Silver Wheaton Corp. Press Releases

Silver Wheaton reports record second quarter earnings

Wed, 11 Aug 2010 17:30:00 -0400

TSX: SLW

NYSE: SLW

VANCOUVER, Aug. 11 /CNW/ - Silver Wheaton Corp. ("Silver Wheaton" or the "Company") (TSX, NYSE:SLW) is pleased to announce its unaudited results for the second quarter ended June 30, 2010.

    <<
    SECOND QUARTER HIGHLIGHTS

    -------------------------------------------------------------------------

    -  Net earnings increased by almost 200% to a record US$53.3 million
       (US$0.16 per share), compared with US$18.4 million (US$0.07 per
       share) in 2009.

    -  Operating cash flows increased by more than 150% to US$67.0 million
       (US$0.20 per share)(1), compared with US$26.5 million (US$0.09 per
       share)(1) in 2009.

    -  Attributable silver equivalent production of 5.7 million ounces (5.3
       million ounces of silver and 5,800 ounces of gold), representing an
       increase of 33% over the comparable period in 2009.

    -  Record silver equivalent sales of 5.1 million ounces (4.6 million
       ounces of silver and 7,600 ounces of gold), representing an increase
       of 74% over the comparable period in 2009.

    -  Total cash costs(1) of US$4.03 per silver equivalent ounce, compared
       with US$3.99 per ounce in 2009.

    -  Cash operating margin(1) increased by 44% to US$14.45 per silver
       equivalent ounce, compared with US$10.05 per ounce in 2009.

    -  Production at Goldcorp Inc.'s world-class gold-silver-lead-zinc
       Penasquito mine continued to ramp up on or ahead of schedule, with the
       second sulphide processing line achieving mechanical completion ahead
       of its previously expected third quarter completion date. Penasquito's
       Line 1 is regularly operating at a designed daily throughput of 50,000
       tonnes, and Line 2 is now in the commissioning phase and ramping up to
       add another 50,000 tonnes per day of capacity. Upon completion of the
       high pressure grinding circuit, Penasquito is anticipated to ramp up
       to full production capacity of 130,000 tonnes per day by early 2011.
       Annual production attributable to Silver Wheaton from the mine is
       expected to average approximately 7 million ounces of silver over the
       estimated 22 year mine life.

    -  Barrick Gold Corp.'s world-class gold-silver Pascua-Lama project
       remains on track to enter production in the first quarter of 2013.
       Detailed engineering and procurement is nearing completion with many
       major items now purchased. Once in production, Pascua Lama is forecast
       to be one of the largest and lowest cost gold mines in the world with
       average annual production attributable to Silver Wheaton, in its first
       five years, of approximately 9 million ounces of silver. Pascua-Lama
       is a long-life asset with an expected mine life in excess of 25 years.

    -  Acquired, by way of a private placement financing, 1.8 million units
       of Ventana Gold Corp. for total consideration of C$20.7 million (US
       $19.8 million). As part of this transaction, Silver Wheaton has been
       granted a right of first refusal over any silver streams relating to
       Ventana's Colombian properties, including the highly prospective La
       Bodega project, which has the potential to host a world-class gold
       deposit with significant silver by product credits.

    -  Subsequent to quarter end, Goldcorp completed the sale of the San
       Dimas mine to Primero Mining Corp. ("Primero"). In conjunction with
       the sale, Silver Wheaton agreed to amend its silver purchase agreement
       relating to the mine. The term of the silver purchase agreement, which
       was set to expire in 2029, has been extended to life of mine. During
       the first four years following closing of the transaction, Primero
       will deliver to Silver Wheaton a per annum amount equal to the first
       3.5 million ounces of payable silver produced at San Dimas and 50% of
       any excess, plus Silver Wheaton will receive an additional 1.5 million
       ounces of silver per annum to be delivered by Goldcorp. Beginning in
       the fifth year after closing, Primero will deliver to the Company a
       per annum amount equal to the first 6 million ounces of payable silver
       produced at San Dimas and 50% of any excess. Goldcorp will continue to
       guarantee the delivery by Primero of all silver produced and owing to
       the Company until 2029, and a payment of US$0.50 per ounce for any
       shortfall below 215 million cumulative silver ounces delivered to
       Silver Wheaton by the end of 2031. Primero has provided Silver Wheaton
       with a right of first refusal on any metal stream or similar
       transaction it enters into.


    ---------------------------------------
    (1) Refer to discussion on non-GAAP measures at the end of this press
        release.
    >>

"Another very solid quarter resulted in record sales and earnings," said Peter Barnes, Chief Executive Officer of Silver Wheaton. "With Goldcorp's Penasquito mine in Mexico, the first of our cornerstone assets, continuing to ramp up silver production ahead of schedule, we look forward to an even stronger second half to the year and maintain our annual attributable silver equivalent production guidance of 23.5 million ounces. In the face of continued global economic uncertainty, the price of silver performed very well in the quarter, leading to record cash operating margins of US$14.45 per ounce, and clearly demonstrating the advantages of Silver Wheaton's business model of low fixed operating costs."

"Two transactions, both having potential to further increase Silver Wheaton's industry leading production growth profile, were also completed in the quarter. First, in connection with Goldcorp's sale of its San Dimas mine to Primero Mining, an emerging mid-tier gold producer, Silver Wheaton agreed to amend its silver purchase agreement to the benefit of both parties. The final agreement provides Silver Wheaton with a Goldcorp guarantee, extends the agreement from a fixed term to life-of-mine and, most importantly, incentivizes Primero Mining to increase silver production at this high-quality, low-cost, mine."

"Second, Silver Wheaton acquired a right of first refusal over any silver streams relating to Ventana Gold Corp.'s Colombian properties, including its flagship high-grade gold-silver La Bodega project, one of the most exciting gold discoveries in the last decade. As Ventana continues to advance this potential world-class project closer to production and evaluates project financing options, we anticipate working towards completing a silver streaming agreement."

This earnings release should be read in conjunction with Silver Wheaton's unaudited MD&A and Financial Statements, which are available on the Company's website at www.silverwheaton.com and have been posted on SEDAR at www.sedar.com.

A conference call will be held Thursday, August 12, 2010, starting at 11:00 am (Eastern Time) to discuss these results. To participate in the live call use one of the following methods:

    <<
    Dial toll free from Canada or the US:             1-888-231-8191
    Dial from outside Canada or the US:               1-647-427-7450
    Pass code:                                        80637046
    Live audio webcast:                               www.silverwheaton.com

    Participants should dial in five to ten minutes before the call.

    The conference call will be recorded and you can listen to an archive of
    the call by one of the following methods:

    Dial toll free from Canada or the US:             1-800-642-1687
    Dial from outside Canada or the US:               1-416-849-0833
    Pass code:                                        80637046
    Archived audio webcast:                           www.silverwheaton.com
    >>

About Silver Wheaton

Silver Wheaton is the largest silver streaming company in the world. Forecast 2010 production, based upon its current agreements, is 22.2 million ounces of silver and 20,000 ounces of gold, for total production of 23.5 million silver equivalent ounces. By 2013, annual production is anticipated to increase significantly to approximately 38 million ounces of silver and 59,000 ounces of gold, for total production of over 40 million silver equivalent ounces. This growth is driven by the Company's portfolio of world-class assets, including silver streams on Goldcorp's Penasquito mine and Barrick's Pascua-Lama project.

CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS

The information contained herein contains "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking statements, which are all statements other than statements of historical fact, include, but are not limited to, statements with respect to the future price of silver and gold, the estimation of mineral reserves and resources, the realization of mineral reserve estimates, the timing and amount of estimated future production, costs of production, reserve determination and reserve conversion rates. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Silver Wheaton to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: fluctuations in the price of silver and gold; the absence of control over mining operations from which Silver Wheaton purchases silver or gold and risks related to these mining operations including risks related to fluctuations in the price of the primary commodities mined at such operations, actual results of mining and exploration activities, economic and political risks of the jurisdictions in which the mining operations are located and changes in project parameters as plans continue to be refined; and differences in the interpretation or application of tax laws and regulations; as well as those factors discussed in the section entitled "Description of the Business - Risk Factors" in Silver Wheaton's Annual Information Form available on SEDAR at www.sedar.com and in Silver Wheaton's Form 40-F on file with the U.S. Securities and Exchange Commission in Washington, D.C. Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to: the continued operation of the mining operations from which Silver Wheaton purchases silver or gold, no material adverse change in the market price of commodities, that the mining operations will operate and the mining projects will be completed in accordance with their public statements and achieve their stated production outcomes, and such other assumptions and factors as set out herein. Although Silver Wheaton has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate. Accordingly, readers should not place undue reliance on forward-looking statements. Silver Wheaton does not undertake to update any forward-looking statements that are included or incorporated by reference herein, except in accordance with applicable securities laws.

    <<
    Consolidated Statement of Operations (unaudited)

    (US dollars and shares
     in thousands, except         Three Months Ended       Six Months Ended
     per share amounts                  June 30                 June 30
     - unaudited)                  2010        2009        2010        2009
    -------------------------------------------------------------------------

    Sales                     $   95,004  $   41,403  $  180,942  $   78,975
    -------------------------------------------------------------------------
    Cost of sales                 20,700      11,764      40,868      24,304
    Depletion                     15,360       6,419      28,911      13,006
    -------------------------------------------------------------------------
                                  36,060      18,183      69,779      37,310
    -------------------------------------------------------------------------
    Earnings from operations      58,944      23,220     111,163      41,665
    -------------------------------------------------------------------------

    Expenses and other income
      General and
       administrative(1)           6,118       4,433      13,313       9,011
      Gain on mark-to-market
       of warrants held             (397)        (30)       (233)        (33)
      Other                          (35)        379         196        (862)
    -------------------------------------------------------------------------
                                   5,686       4,782      13,276       8,116
    -------------------------------------------------------------------------

    Net earnings                  53,258      18,438      97,887      33,549
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    Basic earnings per share  $     0.16  $     0.07  $     0.29  $     0.12
    Diluted earnings per
     share                    $     0.15  $     0.06  $     0.28  $     0.12
    Weighted average number
     of shares outstanding
      Basic                      342,898     297,973     342,618     284,205
      Diluted                    348,441     301,235     347,492     286,976
    -------------------------------------------------------------------------

    1)  Stock based compensation
        (a non-cash item)
        included in general
        and administrative    $    2,017  $      830  $    5,125  $    2,689



    Consolidated Balance Sheets (unaudited)

                                                        June 30   December 31
    (US dollars in thousands - unaudited)                 2010        2009
    -------------------------------------------------------------------------

    Assets
    Current
      Cash and cash equivalents                       $  322,896  $  227,566
      Accounts receivable                                  7,912       4,881
      Other                                                1,971       1,027
    -------------------------------------------------------------------------
                                                         332,779     233,474

    Long-term investments                                 97,133      73,747
    Silver and gold interests                          1,948,208   1,928,476
    Other                                                  1,352       1,527
    -------------------------------------------------------------------------
                                                      $2,379,472  $2,237,224
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    Liabilities
    Current
      Accounts payable                                $    1,760  $    5,397
      Accrued liabilities                                  4,270       4,578
      Current portion of bank debt                        28,560      28,560
      Current portion of silver interest payments        158,326     130,788
    -------------------------------------------------------------------------
                                                         192,916     169,323

    Long-term portion of bank debt                        92,900     107,180
    Long-term portion of silver interest payments        244,829     236,796
    -------------------------------------------------------------------------
                                                         530,645     513,299
    -------------------------------------------------------------------------

    Shareholders' Equity
    Issued capital and contributed surplus             1,357,623   1,333,191
    -------------------------------------------------------------------------

    Retained earnings                                    441,721     343,834
    Accumulated other comprehensive income                49,483      46,900
    -------------------------------------------------------------------------
                                                         491,204     390,734
    -------------------------------------------------------------------------
                                                       1,848,827   1,723,925
    -------------------------------------------------------------------------
                                                      $2,379,472  $2,237,224
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------



    Consolidated Statement of Cash Flows (unaudited)

                                  Three Months Ended       Six Months Ended
    (US dollars in thousands            June 30                 June 30
     - unaudited)                  2010        2009        2010        2009
    -------------------------------------------------------------------------

    Operating Activities
    Net earnings              $   53,258  $   18,438  $   97,887  $   33,549
    Items not affecting cash
      Depreciation and
       depletion                  15,426       6,482      29,042      13,130
      Stock based compensation     2,017         830       5,125       2,689
      Gain on mark-to-market
       of warrants held             (397)        (30)       (233)        (33)
      Other                          244        (325)        372         190
    Change in non-cash operating
     working capital              (3,558)      1,058      (7,603)         48
    -------------------------------------------------------------------------
    Cash generated by operating
     activities                   66,990      26,453     124,590      49,573
    -------------------------------------------------------------------------

    Financing Activities
    Bank debt repaid              (7,140)     (7,140)    (14,280)   (227,780)
    Shares issued                      -           -           -     230,424
    Share issue costs                  -        (427)        (85)     (9,975)
    Share purchase warrants
     exercised                       839          77       1,006         163
    Share purchase options
     exercised                    15,008       1,502      18,302       1,589
    -------------------------------------------------------------------------
    Cash generated by (applied
     to) financing activities      8,707      (5,988)      4,943      (5,579)
    -------------------------------------------------------------------------

    Investing Activities
    Silver and gold interests    (13,194)     (1,276)    (13,711)     (4,647)
    Acquisition of Silverstone
     Resources Corp., net of
     cash acquired                     -       2,668        (201)      2,668
    Long-term investments        (19,754)          -     (20,889)          -
    Other                            417         (72)        406          16
    -------------------------------------------------------------------------
    Cash (applied to) generated
     by investing activities     (32,531)      1,320     (34,395)     (1,963)
    -------------------------------------------------------------------------
    Effect of exchange rate
     changes on cash and cash
     equivalents                      72          61         192        (551)
    -------------------------------------------------------------------------
    Increase in cash and cash
     equivalents                  43,238      21,846      95,330      41,480
    Cash and cash equivalents,
     beginning of period         279,658      26,744     227,566       7,110
    -------------------------------------------------------------------------
    Cash and cash equivalents,
     end of period            $  322,896  $   48,590  $  322,896  $   48,590
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------



    Results of Operations (unaudited)

                                            Three Months Ended June 30, 2010
    -------------------------------------------------------------------------
                                                                     Average
                                                                    realized
                                                                       price
                               Ounces       Ounces        Sales   (US$'s per
                           produced(3)        sold       (US$'s)       ounce)
    -------------------------------------------------------------------------

    Silver
      San Dimas                 1,110        1,076  $    19,999  $     18.58
      Zinkgruvan                  478          313        5,727        18.29
      Yauliyacu                   692          517        9,688        18.74
      Penasquito                  800          656       12,111        18.46
      Minto                        49           46          860        18.63
      Cozamin                     286          412        7,588        18.44
      Barrick(5)                  697          727       13,242        18.20
      Other(6)                  1,159          897       16,544        18.45
    -------------------------------------------------------------------------
                                5,271        4,644  $    85,759  $     18.46
    Gold
      Minto                     5,802        7,584  $     9,245  $     1,219
    -------------------------------------------------------------------------

    Silver Equivalent(7)        5,651        5,140  $    95,004  $     18.48
    Corporate
    -------------------------------------------------------------------------
                                5,651        5,140  $    95,004  $     18.48
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                            Three Months Ended June 30, 2010
    -------------------------------------------------------------------------
                                                                   Cash flow
                                Total        Total          Net         from
                            cash cost    depletion     earnings     (used in)
                           (US$'s per   (US$'s per        (loss)  operations
                             ounce)(4)    ounce)(4)      (US$'s)      (US$'s)
    -------------------------------------------------------------------------

    Silver
      San Dimas           $      4.04  $      0.79  $    14,804  $    15,651
      Zinkgruvan                 4.04         1.72        3,924        4,352
      Yauliyacu                  3.98         3.47        5,835        7,610
      Penasquito                 3.90         2.54        7,885        9,553
      Minto                      3.90         3.69          510          819
      Cozamin                    4.04         4.62        4,022        5,620
      Barrick(5)                 3.90         3.55        7,825        9,205
      Other(6)                   3.92         4.53        8,965       12,844
    -------------------------------------------------------------------------
                          $      3.97  $      2.92  $    53,770  $    65,654
    Gold
      Minto               $       300  $       237  $     5,174  $     7,633
    -------------------------------------------------------------------------

    Silver Equivalent(7)  $      4.03  $      2.99  $    58,944  $    73,287
    Corporate                                            (5,686)      (6,297)
    -------------------------------------------------------------------------
                          $      4.03  $      2.99  $    53,258  $    66,990
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    (1) All figures in thousands except gold ounces produced and sold and per
        ounce amounts.
    (2) Ounces produced represent the quantity of silver and gold contained
        in concentrate or doré prior to smelting or refining deductions.
    (3) Certain production figures are based on management estimates.
    (4) Refer to discussion on non-GAAP measures at the end of this press
        release.
    (5) Comprised of the Lagunas Norte, Pierina and Veladero mines.
    (6) Comprised of the Los Filos, San Martin, La Negra, Mineral Park,
        Neves-Corvo, Stratoni and Campo Morado mines.
    (7) Gold ounces produced and sold are converted to a silver equivalent
        basis on the ratio of the average silver price received to the
        average gold price received during the period.



                                            Three Months Ended June 30, 2009
    -------------------------------------------------------------------------
                                                                     Average
                                                                    realized
                                                                       price
                               Ounces       Ounces        Sales   (US$'s per
                             produced         sold       (US$'s)       ounce)
    -------------------------------------------------------------------------

    Silver
      San Dimas                 1,264        1,254  $    17,577  $     14.02
      Zinkgruvan                  480          469        6,746        14.38
      Yauliyacu                   870          546        7,593        13.91
      Penasquito                  162          130        1,853        14.28
      Minto                      37(5)       (1)(4)       (7)(4)       13.11
      Cozamin                   262(5)         213        2,935        13.78
      Other(6)                  750(5)         327        4,571        13.92
    -------------------------------------------------------------------------
                                3,825        2,938  $    41,268  $     14.04
    Gold
      Minto                   6,823(5)       145(4) $     135(4) $       925
    -------------------------------------------------------------------------

    Silver Equivalent(7)        4,253        2,950  $    41,403  $     14.04
    Corporate
    -------------------------------------------------------------------------
                                4,253        2,950  $    41,403  $     14.04
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                            Three Months Ended June 30, 2009
    -------------------------------------------------------------------------
                                                                   Cash flow
                                Total        Total          Net         from
                            cash cost    depletion     earnings     (used in)
                           (US$'s per   (US$'s per        (loss)  operations
                             ounce)(3)    ounce)(3)      (US$'s)      (US$'s)
    -------------------------------------------------------------------------

    Silver
      San Dimas           $      4.02  $      0.65  $    11,721  $    12,538
      Zinkgruvan                 4.02         1.78        4,024        5,159
      Yauliyacu                  3.94         3.47        3,546        5,442
      Penasquito                 3.90         2.35        1,041        1,347
      Minto                      3.90         4.42           (3)          15
      Cozamin                    4.00         4.66        1,090        3,388
      Other(6)                   3.92         4.67        1,751        3,656
    -------------------------------------------------------------------------
                          $      3.99  $      2.17  $    23,170  $    31,545
    Gold
      Minto               $       300  $       284  $        50  $       192
    -------------------------------------------------------------------------

    Silver Equivalent(7)  $      3.99  $      2.18  $    23,220  $    31,737
    Corporate                                            (4,782)      (5,284)
    -------------------------------------------------------------------------
                          $      3.99  $      2.18  $    18,438  $    26,453
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    (1) All figures in thousands except gold ounces produced and sold and per
        ounce amounts.
    (2) Ounces produced represent the quantity of silver contained in
        concentrate or doré prior to smelting or refining deductions.
    (3) Refer to discussion on non-GAAP measures at the end of this press
        release.
    (4) No concentrate shipments were made during the period. Amounts
        reflected above represent provisional invoice adjustments.
    (5) Production figures for Silverstone assets acquired have been pro
        rated based on the number of days in the quarter following the
        Silverstone acquisition.
    (6) Comprised of the Los Filos, San Martin, La Negra, Mineral Park,
        Neves-Corvo, Stratoni and Campo Morado mines.
    (7) Gold ounces produced and sold are converted to a silver equivalent
        basis on the ratio of the average silver price received to the
        average gold price received during the period.



                                              Six Months Ended June 30, 2010
    -------------------------------------------------------------------------
                                                                     Average
                                                                    realized
                                                                       price
                               Ounces       Ounces        Sales   (US$'s per
                           produced(3)        sold       (US$'s)       ounce)
    -------------------------------------------------------------------------

    Silver
      San Dimas                 2,316        2,282  $    40,850  $     17.90
      Zinkgruvan                  865          811       14,284        17.61
      Yauliyacu                 1,429        1,098       19,824        18.05
      Penasquito                1,320        1,080       19,486        18.05
      Minto                       111           93        1,649        17.61
      Cozamin                     687          693       12,401        17.91
      Barrick(5)                1,477        1,510       26,740        17.71
      Other(6)                  2,012        1,504       26,987        17.95
    -------------------------------------------------------------------------
                               10,217        9,071  $   162,221  $     17.88
    Gold
      Minto                    13,358       16,194  $    18,721  $     1,156
    -------------------------------------------------------------------------

    Silver Equivalent(7)       11,097       10,138  $   180,942  $     17.85
    Corporate
    -------------------------------------------------------------------------
                               11,097       10,138  $   180,942  $     17.85
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                              Six Months Ended June 30, 2010
    -------------------------------------------------------------------------
                                                                   Cash flow
                                Total        Total          Net         from
                            cash cost    depletion     earnings     (used in)
                           (US$'s per   (US$'s per        (loss)  operations
                             ounce)(4)    ounce)(4)      (US$'s)      (US$'s)
    -------------------------------------------------------------------------

    Silver
      San Dimas           $      4.04  $      0.79  $    29,837  $    31,631
      Zinkgruvan                 4.04         1.72        9,615       10,056
      Yauliyacu                  3.98         3.47       11,645       15,460
      Penasquito                 3.90         2.54       12,528       15,275
      Minto                      3.90         3.69          939        1,227
      Cozamin                    4.03         4.62        6,413        9,656
      Barrick(5)                 3.90         3.52       15,530       17,615
      Other(6)                   3.92         4.32       14,598       21,417
    -------------------------------------------------------------------------
                          $      3.97  $      2.77  $   101,105  $   122,337
    Gold
      Minto               $       300  $       235  $    10,058  $    13,386
    -------------------------------------------------------------------------

    Silver Equivalent(7)  $      4.03  $      2.85  $   111,163  $   135,723
    Corporate                                           (13,276)     (11,133)
    -------------------------------------------------------------------------
                          $      4.03  $      2.85  $    97,887  $   124,590
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    (1) All figures in thousands except gold ounces produced and sold and per
        ounce amounts.
    (2) Ounces produced represent the quantity of silver and gold contained
        in concentrate or doré prior to smelting or refining deductions.
    (3) Certain production figures are based on management estimates.
    (4) Refer to discussion on non-GAAP measures at the end of this press
        release.
    (5) Comprised of the Lagunas Norte, Pierina and Veladero mines.
    (6) Comprised of the Los Filos, San Martin, La Negra, Mineral Park,
        Neves-Corvo, Stratoni and Campo Morado mines.
    (7) Gold ounces produced and sold are converted to a silver equivalent
        basis on the ratio of the average silver price received to the
        average gold price received during the period.



                                              Six Months Ended June 30, 2009
    -------------------------------------------------------------------------
                                                                     Average
                                                                    realized
                                                                       price
                               Ounces       Ounces        Sales   (US$'s per
                             produced         sold       (US$'s)       ounce)
    -------------------------------------------------------------------------

    Silver
      San Dimas                 2,587        2,606  $    34,104  $     13.09
      Zinkgruvan                  941          920       12,162        13.22
      Yauliyacu                 1,609        1,289       16,282        12.63
      Penasquito                  322          265        3,414        12.89
      Minto                      37(5)       (1)(4)       (7)(4)       13.11
      Cozamin                   262(5)         213        2,935        13.78
      Other(6)                1,309(5)         804        9,950        12.36
    -------------------------------------------------------------------------
                                7,067        6,096  $    78,840  $     12.93
    Gold
      Minto                   6,823(5)       145(4) $     135(4) $       925
    -------------------------------------------------------------------------

    Silver Equivalent(7)        7,495        6,108  $    78,975  $     12.93
    Corporate
    -------------------------------------------------------------------------
                                7,495        6,108  $    78,975  $     12.93
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                              Six Months Ended June 30, 2009
    -------------------------------------------------------------------------
                                                                   Cash flow
                                Total        Total          Net         from
                            cash cost    depletion     earnings     (used in)
                           (US$'s per   (US$'s per        (loss)  operations
                             ounce)(3)    ounce)(3)      (US$'s)      (US$'s)
    -------------------------------------------------------------------------

    Silver
      San Dimas           $      4.02  $      0.74  $    21,697  $    23,628
      Zinkgruvan                 4.02         1.78        6,825        8,379
      Yauliyacu                  3.92         3.47        6,758       11,233
      Penasquito                 3.90         2.35        1,758        2,381
      Minto                      3.90         4.42           (3)          15
      Cozamin                    4.00         4.66        1,090        3,388
      Other(6)                   3.92         4.10        3,490        7,487
    -------------------------------------------------------------------------
                          $      3.98  $      2.13  $    41,615  $    56,511
    Gold
      Minto               $       300  $       284  $        50  $       192
    -------------------------------------------------------------------------

    Silver Equivalent(7)  $      3.98  $      2.13  $    41,665  $    56,703
    Corporate                                            (8,116)      (7,130)
    -------------------------------------------------------------------------
                          $      3.98  $      2.13  $    33,549  $    49,573
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    (1) All figures in thousands except gold ounces produced and sold and per
        ounce amounts.
    (2) Ounces produced represent the quantity of silver and gold contained
        in concentrate or doré prior to smelting or refining deductions.
    (3) Refer to discussion on non-GAAP measures at the end of this press
        release.
    (4) No concentrate shipments were made during the period. Amounts
        reflected above represent provisional invoice adjustments.
    (5) Production figures for Silverstone assets acquired have been pro
        rated based on the number of days in the quarter following the
        Silverstone acquisition.
    (6) Comprised of the Los Filos, San Martin, La Negra, Mineral Park,
        Neves-Corvo, Stratoni and Campo Morado mines.
    (7) Gold ounces produced and sold are converted to a silver equivalent
        basis on the ratio of the average silver price received to the
        average gold price received during the period.
    >>

Non-GAAP Measures

Silver Wheaton has included, throughout this document, certain non-GAAP performance measures, including total cash costs of silver and gold on a sales basis, as well as operating cash flows per share and cash operating margin. These non-GAAP measures do not have any standardized meaning prescribed by GAAP, nor are they necessarily comparable with similar measures presented by other companies. Cash costs are presented as they represent an industry standard method of comparing certain costs on a per unit basis. Cash operating margin is defined as the realized selling price less total cash cost per silver equivalent ounce. The Company believes that certain investors use this information to evaluate the Company's performance. The data is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. During the three months ended June 30, 2010, the Company's total cash costs, which were equivalent to the Company's cost of sales in accordance with GAAP, were US$3.97 per ounce of silver and US$300 per ounce of gold (three months ended June 30, 2009 - US$3.97 per ounce of silver and US$300 per ounce of gold).

Silver Wheaton finalizes amended silver purchase agreement in conjunction with Goldcorp's sale of the San Dimas mine

Fri, 06 Aug 2010 13:46:00 -0400

TSX: SLW

NYSE: SLW

VANCOUVER, Aug. 6 /CNW/ - Silver Wheaton Corp. ("Silver Wheaton" or the "Company") (TSX, NYSE:SLW) is pleased to announce that, further to the Company's June 2, 2010 press release, it has amended its silver purchase agreement relating to the San Dimas mine ("San Dimas"). The agreement was amended pursuant to the August 6, 2010 completion of Goldcorp Inc.'s ("Goldcorp") sale of San Dimas to Primero Mining Corp. ("Primero"), formerly known as Mala Noche Resources (see Goldcorp and Primero press releases dated August 6, 2010). Key amendments to the silver purchase agreement are as follows:

    <<
    -   The term of the silver purchase agreement, which previously ended in
        2029, has been increased to life-of-mine;
    -   During the first four years following closing, Primero will deliver
        to Silver Wheaton a per annum amount equal to the first 3.5 million
        ounces of payable silver produced at San Dimas and 50% of any excess,
        plus Silver Wheaton will receive an additional 1.5 million ounces of
        silver per annum to be delivered by Goldcorp;
    -   Beginning in the fifth year after closing, Primero will deliver to
        Silver Wheaton a per annum amount equal to the first six million
        ounces of payable silver produced at San Dimas and 50% of any excess;
    -   Goldcorp will continue to guarantee:
           i.  The delivery by Primero of all silver produced and owing to
               Silver Wheaton, until 2029; and,
           ii. A payment of US$0.50/oz for any shortfall below 215 million
               cumulative silver ounces delivered to Silver Wheaton by the
               end of 2031.
    -   Primero has provided Silver Wheaton with a right of first refusal on
        any metal stream or similar transaction it enters into; and
    -   Silver Wheaton has obtained an increased security package over the
        properties and assets of Primero.
    >>

Under the terms of the amended silver purchase agreement, Silver Wheaton will continue to pay the lesser of US$4.04 (subject to an inflationary adjustment) or the prevailing market price per ounce of silver delivered.

About San Dimas

San Dimas has been in continuous production for well over 100 years and operates in the lowest cost quartile of gold-silver producers in the world. Over the substantial mine life to date, the operating team at San Dimas has demonstrated an exceptional track-record of converting resources into reserves and the mine continues to exhibit excellent exploration upside.

Current exploration programs at San Dimas are focused on locating the western extension of the Central Block region, where the majority of mining currently takes place. These programs met with considerable success late in 2009, and continue into 2010, positioning the mine for a new phase of long-term production growth.

About Silver Wheaton

CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS

Silver Wheaton to release second quarter 2010 results on August 11th

Thu, 08 Jul 2010 17:00:00 -0400

TSX:SLW

NYSE:SLW

VANCOUVER, July 8 /CNW/ - Silver Wheaton Corp. (TSX, NYSE:SLW) will release second quarter financial results on Wednesday, August 11, 2010, after market close.

A conference call will be held Thursday, August 12, 2010, starting at 11:00 am (Eastern Time) to discuss these results. To participate in the live call use one of the following methods:

    <<
    Dial toll free from Canada or the US:      1-888-231-8191
    Dial from outside Canada or the US:        1-647-427-7450
    Pass code:                                 80637046
    Live audio webcast:                        www.silverwheaton.com
    >>

Participants should dial in five to ten minutes before the call.

The conference call will be recorded and you can listen to an archive of the call by one of the following methods:

    <<
    Dial toll free from Canada or the US:      1-800-642-1687
    Dial from outside Canada or the US:        1-416-849-0833
    Pass code:                                 80637046
    Archived audio webcast:                    www.silverwheaton.com
    >>

Silver Wheaton announces Goldcorp's Penasquito mine completes construction of second processing line ahead of schedule

Tue, 22 Jun 2010 18:44:00 -0400

TSX: SLW

NYSE: SLW

VANCOUVER, June 22 /CNW/ - Silver Wheaton Corp. ("Silver Wheaton") (TSX, NYSE:SLW) is pleased to announce that, as reported by Goldcorp Inc. ("Goldcorp") in a press release dated June 22, 2010, the second sulphide processing line (Line 2) at Goldcorp's world-class gold-silver-lead-zinc Penasquito mine in Zacatecas, Mexico, has achieved mechanical completion ahead of its previously expected third quarter completion date.

Over life of mine, Penasquito is forecast to produce an average of approximately 28 million ounces of silver annually over an initial 22 year mine life, of which Silver Wheaton is to receive 25% or approximately seven million ounces of silver annually.

Penasquito's Line 1 is regularly operating at a designed daily throughput of 50,000 tonnes, and Line 2 is now in the commissioning phase and ramping up to add another 50,000 tonnes per day of capacity. In the first days of commissioning and ramp-up of Line 2, combined process plant throughput already reached in excess of 86,400 tonnes per day. Line 2 alone has reached peak daily throughput of over 52,000 tonnes. In addition, the project's concentrate grades and quality remain well within expectations.

Construction of the project's 30,000 tonnes per day high pressure grinding roll circuit is also on track for completion in the fourth quarter, and Penasquito's full production ramp-up to designed 130,000 tonnes per day capacity remains on track for early 2011.

"We remain extremely pleased with the impressive construction and ramp up progress at Penasquito, Silver Wheaton's cornerstone growth asset for the next several years," said Peter Barnes, Chief Executive Officer of Silver Wheaton. "With full mine production forecast for early 2011, our stakeholders continue to recognize significant value from Penasquito, the second largest silver deposit in the world and soon to be Mexico's largest mine."

For a video clip of the full Penasquito processing plant in operation, please visit Goldcorp's website at www.goldcorp.com and click on Operations/Penasquito.

About Silver Wheaton

CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS

Silver Wheaton announces amended silver purchase agreement in conjunction with Goldcorp's proposed sale of the San Dimas mine

Wed, 02 Jun 2010 06:30:00 -0400

TSX: SLW

NYSE: SLW

VANCOUVER, June 2 /CNW/ - Silver Wheaton Corp. ("Silver Wheaton" or the "Company") (TSX, NYSE:SLW) announces that it has agreed to amend its silver purchase agreement relating to the San Dimas mine, in conjunction with Goldcorp Inc.'s ("Goldcorp") proposed sale of the mine to Mala Noche Resources Corp. ("Mala Noche"). Under the terms of a binding letter agreement between Mala Noche and Goldcorp ("the Purchase Agreement"), effective June 2, 2010, Mala Noche has agreed to purchase Goldcorp's San Dimas mine ("San Dimas"), located in Mexico, for total consideration of US$500 million, subject to a number of conditions, including the completion of a proposed equity financing by Mala Noche to raise net proceeds of a minimum of US$350 million in cash (see Goldcorp and Mala Noche press releases dated June 2, 2010).

Upon closing of the Purchase Agreement, Mala Noche is expected to have a strong balance sheet, including over US$50 million in working capital and low debt levels. In addition, Goldcorp will be a major shareholder of Mala Noche, owning approximately 30% of its issued and outstanding shares, and has agreed to maintain its shareholding for a minimum of three years.

Mr. Eduardo Luna, Mala Noche's Executive Vice President and President-Mexico, will once again play a significant role in overseeing the operations at San Dimas. From 1991 to 2007, Mr. Luna was the President of Luismin, S.A. de C.V., the owner and operator of San Dimas. During the five-year period prior to his 2007 resignation, the mine achieved its best production performance over its greater than 100 year history. Mr. Joseph Conway has also been appointed as Chief Executive Officer of Mala Noche. As former Chief Executive Officer of Iamgold Corporation, Mr. Conway oversaw the growth of that company into one of Canada's leading intermediate gold producers.

Under the terms of Silver Wheaton's silver purchase agreement relating to San Dimas, Silver Wheaton must approve the transaction and has agreed to do so, subject to the successful closing of the Purchase Agreement and the following amendments to the silver purchase agreement:

    -   The term of the silver purchase agreement, which currently terminates
        in 2029, will be increased to life-of-mine;
    -   During the first four years following closing, Mala Noche will
        deliver to Silver Wheaton a per annum amount equal to the first 3.5
        million ounces of payable silver produced at San Dimas and 50% of any
        excess, plus Silver Wheaton will receive an additional 1.5 million
        ounces of silver per annum to be delivered by Goldcorp;
    -   Beginning in the fifth year after closing, Mala Noche will deliver to
        Silver Wheaton a per annum amount equal to the first six million
        ounces of payable silver produced at San Dimas and 50% of any excess;
    -   Goldcorp will continue to guarantee:
           i.    The delivery by Mala Noche of all silver produced and owing
                 to Silver Wheaton, until 2029; and,
           ii.   A payment of US$0.50/oz for any shortfall below 220 million
                 cumulative silver ounces delivered to Silver Wheaton by the
                 end of 2031.
    -   Mala Noche will provide Silver Wheaton with a right of first refusal
        on any metal stream or similar transaction it enters into; and,
    -   Silver Wheaton will obtain an increased security package over the
        properties and assets of Mala Noche.

"Eduardo Luna's re-involvement in the operations at San Dimas is very positive for both the mine and Silver Wheaton," said Peter Barnes, Chief Executive Officer of Silver Wheaton. "Under his past leadership, San Dimas had its best production results in the mine's significant operating history and, as a core asset for Mala Noche, its management will be focused on maximizing shareholder value by increasing production levels at this low-cost mine."

"In addition, amending the silver purchase agreement from a fixed term to life-of-mine allows our shareholders to continue benefiting from San Dimas' excellent track record of exploration success. Overall, we feel the amended silver purchase agreement very effectively aligns Mala Noche's interests with Silver Wheaton's, incentivizing them to increase silver production to the benefit of both parties."

About San Dimas

About Silver Wheaton

CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS

For further information: Brad Kopp, Vice President, Investor Relations, Silver Wheaton Corp., Tel: 1-800-380-8687, Email: info@silverwheaton.com, Website: www.silverwheaton.com

Silver Wheaton acquires right of first refusal on silver streams from Ventana's La Bodega project

Mon, 17 May 2010 13:37:00 -0400

TSX: SLW

NYSE: SLW

VANCOUVER, May 17 /CNW/ - Silver Wheaton Corp. ("Silver Wheaton" or the "Company") (TSX, NYSE:SLW) announces that it has acquired, by way of a private placement financing, 1.8 million units in Ventana Gold Corp. ("Ventana") (TSX:VEN) at a price of C$11.50 per unit for total consideration of C$20,700,000. The Units are comprised of one common share and one-half of one common share purchase warrant. Each whole warrant entitles the holder to purchase one common share of Ventana at a price of C$15.00 for a period of one year from the date of closing of the transaction. As part of this transaction, Silver Wheaton has been granted a right of first refusal over any silver streams relating to all of Ventana's Colombian properties with an area of interest covering a 5 kilometre radius from the property boundaries. Ventana's flagship asset is the high-grade gold-silver La Bodega project.

"We are pleased to have acquired a right of first refusal on this very promising project," said Peter Barnes, Chief Executive Officer of Silver Wheaton. "Drill results to date suggest that La Bodega has the potential to host a world-class gold deposit, with substantial silver by product credits. As the project advances, we look forward to working with Ventana towards completing a silver streaming agreement."

Silver Wheaton has acquired Ventana shares for investment purposes and may acquire or dispose of its beneficial ownership, control or direction over securities through market transactions, private placements, treasury issuances or otherwise as circumstances or market conditions warrant or arise.

ABOUT LA BODEGA

Ventana's flagship La Bodega gold-silver project is located in northeastern Columbia immediately adjacent to Greystar Resource Ltd.'s Angostura gold-silver project. Ventana has also signed an agreement to acquire the La Baja project, which is strategically located immediately to the southwest of the La Bodega project, giving Ventana ownership of a large land package within a prolific gold district.

The La Bodega project consists of two newly discovered, large, high-grade zones of gold-silver mineralization known as La Bodega and La Mascota. The project has excellent road access and is close to existing infrastructure including power and water. In addition to undertaking an aggressive drill program, with a focus on expanding the high-grade La Mascota zone, Ventana is progressing engineering studies to develop the deposit.

ABOUT SILVER WHEATON

CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS

Silver Wheaton first quarter net earnings almost triple, compared to 2009

Wed, 12 May 2010 18:00:00 -0400

    <<
    TSX: SLW
    NYSE: SLW
    >>

VANCOUVER, May 12 /CNW/ - Silver Wheaton Corp. ("Silver Wheaton" or the "Company") (TSX, NYSE:SLW) is pleased to announce its unaudited results for the first quarter ended March 31, 2010.

    <<
    FIRST QUARTER HIGHLIGHTS
    -------------------------------------------------------------------------

    -   Net earnings almost tripled to US$44.6 million (US$0.13 per share),
        compared to US$15.1 million (US$0.06 per share) in 2009.

    -   Operating cash flows increased 149% to US$57.6 million (US$0.17 per
        share)(1), compared with US$23.1 million (US$0.09 per share)(1) in
        2009.

    -   Attributable silver equivalent production of 5.5 million ounces (4.9
        million ounces of silver and 7,700 ounces of gold), representing an
        increase of 68% over the comparable period in 2009.

    -   Silver equivalent sales of 5.0 million ounces (4.4 million ounces of
        silver and 8,600 ounces of gold), representing an increase of 58%
        over the comparable period in 2009.

    -   Total cash costs(1) of US$4.04 per silver equivalent ounce compared
        to US$3.97 per ounce in 2009.

    -   Cash operating margin(1) increased by 66% to US$13.16 per silver
        equivalent ounce, compared to US$7.93 per ounce in 2009.

    -   Recorded first silver sales attributable to the sulphide process line
        at Goldcorp's Penasquito mine in Mexico. Silver production at
        Penasquito met expectations during the quarter and is anticipated to
        ramp up as the year progresses. Annual production attributable to
        Silver Wheaton from the mine is expected to average approximately 7
        million ounces of silver over the estimated 22 year mine life.

    -   Acquired an amount equal to 100% of the life of mine silver and gold
        production from Augusta Resource Corporation's ("Augusta") Rosemont
        Copper project ("Rosemont") in the United States. Once production
        commences, Rosemont is forecast to increase Silver Wheaton's
        long-term annual production by approximately 2.4 million ounces of
        silver, plus any gold production, estimated by Augusta to average up
        to 15,000 ounces of gold per annum.

    -   Converted the debenture with Pan American Silver Corp. ("Pan
        American") into an agreement to acquire an amount equal to 12.5% of
        the life of mine silver production from the Loma de La Plata zone of
        the Navidad project located in Argentina. Navidad is forecast to
        increase Silver Wheaton's long-term annual silver production by
        approximately 2 million ounces.

    -   Announced that attributable proven and probable reserves more than
        doubled in 2009, including an increase of 431 million ounces of
        silver and 220,000 ounces of gold, to a record 875 million silver
        equivalent ounces. In addition, attributable measured and indicated
        resources increased by 72%, including an increase of 141 million
        ounces of silver and 180,000 ounces of gold, to a record 366 million
        silver equivalent ounces. Attributable inferred resources increased
        by 4%, including an increase of 12 million ounces of silver and
        50,000 ounces of gold, to a record 408 million silver equivalent
        ounces.

    ------------------------------------
    (1) Refer to discussion on non-GAAP measures at the end of this press
        release.
    >>

"The first quarter represented a solid start to the year for us," said Peter Barnes, Chief Executive Officer of Silver Wheaton. "Production was in line with our forecasts and, with a 45% increase in our average realized silver price compared to the first quarter of 2009, our cash margin per ounce increased by 66%, demonstrating our ability to provide significant silver price leverage for shareholders. Penasquito continued its smooth production ramp-up, meeting or exceeding design operating parameters, which should result in a year of significant production growth for Silver Wheaton. We continue to forecast 2010 attributable silver equivalent production of 23.5 million ounces, a greater than 35% increase compared to 2009 levels."

"In February, two new precious metal streams were acquired, further strengthening our industry-leading production growth profile. We completed a transaction allowing us to purchase an amount equal to 100% of the life of mine silver and gold production from the Rosemont project in Arizona, and converted a debenture allowing us to acquire an amount equal to 12.5% of the life of mine silver production from a portion of the Navidad project in Argentina. These are both very high-quality advanced-stage development projects that are forecast to increase our silver equivalent production by approximately five million ounces per annum, once in production."

A conference call will be held Thursday, May 13, 2010, starting at 11:00 am (Eastern Time) to discuss these results. To participate in the live call use one of the following methods:

    <<
    Dial toll free from Canada or the US: 1-888-231-8191
    Dial from outside Canada or the US: 1-647-427-7450
    Pass code: 68638151
    Live audio webcast: www.silverwheaton.com

    Participants should dial in five to ten minutes before the call.

    The conference call will be recorded and you can listen to an archive of
    the call by one of the following methods:

    Dial toll free from Canada or the US: 1-800-642-1687
    Dial from outside Canada or the US: 1-416-849-0833
    Pass code: 68638151
    Archived audio webcast: www.silverwheaton.com
    >>

ABOUT SILVER WHEATON

CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS

    <<
    Consolidated Statement of Operations (unaudited)

                                                  Three Months Ended March 31
    (US dollars and shares in thousands,
     except per share amounts - unaudited)               2010        2009
    -------------------------------------------------------------------------

    Sales                                             $   85,938  $   37,572
    -------------------------------------------------------------------------

    Cost of sales                                         20,167      12,540
    Depletion                                             13,551       6,587
    -------------------------------------------------------------------------
                                                          33,718      19,127
    -------------------------------------------------------------------------
    Earnings from operations                              52,220      18,445
    -------------------------------------------------------------------------

    Expenses and other income
      General and administrative(1)                        7,195       4,578
      Loss (gain) on mark-to-market of
       warrants held                                         164          (3)
      Other                                                  231      (1,241)
    -------------------------------------------------------------------------
                                                           7,590       3,334
    -------------------------------------------------------------------------

    Net earnings                                      $   44,630  $   15,111
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    Basic earnings per share                          $     0.13  $     0.06
    Diluted earnings per share                        $     0.13  $     0.06
    Weighted average number of shares outstanding
      Basic                                              342,334     270,284
      Diluted                                            346,457     272,767
    -------------------------------------------------------------------------

    1)  Stock based compensation (a non-cash item)
        included in general and administrative        $    3,108  $    1,859



    Consolidated Balance Sheets (unaudited)

                                                       March 31  December 31
    (US dollars in thousands - unaudited)                2010        2009
    -------------------------------------------------------------------------

    Assets
    Current
      Cash and cash equivalents                       $  279,658  $  227,566
      Accounts receivable                                  5,364       4,881
      Other                                                  751       1,027
    -------------------------------------------------------------------------
                                                         285,773     233,474

    Long-term investments                                 77,358      73,747
    Silver and gold interests                          1,921,542   1,928,476
    Other                                                  1,427       1,527
    -------------------------------------------------------------------------
                                                      $2,286,100  $2,237,224
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    Liabilities
    Current
      Accounts payable                                $    2,126  $    5,397
      Accrued liabilities                                  3,844       4,578
      Current portion of bank debt                        28,560      28,560
      Current portion of silver interest payments due    132,988     130,788
    -------------------------------------------------------------------------
                                                         167,518     169,323

    Long-term portion of bank debt                       100,040     107,180
    Long-term portion of silver interest payments due    240,779     236,796
    -------------------------------------------------------------------------
                                                         508,337     513,299
    -------------------------------------------------------------------------

    Shareholders' Equity
    Issued capital and contributed surplus             1,339,760   1,333,191
    -------------------------------------------------------------------------

    Retained earnings                                    388,464     343,834
    Accumulated other comprehensive income                49,539      46,900
    -------------------------------------------------------------------------
                                                         438,003     390,734
    -------------------------------------------------------------------------
                                                       1,777,763   1,723,925
    -------------------------------------------------------------------------
                                                      $2,286,100  $2,237,224
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------



    Consolidated Statement of Cash Flows (unaudited)

                                                 Three Months Ended March 31
    (US dollars in thousands - unaudited)                2010        2009
    -------------------------------------------------------------------------

    Operating Activities
    Net earnings                                      $   44,630  $   15,111
    Items not affecting cash
      Depreciation and depletion                          13,616       6,648
      Stock based compensation                             3,108       1,859
      Loss (gain) on mark-to-market of warrants held         164          (3)
      Other                                                  127         515
    Change in non-cash operating working capital          (4,045)     (1,010)
    -------------------------------------------------------------------------
    Cash generated by operating activities                57,600      23,120
    -------------------------------------------------------------------------

    Financing Activities
    Bank debt repaid                                      (7,140)   (220,640)
    Shares issued                                              -     230,424
    Share issue costs                                        (85)     (9,548)
    Share purchase warrants exercised                        167          86
    Share purchase options exercised                       3,294          87
    -------------------------------------------------------------------------
    Cash (applied to) generated by financing activities   (3,764)        409
    -------------------------------------------------------------------------

    Investing Activities
    Silver and gold interests                               (517)     (3,371)
    Long-term investments                                 (1,135)        138
    Other                                                   (212)        (50)
    -------------------------------------------------------------------------
    Cash applied to investing activities                  (1,864)     (3,283)
    -------------------------------------------------------------------------
    Effect of exchange rate changes on cash and cash
     equivalents                                             120        (612)
    -------------------------------------------------------------------------
    Increase in cash and cash equivalents                 52,092      19,634
    Cash and cash equivalents, beginning of period       227,566       7,110
    -------------------------------------------------------------------------
    Cash and cash equivalents, end of period          $  279,658  $   26,744
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------



    Results of Operations (unaudited)

                                           Three Months Ended March 31, 2010
    -------------------------------------------------------------------------
                                                                     Average
                                                                    realized
                                                                       price
                               Ounces       Ounces        Sales   (US$'s per
                           produced(3)        sold       (US$'s)       ounce)
    -------------------------------------------------------------------------
    Silver
      Luismin                   1,270        1,287  $    22,239  $     17.28
      Zinkgruvan                  387          498        8,557        17.19
      Yauliyacu                   737          581       10,135        17.44
      Penasquito                  520          424        7,375        17.40
      Minto                        62           47          789        16.61
      Cozamin                     401          281        4,813        17.13
      Barrick(5)                  778          783       13,498        17.24
      Other(6)                    791          526        9,056        17.23
    -------------------------------------------------------------------------
                                4,946        4,427  $    76,462  $     17.27
    Gold

      Minto                     7,651        8,611  $     9,476  $     1,100
    -------------------------------------------------------------------------

    Silver Equivalent(7)        5,453        4,998  $    85,938  $     17.20
    Corporate
    -------------------------------------------------------------------------
                                5,453        4,998  $    85,938  $     17.20
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                           Three Months Ended March 31, 2010
    -------------------------------------------------------------------------
                                                                   Cash flow
                                Total        Total          Net         from
                            cash cost    depletion     earnings     (used in)
                           (US$'s per   (US$'s per        (loss)  operations
                             ounce)(4)       ounce)      (US$'s)      (US$'s)
    -------------------------------------------------------------------------
    Silver
      Luismin             $      4.04  $      0.79  $    16,028  $    17,039
      Zinkgruvan                 4.04         1.72        5,692        5,704
      Yauliyacu                  3.97         3.47        5,809        7,849
      Penasquito                 3.90         2.54        4,644        5,722
      Minto                      3.90         3.69          429          408
      Cozamin                    4.00         4.62        2,391        4,035
      Barrick(5)                 3.90         3.50        7,705        8,410
      Other(6)                   3.90         4.51        4,637        7,515
    -------------------------------------------------------------------------
                          $      3.97  $      2.61  $    47,335  $    56,682
    Gold

      Minto               $       300  $       233  $     4,885  $     5,752
    -------------------------------------------------------------------------

    Silver Equivalent(7)  $      4.04         2.71  $    52,220  $    62,434
    Corporate                                            (7,590)      (4,834)
    -------------------------------------------------------------------------
                          $      4.04  $      2.71  $    44,630  $    57,600
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    1)  All figures in thousands except gold ounces produced and sold and per
        ounce amounts.
    2)  Ounces produced represent the quantity of silver and gold contained
        in concentrate or doré prior to smelting or refining deductions.
    3)  Certain production figures are based on management estimates.
    4)  Refer to discussion on non-GAAP measures at the end of this press
        release.
    5)  Comprised of the Lagunas Norte, Pierina and Veladero mines.
    6)  Comprised of the La Negra, Mineral Park, Stratoni, Campo Morado and
        Neves-Corvo mines.
    7)  Gold ounces produced and sold are converted to a silver equivalent
        basis on the ratio of the average silver price received to the
        average gold price received during the period. The conversion ratio
        for the three months ended March 31, 2010 was 66.26.



                                           Three Months Ended March 31, 2009
    -------------------------------------------------------------------------
                                                                     Average
                                                                    realized
                                                                       price
                               Ounces       Ounces        Sales   (US$'s per
                             produced        sold       (US$'s)       ounce)
    -------------------------------------------------------------------------
    Silver
      Luismin                   1,375        1,403  $    17,174  $     12.24
      Zinkgruvan                  461          451        5,416        12.01
      Yauliyacu                   739          743        8,689        11.69
      Penasquito                  160          135        1,562        11.55
      Other(4)                    507          426        4,731        11.11
    -------------------------------------------------------------------------
                                3,242        3,158  $    37,572  $     11.90
    Corporate
    -------------------------------------------------------------------------
                                3,242        3,158  $    37,572  $     11.90
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                           Three Months Ended March 31, 2009
    -------------------------------------------------------------------------
                                                                   Cash flow
                                Total        Total          Net         from
                            cash cost    depletion     earnings     (used in)
                           (US$'s per   (US$'s per        (loss)  operations
                             ounce)(3)       ounce)      (US$'s)      (US$'s)
    -------------------------------------------------------------------------
    Silver
      Luismin             $      4.02  $      0.82  $    10,376  $    11,532
      Zinkgruvan                 4.02         1.78        2,800        3,220
      Yauliyacu                  3.90         3.47        3,213        5,791
      Penasquito                 3.90         2.35          717        1,034
      Other(4)                   3.90         4.07        1,339        3,503
    -------------------------------------------------------------------------
                          $      3.97  $      2.09  $    18,445  $    25,080
    Corporate                                            (3,334)      (1,960)
    -------------------------------------------------------------------------
                          $      3.97  $      2.09  $    15,111  $    23,120
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    1)  All figures in thousands except per ounce amounts.
    2)  Ounces produced represent the quantity of silver contained in
        concentrate or doré prior to smelting or refining deductions.
    3)  Refer to discussion on non-GAAP measures at the end of this press
        release.
    4)  Comprised of the La Negra, Campo Morado and Stratoni mines.
    >>

Non-GAAP Measures

Silver Wheaton has included, throughout this document, certain non-GAAP performance measures, including total cash costs of silver and gold on a sales basis, as well as operating cash flows per share and cash operating margin. These non-GAAP measures do not have any standardized meaning prescribed by GAAP, nor are they necessarily comparable with similar measures presented by other companies. Cash costs are presented as they represent an industry standard method of comparing certain costs on a per unit basis. Cash operating margin is defined as the realized selling price less total cash cost per silver equivalent ounce. The Company believes that certain investors use this information to evaluate the Company's performance. The data is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. During the three months ended March 31, 2010, the Company's total cash costs, which were equivalent to the Company's cost of sales in accordance with GAAP, were US$3.97 per ounce of silver and US$300 per ounce of gold (three months ended March 31, 2009 - US$3.97 per ounce of silver).

Silver Wheaton to release first quarter 2010 results on May 12th

Mon, 12 Apr 2010 17:00:00 -0400

TSX:SLW

NYSE:SLW

VANCOUVER, April 12 /CNW/ - Silver Wheaton Corp. (TSX, NYSE:SLW) will release first quarter financial results on Wednesday, May 12, 2010, after market close.

A conference call will be held Thursday, May 13, 2010, starting at 11:00 am (Eastern Time) to discuss these results. To participate in the live call use one of the following methods:

    Dial toll free from Canada or the US:      1-888-231-8191

    Dial from outside Canada or the US:        1-647-427-7450

    Pass code:                                 68638151

    Live audio webcast:                        www.silverwheaton.com

Participants should dial in five to ten minutes before the call.

The conference call will be recorded and you can listen to an archive of the call by one of the following methods:

    Dial toll free from Canada or the US:      1-800-642-1687

    Dial from outside Canada or the US:        1-416-849-0833

    Pass code:                                 68638151

    Archived audio webcast:                    www.silverwheaton.com

For further information: Brad Kopp, Vice President, Investor Relations, Silver Wheaton Corp., Tel: 1-800-380-8687, Email: info@silverwheaton.com, Website: www.silverwheaton.com

Silver Wheaton files 2009 audited financial statements and provides details of Annual General Meeting

Wed, 31 Mar 2010 17:00:00 -0400

TSX: SLW

NYSE: SLW

VANCOUVER, March 31 /PRNewswire-FirstCall/ - Silver Wheaton Corp. ("Silver Wheaton" or the "Company") (TSX, NYSE:SLW) announces that its 2009 audited financial statements have been filed on SEDAR. In addition, a Form 40-F report has been filed with the Securities and Exchange Commission and is available on EDGAR. Both documents are also available on the Company's website at www.silverwheaton.com. No changes were made to the 2009 unaudited financial results released on March 4, 2010.

Shareholders may also receive a copy of Silver Wheaton's audited financial statements, without charge, upon request to Silver Wheaton's Investor Relations Department, Suite 3150, 666 Burrard St., Vancouver, BC, Canada V6C 2X8 or to info@silverwheaton.com.

Annual General Meeting of Shareholders

Silver Wheaton will hold the Annual General Meeting of Shareholders in the Mandarin Ballroom of the Metropolitan Hotel Toronto, 108 Chestnut Street, Toronto, Ontario, on May 20, 2010 at 2:00 p.m. (Eastern Time).

A live audio webcast of the Annual General Meeting of Shareholders will be available at www.silverwheaton.com and will also be archived for later access.

About Silver Wheaton

CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS

SOURCE Silver Wheaton Corp.

Silver Wheaton reports record financial and operating results for 2009

Thu, 04 Mar 2010 19:15:00 -0500

TSX: SLW

NYSE: SLW

VANCOUVER, March 4 /PRNewswire-FirstCall/ - Silver Wheaton Corp. ("Silver Wheaton" or the "Company") (TSX, NYSE:SLW) is pleased to announce its unaudited results for the fourth quarter and the year ended December 31, 2009. The Company had record quarterly and annual production, sales, earnings and cash flows from operations.

    FOURTH QUARTER HIGHLIGHTS (3 Months)
    -------------------------------------------------------------------------
    -   Net earnings of US$50.8 million (US$0.15 per share) compared to a net
        loss of US$54.2 million (US$0.22 per share) for the comparable period
        in 2008, which included a US$64.0 million non-cash write-down of the
        Company's long-term investments.

    -   Operating cash flows of US$71.0 million (US$0.21 per share)(1)
        compared to US$15.4 million (US$0.07 per share)(1) for the comparable
        period in 2008.

    -   Attributable silver equivalent production of 5.7 million ounces
        (5.1 million ounces of silver and 8,800 ounces of gold), representing
        an increase of 77% over the comparable period in 2008.

    -   Silver equivalent sales of 5.1 million ounces (4.7 million ounces of
        silver and 7,000 ounces of gold), representing an increase of 87%
        over the comparable period in 2008. Total cash costs were US $4.04(1)
        per silver equivalent ounce (2008 - US$3.97(1) per silver ounce).

    -   Goldcorp Inc. ("Goldcorp") announced that the first silver-bearing
        lead and zinc concentrate shipments had commenced at their Penasquito
        mine in Mexico with preliminary metal grades, recoveries and
        concentrate quality meeting or exceeding expectations. Annual
        production attributable to Silver Wheaton from Penasquito is expected
        to average approximately 7.0 million ounces of silver over the
        estimated 22 year mine life.

    2009 HIGHLIGHTS (12 Months)
    -------------------------------------------------------------------------
    -   Net earnings of US$117.9 million (US$0.39 per share) compared to US
        $17.3 million (US$0.07 per share) in 2008, which included a US
        $64.0 million non-cash write down of the Company's long-term
        investments recorded during the fourth quarter of 2008.

    -   Operating cash flows of US$165.9 million (US$0.54 per share)(1)
        compared to US$111.1 million (US$0.48 per share)(1) in 2008.

    -   Attributable silver equivalent production of 17.4 million ounces
        (16.2 million ounces of silver and 19,300 ounces of gold),
        representing an increase of 46% compared to 2008.

    -   Silver equivalent sales of 15.8 million ounces (14.7 million ounces
        of silver and 17,000 ounces of gold), representing an increase of 42%
        compared to 2008. Total cash costs were US$4.03(1) per silver
        equivalent ounce (2008 - US$3.94 per silver ounce).

    -   Acquired Silverstone Resources Corp. ("Silverstone") through the
        issuance of 23,434,332 common shares and 1,367,364 share purchase
        options. The transaction is expected to increase average annual
        production by approximately 4 million silver equivalent ounces.

    -   Acquired an amount equal to 25% of the life of mine silver production
        from Barrick Gold Corporation's ("Barrick") Pascua-Lama project, as
        well as 100% of the silver production from its Lagunas Norte, Pierina
        and Veladero mines until the end of 2013. The acquisition is forecast
        to increase average annual silver production by approximately
        2.4 million ounces until Pascua-Lama commences production in 2013, at
        which time average annual silver production is forecast to increase
        by approximately 9 million ounces for the first five years of Pascua-
        Lama's 25 year mine life.

    -   Completed two equity financings raising gross proceeds of
        CDN$287.5 million and US$287.5 million respectively, through the
        issuance of 61,841,250 shares. The proceeds were primarily used to
        repay all outstanding debt under the US$400 million revolving bank
        loan facility and to fund a portion of the Barrick silver stream
        acquisition, with the remaining balance being available to fund
        future silver stream acquisitions.

    -   Subsequent to year-end, acquired an amount equal to 100% of the life
        of mine silver and gold production from Augusta Resource
        Corporation's ("Augusta") Rosemont Copper project ("Rosemont") in the
        United States. Rosemont is forecast to increase Silver Wheaton's
        long-term annual production by approximately 2.4 million ounces of
        silver, plus any gold production, estimated by Augusta to average up
        to 15,000 ounces of gold per annum, commencing in 2012.

    -   Subsequent to year-end, converted the debenture with Pan American
        Silver Corp. ("Pan American") into an agreement to acquire an amount
        equal to 12.5% of the life of mine silver production from the Loma de
        La Plata zone of the Navidad project located in Argentina. Navidad is
        forecast to increase Silver Wheaton's long-term annual silver
        production by approximately 2 million ounces.

    ------------------------
    (1) Refer to discussion on non-GAAP measures at the end of this press
        release.

"2009 was a transformational year for Silver Wheaton," said Peter Barnes, Chief Executive Officer of Silver Wheaton. "With the completion of some of our best acquisitions to date, we successfully raised our industry-leading production growth profile to a new level and laid the groundwork for continued strong organic growth long into the future. Our production of 17.4 million silver equivalent ounces was a record for the Company and represented a 46% increase from the prior year. Additionally, we closed the year with our second consecutive record-setting quarter, leading to record annual sales, earnings and cash flows. As the year progressed, Silver Wheaton clearly solidified its leadership position as the largest and fastest growing of all metals streaming and royalty companies in the world."

"This year promises to be equally exciting with Penasquito, our cornerstone growth asset for the next several years, starting to significantly ramp-up silver production.

Furthermore, as a result of the Barrick and Silverstone acquisitions which closed part way through 2009, our shareholders are now poised to benefit from a full year of production from six high-quality mines. Within our existing silver stream portfolio, we are forecasting silver equivalent production of 23.5 million ounces in 2010, more than a 35% increase compared to 2009."

"Already, we have continued on our path of accretive growth with the addition of two new silver streams in early 2010. We acquired an amount equal to 100% of the life of mine silver and gold production from the Rosemont project in Arizona, and converted a debenture allowing us to acquire an amount equal to 12.5% of the life of mine silver production from a portion of the Navidad project in Argentina. These are both very high-quality assets and the Navidad transaction now gives us a stake in three of the top five silver deposits in the world. With cash on hand of over US$227 million at the end of 2009, a fully undrawn US$400 million revolving credit facility and strong cash flows from operations, we are exceptionally well-positioned to pursue additional accretive acquisitions."

2010 and Long-Term Silver Equivalent Production Forecast

The Company estimates, based upon its current agreements, to have annual attributable production in 2010 of 22.2 million ounces of silver and 20,000 ounces of gold, for total silver equivalent production of 23.5 million ounces. This represents an increase of more than 35% compared to 2009. Total cash costs are anticipated to be approximately US$4 per silver equivalent ounce. By 2013, annual production is anticipated to increase to approximately 38 million ounces of silver and 59,000 ounces of gold, for total production of over 40 million silver equivalent ounces. Attributable mine-by-mine actual 2009 production and forecast 2010 production is as follows:

                                                     ------------------------
                                                     Attributable Production
    -------------------------------------------------------------------------
                                                         2009        2010
                                                       Actual(2)   Forecast
    -------------------------------------------------------------------------
    Silver ounces produced (000's)
      Luismin                                              5,349       5,100
      Zinkgruvan                                           1,861       2,050
      Yauliyacu                                            3,142       3,250
      Penasquito                                             928       3,500
      Minto                                                  172         300
      Cozamin                                              1,016       1,650
      Barrick(3)                                             979       2,850
      Other(4)                                             2,737       3,500

    -------------------------------------------------------------------------
                                                          16,184      22,200
    Gold ounces produced (000's in silver equivalent)
      Minto                                              1,213(5)    1,300(5)
    -------------------------------------------------------------------------
    Silver equivalent ounces produced (000's)             17,397      23,500
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    (1) Ounces produced represent the quantity of silver and gold contained
        in concentrate or doré prior to smelting or refining deductions.
    (2) Certain production figures are based on management estimates.
    (3) Includes the Lagunas Norte, Pierina and Veladero mines and is based
        on historical production rates.
    (4) Includes the Keno Hill, Campo Morado, La Negra, Mineral Park, Neves-
        Corvo and Stratoni mines.
    (5) The Minto mine produced 19,321 ounces of gold in 2009 and is forecast
        to produce approximately 20,000 ounces of gold in 2010.

Increased silver equivalent production in 2010 is largely due to the continued production ramp-up at Goldcorp's Penasquito mine, coupled with the receipt of a full year of production from the mines underlying the Barrick and Silverstone silver stream acquisitions completed in 2009.

A conference call to discuss these results will be held Friday, March 5, 2010, at 11:00 am (Eastern Time). To participate in the live call use one of the following methods:

    Dial toll free from Canada or the US: 1-888-231-8191
    Dial from outside Canada or the US: 1-647-427-7450
    Live audio webcast: www.silverwheaton.com

    Participants should dial in five to ten minutes before the call.

    The conference call will be recorded and you can listen to an archive of
the call by one of the following methods:

    Dial toll free from Canada or the US: 1-800-642-1687
    Dial from outside Canada or the US: 1-416-849-0833
    Pass code: 53023062
    Archived audio webcast: www.silverwheaton.com

ABOUT SILVER WHEATON

CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS

    Summarized Financial Results (unaudited)

                                                Years Ended December 31
                                         ------------------------------------
    (US dollars)                             2009        2008        2007
    -------------------------------------------------------------------------
    Silver equivalent sales ($000's)(1)   $  239,293  $  166,719  $  175,434
      Silver equivalent ounces (000's)(1) $   15,823  $   11,137  $   13,068
      Average realized silver equivalent
       price ($'s per ounce)              $    15.13  $    14.97  $    13.42
      Total cash cost ($'s per silver
       equivalent ounce)(2)               $     4.03  $     3.94  $     3.91
    -------------------------------------------------------------------------
    Net earnings ($000's)(3)              $  117,924  $   17,252  $   91,862
    -------------------------------------------------------------------------
    Earnings per share
      Basic                               $     0.39  $     0.07  $     0.41
      Diluted                             $     0.38  $     0.07  $     0.37
    -------------------------------------------------------------------------
    Cash flow from operations ($000's)    $  165,932  $  111,142  $  119,261
    -------------------------------------------------------------------------
    Total assets ($000's)                 $2,237,224  $1,270,646  $1,208,474
    -------------------------------------------------------------------------
    Total liabilities ($000's)            $  513,299  $  382,621  $  426,243
    -------------------------------------------------------------------------
    Shareholders' equity ($000's)         $1,723,925  $  888,025  $  782,231
    -------------------------------------------------------------------------
    (1) Gold ounces sold are converted to a silver equivalent basis on the
        ratio of the average silver price received to the average gold price
        received during the period.
    (2) Refer to discussion on non-GAAP measures at the end of this press
        release.
    (3) Includes a $64.0 million non-cash write-down of the Company's long-
        term investments held recorded during the fourth quarter of 2008.



    Consolidated Statement of Operations (unaudited)

                                                Years Ended December 31
                                         ------------------------------------
    (US dollars and shares in thousands,
     except per share amounts)               2009        2008        2007
    -------------------------------------------------------------------------
    Sales                                 $  239,293  $  166,719  $  175,434
    -------------------------------------------------------------------------
    Cost of sales                             63,715      43,890      51,059
    Depletion                                 41,156      19,491      21,705
    -------------------------------------------------------------------------
                                             104,871      63,381      72,764
    -------------------------------------------------------------------------
    Earnings from operations                 134,422     103,338     102,670
    -------------------------------------------------------------------------
    Expenses and other income
      General and administrative(1)           17,288      17,476      10,060
      Debt issue costs                             -         601           -
      (Gain) loss on mark-to-market of
       long-term investments held               (335)     65,066       1,839
      Other                                     (455)         30      (1,113)
    -------------------------------------------------------------------------
                                              16,498      83,173      10,786
    -------------------------------------------------------------------------

    Earnings before tax                      117,924      20,165      91,884
    Future income tax expense                      -       2,913          22
    -------------------------------------------------------------------------
    Net earnings                          $  117,924  $   17,252  $   91,862
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    1)  Stock based compensation
        (a non-cash item) included in
        general and administrative        $    4,010  $    5,530  $    2,735

    Basic earnings per share              $     0.39  $     0.07  $     0.41
    Diluted earnings per share            $     0.38  $     0.07  $     0.37
    Weighted average number of shares
     outstanding
      Basic                                  306,040     232,855     221,909
      Diluted                                309,500     249,244     246,728
    -------------------------------------------------------------------------



    Consolidated Balance Sheets (unaudited)

                                                     ------------------------
                                                       December    December
    (US dollars in thousands)                           31 2009     31 2008
    -------------------------------------------------------------------------

    Assets
    Current
      Cash and cash equivalents                       $  227,566  $    7,110
      Accounts receivable                                  4,881         772
      Other                                                1,027         816
    -------------------------------------------------------------------------
                                                         233,474       8,698

    Long-term investments                                 73,747      21,840
    Silver and gold interests                          1,928,476   1,238,368
    Other                                                  1,527       1,740
    -------------------------------------------------------------------------
                                                      $2,237,224  $1,270,646
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    Liabilities
    Current
      Accounts payable                                $    5,397  $    1,396
      Accrued liabilities                                  4,578       3,425
      Current portion of bank debt                        28,560      28,560
      Current portion of silver interest payments due    130,788           -
    -------------------------------------------------------------------------
                                                         169,323      33,381

    Long-term portion of bank debt                       107,180     349,240
    Long-term portion of silver interest payments due    236,796           -
    -------------------------------------------------------------------------
                                                         513,299     382,621
    -------------------------------------------------------------------------

    Shareholders' Equity
    Issued capital and contributed surplus             1,333,191     662,115
    -------------------------------------------------------------------------

    Retained earnings                                    343,834     225,910
    Accumulated other comprehensive income                46,900           -
    -------------------------------------------------------------------------
                                                         390,734     225,910
    -------------------------------------------------------------------------
                                                       1,723,925     888,025
    -------------------------------------------------------------------------
                                                      $2,237,224  $1,270,646
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------



    Consolidated Statement of Cash Flows (unaudited)

                                                Years Ended December 31
                                         ------------------------------------
    (US dollars in thousands)                2009        2008        2007
    -------------------------------------------------------------------------
    Operating Activities
    Net earnings                          $  117,924  $   17,252  $   91,862
    Items not affecting cash
      Depreciation and depletion              41,413      19,491      21,705
      Future income tax expense                    -       2,913          22
      Stock based compensation                 4,010       5,530       2,735
      (Gain) loss on mark-to-market of
       long-term investments held               (335)     65,066       1,839
      Other                                      967         398         125

    Change in non-cash operating
     working capital                           1,953         492         973
    -------------------------------------------------------------------------
    Cash generated by operating activities   165,932     111,142     119,261
    -------------------------------------------------------------------------

    Financing Activities
    Bank debt drawn down                     140,200     198,500     446,000
    Bank debt repaid                        (382,260)   (240,560)    (26,140)
    Promissory note repaid                         -           -     (20,000)
    Shares issued                            517,955           -           -
    Share issue costs                        (22,117)     (1,939)          -
    Warrants exercised                        13,779     115,796         293
    Share purchase options exercised           8,776       2,667       7,347
    -------------------------------------------------------------------------
    Cash generated by financing activities   276,333      74,464     407,500
    -------------------------------------------------------------------------

    Investing Activities
    Silver interests                        (220,644)   (184,532)   (557,940)
    Acquisition of Silverstone Resources
     Corp., net of cash acquired               2,281           -           -
    Other                                     (2,849)     (4,348)    (19,084)
    -------------------------------------------------------------------------
    Cash applied to investing activities    (221,212)   (188,880)   (577,024)
    -------------------------------------------------------------------------
    Effect of exchange rate changes on
     cash and cash equivalents                  (597)        419         234
    -------------------------------------------------------------------------
    Increase (decrease) in cash and cash
     equivalents                             220,456      (2,855)    (50,029)
    Cash and cash equivalents, beginning
     of year                                   7,110       9,965      59,994
    -------------------------------------------------------------------------
    Cash and cash equivalents, end
     of year                              $  227,566  $    7,110  $    9,965
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------



    Results of Operations (unaudited)

                                                Year Ended December 31, 2009
    -------------------------------------------------------------------------
                                                                     Average
                                                                    realized
                                                                       price
                               Ounces       Ounces                  ($'s per
                           produced(2)        sold        Sales        ounce)
    -------------------------------------------------------------------------
    Silver (000's)
      Luismin                   5,349        5,355  $    79,100  $     14.77
      Zinkgruvan                1,861        1,710       25,569        14.95
      Yauliyacu                 3,142        3,014       44,829        14.87
      Penasquito                  928          646        9,398        14.55
      Minto                       172          122        2,054        16.72
      Cozamin                   1,016          956       15,005        15.70
      Barrick(4)                  979          938       16,000        17.06
      Other(5)                  2,737        2,003       29,488        14.71
    -------------------------------------------------------------------------
                               16,184       14,744  $   221,443  $     15.02
    Gold
      Minto                    19,321       17,132  $    17,850  $     1,042
    -------------------------------------------------------------------------
    Silver Equivalent
     (000's)(6)                17,397       15,823  $   239,293  $     15.13
    Corporate
    -------------------------------------------------------------------------
                               17,397       15,823  $   239,293  $     15.13
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                                Year Ended December 31, 2009
    -------------------------------------------------------------------------
                                Total        Total                 Cash flow
                            cash cost    depletion          Net         from
                             ($'s per     ($'s per     earnings     (used in)
                             ounce)(3)       ounce)       (loss)  operations
    -------------------------------------------------------------------------
    Silver (000's)
      Luismin             $      4.02  $      0.70  $    53,804  $    57,544
      Zinkgruvan                 4.02         1.78       15,645       19,066
      Yauliyacu                  3.93         3.47       22,520       32,980
      Penasquito                 3.90         2.35        5,357        6,878
      Minto                      3.90         4.48        1,025        1,599
      Cozamin                    4.00         4.71        6,686       12,186
      Barrick(4)                 3.90         3.56        9,004       12,343
      Other(5)                   3.90         4.53       12,600       21,174
    -------------------------------------------------------------------------
                          $      3.97  $      2.46  $   126,641  $   163,770
    Gold
      Minto               $       300  $       288  $     7,781  $    12,865
    -------------------------------------------------------------------------
    Silver Equivalent
     (000's)(6)           $      4.03  $      2.60  $   134,422  $   176,635
    Corporate                                           (16,498)     (10,703)
    -------------------------------------------------------------------------
                          $      4.03  $      2.60  $   117,924  $   165,932
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    (1) Ounces produced represent the quantity of silver and gold contained
        in concentrate or doré prior to smelting or refining deductions.
    (2) Certain production figures are based on management estimates.
    (3) Refer to discussion on non-GAAP measures at the end of this press
        release.
    (4) Comprised of the Lagunas Norte, Pierina and Veladero mines.
    (5) Comprised of the La Negra, Mineral Park, Stratoni, Campo Morado and
        Neves-Corvo mines.
    (6) Gold ounces produced and sold are converted to a silver equivalent
        basis on the ratio of the average silver price received to the
        average gold price received during the period.



                                                Year Ended December 31, 2008
    -------------------------------------------------------------------------
                                                                     Average
                                                                    realized
                                                                       price
                               Ounces       Ounces                  ($'s per
                             produced         sold        Sales        ounce)
    -------------------------------------------------------------------------
    Silver (000's)
      Luismin                   5,261        5,434  $    81,293  $     14.96
      Zinkgruvan                1,695        1,563       23,476        15.02
      Yauliyacu                 3,184        2,777       42,634        15.35
      Penasquito                  339          288        3,411        11.84
      Other(3)                  1,436        1,075       15,905        14.80
    -------------------------------------------------------------------------
                               11,915       11,137  $   166,719  $     14.97
    Corporate
    -------------------------------------------------------------------------
                               11,915       11,137  $   166,719  $     14.97
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                                Year Ended December 31, 2008
    -------------------------------------------------------------------------

                                Total        Total                 Cash flow
                            cash cost    depletion          Net         from
                             ($'s per     ($'s per     earnings     (used in)
                             ounce)(2)       ounce)       (loss)  operations
    -------------------------------------------------------------------------
    Silver (000's)
      Luismin             $      3.97  $      0.42  $    57,464  $    59,735
      Zinkgruvan                 3.96         1.57       14,840       17,773
      Yauliyacu                  3.90         3.47       22,159       31,806
      Penasquito                 3.90         2.42        1,591        2,287
      Other(3)                   3.90         4.12        7,284       11,333
    -------------------------------------------------------------------------
                          $      3.94  $      1.75  $   103,338  $   122,934
    Corporate                                        (86,086)(4)     (11,792)
    -------------------------------------------------------------------------
                          $      3.94  $      1.75  $    17,252  $   111,142
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    (1) Ounces produced represent the quantity of silver contained in
        concentrate or doré prior to smelting or refining deductions.
    (2) Refer to discussion on non-GAAP measures at the end of this press
        release.
    (3) Comprised of the La Negra and Stratoni mines.
    (4) Includes a $ 64.0 million non-cash write-down of long-term
        investments held recorded in the fourth quarter of 2008.


                                        Three Months Ended December 31, 2009
    -------------------------------------------------------------------------
                                                                     Average
                                                                    realized
                                                                       price
                               Ounces       Ounces                  ($'s per
                           produced(2)        sold        Sales        ounce)
    -------------------------------------------------------------------------
    Silver (000's)
      Luismin                   1,333        1,321  $    23,398  $     17.71
      Zinkgruvan                  505          357        6,547        18.32
      Yauliyacu                   783        1,027       17,948        17.48
      Penasquito                  441          191        3,293        17.24
      Minto                        89           55        1,018        18.45
      Cozamin                     388          359        6,334        17.66
      Barrick(4)                  756          751       12,991        17.31
      Other(5)                    842          613       10,880        17.76
    -------------------------------------------------------------------------
                                5,137        4,674  $    82,409  $     17.63
    Gold
      Minto                     8,800        7,033  $     8,142  $     1,158
    -------------------------------------------------------------------------
    Silver Equivalent
     (000's)(6)                 5,689        5,115  $    90,551  $     17.70
    Corporate
    -------------------------------------------------------------------------
                                5,689        5,115  $    90,551  $     17.70
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                        Three Months Ended December 31, 2009
    -------------------------------------------------------------------------
                                Total        Total                 Cash flow
                            cash cost    depletion          Net         from
                             ($'s per     ($'s per     earnings     (used in)
                             ounce)(3)       ounce)       (loss)  operations
    -------------------------------------------------------------------------
    Silver (000's)
      Luismin             $      4.04  $      0.65  $    17,195  $    18,060
      Zinkgruvan                 4.03         1.78        4,470        6,273
      Yauliyacu                  3.94         3.47       10,337       13,899
      Penasquito                 3.90         2.35        2,098        2,548
      Minto                      3.90         4.48          556          790
      Cozamin                    4.00         4.72        3,207        4,569
      Barrick(4)                 3.90         3.59        7,373       10,064
      Other(5)                   3.90         4.60        5,676        8,221
    -------------------------------------------------------------------------
                          $      3.97  $      2.77  $    50,912  $    64,424
    Gold
      Minto               $       300  $       288  $     4,008  $     7,342
    -------------------------------------------------------------------------
    Silver Equivalent
     (000's)(6)           $      4.04  $      2.93  $    54,920  $    71,766
    Corporate                                            (4,109)        (785)
    -------------------------------------------------------------------------
                          $      4.04  $      2.93  $    50,811  $    70,981
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    (1) Ounces produced represent the quantity of silver and gold contained
        in concentrate or doré prior to smelting or refining deductions.
    (2) Certain production figures are based on management estimates.
    (3) Refer to discussion on non-GAAP measures at the end of this press
        release.
    (4) Comprised of the Lagunas Norte, Pierina and Veladero mines.
    (5) Comprised of the La Negra, Mineral Park, Stratoni, Campo Morado and
        Neves-Corvo mines.
    (6) Gold ounces produced and sold are converted to a silver equivalent
        basis on the ratio of the average silver price received to the
        average gold price received during the period.



                                        Three Months Ended December 31, 2008
    -------------------------------------------------------------------------
                                                                     Average
                                                                    realized
                                                                       price
                               Ounces       Ounces                  ($'s per
                             produced         sold        Sales        ounce)
    -------------------------------------------------------------------------
    Silver (000's)
      Luismin                   1,323        1,312  $    13,265  $     10.11
      Zinkgruvan                  374          303        2,953         9.75
      Yauliyacu                   787          602        6,288        10.45
      Penasquito                  198          190        1,960        10.32
      Other(3)                    535          331        4,259        12.85
    -------------------------------------------------------------------------
                                3,217        2,738  $    28,725  $     10.49
    Corporate
    -------------------------------------------------------------------------
                                3,217        2,738  $    28,725  $     10.49
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

                                        Three Months Ended December 31, 2008
    -------------------------------------------------------------------------

                                Total        Total                 Cash flow
                            cash cost    depletion          Net         from
                             ($'s per     ($'s per     earnings     (used in)
                             ounce)(2)       ounce)       (loss)  operations
    -------------------------------------------------------------------------
    Silver (000's)
      Luismin             $      4.02  $      0.42  $     7,442  $     7,989
      Zinkgruvan                 3.96         1.57        1,277        1,524
      Yauliyacu                  3.90         3.47        1,848        3,940
      Penasquito                 3.90         2.42          760        1,220
      Other(3)                   3.90         4.45        1,491        2,427
    -------------------------------------------------------------------------
                          $      3.97  $      1.84  $    12,818  $    17,100
    Corporate                                        (67,011)(4)      (1,654)
    -------------------------------------------------------------------------
                          $      3.97  $      1.84  $   (54,193) $    15,446
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    (1) Ounces produced represent the quantity of silver contained in
        concentrate or doré prior to smelting or refining deductions.
    (2) Refer to discussion on non-GAAP measures at the end of this press
        release.
    (3) Comprised of the La Negra and Stratoni mines.
    (4) Includes a $64.0 million non-cash write-down of long-term investments
        held recorded in the fourth quarter of 2008.

Non-GAAP Measures

Silver Wheaton has included, throughout this press release, certain non-GAAP performance measures, including total cash costs of silver and gold on a sales basis as well as operating cash flows per share. These non-GAAP measures do not have any standardized meaning prescribed by GAAP, nor are they necessarily comparable with similar measures presented by other companies. Cash costs are presented as they represent an industry standard method of comparing certain costs on a per unit basis. The Company believes that certain investors use this information to evaluate the Company's performance. The data is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. During the year ended December 31, 2009, the Company's total cash costs, which were equivalent to the Company's Cost of Sales in accordance with GAAP, were $3.97 per ounce of silver and $300 per ounce of gold (2008 - $3.94 per ounce of silver).

SOURCE Silver Wheaton Corp.