Torex Gold Resources Inc.

Thank you for standing by. This is the conference operator. Welcome to Torex Gold's first quarter 2024 conference call and webcast. 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 one 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 Laura Turton, Investor Relations Analyst. Please go ahead.

Thank you, Operator, and good morning, everyone. On behalf of the Torex team, welcome to our Q1 2024 conference call. Before we begin, I wish to inform listeners that a presentation accompanying today's conference call can be found under the Investors section of our website at www.torexgold.com. I would 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 two of today's presentation, as well as those included in the Q1 2024 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, Lauren. Good morning to all on the line. The first quarter of 2024 marked a great start to the year for Torex, just across the board. Production returned to more typical levels for us after our near-record Q4 last year. Costs are tracking to expectations, and ELG continues to fire on all cylinders. While it's still early in the year, obviously, we are well on pace to deliver annual production guidance for the sixth year in a row. Our liquidity position remains excellent, particularly impressive considering we've now crossed the two-year mark on MediLuna construction. With the record gold prices we're seeing and funding well in hand to execute on our strategic objectives, We're in a solid position financially and expect to exit the MediLuna build with a very modest level of net debt. We expect to pay back before the mine is even fully ramped up. In addition to the strong operational results, cash generation and balance sheet, MediLuna is progressing on schedule. With the project almost 70% complete at the end of March and first concentrate production expected in Q4 and commercial production coming early next year. I was at the mine a few weeks ago and saw for a can the progress being made. They will speak to the project in more detail, but what I saw was two-thirds of the concrete poured, steel being erected across multiple work fronts, the flotation cells now being set in place at the flotation circuit, and the underground mine is starting to look like an underground mine with more than 30 active headings. It's really incredible to see the project coming together and the finish line in sight. Starting as always with our strategic pillars on slide four, it's the anchor for our presentation. You'll remember that last quarter we updated our strategy to reflect the progress that has been made and how we're shifting our focus to ensure that we not only deliver Medialuna on schedule and on budget, but that we see a smooth integration of the project with existing operations. We're well underway to deliver Medialuna to full production. With a number of schedule critical milestones now behind us, our attention has turned to ensuring that our vendors meet key delivery timelines. It's turned to installing and commissioning the WAHES conveyor through the WAHES tunnel. On the mine side, we're working hard at ore control drilling, underground construction at the mine, and tighter and tighter iterations of the year one and two mine plan. On the processing side, we're preparing the final plans to complete the necessary tie-ins at the plant in Q4 of this year. Another important focus for us is integrating and optimizing the entirety of the Morelos asset, ensuring that our project is handed over to our operations team seamlessly and that both ELG and Medialuna work together at their peak operational performance. Work is very much in stride with what we call our operational readiness teams and our strategy is advancing as planned. On the pillar of capital allocation and discipline growth, our balance sheet remains strong and we're building a buffer with respect to available liquidity and remaining spend on MediLuna. On grow reserves and resources, we released our year end reserve and resource update in late March, and we did just that. At ELG Underground, we increased reserves to over 654,000 gold equivalent ounces, which now sees us with a reserve life through 2028. At EPO, indicated resources increased to $1.2 million, with another 720,000 gold equivalent ounces in the inferred category. The pre-feasibility study at EPO is progressing nicely. We got a look at it as a management team a couple of weeks ago, and we expect to be in a position to provide high-level results later this year. I'll touch on reserves and resources again before the end of the call. In terms of the remaining two pillars, I've mentioned last quarter that retain and attract best industry talent was not a new strategic pillar for us, but certainly was a new strategic pillar, but certainly not new to Torex. There's an important point here I want to touch on. It's that a key piece of the MediLuna build has been our workforce transition plan to retain our local talent and offer our open pit employees the opportunity to transition to underground mining as the open pit mine comes off mid next year. And of course, to attract and supplement with new talent as required. We're making good headway here. We have now hired 110 people and transferred 61 people to the MediLuna project with another 165 transfers in process. In fact, our first class of minors from our underground training program graduated in quarter one. These crews are now working alongside our underground development team. And finally, we continue to build on ESG excellence. So this is shown through a number of improved ratings from various agencies that we got in the quarter. This is all in detail in our corporate deck on the website. I'd encourage you to look at it. It really does reflect the important work the team is doing on the ground on safety, social, and environmental issues. Moving to slide five, our unrelenting focus on safety didn't let up in the quarter. ELG complex has now surpassed 14 million hours worked lost-time injury-free. Our lost-time injury frequency for the Morelos complex in its entirety, this is ELG and the project and all contractors, now sits at 0.15, down from 0.31 at the end of Q4 and 0.47 at the end of Q3. What you hear in those numbers is a solid downward trajectory, and we're working hard to maintain this. Production at 115,000 ounces and costs with ASIC at $1,202 per ounce are tracking a plan. Revenue of $237 million was supported by our highest quarterly average realized gold price of $2,023 per ounce. With quarter one being another quarter of significant spending on Medialuna, enterprise-wide our free cash flow remained negative. That said, You'll see here that prior to Medialuna's spend, ELG generated positive free cash flow of $77 million. This is a good indication of what's to come when we return to positive free cash flow enterprise-wide in mid-25. On balance sheet, our liquidity position of over $400 million means we're comfortably funded for the remaining $257 million of capital expenditures on Medialuna. Turning more specifically to our operational performance on slide six, our solar production was driven by yet another new record at the processing plant. Gold recovery averaged 90.7% for the quarter, really the highest to date. The processing plant also achieved its fifth consecutive quarter above 13,000 tons per day. You can see on the bottom left, processed grade, although lower than Q4, was in line with our expectations. Recall, Q4 was a bit of a grade outlier after two quarters of heavy strip through the middle of last year. Our Q4 open pit mining rates were at record highs. So we fed the higher grade open pit material directly to the mill and directed lower grade feed to stockpiles in accordance with our feed strategy. Those swings are behind us now in the pits and we expect grade to be relatively flat for the balance of the year in line with what we saw in Q1. And lastly, our underground mining rates dipped below 2,000 tons per day in Q1, given the backfill priorities in the mine plan, particularly during the month of March. Mining rates are expected to improve in Q2 and return to what we now call the steady state range of over 2,000 tons per day for the remainder of the year. Slide seven shows our Q1 performance compared to our full year guidance. I've already talked about production of 115, places that's on track. Total cash costs of $918 per ounce and all in sustaining costs of 1202 per ounce. We're both slightly above our full year guidance ranges. This was expected. Costs are expected to decrease through 2024 as stripping requirements continue to decline with the wind down of the open pit. We very much expect to achieve full year guidance for both TCC and ASIC. During the quarter, $126 million was spent on Medialuna. We expect to remain above $100 million of spending per quarter through Q3 before CapEx comes off in Q4 as first concentrate production is achieved. There has been no change to full year guidance of between $350 and $400 million on Medialuna this year. And on that note, I'll hand the call over to Andrew to discuss our financials in more detail.