OREANDA-NEWS. GOLDCORP INC. (TSX: G, NYSE: GG) today announced gold production and preliminary cash costs for 2014 and provided production and cash cost guidance for 2015 and production forecasts for the five-year period through 2019.

Highlights

Record gold production of 886,000 ounces in the fourth quarter, resulting in 2014 gold production of a record 2.871 million ounces.

All-in sustaining costs2 total approximately USD 1,045 per ounce in the fourth quarter of 2014; all-in sustaining costs decreased 6% to approximately USD 950 per gold ounce for 2014.

Forecast 2015 gold production to grow approximately 20% to between 3.3 and 3.6 million ounces, in line with previous Company guidance after divestitures of Marigold and Wharf mines.

Forecast 2015 all-in sustaining costs expected between USD 875 and USD 950 per gold ounce.

Forecast 2015 capital spending expected to decrease to between USD 1.2 billion and USD 1.4 billion.

Commercial production achieved at Cerro Negro on January 1, 2015; Éléonore commercial production expected in the first quarter of 2015.

Goldcorp's year-end financial statements are scheduled to be released on February 19, 2015. The final calculation of capital and operating costs has not yet been completed, but all-in sustaining costs for the fourth quarter and 2014 are expected to be approximately USD 1,045 and USD 950 per ounce of gold, respectively. On a by-product2 basis, for the fourth quarter and 2014 costs are expected to be approximately USD 600 and USD 545 per ounce of gold, respectively.

"Goldcorp delivered another year of double-digit gold production growth at significantly lower costs in 2014," said Chuck Jeannes, Goldcorp President and Chief Executive Officer. "An excellent year from the flagship Peñasquito mine in Mexico and the achievement of production guidance at most mines in the portfolio nearly offset previously-reported production challenges at Los Filos and El Sauzal mines in Mexico. Despite record fourth quarter gold production, continued weakness at Los Filos and start-up issues at Éléonore left us short of full year production guidance. Most importantly, we achieved Goldcorp's first operational objective as we produced gold with zero fatalities. At the same time, we significantly reduced the number of injuries across our organization.

"Another key accomplishment during 2014 was the achievement of initial gold production at the three new growth projects that comprise the backbone of Goldcorp's growth profile. We were pleased to achieve commercial production at Cerro Negro as at January 1, 2015. At Éléonore we expect to address remaining start-up issues early in the year in order to position the mine for strong, sustained gold production. The seamless integration of the Cochenour project into the operations of Red Lake in this year of transition is also a key priority during 2015. All three projects are well-positioned for long term success, and with their capital investment nearly complete, we enter 2015 with an outstanding portfolio anchored by young, low-cost mines that are positioned to contribute free cash flow this year and beyond.

"At all of our mines and projects, the focus remains on profitable gold production that demonstrates clear returns for shareholders and we have eliminated marginal ounces that do not meet this objective from our mine plans. We accomplished this in 2014 with the completion of a new mine plan at Peñasquito that delivered stronger returns, and the latest example of this is at Red Lake, where remnant production from the declining Campbell operation no longer meets our return requirements and will be phased out in 2015. A disciplined focus on margins results in a better asset portfolio and a financially stronger company.

"World economic factors continue to support our expectation for stable gold prices in 2015. Strong demand for gold from Asia and developing economies around the world will support demand while we believe that global gold production will remain flat at best. Even in the current gold price environment, Goldcorp's strong, investment-grade balance sheet, cost profile and production growth leave us well-positioned for long-term success."

With respect to the Cerro Negro mine in Argentina the Argentine government continues to support various actions and programs aimed at conserving its foreign exchange reserves, including restrictions on importation of goods and services and limitations on the exchange of Argentine pesos into US dollars. The financial consequences of these programs as well as the continuing inflationary environment in the country are negatively impacting operations at the Cerro Negro mine. Additionally, the market valuations of future exploration potential have declined. Concurrent with the declaration of commercial production, the Company is conducting an impairment test of its Cerro Negro assets to assess the full effect of these actions in light of ongoing challenging fiscal conditions in Argentina. Preliminary analysis indicates an after-tax asset impairment charge in the range of approximately USD 2.3 to USD 2.7 billion4 in the fourth quarter. The Company expects to complete its final impairment analysis for inclusion in its fourth quarter earnings release.

2015 Guidance

Goldcorp expects to produce between 3.3 and 3.6 million ounces of gold in 2015, in line with previous 2015 guidance (including the divestment of the Marigold and Wharf mines). Higher gold production will be driven by growing contributions from Cerro Negro and Éléonore and a strong year at Peñasquito. The ramp-ups at Cerro Negro and Éléonore are strongly weighted to the second half of the year while metals grades at Peñasquito are expected to be lowest in the first quarter consistent with the commencement of a new pit phase. As a result, the Company expects relatively low first quarter production followed by steady production growth over the course of 2015 as mining continues deeper into higher-grade portions of the Peñasco pit at Peñasquito.

All-in sustaining costs for 2015 are expected to be between USD 875 and USD 950 per ounce, driven by new contributions from two new low-cost mines and continued efforts to enhance productivity and cost efficiencies through the Company's Operating for Excellence program. With 2014 cash flow improvements totaling approximately USD 278 million, approximately USD 175 million in additional efficiencies are expected to be realized under the program in 2015.

Forecast silver production for 2015 of between 39 and 41 million ounces (including approximately 24 to 26 million ounces at Peñasquito) would maintain Goldcorp's position as one of the largest silver producers in the world. Zinc production is expected to be between 400 and 415 million pounds and lead production is forecast at between 175 and 185 million pounds. Copper production is forecast between 50 and 55 million pounds. On a gold equivalent basis3, Company-wide 2015 production is expected to total between 4.4 million ounces and 4.8 million ounces, an increase of over 10% compared to 2014.

Price and cost assumptions used to forecast total cash costs and gold equivalent calculation for 2015 include: USD 1,200 per ounce for gold; by-product metals prices of USD 18.00 per ounce silver; USD 3.00 per pound copper; USD 1.00 per pound zinc and USD 0.95 per pound lead. Canadian dollar and Mexican peso budget assumptions are at USD 1.14 and USD 14.00 respectively to the US dollar. Mine-by-mine actual 2014 gold production and forecast 2015 gold production ranges are as follows: