Mineros S.A.

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Next, I'd like to, call Daniel Hanau, president and CEO of Meneros SA up to the podium. Daniel's currently, as I mentioned, the president CEO, was appointed CEO in 2025. He's also a partner at Sun Valley Investments since 2020 and, has held a number of other positions in the mining sector prior to that. Daniel, welcome. Thank you, Don. Pleasure to be here. it's great to have this opportunity to tell you more about Mineros. S. We are actually a significant, gold producer. We produce 200. And 30,000 ounces, last year, we just announced yesterday our our production for the first quarter of, 2026, of 61,000 ounces yet, most of you would be hearing about us for the first time, so that's, that's the opportunity we wanna tell you about. So we're delivering record operational results we're proving our growth, demonstrating it, and we are on topping on tapping, an amazing. potential within our existing portfolio. So before I start, I'm gonna be making a multiple forward looking statements. So please be mindful of that. So we operate in 3, jurisdictions in in Latin America Nicaragua, Colombia, and Chile. Our two producing mines are in Nicaragua and in Colombia. we are delivering excellent, financial performance, on the back of, of, record, operational performance. We have a multi-decade, history of delivering, returns to our to our shareholders, and we are growing and unlocking a lot of value. within our existing, portfolio of assets, so we are by no means, a new mining company. we are a 52 year old mining company. our two assets have been in production for over a century. however, we are a new opportunity for more, most North American and European investors. the company went public in TSX, really around 2022, and most recently, it's been going through a very significant, transformation. we have a strong agenda of operational excellence of growth, so there's a lot of changes happening, at Mineros. So, so very old mining company, but, but a brand new opportunity for, for, North American and European investors. the market is starting to learn about Minineros. Our share price has done, very well. last year our share price went up 275%. but we are still remarkably undervalued. our market cap at the moment is about $1.1 billion. We, our revenues last year were, were about $800 million with gold of $3500 gold. So, at 4500. Dollar gold things are looking very, very positive. The graph above shows our, our dividends and, buybacks in the last 10 years. so that's Minro has been a strong cash cow for decades, but now for the first time it's also reinvesting. on its asset and by doing that unlocking a lot of value, our volumes have gone up, 5 times. We are starting to get included in indexes like, S&P, TSX, Global Mining index, MSC ICO CPP, many others. We're still not included in, in, in major indexes like, GDXJ. So that's those are further catalysts that we expect to unlock. Last year was truly a transformational year for for Mineros. December was a record month, for our operations. We produced 21,000 ounces of gold. that meant that we actually went above our guidance and produced 227, gold equivalent ounces. that with what at the time looked like a great gold price, 2 $3500 gold meant that we delivered $800 million in, in revenue, $300 actually. $60 million in in adjusted EBITA so a million dollars for every single day that we operated last year we returned $42 million to our to our shareholders in dividends and buybacks and our our share price did very well, 275% in Canada, so we outperformed 98% of all issuers in in in in TSX and for the second consecutive year we were the best performing stock in in Toronto. in Colombia, sorry, we have a healthy balance sheet, about $130 million as of December 2025, no debt, so, so we. We're looking at some debt facilities. That's why you see the credit ratings, there from Moody's and S&P because we want to grow. Ideally speaking, we would like to acquire, a third producing asset, in the Americas. We're working on that, and as I mentioned, our market cap is about $1.1 billion. our revenues last year were $800 million a $3500 goal. So just keep that in mind., and do that math. This is our guidance for 2026. the upper end is 233,000 ounces of, gold. the first quarter, the numbers that we, announced yesterday were 61,000 ounces of gold equivalent. so we're, we're, we're going to deliver, I think on. On our guidance for this year we're working very hard. We're also starting to reinvest in the business, so we're deploying $150 million in in Capex both in growth sustaining and exploration for the first time, some of our assets are actually being explored, which is, a very exciting opportunity. from a team perspective, I wanna highlight, Mike, Michael Doyle in the bottom right part of the presentation. Mike has been a partner of Sun Valley for about 10 years, very experienced, mining engineer, geologist. before Sun Valley he was with Rio Tinto. Maria Vallejo also new, member of the, of the technical team. She joined the company as vice president. You of growth and on technical services before Mineros she worked for Anglogolashanti Barrick, private equity groups investigated more than 100 projects globally so she's helping us, explore our, our growth, opportunities beyond our current assets. I think Carlos Rios, he's the vice president of. Exploration before Minros he was with collective Minning, a very exciting exploration story in Colombia, and before then Continental gold, which today is the largest gold producer in Colombia they produce about 350,000 ounces of gold per year, so excellent, track record from a discovery point of view. We have 2 assets in production, 3 assets in the pipeline. I'm going to start with, Nicaragua, because that's where we're seeing most of the short term gains. last year we produced 140,000 ounces gold equivalent, in Nicaragua. In Colombia we produce about 90,000 ounces of gold, but Colombia is the lower cost operation, so from a profitability perspective they're both actually, very, similar. We control about 460,000 hectares of mining properties in the northeast part of the country. adjacent to to Riscos the oral mine by Equinox Gold, this is a district that has a very rich, production history but is massively unexplored. The reality is that we don't yet know the real potential of this district. It has very good infrastructure. The, the mines that we, we, we're mining have been in production for over a century, yet, a lot of work has to be done to understand the real potential here. Our current reserves at about 806,000 ounces. M&I resources about half a million ounces, and this is the, the growth short term growth engine of the company. We have a very interesting, program there that we call the Bonanza Mining Partnership. And, and by law in Nicaragua, local miners have the right to operate within your concession with artisanal means, and that's been a very profitable business for mineros for many, many years. We buy that mineral for about 50% of spot, so it's, is, is, is an option to buy gold today at $2200 gold or so. So it's a, it's a, it's it's. A great profitable business, but for the first time we're seeing these, these great miners as very smart geologists. So now we're asking ourselves where these minerals coming from. We're processing that. So we're seeing some of these areas like Momoombo there in the circle they're delivering, ore to us in hundreds of grams per ton. so yes, it's a great business, very profitable to process that mineral, but quantifying that potential is a very, interesting opportunity, for us. So now we're doing about 100 kilometers of drilling in, in our properties. The vast majority of that is, is going, to Nicaragua to understand the potential of the district. And within that same circle you have there the Porvenir star that's that's these are the numbers of the phase one PFS. this was all done at 3150 gold, 38%, IRR on a $200 million dollar investment, very attractive polymetallic in nature, a lot of growth potential. We're seeing a lot of satellite deposits, deposits around it, so the, the, the first phase is gonna be a 2000 tons per day, phase, but it can double, and all the plans, all the designs are made in a way that. We can expand that capacity, as soon as we start, converting, more resources. So this is an exciting, short term, development opportunities. opportunities should be permitted by the first quarter of 2027. We're actually already permitted for, for mine development so we're starting to do some preparation work, so we can move very fast on this asset because a $4500 goal is definitely looking, very attractive. I'm not gonna spend a lot of time in Colombia, but it's also a mine that has been in production for over a century, 101.2 million ounces in reserves, 1 million ounces in in in resources, 90,000 ounces of gold production per year, We, these assets can support a higher production profile. There's no reason to, to, to be limited at 90,000 ounces of gold. So we're limited in, in, in, in, in, in that, we're working on a growth agenda, for, for Colombia. This is the latest acquisition that we did, 23 million ounces of gold, in Colombia as well, so very significant ore body we acquired these assets from Anglogoleshanti. just days ago, it's an asset that has been, problematic, for them from a social perspective because they, they have very big ambitions, for these, project. They wanted to build a million ounces per year, type mine in a, in a small rural community, in Colombia. our approach is very different. we're working from the bottom up, working with the communities, exploring what we can build there, the, the, the. Technical aspects of of of these assets are clear. it's, it's a tier one asset massive resource. The problem has been, the way, it had been managed by and the approach of the community. So we as a Colombian company, we think we we're well geared to unlock, value where others have not been able to do so, but that's gonna start with the community, and that's, that's what we're gonna do here. And last but not least is is the La Pepa project this is in northern Chile we acquired this asset late last year from Pan American Silver we we're starting with 2.5 million ounces of resources in this asset. the asset is surrounded by producing mine producing mines, Kinross, gold fields, they're, they're all there. Adjacent to the north is the, Phoenix, mine owned by, Riodos, and, and, they're showing us the way how, how a mine can be developed in this part of the world. So very attractive development, opportunity for us. There is a lot of growth up. Potential in this asset as well, the red circles that you see in the slide are are clear, anomalies that are outcropping. So we're gonna be exploring, this asset, too we're gonna be, drilling, taking samples, de-risking the, the asset on, on multiple levels, from an environmental perspective so it's, it's looking like a very attractive, opportunity for, for us. So in summary. We were the upper upper end of our guidance for 2026 is 233,000 ounces. The first quarter we already delivered 61,000 ounces gold equivalent. So we're, we're on track, to deliver or, or on our guidance, with the poor veneer expansion we expect to add, about 70,000 ounces, gold equip. Equivalent so that will take us beyond the 300,000 ounces, and we have a very strong, balance sheet we're potentially adding some some credit lines so so we can have the dry powder to continue expanding our internal goal is to get to 500,000 ounces by 2030 so we're working, aggressively to to to get there. we're staying very disciplined. The reality is that it's a very competitive, world out there, right now from an M&A perspective, we don't wanna grow for the sake of growing. We're very careful about our per share, metrics. We are shareholders ourselves, so that matters, to. To us, but, we're preparing the company, adding the, the, the, the, the, the financial capacity to take on, on an additional, ideally producing asset, in the Americas. So that's, that's also, work, work in progress. So why invest in Minneros? I think this is, a good summary. We are deeply undervalued. We were trading at 1.2 more or less, times revenues. these are revenues, that we produce at $3500 gold, about 3 times, EIDA. our operations are performing very well. We're actually, growing our production profile. at $4500 gold, the financial performance is just, it's outstanding. It's, the business is doing very, very well. We have very clear, growth catalysts with, opportunities like poor veneer and as, Latin American operator, we feel we can unlock value where other companies have struggled to unlock value. So, the acquisition of, the Tolima asset in Colombia is a is a good example of, of that 23 million ounces of gold, massive ore body, that was just sitting there idle, and, and we think we can, we can work with the communities and find a way to, to unlock a lot of value, on that. So that's that's Mineros thank you very much for for your interest and there's a couple of minutes for for questions. Thank you. Yeah, that's right as Daniel indicated we do have time for maybe a couple questions if there's any from the audience. OK, I see a couple of hands raised. We'll start with the gentleman. Yeah, I'm not a LM expert, but your IA costs seem kind of high. Could you expand on that? And second question real quick, what is your, thoughts on Colombia, the political changes and the elections? Thank you. Thank you very much. So then that's as I mentioned in Nicaragua in particular, the Bonanza Mining partnership is a meaningful part of our production. We pay them about 50% of spot so it gold goes to, 4000, then our cost immediately goes to 2000 for that part. Part of the business. So that's why it's a function of gold price at the same time, if the gold price goes down, then our, our cost goes down. So we're, we're indexed, to the gold price. We are in a high gold price environment, so our cost, goes up for that part of the business. That's the, that's the main explanation and from a political situation in Colombia. So we've gone through 3.5 years of what we consider not a great government, just to be polite, so we are expecting a transition, the polls indicate that there's gonna be a transition, so, so positioning ourselves with these sort of, acquisitions I, I think it's great because we might have the right environment. and I think the country is evolving in the right direction, to, to unlock, tremendous value. So imagine being able to unlock a 23 million ounce, or body, what could do for, for a company, of our size. so that's just very interesting optionality. we did that acquisition with a very small financial commitment. it comes with some very good assets that have, beyond the 23 million ounces that have very good synergies with, with our operations. So those are the kind of deals that we're doing in, in, in this market. Thank you. And we had another question from the audience. Go ahead. Portfolio and you talked a little bit about oh sorry sorry I I just was looking at your portfolio and you talked a little bit then about diversification maybe still in the Americas so I'm thinking that would include Central America maybe Mexico. And then other parts of South America can you talk about some of the countries that would be of interest to you and how do you try and mitigate some of your higher geopolitical risk in Nicaragua and Colombia versus let's say your peers? Exactly thank you that's a that's a good question and that's so we. Look, our two assets have been in production for over a century, so there we think there's a perception of risk in our two jurisdictions. The reality is that we've been operating there fine for, for several decades. So we, we've demonstrated that those are actually decent jurisdictions. However, the perception matters, and I think that affects, things like valuation. So definitely having a third producing asset would be great, ideally in the Americas. So we're not looking just at. Latin America, the reality is that there are still good opportunities in the US and Canada, there, there, there are still undervalued, developers, producer, producers definitely expensive, like, is, is, is tough, it's a tough environment to, to find real value in producing assets, but advanced developers, if you look hard, you can still, find some good opportunities. So we're looking at things in, in the US, in Brazil, some things in Chile. So it's, it's looking attractive. OK. Thank you very much Daniel. Thanks and good luck with the next steps. Thank you very much, pleasure. OK, we're moving on to the, the last talk in this session, Galliano Gold, and I'd like to invite to the stage, Matt Badyla, president.