First Majestic Silver Corp. (NYSE:AG) Q4 2019 Earnings Conference Call - Final Transcript

Jan 21, 2020 • 11:00 am ET

Previous

First Majestic Silver Corp. (NYSE:AG) Q4 2019 Earnings Conference Call - Final Transcript

Share
Close

Loading Event

Loading Transcript

Q & A
Operator
Operator

[Operator Instructions] Our first question is from Jake Sekelsky with Roth Capital Partners. Please go ahead.

Analyst
Jake Sekelsky

Hey, Keith and team, thanks for taking my questions.

Executive
Keith Neumeyer

Okay. No problem.

Analyst
Jake Sekelsky

You touched on this a bit, but can you give any additional color on mining at the Tayoltita mine at San Dimas? I guess I'm wondering if you're able to quantify the impact it could have on silver grades from I guess Q2 onward this year.

Executive
Keith Neumeyer

Yeah. We're updating the 43-101 now. There has been significant amount of drilling that's gone on at San Dimas over the last 18 months since we acquired that mine in May of 2018. And then since we -- and we've never updated that document since we acquired it. So it's kind of overdue to get it updated. So we're anxiously getting that out. So I can't really comment on that without that document being made public.

Analyst
Jake Sekelsky

Fair enough. And is that a first half release we should expect to see? Or is the timing still kind of up in there on that?

Executive
Keith Neumeyer

Yeah. It's H1, yeah. First half, we'll get that up.

Analyst
Jake Sekelsky

Got it. Okay. That's helpful. And then just more broadly, does the guidance include the benefits you're looking to see from the investments like the HIG mill at San Dimas and upgrades at Santa Elena? Or are you looking at some of this additional upside to the guidance you put out this morning?

Executive
Keith Neumeyer

Yeah. San Dimas spend in 2020 does not show up as any benefit for 2020 which is -- you can say, well, why not, but it's just a conservative approach. The Ermitano also -- it doesn't show up as any benefit. The LNG does show up only for two months in the budget.

Analyst
Jake Sekelsky

Got it. That's all on my end. Thanks, guys.

Executive
Keith Neumeyer

Yeah. And just one other thing while everyone's listening before the next question. Ray just told me that I misquoted -- I mentioned Q3 or October 2021 for LNG. LNG kicks in at Santa Elena in October 2020. Any other questions?

Operator
Operator

And our next question is from Adam Graf with B. Riley. Please go ahead.

Analyst
Adam Graf

Thanks. Thanks for taking my questions. Just a couple of quick ones here. Can you guys give us the capex split between the three operations?

Executive
Keith Neumeyer

Yeah, Todd can follow up with you, Adam, on that. We do have the split between -- we have the split between sustaining and expansionary. Of course, that's in the news release. But on a per mine basis, is there something specific you would like, for example, exploration or development, anything specific? Because there's quite a lot of line items.

Analyst
Adam Graf

Yeah. There was a lot of moving parts. A lot of growth capital, I know. So I was just hoping for a split. That's okay. I'll follow up with Todd on that.

Executive
Keith Neumeyer

I can throw some numbers out to you. Like at Santa Elena, $5.2 million, exploration; San Dimas, $10.4 million, exploration; you got Ermitano development of almost $13 million