Fortuna Mining Corp. Q2 FY2025 earnings call

• Strategic Portfolio Streamlining: Completed sale of 2 mines with short mineral reserves, reducing near-term production but positioning for higher margin, longer life assets.
• Safety Performance: Recorded 7.2 million work hours without lost time injury, total recordable injury frequency rate 0.87 (improved from 0.98).
• Financial Performance: Liquidity at $537 million, net cash at $215 million, free cash flow from operations $57.5 million. EBITDA margin 55%, operating margin 36%, net earnings from continued operations $41 million.
• Operational Performance: Consolidated gold equivalent production 75,950 ounces. Seguela produced 38,186 ounces, Lindero 23,550 ounces, Caylloma silver equivalent.
• West Africa Operations: Divested Yaramoko mine, Seguela production and safety strong, tailings storage facility project on track.
• Latin America Operations: Lindero AISC decreasing, Caylloma operational excellence, photovoltaic plant commissioned at Lindero.

Seguela: Produced 38,186 ounces of gold in West Africa, with a cash cost of $670 per ounce and AISC of $1,634 per ounce. Lindero (Latin America): Produced 23,550 ounces of gold, with an AISC of $1,783 per ounce (trending down) and cash cost of $1,148 per ounce. Caylloma (Latin America): Produced silver equivalent ounces, with a cash cost per silver equivalent ounce of $15.16 and AISC of $21.73 per ounce. Yaramoko: Sold, producing 4,721 ounces until April 14.

• Production: Target to rebuild to 0.5 million ounces per year. Seguela guided 140,000 ounces in 2025, 170,000-180,000 ounces in 2026.
• Financial: Expect AISC to be higher in Q2-Q3 2025, then decrease in Q4, and lower in 2026.
• Capital Expenditures: Anticipated $180 million full year, $120 million sustaining, $60 million growth (including $30 million for Diamba Sud).

• Electoral Cycle Impact: Delays in VAT collection at Cote d'Ivoire operations due to electoral cycle.
• Portfolio Risk: Although portfolio risk is lower, operational and permitting risks exist.

Q: Stock performance concern A: EPS miss due to withholding taxes timing, adjusted EPS above consensus, strong balance sheet and investments support growth Q: Senegal permitting A: Government supportive, environmental approval expected early 2026, PEA by late 2025, feasibility study in H1 2026 Q: Greenfields exploration spend A: Exploration budget $51 million, including $11 million for greenfields, active in multiple geographies Q: Acquisition/Merger interest A: Focus on organic growth via portfolio assets, seeking value opportunities, no immediate plans for acquisitions but open to value opportunities