VANCOUVER, May 10, 2013 /PRNewswire/ --
Silver Wheaton Corp. ("Silver Wheaton" or the "Company") (TSX:SLW) (NYSE:SLW) is pleased to announce its unaudited results for the first quarter ended March 31, 2013. All figures are presented in United States dollars unless otherwise noted.
FIRST QUARTER HIGHLIGHTS
- Attributable silver equivalent production of 8.0 million ounces (6.3 million ounces of silver and 32,200 ounces of gold) compared to 6.7 million ounces in Q1 2012, representing an increase of 20%.
- Silver equivalent sales of 6.9 million ounces (6.0 million ounces of silver and 16,900 ounces of gold) compared to 6.1 million ounces in Q1 2012, representing an increase of 13%.
- Revenues of $205.8 million compared to $199.6 million in Q1 2012, representing an increase of 3%.
- Net earnings of $133.4 million ( $0.38 per share) compared to $147.2 million ( $0.42 per share) in Q1 2012, representing a decrease of 9%.
- Operating cash flows of $165.6 million ( $0.47 per share [ 1 ]) compared to $163.8 million ( $0.46 per share [ 1 ]) in Q1 2012, representing an increase of 1%.
- Cash operating margin [ 1 ] for the three months ended March 31, 2013 of $25.33 per silver equivalent ounce compared to $28.51 in Q1 2012.
- Average cash costs [ 1 ] rose to $4.39 per silver equivalent ounce compared with $4.08 in Q1 2012.
- Declared quarterly dividend of $0.12 per common share as the result of an amended dividend policy whereby the quarterly dividend will be equal to 20% of the average of the previous four quarters' operating cash flow, with a gradual implementation.
- On February 28, 2013, the Company announced that it had entered into definitive agreements to acquire from Vale S.A. ("Vale") an amount of gold equal to 25% of the life of mine gold production from its Brazilian Salobo mine, as well as 70% of the gold production, for a 20 year term, from certain of its Canadian Sudbury mines.
[ 1 ] Please refer to non-IFRS measures at the end of this press release."Strong first quarter production of 8.0 million ounces represents a solid start to the year. We remain on track to meet our 2013 forecast of 33.5 million silver equivalent ounces, an increase of 13% over the previous year," said Randy Smallwood, President and Chief Executive Officer of Silver Wheaton. "This growth is largely due to our February acquisition of gold streams from Vale's Salobo mine in Brazil and its Sudbury mines in Canada, along with a full year's production from our precious metals stream on Hudbay's 777 mine, also located in Canada. The Vale acquisition adds another world-class partner to our portfolio, further endorses the competitiveness of our streaming model, and significantly increases Silver Wheaton's organic production growth profile." "In March, we announced the milestone of reaching silver equivalent reserves of well over one billion ounces. Given the strength and depth of our current opportunity pipeline, we continue to focus on adding additional high-quality ounces to our portfolio in 2013. We believe that the foundation of any strong mining company is the quality of its mineral reserves and resources, and Silver Wheaton has one of the strongest and most active portfolios in the entire precious metals space."