Mikel Abasolo's questions to Triple Flag Precious Metals Corp (TFPM) leadership • Q2 2024
Question
Mikel Abasolo inquired about the basis for Triple Flag's future gold and silver price assumptions and asked for a detailed explanation of the significant impairment charges related to the Pumpkin Hollow and Mass mines, including what went wrong and the potential for loss recovery.
Answer
Executive James Dendle explained that the company does not forecast specific metal prices for investments but remains structurally bullish, directing the analyst to a recent podcast for a deeper dive. Regarding the impairments, Dendle and CFO Sheldon Vanderkooy clarified that these were prudent accounting measures for underperforming assets that are now in insolvency proceedings. They noted that while Triple Flag is a secured creditor, the assets were written down to zero to provide certainty to investors that there would be no further negative financial impact from these two specific assets.