Q1-2025 Net Income of $3.3 million

Robust EBITDA¹ of $15.2 million and Free Cash Flow to Equity¹ of $4.8 million

15^th Quarterly Dividend of Cdn$.03 Declared

$4.6 million Returned through Dividends and Share Buybacks in Q1-2025

Amerigo Resources Ltd. (TSX: ARG) (OTCQX: ARREF) is pleased to announce a strong financial performance for the three months ended March 31, 2025. Dollar amounts in this news release are in U.S. dollars unless indicated otherwise.

Amerigo’s Q1-2025 financial results included net income of $3.3 million, earnings per share of $0.02, EBITDA¹   of $15.2 million, operating cash flow from operations before changes in non-cash working capital¹ of $11.6 million and free cash flow to equity¹ of $4.8 million. In Q1-2025, Amerigo returned $3.5 million to shareholders through its quarterly dividend of Cdn$0.03 per share and $1.1 million from the purchase and cancellation of 0.8 million common shares through a Normal Course Issuer Bid.

“We are pleased to report strong quarterly financial performance during our annual maintenance shutdown quarter. As reported in our April 9, 2025 news release, MVC completed the maintenance shutdown during Q1 of this year, compared to Q2 in 2024, which affects year-over-year quarterly analysis. The maintenance shutdown also impacts quarterly production and cash cost¹, which is reported on a unit of production basis”, said Aurora Davidson, Amerigo’s President and CEO.

“The maintenance shutdown is part of a normal operational year, and its impact compared to normalized quarters is factored into our annual guidance. This guidance remains on track. Cash generated from operations, which is the lifeblood of our business, was strong at $11.6 million. Free cash flow to equity was $4.8 million, and $4.6 million was returned to shareholders in the quarter through our Capital Return Strategy”, she added.

“As anticipated, the markets’ response to shifting global trade patterns has translated into short-term copper price volatility. Despite this volatility, the year-to-date average London Metal Exchange copper price is higher than the healthy $4.15 per pound average 2024 price. The rising LME copper price is a significant factor in our efforts to eliminate our remaining minimal debt by the end of this year. Operationally, we remain focused on safety, meeting our production guidance of 62.9 million pounds of copper and controlling costs. Our Capital Return Strategy is active and promptly returned to shareholders almost all the free cash flow generated by the Company’s operations during the quarter”, Ms. Davidson concluded.

On May 5, 2025, Amerigo’s Board of Directors declared its fifteenth consecutive quarterly dividend. The dividend will be in the amount of Cdn$0.03 per share, payable on June 20, 2025, to shareholders of record as of May 30, 2025³. Amerigo designates the entire amount of this taxable dividend to be an “eligible dividend” for purposes of the Income Tax Act (Canada), as amended from time to time.

¹ This is a non-IFRS measure. See “Non-IFRS Measures” for further information.

Based on Amerigo’s March 31, 2025 closing share price of Cdn$1.91, the Cdn$0.03 quarterly dividends, per share declared on May 5, 2025, represents an annual dividend yield of 6.3%.

This news release should be read with Amerigo’s interim consolidated financial statements and Management’s Discussion and Analysis (“MD&A”) for Q1-2025, available on the Company’s website at www.amerigoresources.com and on the SEDAR+ website at www.sedarplus.ca.

Highlights and Significant Items

• In Q1-2025, Amerigo’s posted net income of $3.3 million (Q1-2024: $4.3 million), driven by copper production from MVC of 13.2 million pounds of copper (“M lbs”) (Q1-2024: 16.0 M lbs) at an average MVC copper price of $4.42 per pound (“/lb”) compared to $3.95/lb in Q1-2024. The 17.5% decrease in copper production between both quarters was predominantly caused by the timing of MVC’s annual maintenance shutdown, which occurred in Q1-2025 and Q2-2024. The yearly maintenance shutdown was factored into the Company’s annual production guidance of 62.9 M lbs, which remains in place.
• EPS in Q1-2025 was $0.02 (Cdn$0.03), compared to $0.03 (Cdn$0.03) in Q1-2024.
• Despite lower production in the quarter, the Company generated a stronger operating cash flow before changes in non-cash working capital¹ of $11.6 million in Q1-2025, compared to $10.2 million in Q1-2024. The Company’s quarterly net operating cash flow was $1.9 million (Q1-2024: $4.5 million) after changes in working capital in the period, most notably reductions of $4.4 million in trade and other payables and $5.4 million in DET royalties.
• Free cash flow to equity¹ was $4.8 million in Q1-2025 (Q1-2024: $7.3 million), after capital expenditures (“Capex”) payments of $6.8 million in Q1-2025.
• In Q1-2025, Amerigo returned $4.6 million to shareholders (Q1-2024: $3.7 million). This included $3.5 million returned to shareholders through Amerigo’s regular quarterly dividend of Cdn$0.03 per share (Q1-2024: $3.7 million or Cdn$0.03 per share) and $1.1 million from the purchase and cancellation of 0.8 million common shares through a NCIB (Q1-2024: $nil).
• Q1-2025 cash cost¹ was $2.22/lb (Q1-2024: $1.96/lb), impacted by the lower production between both quarters described above.
• On March 31, 2025, the Company held cash and cash equivalents of $27.7 million (December 31, 2024: $35.9 million), restricted cash of $3.1 million (December 31, 2024: $4.4 million), and its working capital deficiency was $4.6 million, down from a working capital deficiency of $6.5 million on December 31, 2024.
• The Company’s financial performance is sensitive to changes in copper prices. MVC’s Q1-2025 provisional copper price was $4.42/lb. The final prices for January, February, and March 2025 sales will be the average London Metal Exchange (“LME”) prices for April ($4.17/lb), May, and June 2025, respectively. A 10% increase or decrease from the $4.42/lb provisional price used on March 31, 2025, would result in a $5.7 million change in revenue in Q2-2025 regarding Q1-2025 production⁴.

About Amerigo and Minera Valle Central

Amerigo Resources Ltd. is an innovative copper producer with a long-term relationship with Corporación Nacional del Cobre de Chile, the world’s largest copper producer.

Amerigo produces copper concentrate, and molybdenum concentrate as a by-product at the MVC operation in Chile by processing fresh and historic tailings from Codelco’s El Teniente mine, the world’s largest underground copper mine.