Thank you, operator. Thank you all for joining us, and welcome to our Second Quarter 2021 Conference Call and Webcast. Presenting with me today is Jason LeBlanc, our Chief Financial Officer; Yohann Bouchard, Chief Operating Officer; and Henry Marsden; Senior VP, Exploration will be available to answer questions. I will start as always with health and safety.
Our total recordable injury rate was 0.58 for the first six months of 2021. Earlier this year, we introduced our climate action strategy, continue to advance the strategy during the quarter with work ongoing to determine baselines and gathered data to develop abatement scenarios. The strategy is one pillar of our approach to ESG. Health and safety, environmental management, governance and community engagement are all deeply rooted within our organization.
We’re proud to have been named one of Canada’s Best 50 Canadian Corporate Citizen by Corporate Knights. Yamana ranked 31st overall and was the top ranked Canadian mining company. The best 50 ranking are based on a series of criterias, including eight environmental metrics, five social metrics, six governance metrics, and three economic factors. To learn more about our ESG performance, I invite you to look at our latest Material Issue Report and Global Reporting Initiative Report. Both are available on our website.
Turning now to our Q2 operational highlights. We had a strong production with 217,402 ounces of gold lead by standout performance at Jacobina, Canadian Malartic, El Peñón, and Minera Florida. Jacobina and Canadian Malartic, I’m pleased to note both reached all time quarterly high. Cerro Moro production increased compared to the second quarter of last year. Both as we indicated previously, we’re expecting the mine to see much stronger results in the second half of this year. Produce 1.63 million ounces of silver during the quarter. GEO production was 241,341 ounces. Quarterly cash costs were $720 for GEO and all-in sustaining cost were $1,081 for GEO, in line with plan.
Our strong cash flow generation and increase cash balances continue to position us well for return cash to shareholders in the form of higher dividends.
As reported yesterday, we are increasing our annual dividend to $0.12 per share, up nearly 15% from the previous dividend and 500% increase compared to Q2 2019.
We also announced a Normal Course Issuer Bid that allows for the purchase of up to 5% of the company issued and outstanding common shares over the next 12 months.
First half production and costs were in line with our plan, set out at the beginning of the year.
As with prior years, we expect Q4 to be the strongest quarter. I would like to remind everyone that we guided production to be a 57-53 split between the first half and the second half. And this is exactly what we have achieved in the first half. Taking a closer look at our operations.
As mentioned, Jacobina posted record quarterly production of 47,503 ounces of gold.
As you may have seen in our release yesterday, updating progress on the phase expansion of Jacobina, average throughput for the quarter was 7,200 tons per day, up to 5% over the prior quarter with throughput averaging 7,500 tons per day for the entire month of May. I’ll talk more about the phase expansion in a moment. At El Peñón GEO production for the quarter was 52,607 ounces, including 39,492 ounces of gold and 891,255 ounces of silver.
We continue to expect planned production in Q3 and Q4 with the second half production to account for approximately 57% of the annual GEO production. Canadian Malartic had a record quarter, producing 92,106 ounces of gold, exceeding plan due to higher grade and recoveries from ore found deeper in the Malartic pit. The operation remain on track to complete topographic drilling and blasting at Barnat by the end of Q3 of 2021. Minera Florida was a standout performer during the quarter production of 23,818 ounces of gold was above plan and higher than the same period in the prior year. Linear development continues to advance well ahead of plan and exploration results continue to demonstrate extension of identified areas of mineralization and new discoveries. Production at Cerro Moro was 25,313 GEO compared to 15,451 GEO in the prior year period. This includes 14,488 ounces of gold and silver production was at 736,820 ounces in the latest quarter. Challenging water condition and limited travel and impacted shift change.
However, the company took the opportunity during this time to fast track certain health, safety and other site improvement originally planned for the second half of the year, which will benefit future quarters. The transition to more mill feed coming from the underground are at higher grade than the open pit ore will continue into the second half of 2021.
We have a number of compelling growth opportunities in our portfolio, and that we’re very excited about.
One of these is the phase expansion at Jacobina. We’ve made significant progress on Phase 2 expansion to increase throughput to 8,500 tons per day and raise production to 230,000 ounces per year. The Jacobina plant continues to exceed expectations.
As mentioned our success underscore a simplify approach that we are now taking to complete Phase 2. This includes debottlenecking the processing plant and tailing system, as well as operational improvement that de-risk the project, greatly reduce CapEx and eliminate the needs to install an additional ball mill.
Our capital costs are expected to be only a fraction of the original estimated amount, not exceeding $15 million to $20 million. The key takeaway in yesterday’s update is the greater certainty and reduced risk as we know required incremental optimization and operational improvements to achieve the Phase 2 throughput. Subject to the successful completion of required permit modification, we expect Jacobina to begin producing the new 8,500 tons per day in the second half of 2023.
As we advance Phase 2, engineering for Phase 3 expansion to 10,000 ton per day will advance in parallel, with the plant modification originally planned for Phase 2, now consider adequate for the Phase 3. A feasibility study for Phase 3 is scheduled to be completed in 2023 and project commissioning is still on track for 2027.
In addition to the Phase 2 update, we also disclose strong exploration results at Jacobina yesterday. The results included exceptional drilling from Canavieiras Central and Morro do Vento, as well the discovery of a new zone João Belo Sul with 536,000 ounces of mineral resources. The results support the phase expansion and demonstrate Jacobina’s exceptional long-term growth potential and the ability to further extend strategic mine life.
Turning now to Wasamac, our wholly-owned gold project in Quebec’s prolific Abitibi-Témiscamingue Region, we’re excited to be growing our presents in Quebec, which is also owned to our Canadian Malartic operation. Wasamac is great project, and since acquiring it early this year, we have made it even better. We’ve carried out several studies that have expanded reserve and the average annual production while increasing throughput and plant nameplate capacity.
As a result, we’ve made a decision to advance the project to construction.
We expect to receive all permit and authorization by the third quarter of 2024.
We have identified opportunities to improve ramp up and decrease the processing plant construction period. Development will be fully funded from available cash and cash flows, once development is completed, production will ramp up quickly and will achieve full production of approximately 200,000 ounces per year in year two and sustained at level of at least the next four years with cost well below the company’s average. Wasamac as a reserve of 1.91 million ounces, along with indicated resources of 326,000 ounces and inferred resources of 258,000 ounces with excellent additional exploration potential. We believe Wasamac will be a very long mine life of 15 years or more. And assuming this strategic mine life indeed will be in the range of $850 million to $900 million at $1,850 gold price.
Just 100 kilometer down the road from Wasamac, is our Canadian Malartic operations, where we advancing the Odyssey underground project with our partner. This is another outstanding project that will extend Canadian Malartic’s mine life through at least 2039.
The second quarter, we’ve competed overburden excavation and grouting to prepare for the construction of the production shaft and headframe. We’ve also made progress on the underground ramp development is ahead of schedule with approximately 764 linear metres completed this year and 1,587 linear meters competed since the start. The exploration ramp is expected to take about two years to complete with the first drilling platform established in early July.
We have also completed construction of the shaft collar and engineering is progressing on the headframe, hoist rooms, paste plant, power line/substation, the workshop and the warehouse. Construction of the headframe and hoist room is slated to begin in the third quarter of 2021. And with that, I will turn it over to Jason.