Q2 2026 Heliostar Metals Ltd Earnings Call

August 10, 2026

Gregg Bush: Take it away.

Stephen Soock: Take it away.

Speaker #1: Right.

Speaker #2: Perfect. Thank you, Stephen. I'm very pleased to report another strong quarter for us as a company. I think it's a real— you know, the first half of this year has been about steadily progressing on our plan to make sure we can produce steady-state cash flow from our existing assets, with a view to Annapola and our broader growth profile.

Charles Funk: Perfect. Thank you, Steven. Very pleased to report another strong quarter for us as a company. I think the first half of this year has been about steadily progressing on our plan to make sure we can produce steady state cash flow from our existing assets, with a view to Ana Paula and our broader growth profile. We love to start with the slide that is basically the philosophy that we build our company with. We aim to be a 500,000-ounce a year gold producer at the end of this decade, and we think every quarter that we put together, such as Q2, helps us achieve a step closer to this goal. As we move forward to the quarter, you can see the breakdown here. We had record gold production of just under 15,000 ounces of gold, record silver production at just under 80,000 ounces of produced silver.

Speaker #2: We'd love to start with the slide that’s basically the philosophy that we build our company with. We aim to be a 500,000-ounce-a-year gold producer at the end of this decade, and we think every quarter that we put together, such as Q2, helps us achieve a step closer to this goal.

Speaker #2: As we move forward to the quarter, you can see the breakdown here. We had record gold production of just under 15,000 ounces of gold, and record silver production at just under 80,000 ounces of produced silver. That resulted in $31.1 million of mine operating earnings and net income of $8 million.

Charles Funk: That resulted in $31.1 million of mine operating earnings. Net income of $8 million after our taxes, expirations, and spend at Ana Paula. I think one of the notable features of the quarter is the cash build continues. It is a record cash number of $43 million for us as a company, and that includes after the $10 million initial payment for the Goldstrike acquisition that happened in the quarter. So we are able to continue to build our cash, which we aim to put towards the Ana Paula construction. The result of the acquisition of Goldstrike did lead to the majority of the decrease in our working capital. Still a very happy $46 million, as we set out to continue progressing the build that we need for our cash profile this year and the advancement of Ana Paula.

Speaker #2: After our taxes, expirations, and spend at Annapola, I think one of the notable features of the quarter is the cash build continues. It's a record cash number of $43 million for us as a company.

Speaker #2: And that includes after the $10 million initial payment for the Goldstrike acquisition that happened in the quarter. So we’re able to continue to build our cash, which we aim to put towards the Annapola construction.

Speaker #2: The result of the acquisition of Goldstrike did lead to the majority of the decrease in our working capital, still a very healthy $46 million.

Speaker #2: As we set out to continue progressing the build that we need for our cash profile this year and the advancement of Annapola, if I move forward to our portfolio, we'll provide an update on the injection leaching and the success that that's driving in production at La Colorada.

Charles Funk: If I move forward to our portfolio, we will provide an update on the injection leaching, and the success that that is driving in production at La Colorada. We are also about to restart the stripping of the Veta Madre pit, which will provide the bulk of our production next year at La Colorada. Provide an update on San Agustin, which now mines reach steady state this year, sorry, this quarter. We were ramping up in Q1, and you see a 49% production increase quarter-over-quarter as San Agustin hits steady state mining the corner reserve. We look forward to providing an update on Ana Paula as we progress with our feasibility study and some key permits we plan to submit. And we will touch on the Goldstrike acquisition that closed in the quarter as well. So, love seeing the step-up this year.

Speaker #2: We're also about to restart the stripping of the Veta Madre pit, which will provide the bulk of our production next year at La Colorada.

Speaker #2: Provide an update on San Augustine, which now mines reach steady state this quarter. We were ramping up in Q1, and you see a 49% production increase quarter over quarter as San Augustine hits steady state mining the corner reserve.

Speaker #2: We look forward to providing an update on Annapola as we progress with our feasibility study and some key permits we plan to submit. Then we'll touch on the Goldstrike acquisition that closed in the quarter as well.

Speaker #2: So, I love seeing the step up this year. We produced about 30,000 ounces of gold last year. If you look at the cumulative 2025 quarters, our guidance is 50,000 to 55,000 ounces this year, and you see that step up quarter over quarter.

Charles Funk: We produced about 30,000 ounces of gold last year, if you look at the cumulative 2025 quarters. Our guidance is 50,000 to 55,000 ounces this year, and you see that step up quarter-over-quarter. The step up from Q1 to Q2 was principally led by seeing a full 3 months of production at San Agustin as opposed to the 2 months we saw in Q1. Our sales fairly closely tracked our production. Our year-to-date cash costs at $1,630 show that the mines are low-cost producers, and I think if you see some of the mid-tier AISC numbers for Q2, you'll see that we've compared extremely well to those. Our corporate AISC is just above our guided range, at $2,155. I think 3 drivers to that in total. The most significant was an option grant that's a one-off in the quarter, that we do annually as a company.

Speaker #2: The step up from Q1 to Q2 was principally led by seeing a full three months of production at San Augustine, as opposed to the two months we saw in Q1.

Speaker #2: Our sales fairly closely tracked our production. Our year-to-date cash costs at $1,630 show that the mines are low-cost producers, and I think if you see some of the mid-tier ASIC numbers for Q2, you'll see that we've compared extremely well to those.

Speaker #2: Our corporate ASIC is just above our guided range, at $2,155. Three, I think, drivers to that in total. The most significant was an option grant that's a one-off in the quarter.

Speaker #2: That we do annually as a company. We expect that to normalize across the year. We had a slight increase in production costs at La Colorada as we did additional injection leaching preparation work, which we'll see the benefit of in the back half of the year.

Charles Funk: We expect that to normalize across the year. We had a slight increase in production costs at La Colorada as we did additional injection leaching preparation work that we'll see the benefit of in the back half of the year. We also got a slightly reduced silver credit change in timelines of silver payments, meant that not all the silver credits attributable to the quarter will come into the quarter. That led to the net result that year-to-date is $2,155. Probably as Vitalina Lyssoun will touch on shortly, we expect to meet our production profile guidance for the year and in and around the top end of our cost guidance range. I touched on the drivers, and I'll repeat. The key drivers for the quarter was San Agustin up and running at steady state and continuing to achieve success from the injection leaching at La Colorada.

Speaker #2: And we also got a slightly reduced silver credit. Change in timelines of silver payments meant that not all the silver credits attributable to the quarter will come into the quarter.

Speaker #2: And that led to the net result that year-to-date is 2,155. It's probably, as Vitaline will touch on shortly, that we expect to meet our production profile guidance for the year and be in and around the top end of our cost guidance range.

Speaker #2: I touched on the drivers, and I'll repeat: the key drivers for the quarter were San Augustine, which is up and running at steady state, and continued success from the injection leaching at La Colorada.

Speaker #2: I'll hand over to our CFO, Vitalina Lysun, to present the financial results in greater detail.

Charles Funk: I'll hand over to our CFO, Vitalina Lyssoun, to present the financial results in greater detail.

Vitalina Lyssoun: Thank you, Charles. We had another very strong quarter. We generated $56.5 million in revenues, which led to $31.1 million in mine operating earnings, and resulted in $8 million net income for the quarter or $0.03 per share. As Charles mentioned, we currently have $43 million in cash, and that's after making a $10 million payment for Goldstrike acquisition in the quarter. We are at $45.9 million working capital. We continue not having any debts in the company, and we also have $22.4 million in VAT receivable, which we expect to recover in the next, let's say, a year and a half. Next, please. In terms of guidance, our guidance remains unchanged from the beginning of this year.

Speaker #3: Thank you, Charles. We had another very strong quarter. We generated $56.5 million in revenue, which led to $31.1 million in mine operating earnings, and resulted in $8 million net income for the quarter, or $0.03 per share.

Speaker #3: As Charles mentioned, we currently have $43 million in cash, and after making a $10 million payment for the Goldstrike acquisition in the quarter, we are at $45.9 million in working capital.

Speaker #3: We continue to have no debts in the company, and we also have $22.4 million in VAT receivable, which we expect to recover in the next year, year and a half.

Speaker #3: Next, please. In terms of guidance, our guidance remains unchanged from the beginning of this year, and we expect production to come in right around our guidance.

Vitalina Lyssoun: And we expect the production to come in right around our guidance, so we are fully on track with that. We expect our costs to be in and around the upper edge of the guidance. Thank you.

Speaker #3: So we're fully on track with that, and we expect our costs to be in or around the upper end of the guidance. Thank you.

Gregg Bush: Okay. At La Colorada, the production for the quarter was. The last ore was stacked in March of Q1. As Charles mentioned, there were a lot of expenditures during the quarter setting up wells and doing the initial phase of the injection, which will become the production in the back half of the year. There were no reportable incidents in the quarter. Aside from what I mentioned on the drilling costs and the injection costs, the headlines on the expenditures were higher profit sharing costs, higher than food, profit sharing, and higher than food. With that, I will hand it back over to Charles.

Speaker #4: Okay. So at La Colorada, the production for the quarter was the result of residual leaching, as the last ore was stacked in March.

Speaker #4: Of Q1. And so as Charles mentioned, that was there were a lot of expenditures during the quarter. Setting up wells and doing the initial phase of the injection.

Speaker #4: This will contribute to the production of the VAT cap for the year. There were no reported incidents in the quarter. In addition to what I mentioned on the drilling costs and the injection costs, the main headlines on expenditures were higher profit sharing costs—higher than profit sharing—and with that, I'll put it back over to Charles.

Speaker #2: Yeah, thank you, Greg. I apologize to all listeners—there's a bit of background noise for Greg. It's due to a short change of plans: Greg is presenting from an airport in Mexico, due to some travel changes.

Charles Funk: Yeah. Thank you, Gregg. I apologize to all listeners. There is a bit of background noise for Gregg. It is a short change of plans. Gregg is presenting at an airport in Mexico due to some travel changes. Yeah, Gregg touched on the highlights at La Colorada. The program that we have of utilizing gold that is within the leach pad. We drill holes into that leach pad, we inject active solution into that leach pad, and we are recovering gold that was not previously recoverable through the standard stacking and leaching profile. We think there is up to 2 years of that material if we were to do it steady state. We do it in between bringing online newer, higher grade ore. So we expect to continue injection leaching throughout the remainder of this year into probably mid to late Q2 next year.

Speaker #2: Yeah, Greg touched on the highlights at La Colorada. The program that we have is utilizing gold that's within the leach pad. We drill holes into that leach pad.

Speaker #2: We inject active solution into that leach pad, and we're recovering gold that wasn't previously recoverable through the standard stacking and leaching profile. We think there's up to two years of that material if we were to do it at steady state.

Speaker #2: We do it in between bringing online newer, higher-grade ore. So we expect to continue injection leaching throughout the remainder of this year, into probably mid to late Q2 next year.

Speaker #2: At which point, we'll move over to stacking fresh ore on the leach pad from the Vata Madre pit. You can see it here on the far right with the yellow label.

Charles Funk: At which point, we will move over to stacking fresh ore on the leach pad from the Veta Madre pit. You can see it here on the far right with the yellow label. We had been working steadily last year on an updated technical report on the back of the extensive drilling that we did. We were able to get the permits that we needed to prioritize the Veta Madre pit ahead of the Creston pit. What that means is that we have been able to internally fund or likely to take advantage of a project financing facility, meaning we have not needed any external capital to bring Veta Madre first. So, this month, we expect to have our first blast as we commence the pre-strip of the Veta Madre pit.

Speaker #2: We'd been working steadily last year on an updated technical report on the back of the extensive drilling that we did, and we were able to get the permits that we needed to prioritize the Vata Madre pit ahead of the Crestón pit.

Speaker #2: And what that means is that we've been able to internally fund, or are likely to take advantage of a project financing facility—meaning we haven't needed any external capital.

Speaker #2: To bring Veta Madre first. So, this month we expect to have our first blast as we commence the pre-strip of the Veta Madre pit.

Speaker #2: It has a reserve of 48,000 ounces at 0.7 grams per ton gold, so notably higher-grade gold than we've been processing to date. We expect to start producing from that in Q2 next year, and it'll drive the bulk of 2027 into 2028's production profile from La Colorada.

Charles Funk: It has a reserve of 48,000 ounces at 0.7 grams per ton gold, so notably higher grade gold than we have been processing to date. We expect to start producing from that in Q2 next year, and it will drive the bulk of 2027 into 2028's production profile from La Colorada. We had been working on what we call Veta Madre Plus, the plan to put in a bigger production profile from Veta Madre. We have had some success for that. We are targeting approximately an extra 20,000 ounces to come in and above the reserve at Veta Madre. You get a bit caught in reporting structures, so we will find the appropriate way to report the ultimate reserve growth. But our target is to increase the current reserve at Veta Madre by about 20,000 ounces at Veta Madre Plus.

Speaker #2: We had been working on what we call Veta Madre Plus, the plan to put in a bigger production profile from Veta Madre. We've had some success with that.

Speaker #2: We're targeting approximately an extra 20,000 ounces to come in, over and above the reserve at Veta Madre. You get a bit caught in reporting structures.

Speaker #2: So, we'll find the appropriate way to report the ultimate reserve growth. But our target is to increase the current reserve at Vata Madre by about 20,000 ounces at Vata Madre Plus.

Speaker #2: So, expect to see that stripping continue this year and set up our production profile next year. Then, we'd move on to the Crest On pit after that.

Charles Funk: Expect to see that stripping continue this year and set up our production profile next year, and then we would move on to the Creston pit after that. The turnaround of La Colorada, as I have talked about previously, from stockpiles to injection leaching to fund the pre-strip of Veta Madre to then expand into larger Creston pit is working very well for us as a company. As I move forward to exploration, the focus up until the middle of the year had been on all the drilling and geotechnical work required at Veta Madre. In the second half of the year, we start to step out and test some of the brownfields and even potentially greenfields targets beyond the main resource areas.

Speaker #2: The turnaround of La Colorada, as I've talked about previously—from stockpiles to injection leaching to fund the pre-strip of Veta Madre, to then expand into the larger Crestón pit—is working very well for us as a company.

Speaker #2: As I move forward to exploration, the focus up until the middle of the year had been on all the drilling and geotechnical work required at Vata Madre.

Speaker #2: In the second half of the year, we start to step out and test some of the brownfields, and even potentially greenfields, targets beyond the main resource areas.

Speaker #2: And so, that work will initially start with drilling at Los Duendes, and then move out to soils targets, Rancho Mel, and a number of other targets that we've been working up in the background, including doing a detailed magnetic survey.

Charles Funk: That work will initially start with drilling at Las Duendas and then moving out to Soiles targets, Rancho and Mill, a number of other targets that we have been working up in the background, including doing a detailed magnetic survey. We see a lot of potential, a lot of untested targets within very close proximity to our current resources, and we look forward to testing them in the second half of the year and providing those results. We see a lot of potential to expand the mine life at La Colorada should we have success stepping out in fairly untested terrain. Greg, I will hand back over to you for progress at San Agustin.

Speaker #2: We see a lot of potential—a lot of untested targets within very close proximity to our current resources. We look forward to testing them in the second half of the year and providing those results.

Speaker #2: We see a lot of potential to expand the mine life at La Colorada, should we have success stepping out in fairly untested terrain. Greg, I'll hand back over to you for progress at San Augustine.

Speaker #4: Okay. Thank you, Charles. Yeah, San Augustine, we had two reportable incidents during the quarter, both relatively mild. They were one of the most 'bad-time' incidents.

Gregg Bush: Thank you, Charles. At San Agustin, we had two reportable incidents during the quarter. Both relatively minor. One of them was a lost time incident, but a relatively minor incident. Basically, the mining at San Agustin has continued pretty much according to plan. There has been more ore and less waste in the mine than our plan had. So we are moving slightly less tons. We are mining a little bit more ore. And we have built about a 1 million ton stockpile of ore that will extend the plan on the mine life for San Agustin. As far as the production, because we are alternating back and forth between a lower lip and areas at the very top of the leach pad, the production profile is kind of chunky. It has been very hard to predict.

Speaker #4: But relatively minor incidents. Basically, the mining at San Augustine has kind of continued pretty much according to plan. There's been more ore and less waste in the mine than our plan had.

Speaker #4: So we're moving slightly fewer tons. We're mining a little bit more ore. We've built up about a million tons of stockpiled ore that will extend the planned mine life for San Augustine.

Speaker #4: As far as the production, the production is—because we're alternating back and forth between a lower lift and areas on the very top of the leach pad—the production profile is kind of chunky.

Speaker #4: It's been very hard to predict. But we're pretty much tracking on the plan, although one month we'll fall way behind, and the next month we'll catch it all back up again.

Gregg Bush: We are pretty much tracking on the plan, although one month we will fall way behind and the next month we will catch it all back up again. The way we are filling out the remaining space underneath that. Same on the cost side, the same impacts as we had at La Colorada, the higher profit sharing and higher bonuses. The mining costs were a bit lower. Other than that, everything pretty much exactly on plan. I guess with that, I will turn it back over to Charles.

Speaker #4: So that's just a function of the way we're filling out the remaining space on the leach pad. Same as on the cost side—the same impacts as we had at La Colorada.

Speaker #4: There were higher profit sharing and higher bonuses. The mining costs were a bit lower. Other than that, everything was pretty much exactly on plan.

Speaker #4: And with that, I'll turn it back over to Charles.

Speaker #2: Thanks, Greg. I think you touched on the key feature. When we started production in the Corner Reserve area, you can see it in the top-right graphic.

Charles Funk: Thanks, Gregg. I think you touched on the key feature. When we started production in the Corner Reserve area, you can see it in the top right graphic, and we are now down about 3 or 4 benches into that graphic now. We recognized that there was the risk that it was not as well drilled as we drill a lot of our reserves. We identified, though, that that risk was likely to the upside, that there was a potential to be more ounces. So we chose to proceed, knowing that risk, expecting it to normalize in the lower benches. We have seen exactly that. We have produced more gold than the technical report and the reserve suggest in those upper benches. It does mean we are a little bit behind our profile. We have offset the lower grades in the shallower levels with more ounces stacked.

Speaker #2: We're now down about three or four benches into that graphic now. We recognize that there was the risk that it wasn't as well drilled as we drill a lot of our reserves.

Speaker #2: We identified, though, that that risk was likely to the upside—that there was a potential to be more ounces—and so we chose to proceed knowing that risk.

Speaker #2: Expecting it to normalize in the lower benches, and we've seen exactly that. We've produced more gold than the technical report and the reserve suggest in those upper benches.

Speaker #2: It does mean we're a little bit behind our profile. We've offset the lower grades in the shallower levels with more ounces stacked. We expect to move into higher-grade material in the second half of the year.

Charles Funk: We expect to move into higher grade material in the H2 of the year. It is also one of the reasons we are slightly behind for silver, because there is less silver at the upper levels. Overall, it is a significant positive for us as a company over the life of the Corner Reserve mining area. We anticipate producing more ounces, and making more cash flow than we have modeled in our tech report. I think you will ultimately see that as a longer mine life than currently forecast in 2027. Above and beyond the Corner Reserve, if we move forward a slide, please. We are also looking to grow the reserves even further. We have got a significant drill program underway that is focused on trying to find those extensions. We have reported in the H1 of the year in an early Q2 significant results up to 200 meters beyond the edge of the pit.

Speaker #2: And it's also one of the reasons we're slightly behind for silver, because there's less silver at the upper levels. Overall, it's a significant positive for us as a company over the life of the Corner Reserve mining area.

Speaker #2: We anticipate producing more ounces and generating more cash flow than we had modeled in our technical report. I think you'll ultimately see this result in a longer mine life than currently forecast for 2027.

Speaker #2: Above and beyond the Corner reserve—if we move forward a slide, please—we're also looking to grow the reserves, and reserves even further. We've got a significant drill program underway that's focused on trying to find those extensions.

Charles Funk: We have got a significant drill program underway that is focused on trying to find those extensions. We have reported in the H1 of the year in an early Q2 significant results up to 200 meters beyond the edge of the pit.

Speaker #2: We've reported in the first half of the year and in early Q2 significant results up to 200 meters beyond the edge of the pit.

Speaker #2: Right now, we're currently completing the infield drilling of those, looking to add those to a reserve. We're applying for a permit modification that would allow us to bring that into our production profile next year.

Charles Funk: Right now, we are currently completing the infill drilling of those, looking to add those to a reserve, applying for a permit modification that would allow us to bring that into our production profile next year. If we have the success that we think we are on track for, we think we can materially increase the mine life from what we currently have. I think success would definitely be a full year of production in 2027 and potentially progress into 2028. All of this is significant cash flow above and beyond what we forecast, and help us build towards that goal of bringing on Ana Paula without equity dilution. So the team at San Agustin are drilling aggressively. We are looking to submit a permit modification to expand the pit boundaries and to upgrade our resources and reserves that would support a longer mine life.

Speaker #2: If we have the success that we think we are on track for, we believe we can materially increase the mine life from what we currently have.

Speaker #2: I think success would definitely be a full year of production in 2027, and potentially progress into 2028. All of this is significant cash flow above and beyond what we forecast.

Speaker #2: And help us build toward that goal of bringing on Anna Paula without equity dilution. So, the team at San Augustine are drilling aggressively. We're looking to submit a permit modification to expand the pit boundaries and to upgrade our resources and reserves that would support a longer mine life.

Speaker #2: And so far, we're very comfortable with the results that we're seeing at San Augustine.

Charles Funk: And so far, we are very comfortable with the results that we are seeing at San Agustin. Steven, I will hand over for you for progress on Ana Paula. We have been spending significantly, and advancing the project significantly in the quarter.

Speaker #1: Stephen, I'll hand over to you for progress on Anna Paula. We've been spending significantly and advancing the project significantly this quarter.

Speaker #3: Perfect. Thank you very much, Charles. So, as Charles mentioned, our operations are on track to build the sort of cash that we've modeled to support the construction of Ana Paula, without any additional equity dilution.

Stephen Soock: Perfect. Thank you very much, Charles. As Charles mentioned, our operations are on track to build the sort of cash that we have modeled to support the construction of Ana Paula without any additional equity dilution, which is a rare thing to be able to say for a junior mining company. in Q2, our drilling program did continue apace, with the focus of twofold, finishing the infill drilling to support the upgrading of inferred resources into measured and indicated that will be included in the upcoming feasibility study, which does remain on track to be delivered in Q2 of 2027. The second goal of continuing to chase mineralization at depth into the expansion zone, where we reported some continued spectacular results showing that high-grade mineralization does continue well below the lowest reaches of what is in the PEA mine plan.

Speaker #3: Which is a rare thing to be able to say for a junior mining company. In Q2, our drilling program did continue apace, with focus twofold: finishing the infield drilling to support the upgrading of inferred resources into measured and indicated.

Speaker #3: That'll be included in the upcoming feasibility study, which remains on track to be delivered in Q2 of 2027. The second goal is to continue exploring mineralization at depth into the expansion zone, where we recently reported some spectacular results indicating that high-grade mineralization continues well below the lowest reaches of what is included in the PEA mine plan.

Speaker #3: Likely, the expansion zone results will not be included in the feasibility study, so we are able to demonstrate expansion beyond the economics that will be shown in that upcoming report.

Stephen Soock: Likely, the expansion zone results will not be included in the feasibility study. So we are able to demonstrate expansion beyond the economics that will be shown in that upcoming report. Beyond that, there has been a plethora of activity supporting the engineering, optimized mine design, metallurgical test work. We will keep investors apprised of that going forward with an update in the next little while. As many of you know as well, this project was previously permitted for an old open pit concept that we have since moved away from. We are submitting the underground permits in the next couple of weeks, with the idea that we are now asking for about one-third of the surface disturbance that has been previously permitted, and on track again to receive those permits signed back to us mid-next year and keep Ana Paula on track for first gold before the end of 2028.

Speaker #3: Beyond that, there's been a plethora of activity supporting the engineering-optimized mine design and metallurgical test work. We will keep investors apprised of that going forward, with an update in the next little while.

Speaker #3: As many of you know as well, this project was previously permitted for an old open pit concept that we've since moved away from.

Speaker #3: We are submitting the underground permits in the next couple of weeks, with the idea that we're now asking for about one-third of the surface disturbance that's been previously permitted. We're on track, again, to receive those permits signed back to us by mid-next year and to keep Anna Paula on track for first gold before the end of 2028.

Stephen Soock: We are submitting the underground permits in the next couple of weeks, with the idea that we are now asking for about one-third of the surface disturbance that has been previously permitted, and on track again to receive those permits signed back to us mid-next year and keep Ana Paula on track for first gold before the end of 2028.

Speaker #3: This will add 100,000 ounces a year out of 1,000 dollar per ounce all in sustaining cost to Heliostar's production profile and be a major step forward in becoming that 500,000 ounce a year producer before the end of the decade.

Stephen Soock: This will add 100,000 ounces a year at a USD 1,000 per ounce, all in sustaining cost to Heliostar's production profile and be a major step forward in becoming that 500,000 ounce a year producer before the end of the decade. If we move on to the next slide, this does give you a snapshot of what was shown in that expansion zone drilling. Some spectacular results, 100 meters of 5.3 grams a ton, 70 meters of which was below the deepest stope in the PEA mine design, and as well, additional results that have come out since showing that target is open in multiple directions.

Speaker #3: And if we move on to the next slide, this does give you a snapshot of what was shown in that expansion zone drilling. Some spectacular results—100 meters of 5.3 grams a ton, 70 meters of which was below the deepest stope in the PEA mine design—and as well, additional results that have come out since, showing that that target is open in multiple directions.

Speaker #3: The drilling at Ana Paula has largely concluded in terms of the mineralization drilling, and we're now moving on to drilling more of an engineering ilk, to support all the advanced design and de-risking that goes into delivering the Ana Paula project on time and on budget.

Stephen Soock: The drilling at Ana Paula has largely concluded in terms of the mineralization drilling. We are now moving on to drilling more of an engineering yield to support all the advanced design and de-risking that goes into delivering the Ana Paula project on time and on budget, and to support the feasibility study. Charles, I will hand it back over to you to cover Goldstrike.

Speaker #3: And to support the feasibility study. Charles, I'll hand it back over to you to cover Goldstrike.

Speaker #1: Yeah. So in the quarter,

Charles Funk: Yeah. In the quarter, we completed the acquisition of the Goldstrike project. It fits our mold really well for a number of reasons. It is a project that we think has a lot of potential, building on a strong base, and there is a 975,000 ounce M&A resource on the project at just under 0.5 grams per ton gold. Most of that drilling is under 200 meters. It is a big Carlin style footprint that has not got a lot of deeper drilling. So we think there is potential for it to be bigger than it is today. It fits our acquisition cost profile. We paid $10 million in the quarter, and we have subsequent payments totaling $70 million over the next five years. We structured those to fit the company's cash flow profile.

Speaker #2: We completed the acquisition of the Goldstrike Project. It fits our model really well for a number of reasons. It's a project that we think has a lot of potential, building on a strong base.

Speaker #2: There's a 975,000-ounce M&I resource on the project at just under 0.5 grams per ton gold. Most of that drilling is under 200 meters.

Speaker #2: It's a big carbon-style footprint that hasn't had a lot of deeper drilling. So we think there's potential for it to be bigger than it is today.

Speaker #2: It fits our acquisition cost profile. We paid $10 million in the quarter, and we have subsequent payments totaling $70 million over the next five years.

Speaker #2: We structured those to fit the company's cash flow profile. And lastly—and topically, potentially—the antimony potential of the project is something that we're intending to commence drilling on very shortly.

Charles Funk: Lastly, and topically, potentially, the antimony potential of the project is something that we are intending to commence drilling very shortly. We will provide an update on that. We think it has the potential as a standalone antimony project, possible to be a credit for the gold project, and definitely help the permitting pathway ahead of a project like Goldstrike in Utah. We think it is a high-quality project that we have acquired on cheap terms that we intend to unlock as a company going forward, and we will provide shareholders updates as we do that. As we move forward in what this year is in our view as management and what it sets us up as a company, it sounds a little boring in some ways because we have been saying the same thing now for 12 months.

Speaker #2: We'll provide an update on that. We think it has the potential as a standalone antimony project, could possibly be a credit for the gold project, and will definitely help the permitting pathway ahead of a project like Goldstrike in Utah.

Speaker #2: We think it's a high-quality project that we've acquired on favorable terms, and we intend to unlock its value as a company going forward. We'll provide shareholders with updates as we do that.

Speaker #2: And so, as we move forward in what this year is, in our view as management, and what it sets us up as a company, it sounds a little boring in some ways because we've been saying the same thing now for 12 months.

Speaker #2: We are maximizing the cash flow that we can get out of our existing operations. We're also looking to maximize the mine lives of those operations.

Charles Funk: We are maximizing the cash flow that we can get out of our existing operations. We are looking to maximize the mine lives of those operations. Then we are using that free cash flow above and beyond what the mines are producing to put towards Ana Paula with a view to building it with a project financing facility in cash such that we do not need external equity. We still, and I always say it, we reserve the right should we see M&A targets that can grow our growth profile. But we are trying to work on a plan that internally does not need it to bring Ana Paula online, and it looks like we are well on track to do that. The H1 of the year really focused on drill results from our projects.

Speaker #2: And then we're using that free cash flow, above and beyond what the mines are producing, to put towards Anna Paula. With a view to building it with a project financing facility and cash, such that we don't need external equity.

Speaker #2: We still—and I always say it—we reserve the right, and should we see M&A targets that can grow our growth profile. But we're trying to work on a plan that internally does not need it to bring Ana Paula online.

Speaker #2: And it looks like we're well on track to do that. The first half of the year really focused on drill results from our projects.

Speaker #2: I think as we move to the second half of the year, it becomes much more the back end of the Lassonde curve, particularly around Ana Paula.

Charles Funk: I think as we move to the H2 of the year, it becomes a much more the back end of the Lassonde curve, particularly around Ana Paula, but also operational updates as we do the pre-strip at Veta Madre at La Colorada. I think that's a big step forward as it unlocks more production at La Colorada. If you look at companies that have really changed their share price, the most proven way to do that is to bring on new production and go through what's referred to as the back end of the Lassonde curve and rerate into production. As we provide each quarter, as Steven touched on, we're going to provide updates on our engineering permitting progress at Ana Paula. That's going to start in the next few weeks, probably in early to mid-September.

Speaker #2: But also operational updates as we do the pre-strip at Beta Mandra at La Colorada. So I think that's a big step forward, as it unlocks more production at La Colorada.

Speaker #2: And then, if you look at companies that have really changed their share prices, the most proven way to do that is to bring on new production.

Speaker #2: And go through what's referred to as the back end of the Lassonde Curve and re-rate into production. And, as we provide each quarter, as Stephen touched on, we're going to provide updates on our engineering and permitting progress at Ana Paula.

Speaker #2: That's going to start in the next few weeks, probably in early to mid-September. And we'll keep doing that each quarter as we advance the study and build Ana Paula.

Charles Funk: We'll keep doing that each quarter as we advance the study and build Ana Paula. We think on the back of Ana Paula coming online, we materially increase our production profile. We decrease our overall costs as a company. If you look at our peer groups, that suggests that we'd be a much more valuable company. I think before I hand over to Steven to ask for questions, it's been another strong quarter from the team, and we look forward to delivering the same in Q3 as we execute on our vision to be a much larger company.

Speaker #2: And we think, on the back of Anna Paula coming online, we materially increase our production profile and decrease our overall costs as a company.

Speaker #2: And if you look at our peer groups, that suggests that we'd be a much more valuable company. I think, before I hand over to Stephen to ask for questions, it's been another strong quarter from the team.

Speaker #2: And we look forward to delivering the same in Q3, as we execute on our vision to be a much larger company.

Speaker #3: Perfect. Thank you very much, Charles. I'll hand it back to the operator to run through all of our attendees on how to submit questions, if there are any.

Stephen Soock: Perfect. Thank you very much, Charles. I'll hand it back to the operator to run through all of our attendees on how to submit questions, if there are any. Then I'll take over from there to quarterback those to the team.

Speaker #3: And then I'll take over from there to quarterback those to the team.

Speaker #4: Thank you. We will now begin the question-and-answer session. To ask a question through the webcast, simply type your question in the box on your screen.

Operator: Thank you. We will now begin the question and answer session. To ask a question through the webcast, simply type your question in the box on your screen. If you've dialed in and would like to ask a question, press star, then the number 1 on your telephone keypad. We'll pause for just a moment to compile the Q&A roster.

Speaker #4: If you've dialed in and would like to ask a question, press star then the number one on your telephone keypad. We'll pause for just a moment to compile the Q&A roster.

Stephen Soock: Perfect. Thank you very much, operator. It looks like we have one question through the audio on the webinar platform. Dave Storms, I believe you should have access if you are able to ask your question. Happy to have you on. Go ahead, Dave. Oh, looks like that didn't come through. Okay. Not sure what happened there. We do have a number of other questions submitted in the Q&A chat here. I will run through these and get them addressed by the team. The first question was, do you expect the grade of the additional 20,000 ounces in resources expected to be added at Veta Madre to be above, below, or at a similar grade to the current reserve grade at around 0.7 at Veta Madre? Greg, maybe I will hand that over to you to address if you are still on the line.

Speaker #3: Perfect. Thank you very much. Operator, it looks like we have one question from the audio on the webinar platform. David Storms, I believe you should have access.

Speaker #3: If you're able to ask your question, happy to have you on. Go ahead, Dave. Oh, looks like that didn't come through. Okay, not sure what happened there.

Speaker #3: We do have a number of other questions submitted in the Q&A chat here. I'll run through these and get them addressed by the team.

Speaker #3: The first question was, do you expect the grade of the additional 20,000 ounces in resources expected to be added at Beta Madre to be above, below, or at a similar grade to the current reserve grade, which is around 0.7, at Beta Madre?

Speaker #3: Greg, maybe I'll hand that over to you to address, if you're still on the line.

Speaker #2: Yeah. Thanks, Stephen. Yeah, the growth would be... I think it might be slightly lower grade than the original resource that was, I mean... there's some growth, but there's also just the gold price that pushed out the bit.

Gregg Bush: Yeah. Thanks, Steven. Yeah, I think the growth might be slightly lower grade than the original resource. There is some growth, but there is also just the gold price that had been pushed out the pit a little bit. So there is a mix of new addition and just economics and pits.

Speaker #2: So, there's a mix of new addition and just economics.

Speaker #3: Okay, perfect. Thank you very much. While we stick with La Colorada, my question here is that La Colorada already sits at 68% of the midpoint of our 2026 production guidance.

Stephen Soock: Okay. Perfect. Thank you very much. While we stick at La Colorada, a question here that La Colorada already sits at 68% of the midpoint of our 2026 production guidance. What are you looking for in terms of the drop-off from residual leaching? How much of an impact does the injection leaching have on that production profile through the H2 2026? Again, Greg, I think I will pass that back over to you to address.

Speaker #3: What are you looking for in terms of the drop-off from residual leaching, and how much of an impact does the injection leaching have on that production profile through the second half of 2026?

Speaker #3: Again, Greg, I think I'll toss that back over to you to address.

Speaker #2: Yeah, yeah. It's a hard question to answer. I mean, obviously, production is going to drop off some, and it's in the back half of the year.

Gregg Bush: Yeah. It is a hard question to answer. It is obviously a production is going to drop off some in the back half of the year, but every heap behaves a little bit differently with this. The opportunity at La Colorada is a little different than you might see in some heaps. It is a very well-drained, very well-behaved heap. So the opportunity there is coarse gold and electrum that hasn't seen cyanide in a long time. So we are having good results, but we are having to adjust our strategy a bit as we are learning more about the hydraulics of the heap. But I am very confident that we will hit guidance, but I am not confident enough at this point to say that we are going to exceed our guidance.

Speaker #2: But every heat behaves a little bit differently with this. And the opportunity at La Colorada is a little different than you might see in some heats.

Speaker #2: It's a very well-drained, very well-behaved heat. And so the opportunity there is coarse gold and electrum that hasn't seen cyanide in a long time.

Speaker #2: So we're having good results, but we're having to adjust our strategy a bit as we're learning more about the hydraulics and the heat.

Speaker #2: But I'm very confident that we'll hit guidance, but I'm not confident enough at this point to say that we're going to exceed our guidance.

Speaker #3: Perfect. Thank you very much, Greg. With that, one other kind of follow-up question here: Can you summarize the recoveries of the injection leaching? And I know you kind of touched on this, Greg, that it is hard to quantify given the nature of the heap leach.

Stephen Soock: Perfect. Thank you very much, Gregg. With that, one other kind of follow-up question here. Can you summarize the recoveries of the injection leaching? I know you kind of touched on this, Gregg, that it is hard to quantify given the nature of the heap leach, but is there any sort of a little bit of color you can provide on that with the injection leaching specifically?

Speaker #3: But is there any sort of— a little bit of color you can provide on that, with the injection leaching specifically?

Gregg Bush: When you put solution in the heap and it is going to come out and mix with other solution from other areas of the pad, it is very difficult to assign the production to one activity or the other. I would say that probably close to half of our production so far this year is due to injection. A lot of that is we are just ramping the process up and getting cyanide into the heap. So we will see the production, I think, continue at around probably 1,300, 1,400 ounces a month for the remainder of the year.

Speaker #2: You know, it's very—I mean, just because of the—when you put solution in the heat, it's going to come out and mix with other solutions from other areas of the pad.

Speaker #2: It's very difficult to assign the production to one activity or the other. I would say that probably close to half of our production so far this year is going to inject.

Speaker #2: And a lot of that is we're just ramping the process up and getting cyanide into the heap. So we'll see the production, I think, continue at around probably 1,300 to 1,400 ounces a month for the remainder of the year.

Speaker #3: Great, thank you very much. One last question on production here—from Dave, who wasn't able to get on the line. Can you discuss the cadence you expect for the back half of the year's production?

Stephen Soock: Great. Thank you very much. One last on production here from Dave, who was not able to get on the line. Can you discuss the cadence you expect for the back half of the year's production? Maybe I will address this one. You did see kind of the ramp-up in Q1 from the restart of San Agustin. As Charles mentioned, only two months of actual production hitting the books, and then Q2 basically at steady state. We do expect that steady state production to maintain. As Gregg mentioned, there is some month-to-month variability. But I think quarter to quarter, we expect to kind of maintain roughly kind of what we saw at Q2 from San Agustin.

Speaker #3: And maybe I'll address this one. You did see kind of the ramp-up in Q1 from the restart of San Augustine, as Charles mentioned, only two months of actual production hitting the books, and then Q2 is basically at a steady state.

Speaker #3: We do expect that steady-state production to maintain. As Greg mentioned, there is some month-to-month variability, but I think, quarter to quarter, we expect to kind of maintain roughly what we saw in Q2 from San Augustine.

Speaker #3: And then at La Colorada, as kind of discussed, we do expect to see a bit of a tail-off in Q3, as the end of that residual leaching from the fresh ore stacked on the pad in Q1 kind of fully depletes.

Stephen Soock: At La Colorada, as kind of discussed, we do expect to see a bit of a tail off in Q3 as kind of the end of that residual leaching from the fresh ore stacked on the pad in Q1 kind of fully depletes, but with injection leaching continuing at that cadence that Gregg just mentioned. So it is kind of a long answer to say basically more of the same with Q2 on track to kind of hit our 2026 full year production guidance. Shifting tracks to San Agustin. I have got a question here in terms of the specifics at San Agustin, asking what sort of total processing throughput or average daily throughput did we see at San Agustin in Q2. Gregg, maybe I will again toss that back to you to answer.

Speaker #3: But with injection leaching continuing at the cadence that Greg just mentioned, it's kind of a long answer to say basically more of the same as Q2—on track to hit our 2026 full-year production guidance.

Speaker #3: Shifting tracks to San Augustine, I've got a question here in terms of the specifics at San Augustine: asking what sort of total processing throughput or average daily throughput did we see at San Augustine in Q2?

Speaker #3: Greg, maybe I'll toss that back to you to answer.

Speaker #2: Yeah, I don't have the number off the top of my head. I believe we've put an average of about 17 or 17.5 per day on the leach pads.

Gregg Bush: I do not have the number off the top of my head. I believe we have put an average of about 17 or 17.5 per day on the leach pads.

Speaker #3: Okay. Perfect. Yeah, that's great, thank you. And like you said, that's a steady state—we expect that to persist. Got a question here on the expected decline extension at Anapola and the anticipated timelines for that.

Stephen Soock: Okay. Perfect. That is great. Thank you. As you said, that is steady state, and we expect that to persist. I have a question here on the expected decline extension at Ana Paula and the anticipated timelines for that. Charles, maybe I will hand it over to you to address that.

Speaker #3: Charles, maybe I'll hand it over to you to address that.

Speaker #4: Yeah, thanks, Stephen. We talked about this in the last quarter update as well, so it was our intention to start the decline in the second half of this year.

Charles Funk: Yeah. Thanks, Steven. We talked about this in the last quarter update as well. It was our intention to start the decline in the second half of this year. We still may do that. We got some advice to be slightly more cautious. We are, as we touched on, about to submit the permit to modify from the open pit to an underground-only approach. Because the decline was a critical path on that, we did not want to delay what we think is the critical path to gold production. We are waiting to submit the permit, and expect to do it in the very, very early days of September. We will wait to get the initial feedback on that, and then we will make a decision on whether we continue with the decline this year or whether we maybe slow it down into next year.

Speaker #4: We still may do that. We got some advice to be slightly more cautious, whereas we touched on about to submit the permit to modify from the open pit to an underground-only approach.

Speaker #4: And because the decline was in critical path on that, we didn't want to delay what we think is the critical path to gold production.

Speaker #4: So we're waiting to see, to submit the permit, and expect to do it in the very, very early days of September. We'll wait to get the initial feedback on that.

Speaker #4: And then we'll make a decision on whether we continue with the decline this year, or whether we maybe slow it down into next year.

Speaker #4: So just based on what we think is the shortest pathway to production at Anapola, we'd love to get the decline down, and we'll do that as soon as we think it's pragmatic to do it from a timeline perspective.

Charles Funk: Based on what we think is the shortest pathway to production at Ana Paula, we would love to get the decline down, and we will do that as soon as we think it is pragmatic to do it from a timeline perspective.

Speaker #3: Thank you, Charles. Greg just clarified in the chat here— for the previous question, it's 18,100 tons per day of ore stacked at San Augustine through Q2.

Stephen Soock: Thank you, Charles. Gregg just clarified in the chat here for the previous question, 18,100 tonnes per day ore stack at San Agustin through Q2. We have a question here on exploration. Any plans to test the San Agustin sulfide potential this year, as noted on your news flow page? Charles, I will toss that over to you.

Speaker #3: I have a question here on exploration. Any plans to test the San Augustine sulfide potential this year, as noted on your new Slope page?

Speaker #3: Again, Charles, I'll toss that over to you.

Speaker #4: Yeah, thank you. Yes, we've done, I think, three of the five initial holes planned for that. We know that there's a significant sulfide resource underneath, or an unquantified potential for a resource underneath, a pit at San Augustine.

Charles Funk: Yeah, thank you. Yes. We have done, I think, three of the five initial holes planned for that. We know that there is a significant sulfide resource underneath, or unquantified potential for a resource underneath a pit at San Agustin. At this stage, we have not been able to get favorable metallurgical approach to unlock that. We think it is in the order of many, many ounces of size potential. So what we are drilling for is the potential, are there zones that are potentially higher grade that open up different production pathways? There are certainly deposits like this, including Peñasquito and Camino Rojo, that demonstrate that in the belt. So we have drilled three holes to date. We are waiting for those assays back, and once we have them, we are happy to provide an update. We are sort of doing it in a mix.

Speaker #4: At this stage, we haven't been able to get a favorable metallurgical approach to unlock that. We think it's on the order of many, many ounces of size potential.

Speaker #4: So, what we're drilling for is the potential. Are there zones that are potentially higher grade that open up different production pathways? There are certainly deposits like this, including Peñasquito and Camino Rojo, that demonstrate that in the belt.

Speaker #4: So we've drilled a couple of holes—sorry, we've drilled three holes today. We're waiting for those assays back, and once we have them, we're happy to provide an update.

Speaker #4: We're sort of doing it in a mix. We've got some infill reserve drilling, oxide expansion drilling, and sulfide drilling all going on at different phases at San Augustine.

Charles Funk: We have got some infill reserve drilling, oxide expansion drilling, and sulfide drilling all going on at different phases at San Agustin. It is a true exploration shot. Fingers crossed, we could find some higher grade, which would open up some pathways. To be clear, this would be a different sulfide-only mine should it ever come into fruition, above and beyond the oxide. Long answer to say, yes, we have done the drilling. Yes, we plan to provide an update once we have the results. There are some true exploration shots to see what is possible at San Agustin in the longer-term future.

Speaker #4: It's a true exploration shot and, fingers crossed, we could find some higher grade, which would open up some pathways. To be clear, this would be a different sulfide-only mine should it ever come into fruition.

Speaker #4: Above and beyond the oxide. But, long answer to say: yes, we've done the drilling. Yes, we plan to provide an update once we have the results.

Speaker #4: And there's some true exploration shots to see what's possible at San Augustine in the longer-term future.

Speaker #3: Thank you, Charles. I've got a few questions here on M&A that you did touch on earlier in the presentation. Someone congratulated us on the Goldstrike acquisition and then asked, under the right conditions, what else are we looking to actively pursue to work towards that 500,000-ounce-per-year goal by the end of 2030?

Stephen Soock: Thank you, Charles. Got a few questions here on M&A, as you did touch on earlier in the presentation. Someone congratulating us on the Goldstrike acquisition and then asking under the right conditions, what else are we looking to actively pursue to work towards that 500,000 ounce per year goal by the end of 2030? Alongside this, asking what sort of capability we have financially to be able to address any additional acquisitions given the recent filing of the prospectus. Charles, again, I will pass it back to you to address that.

Speaker #3: And then kind of alongside this, asking what sort of capability we have financially to be able to address any additional acquisitions, given the recent filing of the prospectus.

Speaker #3: So, Charles, I'm going to toss it back to you to address that.

Speaker #4: Yeah, okay. So, sort of broadly and philosophically, where we stand on M&A is that we're a growth company, and we'd ultimately like to grow. We have a target that we think we can get about two-thirds of the way to organically.

Charles Funk: Yeah. Okay. Philosophically, where we stand on M&A is we are a growth company, and we would ultimately like to grow. We have a target that we think we can get to about two-thirds of the way through organically and would require M&A to achieve by the end of the decade. We are in a very fortunate position that our next two mines are within our portfolio, and potentially the next three mines are within our portfolio. We have what I believe to be the deepest growth pipeline of our peer group that we think will take us to about 400,000 ounces of annual production. I would love to find high-quality producing mines, producing 100,000 to 200,000 ounces for us to look for. Also, everyone in the industry is looking for the same, so they are very hard to find.

Speaker #4: And would require M&A to achieve by the end of the decade. We're in a very fortunate position that our next two mines are within our portfolio, and potentially so are the next three mines.

Speaker #4: Within our portfolio, we have what I believe to be the deepest growth pipeline of our peer group. We think that will take us to about 400,000 ounces of annual production.

Speaker #4: I would love to find high-quality producing mines, producing 100,000 to 200,000 ounces, for us to look for. Also, everyone in the industry is looking for the same.

Speaker #4: So, they're very hard to find. Our view is we want to find assets that we think have potentially been overlooked or that are undervalued. I don't think it makes sense for us to acquire more development projects, given the pipeline that we have.

Charles Funk: Our view is we want to find assets that we think have potentially been overlooked or that are undervalued. I do not think it makes sense for us to acquire more development projects given the pipeline that we have. If we were to look for something, it would be a production asset. Again, that is the most competitive space there is right now. I think they are either new producing assets that you could bring into the portfolio or potentially that have that 100,000-ounce-plus scale or potentially anything with synergies around our operating centers. It always makes sense to potentially grow where you operate as well because of the synergies that come from that. That is our philosophy. We probably look at one or two projects every six months. We have not found anything that meets that profile at this stage.

Speaker #4: So, if we were to look for something, it would be a production asset. Again, that's the most competitive space there is right now. And I think they're either new producing assets that you could bring into the portfolio, or potentially ones that have that 100,000-ounce-plus scale.

Speaker #4: Or potentially anything with synergies around their operating centers. It always makes sense to potentially grow where you operate as well, because of the synergies that come from that.

Speaker #4: So that's our philosophy. We probably look at one or two projects every six months. We haven't found anything that meets that profile at this stage.

Speaker #4: But the base shelf is not focused around any imminent M&A that we can see. It was that we finally completed all the technical reports. We had updated technical reports from the Colorado, San Augustine, San Antonio, Anapola, and then we acquired Gold Strike.

Charles Funk: The base shelf is not focused around any imminent M&A that we can see. It was that we finally completed all the technical reports. We had updated technical reports from La Colorada, San Agustin, San Antonio, Ana Paula, and then we acquired Goldstrike. We were not able to update our base shelf until we had that. It does contain the levers that we would need to project finance Ana Paula. That is the reason for the filing of the base shelf, back to just having all the options available as a company. We would look to grow ultimately as a company. We review projects, and if we cannot find projects that meet our profile, we are very happy to continue with our current plan.

Speaker #4: So, we weren't able to update our base shelf until we had that. It does contain the levers that we would need to project finance Anapola.

Speaker #4: So that's the reason for the filing of the base shelf—just to have all the options available as a company. We would look to grow, ultimately, as a company.

Speaker #4: We review projects, and if we can't find projects that meet our profile, we're very happy to continue with our current plan.

Speaker #3: Thanks, Charles. I think that provides a good perspective on how we approach M&A opportunities and our ability to take them on going forward. Last question.

Stephen Soock: Thanks, Charles. I think that provides a good perspective on how we approach M&A opportunities and our ability to take them on going forward. Last question I see here that we will put across is on the cost side. You mentioned you expect to be at the higher end of your AISC cost guidance for the year. How much of this is driven by crude oil prices, and could a moderation in the price of oil keep the company closer to the midpoint of guidance?

Speaker #3: I see here that what we'll put across is on the cost side. You mentioned you expect to be at the higher end of your ASIC cost guidance for the year.

Speaker #3: How much of this is driven by crude oil prices, and could a moderation in the price of oil keep the company closer to the midpoint of guidance?

Speaker #4: So I think we've definitely seen some higher costs due to diesel and cyanide, which I think are both largely attributable to world events, particularly in the Middle East.

Charles Funk: I think we've definitely seen some higher costs due to diesel and cyanide, which I think are both largely attributable to world events, particularly in the Middle East. A moderation of those would be welcomed by all miners. I've long held the view that when gold price goes up, it's telling you that there is inflation. You should always expect costs to go up, and I think you're seeing that particularly this quarter across the industry. Our job as mining companies is to try and minimize that growth as much as possible. I think the idea that you would have no growth in your AISCs is unreasonable when you see the cost of everything in our lives going up. Yes, a moderation in those costs would have an impact.

Speaker #4: And moderation of those would be welcome by all miners. I've long held the view that when the gold price goes up, it's telling you that there is inflation.

Speaker #4: And so you should always expect costs to go up. And I think you're seeing that, particularly this quarter, across the industry. Our job as mining companies is to try and minimize that growth as much as possible.

Speaker #4: I think the idea that you would have no growth in your ASICs is unreasonable when you see the cost of everything in our lives going up.

Speaker #4: So yes, a moderation in those costs would have an impact. We also had a number of one-offs in the quarter, including an option grant, which you see in the consolidated ASIC.

Charles Funk: We also had a number of one-offs in the quarter, including option grant, which you see in the consolidated AISC. Gregg referred to the higher bonus sharing based on the 2025 performance of our Mexican assets. We do expect our costs to moderate in H2 of the year, but note, they'll be up and around the top end of our guidance range.

Speaker #4: And Greg referred to the higher bonus sharing based on the 2025 performance of our Mexican assets. So, we do expect our costs to moderate in the second half of the year, but note they'll be up and around the top end of our guidance range.

Speaker #3: Thank you, Charles. I believe that's all the questions I see on the line here. Thank you, everyone, for joining us today. Please feel free to reach out if there are any additional questions.

Stephen Soock: Thank you, Charles. I believe that's all the questions I see on the line here. Thank you everyone for joining us today. Please feel free to reach out if there are any additional questions going forward. Operator, I'll hand it back over to you to close out the call.

Speaker #3: Going forward, operator, I'll hand it back over to you to close out the call.

Operator: Ladies and gentlemen, this does conclude our call for today. Thank you again for joining. You may now disconnect.

Operator: Ladies and gentlemen, this does conclude our call for today. Thank you again for joining. You may now disconnect

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