West Red Lake Gold Mines Ltd.

Thank you for standing by. This is the conference operator. Welcome to the West Red Lake Gold Mines Second Quarter 2026 Results Webcast. As a reminder, all participants are in listen-only mode and the event is being recorded. After the presentation, there will be a Q&A session. Participants are encouraged to submit their questions using the form at the bottom of the webcast frame. If management is unable to make it through all the questions during the allotted time, Someone will follow up with you by email in the days that follow. I would now like to turn the floor over to Shane Williams, Chief Executive Officer. Please go ahead.

Good morning, everyone. Thank you for joining us today to discuss the West Red Lake Gold second quarter results. Joining me on the call today is Harpreet Dhaliwal, Chief Financial Officer of the company, and Jacqueline Rugtash, our Vice President of Corporate Communications. Before I begin, I'd like to encourage listeners to review the cautionary language regarding forward-looking statements contained in our news release and MD&A issued yesterday and are available on CDAR and on our website. So I just want to start today by stepping back a little and looking at where we've come over the first six months of commercial production at Madsen. A significant part of our focus earlier this year was on underground development and establishing and setting up additional mining areas to give us greater flexibility within the operation. In Q2, we started to see the benefits of that work come true in our operating results. So this quarter, we achieved a number of milestones. We mined approximately 75,000 tons of material during the quarter, and that was a 46% increase over Q1. The grade improved 4.3 grams per ton resulting in just over 10,000 tons mined ounces, which was a large increase quarter over quarter. So gold production increased to 8,576 ounces, which was a 51% increase and gold sales increased 34% to 8,200 ounces. So we're pleased with the progress the team have made during the quarter. And I think it's important, To remind everybody that this improvement wasn't isolated to one part of the operation. We had higher mining rates on the ground, improved grades, higher mill trooper, all of which contributed to the higher gold production, all of which are part of an ongoing ramp up of a high grade underground mine. The mill averaged about an 842 tons per day, which is higher than current capacity during Q2, up 45 7% from Q1, while recoveries maintained at approximately 95%. We've been very pleased with the ramp up of the mill. It's holding its recovery, which is its design recovery. And also we're getting the tonnage above its permanent capacity. At the same time, our mining rates allowed us to build a surface stockpile at the end of the quarter, which obviously gives us that important indicator of progress we've made. It provides operational flexibility. between the mine and the mill, which is a key part of our strategy as we look into the rest of the year. So we're building flexibility on the ground. We've talked consistently through the importance of developing ahead of ourselves and establishing multiple mining fronts. That gives the operating team more optionality around mine sequencing. So Q2 demonstrated considerably higher operating levels than Q1 and importantly that operation progress is translating into Significant Stronger Financial Performance. With that, I'll turn the call over to Harpreet to review the financial results for Q2.

Thank you, Shane, and good morning, everyone. As Shane outlined, the increase in production during Q2 translated directly into stronger financial performance, including a significant improvement in our unit costs. All-in sustaining costs decreased 30% quarter over quarter to US$3,284 per ounce sold, compared to roughly US$4,700 per ounce in Q1, bringing our Q2 all-in sustaining costs within our 2026 guidance range of US$2,800 to US$3,600 per ounce. Cash costs also decreased 23% to US$2,000 per ounce sold. Importantly, Importantly, given the relatively high fixed cost base at Madsen, the increase in production in gold sales during the quarter allowed those costs to be spread across a greater number of ounces, contributing to the improvement in unit costs. The 8,260 ounces of gold that was sold in the quarter generated approximately $49 million in revenue, which is an increase of 17% quarter over quarter. Income from mine operations increased 31% to approximately $20 million and our operating margin improved to 41% compared with 37% in Q1. We also saw significant improvement in our adjusted EBITDA and our adjusted net earnings. Adjusted EBITDA increased 54% to approximately $22 million compared with $14 million in Q1. Adjusted net earnings increased 98% to approximately $13 million or $0.03 per basic share. compared with $6.4 million or $0.02 per basic share in the first quarter. Another result I would highlight is our free cash flow. During Q2, the company generated $9.7 million of positive free cash flow. We also invested $6.3 million of non-sustaining growth capital during the quarter, primarily related to continued advancement of the fork access drift and the mountain shaft refurbishment project. The company ended Q2 with approximately $31 million in cash and cash equivalents. And as the future cash generation from the operation grows, our approach will be to balance the reinvestment in Madsen with our ongoing debt repayment obligations. So from a balance sheet perspective, our focus is really on maintaining financial flexibility as operation continues to advance. With Madsen now in commercial production, capital management continues to be a priority for the company. I would say that overall Q2 demonstrated the financial impact of the higher operating level Shane discussed with the higher gold sales contributing to stronger margins, lower unit costs and positive free cash flow. Additional details regarding our financial results can be found in our Q2 financial statements and MD&A. With that, I'll turn it back to Shane.