Project remains on schedule with 95% of upfront expenditures now committed

(All amounts expressed in U.S. dollars unless otherwise stated)

Toronto, Ontario--(Newsfile Corp. - April 30, 2024) - Torex Gold Resources Inc. (the "Company" or "Torex") (TSX: TXG) provides its Q1 2024 update on the development of its Media Luna Project ("Media Luna"). Unless otherwise stated, progress and milestones referenced in this press release are as of March 31, 2024.

Jody Kuzenko, President & CEO of Torex, stated:

"We continue to demonstrate our ability to deliver excellence in project execution. With the construction period now crossing the two-year mark, Media Luna remains on track for first copper concentrate production before year end and commercial production in early 2025, the combination of which are expected to result in a return to positive free cash flow towards the middle of next year.

"Solid progress was made during the first quarter, with engineering activities now 91% complete, procurement activities 78% complete, and the overall project almost 70% complete. Underground construction and development sat at 64% complete, with vertical and lateral development tracking to plan. In addition, the construction of ore/waste handling systems is advancing well, and 78% of Guajes Tunnel conveyor tables are now installed. We continue to make steady gains on surface construction, with two-thirds of concrete now poured, steel erection progressing, copper flotation cells being installed, and the sediment/decant ponds completed.

"As at quarter end, 95% of the upfront capital expenditures had been committed including 71% incurred. To date, capital expenditures have tracked reasonably well to the initial budget of $874.5 million, noting again that the stronger Mexican peso remains a headwind to contend with. Quarterly expenditures are expected to remain above $100 million through Q3 2024 before declining in Q4 2024 as Media Luna nears completion and commercial production is subsequently declared.

"With available liquidity of more than $400 million as at the end of March, our liquidity position is more than sufficient to fund the $257 million of capital expenditures remaining on Media Luna while meeting our objective to maintain at least $100 million of liquidity on the balance sheet. With production and costs tracking to full-year 2024 guidance, together with the strong gold price, our funding position is expected to strengthen even further through the remainder of the year.

"The successful completion of Media Luna, combined with ongoing exploration success at Morelos, our track record of consistent and reliable production, and the transition back to positive free cash flow in 2025, will provide a world-class platform to drive long-term shareholder value as we grow our operations in Mexico and beyond."

CAPITAL EXPENDITURES

Table 1: Media Luna Project – Project Expenditures (April 1, 2022, through March 31, 2024) see & read more on
https://torexgold.com/news-and-media/news/torex-gold-provides-q1-2024-update-on-media-luna-p-8860/