Yamana Gold Inc (NYSE:AUY) Q4 2019 Earnings Conference Call - Final Transcript
Feb 14, 2020 • 09:00 am ET
Thank you all for joining us this morning. Before I turn the call over, I need to advise that certain statements made during this call today may contain forward-looking information and actual results may differ from the conclusions or projections in that forward-looking information, which include, but are not limited to statements with respect to the estimation of mineral reserves and resources, the timing and amount of estimated future production and cost of production, capital expenditures, future metal prices and the cost of timing and the development of new projects.
For a complete discussion of the risks, uncertainties and factors, which may lead to actual financial results and performance being different from the estimates contained in the forward-looking statements. Please refer to Yamana's press release issued yesterday announcing fourth quarter 2019 results, as well as the management's discussion and analysis for the same period and other regulatory filings in Canada and the United States.
I would like to remind everyone that this conference call is being recorded, and will be available for replay today at 12 o'clock PM Eastern Time. Replay information and the presentation slides accompanying this conference call and webcast are available on Yamana's website at yamana.com.
I will now turn the call over to Mr. Daniel Racine, President and Chief Executive Officer.
Thank you, operator. Thank you all for joining us and welcome to our fourth quarter and year end conference call. With me on the call today is Jason LeBlanc, our CFO, other members of our great management team are also in the room and will be available for the Q&A portion of the call.
2019 was by any measure, a very strong year for Yamana. Production exceeded guidance, cash flow increased, debt declined, reserves grew, project advanced, and the Yamana was one of the top performing stock in its peer group. These are just some of the highlights of the year which I'll cover in greater detail, but first look at our health and safety performance.
Our total recordable injury frequency rate in 2019 fell to 0.57, a 5% decrease from 2018 and a 24% decrease over the past three years. El Penon, I'm pleased to inform you, completed its second straight year without a lost time injury, marking 8.9 million work hour without a lost time incident. Yamana did not have any material, environmental or community incidents for the fourth consecutive year.
Turning to our production result, we exceeded 2019 guidance for both gold and silver, with silver significantly outperforming guidance. GEO production also exceeded guidance at 1.024 million versus 1.01 million. Cash costs of $667 per GEO and all-in sustaining costs of $978 were in line with guidance after the inclusion of adjustments noted during the year. Jason will discuss costs in greater detail during his remarks.
Total debt decreased in 2019 by $711 million and we nearly halved our net debt to $889 million, significantly strengthening our balance sheet and financial flexibility, and with greater financial flexibility, good things happen. One of those