Issue link: http://resourceworld.uberflip.com/i/685011
8 www.resourceworld.com J U N E / J U L Y 2 0 1 6 three weeks of planned maintenance at two out of the four autoclaves at Pueblo Viejo. This in turn is expected to decrease gold production by approximately 15% compared to the first quarter but is pro- jected to improve in Q3 2016 and Q4 2016 as Penasquito's planned maintenance will be completed and mining grades across Goldcorp's portfolio of mines are projected to increase. At Penasquito, Mexico's largest gold producer, lower grades were expected and will persist through this year and the next couple of years. This year, the aver- age grade is forecasted to be 0.70 g/t gold, further decreasing to approximately 0.50 g/t in 2017 and 2018. In 2019, the grade is planned to increase to above 0.70 g/t gold at which point the company expects the production profile will further benefit from higher recoveries from the potential pyrite leach plant investment. The pyrite leach feasibility study is advancing and an investment decision is expected to be made mid-year 2016. As the company approaches the completion of detailed engineering they will pro- vide definitive project economics with the release of the Q2 results in July 2016. Assuming a positive investment decision, it is expected the plant will be in produc- tion in Q1 2019. At Cerro Negro, mine management is focused on optimal mine design and a prefeasibility study that is expected to be completed by the end of 2016 for additional veins at the Marianas Complex. Goldcorp's short term plan is to enable ore produc- tion to Marianas Norte in 2017 to add to the current production from Marianas underground mines. The company has also realized benefits from the new government in Argentina which began an initiative to open up the economy which included the devaluation of the Argentinean peso, lift- ing of import restrictions, and the removal of certain taxes – all of which contributed to the improved economics of the mine. At Éléonore, Goldcorp continues to see improvements in the mine performance. Recovery improvements were the result of optimization of the sulphide circuit and an average recovery of 91% was achieved in March 2016. As the stockpiles were depleted in the last year, the site team has focused on ramping up the underground development and will be on track to aver- age 4,900 tonnes of ore per day in 2016 When full production commences, 7,000 tonnes of ore per day is expected in the first half of 2018 as the company brings on two more mining horizons to supple- ment ore production from the four existing ones. The production shaft is advancing and is expected to be completed by the end of the year driving further improve- ments in efficiencies and costs. At Red Lake, optimization of the camp is underway. The company is seeing the benefits already in the conversion to bulk mining with improved mining efficiencies and operating costs. These improvements were offset by planned lower grades due to lower tonnes from the high-grade zone. However, with trade-off studies advancing on the rationalization of excess infrastruc- ture, the company expects to further reduce costs. As well, Goldcorp has the potential growth opportunity at Cochenour that will play out in the coming years. At Cochenour, drilling continues in the core area of the deposit to increase data density and to improve the under- standing of projections in orientations of mineralization. So far, drilling results have been consistent with the designed geological models. A sampling program is being developed that will enable rec- onciliation with the mine material and validate it using a sampling tower. A new program of drilling, sampling, and test mining is expected to be designed by the middle of 2016. When the budgeting and development work is completed, executive management will have a better under- standing at the end of 2016 of where the Cochenour Project sits on the priority list. Executive management's business deci- sions will be driven by what maximizes and grows the net asset value per share of W W W . G R E A T P A N T H E R . C O M NYSE MKT: TSX: