Rio2 (RIO) Mining Forum Europe 2026 summary

Strategic overview and recent developments

• Transitioned from developer to producer with Fenix Gold moving into operation and acquisition of Condestable copper mine in January.

• Operations are managed from Lima, Peru, leveraging a team with extensive heap leach experience from previous projects.

• Fenix Gold is the cornerstone asset, located in Chile's Atacama region, with a 17-year mine life at phase one and significant expansion potential.

• Water supply is a key constraint for Fenix Gold expansion, currently managed by trucking, with plans for a pipeline to unlock higher throughput.

• Condestable mine in Peru provides steady cash flow, supporting Fenix expansion, and is undergoing a transition to dry stack tailings and electric truck trials.

Project operations and expansion plans

• Fenix Gold currently processes 20,000 tons per day, aiming for 80,000 tons per day post-expansion, targeting 300,000 ounces of gold annually for over 10 years.

• Near-mine exploration at Fenix is allocated CAD 10 million this year, focusing on deeper drilling to expand resources.

• Condestable operates at 8,400 tons per day with 11 years of reserves, and plans to expand to 12,000 tons per day are underway, pending permitting and plant upgrades.

• Plant upgrade at Condestable estimated at under CAD 50 million, with dry stack tailings resolving water and environmental constraints.

• Both projects have large unexplored land packages, with exploration budgets set for near-mine and surface resource development.

Financial and operational outlook

• Current market capitalization is approximately $1.1 billion USD, with a cash balance of CAD 93 million and debt of CAD 87 million related to Condestable acquisition.

• Fenix is now cash flow positive, with production ramping up to 60–70,000 ounces in 2026 and 100,000 ounces annually from 2027.

• Expansion of Fenix to 80,000 tons per day and 300,000 ounces per year is targeted for 2031, pending pipeline and plant construction starting 2028.

• Condestable expansion is expected to be self-funded from operational cash flow, with no additional borrowing anticipated.

• Fenix head grades are being high-graded to 0.6–0.65 in early years, tapering to 0.5 by year three or four, with expected recoveries of 75%.