Orezone Gold Corporation

Thank you for standing by. My name is Alex and I will be your conference operator today. At this time, I would like to welcome everyone to the Arizona Gold Corporation Q1 2025 results. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, press star one again. Thank you. I would now like to turn the call over to Mr. Patrick Downey, President and CEO. Please go ahead.

Thank you, operator, and thank you, everyone, and welcome to the ORAZONE Q1 webcast and conference call. With me today, I have Peter Tam, Executive Vice President and CFO. We have the standard forward-looking statements. Please acquaint yourselves with these. So, Q1 was a very solid first quarter and really sets us on a firm footing for a very important transition year for our zone. Our gold production for the quarter was 28,688 ounces, which leaves us on track to achieve our 2025 guidance of 115 to 130,000 ounces a year, which, as we stated, will be slightly weighted towards Q4 of this year. Gold sales were 28,943 ounces, at an average realized price of $2,851 per ounce, giving us revenue of $83 million for the quarter. Our all-in sustaining costs were $1,415 per ounce sold, which again leads us on track to achieve our 2025 guidance of between $1,400 to $1,500 per ounce ASIC. We're in a very strong and solid financial position. Our cash is $102 million. We have senior undrawn debt of 28.9 million available and gives us a total available liquidity of 130.9 million US dollars. Our hard rock expansion is tracking on schedule on budget for the commissioning of this stage one in Q4 of 2025. During the quarter, we also had zero LTIs over 1.4 million hours worked during the quarter and we actually achieved 20 million hours of work for LTI-free. Sadly and unfortunately, we had a fatality in May at the Stage 1 construction site, which is still under investigation. I'll now hand it over to Peter.

Thanks, Patrick. So for financial and operating highlights, Q1 marked another successful quarter of positive financial results with goal production and cost performance in line with our expectations. while revenue benefited from a favorable gold price and unhedged sales. Earnings on mine operations were $38.6 million. Net earnings after minority interest were $16 million, and earnings per share attributable to ore zone shareholders were $0.03 per share on a basic and diluted basis. Importantly, free cash flow was $3.7 million, as strong operating cash flow balanced the higher capital expenditures on the hard rock expansion construction. Our balance sheet further improved in a quarter with available liquidity at March 31st, increasing to 131 million. As stated earlier, with 102 million of cash on hand and 29 million remaining undrawn on our phase two term loan with Coors Bank. The company is well positioned financially to complete its major growth project for 2025. Next slide. Tonnes Mine exceeded 6.1 million for Q1 2025 at a strip ratio of 1.9. Higher material movement in the current quarter was due to dry season mining conditions and a greater proportion of tons mined from the SIGA pits, which have a shorter than average haul profile, with mining currently concentrated on the soft oxide material on the upper benches. Furthermore, mining volumes are still benefiting from the higher availability of the new mining equipment placed into service by the mining contractor in the fourth quarter of 2024. Plant throughput was at a respectable 1.5 million tons. which was 11% higher than the comparable quarter in 2024. In Q1 2024, plant operating hours were impacted by the commissioning of grid power to site and from more frequent power interruptions experienced in March. In addition, since July 2024, the plant has successfully operated at a higher hourly plant throughput by increasing mill power draw and reducing the leach residence time. In terms of unit costs, unit mining costs for Q1 2025 was lower than when compared to Q1 2024, as mining costs were aided by less drill and blast, shorter than average hauls, and a favorable XOF exchange rate as mining contractor rates are based on the local currency. Unit processing costs benefited from the availability of lower cost grid power for the full three months of Q1 2025, versus only a partial quarter in Q1 2024. I'll hand that back to you, Patrick.