Q1-2025 copper production of 13.2 million pounds

Results in line with 2025 guidance of 62.9 million pounds of copper

Scheduled annual plant maintenance shutdown completed in Q1-2025

Capital return to shareholders of $4.6 million in Q1-2025

Amerigo Resources Ltd. (TSX: ARG) (OTCQX: ARREF) is pleased to announce operational results for the quarter ended March 31, 2025 from Minera Valle Central, the Company’s 100% owned operation located near Rancagua, Chile. Dollar amounts in this news release are in U.S. dollars unless indicated otherwise.

In Q1-2025, MVC produced 13.2 million pounds of copper and 0.24 M lbs of molybdenum. During the quarter, MVC’s plant availability was 97.6%, and there were no lost-time accidents involving MVC employees.

During Q1-2025, MVC completed its annual plant maintenance shutdown. Every year, this maintenance shutdown generates the Company’s lowest production quarter, which is factored into the Company’s annual production guidance. Following this year’s successful maintenance operations, the 2025 annual production guidance of 62.9 M lbs of copper and 1.3 M lbs of molybdenum remains in place.

“Operations during the first quarter of 2025 proceeded smoothly, and once again, MVC successfully completed its planned annual plant maintenance shutdown without incident or delay. As expected, the fewer operating days had an impact on quarterly production and consequently, on cash cost. However, we remain on track to meet our annual production and cash cost guidance,” said Aurora Davidson, Amerigo’s President and CEO.

Copper prices in the first quarter responded positively to the structural challenges of growing demand amid constrained supply. The average monthly spot price on the London Metal Exchange, the benchmark market for copper producers where most of the world’s long-term copper supply contracts are traded, increased from $4.05 per pound in December 2024 to $4.41 per pound in March 2025. MVC’s pricing terms are based on the average LME copper price of the third month following the delivery of copper concentrates.

Global trade shifts and anticipated copper tariffs prompted a significant reallocation of copper inventories from Europe and Asia to the United States. This resulted in record spreads between the LME and the U.S. COMEX market before the rollout of widespread import tariffs to the United States on April 2, 2025. Although no copper tariffs were implemented, short-term copper prices experienced a significant downward adjustment.

“While we are seeing short-term volatility in copper prices in response to market reactions to the shifting global trade landscape, we continue to observe that the copper supply chain, from mining to smelting and refining, as well as the fabrication of semis and the manufacture of finished goods, continues to face complex challenges. This includes the need for most nations to continue importing copper, and protectionism will likely incentivize copper prices in a market already facing deficit scenarios. Any rise in copper prices from present levels strongly supports our goal to be debt-free by year-end 2025 while fully deploying our Capital Return Strategy through quarterly dividends, performance dividends, and share buybacks in 2025,” Ms. Davidson added.

The Company’s cash cost¹ in Q1-2025 was $2.22 per pound (“/lb”), impacted by lower production in the quarter associated with fewer operating days. Cost projections for the remainder of 2025 indicate that Amerigo’s annual cash cost guidance of $1.93/lb (excluding MVC’s collective agreement signing bonuses) remains valid.

Amerigo’s average provisional copper price in Q1-2025 was $4.42/lb, compared to $4.06/lb in Q4-2024. Q4-2024 copper deliveries, marked to market on December 31, 2024 at $4.08/lb, were settled at the LME average monthly prices for January 2025 ($4.07/lb), February 2025 ($4.23/lb) and March 2025 ($4.41/lb).

The Company’s molybdenum price was $20.14/lb, down from $21.38/lb in Q4-2024.

In Q1-2025, Amerigo returned $4.6 million to shareholders, $3.5 million through the quarterly dividend and $1.1 million through share buybacks. In connection with the plant shutdown, Q1-2025 Capex payments were approximately $6.8 million, accounting for around 52% of the annual Capex budget, which remains on track.

As of March 31, 2025, Amerigo’s cash position was $27.7 million, $8.2 million lower than the $35.9 million reported as of December 31, 2024. Additionally, restricted cash was $3.1 million, $1.3 million lower than the $4.4 million reported as of December 31, 2024. Outstanding bank debt was $11.5 million, unchanged from December 31, 2024.

Capital Return Strategy

Since implementing its Capital Return Strategy in October 2021, Amerigo has returned a total of $83.0 million to shareholders, $56.0 million through quarterly and performance dividends and $27.0 million through share buybacks, reducing by 12.5% the number of common shares outstanding at the inception of the CRS.

Amerigo’s CRS consists of three mechanisms: quarterly dividends, performance dividends, and share buybacks. These mechanisms provide shareholders with a consistent return on invested capital and quickly transfer the benefits of rising copper prices to Amerigo’s shareholders.

Release of Q1-2025 financial results on May 5, 2025

Amerigo will release its Q1-2025 financial results at the market open on Monday, May 5, 2025.

Interactive Analyst Center

Amerigo’s published financial and operational information is available for download in Excel format through Virtua’s Interactive Analyst Center (“IAC”). You can access the IAC by visiting www.amerigoresources.com under Investors > Interactive Analyst Center.

About Amerigo and MVC

Amerigo is an innovative copper producer with a long-term relationship with Corporación Nacional del Cobre de Chile (“Codelco”), 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.