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Hemlo Mining Corp. Reports Fourth Quarter and Year End 2025 Financial and Operating Results

Toronto, April 15, 2026 – Hemlo Mining Corp. (TSXV: HMMC) is excited to share its financial and operational outcomes for the fourth quarter and the full year concluded on December 31, 2025. This announcement follows significant milestones, including the successful acquisition of the Hemlo Gold Mine from Barrick Mining Corporation.

Highlights from Q4 and Full Year 2025

Financial Highlights

• - Acquisition of Hemlo Gold Mine: On November 26, 2025, Hemlo Mining acquired the Hemlo Gold Mine for a total of $1.0 billion, with a comprehensive financing package to support the transaction.
• - Cash Reserves: As of December 31, 2025, the company held approximately $132 million in cash.
• - Net Loss: The net losses for Q4 and the entire year reached $36.2 million, or $0.30 per share, and $36.9 million, or $1.01 per share, respectively. The losses predominantly stemmed from transaction costs associated with the Hemlo acquisition.
• - Operating Cash Flow: The net cash used in operational activities was reported at $23.8 million for Q4 and $24.6 million for the year, primarily due to acquisition-related expenses and inventory build-up.
• - Debt Reduction: In March 2026, Hemlo Mining repaid $75 million under its Revolving Credit Facility, now reduced to zero, allowing the company to focus on corporate and working capital needs.

Operational Highlights

• - Gold Production: From the acquisition date to year-end, the Hemlo Mine produced a total of 16,503 ounces of gold at an average grade of 4.71 g/t and recovery rates of 93.2%. No gold sales were recorded for 2025, as all gold produced was sold in early 2026.
• - Total Production Metrics: For the full year, total gold production from the Hemlo Mine reached 120,841 ounces. This output aligns with previously provided guidance from Barrick Mining.

Investment and Growth Initiatives

• - Hemlo is executing a phased production ramp-up with key initiatives focused on transitioning to an owner-operated model, alongside investments in new mobile equipment and strategic mining sequencing changes.
• - A major exploration drilling program comprising 130,000 meters has been initiated to enhance mine life and identify growth opportunities in proximity to the existing operations. This proactive approach is expected to inform an updated mineral reserve estimate and a life-of-mine plan by late 2027.
• - In a strategic consolidation move, the company also repurchased a 1.5% net smelter return royalty associated with the David Bell property, enhancing its leverage and economic potential regarding exploration success.

Jason Kosec, President and CEO of Hemlo Mining, commented, “The fourth quarter of 2025 was a transformative period for Hemlo Mining, marked by the closing of our acquisition of the Hemlo Mine on November 26th. Following this milestone, we have experienced consistent production levels at strong grades, meeting our expectations as well as those set forth by Barrick. We are committed to optimizing and expanding the operations at Hemlo Mine to deliver lasting value to our shareholders.”

Looking Ahead

The company anticipates providing operational guidance and cost strategies for 2026 in the second half of 2026, leveraging the above achievements and expected growth metrics.

Conclusion: Hemlo Mining Corp. is strategically positioned for future growth following the successful acquisition of the Hemlo Gold Mine. With robust operational focuses and significant investments in resource development, Hemlo aims to not only maximize production efficiency but also extend the longevity of its operations in the competitive gold mining sector.