Torex Gold Resources Inc.

Thank you for standing by. This is the conference operator. Welcome to the Torex Gold Resources, Inc. First Quarter 2023 Results Conference Call. As a reminder, all participants are in listen-only mode and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. To join the question queue, you may press star then 1 on your telephone keypad. Should you need assistance during the conference call, you may signal an operator by pressing star and zero. I would now like to turn the conference over to Dan Rollins, Senior Vice President, Corporate Development and Investor Relations. Please go ahead, Mr. Rollins.

Thank you, operator, and good morning, everyone. On behalf of the TORX team, welcome to our Q1 2023 conference call. Before we begin, I wish to inform listeners that a presentation accompanying today's conference call can be found under the investor section of our website at www.torxgold.com. I'd also like to note that certain statements to be made today by the management team may contain forward-looking information. As such, please refer to the detailed cautionary notes on page 2 of today's presentation, as well as those included in the Q1 2023 MD&A. On the call today, we have Jody Kozenko, President and CEO, Andrew Snowden, CFO, as well as Dave Stefanuto, Executive Vice President, Technical Services and Capital Projects. Following the presentation, Jody, Andrew, and Dave will be available for the question and answer period. This conference call is being webcast and will be available for replay on our website. Last night's press release and the accompanying financial statements and MD&A are posted on our website and have been filed on CDAR. Also note that all amounts mentioned in this call are U.S. dollars unless otherwise stated. I will now turn the call over to Jody.

Thank you, Dan, and good morning to all on the line. Welcome to the Torex Gold Q1 2023 results call. I'll open my remarks by saying that we delivered another strong quarter, which puts us on solid footing to achieve our production and cost guidance in 2023. Opening highlights include the site team. They delivered a strong production result driven by record throughput in the mills, and another record quarter from our ELG underground. The project team made steady progress on the development of Medialuna, which continues to track to schedule and budget. And we also released our updated mineral reserve and resource statement in the quarter, which saw us replace the majority of reserves mined in 2022, as well as add materially to our resource base. In terms of the agenda for the call, it'll be the same as usual. I'll provide a brief reminder of the strategic pillars which continue to frame our execution plan. Then I'll step you through the key business and operational highlights specific to the first quarter. Then over to Andrew Snowden to provide a review of the financials. And then Dave Stefanuto will provide a progress update on Medialuna. And then I'll close off with an overview of our year-end reserve and resource update and a bit of an update on the status of the new Mexico mining laws. Then we'll open up the call for questions from our listeners. Starting on slide four, this is a review of our strategic pillars which set out the long-term vision for Torex. Our strategy remains unchanged. And you can see on this slide the five key areas of focus as we make our way through 2023. On optimize and extend ELG, the year-end reserve and resource update was a key indicator of the ongoing success of the extend portion of this plan, with reserves replaced in the ELG underground and an additional 240,000 new ounces added in the ELG open pits. On de-risk and advance Medialuna, the project is tracking to schedule and budgets. We passed the four-kilometer mark in the Wahez Tunnel and executed purchase orders for the primary underground mining fleet. We're very much looking forward to showing all of the progress we've made on the project to some of you in person next week when we host our analyst visit. On GROW reserves and resources, our good success with our drilling and exploration program in 2022 is shown up in our MRMR update, which I'll take you through at the end of the deck. On prudent capital management, we remain in solid position to fund the development of Medialuna. At the end of the quarter, we had $683 million left to spend on the project against available liquidity of $564 million. This combined with ongoing free cash flow from ELG, we're feeling very confident about the balance sheets. On ESG excellence, as announced last week, we've entered into a sustainability-related loan with our existing lenders, essentially just adding some sustainability targets and incentives for hitting those targets inside the context of our existing credit facilities. Turning now to slide five, we delivered record production of 123,000 ounces during the quarter, delivered by record throughput in the mill, and another quarterly record established at ELG Underground. The strong production performance underpins strong cost performance with an average all-in sustaining cost margin of 42% delivered in the quarter. Adjusted EBITDA was $133 million driven by a realized gold price of almost $1,900 per ounce. Cash flow from operations was $47 million which reflects seasonal tax and royalty payments primarily related to fiscal 22. The seasonality in cash flow is well known to those who follow Torex, and per usual, you can expect operating cash flow to again be strongest in the second half. Turning now to some operational highlights on slide six, I've already talked about the top left at 123,000 ounces, top right, A new record milling rate of 13,073 tons per day was achieved during the quarter, driven by a real focus on maintenance practices. The bottom left, process grade was down very slightly during the quarter as we processed some lower grade stockpiles. And finally, on the bottom right, you can see we delivered another record quarter on the underground mining front, hitting more than 1,700 tons per day on our way to that targeted 1,800 tons per day by year end. Moving to slide seven, we're well on track to achieve full-year production and cost guidance. There's an important note here. There will be some quarter-on-quarter movement this year, so it's not appropriate to take the Q1 production results and multiply by four, or to assume that cost delivered in Q1 will continue at the same level throughout the year. We expect production in Q2 and Q3 to be softer towards the bottom end of the quarterly range implied by annual guidance, And then it'll pick back up again in Q4. There are a couple of reasons for this. We're depleting the Wahez pit this quarter. It's at the very end of life, at the end of May. And mine sequencing in the Elieman and Elieman Sur pits will see us in a period of elevated waste stripping as we move ahead with the planned pushback in both pits, supported by the additional reserves announced last year. The knock-on cost implications here are that with planned lower production levels and increased waste stripping over the next two quarters, both total cash costs and ASIC in Q2 and Q3 are planned to be above the upper end of the full year guided range. I want to emphasize that things are expected to return to more normal levels in Q4, where production costs will be closer to what we saw in Q1, setting us up to achieve production and cost guidance for the full year. Turning to slide eight, we recently announced that we entered into something called a sustainability-linked loan, modifying our existing credit facilities to include incentive pricing terms with respect to interest rates associated with achieving various targets in the categories of safety performance, climate change, and alignment with the World Gold Council's responsible gold mining principles. Really, just a financial reward for executing on the work we plan to do anyway. With respect to safety, we had three lost time injuries during the quarter, all amongst our contractors working at the site. All fairly low severity, two finger injuries and a fractured wrist. With an increasing level of contractors at the Medialuna project, now over a thousand person mark, our team has really redoubled their efforts to ensure that everyone at site, contractors and employees alike, adhere to our safety protocols, safety culture, and manage risk to our standards. And on this note, I'm very pleased to report that we had no lost time injuries in April. I'll now turn the call over to Andrew to speak to the quarterly financial performance.