Steppe Gold : Management Discussion and Analysis 2024
STGO.TO
Management Discussion and Analysis
2024 Results
Year Ended December 31, 2024
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION .................... 5
NON-IFRS MEASURES .......................................................................................................... 7
TECHNICAL INFORMATION ................................................................................................. 7
ADDITIONAL INFORMATION ............................................................................................... 9
GROUP OVERVIEW ............................................................................................................... 9
HEALTH AND SAFETY ......................................................................................................... 11
FINANCIAL OVERVIEW ...................................................................................................... 12
STATEMENT OF FINANCIAL POSITION .............................................................................................. 13
INCOME STATEMENT ................................................................................................................... 22
CASH FLOW STATEMENT .............................................................................................................. 25
FINANCING ACTIVITIES .................................................................................................... 25
STREAM AGREEMENT .................................................................................................................. 25
DEBENTURE AGREEMENTS ........................................................................................................... 26
BORO BOND ........................................................................................................................... 27
ATO PHASE 2 LOAN ................................................................................................................... 27
OUTSTANDING COMMON SHARES ................................................................................................... 27
RELATED PARTY TRANSACTIONS ...................................................................................... 27
OPERATIONAL OVERVIEW ................................................................................................. 31
GOLD MINE OPERATIONAL SUMMARY .............................................................................................. 31
SUMMARY OF QUARTERLY RESULTS ................................................................................................ 32
EPC ARRANGEMENTS .................................................................................................................. 33
BOROO GOLD TRANSACTION ........................................................................................................ 34
EXPLORATION AND DEVELOPMENT ................................................................................... 34
BOROO GOLD MINE .................................................................................................................... 34
ATO GOLD MINE ....................................................................................................................... 34
UUDAM KHUNDII PROPERTY ......................................................................................................... 35
BORNUUR EXPLORATION SITE ........................................................................................................ 35
OUTLOOK ................................................................................................................................ 35
CRITICAL ACCOUNTING POLICIES, ESTIMATES AND ACCOUNTING CHANGES ................. 35
CRITICAL ACCOUNTING POLICIES AND ESTIMATES .............................................................................. 35
ACCOUNTING POLICIES ............................................................................................................... 35
FINANCIAL INSTRUMENTS AND OTHER INSTRUMENTS .................................................... 36
CREDIT RISK ............................................................................................................................ 36
LIQUIDITY RISK ........................................................................................................................ 36
MARKET RISK ........................................................................................................................... 37
COMMODITY PRICE RISK ............................................................................................................. 38
EMBEDDED DERIVATIVES ............................................................................................................. 38
STREAM AGREEMENT .................................................................................................................. 38
CAPITAL RISK MANAGEMENT ........................................................................................................ 39
NON-IFRS PERFORMANCE MEASURES ............................................................................... 40
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES ...................................................................... 40
EBITDA ................................................................................................................................. 40
KEY PERFORMANCE INDICATORS .................................................................................................... 41
CORPORATE GOVERNANCE ................................................................................................ 42
DISCLOSURE CONTROLS AND PROCEDURES ....................................................................................... 42
INTERNAL CONTROL OVER FINANCIAL REPORTING ............................................................................. 42
LIMITATIONS OF CONTROLS AND PROCEDURES .................................................................................. 43
CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING .................................................................... 43
Management Discussion and Analysis
Significant Transaction
Steppe Gold Ltd. (the "Company" or "Steppe Gold") was incorporated under the laws of the Ontario Business Corporations Act by Articles of Incorporation dated October 5, 2016. The Company is domiciled in Canada and its registered office is at 333 Bay Street, Suite 2400, Toronto, Ontario M5H 2T6.
The consolidated financial statements as at December 31, 2024, comprises the Company and its main operating subsidiaries, Steppe Gold LLC and Boroo Gold LLC (see below) (together referred to as the "Group").
On April 11, 2024, the Company entered into share exchange agreement with Centerra Netherlands BVBA ("Centerra") and Boroo Pte Ltd. ("Boroo Singapore") to purchase all of Boroo Gold LLC's ("Boroo Gold") shares in exchange for the number of the Company's shares equal to approximately 55.9% of the fully diluted Company shares immediately prior to the closing date of the proposed transaction (the "Boroo Gold Transaction"). At the time, Boroo Gold, based in Mongolia, was 100% owned by Centerra, which in turn, was and continues to be, owned 100% by Boroo Singapore.
On August 1, 2024, the Company announced the successful completion of the Boroo Gold Transaction, where the Company acquired all of Boroo Gold's shares in exchange for 143,796,574 common shares for the Company, representing 55.9% of the fully diluted Company shares immediately prior to the closing date, to Boroo Singapore.
Following completion of the Boroo Gold Transaction, it was determined that Boroo Singapore controlled the Company and therefore Boroo Gold, as 100% subsidiary of Boroo Singapore, would be considered for financial accounting purposes as the accounting acquirer and the Boroo Gold Transaction should be accounted for as a reverse acquisition as defined in International Financial Reporting Standards ("IFRS") 3 Business Combinations.
Under the reverse acquisition rules the entity that issues its shares to effect the transaction is determined for accounting purposes to be the acquiree (also called the accounting acquiree or legal acquirer), while the entity whose shares are acquired is, for accounting purposes, the acquirer (also called the accounting acquirer or legal acquiree). The accounting acquiree generally continues in existence as the legal entity whose shares represent the outstanding common shares of the combined company and continues to issue its own financial statements. However, the financial reporting reflects the accounting acquirer's financial information, except for its equity, which is retroactively adjusted to reflect the equity of the accounting acquiree.
Accordingly, as Boroo Gold is considered the accounting acquirer the financial information included in this management discussion and analysis principally represents the financial and operating information of the Group as set out below:
• Boroo Gold for the period from January 1, 2024, to December 31, 2024.
• For the period from January 1, 2024 to December 31, 2024 the consolidated income statement contains the financial and operating information for Boroo Gold for the entire period and Steppe Gold's financial and operating information from August 1, 2024, through December 31, 2024 i.e. from the date of the accounting acquisition.
• Boroo Gold's comparative income statement financial information for the period from January 1, 2023, to December 31, 2023. Under IFRS 3 Business Combinations there is no requirement for comparative information of Steppe Gold.
• Boroo Gold's comparative balance sheet as at December 31, 2023 has been prepared in accordance with IFRS. There is no requirement for a comparative balance sheet of Steppe Gold as at December 31, 2023.
Concurrently with the closing of the Boroo Gold Transaction, the Company sold its subsidiary, Aurifera Tres Cruces SA ("ATC") to Boroo Singapore for CAD$11.7 million in cash, payable in four instalments. ATC owned the Tres Cruces Oxide Project, located in Peru, and was owned by 687211 British Columbia Ltd and T.C. Mining Inc which in turn were owned by Anacortes Mining Corp ("Anacortes") which the Company acquired on June 29, 2023.
The following management's discussion and analysis ("MD&A") of the financial condition and results of the operations represent Boroo Gold for the years ended December 31, 2023 and 2024, and Steppe Gold from August 1, 2024, through December 31, 2024.
The MD&A constitutes management's review of the factors that affected the Company and Group's financial and operating performance for the year ended December 31, 2024 and the year ended December 31, 2023. This discussion should be read in conjunction with the consolidated financial statements as at and for the year ended December 31, 2024, together with the notes thereto, which have been prepared in accordance with IFRS Accounting Standards issued by the International Accounting Standards Board and interpretations of the International Financial Reporting Interpretations Committee.
This MD&A is dated as of March 31, 2025 unless otherwise indicated.
All monetary amounts, except per unit amounts, in this MD&A are expressed in thousands of United States dollars, unless otherwise noted. Unless otherwise noted or the context indicates otherwise "we", "us", "our", the "Group" or Boroo Gold refers to Boroo Gold LLC and its direct and indirect subsidiaries.
Certain statements in this MD&A constitute forward-looking statements or forward-looking information within the meaning of applicable securities laws. You should carefully read "Cautionary Statement Regarding Forward-Looking Information" in this MD&A and should not place undue reliance on any such forward-looking statements.
Further information about the Company and its operations is available on the Company's website atwww.steppegold.com.
Cautionary Statement Regarding Forward-Looking Information
This MD&A contains certain forward-looking information and statements which may not be based on fact, including without limitation, statements regarding the Group's expectations in respect of: future financial position; the realization of the bonds entered into by the Group; the repayment of the Triple Flag Gold Prepay Loan; certain amendments to the EPC Contract; business strategy of the Group; future exploration and production; mineral resource potential; exploration drilling; permitting; access to capital; reagent supply chain operations; events or developments that the Group expects to take place in the future; the expected results of exploration activities; the estimation of mineral resources; the ability to identify new mineral resources and convert mineral resources into mineral reserves; ability to raise additional capital and complete future financings; capital expenditures and costs, including forecasted costs; use and repayment of loan proceeds; future loan agreements; the Group pledged of certain licenses, movable properties and immovable properties; the ability of the Group to comply with environmental, safety and other regulatory requirements; future prices of precious metals; and the production and construction schedule of, and the ability of the Group to obtain all necessary approvals and permits in connection with, the development of the Altan Tsagaan Ovoo ("ATO") Project (the "ATO Project") or the ATO gold mine (the "ATO Gold Mine") and development of the Boroo Mine and Ulaanbulag Mine ("Boroo Project"); the Group's future outlook and anticipated events, such as the Group's board and management team; the potential for value creation to the Group's shareholders; anticipated gold production of Boroo Gold and combined gold production of the Group; capital expenditures of the Group; the anticipated cash flow of the Group; and discussion of future plans, projections, objectives, estimates and forecasts and the timing related thereto; timing of repayment of the Triple Flag Gold Prepay Facility by the Company; and the Company's intention of retaining the Aranjin common shares. All statements, other than statements of historical facts, are forward-looking information and statements.
The words "believe", "expected", "anticipated", "continue", "goal", "future", "focus", "forecasted", "estimate", "exploring", "intends", "opportunity", "potential", "proposed", "may", "will", "could", "would" and similar expressions identify forward-looking information and statements.
Such forward-looking information and statements are based upon a number of estimates and assumptions that, while considered reasonable by the Group as of the date of such information and statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates and assumptions relate to, among other things: general economic and market conditions; gold prices; the ability of the Group to maintain normal operations during the Russia-Ukraine war and as a result of related sanctions; the Company's ability to continue to successfully satisfy all covenants under the Stream Agreement (as defined below) and the Group's ability to meet significant near‐term liquidity and operation requirements; the accuracy of mineral resources and mineral reserve statements and the other estimates and assumptions contained in the ATO Technical Report and BG Technical Report (each as defined below); material adverse effects on the business, properties and assets of the Group; and discrepancies between actual and estimated production and test results, mineral reserves and resources and metallurgical recoveries.
Readers are cautioned that forward-looking information and statements are not guarantees of future performance. There can be no assurance that such information and statements will prove to be accurate and actual results and future events could differ materially from those presented in such information and statements. Forward-looking information and statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking information and statements. Such risks include, but are not limited to: the integration of the Company and Boroo Gold and the benefits and progress thereof; the integration process may result in loss of key employees and the disruption of ongoing business, stakeholder, customer and employee relationships that may adversely affect the Company's performance; expected completion of the forward sales contract with TDB; the expected growth in reserves through exploration at current and nearby operations; potential acquisitions of the Group; the recoverability of the bonds issued by Boroo Singapore; the impact of any pending litigation; a significant portion of the Company's business is carried on through subsidiaries, including foreign subsidiaries, accordingly, any limitation on the transfer of cash or other assets between the parent corporation and such entities, or among such entities, could restrict the Company's ability to fund its operations and projects efficiently; Boroo Singapore beneficially owns approximately 55.9% of the Company's outstanding Common Shares and, governed by the Boroo Investor Rights Agreement, can influence the Company's governance and operations; the Company's compliance with evolving corporate governance and public disclosure regulations, imposed by various governmental and self-regulatory organizations, has increased compliance costs and risks, potentially adversely affecting its securities' price, while also diverting management's focus and increasing administrative expenses; the volatility of the price of gold; uncertainty of mineral resources; exploration potential; mineral grades and mineral recovery estimates; delays in exploration and development plans; insufficient capital to complete development and exploration plans; risks inherent with mineral acquisitions; delays in obtaining government approvals or permits; financing of additional capital requirements; commercial viability of mineral deposits; cost of exploration and development programs; risks associated with competition in the mining industry; risks associated with the ability to retain key executives and personnel; the impact of the Russia-Ukraine war and related sanctions; title disputes and other claims; the risk that insurance may not be available to the Group on reasonable terms or at all; changes in governmental and environmental regulation that results in increased costs; the Company's failure to adhere to representations, warranties, affirmative and negative covenants under the Stream Agreement, which could give rise to an event of default under the Stream Agreement; risk of increases in the anticipated total capital and operating costs relating to development and operation of the ATO Project and the Group's ability to meet such costs; and cost of environmental expenditures and potential environmental liabilities; accidents and labour disputes. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking information and statements.
Non-IFRS Measures
Certain non‐IFRS measures are included in this MD&A, including earnings before interest, taxation, depreciation and amortization ("EBITDA") and all-in sustaining cost ("AISC"), which are non-IFRS performance measurements. Cash costs and AISC are included because these statistics are widely accepted as the standard of reporting cash costs of production in North America. These performance measurements do not have a meaning within IFRS and, therefore, amounts presented may not be comparable to similar data presented by other mining companies. These performance measurements should not be considered in isolation as a substitute for measures of performance in accordance with IFRS.
Certain other key measures for ATO are included below:
1. Mineral Reserves estimates are set out in the ATO Technical Report and effective August 27, 2022, and are based on the Measured and Indicated Resource Estimate by R. Rankin, QP.
2. ATO and Mungu Mineral Reserves are set out in the ATO Technical Report and are effective as of
August 27, 2022.
3. Mineral Reserves are included in Mineral Resources.
4. Mineral Reserves are reported in accordance with JORC and Canadian Institute of Mining, Metallurgy and Petroleum and National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") guidelines.
5. Ore dilution is 3% and ore loss is 2%.
6. Contained metal estimates have not been adjusted for metallurgical recoveries.
7. The open pit mineral reserves are estimated using a cut-off grade of 0.40 g/t AuEq for oxide material and 0.43 g/t AuEq for transition and fresh material.
8. Mineral reserves are contained within an optimised pit shell based on a gold price of $1,700 per ounce.
9. A conversion factor of 31.103477 grams per troy ounce and a conversion factor of 453.59237 grams per pound are used in the resource and reserves estimates.
10. AuEq has been calculated using the following metal prices: $1,700/oz gold, $20/oz silver, $1,970/t lead, $2,500/t zinc.
+ (⁄)×21×0.4
11. Oxide AuEq calculation: (⁄) = (⁄)
1,610×0.7
+ (⁄)×21×0.858 + (%)×1,970×0.88
12. Transition and fresh AuEq calculation: (⁄)
= (⁄)
+
1,610×0.8
1,610×0.8
(⁄)×2515×0.88.
1,610×0.8
13. Totals may not match due to rounding.
14. The mineral reserves are stated as dry tonnes processed at the crusher.
ATO Technical Information
Following the release of the "Altan Tsagaan Ovoo Project (ATO) 2022 Mineral Resources & Reserves Report (NI 43-101)" on March 13, 2023 (the "ATO Technical Report"), the technical information contained herein relating to mineral reserve estimates of the ATO Project is based on, and fairly represents, information compiled by Grant Walker, Be (Mining) MAusIMM CP(Mining). Mr. Walker is independent within the meaning of NI 43-101, as a full-time employee of Xenith Consulting Pty Ltd. Mr. Walker has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity for which he is undertaking to qualify as a "Qualified Person" under NI 43-101.
The technical information contained herein relating to the ATO Project mineral resource estimates is based on, and fairly represents, information compiled by Robin Rankin, MSc DIC MAusIMM CP(Geo). Mr. Rankin is independent within the meaning of NI 43-101, as a full-time employee of Geores. Mr. Rankin has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity which he is undertaking to qualify as a "Qualified Person" under NI 43-101. The technical and geoscientific content of this MD&A has been approved by Enkhtuvshin Khishigsuren, exploration consultant of the Company and a "Qualified Person" as defined in NI 43-101. The effective date of the current mineral resource estimate is August 27, 2022.
All mineral reserve and resources have been estimated in accordance with the standards of the Canadian Institute of Mining, Metallurgy and Petroleum and NI 43-101.
The Qualified Persons were not aware of any other factors, including environmental, title, economic, market or political, which could generally influence the resources and reserves reported herein for the ATO Project. Factors that could alter the resources and reserves (but in all cases relatively insignificantly in the Qualified Persons' view) were changes in grade cut-off; bulk density; gold equivalent (through variations in world metals prices); geological model; JORC classification; and mining method with depth (possibly a factor at the deeper Mungu deposits where underground mining would be considered, and which would have a higher-grade cut-off).
Boroo and Ulaanbulag Technical Report
On June 21, 2024, the Company filed an amended technical report for the Boroo and Ulaanbulag Gold Project (the "BG Technical Report"). The BG Technical Report was prepared for Boroo Gold by Game Mine in accordance with NI 43-101. The technical information contained therein relating to mineral reserve estimates of the Boroo Project and Ulaanbulag Project are based on, and fairly represents, information compiled by Tuvshinbayar Batbayar /MAusIMM (CP). Mr. Tuvshinbayar is an independent consultant within the meaning of NI43-101, as a consultant for Game Mine. Mr. Tuvshinbayar has sufficient experience which is relevant to the style of mineralization, types of deposits, technical and geoscientific content under consideration and to the activity for which he is undertaking to qualify as a "Qualified Person" under NI 43-101.
The Company completed a technical report compliant with the National Instrument 43-101 Standards of Disclosure for Mineral Projects (NI 43-101) titled "Boroo and Ulaanbulag Gold Project 2024 Mineral Resources & Reserves Report (NI 43-101)" on February 21, 2024 (the "Technical Report"). The technical information contained herein relating to mineral reserve estimates of the Boroo and Ulaanbulag projects are based on, and fairly represents, information compiled by T.Tuvshinbayar /MAusIMM (CP). Mr. Tuvshinbayar is an independent consultant within the meaning of NI 43-101, as a consultant for Game Mine LLC. Mr. Tuvshinbayar has sufficient experience which is relevant to the style of mineralization, types of deposits, technical and geoscientific content under consideration and to the activity for which he is undertaking to qualify as a "Qualified Person" under NI 43-101. The effective date of the current mineral resource estimate is February 1, 2024. All mineral reserve and resources have been estimated in accordance with the standards of the Canadian Institute of Mining, Metallurgy and Petroleum and NI 43-101. Proven and Probable Mineral Reserves at Boroo gold deposit are estimated to contain 24.3 million tonnes (Mt) grading 0.72 g/t Au for a total of 567 thousand ounces (Koz) of contained Au metal. Proven and Probable Mineral Reserves at Ulaanbulag gold deposit are estimated to contain 6.2 million tonnes (Mt) grading 0.66 g/t Au for a total of 130 thousand ounces (Koz) of contained Au metal.
Certain other key measures for Boroo Gold Mine and Ulaanbulag Mine are included below:
1. Mineral Reserves estimates are set out in the Boroo Technical Report and effective February 01, 2024, and are based on the Measured and Indicated Resource Estimate by Tuvshinbayar Batbayar.
2. Boroo and Ulaanbulag Mineral Reserves are set out in the Boroo Technical Report and are effective
as of February 1, 2024.
3. Mineral Resources that are not Mineral Reserves have no demonstrated economic viability.
4. Mineral Reserves are reported in accordance with JORC and Canadian Institute of Mining, Metallurgy and Petroleum and National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI
43-101") guidelines.
5. No mining Dilution Factor was applied.
6. The cut-off grade used to report the reserves has been chosen by Game Mine at greater than 0.1 g/t gold for heap leach ore and greater than 0.43, 0.46 and 0.52 g/t gold for milling depends on mill recovery domain.
7. Reporting cut-off grade for Ulaanbulag Mineral Resources is 0.1 g/t Au (include both heap leach and milling ore).
8. Mineral reserves are contained within an optimized pit shell based on a gold price of $1,750 per ounce.
9. A conversion factor of 31.103477 grams per troy ounce and a conversion factor of 453.59237 grams per pound are used in the resource and reserves estimates.
10. Au has been calculated using the following metal prices: $1,750/oz gold.
11. Totals may not match due to rounding.
12. The Mineral Reserves are stated as dry tonnes processed at the crusher.
Additional Information
Additional information regarding the Company, including the Company's annual information form for the year ended December 31, 2024, and the Company's management information circular dated May 8, 2024, can be found on SEDAR+ atwww.sedarplus.ca andwww.steppegold.com.
Group Overview
The Group is a precious metals exploration, development, and production organization focused on opportunities in Mongolia. As at December 31, 2024, the Group has three principal assets - an operating open pit mine, the ATO Gold Mine, located in the Dornod province of Eastern Mongolia and the Boroo Gold Mine, an open pit mine and mineral processing operation located in the Selenge province of Northern Mongolia, and the Ulaanbulag Gold Mine, an open-pit mine located approximately 21 km away from the Boroo Gold Mine. Boroo Gold also owns the Bor Nuur mineral exploration property in Mongolia.
The Tres Cruces Project located in La Libertad, Peru was divested on July 30, 2024, pursuant to the amended and restated share purchase agreements (the "A&R Share Purchase Agreements").
Steppe Gold was incorporated under the Business Corporations Act (Ontario) on October 5, 2016. The head office of the Company is located in Shangri-La office Suite 1201, Olympic Street 19A, Sukhbaatar District 1, Ulaanbaatar 14241, Mongolia. The Company is domiciled in Canada and the address of its registered office is 333 Bay Street, Suite 2400 Toronto, Ontario M5H 2T6, Canada.
Boroo Gold was incorporated as a Limited Liability Company in accordance with the Resolution No. A-98 issued by the founder dated on May 5, 1997, under the Laws of Mongolia. Boroo Gold was granted the State Registration Certificate No. 9019011029 (Registration No. 2094533) on July 4, 2006.
Fourth quarter and year ended December 31, 2024 Highlights
(all figures in US$000's unless stated otherwise, except per unit figures which are in US$)
● Total Group revenue for the three months and year ended December 31, 2024, amounted to $46,220 and $178,133, on combined sales of 17,567 oz and 78,450 oz of gold, respectively.
● On a combined mine full year 2024 basis, Boroo Gold and Steppe Gold mines produced 88,347 ounces of gold and 93,837 ounces of silver.
● Revenue for Boroo Gold for the three months and year ended December 31, 2024 amounted to $35,999 and $157,978 on sales of 13,728 and 70,842 gold ounces, respectively.
● Revenue for Steppe Gold for the three months ended December 31, 2024 and the period from August 1, 2024, to December 31, 2024, amounted to $10,221 on sales of 3,839 gold ounces and $20,155 on sales of 7,608 gold ounces.
● Average realized prices for Boroo Gold for the three months and year ended December 31, 2024, were $2,618 and $2,225 per gold ounce, respectively.
● Average realized prices for Steppe Gold for the three months ended December 31, 2024 and the period from August 1, 2024, to December 31, 2024, were $2,676 and $2,589 per gold ounce.
● Adjusted EBITDA after stream payments and maintenance capital expenditures for the Group for the three months ended and year ended December 31, 2024, were $24,817 and $105,417, respectively.
● All in Sustaining Costs for the Group were $1,347 and $1,078 for the three months and year ended December 31, 2024.
● The Group reported positive working capital of $151,022 as at December 31, 2024. Payables were elevated at year end but working capital included in this are bond investments of $97,050 which accrue interest at between 8% to 13.4% and mature on December 31, 2025. This will be applied to debt reduction and working capital needs.
● As at December 31, 2024, Group net debt was $150,086. Following the Boroo Gold transaction, the Group has been actively working with its principal lenders at TDB to restructure debt facilities and repay higher rate loans.
● After cash taxes, capital expenditures, dividends and before cash received from the BORO bond, the Group recorded $10,674 in cash outflow in 2024.
● The Phase 2 Expansion of the ATO Mine is proceeding according to the updated projected timelines and budgets, and the Group is reviewing increases in annual capacity and metallurgical improvements with its EPC and engineering partners. The Group is working on a revised feasibility study in 2025 which will reflect the impact of higher current gold prices.
● With higher gold prices and expected strong cash flow in 2025 the Group is also actively reviewing its financing options for the Phase 2 Expansion, including the impact of the stream arrangements, debt availability and other factors.
● At the Boroo Gold and ATO mine sites, there were 3,937,161 tonnes of ore mined and 1,742,211 tonnes of ore were processed, with an average gold grade of 1.35 g/t and 1,376,657 tonnes of ore with an average grade of 0.35 g/t underwent primary leaching during the year ended December 31, 2024.
● At ATO, during the period from August 1, 2024 to December 31, 2024, 129,128 tonnes of ore were mined and 244,027 tonnes of ore were stacked on the leach pad, with an average gold grade of 0.54 g/t.
● The Phase 2 Expansion of the ATO Mine (as defined below) is proceeding according to the updated projected timelines and budgets, with commissioning planned for the second half of 2026.
● On August 1, 2024, Steppe Gold successfully completed the proposed transaction between the Company and Boroo Singapore and its affiliates. Pursuant to the Boroo Gold Transaction, Boroo
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Disclaimer
Steppe Gold Ltd. published this content on April 07, 2025, and is solely responsible for the information contained herein. Distributed via , unedited and unaltered, on April 07, 2025 at 10:08 UTC.