Orezone Gold Corporation

Good afternoon and welcome to the AutoZone Quarter 2 2025 Results Webcast and Conference Call. I am Franz, and I'll be the operator assisting you today. 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 1 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 Patrick Downey, President and CEO. Please go ahead.

Thank you. And as the operator said, welcome to Orzones Q2 2025 Financial Operations Webcast Presentation and Conference Call. With me today will be Peter Tam, Executive Vice President and CFO, We will go through the financial operational highlights for the quarter later on in the presentation. As you see, this is an important notice including forward-looking statements. Please take time to read these at your leisure. So straight into the Q2 2025 highlights, which was another solid quarter for Bombore. Gold production was 27,548 ounces. and on track to achieve our 2025 guidance of 115 to 130,000 ounces for the year. Gold sales were 28,265 ounces for the quarter at an average realized price of $3,338 an ounce, resulting in $94.5 million in revenue. All in sustaining costs of $830 per ounce sold Costs were somewhat impacted by external factors, including royalties, grid power, and foreign exchange, which added $236 per ounce to the budget. Royalties added 92. The grid power interruptions added approximately $99, with FX contributing 45 of that 236. However, I'm happy to state that operations were very solid, and all costs were generally within budget for the quarter. Strong financial position for the quarter. We ended the quarter with 72.6 million in cash. We obviously added, you know, with the Australian listing. We'll talk about that later. Undrawn senior debt of 31.3 million. So available liquidity of 103.9 million at the end of the quarter. And excitingly, our hard rock expansion remains on schedule and on budget. Stage one commissioning is scheduled for Q20. for 2025 and I'll go through that a little later in the presentation. And importantly, subsequent to the quarter, we commenced trading on the ASX under the ticker ORE and we closed Australian 75 million IPO to accelerate stage two to bring us to 220 to 250,000 ounces a year. And that stage two hard rock received board approval and final investment decision to proceed. which we'll talk about again later in the conference call. I'll now hand over to Peter Tam to take you through the production and financial operational highlights.

Thanks, Patrick. So for production and unit costs, for mining, we mined 6 million tonnes in Q2, which is comparable to the 6.1 million tonnes mined in Q1, as mining volumes year-to-date are slightly ahead of plan. Early preparation of hard rock mining is taking shape as the main mining contractor is in the process of mobilizing additional equipment to site in the third quarter to handle the added material movement upon the hard rock startup. For processing, 1.56 million tons were treated in the quarter, an improvement of 3% over the previous quarter and 20% above nameplate, while head grades declined to 0.62 grams per ton, consistent with the mine plan. Grades are anticipated to improve starting in Q4 once hot commissioning of the hard rock plant commences. Unit cash costs were negatively impacted in Q2 from a stronger XOF currency, which rose on average by 7% against the U.S. dollar when compared to Q1 averages. In addition, the seasonal impact of lower grid availability was experienced again this year with grid utilization at 50% in Q2 when compared to 90% in the second half of 2024. and 75% in Q1 of this year. Importantly, grid utilization has seen a steady improvement starting in July, with utilization at 76% for July and over 90% for August to date. Next slide. Financial and operating highlights. Record gold prices realized in Q2 drove Orzone's quarterly financial performance, with earnings from mine operations of $40 million. adjusted EBITDA of $45.5 million, adjusted earnings attributable to shareholders at Orizon of $20.6 million, and adjusted earnings attributable to Orizon shareholders of $0.04. Gold sales remain unhedged. From a cash flow standpoint, the company continued with its reinvestment and expansion of the Boneberry Gold Mine. with $43.5 million spent on investing cash flow as the company advances towards first gold on its hard rock expansion later this year. The heavy investment in this quarter led to free cash flow being a negative $27.2 million. However, available liquidity remained strong at $103.9 million, as stated earlier at quarter end, which was further bolstered by the successful closing of a $75 million Australian dollar equity offering in early August. The company is well-funded to execute on its growth initiatives for the remainder of this year, including the recent board-sanctioned Stage 2 hard rock expansion. With that, I'll hand it back to you, Patrick.