Q2 2026 Orezone Gold Corp Earnings Call

August 12, 2026

Speaker #1: Thank you for standing by. My name is Prela, and I will be your conference operator today. At this time, I would like to welcome everyone to the Orezone Q2 2026 results webcast and conference call.

Operator 2: Thank you for standing by. My name is Perla and I will be your conference operator today. At this time, I would like to welcome everyone to the Orezone Q2 2026 results webcast and conference call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session and if you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, please press star one again. Thank you. I would now like to turn the conference over to Patrick Downey, President and CEO. You may begin.

Operator: Thank you for standing by. My name is Perla and I will be your conference operator today. At this time, I would like to welcome everyone to the Orezone Q2 2026 results webcast and conference call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session and if you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, please press star one again. Thank you. I would now like to turn the conference over to Patrick Downey, President and CEO. You may begin.

Speaker #1: All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session. And if you would like to ask a question during this time, simply press the star, followed by the number 1 on your telephone keypad.

Speaker #1: If you would like to withdraw your question, please press the star 1 again. Thank you. I would now like to turn the conference over to Patrick Downey, president and CEO.

Speaker #1: You may begin.

Speaker #2: Thank you, operator, and good afternoon, everyone. And thank you for joining us for Orezone's second quarter 2026 results conference call and webcast. Joining me today is Peter Tam, executive vice president and chief financial officer.

Patrick Downey: Thank you, operator, and good afternoon, everyone, and thank you for joining us for Orezone's Q2 2026 results conference call and webcast. Joining me today is Peter Tam, Executive Vice President and Chief Financial Officer. Before we begin, I'd ask everyone to take note of the forward-looking statements and other disclosures in slides 2 and 3 of the presentation. I'll start on slide 4 with an overview of the quarter. Q2 marked our first full quarter operating as a multi-mine gold producer following the acquisition of Casa Berardi mine in late March. At Bombora, we produced just over 38,000 ounces of gold during the quarter. As previously discussed, we expect a very strong H2 at Bombora as we gain full access to the higher-grade hard rock ore, and that is happening in Q3.

Speaker #2: Before we begin, I'd ask everyone to take note of the forward-looking statements and other disclosures and slides 2 and 3 of the presentation. And I'll start on slide 4 with an overview of the quarter.

Speaker #2: Q2 marked our first full quarter operating as a multi-mind gold producer following the acquisition of Cassavarardi Mine in late March. At Bambori, we produced just over 38,000 ounces of gold during the quarter.

Speaker #2: And as previously discussed, we expect a very strong second half at Bambori as we gain full access to the higher-grade hard rock ore and that is happening in Q3.

Speaker #2: At Cassavarardi, we produced just over 20,000—sorry, 20,500—ounces of gold in our first full quarter of ownership. Since closing the acquisition, our focus has been investing in the operation, particularly in underground development, equipment, and exploration.

Patrick Downey: At Casa Berardi, we produced just over 20,500 ounces of gold in our first full quarter of ownership. Since closing the acquisition, our focus has been investing in the operation, particularly in underground development, equipment, and exploration, and we're making excellent progress in each of those areas. We also continue to advance a number of growth projects during the quarter. We released exploration results from both Bombora and Casa Berardi, highlighting the potential to continue growing the resource at both operations. Stage 2A at Bombora remains on schedule for commission in October. In Quebec, we're working towards the release of both the updated Casa Berardi life of mine study in September, followed closely by the Heva-Hosco PEA later in the fall. With that, I'll turn it over to Peter to take us through the financial results.

Speaker #2: And we're making excellent progress in each of those areas. We also continue to advance a number of growth projects during the quarter. We released exploration results from both Bomboré and Kassanvaradi.

Speaker #2: Highlighting the potential to continue growing the resource at both operations. Stage 2A at Bambori remains unscheduled for commission in October. And in Quebec, we're working towards the release of both the updated Cassavarardi Life of Mine study in September, followed closely by the Hebohosco PEA later in the fall.

Speaker #2: With that, I'll turn it over to Peter to take us through the financial results.

Speaker #3: Thanks, Patrick. In Q2, combined gold sales from our two mines were 60,654 ounces, reflecting the first full quarter of contribution from Cassavarardi—a step change in our sales and production profile moving forward.

Peter Tam: Thanks, Patrick. In Q2, combined gold sales from our two mines was 60,654 ounces, reflecting the first full quarter of contribution from Casa Berardi, a step change in our sales and production profile moving forward. All-In Sustaining Cost per ounce sold was $2,449 for Q2 and $2,371 for the first half of 2026, in line with our annual guidance range. EBITDA was $119.6 million for Q2 and $211 million for the first half of 2026.

Speaker #3: All-in sustaining costs per ounce sold were $2,449 for Q2 and $2,371 for the first half of 2026, in line with our annual guidance range.

Speaker #3: EBITDA was 119.6 million. For Q2 and 211 million for the first half of 2026. After removing the effects of the PPA adjustments from the Cassavarardi purchase accounting, for gold inventory sold and stockpiles processed in the quarter, adjusted EBITDA was higher at 134.4 million.

Peter Tam: After removing the effects of the PPA adjustments from the Casa Berardi purchase accounting for gold inventory sold and stockpiles processed in the quarter, adjusted EBITDA was higher at $134.4 million for Q2 and $228.7 million for the first half of 2026. Net earnings attributable to Orezone shareholders was $45.2 million and $0.07 per share, while adjusted net earnings to Orezone shareholders was higher again at $55.2 million and $0.08 per share with the removal of the PPA adjustments. Cash flow from operations was strong in Q2 with $109 million generated from the continued sale of gold ounces at a healthy All-In Sustaining Cost margin approaching $2,000 per ounce. Operating cash flows were further aided by VAT recoveries in Burkina Faso of over $19 million in the quarter.

Speaker #3: For Q2 and 228.7 million for the first half of 2026. Net earnings attributed to Orezone shareholders was 45.2 million, and 7 cents per share, while adjusted net earnings to Orezone shareholders was higher again at 55.2 million, and 8 cents per share with the removal of the PPA adjustments.

Speaker #3: Cash flow from operations was strong in Q2, with 109 million generated from the continue sale of gold ounces at a healthy all in sustaining costs margin, approaching 2,000 dollars per ounce.

Speaker #3: Operating cash flows were further aided by VAT recoveries in Burkina Faso of over 19 million in the quarter. We exited the quarter with cash of 96.7 million and bullion inventory with a market value of 21.12 million, a very healthy balance sheet.

Peter Tam: We exited the quarter with cash of CAD 96.7 million and bullion inventory with a market value of CAD 21.2 million, a very healthy balance sheet. With the recent recovery in gold prices in this past week and improved feed grades planned for both operations in Q4, cash flow generation should remain robust in H2 2026. We expect our liquidity outlook to further improve at year-end, while at the same time continue to pay down our senior debt. With that, I will hand it back to you, Patrick.

Speaker #3: With the recent recovering gold prices in this past week and improved freed grades, planned for both operations in Q4, cash flow generation should remain robust in the second half of 2026.

Speaker #3: We expect our liquidity outlook to further improve at year-end, while at the same time continuing to pay down our senior debt. With that, I'll hand it back to you, Patrick.

Speaker #2: Thanks very much, Peter. I'll go right into Bambori operations. So, Bambori produced, as we stated, 38,063 ounces during the quarter, which was as we expected.

Patrick Downey: Thanks very much, Peter. I will go right into Bombora operations. Bombora produced, as we stated, 38,063 ounces during the quarter, which was as we expected. Mining performance remained strong with approximately 8.3 million tonnes of total material mined during the quarter. However, intermittent and delayed emulsion deliveries earlier in the year required us to adjust the mining sequence, which did reduce the amount of higher grade hard rock available to the mill during H1, as originally planned. Since then, we have secured two additional emulsion suppliers with consistent deliveries now being achieved, which will provide greater supply reliability as we advance the revised mine plans through H2, which we are already seeing. As a result, we expect the grade and production profile to improve significantly through H2 as we regain access to these higher grade hard rock areas.

Speaker #2: Mining performance remained strong, with approximately 8.3 million tons of total material mined during the quarter. However, intermittent and delayed emulsion deliveries earlier in the year required us to adjust the mining sequence, which did reduce the amount of higher-grade hard rock available to the mill during the first half, you know, as originally planned.

Speaker #2: Since then, we've secured two additional emulsion suppliers, with consistent deliveries now being achieved. This will provide greater supply reliability as we advance the revised mine plan through the second half.

Speaker #2: Which we are already seeing. As a result, we expect the grading production profile to improve significantly through H2, as we regain access to these higher-grade hard rock areas.

Speaker #2: Unicost increased compared to Q2 of last year, really reflecting the addition of the hard rock mining and processing. Despite the lower grades experienced in the first half, we were able to produce within our guidance. Our 2026 production and cost guidance remain unchanged, and we do expect to see a reduction in overall costs as we mine the higher-grade hard rock throughout the second half of 2026.

Patrick Downey: Unit cost increased compared to Q2 of last year, really reflecting the addition of the hard rock mining and processing. Despite the lower grades experienced in H1, we were able to produce within our guidance and our 2026 production and cost guidance remain unchanged, and we do expect to see a reduction in overall costs as we mine the higher grade hard rock throughout H2 2026. Switching to Casa Berardi.

Speaker #2: Switching to capital projects—oh, sorry, Cassavarardi, pardon me. This is a quick look at stage 2A. This is the rock breaker, already installed and commissioned.

Peter Tam: Capital project.

Patrick Downey: Oh, sorry, capital project, pardon me. This is a quick look at Stage 2A. This is the rock breaker already installed and commissioned. Oxygen plant well advanced. Thickener well advanced for commissioning in October, and we expect full commissioning and ramp up during Q4, on time and on budget again. This is the large tailing cell. We have now completed the full footprint for the tailing storage facility, and we completed that in Q2. So that is now fully ready and operating. So testament to the team yet again, even though we had some supply chain logistics throughout H1, we remain on budget, on schedule for Stage 2A. Switching over to Casa. The operation produced 20,503 ounces of gold during the quarter, which was its first full quarter under our ownership and was right on our budget.

Speaker #2: Oxygen plant well advanced. Thickener well advanced for commissioning in October, and we expect full commissioning and ramp-up during Q4. On time and on budget again.

Speaker #2: And this is the large tailings cell. We've now completed the full footprint for the tailings storage facility, and we completed that in the second quarter.

Speaker #2: So that's now fully ready and operating. So testament to the team, yet again, even though we had some supply chain logistics throughout the first half of the year, you know, we've remained on budget, on schedule for stage 2A.

Speaker #2: So switching over to Cassa. The operation produced 20,503 ounces of gold during the quarter, which was its first full quarter under our ownership, and was right on our budget.

Speaker #2: At Cassa, open pit mining totaled 1.15 million tons during the quarter, reflecting the planned waste stripping underway at the F160 pit. Underground ore mined totaled approximately 82,000 tons, and we had 406 meters of lateral development completed during the quarter.

Patrick Downey: At Casa, the open pit mining totaled 1.15 million tonnes during the quarter, reflecting the planned waste stripping underway at the F160 pit. Underground ore mine totaled approximately 82,000 tonnes, and we had 406 meters of lateral development completed during the quarter. Since the acquisition, the key focus has really been increasing the underground development rates, which really ramped up from a zero start in beginning of Q2. We are ramping it up now and it will continue to ramp up during Q3 and Q4. We have got a contractor on site. We are now rebuilding the stope inventory to support higher underground production over time. We are obviously ramping up our exploration. We have also added mobile mining equipment throughout the quarter, and that will continue through the year with further purchases in 2027 and expanding our pre-production drilling to support that ramp up.

Speaker #2: Since the acquisition, the key focus has really been increasing the underground development rates, which really ramped up from a zero start at the beginning of Q2.

Speaker #2: We're ramping it up now, and it'll continue to ramp up during Q3 and Q4. We've got a contractor on site. We're now rebuilding the stove inventory to support higher underground production over time.

Speaker #2: And we are obviously ramping up our exploration. We've also added mobile mining equipment throughout the quarter, and that will continue through the year, with further purchases in 2027, and expanding our pre-production drilling to support that ramp-up.

Speaker #2: The mill processed approximately 364,000 tons during the quarter at an average head grade of 2.01 grams per ton, and a recovery rate of 86.8%.

Patrick Downey: The mill processed approximately 364,000 tonnes during the quarter at an average head grade of 2.01 grams per tonne and a recovery rate of 86.8%. Mill throughput also performed ahead of plan at approximately 4,000 tonnes per day, compared with the planned rate of approximately 3,900. Just after Q2, we actually had a rate of 4,700 tonnes a day, so we are very excited about what we have been able to do with the mill, and we hopefully will be able to ramp that up over 4,000 continuously through the life of the mine. Exploration activity continues to ramp up since the acquisition, with 5 drill rigs currently active and a sixth expected to be added shortly. Initial drill results released in May included several high-grade intercepts near surface, and we will have further results later in the quarter and results throughout the year.

Speaker #2: Mill throughput also performed ahead of plan at approximately 4,000 tons per day, compared with the planned rate of approximately 3,900. During just after Q2, we actually hit a rate of 4,700 tons a day, so we're very excited about what we've been able to do with the mill.

Speaker #2: And we hopefully will be able to ramp that up over 4,000 continuously through the life of the mine. Exploration activity continues to ramp up since the acquisition, with five drill rigs currently active, and a sixth expected to be added shortly.

Speaker #2: Initial drill results released in May included several high-grade intercepts near surface, and we will have further results later in the quarter. And results throughout the year.

Speaker #2: Looking ahead, waste stripping at the F160 pit is expected to be complete in Q3, positioning the operation for higher grades 2026 production and cost guidance for Cassa remains unchanged.

Patrick Downey: Looking ahead, waste stripping at the F160 pit is expected to be complete in Q3, positioning the operation for higher grades in Q4. Our 2026 production and cost guidance for Casa remains unchanged. Finally, looking ahead in 2026, the key catalysts which are expected to drive value throughout 2026 into 2027. At Bombora, as I stated, we expect production to strengthen through H2 as access to the higher-grade hard rock improves, which should also have a positive impact on costs, while Stage 2A remains on schedule for commissioning in October. In Quebec, September will be a very important month for us. We expect to release the updated Casa Berardi life of mine study, which will outline our longer-term plans for the operation. We will also release the Heva-Hosco PEA shortly thereafter, providing our first economic assessment of another potential growth opportunity within our Quebec portfolio.

Speaker #2: So finally, looking ahead in 2026, the key catalysts which are expected to drive value throughout 2026 into 2027. At Bambori, as I stated, we expect production to strengthen through the second half as access to the higher-grade hard rock improves, which should also have a positive impact on costs.

Speaker #2: While stage 2A remains on schedule, for commissioning in October. In Quebec, September will be a very important month for us. We expect to release the updated Cassavarardi Life of Mine study, which will outline our longer-term plans for the operation.

Speaker #2: We will also release the Haver Hosco co PEA shortly thereafter, providing our first economic assessment of another potential growth opportunity within our Quebec portfolio, which we are very excited about, along Break.

Patrick Downey: Which we are very excited about. Along the Cadillac-Larder Lake Break, not that far from the Cadillac mining operation on the other side of the border, the Casa Berardi exploration also remains obviously a key focus at both assets with active programs underway at Casa and Bombora. We did release exploration results from Bombora earlier this week. We are very, very pleased with those and we expect further results later in the year. It is going to be a very busy second half. Strong production expected across both operations and several very important milestones coming up over the next few months. With that, I would hand it back to the operator, and we would be happy to take your questions.

Speaker #2: Not that far from the Cadillac mining operation on the other side of the border, the Kere Addana. Exploration also remains, obviously, a key focus at both assets, with active programs underway at Kassan and Bambori.

Speaker #2: We did release exploration results from Bambori earlier this week. We are very, very pleased with those. And we expect further results later in the year.

Speaker #2: So it's going to be a very busy second half, strong production expected across both operations and several very important milestones to come over coming over up over the next few months.

Speaker #2: With that, I'd hand it back to the operator to, and we'd be happy to take your questions.

Speaker #1: Thank you. We will now begin the question and answer session. If you have dialed in and would like to ask a question, please press star one on your telephone keypad to raise your hand and join the queue.

Operator 2: Thank you. We will now begin the question and answer session. If you have dialed in and would like to ask a question, please press star one on your telephone keypad to raise your hand and join the queue. If you would like to withdraw your question, simply press star one again. One moment please for your first question. Your first question comes from the line of Mohamed Sidibe with National Bank. Please go ahead.

Operator: Thank you. We will now begin the question and answer session. If you have dialed in and would like to ask a question, please press star one on your telephone keypad to raise your hand and join the queue. If you would like to withdraw your question, simply press star one again. One moment please for your first question. Your first question comes from the line of Mohamed Sidibe with National Bank. Please go ahead.

Speaker #1: If you would like to read your question, simply press the star one again. While moment, please for your first question. And your first question comes from the line of Mohammed Sidibe with National Bank.

Speaker #1: Please go ahead.

Speaker #3: Hi Patty and Tim, and thanks for taking my question. Good to see the cost improvement during the quarter—good cost performance above Bambiri and Cassavarardi there.

Mohamed Sidibe: Hi, Paddy and team, and thanks for taking my question. Good to see the cost improvement in the quarter, good cost performance above Bombora and Casa Berardi there. I think you have detailed the production profile into the H2 of the year. Could you give us some guidance in terms of CapEx spend into Q3 and Q4 at both Bombora and Casa Berardi to just better understand how you get to your guidance there? Thank you.

Mohamed Sidibé: Hi, Paddy and team, and thanks for taking my question. Good to see the cost improvement in the quarter, good cost performance above Bombora and Casa Berardi there. I think you have detailed the production profile into the H2 of the year. Could you give us some guidance in terms of CapEx spend into Q3 and Q4 at both Bombora and Casa Berardi to just better understand how you get to your guidance there? Thank you.

Speaker #3: I think you've detailed the production profile into the second half of the year. Could you give us some guidance in terms of capex spend into Q3 and Q4 at both Bomboré and Casavaradì, to just better understand how you get to your guidance there?

Speaker #3: Thank you.

Speaker #2: Okay. Well, I'll let Peter answer that. He's got that data at his hand.

Patrick Downey: Well, I will let Peter answer that. He has that data at his hand probably.

Speaker #3: Yeah. Mohammed, I'm obviously that's in our disclosure in the MDNA. We're very confident in terms of the guidance range we've given for both operations there.

Peter Tam: Yeah, Mohamed, obviously that's in our disclosure in the MD&A. We're very confident in terms of the guidance range we've given for both operations there. We've given obviously the color around Bombora in terms of our growth CapEx, the three main items there being the cell 2 expansion on the tailings, which as Patrick has already pointed out, is completed, the ongoing Resettlement Action Plan as well as the Stage 2A, which will be commissioned or planned to be commissioned in October. Then on to Casa Berardi, it's really additions that we have planned for in terms of the mobile mining fleet, primarily in the underground, but also in the open pit. Then further additions around underground development and some plant improvements and ongoing tailings lifts. Hopefully that's enough color. If you feel there's more color is needed, certainly you can reach out to us afterwards.

Speaker #3: around Bambori in terms of our growth capex, a 3 main items there being the sell-to expansion and the tailings, which as Patrick has already pointed out is completed.

Speaker #3: The ongoing wrap, as well as Stage 2A, which will be commissioned or planned to be commissioned in October. And then on to Cassava Rardi, it's really additions that we have planned for in terms of the mobile mining fleet.

Speaker #3: Primarily in the underground, but also in the open pit, and then further additions around underground development and some planned improvements, as well as the ongoing tailings lift.

Speaker #3: So hopefully that's enough color. If you feel that more color is needed to, certainly you can reach out to us after. Afterwards. Sounds good.

Speaker #3: Yeah, maybe I'll reach out in terms of specifics on both assets. And maybe, Patty, on Cassavarardi — it's good to see the throughput improvements, and I think you've noted that on some days you've seen the plant exceeding even 4,000 tons per day.

Mohamed Sidibe: Sounds good. Yeah, maybe I'll reach out for specifics at both assets. Maybe Paddy, on Casa Berardi, and good to see the throughput improvements, and I think you've noted that some days you've seen even the plant exceeding even 4,000 tons per day. Can you maybe provide us with some color on what's driving that outperformance versus your plan? What have you seen to date that's led to this positive update there? Thank you.

Mohamed Sidibé: Sounds good. Yeah, maybe I'll reach out for specifics at both assets. Maybe Paddy, on Casa Berardi, and good to see the throughput improvements, and I think you've noted that some days you've seen even the plant exceeding even 4,000 tons per day. Can you maybe provide us with some color on what's driving that outperformance versus your plan? What have you seen to date that's led to this positive update there? Thank you.

Speaker #3: Can you maybe provide us with some color on what's driving that outperformance versus your plan? Like what have you seen to date that's led to this positive update there?

Speaker #3: Thank you.

Speaker #2: Yeah, we just made some changes around the gravity circuit. We added an additional Nelson concentrator, which may change some of the feed around the mills.

Patrick Downey: Yeah, we just made some changes around the gravity circuit, added an additional Knelson concentrator, which may change some of the feed around the mills. We've just pushed some of the throughput in and around the CIL to see where the recovery went. I mean, you only know when the recovery drops off when you push the throughput. So we've sort of pushed the guys a little bit. We've made some tailings line improvements as well. We further expect to see how that goes on a consistent basis as we test the mill throughput.

Speaker #2: And we've just placed some of the throughput in and around the CIL, to see where the recovery went. I mean, you only know when the recovery drops off when you place the throughput.

Speaker #2: So we've sort of placed the guys a little bit. We've made some tailings line improvements as well. So and we further expect that to see how that goes on a consistent basis as we test that as we test that the mill throughput.

Speaker #3: Thank you. I'll jump back into queue. Thanks for taking my question.

Mohamed Sidibe: Thank you. I'll jump back into queue. Thanks for taking my question.

Mohamed Sidibé: Thank you. I'll jump back into queue. Thanks for taking my question.

Speaker #1: Thank you. And the next question comes from the line of Jeremy Hoy, with Canada Continuity. Please go ahead.

Operator 2: Thank you. The next question comes from the line of Jeremy Hoy with Canaccord Genuity. Please go ahead.

Operator: Thank you. The next question comes from the line of Jeremy Hoy with Canaccord Genuity. Please go ahead.

Speaker #4: All right. Patty and Tim, thanks for taking my question. First one for me is on Bambori. It's good to see those exploration results. It's got me thinking about a bigger resource there.

Jeremy Hoy: Hi, Paddy and team. Thanks for taking my question. First one for me is on Bombora. It's good to see those exploration results. It's got me thinking about a bigger resource there. On the 2B expansion, that's spending still on hold, and you've noted you're going to take a cautious approach there. What would you need to see to think about green lighting 2B again?

Speaker #4: On the 2B expansion, that's spending still on hold and you've noted you're going to take a cautious approach there. What would you need to see to think about green lighting 2B again?

Speaker #2: Well, I think obviously there's the government purchase of Keyaket. And that hasn't been fully finalized yet. And once we know the full terms and conditions of that, we can better examine it.

Patrick Downey: Well, I think, obviously there's the government purchase of Kiaka, and that hasn't been fully finalized yet. Once we know the full terms and conditions of that, we can better examine it. We probably want to sit down with the government and talk about where we want to go with us to get some guarantees after that from what we want to spend. I mean, on paper, it absolutely makes sense and in operation makes sense. But we just want to spend our capital where we believe that we've got reasonable security and ownership.

Speaker #2: And we'd probably want to sit down with the government and talk about where we want to go with this to get some guarantees after that, from what we want to spend.

Speaker #2: I mean, on paper, absolutely mix. Sense and in operation it makes sense. But we just want to spend our capital where we believe that we've got reasonable security and ownership.

Speaker #4: Yeah, understood. Exciting to hear we've got the PEA coming for Havahosco. Are you able to give us any more detail on that, and how you're thinking about that?

Jeremy Hoy: Yeah, understood. Exciting to hear we've got the PEA coming for Heva-Hosco. Are you able to give us any more detail on that and how you're thinking about that? Might we see some drills at that site anytime soon?

Speaker #4: And might we see some drills at that site anytime soon?

Speaker #2: Well, I'll answer the second part first. Yes, we're already planning a drill program. I can't remember what the meters that we were thinking about was, but it'll obviously be twofold: infilling on the inferred into M&I to bring it into P&P.

Patrick Downey: Well, I will answer the second part first. Yes, we are already planning a drill program. I cannot remember what the meters that we were thinking about was, but it will obviously be twofold in filling on the inferred into M&I to bring it into P&P, and then testing some of the higher grid structures that we have identified. We have hired a regional exploration manager, so he will be focused on that. He is not on board yet, so I cannot really say who he is. In terms of the study, what I can give you, it will likely be sort of an 8,000 ton a day size plant. We are well advanced on the. We have got a new resource completed. We are in the mine planning stage now. We have got test work ongoing, should be completed in the coming weeks. We are starting the capital and operating cost estimate.

Speaker #2: And then testing some of the higher grid structures that we've identified. We have hired a regional exploration manager, so he will be focused on that.

Speaker #2: He's not on board yet, so I can't really see who he is. And in terms of the study, what I can give you it will likely be sort of an 8,000 ton a day size plant.

Patrick Downey: In terms of the study, what I can give you, it will likely be sort of an 8,000 ton a day size plant. We are well advanced on the. We have got a new resource completed. We are in the mine planning stage now. We have got test work ongoing, should be completed in the coming weeks. We are starting the capital and operating cost estimate. We keep pushing it and pushing it. The only thing we have faced, like everybody else out there, August is a holiday month for most consultants. Unlike us, whatever, they do not answer the phone when they are on holidays. We will get through that, probably about a 2-week hiatus and back at it again. We will drive it to the finish line, hopefully, early Q4, but we could get it earlier as we have a lot of the work done.

Speaker #2: We're well advanced on that. We've got a new resource completed. We're in the mine planning stage now. We've got test work ongoing, which should be completed in the coming weeks.

Speaker #2: We're starting the capital and operating cost estimate. So we keep pushing it and pushing it. The only thing we have faced, like everybody else out there, August is a holiday month for most consultants.

Patrick Downey: We keep pushing it and pushing it. The only thing we have faced, like everybody else out there, August is a holiday month for most consultants. Unlike us, whatever, they do not answer the phone when they are on holidays. We will get through that, probably about a 2-week hiatus and back at it again. We will drive it to the finish line, hopefully, early Q4, but we could get it earlier as we have a lot of the work done.

Speaker #2: And unlike us, whatever, they don't answer the phone when they're on holidays. So we'll get through that—probably about a two-week hiatus—and then back at it again.

Speaker #2: And we'll drive it to the finish line. Hopefully, early Q4, but we could get it earlier as we have a lot of the work done.

Speaker #4: Great, thanks for that color. Last one for me. I saw there you're expecting a resolution to the Genser claim shortly. Any expectations there?

Jeremy Hoy: Great. Thanks for that color. Last one from me. I saw there that you are expecting a resolution to the Genser claim shortly. Any expectations there?

Speaker #2: Yeah. It's Peter. I'll answer that. We obviously expect a positive outcome on that as to what the financial amount of that award may be.

Peter Tam: Yeah, it is Peter. I will answer that. We obviously expect a positive outcome on that. As to what the financial amount of that award may be, I would say at this point, it is probably premature for me to say anything. But, certainly we feel comfortable how the arbitration went, how we sort of put our case forward. So, we are very obviously keen to see this ruling come down for us, so

Speaker #2: I would say at this point, it's probably premature for me to say anything, but certainly we feel comfortable how the arbitration went. How we sort of put our case forward.

Speaker #2: So we're very obviously keen to see this ruling come down for us. So great.

Speaker #4: Well, thank you very much for taking my questions. I'll step back in the queue.

Jeremy Hoy: Well, thank you very much for taking my questions. I will step back in the queue.

Speaker #2: Thanks, Jeremy.

Patrick Downey: Thanks, Jeremy.

Speaker #1: And once again, if you would like to ask a question, please press the star one on your telephone keypad. And I'm showing no further questions at this time.

Operator 2: Once again, if you would like to ask a question, please press star one on your telephone keypad. I am showing no further questions at this time. I would like to turn it back to Patrick Downey for closing remarks.

Operator: Once again, if you would like to ask a question, please press star one on your telephone keypad. I am showing no further questions at this time. I would like to turn it back to Patrick Downey for closing remarks.

Speaker #1: I would like to turn it back to Patrick Downey for closing remarks.

Speaker #2: Thanks very much. And thanks for everybody for attending the call and the webinar. Obviously, steady Q2 for us. Very happy with that. Excellent financial results.

Patrick Downey: Thanks very much. Thanks, everybody, for attending the call and the webinar. Obviously, a steady Q2 for us, very happy with that. Excellent financial results, and really looking forward to the H2 of the year for several reasons, including production costs and several catalysts going forward. So, look forward to continuing to report on those.

Speaker #2: We're really looking forward to the second half of the year for several reasons, including production, costs, and several catalysts going forward. We look forward to continuing to report on those.

Operator 2: Thank you, presenters. Ladies and gentlemen, this concludes today's conference call. Thank you all for joining. You may now disconnect.

Operator: Thank you, presenters. Ladies and gentlemen, this concludes today's conference call. Thank you all for joining. You may now disconnect.