Q4 2025 Wesdome Gold Mines Ltd Earnings Call

March 12, 2026

Speaker #1: For the 3 and 12 months ended December 31, 2025, as a reminder this call is being recorded. Your host for today is Trish Moran, Wesdome's Vice President of Investor Relations.

Speaker #1: Ms. Moran, please go ahead.

Speaker #2: Thank you, Operator. And good morning, everyone. Before we get started, I'd like to point out that during today's call we may make forward-looking statements, as defined under Canadian security blocks.

Speaker #2: I ask that you view our slide presentation for cautionary language regarding forward-looking statements, and the risk factors pertaining to these statements. Please note that all figures discussed on this call are in Canadian dollars unless otherwise noted.

Speaker #2: Our press release to MG&A and financial statements are available both on Cedar Plus and on our corporate website, wesdome.com. With us on today's webcast is Anthea Bath, Wesdome's President and CEO, Phil Yee, our Chief Financial Officer, Tyler Mitchelson, Wesdome's Interim COO, Jonah Lawrence, Senior Vice President, Exploration and Resources, Raj Gill, SEP Corporate Development and IR, Kevin Lonergan, SEP Technical Services.

Speaker #2: Following management's formal remarks, we will then open the call for questions, and now over to Anthea.

Speaker #3: Thanks, Trish, and good morning to everyone. Financially, this was a very strong quarter for Wesdome, and it capped off the best year in the history.

Speaker #3: We produced more gold than ever before, and we did it safely with zero LTRs a quarter during the year. Strong production performance combined with accelerated gold prices translated into record results across the business, including revenue, net income, EBITDA, net cash from operating activities, and free cash flow.

Speaker #3: For the year, we generated $278 million in free cash flow, and we ended the year with more than $250 million in cash on our balance sheet.

Speaker #3: In 2026, at current gold prices, we expect to generate significantly more free cash flow than we did the last year. But last year's achievements went well beyond record financial and production results.

Speaker #3: We made meaningful improvements in health and safety across our operations and I'm so proud of that. At Kena, we tripled the number of mining areas under our control at Eagle River, our developed inventory is double that of a year ago.

Speaker #3: Through the acquisition of Andes Gold, we quadrupled Eagle River's land package. We also established for the first time a clear and disciplined exploration strategy and delivered the first 200 kilometers of drilling in this program.

Speaker #3: At the corporate level, we strengthened our balance sheet, we expanded our revolving credit facility, and we introduced a capital allocation framework that includes returned capital shares to a share buyback program.

Speaker #3: And finally, we strengthened our use of bench with the addition of full-year as our CFO, Tyler Mitchelson, as our interim COO, and most recently, Christine Barwell as our SEP human resources.

Speaker #3: These are important achievements that position us well for the future. Turning to 2026, as everyone knows, last year was a challenging year at Kena, and we recognize that we disappointed the market.

Speaker #3: As a result, our guidance for this year is very deliberate. This approach does not reflect any lack of confidence in our assets. In fact, it's quite the opposite.

Speaker #3: I'm confident that you'll see improvement, quarter on quarter, as we show what Kena can actually do. Before I talk about exploration in more detail, I'm sorry, 2026 will first be marked the year beginning at Wesdome.

Speaker #3: And before I do that, I'd just like to talk a little bit about exploration and frame the strategy that underpins our approach. At its core, our strategy is built on leveraging two key qualities and high potential assets.

Speaker #3: First, we control exceptional land packages at both Eagle River and Kena. And our work over the past two years has significantly improved our understanding of their scale and their continuity.

Speaker #3: Secondly, we have a substantial existing infrastructure that is currently underutilized, relative to the scale of the geological systems that we do control. Through disciplined exploration and the application of our global and geological models, we are working to demonstrate the true scale of these systems and to extend the life of our mines well beyond what the market currently recognizes.

Speaker #3: Exploration is therefore a central part of our long-term life of mines expansion and value creation strategy. In 2025, marked the first year of the structured multi-year exploration program.

Speaker #3: As we grow the resource base and extend mine life, we also unlock another important driver of value, our cost structure. A significant portion of our operating platform is fixed.

Speaker #3: As we bring more ounces to existing infrastructure, those fixed costs are spread across a parade of productions. This has the potential to meaningfully improve costs and our margin as well.

Speaker #3: This combination—extending mine life for exploration while leveraging existing infrastructure to improve costs—is a powerful gain of strategy for creating long-term value. We now in the second year of this exploration program.

Speaker #3: The plan is to drill up to 270 kilometers this year, which truly excites me because roughly half of our exploration budget is dedicated to discovery drilling.

Speaker #3: Testing true greenfield targets both near mine and surface for the first time in many, many years. As you can imagine, with all this drilling, we'll be updating the market on our progress on a regular basis.

Speaker #3: At least two or three news releases will be issued, leading to the filing of our updated technical reports. A very, very important milestone for Wesdome this year.

Speaker #3: These reports will provide a reset for the market. And clearly demonstrate the runway that we see ahead. Which is what we've been working on since I arrived.

Speaker #3: The release we issue in June in advance of these reports will be framed like conceptual study, showcasing how we see the long-term potential of both Eagle River and Kena.

Speaker #3: Importantly, the technical release will also showcase our strategy to continue extending and replacing high-grade reserves, while highlighting the addition of significant valuable tons near existing infrastructure.

Speaker #3: Our June release will highlight why we believe the market should appreciate the potential to extend and grow mine life at both Eagle River and Kena.

Speaker #3: We also outline what we see as a clear low-risk and high-return path to increasing production while driving down costs across the portfolio. This will be the first time Wesdome has provided a comprehensive long-term roadmap for unlocking the full value of our assets.

Speaker #3: Before I hand things over to Phil, I'd first like to thank my entire team at Wesdome for their hard work and dedication last year.

Speaker #3: I'm proud of each and every one of you. Additionally, I'd like to officially welcome Tyler Mitchelson, our new interim operating chief operating officer, Tyler brings more than 30 years of mining experience across multiple commodities and jurisdictions.

Speaker #3: He is our technical, commercial, and site-based operational role throughout his career, combining deep technical experience with strong operational leadership and business discipline. He has successfully implemented operating models across five different mines, transforming systems and processes while delivering measurable improvements in safety, reliability, and productivity, y, which really serves to help Tyler join the Wesdome team.

Speaker #3: And with that, I'll turn it over to Phil to walk you through the financial results.

Speaker #2: Thank you, Anthea. Good morning, everyone. And it's great to have you on the team, Tyler. Turning to slide seven, you'll see a clear trend: sequential growth, quarter over quarter, and year over year across the past two years.

Speaker #2: 2025 marked a milestone year for Wesdome, delivering record annual finance results driven by two key factors: record production exceeding 185,000 ounces right in line with our revised guidance, and an average realized gold price of $3,475 US per ounce for the year.

Speaker #2: The impressive results speak for themselves. Compared to 2024, revenue increased by 64% to $914 million. Net income rose 2.5 times to $349 million, or $2.32 in earnings per share.

Speaker #2: Both EBITDA and operating cash flow nearly doubled, reaching $600 million, and $457 million respectively. And free cash flow more than doubled, to $278 million, or $1.85 per share.

Speaker #2: While stronger gold prices helped to drive last year's impressive results, our free cash flow margin expanded to 31% in 2025. This remains among the highest in the gold sector, and we expect to drive the free cash flow margin percentage even higher in 2026 as we reduce costs and benefit from high gold prices.

Speaker #2: Turning to costs on slide eight, on a consolidated basis, both cash costs and all sustaining costs per ounce of gold sold increased by 4% year over year to $976 and $1,518 US per ounce respectively.

Speaker #2: These amounts were both within revised guidance for the year. Eagle River's full ASIC was $1,446 US per ounce sold. The fourth quarter ASIC was the highest of the year, driven by a higher tons milled at lower grade as the opportunistically extended development into a lower grade area of the 300 zone that was not previously included in our existing resources.

Speaker #2: This was a unique and timely opportunity to set up Eagle River for success in 2026. As we outline our guidance for 2026, we anticipate that Eagle River's ASIC will increase due to higher royalties from higher revenues, and new payments related to First Nations.

Speaker #2: Sustaining CAPEX is expected to be largely consistent with 2025. All in sustaining costs per ounce of gold sold at Kena increased in the fourth quarter relative to Q4 2024.

Speaker #2: Primarily due to higher sustained CAPEX resulting from timing of equipment and machinery deliveries. We expect Kena's full year 2026 all in sustaining costs per ounce sold to decrease, as higher gold production is anticipated to offset lower input costs.

Speaker #2: In 2026, we have a number of initiatives underway to reduce costs. Focusing on supply chain optimization, improving efficiencies through automation, reduced reliance on contractors, and improving our processes.

Speaker #2: Turning to slide nine, as of December 31st, 2025, our cash balance was $354 million, nearly triple what it was at the end of fiscal 2024.

Speaker #2: Wesdome has a strong debt-free balance sheet and, combined with our undrawn revolving credit facility, total liquidity is now nearly $700 million Canadian and will continue to strengthen this year.

Speaker #2: Based on our budget, we expect to generate approximately $350 million in free cash flow in 2026. However, I should note that our budget was based on a gold price below $4,000 US per ounce.

Speaker #2: At $5,000 US gold, our free cash flow generation should exceed $500 million or over $40 million a month. As our cash position increases, we remain committed to improving operational infrastructure, advancing key organic growth initiatives, and disciplined capital allocation.

Speaker #2: This year, we are spending $205 million in CAPEX, including approximately 45% of that in growth capital initiatives. We are also committing $55 million to drill approximately 270,000 meters in 2026 to support our organic growth project.

Speaker #2: In addition, we plan to fully execute our share repurchase program objectives in 2026. Wesdome's financial position continues to be very strong. Our return on invested capitals, significantly increased in 2025, to approximately 36% from 23.6% in 2024.

Speaker #2: This beating most of our peers and seniors. We intend to improve upon that position in 2026 by delivering on production and reducing costs. With that, I'll now turn it over to Tyler to review operations.

Speaker #3: Thank you, Phil. And good morning, everyone. I'm very pleased to be part of the team here at Wesdome. While I've only been here about eight weeks, I've already spent considerable time at site, getting to know our people and our operations.

Speaker #3: My first impression: there is no question that Eagle River and Kena are high-quality assets. Unlocking their full value starts with a disciplined mining through a consistent operating model.

Speaker #3: And the building blocks are already in place. Our focus now is integrating them into a clear operating framework, enabling more data-driven decisions and delivering more stable, predictable performance.

Speaker #3: Turning now to slide 11, let's look at safety, something that I deeply care about. In 2025, we have no lost-time incidents. And our total recordable incident frequency rate improved by 60% over the prior year.

Speaker #3: This is an incredible accomplishment in just one year. And it reflects a meaningful and deliberate shift in safety culture. Our commitment is quite simple: everyone goes home safe, every single day.

Speaker #3: Let's move to slide 12. Eagle River delivered exceptional performance in 2025. Producing a record 113,000 ounces at 14 grams per ton. We closed the year with a strong Q4, producing nearly 24,000 ounces, while achieving the highest amount of underground tonnage ever mined and milled in a single quarter.

Speaker #3: Our team's disciplined focus on dilution control delivered measurable improvements throughout the year. Importantly, these are now embedded into our operating practices going forward. Provide a little bit more clarity around Q4.

Speaker #3: Our Q4 grade of 10 grams a ton was planned. Low-grade ore development was included in the plan to opportunistically extend the mining zones in the 300 zone.

Speaker #3: Unlocking stoke inventory for 2026 while strategically drawing down our stockpile to keep the mill running at optimal capacity. As we continue to ramp up underground tons, our processing capacity is ready.

Speaker #3: Reflecting the benefits of the investments made in the last year, in November, we ran the mill at over 1,000 tons per day. Demonstrating we can confidently handle higher throughput as we work towards filling the mill.

Speaker #3: In 2025, we focused on several key operational improvements. We advanced our proactive maintenance program and the results have been quite significant. We achieved a 30% improvement during the year and our target is 80% planned maintenance by the end of this year, bringing us in line with industry best practices.

Speaker #3: We also continue to transition from contract to reliance to a stronger in-house workforce. This program, launched in late 2024, is delivering results. Last year, Wesdome crews completed 55% of the total development meters.

Speaker #3: A 40% increase year over year. Today, all crews are Wesdome managed, supported by contractors as we continue recruiting. The end result: Eagle River's enters 2026, benefiting from previous initiatives, including the operational improvements as well as substantial stoke inventory.

Speaker #3: And this sets us up for operational success at another strong performance this year. We go to slide 13, outlines Eagle's 2026 guidance and upcoming milestones.

Speaker #3: 2026 production guidance is targeting 105,000 to 115,000 ounces at 13 to 14 grams per ton. Slightly lower grade than in 2025. This year's mine plan reflects significant investments in development, with a 10% increase year over year to reduce our reliance on the 300 zone.

Speaker #3: With over 50% of the tons coming from Falcon, 600, and other areas. This aligns with our strategy to bring a new zones and build flexibility underground.

Speaker #3: This is a joint effort between our exploration group and our operations team. ASIC is expected to increase in 2026 to between US 1525 and 1675 per ounce gold sold, mainly driven by higher cash costs associated with royalties and payments to First Nations.

Speaker #3: We are planning to spend about $105 million in capital, including $60 million in sustaining, which is largely consistent year over year. What is really exciting for the first time in years is the focus at Eagle River is shifting towards building a foundation for the future.

Speaker #3: And we have 45 million earmarked for growth capex. To support higher production rates, we're upgrading equipment and adding new, more mobile fleet. We are upgrading and expanding our camp capacity so we can attract and retain talent.

Speaker #3: At the same time, we're improving our site infrastructure and investing in exploration, drilling, tailings, and power. When we publish the results of our technical report in June, the rationale for these investments will become clear.

Speaker #3: Momentum is building at Eagle River, and we look forward to another good year. Moving now to Kena. On slide 14, Kena wrapped up 2025 producing 73,73,000 ounces.

Speaker #3: Which was within revised guidance range. Fourth quarter production was the strongest of the year, achieving 23,000 ounces. As Kena Deep hit plan, great reconciled well, the new Priscille zone contributed 2,500 ounces and our mill proved its capability.

Speaker #3: Averaging over 1,100 tons per day in December, with extended periods of more than 1,300 tons per day. My takeaway? As a mining rates increase and we feed more material through the mill, Kena's infrastructure is ready to scale.

Speaker #3: In 2025, there's major focus on operational flexibility at Kena as shown on slide 15. By increasing our development by 12% year over year, we increased our active mining areas and are now operating in three different zones.

Speaker #3: Two in Kena Deep and one at Priscille. Triple what we had for most of last year, when we are mining in just one zone.

Speaker #3: This is a game changer for Kena. As well, several key infrastructure projects started last year are well underway. The ramp connection to surface is nearing completion.

Speaker #3: And our ventilation upgrade, expected within the next year, will support higher production rates. We've also built two new drone platforms for Kena Deep, including the one at 109 drift extension which will allow us to efficiently test the high-grade DC zone and the 134 level which lets us further test extensions at Kena Deep.

Speaker #3: Finally, the development toward 142 is progressing on schedule and will add another mining horizon by year-end. On the operational support side, significant progress has also been made.

Speaker #3: Maintenance improvements from 2025 are being embedded to ensure equipment is reliable, available, and aligned with our operating plans. We filled 50% of the employee vacancies and are building the team needed to retain key skills, reduce reliance on contractors.

Speaker #3: Supply chain work is also underway, which will reduce our costs and support our maintenance program. And we are progressing well in the implementation of our operating model.

Speaker #3: As you may recall, as well last year, we commissioned an independent review of our critical infrastructure. We've begun proactive maintenance on key priorities and are developing a three-year infrastructure plan.

Speaker #3: While there's still more to do, we believe the positive impact of performance is just around the corner. Moving to slide 16. In terms of what you can expect from Kena in 2026, we've taken a conservative approach to Kena's production guidance.

Speaker #3: With 60% of the production inspected expected in the second half, this reflects three key factors. First, Q1 will be the lightest of the year.

Speaker #3: Due to plant sequencing, as well as a deliberate decision to focus on our maintenance work, our execution planning to set us up for the rest of the year.

Speaker #3: Second, production from Priscille, which has already started, will begin to ramp up in the second half. Third, we'll begin to see the value of the work initiative in 2025 related to systems, process, and workforce development.

Speaker #3: Unit costs are projected to decrease year over year driven by increased throughput and operational efficiencies. As well, growth capital Kena will decline substantially this year as we complete the Kena ramp and advance towards final completion of the ventilation infrastructure for Kena Deep.

Speaker #3: The bottom line? Operations at Kena are starting to show improvement. And we should start to see the compounding in the second half of the year.

Speaker #3: I'm really happy to have the opportunity to work at Westdome during this exciting period of growth. And now over to John to review exploration.

Speaker #1: Thank you, Tona. And good morning, 2025 is a pivotal year for exploration. At the beginning of the year, we stepped back, stripped down the program to the fundamentals, and established a pathway leading from a short-term focus on replacing production ounces to an aggressive, hybrid focus on both replacement and growth.

Speaker #1: Through the process, the team developed a new appreciation for the scale of the opportunity in front of us. The result is a more strategic and systematic approach focusing on data.

Speaker #1: Specifically, the integration of information with technology to identify geologic patterns, trends in mineralization, and gaps in our understanding. We strengthened our exploration toolbox by incorporating advanced processing of geophysical data which is enhancing our targeting process and building a more robust pipeline.

Speaker #1: For the first time in Westdome's history, we now have a clearly defined, short, medium, and long-term strategy. In addition to replacing reserves, we are focused on growing resources and making new discoveries.

Speaker #1: 2025 is a foundational year setting the base for a multi-year exploration strategy. Let's look at what was achieved at Eagle River. In mine, extensions were confirmed at known zones.

Speaker #1: First, we doubled the six central zones to 600 meters. Showcasing the downfront continuity with initial step-out drilling. Subsequently, supported with closer space infield drilling.

Speaker #1: Importantly, assays continue to demonstrate the high-grade nature of the zone, which is similar in grade to assays from the top of the 300 zone at similar depths.

Speaker #1: The zone remains open down plunge. We also confirmed the interpretation of a 300-fold zone as a separate structure and that both the 300 and the 300-fold zones remain open down plunge.

Speaker #1: Next, the extension of the 720,000 zone towards surface and to the west was confirmed. And at the end of the year, we completed the first phase of the global model drilling for the upcoming technical report.

Speaker #1: Global model drilling targets predominantly unclassified material above cutoff grade which was left behind during historic mining activities. As part of the field and mill strategy, this material has the potential to add incremental tons and ounces of grade, without displacing existing high-grade ore.

Speaker #1: Regional exploration is just as successful. In 2025, the team made a critical structural reinterpretation along the Mission Magneton Corridor. Which potentially has major implications for property-wide exploration.

Speaker #1: Following our acquisition of Angus Gold last June, we consolidated data with our own and reprioritized gorgeous deposits to test an historic resource that we expect to update, later this year.

Speaker #1: Finally, using IP surveys, we've identified new drilling targets to the west of Eagle River Mine, and at Abbey Lake. The Abbey Lake was also exciting.

Speaker #1: The IP survey covered a 10-kilometer zone of coincident geochemical and magnetic anomalies, along a portion of the regional forecast deformation zone. A conduit for mineralizing fluids.

Speaker #1: Turning to Kena, Kena made great strides in 2025. We demonstrated that Kena is not just high-grade. It is truly world-class with a standout intercept of 2,350 grams over 2.9 meters.

Speaker #1: Further drilling in the areas above the footfall zone identified a new high-grade A-zone lens that remains open. Drilling has also extended lenses of the high-grade footfall zone.

Speaker #1: Further drilling will be conducted to test the continuation both at depth and beyond the northernite fault zone, which currently constrains the drilling and interpretation.

Speaker #1: We've added three new lenses to the B zone and infield drilling is highlighted that it has the potential to host higher grades than previously thought, with logging a visible gold in the main lens.

Speaker #1: We identified a potential extension of the original chalky mines with northwest towards the Wish area and the highlight of the summer drilling program was the discovery of a new zone located beneath the Dubeson North and South zones.

Speaker #1: Along with this discovery, our geologists made a structural reinterpretation that has led us to think of Dubeson more as a potential bulk tonnage deposit at impressive grades.

Speaker #1: The style of mineralization, a diorite with quartz formaline veining, is similar to what we have drilled at Short and South deposit and which is reported at the nearby Gold Ex deposit.

Speaker #1: Notably, the majority of drilling at Short and South and Dubeson is still within 600 meters of surface. Well above the deep mineralization ranges in the Abbey Kingdom.

Speaker #1: Processing of high-resolution magnetic data that we collected in late 2025 has identified anomalies beneath Dubeson and between the west zone and cis-zone deposits. These will be drill tested in 2026.

Speaker #1: Looking at Eagle River, this year's program will be the largest in the mine's history, with roughly 145,000 meters of drilling planned. About half of the drilling is focused on new discoveries with the balance supporting phase two of our global model work and continued expansion of the 300, 311, 6 Central, and 1,000 zones.

Speaker #1: In the second half of 2025, drilling was focused on converging 11 global model targets, contributing to the feasibility studies. A similar number of global model targets are planned to be drilled in the first half of 2026.

Speaker #1: The Eagle River Mine is hosted in an intrusive diorite approximately 2.5 kilometers long by 0.8 of a kilometer wide. The diorite remains relatively untested by drilling, especially at depths and along the northern contact corridor.

Speaker #1: The potential discovering new mineralized structures is high. As part of our exploration strategy, we are drilling deep holes to test extensions of the 300, 311, 6 Central, and 800 zones.

Speaker #1: Early work beneath the 800 and between 1,000 and 720 and 311 is complete and we're already planning follow-up holes. This spring will advance Dorset and Cameron Lakes through infield drilling to move them towards resource definition, with both having the potential to strengthen our longer-term pipeline.

Speaker #1: At Mission Magneton, we're beginning to see a broader extent of low-grade mineralization and higher grades at depth beneath the Mission Peak. The mineralization remains open a long trend and down plunge.

Speaker #1: Additionally, the geological setting at Mission Magneton is starting to resemble other similar settings in the Abbey Kingdom that host deposits, giving us a new way of focusing our exploration.

Speaker #1: Finally, we'll test several new regional targets. Our first true early-stage or greenfield exploration on the property in many years. Moving to Kena, the 2026 program is equally exciting.

Speaker #1: We have 125,000 meters planned, focused on laying the groundwork for a multi-year growth strategy. More than 60% of these meters are dedicated to resource growth and making new discoveries.

Speaker #1: The extension of the exploration drift from level 109 will be completed this month and we will restart drilling of the C zone. Our previously reported intercept at the base of the zone 43 grams per tonne over 5 meters, remains open.

Speaker #1: The zone is a high priority for resource and reserve growth. From level 134, our new drill platform is giving us an excellent drilling angle into the deepest part of the Kena Deep, where we previously intercepted 15 grams per tonne over one—sorry, over 83 meters.

Speaker #1: This intercept was on the other side of the northernite fault structure and is currently not included in resource models. The intercept remains open in all directions and follow-up holes are planned for the first half of 2026.

Speaker #1: At Dubeson, we've already commenced deep drilling from level 33 to test the geophysical anomalies identified last year. As soon as weather conditions allow, we'll mobilise two barges to expand that program, follow up on 2025 targets, and test new areas.

Speaker #1: We're also launching the first land-based exploration program in several years, targeting Short and South, Short and Main, and new greenfield areas south of the mine.

Speaker #1: The Short and South program is very notable as it will define the extent of the diorite hosted quartz formaline mineralization. There is significant opportunity in front of us.

Speaker #1: To wrap up, over the next several years, we'll be aggressively managing our target triangle, expanding our pipeline, and advancing opportunities towards making discoveries that could transform our operations and define the next chapter of Wisdom.

Speaker #1: The best part of this is just the beginning. We are starting to diorite potential of the mineralizing systems. We have both our assets. Deliver on our higher expectations and we believe the next breakthroughs are on the horizon.

Speaker #1: Operator, you may now open the line for questions.

Speaker #2: If you'd like to ask a question during this time, simply press star followed by 1 on your telephone keypad. Your first question comes from the line of Jeremy Hoy from Canaccord Genuity.

Speaker #2: Your line is live.

Speaker #3: Hi, Anthea and team, thank you very much for taking my questions. First one for me is on the upcoming technical reports. In the disclosure, you mentioned that they were expected to demonstrate the longevity of these assets.

Speaker #3: So I was wondering to the extent that you can, if you could potentially preview what we might expect my thinking that this new geological model and some of the near-mine drilling would help to extend mine lives but regional exploration would be left for a later date.

Speaker #3: Is that thinking correct? And might we expect any incremental increase in throughput at either of the operations?

Speaker #4: Hi, Jeremy. Thanks for that question. I think it's multifaceted. The idea is there will be a release done at the time to explain to you how the potential growth will give an extent, maybe give you a view on the extent of the mine life extension what we know today in 2P reserve.

Speaker #4: As well as showcase how the exploration program will grow it further, if that makes sense. Beyond that, you should be able to see or get a sense of the regional potential beyond that as well.

Speaker #4: So I think it's going to be a very interesting release. For Kena, it will be a little bit behind, but we're doing it will give you'll have more of a sense of the scale of the opportunity from a geological potential as well as some of the addition on a reserve level.

Speaker #4: The geological model work at Kena will happen a bit later. It's a global model that comes first. Does that answer your question, Jeremy?

Jeremy Hoy: Would be left for a later date. Is that thinking correct? Might we expect any incremental increase of throughput at either of the operations?

Any incremental increase of throughput or either of the operations.

Speaker #3: Yeah, it does. Thanks for that color. I guess similarly on the topic of growth, the balance sheet is growing. There's no debt. Could you provide us your latest thoughts on M&A?

Anthea Bath: Hi, Jeremy. Thanks for that question. I think it's multifaceted. The idea is there'll be a release date and time to explain to you how the potential works. We'll give you a view on the extent of the Malmar station, what we know today in two key reserves, as well as showcase how the exploration program will grow it further, if that makes sense. Beyond that, you should be able to see or get a sense of the regional potential beyond that as well. I think it's gonna be a very interesting release. For Kiena, it will be a little bit behind because again, you'll have more of a sense of the scale of the opportunity from a geological potential as well as some of the additions on a reserve level.

Hi, Jamie.

I think it's multifaceted.

Yes.

You bet.

Thomas risk patient.

Yes.

As new off exchange.

Importantly, ATP was it at.

Speaker #4: Yeah, we obviously nothing's changed for you to how we feel about M&A. We're going to keep focused on looking at our first-year value for our shareholders at the time and looking for value and quality in this aspect.

One is showcased how.

The exploration program for growth.

Thanks.

Beyond that you should be able to achieve.

The state of the regional implications beyond that as well I think it's going to be very soon.

Speaker #4: Nothing's changed really, Jeremy. We remain very disciplined and prudent in the way we look at this.

It will be a little bit behind Michigan.

Speaker #3: Got it. Appreciate it. And the last one for me is just on the payments to First Nations that were factored into cost guidance for this year.

You'll have more of a sense of the scale of the opportunity of introduction of the pain as well as some of the nation.

Anthea Bath: The geological model work at Kiena will happen a bit later. It's a global model that's coming first. Okay. Okay. Does that answer your question, Jeremy?

Yeah.

The geological work at Keno Hill.

Speaker #3: Could you provide a bit more detail that might help us model those out going forward?

Nick.

It's simple.

Yes.

Speaker #4: I think I'll hand over to Tyler. Do you want to grab it? Or do you want me to do it? No problem. At this stage, I can't comment on the exact numbers because we're finalising the agreement as it is right now.

Thank you.

Does that answer your question Kevin.

Jeremy Hoy: Yeah, it does. Thanks for that color. I guess either similarly on, you know, the topic of growth, you know, the balance sheet is growing. There's no debt. Could you provide us your latest thoughts on M&A?

Yes. It does thanks, thanks for that color.

Yes.

Speaker #4: All we can say is we're making great progress with our First Nations on these agreements and hopefully we can daylight a little bit of that soon.

Similarly on the topic of growth.

The balance sheet is growing.

There is no debt could you provide us your latest thoughts on <unk>.

Speaker #3: Okay, great. Well, I really appreciate you taking my questions. I'll step back in the queue.

M&A.

Anthea Bath: We obviously nothing's changed really as to how we feel about M&A. We're gonna keep focused on looking at our per share value for our shareholders, and looking for value and quality in this aspect. Nothing's changed really, Jeremy. We remain very disciplined and prudent in the way we look at this.

Obviously nothing's changed.

Speaker #4: Thank you, Jeremy.

Speaker #2: Your next question comes from the line of Don DeMarco, from Nashville Bank Financial. Your line is live.

Still about M&A.

Yes.

I appreciate any color.

And the team for value and quality.

Speaker #5: Thank you, Operator. And good morning, Anthea and team. First question at Eagle: just wondering if you could provide a little more color on the pivot into the development or whether that worked out as you had hoped and whether do you expect the increase in throughput and reduction in grades that we saw in Q4 to be limited to Q4 or carry into Q1?

In this case really came in we remain very disciplined.

Right.

Jeremy Hoy: Got it. Appreciate it. The last one for me is just on the payments to First Nations that were factored into cost guidance for this year. Could you provide a bit more detail that might help us model those out going forward?

Got it I appreciate it and the last one for me is just on the payments to first nations that.

First factored into cost guidance for this year could.

Could you provide a bit more detail that might help us model those out going forward.

Speaker #5: Thank you.

Anthea Bath: I think I'll hand over to Tyler. Do you want to go ahead? Or you want me to do it? Go for it. At this stage, I can't comment on the exact numbers because we're finalizing those agreements as it is right now. All we can say is we making great progress with our First Nations on these agreements, and hopefully, we can say more about that too.

I think I'll hand over to Todd.

Speaker #4: Yep. Tyler, did you want to go ahead?

What's that.

Okay.

Speaker #6: Sure. In Q4, it was truly an opportunity as we were developing that fill, realized that there was more mineral potential at the end of each one of those fills.

Let's say that sometimes it could be finalized.

Now I only can say, we made great progress with our first nations agreements.

Speaker #6: So we extended it. On each side. Which gives us more stokes for 2026 that we can pull in that actually wasn't in the plan.

<unk>.

Keith.

Jeremy Hoy: Okay, great. Well, I really appreciate you taking my questions. I'll step back in the queue.

Okay, great well I really appreciate you taking my questions I'll step back in the queue.

Speaker #6: So it gives us a bit of flexibility there. Going forward, we don't expect that grade to continue. Our plan, as we said in the guidance, is around that 13, 14 grams a ton.

Anthea Bath: Thank you.

Operator: Your next question comes from the line of Don DeMarco from National Bank Financial. Your line is live.

Thank you next question comes from the line of Don Demarco from National Bank Financial Your line is live.

Don DeMarco: Thank you, operator. Good morning, Anthea and team. First question at Eagle. Just wondering if you could provide a little more color on the pivot into the development or whether that worked out as you had hoped. Whether do you expect the increase in throughput, and reduction in grades that we saw in Q4 to be limited to Q4 or carry into Q1? Thank you.

Speaker #6: And we expect to continue on that. It gives us the opportunity with additional stokes available to work on our sequencing for margin opportunities and capacity increases through the mill.

Thank you operator, and good morning at DMT.

First question at Eagle.

Just wondering if you could provide a little more color on the pivot into the development ore.

Speaker #4: I mean, I was going to add, John, that I think this was really great that the mine did this. The way that they planned and I think they did a great job of accepting value that was not in any plan.

Whether that that worked out as you had hoped.

And whether do you expect the increase in throughput and reduction in grades that we saw in Q4 to be limited to Q4 or carrying into Q1. Thank you.

Speaker #4: And they could do it.

Speaker #3: Okay. Thank you. Then maybe as a second question for John, and again, this builds on Jeremy's question. Looking ahead to these technical reports, what is the cutoff date for the resource estimates that will feed into these reports?

Anthea Bath: Go for it. Tyler, do you wanna go to me?

Yes.

[Company Representative 1] (Wesdome Gold Mines): Sure. Like, in Q4, it was truly an opportunity. As we are developing that sill, realized that there was more mineral potential at the end of each one of those sills, so we extended it on each side, which gives us more stopes for 2026 that we could pull in that actually wasn't in the plan. It gives us a bit of flexibility there. Going forward, we don't expect that grade to continue. You know, our plan, as we said in the guidance, is you know, around that 13, 14 grams a ton. And we expect to continue on that. It gives us the opportunity with additional stopes available to work on our sequencing, you know, for margin opportunities and capacity increases through the mill.

[Company Representative] (Wesdome Gold Mines): Sure. Like, in Q4, it was truly an opportunity. As we are developing that sill, realized that there was more mineral potential at the end of each one of those sills, so we extended it on each side, which gives us more stopes for 2026 that we could pull in that actually wasn't in the plan. It gives us a bit of flexibility there. Going forward, we don't expect that grade to continue. You know, our plan, as we said in the guidance, is you know, around that 13, 14 grams a ton. And we expect to continue on that. It gives us the opportunity with additional stopes available to work on our sequencing, you know, for margin opportunities and capacity increases through the mill.

Yes.

Sure.

Q4, it was truly was an opportunity as we are developing that still realize that there was more potential at the end of each one of those sales. So we extended.

On each side.

Speaker #3: And approximately how many metres will go into each of the updates? And is it going to be a blend of new fill and expansion, or primarily one or the other?

It gives us more sales for 2026 that we can pull and that actually wasn't in.

In the plan so it gives us a bit of flexibility there.

Going forward, we don't expect that to continue.

Speaker #3: And just trying to understand maybe the magnitude of drilling that's going to support these reports. Thank you.

Glenn as you said in the guidance is around 13.

<unk> 14 grams a tonne.

And we expect to continue on that it gives us the opportunity with additional stopes available to work on our sequencing for margin opportunities and capacity increases through the mill.

Speaker #6: Don, sure. Good question. Good question. So the technical reports are predominantly based on a database cutoff at the end of December. There's a portion on a few of the deposits where we pushed it out to middle of January for assays to come through.

Anthea Bath: I think, I mean, I just wanna add, Don, that I think this is a really great fit in mind. Just the way that they plan. I think they did a great job of accepting value that was not really being spent, and they could do it.

I think any of that's going to add.

John.

Okay.

Paul.

Speaker #6: But that's based on some 207,000 metres of drilling that we've completed in a year. Bear in mind, added to that is that part of our work with the global model is that we've been reviewing a lot of the historic data drill holes, channel sampling, mapping underground, and working on the database and validating that information and bringing that in as all part of the growth that we're doing on standardising and data quality work at the deposits.

And.

I think some of it.

Yes.

Thanks again.

Don DeMarco: Okay. Thank you. Maybe as a second question for Jono. Again, this builds on Jeremy's question. Looking ahead to these technical reports, what is the cutoff date for the resource estimates that will feed into these reports? And approximately how many meters will go into each of the updates? And is it gonna be a blend of new infill and expansion or primarily one or the other? I'm just trying to understand maybe the magnitude of drilling that's gonna support these reports. Thank you.

Okay. Thank you.

Then maybe as a second question for John.

And again Thats built on Jeremy's question.

Looking ahead to these technical reports on it.

The cutoff date for the resource estimates that will feed into these reports and approximately how many meters will go into each of the update.

Speaker #6: So we will see not just surface exploration, underground exploration, but impacts on the conversion, delineation drilling, plus some open pit material that we've been drilling as well.

And is it going to be a blend of <unk>.

And expansion or are primarily one or the other I'm just trying to understand.

Maybe the magnitude of drilling thats going to.

Support. These these report thank you.

Speaker #6: And we've mentioned Michigan Dorset.

Jono Lawrence: Sure. Good question. The technical reports are predominantly based on a database cutoff at the end of December. There's a portion on a few of the deposits where we pushed it out to middle of January while for assays to come through. That's based on some 207,000 meters of drilling that was completed in the year. Bear in mind, added to that is that part of our work with the global models is that we've been reviewing a lot of the historic data, drill holes, channel sampling, mapping underground, and working on the database and validating that information and bringing that in. That's all part of the growth that we're doing on standardizing and data quality work at the deposits.

Darn sure good questions good questions. So as it is.

Speaker #4: I think just to add for an update also the question took me to some kind of grades. The kind of grade really hasn't changed year over year, has it, Jonah?

Technical reports dominantly buys from our database.

Simba.

Speaker #4: The new resource grade. It's just honestly up to them as well. That's really important. Kind of the resource kind of grade we asked, what is that?

There is a portion of a few of the deposits we pushed it out to the middle of January.

She come through but Thats based on some 207000 meters of drilling.

Speaker #6: Yes. Don, we kept the same cutoff grade as last year. Earlier work, and that's currently under review as part of the technical feasibility studies.

Yes.

Bear in mind added to that.

Part of our model is that we have.

Speaker #3: Okay. Thank you. And just as a final question, and this would also be to John or then we're looking forward to the exploration teaching, but looking at all the targets you have and the potential upside, maybe if you could just what is your pecking order for maybe the top three exploration priorities?

Viewing a lot of this started.

Drill holes China.

Underground and working on the database and validating it as much.

As for policy growth doing and standardizing.

That's a quality void at the deposits so we will see.

Jono Lawrence: We will see not just surface exploration, underground exploration, but impacts on the conversion, delineation drilling, plus some open pit material that we've been drilling as well, as we've mentioned, Mishi and Dawson.

Speaker #6: Top pecking order without drilling down too much, Don, grade is king always. We're looking at our grade strategy and fill the mills. So we do have a balance of grade that's underground and close to the mine, number one.

Not just surface exploration underground exploration.

Impacts on the conversion delineation drilling plus some open pit material that has been driven as well as we've mentioned Michigan dose.

Anthea Bath: I think just to add, Don, I could ask the question to me. Because the current grade really hasn't changed year-over-year, has it, Jono, in the resource space. It's just been on the surface, and as well, that's really important. The resource current grade we asked, what is that?

Speaker #6: Two is in our target triangle, opportunities that are looking higher grade, but don't have a lot of drilling in them at the moment, what we call our Tier 5s and 6s advancing those that we have fruit that's available in the coming years.

I think just to add.

Ill.

And basically what we changed.

It will be.

Okay.

Thank you Kevin.

Really important.

Speaker #6: They're the two main ones. And then the third one would be longer-term step outs, what we call our Tier 6s as a conceptual. We've got a balance through a setting those up so that we test these geophysical and structural models that are coming through.

And this was Pennsylvania.

Jono Lawrence: Yes. Don, we've kept the same cutoff grade as last year, our earlier work, and that's currently under review as part of the technical feasibility studies.

Yes, Tom we've kept the same cutoff grade as last year and an early award next currently under review as part of the technical feasibility studies.

Don DeMarco: Okay. Thank you. Just as a final question, and this would also be to Jono then. You know, we're looking forward to the exploration teach-in, but looking at all the targets you have and the potential upside, maybe if you could just. What is your pecking order for maybe the top three exploration priorities?

Speaker #6: So we've got a balanced approach for drilling, not just this year, but for the next three years.

Okay. Thank you and just as a final question and this would also be to Jonathan and we're looking forward to the exploration teaching but.

Speaker #3: Okay. Thank you very much. That's all from me. Good luck with the rest of the quarter.

Looking at all of the targets you have in the potential upside maybe.

Speaker #6: Thanks, John.

Maybe if you could just what is your pecking order for maybe the top three exploration programs.

Speaker #2: As a reminder, if you'd like to ask a question during this time, simply press star followed by the number one on your telephone keypad.

Jono Lawrence: Top pecking order without actually knowing too much, Don, grade is king always. We're looking at our growth strategy in Kiena, so we do have a balance of grade that's underground and close to the mine, 1. 2 is, you know, tight triangle opportunities that are looking higher grade, but don't have a lot of drilling at it at the moment. What we call our tier five and six. Those that we have surface available in the coming years. They're the two main ones. The third one would be longer term step out that we call our tier six as a conceptual. We've got to balance through setting those up so we test these geophysical and structural models that are coming through. We've got a balanced approach for drilling, not just this year, but the next three years.

Tom Thank you.

Two months.

Speaker #2: Your next question comes from Alison Carson from Desjardines. Your line is live.

Right.

Yes.

Speaker #7: Thanks. Good morning, Anthea and team, and congratulations on a great quarter. My first question is just on labour in Val d'Or. I was wondering if you can get us a little bit more color on how you're seeing turnover in labour availability at Kena, and have there been any impacts on the operation either in a positive way or a negative way?

All right.

Number one.

Sure.

The JV setup.

Hi, Doug.

Yes.

Okay.

Speaker #4: Yeah, that's a great question. And thanks, Alison, for your question. This is the labour situation is very challenging in Val d'Or, as you rightly have put, and it's something that we I've said this before to the market.

Sure.

The two main ones and then the third one.

Longer term step downs pulled out six years a conceptual.

<unk> setting those up.

Speaker #4: I'll say it again. It's something that's just top of our agenda in terms of how we think about the business. We obviously keep looking at this, what we currently doing is we keep building our first programs which will pull a labour strategy that's very strong for operations.

Texas, Geophysical and structural models that are coming through.

Balanced approach.

Julian.

But from the distributors.

Don DeMarco: Okay. Thank you very much. That's all for me. Good luck with the rest of the quarter.

Okay. Thank you very much that call for me good luck with the quarter.

Jono Lawrence: Thanks, Don.

So.

Speaker #4: Our turnover rates are far higher than we'd like them at the moment. So we need to pull that right now. What we're doing is we're putting this upwards with the contractors which are way more expensive, as you probably know.

Operator: As a reminder, if you'd like to ask a question during this time, simply press star followed by the number one on your telephone keypad. Your next question comes from Allison Carson from Desjardins. Your line is live.

As a reminder, if you'd like to ask a question. During this time simply press star followed by the number one on your telephone keypad.

Your next question comes from Allison Carson Deja, Doug Your line is live.

Speaker #4: So the issue of density building on the back of that, which is not very helpful. But you can imagine while we are focusing strongly on the labour strategy in that case.

Allison Carson: Great. Good morning, Anthea Bath team, and congratulations on a great quarter. My first question is just on labor in Val-d'Or. I was wondering if you can give us a little bit more color on how you're seeing turnover and labor availability at Kiena. Have there been any impacts on the operation, either in a positive way or a negative way?

Thanks, Good morning, Andy and team and congratulations on a great quarter.

Speaker #4: But I think the work we've done over the last two years in building our compensation structures and all these other things like cultural development as well as understanding what our employees want, working on various surveys with our employees to understand what matters to them and building our long-term life of mine that shows people a future, I think those will start to ring true as we start to keep building on the business as a whole.

First question is just on labor and Val d'or I was wondering if you can get.

A little bit more color on how youre seeing turnover and labor availability at keno and have there been any impact on the operation either in a positive way or a negative way.

Anthea Bath: Yeah, that's a great question. Thanks, Allison, for your question. The labor situation is very challenging in Val-d'Or, as you rightly put, and it's something that like I said this before to the market, I'll say it again, it's something that's just top of mind to me in terms of how we think about the business. We obviously keep looking at this. What we're currently doing is we keep building our various programs, which will build a labor strategy that's very strong for operations. Our turnover rates are far higher than we'd like them at the moment, so we need to build it. Right now, what we're doing is we're filling this up with contractors, which are way more expensive, as you probably know.

It's a great question.

We have fixed it.

<unk>.

Thank you.

Okay.

Yes.

Speaker #4: So I'm really hoping that we'll get as more stability and stickiness in this. Obviously, another big thing with this team, we care about leadership and making sure the leaders lead with the culture we want.

Taking into account.

And the business.

We obviously keep looking at.

But we can't just getting its feet.

Yes.

Speaker #4: And I think that's been enhanced in the work that we've been doing over the last while.

And as president.

I understand.

Operation.

And I would say that the rates are higher than that.

Speaker #7: Great. That was very helpful. Thank you. And just one other question for you. In terms of capital or return of capital to shareholders, we've seen several of your peers start to give a small dividend.

The black now beginning.

Absolutely.

On taxes, Mr way more cases.

Anthea Bath: There is a disadvantage to people seeing the back of that, which is not very helpful. You can imagine why we are focusing strongly on the labor strategy in that case. I think the work we've done over the last 2 years in building our compensation structures and all these other things like cultural benefits, as well as understanding what our employees want, working on various surveys with our employees to understand what matters to them, and building up a long-term miner's life of mine that shows people a future. I think those will start to really improve as we start to keep building on, you know, the business as a whole. I'm really hoping that what we'll get is more stability and sticking with us in this.

Most of the people in Africa.

Speaker #7: Is this something you're considering with the strong free cash flow generation that you're expecting for this year?

That does that.

And Thats, a long strong M&A percentage in that case.

Speaker #4: Sorry, Alison. I did not hear you. Can you say that again, please? Sorry.

It will be done.

Speaker #7: Yep. I was saying in terms of return of capital to shareholders, we've seen several of your peers start to give a small dividend. Is that something you're considering with strong free cash flow generation expected this year?

The last two years building our compensation structures and.

<unk> backlog.

As far as understanding what actually flat.

And if it makes sense.

Speaker #4: I'm going to hand over to Paul. No worries about this for us.

Canadian building.

And Manav.

Speaker #6: Hi, Alison. I mean, return on capital is front and centre, top of mind. And as we continue to grow our balance sheet and dividends are a consideration.

P J.

It will start to lead to some stability.

And the whole <unk>.

Okay.

Thank you.

Anthea Bath: Obviously, another big thing with this team, we care about leadership, and making sure that we just lead with the culture we want. I think that's been enhanced, in the work that we've been doing over the last while.

I will begin.

And then looking to meet with the comps in the market.

Speaker #6: And we'll be looked at as we progress through the year.

Eight pumps.

Wow.

Speaker #7: All right. Great. Well, that's it for me. And thank you for taking my questions this morning.

Allison Carson: Great. That's very helpful. Thank you. Just one other question for you. You know, in terms of capital, a return of capital to shareholders, you know, we've seen several of your peers start to give a small dividend. Is this something you're considering with strong free cash flow generation maybe you're expecting this year?

Great. That's very helpful. Thank you and just one other question.

Speaker #4: Thanks, Alison.

Capital return of capital to shareholders.

In several of your peers I forget that our dividend is it something to consider.

Free cash flow generation irrespective.

Anthea Bath: Sorry, Allison. I did not hear you. Can you say that again, please? Sorry.

Alright.

2018.

Trent.

Allison Carson: Yep. I was saying in terms of return of capital to shareholders, we've seen several of your peers start to give a small dividend. Is that something you're considering with strong free cash flow generation expected this year?

Yes, I was saying in terms of return of capital to shareholders. We've seen several of your peers start to give a small dividend is that something you're considering with strong free cash flow generation expected this year.

Anthea Bath: I'm gonna hand over to Phil. He worries about this for us. Thank you.

I'm going to hand over to Keith.

Perfect.

[Company Representative 2] (Wesdome Gold Mines): Hi, Allison. Absolutely. I mean, return on capital is front, you know, front and center, top of mind. As we continue to grow our, you know, our balance sheet and dividends are a consideration and will be looked at, you know, as we progress through the year.

[Company Representative] (Wesdome Gold Mines): Hi, Allison. Absolutely. I mean, return on capital is front, you know, front and center, top of mind. As we continue to grow our, you know, our balance sheet and dividends are a consideration and will be looked at, you know, as we progress through the year.

Hi, Allison.

Hi.

Return on capital is.

Home Center top of mind.

As we continue to grow our.

Our balance sheet.

Dividends are a consideration.

And we will be looked at as we progress.

Allison Carson: All right, great. Well, that's it. That's it for me. Thank you for taking my questions this morning.

Alright, great.

That's it for me and thank you for taking my questions.

Anthea Bath: Thanks, Allison.

Yes.

Operator: That concludes today's question and answer session. Thank you for joining Wesdome Gold Mines Q4 2025 conference call and webcast. You may now disconnect.

Operator: That concludes today's question and answer session. Thank you for joining Wesdome GoldMines Q4 2025 conference call and webcast. You may now disconnect.

That concludes today's question and answer session.

Thank you for joining Wesco Goldmine for Q4 2025 conference call webcast you may now disconnect.

Okay.

Q4 2025 Wesdome Gold Mines Ltd Earnings Call

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