Torex Gold Releases 3-Year Production Outlook for ELG

Torex Gold Resources Inc. (TSX: TXG) announces a multi-year production outlook for the Company’s El Limón Guajes mining complex (“ELG”), which includes the previously announced expansion of the El Limón open pit.

Jody Kuzenko, President & CEO of Torex Gold, stated:

“A key strategic priority for Torex over the last 12 months has been to optimize and extend mining operations at ELG. With the recent approval of the El Limón pushback and ongoing contribution from the ELG Underground, Torex is well on the path to delivering a smooth transition between ELG and the ramp up of Media Luna.

“Annual gold production from ELG at the midpoint of the outlook range is 450,000 ounces in 2022, 425,000 ounces in 2023, and 325,000 ounces in 2024, which excludes any gold equivalent production from Media Luna. Media Luna is expected to begin first production in 2024, and this production will be added to the 2024 outlook when an updated Technical Report (including Feasibility Study) is released in Q1 2022. The current production outlook assumes production from the ELG open pits through mid-2024, and stable production from the ELG Underground through to at least the end of 2024 and likely longer based on exploration results. In addition, lower grade stockpiled material will be leveraged to fill the mill as required throughout the transition period, with higher grade feed from Media Luna and ELG Underground taking priority.

“This additional certainty on our multi-year production outlook at ELG comes at a time when our balance sheet has never been stronger. With more than $195 million in cash on hand at the end of Q2 2021, $150 million available on a fully undrawn revolving credit facility, and robust ongoing cash flow from ELG, Torex is well positioned to fund the development of Media Luna while continuing to invest in value accretive exploration to support our future.”

ELG Production Outlook

Production guidance for 2021 remains unchanged at 430,000 to 470,000 ounces of gold. ELG is expected to produce 430,000 to 470,000 ounces of gold in 2022 driven by consistent open pit and underground throughput. Gold output in 2023 is expected to decline modestly to 400,000 to 450,000 ounces with the anticipated depletion of the Guajes open pit.

Excluding any contribution from Media Luna, gold production in 2024 is forecast to decline to 300,000 to 350,000 ounces with the expectation that El Limón open pit reserves are depleted mid-year. Stand-alone production from ELG post-depletion of the open pits would be supported by ELG Underground, which has an implied reserve life through to at least the end of 2024, as well as stockpiled material. As at the end of Q2 2021, there were 4.6 million tonnes of ore in stockpiles at an average grade of 1.47 gpt.

Development of Media Luna remains on track with first production anticipated in early 2024. Once in production, higher grade gold equivalent ore from Media Luna is expected to displace lower grade stockpiled material, which will be used to fill any excess capacity in the upgraded processing plant. The production outlook through 2024 does not include any gold equivalent production from Media Luna. Upon completion of the Media Luna Feasibility Study in Q1 2022, it is expected that this production outlook will be updated.

About Torex Gold Resources Inc

Torex Gold Resouces is an intermediate gold producer based in Canada, engaged in the exploration, development, and operation of its 100% owned Morelos Gold Property, an area of 29,000 hectares in the highly prospective Guerrero Gold Belt located 180 kilometres southwest of Mexico City. The Company’s principal assets are the El Limón Guajes mining complex (“ELG” or the “ELG Mine Complex”), comprising the El Limón, Guajes and El Limón Sur open pits, the El Limón Guajes underground mine including zones referred to as Sub-Sill and ELD, and the processing plant and related infrastructure, which commenced commercial production as of April 1, 2016, and the Media Luna deposit, which is an advanced stage development project, and for which the Company issued the updated PEA in September 2018. The property remains 75% unexplored.

For further information on Torex Gold Resources, contact Judy Kuzenko, President and CEO, (647) 725-9982 or Dan Rollins, VP, Corporate Development & Investor Relations at (647) 260-1503 or visit the website at www.torexgold.com.