Orezone Gold (ORE) Q2 2025 earnings summary

Executive summary

• Q2 2025 gold production was 27,548 ounces, with sales of 28,265 ounces at an average price of $3,338/oz, generating $94.5 million in revenue.

• All-in sustaining costs (AISC) were $1,830/oz, impacted by royalties, grid power issues, and FX, but operations remained within budget.

• Liquidity at quarter end was $103.9 million, including $72.6 million in cash and $31.3 million undrawn senior debt.

• Stage I hard rock expansion reached 63% completion, on schedule for Q4 2025 commissioning; Stage II expansion was accelerated and board-approved, targeting 220,000–250,000 ounces annually by Q4 2026.

• Completed A$75 million IPO on ASX to fund Stage II expansion; board changes included a new director with Australian market expertise.

Financial highlights

• Revenue rose to $94.5 million in Q2 2025, with adjusted EBITDA of $45.5 million and adjusted earnings attributable to shareholders of $20.6 million, or $0.04 per share.

• Net earnings attributable to shareholders were $15.9 million in Q2 2025, up 79% year-over-year.

• Free cash flow was -$27.2 million due to $43.5 million in expansion investment.

• Gold sales remained unhedged, benefiting from record gold prices.

• Operating cash flow before working capital was $27.0 million.

Outlook and guidance

• 2025 gold production guidance remains 115,000–130,000 ounces, with expectations to reach 170,000–185,000 ounces post-Stage I expansion.

• Stage II expansion, now accelerated, targets 220,000–250,000 ounces annually starting in Q4 2026.

• Grades are expected to improve in Q4 as hard rock commissioning begins.

• Updated mineral resource estimate anticipated in Q1 2026.

• Ongoing exploration aims to grow resource base from 5 million ounces to a targeted 7–10 million ounces long-term.