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00:00Initially want to to give us some reaction to those numbers that a pleasing and where do you go from here . Thanks Paul and good morning. They are very pleasing. They are ahead of where we expected to be at the end of the first quarter . Most important for us is that we are banking a lot of money for every ounce we producing. Eight hundred seventy one dollars per ounce we produce this quarter we put in the bank as a margin. And that's really important to us ensuring that we keep our margins high costs low and the growth opportunities are very important to us as well. But our organic growth opportunities and I'm going to be great for our shareholders . So you've got cash on hand. You're looking for growth opportunities. Are you able to give us some idea of the sorts of opportunities you're looking at. And I give you the example of Newcrest returning to the Toronto Stock Exchange. Do you see any benefits for a Canadian or U.S. listing. Not for evolution at this stage. I've had experience secondary list things it's difficult to get liquidity and then we found. So we're happy to have an Australian listing a strong support from global shareholders. But that organic growth for us is coming from the CAC operation which is in New South Wales. An underground opportunity that we'll be developing to take production up to over 350000 ounces of local skill. And Red Lake which we acquired earlier this year has really proved to be a transformation opportunity for us. And over the next few years we're expecting to grow from the current kind of hundred and twenty thousand ounces of relatively high cost production at this stage to between three and five hundred thousand ounce of low cost production. So strong organic growth and organic growth is always the best growth. What about growth when it comes to assets. Will you see an extension of your asset base in North America beyond the Red Lake acquisition in Canada . We'd love to Shery Ahn. We were always looking for opportunities but we've been very strong in our discipline about only doing things which improve the quality of our portfolio and also a creative to our shareholders. In a high gold price environment that means that a lot of a lot of the investors and industries of supporting consolidation and growth for growth sake. We're kind of on the other side of the ledger saying yeah . We're all supportive of growth. We're looking for opportunities but only where they make real sense for our shareholders. I'm talking about gold prices. How critical is the US presidential election to the immediate outlook for prices of course. There are some expectations that it could be a messy election . Yeah it's just reflecting waiting to come on air that I've probably been appearing on on this show for I don't know the last 15 years and you'd have to say as probably a lot of gold companies have said on this show recently that the environment for gold is probably the best it's been in those 15 years . Whoever the president of the United States is you know it is an environment which has been amplified by the severity of the covered pandemic. Lots of fiscal monetary policies required to address these issues and then a whole lot of geopolitical tensions which overlay that. So regrettably in some ways the outlook for the gold price is incredibly positive . Yeah the outlook is positive. But recently we've just seen is stuck in the range. We've got a chart up right now that indicates that nineteen hundred and four dollars and that's not really looking to breakout strongly in either direction. What do you see as the key catalysts being for gold right now . Look I think everyone's waiting for the US election results . Then they seem to be talking about a fiscal program which is not a matter of if but when. In the US which will be a very significant program and what. That's a very strong run in the last 12 24 months. It maybe needs a bit of a breather to maintain that upward momentum going forward. It may be at slightly over trade and opportunity at the moment. I don't know . A little bit of a reset and taking a breath over. I don't think is a bad a bad thing. You know the factors that generally influence the gold price are very strong at the moment. And again I just repeat what I've said to investors for many years that evolution whilst we are very pleased that the gold price is high we focused on building a business that can be strong through the cycle. And that's why when good times are occurring like it is today we're banking lots of cash but we're building a business that can sustain itself whatever the cycle . You've said in the past that the US dollar is down about 85 per cent so relative to gold over the past 20 years. What's your outlook for the greenback . It's going to go even weaker I'd say because the amount of money that needs to be printed is going to be significant and that's going to be a drag on the dollar. And the only currency that you cannot prints is gold. So it is unfortunately a case of governments needing to print this money to get themselves and their populations into a more growth oriented environment. But it is expensive and it is creating a lot of debt and it is printing a lot of money. So I think fiat currencies generally are on the decline against a hard assets like gold. And just finally Jake you also mined for small amounts of silver. And we know that silver prices have been sort of stuck in a range as well trading not only as a precious metal but also he has some industrial metal qualities. Right. So what will be the key driver for silver and where do you see prices going. Yes silver is a relatively small byproduct for us. It generally follows the gold price. I know that when the gold price goes up for silver investors get very excited. But I think it's going to attract the gold price. A more important byproduct for us is copper. And there we produce about 15 percent of our revenue is is copper. And obviously the price going up there has been very helpful .

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Evolution Mining Seeing Strong Organic Growth: Klein

Jake Klein, executive chairman at Evolution Mining, discusses the company’s production data, growth opportunities and his outlook for gold prices. He speaks exclusively on “Bloomberg Daybreak: Asia.” (Source: Bloomberg)

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