West Red Lake Gold Mines (WRLG) Investor update summary

Operational progress and ramp-up

• Achieved commercial production at Madsen in January, following extensive de-risking and underground development over the past year.

• 2025 focused on building operational foundations, including significant drilling, equipment upgrades, and facility improvements.

• Q1 2026 gold sales were 6,165 oz, aligning with the planned ramp-up sequence; April saw key underground development and ore throughput milestones.

• Production profile for 2026 is deliberately back-end loaded, with 60% of output expected in H2 as ramp-up completes and high-grade zones accessed.

• Underground development and access to new mining fronts like 4447 and 904 are prioritized to support sustained production increases.

Financial guidance and cost structure

• 2026 AISC guidance is $2,800–$3,600/oz, expected to decline as production ramps and shaft refurbishment reduces trucking costs.

• Cash position at end of Q1 was CAD 35 million.

• Capital allocation will shift from Madsen ramp-up to advancing satellite deposits and debt repayment as cash flow grows.

• Debt refinancing is a focus for 2026, aiming to improve capital structure and reduce interest costs.

• 1% royalty on the project is held by Summit Royalties.

Growth strategy and future catalysts

• Pathway to 120,000 oz/year production involves integrating Madsen, Rowan, 904, 4447, Derlak, and other satellite deposits over the next 4 years.

• Combined Madsen and Rowan PFS targeted for 2026, with ongoing drilling at Rowan, Olsen, and North Shore as key value drivers.

• Mill is permitted for 800 tpd but has demonstrated capacity up to 1,200 tpd, with potential to reach 1,500 tpd with minimal capital investment.

• Exploration and development of brownfield sites like Starratt-Olsen and Fork are underway to provide additional feed and de-risk operations.

• Communications cadence will shift to quarterly updates, with additional releases for key operational or exploration milestones.