WisdomTree Emerging Markets Local Debt Fund Price & Performance (ELD)

This should be read in conjunction with our year end 2024 financial statements and management's discussion and analysis. Both of which are available on our website. They have also both been filed on SEDAR plus All dollar figures discussed today are U. S. Dollars unless otherwise stated. We will be speaking to the slides that accompany this webcast you can download a copy of these slides from our website. After the prepared remarks, we will open the call for Q and A. At this time, we will invite analysts to queue for questions. I will now turn the call over to George. Thanks, Lynette, and good morning, everyone. Here is the outline for today's call. I'll provide an overview of Q4 and 2024 results and highlights. I will then pass the call over to Paul to go through our financials. And then Loeb and Simon to review our operational performance. Then we will open the call to questions from our analysts. Turning to Slide four, 2024 was a strong operational and financial year at Eldorado. Marked by many accomplishments. As planned, the fourth quarter was the strongest quarter of the year with safe production of 155,668 ounces. We finished the full year with gold production of 520,293 ounces in line with our Titan guidance range increase over our 2023 production.

Production benefit from higher mining rates and ore throughput at Lamaque Complex operational upgrades at Kisladag, and increased productivity at Olympias. On the cost side, our cash cost and all in sustaining costs met our Titan guidance range They were higher compared to '23 primarily as a result of higher royalty driven by higher gold prices labor costs and sustaining capital. Paul will touch on our cost in more detail later in the call. During 2024, each of our assets continued to execute. In Quebec, at the Lamaque Complex, achieved record production of 196,538 ounces showcasing the efficiency and capability of our operation. Furthermore, the declaration of an inaugural mineral reserve and subsequent technical report at our MOC marks a significant milestone our strategic growth and development efforts in the Abitibi. This reinvestment in high return growth continues to create long term value. Our Turkish operations performed well during the year FM Chukuru continues to deliver at a steady rate and we were pleased to announce two year mine life extension with a 23% increase in mineral reserves compared to the previous year. At Quesada, during the year, we experienced slower than anticipated leach kinetics and delivered an exceptional fourth quarter driving a stronger finish to the year, reflecting our commitment to excellent operations.

In Greece, Skuris was a significant focus during 2024 we continue to advance construction. Once into production, Next year, this mine will be transformational for the company. Our focus and scourish remains on delivering on key milestones our commitment to driving long term growth and value for our stakeholders. At Olympias, we successfully concluded the labor negotiations which coupled with productivity improvements supports the 650,000 ton per annum plant expansion and increased from 500,000 tons per annum positioning the mine for long term profitability over its current life of fifteen years. Turning to Slide five, in the fourth quarter, our lost time injury frequency rate was one point zero two an increase from the LTIFR of zero point four two in the fourth quarter of twenty twenty three. In 2024, DLTIFR was zero point nine nine an increase from zero point six five in 2023. But we recognize there is still more to achieve. In 2025, our conviction to health and safety improvements remain steadfast with a strong emphasis on preventing high potential incidents and empowering our employees to cultivate a positive health and safety culture. We had a number of notable achievements throughout the year. Including in the fourth quarter, Hellas Gold was honored with a silver award at the twenty twenty four Euro Mine Safety Awards.

Second place amongst 15 nominations in Europe, The award recognizes our innovative virtual and augmented reality training program We also published our Annual Conflict Free Goal report in this reaffirming our gold products to not cause contribution to or benefit from conflict In addition, we published an update to our climate and greenhouse Gas Emissions annual report including progress against our climate target. Both reports are available on our website. Before I turn the call over to Paul to discuss the financial highlights, I just wanted to touch on our news release announcing the filing of an amended tech report for the Lamaque Complex. This was the result of a continuous disclosure review by the British Columbia Securities Commission In the amended technical report, the preliminary economic assessment previously contained in Section four has been removed in addition to other minor changes. The BCSC took the view that the economic assess in our technical report did not meet the definition of PEA in NI-forty three-one hundred and one for two reasons. First, in the Commission's took the view that the study was not enough of a scope of a rescope of the project as required by the rules. Second, in the commission's view it was not consistent with the definition of PEA to apply the same inputs and parameters used in the reserve case to the inferred resources, even though those inputs and parameters are conservative and have a high level of confidence.

The amended technical report does not alter any other aspects of the January 2025 report including the mineral resource estimates, and the mineral reserve estimates, the financial assumptions or the economic analysis in the pre feasibility study or the reserve case specifically the technical information at Ormak remains part of the amended technical report Our confidence in the development of a second mine at Lamaque Complex was bolstered by the successful completion of the bulk sample in December of twenty twenty four, With our seven year history of drilling mineral resources and successfully converting them to mineral reserves, We are confident about the future of the Lamaque Complex. I'll stop there and turn the call over to Paul to review our financial results. Thank you, George.

Good morning, everyone.

Slide six provides a summary of our fourth quarter and full year results for 2024. Efficient operations and continued high gold prices have been the foundation of both our quarterly and full year financial results.

Delivering in line with our tightened guidance issued during our 3Q results.

Eldorado reported net earnings attributable to shareholders from continuing operations of $108,000,000 or $0.53 per share in the fourth quarter.

For the full year, net earnings attributable to shareholders from continuing operations were $3.00 $1,000,000 equivalent to $1.48 per share. Net earnings increased for the full year 2024 in the fourth quarter of the year compared to prior year periods as a result of higher gold prices, and sales volumes, partially offset by higher production costs including increased royalties and associated income tax expenses. After adjusting for one time non recurring items, [indiscernible] being firstly, a $26,500,000 loss on foreign exchange due to the translation of deferred tax balances primarily in Greece. And secondly, a $10,200,000 unrealized gain on derivative instruments. For the full year, adjusted net earnings were $321,000,000 or $1.57 per share. Adjustments during the year included the following: a $50,000,000 unrealized gain net of capital gains tax, on the G Mining Ventures deferred consideration [indiscernible] a $52,000,000 unrealized loss on derivative instruments. Our free cash flow in the quarter was $75,000,000 which $176,000,000 excluding capital investment in the Scurius project. For the full year, free cash flow was $7,000,000 or $342,000,000 excluding the expenditure on the Scurios project. This was a significant improvement over 2023 which delivered $113,000,000 again excluding spurious CapEx, thereby demonstrating the strong business foundation provided by our current operating assets during the continued high gold price in For the full year 2024, cash flow generated by operating activities before changes in working capital, was $636,000,000 compared to $411,000,000 in the prior year.

The increase was principally driven by revenue, which increased by $314,000,000 with average realized gold prices having risen to $2,405 per ounce and higher volumes produced in Solvency. This was partially offset by higher production costs they increased by $85,000,000 dollars twenty eight million of which relates into higher royalties. As a result of sustained high dollar prices, royalty expenses have impacted our total cash costs along with increased labor expenditure. Further sorry, fourth quarter total cash costs were $944 per ounce sold, and for the full year were $940 per ounce sold. Increased total cash costs drove higher all in sustaining costs for the quarter and the full year, In the fourth quarter, AZEK was $12.26 dollars per ounce sold and for the full year, $12.85 dollars per ounce sold. Year over year comparison of ASIC was also impacted, higher sustaining capital expenditures in 2024. Fourth quarter capital expenditures at our operating mines were $174,000,000 including investment in growth projects at Kisladag where we focused on planned by stripping, equipment to support the mine life continued construction of the second phase of the North Heat Leach pad and related infrastructure and preparation work for a building relocation due to an upcoming pit expansion.

At Scurius, major earthworks continued to advance along with infrastructure construction, and the project invested approximately $98,000,000 in the quarter. Furthermore, the project incurred $7,000,000 of accelerated operational capital Overall, 2024 cash capital expenditures were $594,000,000 Current tax expense of $41,000,000 for the fourth quarter increased from $22,000,000 compared to the same period 2023. Current tax expense totaled $114,000,000 for the full year an increase from the 2023 expense of $86,000,000 The increase in the fourth quarter and 2024 as a whole was primarily relating to higher revenues driving increased income taxes in Turkey and Quebec. Deferred income tax expense of $28,000,000 in the fourth quarter and $21,000,000 for the full year Our growing balance sheet continues to be the foundation of our business and we ended the year with total liquidity of $1,100,000,000 including $857,000,000 of cash cash equivalents, at $239,000,000 available capacity on our senior secured credit facility. As expected, we continue to build cash through the fourth quarter as a result of positive cash flows from our producing mines, as well as benefiting from drawdowns from the project finance facility for the Scurrios development. We further augmented our cash balance in January 2025 bolstering our balance sheet with a further $155,000,000 are committed to maintaining a strong financial position while we advance the construction of Scurius, thereby ensuring we have flexibility to respond to new business opportunities whilst also investing in our profitable and cash flow generating operating lines.

With that, now turn the call over to Lon. To go through the Greek asset highlights. Thanks Paul and good morning.

Starting on Slide eight at our Scudios Copico project. At the end of Q4, overall project progress was 60% of Phase two of consumption As discussed on February 6 on our conference call, we have revised project capital costs with an increase of $143,000,000 to a total of $1,060,000 In addition, to $154,000,000 in accelerated operational capital cost expect first gold production in the first quarter of twenty twenty six and commercial production in mid twenty twenty six. Despite this slower than expected ramp up due to tight labor market and delays, we have made significant progress This week, we are now at approximately eleven eighty workers on-site and actively onboarding additional talent. Year end 2024, detailed engineering and procurement was substantially completed On the underground, we have received approximately 90% of the equipment and operator licenses [indiscernible] has been ramping up with access to the testopes advanced ahead of plan at the upper level The two test homes are inspected to be completed in 2025. On this slide, you can see on the right hand side the advancement of the reclaimed feeder tunnel from the coarse ore stockpile and the assembly of the conveyors that will transport the oversized ore to the pedal crusher. [indiscernible] Moving on to Slide nine.

During the fourth quarter, the construction project capital was $98,000,000 and the full year spent was $325,000,000 The photos on this slide and the next few slides were slowly at show the advancement of the work underway. You can see on the last photo on the left of the slide, the three thickness continued to advance Concrete works for the first two thicknesses has reached approximately 85% and 65% respectively. And as you can see on the left of the photo third thickener construction has commenced Infrastructure on the west side of the mine crosses Bolingas shown including construction work progressing on the secondary substation and control volume. On the two far right photos, infrastructure on the east side of the mine process building is showing The structural steel installation is complete at the water pump house and nearing completion for the line plant building and flotation flowless building. Including the mine plant addressing Turning to Slide 10, at the 11, we have completed the foundation construction for the primary crusher including excavations and the retaining walls which has enabled the commencement of the crusher building structure In this photo, you can see the fixed location construction crane that will assist with the bolt.

Moving to Olympias on Slide 12, Fourth quarter gold production was 15,923 ounces and total cash costs were $14.63 dollars per ounce sold.

Reduction was lower than the fourth quarter of twenty twenty three as a result of slightly lower throughput and lower gold grades in the quarter. Lower throughput was as result of planned equipment downtime and unplanned maintenance related to the gold concentrate filter presses which negatively impacted both throughput The photoperic system resumed normal operations in late January. Total cash costs were impacted by increased labor and higher quality expenses as a result of higher realized gold prices as well as higher gold ounces sold compared to the fourth quarter of twenty twenty three. I'll stop there and hand it over to Simon to discuss the Turkey and Canadian operations.

Thanks, Sai.

Starting in TKEA on Slide 13. Quesada delivered the strongest quarter of the year with production totaling 56,483 ounces, and total cash costs of $978 per ounce sold. Total cash costs were primarily impacted by the higher gold fraction and higher and ounces sold, along with higher labor costs in addition to local cost inflation. Which was not offset by depreciation of the lira against the U. S. Dollar. Production in the fourth quarter benefited from the operation of the new Dorf ADR facility enabling optimization of carbon loading, recovery and regeneration The North ADR facility has a higher capacity for carbon management compared to the South ADR facility. The commencement of the North ADR operations was combined with steady performance in stacking, leaching, and ongoing inventory drawdown activities. During the fourth quarter, we advanced the engineering study that is focused on geometological understanding of future phases and optimization of the crushing and leaf circuits. [indiscernible] fourth quarter gold production was nineteen four hundred and fifty one ounces at total cash costs of $76 per ounce sold.

Gold production, throughput and average gold grade at FM2 grew were in line with the plan for the quarter This year marks the tenth consecutive [indiscernible] Of FM2 crew achieving annual production guidance. A true testament to the team's dedication to continuous improvement, And now moving to the Lamaque Complex on Slide 15. Lamaque delivered production of 63,742 ounces at total cash costs of $615 per ounce sold. Fourth quarter production benefited from the additional ore [indiscernible] coupled with higher throughput rates, and higher grade. [indiscernible] Total cash costs were slightly higher in the fourth quarter compared to comparable period in 2024. Impacted by higher production costs but almost entirely offset by the higher ANSYS sold. This past week, We achieved a safe production milestone with the one millionth ounce poured at Lamaque. We would like to congratulate Lamaque team for your authentic dedication and hard work this year This is a tremendous achievement. Additionally, we have recently updated a technical report that extends the mine life We expect this mine to continue to deliver significant value for our stakeholders for years to come.

I'll stop there and hand back to George for his closing remarks. Thanks, Tim. In summary, 2024 was a strong year operationally and financially and I would like to acknowledge the dedication and hard work for teams across the sites. We delivered 7% higher production hitting an annual production record at Hawok implemented optimization initiatives at Kisladag to draw down the gold inventory and delivered continued Olympias productivity improvements that support our 2025 plant expansion project. We are strongly disciplined for 2025 and beyond Building on years of optimization efforts to strengthen our asset portfolio, With a solid balance sheet, we have the necessary funding to complete the construction of Skuria's and continue to drive ongoing improvement projects across our assets to set up the company for the long term. Our continued focus on operational performance cost control, in this record high gold price environment will enable us to create value for all stakeholders. Thank you for your time. I will now turn it over to the operator for questions from our analysts.

Thank you.

We'll now begin the question and answer session. Our first question is from Tanya Jakuscana with Scotiabank. Please go ahead.

Great. Good morning. Thank you so much for taking my question.

Maybe just a follow-up on Cory's. I'd just like to understand when we had the call in early February, we had we talked about the labor, the tightness in the labor market and needing another 150 specialized labor [indiscernible] SCORIES. So I'm just wondering, an update on the progress there sort of of the $150,000,000 can you break it down into buckets of what we need for electrical, mechanical, etcetera, etcetera? That would be useful. And then number two, How are we looking at in terms of hiring, let's say, inside the EU and then outside if we have to.

Just maybe a little bit of an update there, if there is, then [indiscernible] [indiscernible] Oh, my God, February is earlier this month. Okay, since earlier this month.

Yes, Tanya, I'd say that we're making good progress to hit our target total construction workforce of 1,300 people on the ground and that roughly is what we need to average through this year and into the new year to deliver our updated guidance commercial production by the middle of next year. Specifically, now the focus has been on concrete workers. Kind of been our bottleneck late last year and into the New Year. And so we're at eleven eighty average over the last week and tracking to get to that 1,300 by quarter end. And then in terms of where we're trying to recruit, I mean our focus continues to be local where we can. Really tight construction market in Greece has forced us to look outside and we're having success both of finding those additional workers. Right now, we're trying to get about 80 more concrete workers to get to that Q1 target and we have pretty good visibility that we'll be successful. In terms of the transition into the other trades, obviously, as the concrete wraps up, in many areas of the plant and we can move into setting structural scale and then setting mechanical equipment and then follow that up with electrical and control systems.

So it's fairly complex how this is going to evolve It will be an ongoing focus of ours. As we complete certain work that we bring in the additional trades to complete the work. So it's all I can describe for you right now is that we're on track to get to that 1,300 level and we're working very hard to ensure we can bring in the additional trades as required as the project continues to progress.

Okay. So you're comfortable then workers that Mechanical, electrical, when do you or hiring for those electrical control When are we looking for those And sort of the division, I guess, go ahead.

Yes. So we have pipe fitters mechanical, electrical control system at site now constructing. So certain parts of the plant are ready for those sort of skills. The areas where we're doing concrete we don't have the work available for them to begin until the concrete is finished. So it's a phased approach. I'll give you an example. So the critical path in the projects from the beginning has been the dry stack filter facility. It's a pretty big facility. And in the video we uploaded today, it shows a critical part of that facility is the building that will house the six filters that removes the water from the tailing. [indiscernible] the concrete is nearly complete. In the next week or so, we'll pour the last piece. The first part of the plant was poured We're already setting up the structural steel. So you can see in the video there's two stories of structural steel that's been set in the last week or two.

And that eventually will be a four story building and it will continue to progress [indiscernible] the concrete plant. So what's happened here in just two weeks is we've gone from all concrete work to now setting structural steel. As the steel gets completed, then we'll have mechanics coming in to set The major equipment that will go in at some point the building will go up. So as I say, every part of the plant has this transition happening where we move from concrete to structural steel then the mechanical sets, then electrical and control system. And this will evolve at different paces through every portion of the plant. For the remainder of this year. So again, it's very complex. I can tell you we have electricians, control system people at site today. We open up these additional work fronts as concrete gets completed over the coming couple of months and orders we'll be ramping up those other trades. So We're focused to support our contractors to ensure we have the right trades, at the right moments to meet our schedule. And so and maybe the last thing I'd say that it gives us a bit of comfort is our current estimate assumes a solid day shift work and [indiscernible] second shift work and we're working aggressively to find the people required to be had be able to have more work done on the second shift, which de risk schedule that we currently have.

So it's all about the people. I can only tell you we're working hard on it. We have visibility. We can meet our schedule and we'll try to beat it. Okay. So basically, George, we need to get another 100 people with the appropriate backgrounds by the March, so in the next month or so.

That's correct.

Okay. Thank you for that and thank you for [indiscernible] color on what you're doing there. And then maybe just on this economic this removal of the preliminary assess in the technical report.

I'm sorry, I just jumped in a bit later. So can you just review that again? I mean, I haven't seen that before. So I'm just trying to understand what exactly happened?

Yes. So we filed an updated 40 three-one hundred and one report. And I would tell you the key thing and it was we've got now a reserve at our mock and that's [indiscernible] What the commission came back with is that and in that PEA the commission's view was we were using technical and economic parameters included in our reserve case that we had high confidence in that shouldn't be used in a PEA case, and And so we pulled that whole section out and You shouldn't be relying on that PEA as it's in an inferred resource case. So the inferred resources are still intact. The PEA and then economics that go with it can't be relied upon based on the BC Commission's review And that's basically because you used an inferred in that PEA? Paul, PEAs have inferred. I mean, if you go back to when Eldorado acquired Integra in 2017, we acquired mineral Resources and inferred resources [indiscernible] we acquired a PEA at that stage. Were able to complete a prefeasibility study and we had enough measured indicated resources to convert that to a reserve by the end of twenty seventeen. What we have now we have reserves both on Oramac and on Triangle.

And so the commission's view is we can't have a PEA using technical assumptions on our reserve case built into a PEA. So if it was standalone somewhere else, we'd have been okay. But because it's tied to a mineral reserve on both of those deposits, they're telling us we can't have a PEA this case. So we've pulled it and I just spin you back to what we've been doing from the beginning. It's been quite a positive journey for us over the last six, seven years. We acquired Lamaque in 2017. We had 1,200,000 ounces of indicated resources 631,000 ounces of inferred resources.

And we closed that transaction July of twenty seventeen, At the end of the year, we had a mineral reserve of 893,000 ounces and we grew them inferred resources to 1,300,000 ounces. So we did that with drilling and we converted to a reserve with infill drilling. So we were successful in that acquisition. And since then, we've grown the reserves on Triangle we discovered the Aramark deposit We had an inaugural inferred resource of eight zero three thousand ounces of inferred resources On our mark in February of twenty twenty one, And then in the fourth quarter of last year, we had enough drilling to expand that resource and convert portion of it to a mineral reserve backed by a pre feasibility study. So we've had an evolution of success of finding additional inferred resources, infill drilling, combining it with feasibility study engineering work and then converting it into reserves. So what we said at the end of last year, we have mineral reserves of 1,300,000 ounces. We produced 1,000,000 ounces of of gold from the operations since acquisition and we have 2,600,000 ounces of inferred resource. So we have a robust Amount of inferred resources on both or and Triangle and we're actively drilling.

We have eight drill rigs underground and three rigs on surface. This year alone, we'll drill 43,000 meters in the Triangle to convert to work towards converting those inferred resources to reserves. We have 48,000 meters of planned drilling on Oramak again with the intention of converting those inferred resources into reserves. And this is an ongoing multiple year progress. So any rate, we feel very confident we'll continue to add value at both now Triangle and Roamak and we've got a bright future ahead of us. And fortunately, I think for us is that we did pull the PEA and shouldn't rely on that chaffron. But as I say, those inferred resources stand and our success story continues.

It's super confusing, but okay. Thank you. As there are no further questions at this Thank you for participating and have a pleasant day.