(Reuters) - Canadian gold miner Goldcorp Inc G.TO is "done" with mergers and acquisitions and will focus on building new mines at projects it already owns and on improving existing operations, Chief Executive David Garofalo said on Tuesday.
“We are very happy with the portfolio we have. We’ve sold what we’re going to sell and we’ve bought what we’re going to buy,” Garofalo said speaking at the Vancouver-based company’s annual investor day.
Goldcorp, the world’s fifth-biggest gold miner by market value, has made several acquisitions and sales in the past two years, including the purchase last March of a 50 percent stake in the Cerro Casale gold in Chile, one of the world’s largest undeveloped gold deposits. It has also made a number of sales of smaller, non-core assets.
Goldcorp said earlier that it expects its costs on an all-in sustaining basis to decline to around $800 an ounce in 2018 from around $825 an ounce in 2017.
It expects production of 2.5 million ounces of gold this year, unchanged from a previous forecast and in line with preliminary output of 2.6 million ounces last year.
Goldcorp’s stock was down 2.6 percent, sliding along with other gold shares on a weaker gold price.
The miner left unchanged its 20/20/20 plan, which forecasts costs decreasing by 20 percent and production and gold reserves rising by 20 percent by 2021.
After 2020, Goldcorp sees some scope for driving production above 3 million ounces, Garofalo said.
Reporting by Nicole Mordant in Vancouver and Akshara P in Bengaluru; Editing by Anil D’Silva and Meredith Mazzilli
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