NGEx Minerals (NGEX) Q1 2025 earnings summary

Executive summary

• Phase 3 drilling at Lunahuasi delivered high-grade copper, gold, and silver intersections across all target scales, significantly expanding the known mineralized volume and reinforcing the project's unique potential.

• Gold grades encountered rival those of top-tier gold-only deposits, with several exceptional intervals, suggesting gold could become a major value driver.

• The Phase 3 program was expanded mid-campaign due to early success, ultimately completing over 25,000 metres in 24 holes, including geotechnical drilling for potential underground access.

• Drilling has ended for the season, with demobilization underway and final assay results pending; planning for Phase 4 is set for later in 2025.

Financial highlights

• Net loss for Q1 2025 was $35.1 million, up from $19.7 million in Q1 2024, primarily due to increased exploration and project investigation costs.

• Exploration and project investigation expenses rose to $36.4 million from $22.5 million year-over-year.

• General and administrative costs increased to $3.8 million from $1.9 million year-over-year.

• Cash and short-term investments totaled $169.8 million as of March 31, 2025, down from $198.6 million at year-end 2024.

• Working capital decreased to $157.7 million from $188.9 million at December 31, 2024.

Outlook and guidance

• Remaining Phase 3 assay results will be released as received; ongoing data analysis will refine the geological model.

• Phase 4 drilling at Lunahuasi is planned to commence around October 2025.

• Focus will shift to interpreting Phase 3 data and planning future exploration targeting high-value mineralization.