-- H1 Cash Cost of $2,104/oz tracking within guidance -- H1 AISC of $2,348/oz - below the lower end of guidance MEDELLIN, Colombia--(BUSINESS WIRE)--August 05, 2026--
Mineros S.A. (TSX:MSA, BVC:MINEROS, OTCQX:MNSAF) ("Mineros" or the "Company") today reported its financial and operating results for the three and six months ended June 30, 2026. All dollar amounts are expressed in thousands of US dollars unless otherwise stated. For further information, please see the Company's unaudited condensed interim consolidated financial statements and management's discussion and analysis posted on Mineros' website https://mineros.com.co/en/investors/financial-reports and filed under its profile on www.sedarplus.com.
Financial Highlights for the three and six months ended June 30, 2026
-- Revenue of $266,978 in Q2 2026 was driven by strong operational
performance across both properties and a robust gold price environment.
These factors contributed to a record first-half revenue of $558,788 --
the strongest six-month top line in the Company's history.
-- Adjusted EBITDA surged 70% year-over-year to $260,475, for the first
half of 2026, the strongest first-half result in the Company's history,
underpinned by disciplined cost control and a robust gold price
environment.
-- The Company delivered a record first-half net profit of $132,819 ($0.45
per share), with Q2 net profit of $45,133 ($0.15 per share) demonstrating
the consistent earnings power of the business across both jurisdictions.
-- As at June 30, 2026, cash equivalents and gold backed assets totalled
$228,770, comprising cash equivalents of $41,136, precious metals
inventory of $124,605 (equivalent to 29,309 ounces of gold and 112,297
ounces of silver) and gold-backed receivables totaling $63,029
(equivalent to 12,912 ounces of gold and 95,577 ounces of silver),
reflecting the Company's deliberate capital allocation strategy under its
strategic gold reserve policy.
-- As at June 30, 2026, the company held 16,128 ounces of gold in ore
stockpiles (valued at a cost of $1,284 US$/oz) and 1,190 ounces of AuEq
in doré format (valued at a cost of 2,748 US$/oz) totalling 17,318
ounces of AuEq for a total value of $24,430. This corresponds to an
increase of 18,748 ounces of AuEq and $15,758 in comparison to the
December 2025 levels, as the Company accumulates ore feed ahead of the
Hemco processing plant capacity expansion from 1,750 to 2,500 tonnes per
day, expected to be completed by year-end 2026.
-- With loans and borrowings of only $55,635, Mineros maintains a
conservative, low-leverage balance sheet.
Operational Highlights for the three and six months ended June 30, 2026
-- Gold production of 60,253 ounces in Q2 2026, a 12% increase over Q2
2025, reflects broad based operational strength across both properties,
with Hemco Property delivering 37,594 ounces (+14% year over year) driven
by higher throughput and improved metallurgical recoveries, and
Nechí Property contributing 22,659 ounces (+9 % year over year).
First half consolidated production reached 118,103 ounces.
-- Gold sold of 59,639 ounces (61,849 AuEq) in Q2 2026, an 11% increase
over Q2 2025, contributed to a first half total of 117,489 ounces
(122,634 AuEq) a 12% year over year increase providing the foundation for
the Company's upward revision of its full-year 2026 guidance to
220,000--240,000 ounces.
-- Silver sold of 150,681 ounces in Q2 2026, more than double the 70,733
ounces sold in Q2 2025, reflects the sustained success of the
metallurgical optimization program at the Hemco processing plant. For the
first half of 2026, silver sold reached 312,446 ounces, a 111% increase
over the same period in 2025.
-- Cost performance tracked ahead of target for the first half: Cash Cost
per ounce of gold sold of $2,104 came in within full-year guidance of
$2,070--$2,170/oz, while AISC of $2,348/oz fell below the guided range of
$2,370--$2,470/oz, positioning the Company to beat its full-year cost
targets. On a standalone basis, Q2 Cash Cost of $2,204/oz and AISC of
$2,458/oz reflect expected second-half cost discipline and remain
consistent with the full-year guidance.
Strategic Highlights for the three and six months ended June 30, 2026
-- Acquired a gold exploration project in Tolima, Colombia, which, as
reported by AngloGold Ashanti PLC in December 2024, hosts an historical
mineral resource estimate of 23.35 million ounces of gold in Indicated
Mineral Resources and 4.98 million ounces of gold in the Inferred Mineral
Resources.
-- Porvenir Project received the Environmental Certification for the
Processing Plant and Tailings Storage Facility. In April 2026, the
Attorney General's Office provided the Environmental Certification
marking one of the final steps towards full permitting. Over 2024 and
2025 the Porvenir Project has secured a number of key approvals,
including the underground mining permits, forest management
authorizations including the environmental certifications thereof,
municipal approvals, and environmental certification for the processing
plant and tailings storage facility. Pending are specific forest
management and treated wastewater authorizations which Mineros expects
the approvals for by the end of the year.
-- Advanced the Hemco expansion in Nicaragua, with sustained throughput
reaching 2,100 tonnes per day ("tpd") by June, a 20% increase over the
1,750 tpd baseline. The Company is on schedule and within budget to meet
the Company's goal of achieving 2,500 tpd throughput by December 2026.
-- Mineros revised its consolidated gold production guidance for 2026 to
220,000--240,000 ounces (from 213,000-233,000 ounces). This guidance
flows from a disciplined focus on "quick-return" ounces, prioritizing
capital investment toward brownfield projects and operational
efficiencies that can be brought online rapidly to maximize free cash
flow in a robust commodity market. The Hemco Property (Nicaragua) is
expected to contribute 137,000--147,000 oz, while the Nechí Property
(Colombia) will produce 83,000--93,000 ounces of gold.
-- Repurchased 4,083,497 common shares for $18,077 as part of the share
repurchase program undertaken during the second quarter of 2026,
highlighting the ongoing commitment to enhancing shareholder value and
reflecting the confidence in the company's long-term growth and financial
strength.
-- During the second quarter, the Company completed 14,432 metres in 55
drill holes representing 19% of the 75,400 metres of diamond drilling
planned for the Hemco Property. In addition, 86 holes of sonic and ward
drilling was completed at the Nechí Property for a total of 2,088
metres representing 16% of the 13,000 metres planned. The drilling in the
second quarter of 2026 at the Hemco Property represented a mix of near
mine drilling to expand the Mineral Resources and Mineral Reserves at the
Panama and Pioneer Mines (6,752 metres in 22 holes), infill drilling at
the Porvenir Project (2,517 metres in 15 holes) and 5,163 metres in 9
holes in greenfield and brownfield targets on our relatively
underexplored land package in Nicaragua.
-- Mineros is the principal contributor and project manager of a new
public secondary school in El Bagre, Antioquia, within the Nechí
Property operating footprint. Total project investment is estimated to be
approximately COP $38.7 billion (.APPROX. US$9.1 million), co-funded with
EPM, Grupo Argos, and Grupo Nutresa. This initiative was financed through
Colombia's Obras por Impuestos ("Works-for-Taxes") mechanism, which
redirects corporate income tax into community infrastructure in
post-conflict municipalities. The new 11,000 m(2) campus will serve more
than 1,080 students in a region historically affected by armed conflict
and illegal mining.
-- Update to investment policy - On May 4, 2026, the Board of Directors
approved an updated Investment Management Policy. The updated policy
expands the range of admissible instruments to include high-liquidity
ETFs and listed precious metals producer equities, increases the
allocation to physical gold bullion (which must be held with reputable
institutional custody firms), and introduces precious metals derivative
instruments including forwards, swaps, and plain vanilla options as a new
admissible asset class. The policy establishes an Investment Committee,
introduces quantitative risk controls including daily Value-at-Risk,
monthly stress testing, and counterparty eligibility and concentration
limits, and enhances reporting requirements including daily monitoring,
monthly Investment Committee meetings, and quarterly Audit Committee
reporting. Derivative instruments not designated as hedging instruments
under IFRS 9 are classified at fair value through profit or loss, with
changes in fair value recognized in profit or loss in the period in which
they arise.
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