Turquoise Hill (TRQ: TSX & NYSE) is an international mining company focused on the operation
and further development
of the Oyu Tolgoi copper-gold mine in southern Mongolia, which is the Company’s principal and only material mineral
resource property. Turquoise Hill’s ownership of the Oyu Tolgoi mine is held through a 66% interest in Oyu Tolgoi
LLC; the remaining 34% interest is held by Erdenes Oyu Tolgoi LLC, a Mongolian state-owned entity.
Key operational metrics for Q3’22 are as follows:
Oyu Tolgoi Production Data
All data represents full production and sales on a 100% basis
*Metal recovery is a function of head grade and reflects grades delivered in the quarter.
Key financial metrics for Q3’22 are as follows:
Oyu Tolgoi Key Financial Metrics(1)
(1)All financial information in this MD&A should be reviewed in conjunction with the Company‘s consolidated financial statements for the reporting periods indicated.
(2)Capital expenditures on a cash basis is split between underground development capital expenditures and underground sustaining capital expenditures and capital expenditures on surface operations, all supplementary financial measures. Please refer to the Section titled – “Non-GAAP and Other Financial Measures” on page 28 of this MD&A for further information.
(3)Total operating cash costs is a non-GAAP financial measure. Please refer to the Section titled – “Non-GAAP and Other Financial Measures” on page 28 of this MD&A for further information.
(4) Cost of sales per pound of copper sold and General & Administrative (G&A) costs per tonne of ore treated are supplementary financial measures. Please refer to the Section titled – “Non-GAAP and Other Financial Measures” on page 28 of this MD&A for further information.
(5) C1 cash costs per pound of copper produced, all-in sustaining costs per pound of copper produced, mining costs per tonne of material mined, and milling costs per tonne of ore treated are non-GAAP ratios which are not standardised financial measures and are not intended to replace measures prepared in accordance with IFRS. Please refer to the Section titled – “Non-GAAP and Other Financial Measures” on page 28 of this MD&A for further information.
(6) Prior year comparatives have been restated for adoption of the IAS16 amendment to Property, Plant and Equipment: Proceeds before intended use. Please refer to the Section titled “Recent Accounting Pronouncements” on page 24 of this MD&A for further information.