Prime Mining Reports Q2 2025 Financial and Operating Results

Core Viewpoint - Prime Mining Corp. reported strong operational and financial results for Q2 2025, highlighting a significant increase in cash reserves and a proposed acquisition by Torex Gold, which offers immediate value to shareholders while reducing development risks [2][9]. Corporate Highlights During the Quarter - The company closed the quarter with CAD 32.7 million in cash and equivalents, a substantial increase from CAD 19.1 million at the end of 2024 [14]. - Prime Mining exercised 97% of its June warrants, contributing to the increase in cash reserves [2][14]. - The selection of Ausenco as the lead engineer for the Preliminary Economic Assessment (PEA) of the Los Reyes project was announced [3][8]. Project Highlights - The Los Reyes Gold-Silver Project is a high-grade, low-sulphidation epithermal project located in Sinaloa State, Mexico, with significant exploration activities ongoing [18]. - The company has invested CAD 66.7 million in direct exploration activities since acquiring Los Reyes in 2019, completing over 221,000 meters of drilling [18]. - An updated resource estimate as of October 15, 2024, indicated a total indicated resource of 1.49 million ounces of gold and 53.99 million ounces of silver [21][28]. Financial Performance - For the six months ended June 30, 2025, the company reported a loss of CAD 6.17 million, an improvement from a loss of CAD 11.94 million in the same period of 2024 [14]. - The loss per share decreased from CAD 0.08 in 2024 to CAD 0.04 in 2025 [14]. - Total assets increased to CAD 46.93 million from CAD 33.18 million at the end of 2024 [14]. Acquisition Details - On July 28, 2025, Prime Mining announced a definitive agreement for acquisition by Torex Gold, where shareholders will receive 0.060 of a Torex share for each Prime share held [10][11]. - The transaction is expected to close in the second half of 2025, subject to regulatory approvals and customary closing conditions [12][16]. Community Engagement and Environmental Stewardship - The company is actively engaged with local stakeholders and is committed to minimizing its environmental footprint while ensuring a positive impact on host communities [5][4]. - Prime Mining has released its inaugural sustainability report and is working on ESG programs to support community and environmental initiatives [6][5].