Orvana Minerals Corp. (TSX: ORV) reports consolidated financial and operational results for the quarter ended June 30, 2024.

This news release contains only a summary of the Company’s financial and operations results for the third quarter of fiscal 2024, and readers should refer to the full set of unaudited consolidated financial statements for the nine months ended June 30, 2024 and 2023, and accompanying management’s discussion and analysis, available on www.sedarplus.ca and on the Company’s website at www.orvana.com. All financial figures contained herein are expressed in U.S. dollars unless otherwise noted.

Juan Gavidia, CEO of Orvana Minerals Corp. stated: “Our financial performance improved significantly in the third quarter generating $7.5 million cash provided by operating activities as a result of the increased metal production coupled by the positive metal prices, at the same time that we continue optimizing our mining costs”.

“At Bolivia, now that we have reached the critical milestone of placing 80% of the bonds program, we expect to announce the start date of the construction in the coming weeks”, he added.

Highlights

Orovalle – Spain

• Production of 13,078 gold equivalent ounces⁽¹⁾ (10,832 gold ounces, 1.0 million copper pounds and 30,872 silver ounces) was 29% higher when compared to 10,101 gold equivalent ounces¹ in the previous quarter, as a result of:
  • ­ Throughput of 150,843 tonnes, 11% above the previous quarter.
  • ­ Gold grade of 2.37 g/t, 20% above the previous quarter.
  • ­ 94.1% gold recovery, 5% above the previous quarter.
• ­ Copper production 10% lower than the prior quarter due to lower grade and recovery, partially offset by higher tonnage milled.
• Guidance for FY2024 is updated from that disclosed in the Company’s Management’s Discussion and Analysis for the three and six months ended March 31, 2024:

Don Mario – Bolivia

• The Company, focused on restarting production at Don Mario, has been seeking financing for its Oxides Stockpile Project (the “OSP”), consisting of a plant expansion to treat ore stockpiled in the Don Mario Operation from previous years of mining activity.
• Between July 1, 2024 and August 12, 2024 EMIPA completed the following:
  • ­80% placement of the Bond Program units, for a total nominal amount of US $37.7 million.
  • Issuance of 56,414 non-voting preferred shares, for a total amount of approximately US $0.81 million. Preferred shares were issued by EMIPA as a private placement in Bolivia, Orvana has not offered any securities.
  • Four promissory notes have been contracted, for a total amount of approximately US $1.4 million, with due date September 2024.
  • Invested in several local short term financial instruments, all of them sold as of July 30, incurring in a net cost of US $2M.
• EMIPA intends to use the net proceeds of the Bond Program, issuance of non-voting preferred shares and promissory notes to partially finance its proposed Oxides Stockpile Project and for general corporate purposes. As of the date hereof, EMIPA continues to work on closing the remaining Bond Program in Bolivia and working on additional financing to secure the funds required for the OSP construction and ramp-up phases.
• The Company is updating the OSP financial model, including costs estimates updates and required financing structure, and will provide updates when further material information becomes available.
• Upon closing of 80% of the bonds offering in Bolivia, EMIPA is making plans to prepare for the Don Mario Plant expansion, expecting to start construction before the end of 2024.

Taguas – Argentina

• Orvana is analyzing a strategic option to combine oxides and sulphides in a larger undertaking strategy at Taguas. During Q3 FY2024 the Company continued working on enhancing the analytics of the sulphides zone of the deposit, and a new geological modeling is in progress. Next steps would include spectral analysis campaign to improve alteration types definition, and geo-metallurgical tests with oxide and sulphide ores. Once the oxides – sulphides combined opportunity is understood, next steps for the project will be determined.

Selected Financial Information

ABOUT ORVANA

Orvana is a multi-mine gold-copper-silver company. Orvana’s assets consist of the producing El Valle and Carlés gold-copper-silver mines in northern Spain, the Don Mario gold-silver property in Bolivia, currently in care and maintenance, and the Taguas property located in Argentina.