6 Sept 2011dividend declaration● Neutral
Goldcorp declared its ninth monthly dividend of 2011, US$0.034 per share, for holders of record September 16, 2011, payable September 23, 2011. The rate is unchanged.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
1 Sept 2011joint venture update● NeutralMajor
Goldcorp, Xstrata Copper and Yamana finalised a four-year option for the Alumbrera joint venture (Xstrata 50%, Goldcorp 37.5%, Yamana 12.5%) to buy Yamana's 100% of the Agua Rica project in Argentina, about 35 km from the Alumbrera mine, for cumulative payments by Goldcorp and Xstrata of $110 million. Goldcorp and Xstrata paid Yamana $20 million on signing, on top of $10 million paid earlier; if the option is exercised, Yamana would receive $150 million, a further $50 million at commercial production, and the remaining $80 million of option payments. A Fluor-run feasibility study is due in early 2013, with construction possibly starting in 2013 subject to approvals. The filing does not state Goldcorp's individual share of the payments.
8 Aug 2011dividend declaration● Neutral
Goldcorp declared its eighth monthly dividend of 2011, US$0.034 per share, for holders of record August 18, 2011, payable August 26, 2011. The rate is unchanged from the level set after the February increase.
13 July 2011business combination● NeutralMajor
Goldcorp said it supports Northgate Minerals' proposed acquisition of Primero Mining (the company that bought San Dimas from Goldcorp in 2010) and will vote its 35.5% Primero stake in favour. If the deal completes, Goldcorp gets 46.7 million Northgate shares, about 11% of Northgate, in place of its Primero shares. The filing does not give a value or closing date.
5 July 2011dividend declaration● Neutral
Goldcorp declared its seventh monthly dividend of 2011, US$0.034 per share, for holders of record July 15, 2011, payable July 25, 2011. The rate is unchanged.
6 June 2011dividend declaration● Neutral
Goldcorp declared its sixth monthly dividend of 2011, US$0.034 per share, for holders of record June 16, 2011, payable June 24, 2011. The rate is unchanged from the previous months.
27 May 2011joint venture update▼ BadMajor
Barrick, the 60% owner and operator of Pueblo Viejo (Goldcorp holds 40%), told Goldcorp that heavy rain (217 mm in 48 hours) damaged the project's tailings facility, which is under construction and holds only rainwater and runoff. No injuries are reported and most site staff were evacuated as a precaution. The event is expected to affect the start-up schedule (production had been expected in Q1 2012) and possibly the pre-production capital budget of $3.3-$3.5 billion (100% basis); the damage assessment is ongoing and no revised figures are given.
2 May 2011dividend declaration● Neutral
Goldcorp declared its fifth monthly dividend of 2011, US$0.034 per share, for holders of record May 12, 2011, payable May 20, 2011. The rate is unchanged from the level set after the February increase.
6 Apr 2011resource reserve update▲ GoodMajor
Goldcorp released the updated feasibility study for Cerro Negro (Argentina, acquired with Andean in December 2010). It plans 4,000 tonnes/day, about 550,000 oz/yr of gold over the first 5 years at cash costs under $200/oz, a roughly 12-year mine life, first gold in mid-2013 and total capital of about $750M (including $130M in 2011). Proven and probable gold reserves rise 100% to 4.3M oz, adding 2.2M oz to Goldcorp's total of 62.3M oz, plus 36.2M oz of silver. This delivers the feasibility update due end of Q1 2011 and builds on the February 9 resource news; the 2011 exploration budget is about $19M with 10 rigs. Mariana Central and Norte declines depend on permits expected in Q4 2011, and an update to the Environmental Impact Assessment will be presented to authorities.
4 Apr 2011dividend declaration● Neutral
Goldcorp declared its fourth monthly dividend of 2011, US$0.034 per share, for holders of record April 14, 2011, payable April 26, 2011. This keeps the higher rate set after the February increase.
8 Mar 2011dividend declaration● Neutral
Goldcorp corrected its February 24 dividend release: the new annual dividend is $0.408 per share ($0.034 per month), not $0.40 ($0.0333 per month). The 11% increase and March 17, 2011 record date are unchanged, and the company says it follows the October 2010 doubling.
7 Mar 2011dividend declaration▲ Good
Goldcorp declared its third monthly dividend of 2011 at US$0.034 per share, reflecting the 11% increase announced February 24. It is payable March 25, 2011 to holders of record March 17, 2011, up from $0.03 in January and February.
25 Feb 2011dividend declaration▲ GoodMajor
Goldcorp's board raised the annual dividend 11% to a stated $0.40 per share, payable at $0.0333 a month to holders of record March 17, 2011. The company says the increase is driven by growing cash flows from rising gold production and a strong metals market. This is the second increase in five months after the October 2010 doubling, and the figures were corrected in the next filing.
9 Feb 2011asset acquisition disposition▲ GoodMajor
Goldcorp sold its 10.1% stake in Osisko Mining (about 38.6 million shares) in an underwritten block trade at C$13.75 per share, and expects cash proceeds of about C$530 million. The CEO says the money will fund its existing project pipeline and cites over $1 billion in cash and forecast 2011 cash flows of nearly $2.5 billion at current metal prices. This continues the 2010 pattern of selling non-core holdings (Escobal, San Dimas, Terrane); the Osisko stake was not listed in earlier context.
7 Feb 2011dividend declaration● Neutral
Goldcorp declared its second monthly dividend of 2011, US$0.03 per share, for holders of record February 17, 2011, payable February 25, 2011. This keeps the doubled rate set on October 27, 2010 and continues the monthly payments made since 2003.
10 Jan 2011dividend declaration● Neutral
Goldcorp declared its first monthly dividend of 2011, US$0.03 per share, for holders of record January 20, 2011, payable January 28, 2011. This keeps the doubled rate announced October 27, 2010.
3 Jan 2011business combination▲ GoodMajor
Goldcorp announced that the scheme with Andean Resources has been implemented and it now owns all Andean shares. Cash cheques and Goldcorp share certificates have been sent to Andean holders, and the new Goldcorp shares begin trading on the TSX and NYSE on December 30, 2010. This completes the roughly C$3.6 billion deal announced in September; the filing does not state the number of shares issued or cash paid, so the dilution to existing shareholders is not quantified here.
14 Dec 2010regulatory community update▲ GoodMajor
Santa Cruz province approved the Environmental Impact Assessment for Cerro Negro, the key permit that lets Goldcorp start mine construction right after ownership transfers on December 30, 2010. A feasibility study update, due end of Q1 2011, is analysing doubling mill capacity to about 4,000 tonnes per day, and initial production is still targeted for 2013. This is a step forward on the pending Andean acquisition.
8 Dec 2010business combination▲ GoodMajor
The Federal Court of Australia approved the scheme under which Goldcorp will acquire all of Andean Resources, and the scheme is now effective, after what the company calls overwhelming support from Andean shareholders. Election record date is December 16 and implementation, with payment to Andean holders, is set for December 30, 2010. A new Cerro Negro resource update is due early February 2011 and a new feasibility study by end of Q1 2011, with initial production targeted for 2013. This advances the pending Andean deal toward closing.
1 Dec 2010dividend declaration● Neutral
Goldcorp declared its twelfth monthly dividend of 2010, US$0.03 per share, for holders of record December 13, 2010, payable December 20, 2010. The rate is unchanged from the doubled level set in October.
10 Nov 2010drilling result▲ Good
Goldcorp released highlights of its 2010 drilling programme, reporting high-grade results at Red Lake, a growing Lynx zone at Musselwhite, new zones at Hoyle Pond (Porcupine), and a new manto deposit at Peñasquito. It also says it expects to grow gold reserves for a seventh straight year, and that a Cochenour initial resource is expected by year-end (sized for planning at 5 million oz). These are drilling results and company expectations, not confirmed reserve figures. This continues the year-end studies and Lynx, Cochenour and Noche Buena threads.
1 Nov 2010dividend declaration▲ Good
Goldcorp declared its eleventh monthly dividend of 2010 at $0.03 per share, double the earlier $0.015, following the October 27 announcement. It is payable November 19, 2010 to holders of record on November 12, 2010.
28 Oct 2010dividend declaration▲ GoodMajor
Goldcorp's board raised the annual dividend 100% to $0.36 per share, paid as $0.03 per month starting with holders of record on November 12, 2010. This replaces the $0.015 monthly rate paid in earlier years. The CEO links the increase to financial strength and the plan for 50% production growth over five years.
27 Oct 2010dividend declaration▲ GoodMajor
Goldcorp reported Q3 2010 results: gold production of 596,200 oz, revenue of $885.8 million (up 28% from Q3 2009), reported net earnings of $466.5 million (versus $114.2 million), adjusted net earnings of $231.5 million ($0.31 per share) and record operating cash flow before working capital changes of $470.6 million. It reaffirmed 2010 guidance of about 2.55 million oz of gold, with cash costs expected below prior guidance. It also doubled the dividend to $0.36 a year ($0.03 a month), and says available liquidity is about $2.2 billion (cash plus undrawn credit facility). It now expects the Andean acquisition to complete in December 2010, and says the San Dimas and Terrane sales are completed.
21 Oct 2010asset acquisition disposition▲ GoodMajor
Goldcorp completed the sale of its Terrane Metals stake (the Mt. Milligan copper-gold holding) to Thompson Creek Metals, the deal agreed July 15. It received C$240.5 million cash and 13.9 million Thompson Creek shares (about 8%), on the terms announced in July. The CEO says the cash will go toward developing its core gold projects.
4 Oct 2010dividend declaration● Neutral
Goldcorp declared its tenth monthly dividend of 2010, US$0.015 per share, for holders of record on October 14, 2010, payable October 22, 2010. The rate is unchanged from earlier months this year (and is raised in the next filing).
13 Sept 2010production update▲ GoodMajor
Goldcorp declared commercial production at the Peñasquito mine in Zacatecas, Mexico, the project whose construction was nearing completion in the January 2010 release. It says a 30-day average throughput is above 70,000 tonnes a day, full design capacity of 130,000 tonnes a day is on schedule for early 2011, and it is on track for 2010 gold guidance of 180,000 ounces. Over a 23-year mine life it expects average annual output of 500,000 oz gold, 28 million oz silver, 450 million lb zinc and 200 million lb lead.
7 Sept 2010dividend declaration● Neutral
Goldcorp declared its ninth monthly dividend of 2010, US$0.015 per share, for holders of record on September 17, 2010, payable September 24, 2010. The rate is unchanged.
3 Sept 2010business combination● NeutralMajor
Goldcorp agreed to buy Andean Resources, owner of the Cerro Negro gold project in Santa Cruz, Argentina, for about C$3.6 billion. Each Andean share can be swapped for 0.14 Goldcorp shares or C$6.50 cash, with total cash capped at C$1 billion and the rest paid in Goldcorp shares, so Goldcorp shareholders face dilution. Closing is expected in late 2010 or early 2011, subject to Andean shareholder votes, and Andean owes Goldcorp a termination fee of 1% in certain cases. Cerro Negro has indicated resources of 2.54 million oz gold; this is a new, large acquisition and Argentina is a new country for the company.
9 Aug 2010asset acquisition disposition● NeutralMajor
Goldcorp completed the sale of the San Dimas mine to Primero Mining (formerly Mala Noche Resources), the deal agreed June 2. It received 31,151,200 Primero shares (about 36%), $216 million cash, a $60 million 12-month 3% convertible note and a $50 million 5-year 6% note. Compared with the June terms ($275 million cash, $175 million shares, about 30%), the cash is lower and the new $60 million convertible note replaces part of it; any Primero over-allotment proceeds (up to C$45 million) go to Goldcorp against that note. This resolves the pending San Dimas sale and leaves Goldcorp a large Primero shareholder.