Torex Gold Resources Inc. (TSX: TXG) reports Q2 2023 gold production of 107,507 ounces and gold sold of 105,749 oz. With first half gold production of 230,425 oz, the Company reiterates 2023 production guidance of 440,000 to 470,000 oz.

TABLE 1: PRELIMINARY SECOND QUARTER 2023 OPERATIONAL RESULTS

Operational results are preliminary in nature and subject to final reconciliation. Financial and operational results for Q2 2023 will be released after market close on Wednesday, August 2, 2023. A conference call hosted by senior management will be held the following day at 9:00 AM ET.

Jody Kuzenko, President & CEO of Torex, stated:

“We produced 107,507 oz of gold during Q2. With production of 230,425 oz through the first half of 2023, we are on pace to achieve full year production guidance for the fifth consecutive year.

“Production was supported by a new record average processing rate of 13,293 tonnes per day and yet another a record mining rate of 1,913 tpd at ELG Underground. The excellent mining rate puts us on track to exit the year at the targeted run rate of 1,800 tpd.

“The reduction in production from Q1 levels was as expected, grade driven, and reflects the sequencing of our pits. A greater proportion of stockpiled material was processed during the quarter, which is a result of lower ore production from the open pits and, notably, the exhaustion of reserves in the Guajes pit, which we plan to use for future in-pit tailings deposition as part of the Media Luna Project. The focus on waste stripping within the El Limón pit relates to the pushback that will extend the mine life of the deposit by six months to mid-2025. With ore production from the open pits expected to ramp up in Q4, we expect quarterly production for the second half of the year to mirror that of the first half.

“With production on track to achieve full year guidance, development of Media Luna tracking to schedule and budget, a strong balance sheet with robust liquidity, and ongoing exploration success, we continue to make significant progress on the execution of our strategic plan, which we fully expect will translate into long-term value creation for our shareholders.”

CASH FLOW SEASONALITY

Similar to prior years, cash flow from operating activities during the second quarter includes the mandated profit sharing payment. The annual payment made in Q2 was approximately $30 million.

ABOUT TOREX GOLD RESOURCES INC.

Torex is an intermediate gold producer based in Canada, engaged in the exploration, development, and operation of its 100% owned Morelos Property, an area of 29,000 hectares in the highly prospective Guerrero Gold Belt located 180 kilometres southwest of Mexico City. The Company’s principal asset is the Morelos Complex, which includes the El Limón Guajes (“ELG”) Mine Complex, the Media Luna Project, a processing plant, and related infrastructure. Commercial production from the Morelos Complex commenced on April 1, 2016 and an updated Technical Report for the Morelos Complex was released in March 2022. Torex’s key strategic objectives are to optimize and extend production from the ELG Mine Complex, de-risk and advance Media Luna to commercial production, build on ESG excellence, and to grow through ongoing exploration across the entire Morelos Property.