||||
|
Investment properties, net
|
218
|
222
|
||||||
|
Deferred income tax asset, net
|
49,235
|
38,305
|
||||||
|
Prepaid expenses
|
26,356
|
26,578
|
||||||
|
Other assets
|
28,227
|
25,261
|
||||||
|
3,457,707
|
3,456,087
|
|||||||
|
Total assets
|
4,145,173
|
4,217,221
|
||||||
|
Liabilities and shareholders’ equity, net
|
||||||||
|
Current liabilities
|
||||||||
|
Bank loans
|
55,000
|
95,000
|
||||||
|
Trade and other payables
|
155,598
|
188,084
|
||||||
|
Provisions and contingent liabilities
|
55,822
|
68,172
|
||||||
|
Income tax payable
|
1,683
|
1,760
|
||||||
|
Financial obligations
|
53,422
|
46,166
|
||||||
|
Hedge derivative financial instruments
|
172
|
-
|
||||||
|
321,697
|
399,182
|
|||||||
|
Non-current liabilities
|
||||||||
|
Trade and other payables
|
679
|
639
|
||||||
|
Provisions and contingent liabilities
|
207,862
|
199,762
|
||||||
|
Financial obligations
|
541,214
|
540,896
|
||||||
|
Contingent consideration liability
|
15,755
|
15,755
|
||||||
|
Deferred income tax liability, net
|
25,867
|
31,422
|
||||||
|
791,377
|
788,474
|
|||||||
|
Total liabilities
|
1,113,074
|
1,187,656
|
||||||
|
Shareholders’ equity, net
|
||||||||
|
Capital stock
|
750,497
|
750,497
|
||||||
|
Investment shares
|
791
|
791
|
||||||
|
Additional paid-in capital
|
218,450
|
218,450
|
||||||
|
Legal reserve
|
163,115
|
163,115
|
||||||
|
Other reserves
|
269
|
269
|
||||||
|
Retained earnings
|
1,685,805
|
1,675,909
|
||||||
|
Other reserves of equity
|
(1,571
|
)
|
(703
|
)
|
||||
|
Shareholders’ equity, net attributable to owners of the parent
|
2,817,356
|
2,808,328
|
||||||
|
Non-controlling interest
|
214,743
|
221,237
|
||||||
|
Total shareholders’ equity, net
|
3,032,099
|
3,029,565
|
||||||
|
Total liabilities and shareholders’ equity, net
|
4,145,173
|
4,217,221
|
||||||
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 24 of 26
|
|
Compañía de Minas Buenaventura S.A.A. and Subsidiaries
|
||||||||
|
Consolidated Statement of Income
|
||||||||
|
For the three month periods ended March 31, 2019 and 2018
|
||||||||
|
For the three month period ended March, 31
|
||||||||
|
2019
|
2018
|
|||||||
|
Continuing operations
|
US$(000)
|
US$(000)
|
||||||
|
Operating income
|
||||||||
|
Net sales of goods
|
177,228
|
306,756
|
||||||
|
Net sales of services
|
3,471
|
5,763
|
||||||
|
Royalty income
|
5,460
|
4,419
|
||||||
|
Total operating income
|
186,159
|
316,938
|
||||||
|
Operating costs
|
||||||||
|
Cost of sales, without considering depreciation and amortization
|
(112,952
|
)
|
(148,585
|
)
|
||||
|
Cost of services, without considering depreciation and amortization
|
(1,345
|
)
|
(2,010
|
)
|
||||
|
Exploration in operating units
|
(11,464
|
)
|
(22,769
|
)
|
||||
|
Depreciation and amortization
|
(49,744
|
)
|
(53,809
|
)
|
||||
|
Mining royalties
|
(2,094
|
)
|
(6,395
|
)
|
||||
|
Total operating costs
|
(177,599
|
)
|
(233,568
|
)
|
||||
|
Gross profit
|
8,560
|
83,370
|
||||||
|
Operating expenses, net
|
||||||||
|
Administrative expenses
|
(19,417
|
)
|
(25,045
|
)
|
||||
|
Selling expenses
|
(3,955
|
)
|
(5,997
|
)
|
||||
|
Exploration in non-operating areas
|
(3,410
|
)
|
(6,767
|
)
|
||||
|
Provision for contingencies and others
|
1,611
|
1,475
|
||||||
|
Other, net
|
(12,464
|
)
|
(5,742
|
)
|
||||
|
Total operating expenses, net
|
(37,635
|
)
|
(42,076
|
)
|
||||
|
Operating profit (loss)
|
(29,075
|
)
|
41,294
|
|||||
|
Other income (expense), net
|
||||||||
|
Share in the results of associates
|
49,512
|
14,803
|
||||||
|
Financial income
|
2,111
|
1,130
|
||||||
|
Net gain from currency exchange difference
|
20
|
665
|
||||||
|
Financial costs
|
(11,578
|
)
|
(8,684
|
)
|
||||
|
Total other income, net
|
40,065
|
7,914
|
||||||
|
Profit before income tax
|
10,990
|
49,208
|
||||||
|
Current income tax
|
(1,996
|
)
|
(10,217
|
)
|
||||
|
Deferred income tax
|
15,247
|
(7,234
|
)
|
|||||
|
Loss from continuing operations
|
24,241
|
31,757
|
||||||
|
Discontinued operations
|
||||||||
|
Profit (loss) from discontinued operations
|
(230
|
)
|
(931
|
)
|
||||
|
Net profit
|
24,011
|
30,826
|
||||||
|
Attributable to:
|
||||||||
|
Owners of the parent
|
27,265
|
28,418
|
||||||
|
Non-controlling interest
|
(3,254
|
)
|
2,408
|
|||||
|
24,011
|
30,826
|
|||||||
|
Basic and diluted profit (loss) per share attributable to
|
||||||||
|
equity holders of the parent, stated in U.S. dollars
|
0.11
|
0.11
|
||||||
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 25 of 26
|
|
Compañía de Minas Buenaventura S.A.A. and Subsidiaries
|
||||||||
|
Consolidated Statement of Cash Flows
|
||||||||
|
For the three month periods ended March 31, 2019 and 2018
|
||||||||
|
For the three month period ended March, 31
|
||||||||
|
2019
|
2018
|
|||||||
|
US$(000)
|
US$(000)
|
|||||||
|
Operating activities
|
||||||||
|
Proceeds from sales
|
182,772
|
329,843
|
||||||
|
Value Added Tax recovered
|
9,382
|
37,670
|
||||||
|
Royalty received
|
5,460
|
5,276
|
||||||
|
Proceeds from dividends
|
937
|
3,431
|
||||||
|
Interest received
|
523
|
131
|
||||||
|
Payments to suppliers and third-parties
|
(174,125
|
)
|
(230,788
|
)
|
||||
|
Payments to employees
|
(41,610
|
)
|
(50,007
|
)
|
||||
|
Payments of interest
|
(6,525
|
)
|
(5,999
|
)
|
||||
|
Payment of income taxes
|
(5,725
|
)
|
(7,331
|
)
|
||||
|
Payments of mining royalties
|
(441
|
)
|
(4,343
|
)
|
||||
|
Net cash and cash equivalents provided by operating activities
|
(29,352
|
)
|
77,883
|
|||||
|
Investing activities
|
||||||||
|
Proceeds from sales of mining concessions, property, plant and equipment
|
147
|
46
|
||||||
|
Acquisitions of mining concessions, development costs, property, plant and equipment
|
(8,516
|
)
|
(21,188
|
)
|
||||
|
Payments to other assets
|
(442
|
)
|
(662
|
)
|
||||
|
Net cash and cash equivalents used in investing activities
|
(8,811
|
)
|
(21,804
|
)
|
||||
|
Financing activities
|
||||||||
|
Proceeds of financial obligations
|
||||||||
|
Proceeds of bank loans
|
5,000
|
80,000
|
||||||
|
Payments of bank loans
|
-45,000
|
(81,215
|
)
|
|||||
|
Payments of financial obligations
|
-10,347
|
(9,996
|
)
|
|||||
|
Increase of restricted bank accounts
|
304
|
248
|
||||||
|
Dividends paid to non-controlling interest
|
-1,600
|
(1,440
|
)
|
|||||
|
Acquisition of non-controlling interest
|
||||||||
|
Dividends paid to controlling interest
|
||||||||
|
Repurchase of treasury shares
|
||||||||
|
Net cash and cash equivalents provided by (used in) financing activities
|
(51,643
|
)
|
(12,403
|
)
|
||||
|
Net increase in cash and cash equivalents during the period
|
(89,806
|
)
|
43,676
|
|||||
|
Cash and cash equivalents at the beginning of the period
|
369,200
|
214,551
|
||||||
|
Cash and cash equivalents at period-end
|
279,394
|
258,227
|
||||||
|
Compañía de Minas Buenaventura S.A.A.
First Quarter 2019 Results
Page 26 of 26
|
|
|
For the three month period ended March, 31
|
|||||||
|
|
2019
|
2018
|
||||||
|
|
US$(000)
|
US$(000)
|
||||||
|
|
||||||||
|
Reconciliation of net profit to cash and cash equivalents provided
|
||||||||
|
by operating activities
|
||||||||
|
|
||||||||
|
Net loss
|
24,011
|
30,826
|
||||||
|
|
||||||||
|
Plus (less):
|
||||||||
|
Depreciation and amortization
|
49,744 |
53,809
|
||||||
|
Hedge derivative instruments
|
(2,487
|
)
|
8,535
|
|||||
|
Deferred income tax expense (income)
|
(15,247
|
)
|
(7,234
|
)
|
||||
|
Provision for estimated fair value of embedded derivatives related to concentrate
|
||||||||
|
sales and adjustments on open liquidations
|
(6,031
|
)
|
7,143
|
|||||
|
Income attributable to non-controlling interest
|
3,254
|
(2,408 |
) |
|||||
|
Accretion expense of provision for closure of mining units and exploration projects
|
3,664
|
1,033 |
||||||
|
Net share in results of associates
|
(49,512
|
)
|
(14,803
|
)
|
||||
|
Recovery (expense) for provision for contingencies
|
3,955
|
|
(1,475 |
) |
||||
|
Net loss (gain) from currency exchange difference
|
(20
|
)
|
(665
|
)
|
||||
|
Reversal (provision) for impairment loss of inventories
|
929
|
(158
|
)
|
|||||
|
Bonus provision - executives & employes
|
4,670
|
3,639
|
||||||
|
Other net
|
1,847
|
(12,216
|
)
|
|||||
|
|
||||||||
|
Net changes in operating assets and liabilities:
|
||||||||
|
Decrease (increase) in operating assets -
|
||||||||
|
Trade and other accounts receivable
|
(13,641
|
) |
19,843
|
|||||
|
Inventories
|
(1,805
|
) |
(15,929
|
)
|
||||
|
Income tax credit
|
3,528
|
10,184
|
||||||
|
Prepaid expenses
|
(653
|
) |
3,488
|
|||||
|
Increase (decrease) in operating liabilities -
|
||||||||
|
Trade and other accounts payable
|
(24,386
|
) |
(29,557
|
)
|
||||
|
Provisions
|
(12,032
|
) |
6,271
|
|||||
|
Income tax payable
|
(77
|
) |
(342
|
)
|
||||
|
|
||||||||
|
Proceeds from dividends
|
937
|
3,431
|
||||||
|
|
||||||||
|
Net cash and cash equivalents provided by operating activities
|
(29,352
|
)
|
77,883
|
|
||||
Signature
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed
on its behalf by the undersigned, thereunto duly authorized.
COMPAÑÍA DE MINAS BUENAVENTURA S.A.A.
By: /s/ LEANDRO GARCÍA RAGGIO
Name: Leandro García Raggio
Title: Chief Financial Officer
Date: May 1, 2019