Eldorado Gold Corporation (NYSE:EGO) Q4 2023 Earnings Call Transcript

Page 3 of 3

And we’re working as well around performance management through Target prices and productivity incentives. So I think there are — we’re quite comfortable that will come in. And I also would just mention that we have — we do have good price protection in the contracts that we have, and we’ll have in the — those to be awarded as well. So there’s no escalation of labor of any kind and for the duration of the project.

George Burns: Okay, so if we were to, would we be assuming correctly, we said, okay, so that, you’re comfortable in these contracts, because these are sort of final bids, price protected on these two larger ones, and then the assumptions on the productivity, if something less, you’ve declined it by or reduce it by something just slightly under 10%. That’d be reasonably accurate. Okay. And can I ask just one final question before I let someone else out? I’m interested in how you’re progressing on — you’ve got a increased employment on site from now until you go into production, you might just ask how that is going. And I know, I asked that on site, when I was there in October, but I’m just trying to see how that is going and how labor costs are looking on that front as well. Go ahead, Joe.

Joe Dick: Thanks. Thanks, Tanya. So where we stand today? Tanya we have mobilized the leadership team for Skouries operations. We have about 40 people on boarded to date. And we’ll continue with that, that progress, we basically broke it into four phases. And the first phase to be completed by the end of ’23, was to get the leadership team on board, we’ve completed that through Q2. We will be bringing in the second level of management, and let’s call it key technical people, and we’re advancing on that front as well. And that’s in the range of another 30 –30, 45 people, Phase 3, starts us into supervision, and that’s about another 50. And then we’ll begin the direct hire process in Phase 4. And we have about right now, 500 applicants on Fio, and working through those each and every day, so feeling reasonably good about that.

We have also completed a good operational readiness review, and we’re looking to kind of turn over assets sequentially available. So the open pit and underground works, we anticipate those operationalizing in 2024, taking a bit of pressure off and as far as labor and labor available for open pit is good, we’ll be contracting the underground. And then as we move into 2025, we’ll be hiring remaining staff for process facilities filter plan, the rest of it, and that is about the range of 200. So, feeling pretty good about all of that as far as costs. We don’t anticipate it to be, any materially different in any way from what our current labor rates for operations are in Greece. Okay, so Joe says about maybe 100 people from now until you have to hire the additional 200 People starting in 2025.

So maybe another 100 people or so in 2024, that’s reasonable. Okay, great. Thank you so much for explaining it to me. Appreciate it.

George Burns: Thanks, Tanya.

Operator: [Operator Instructions] If there are no more questions in the queue, I’d like to send the call to the presenters for closing remarks.

George Burns: Yes, thanks everybody for joining the call. Look forward to give you an update at the end of Q1. Have a great weekend.

Operator: This concludes today’s conference call. You may disconnect your lines. Thank you for participating and have a pleasant day.

Follow Eldorado Gold Corp New (NYSE:EGO)

Page 3 of 3