Gold Resource Corporation

Good afternoon ladies and gentlemen and welcome to the Gold Resource Q1 2024 Earnings Conference Call. At this time, all lines are in a listen-only mode. Following the presentation, we will conduct a question and answer session. If at any time during this call you require immediate assistance, please press star 0 for the operator. This call is being recorded on Friday, May 3, 2024. I would now like to turn the conference over to Chad Holyoke. Please go ahead, sir.

Thank you, Ludi, and good morning to everyone. On behalf of the Gold Resource Team, I would like to welcome you to our conference call covering our first quarter 2024 results. Before we begin the call, there are a couple housekeeping matters I would like to address. Please note that certain statements to be made today are forward-looking in nature, and as such, are subject to numerous risks and uncertainties, as described in our annual report on Form 10-K and other SEC filings. Please note all amounts referenced during this presentation are in U.S. dollars, unless otherwise stated. Joining me on the call today is Alan Palmier, our President and CEO, and Alberto Reyes, our Chief Operating Officer. Following Alan, Alberto, and my prepared remarks, we will be available to answer questions. The conference call is being webcast. For those of you joining us on the webcast, you can download a PDF copy of the conference call slides. The event will also be available for replay on our website later today. Yesterday's news release that was issued following the close of the market and the accompanying Form 10-Q have been filed with the SEC on EDGAR and are also available on our website at www.goldresourcecorp.com. I will now turn the call over to Alan. Thank you, Chet.

Good morning, everyone. I'd like to thank you all for joining our Q1 conference call. I will address a few points first, and then Alberto will address the operations, followed by Chet with the financial results. Following their remarks, I'll make a few closing comments, and then we will open it to questions. I was reviewing prior comments I've made and realized that I always start off by addressing challenges that we faced in the quarter or year. The reality is that mining is a challenging business. Each mine brings its unique challenges, and given that we can't see the rock ahead of the active mining areas, there are always surprises. Our job is to be able to deal with those surprises as they occur while maintaining a reasonably steady level of production. The non-controllable factors such as commodity prices and foreign exchange rates add an additional layer of complexity. During the first quarter, we experienced some equipment availability issues due to an aging fleet. We also encountered unexpected poor ground conditions resulting in our mine plan being redeveloped. The Mexican peso continued to remain stronger than planned against the U.S. dollar. which adversely affected our production and capital costs. A lower than forecast price of zinc also adversely affected our biotic revenues. While the foreign exchange rates and commodity prices are not controllable, we remain focused on those factors that we can control, including reducing costs and increasing productivity. To achieve these goals, we selectively mined higher grade ore veins this quarter, and achieved better grade control by improving geotech designed to reduce overbreak and dilution. Early in the first quarter of 2024, we also undertook a process review in the concentrator to identify opportunities to improve recoveries. The trial and error nature of this testing resulted in lower than anticipated recoveries for a few weeks, but by the end of the quarter, we started to see positive results and stabilized recoveries. Cash continues to be tight and remains a key focus for the company. Now, turn to slide four, and I will briefly address our exploration results. We continue to focus our activities in the areas of mineralization known as the Three Sisters, Gloria, marina, and a continuation of splay 31 as we discussed in the past. These areas will be a critical part of the future of Don David and we continue to spend money to explore them with the goal of adding higher grade material to our resource and reserves. I can say that when we redo our SK 1300 for this year, Everyone will see the results of our work, but it is very encouraging. I'll now turn the call over to Alberto for an update on the operations.