Adjusted net earnings were $61 million, or 7 cents per share, down from $116 million, or 14 cents, in the fourth quarter of 2017.
The company reported a large net loss, however, explaining this was related to valuations as a result of the planned merger with Newmont Mining Corp. (NYSE: NEM). The net loss for the fourth quarter was $4 billion, or $4.58 per share, compared to net earnings of $242 million, or 28 cents, for the fourth quarter of 2017. As a result of the roughly $10 billion deal, Goldcorp recognized a non-cash impairment of $3.9 billion (net of tax), which it said represents the difference between the book value of the company’s shareholder’s equity and the Newmont offer.
Gold production during the fourth quarter was 630,000 ounces. This was down from 646,000 in the year-ago period, but a jump from 503,000 ounces in the third quarter. When releasing third-quarter results, officials said they expected fourth-quarter output to rise again since the third quarter was weaker largely because of a decision to move processing of lower-grade ore ahead by one quarter at the new Peñasquito pyrite leach plant.
The pyrite leach project achieved its first gold pour in November and commercial production in December, Goldcorp said. Meanwhile, Porcupine’s Borden project is on track for commercial production in the second half of 2019 after achieving permitting milestones, officials said.
October-December all-in sustaining costs were reported at $765 per ounce, down from $870 in the fourth quarter of 2017.
Full-year gold production was 2.3 million ounces, down from 2.6 million in 2017. Full-year adjusted earnings were $63 million, or 7 cents, down from $360 million, or 42 cents, in 2017. Full-year AISC climbed to $854 an ounce from $824 in 2017.
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