The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Joshua Mark Wolfson - Desjardins Securities Inc., Research Division - Analyst
: Looking at the total capital number of $86 million, I saw the disclosure for sustaining being $11 million and Lamaque being $34 million, which
leaves a gap of roughly $45 million. Any sort of insight you can provide as to where that would have been allocated to?
Question: Joshua Mark Wolfson - Desjardins Securities Inc., Research Division - Analyst
: Sure.
Question: Joshua Mark Wolfson - Desjardins Securities Inc., Research Division - Analyst
: Yes. So I believe the total capital that was reported for the quarter at corporate was $86 million. And then in the statements -- or the MD&A talks
about Lamaque spending of $34 million and sustaining of $11 million -- sorry. So those 2 -- so the items that were disclosed, sustaining capital and
Lamaque spending, would be $45 million compared to the total overall capital of $86 million. So that would be a difference between those 2 of
$41 million. And is there any sort of insight you can provide as to where that was spent? The smaller operations, the development projects, TZ,
Certej, Skouries, there's not usually more than a couple million bucks. Was there big spending at Kisladag or Olympias in the project side of things?
Question: Joshua Mark Wolfson - Desjardins Securities Inc., Research Division - Analyst
: Okay, yes. It looks like a sizable chunk would have been the payables number because I guess the Lamaque $34 million is pre revenues. But yes, if
there was any big spending at other operations which, I guess, we wouldn't be aware of, I'm just trying to figure out if there's something that's
different than expectations that would be detailed...
Question: Joshua Mark Wolfson - Desjardins Securities Inc., Research Division - Analyst
: Okay. And back to the Efemtukuru item. I assume you guys are -- you have a good handle, at least, on what's coming out of the mine regardless
of what someone else's terms or views may be. Are you able to disclose if there were any changes in terms of the concentrate quality or the grade
from your own tests that you do on site before shipment?
Question: Joshua Mark Wolfson - Desjardins Securities Inc., Research Division - Analyst
: Okay. And on the variance between sales and production there, trying to understand how that's affecting the statements, I would have -- given
that the sales don't flow through the income statement, typically we would expect to see, I guess, a very big working capital outflow, but there
was a net inflow of $12 million this quarter. What sort of caused that versus, I guess, our expectations of the outflow for just looking at Efemtukuru
timing variances alone?
Question: Joshua Mark Wolfson - Desjardins Securities Inc., Research Division - Analyst
: Okay. It's a bit difficult to hear you guys there. And there -- yes, there seems to be a gap versus, I guess, what our expectations would have been
on working capital. If there's any insight you have on that, that would be helpful, or maybe just understanding in case the accounting is maybe
perhaps different for either the Lamaque ramp-up or Efemtukuru sales differences. The accounting seems to be slightly different than what we're
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MAY 03, 2019 / 3:30PM, ELD.TO - Q1 2019 Eldorado Gold Corp Earnings Call
typically used to. Any, if there's any information you can provide on what those working capital changes are or where costs are being categorized
for Efemtukuru if they're not in for -- sorry, at Lamaque if it's not strictly capital, that would be helpful.
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