Q & A Highlights

Q: Can you provide more color on the recent court order that restricted approximately $26 million of cash, and what milestones are needed to unlock it? A: Matt Freeman (CFO) explained that this is a very recent development related to a long-standing contractual dispute with a former service provider. The company believes the restriction is in direct contravention of an existing court order and is working with local counsel in Ghana to get it rescinded. While precise timing is difficult to provide due to legal processes and summer court delays, the company expects the matter to be resolved in the short term and is working diligently to do so.

Q: When should we expect to see Abore's contribution to grades increase closer to its reserve grade, and when will the Nkran Cut 3 start contributing meaningfully to the processing plant? A: Michael Cardinaels (COO) stated that Abore grades are already increasing in Q3 and will continue into Q4, with Abore expected to contribute approximately 80% of mill feed in the second half of the year. Regarding Nkran Cut 3, the company is ramping up its production profile through 2026 to reach a full complement of fleet by 2027. Nkran is expected to start producing ore at the back end of 2028 and into 2029, providing a meaningful contribution to the production profile.

Q: What drove the reduction in development capital guidance by approximately $15 million, and does the delay in village relocation impact the Nkran Cut 3 timeline? A: Matt Freeman (CFO) clarified that the reduction is purely a timing difference related to delays in organizing the relocation with the community. The spending is expected to slide into 2027, but this will have no impact on the production profile whatsoeverit is simply a cash timing difference between years.

Q: Mining unit costs increased 27% year-over-year due to lower tons and higher pre-strip exposure. As Abore transitions into lower phases, should we expect mining cost per ton to decline meaningfully? A: Matt Freeman (CFO) noted that the cost per ton increase was driven by slightly lower tons and diesel price increases. Going forward, costs should remain fairly stable, with potential slight reductions if mining rates ramp up. However, as pits get deeper, haul cycles increase, creating offsets. The company expects only modest improvements, not dramatic changes.

Q: Can you explain the increase in administrative costs on a per-ton-milled basis from $7 to approximately $8.50, and how should we model this going forward? A: Matt Freeman (CFO) attributed the increase primarily to the denominator effect, as tons milled were lower in the quarter due to maintenance issues. There were no substantial underlying cost increases, and the company views this as an anomaly. He advised looking at previous quarters as a better baseline for modeling, noting no major unexpected movements in the general cost base.

Q: How much does the company spend on fuel per quarter, and how should analysts model diesel price exposure going forward? A: Matt Freeman (CFO) indicated the company uses approximately 3.5 to 4 million liters per month, with usage expected to increase slightly as stripping activities ramp up over the next 18 months. While diesel prices spiked during the summer, particularly in Ghana, the company remains comfortable within its guidance range. The impact is not currently material, and the company is managing costs where possible.

Q: What is the status of the additional mining fleet mobilization for Nkran Cut 3, and when will it be fully operational? A: Michael Cardinaels (COO) confirmed that mining partner Rockshore has mobilized the full complement of trucks to site, with two additional excavators currently on the ground undergoing commissioning. The equipment is expected to be operational in Q3, with the full fleet complement achieved by Q4, enabling the planned ramp-up in mining rates.

Q: Why was drilling prioritized at Assasi over Abore, and what drove that decision? A: Chris Pettman (VP of Exploration) explained that rigs were moved to Assasi to ensure drilling could be completed in a timely manner for modeling ahead of the 2027 MRMR update, as it represents a significant potential increase in the reserve base. Abore remains important, with over half the program already complete, and the company has sufficient time to finish that drilling by year-end. The focus at Assasi is on open-pit resource conversion, while Abore is primarily about underground resource growth.

For the complete transcript of the earnings call, please refer to the full earnings call transcript .