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

Source Brief: https://evesgoldminers.com/research/source-briefs/hemlo-mining-corp-hemlo-mining-corp-reports-fourth-quarter-and-year-end-2025-fina-0effe570
Original source: https://www.hemlomining.com/_resources/news/nr-20260415.pdf
EGM generated: 2026-09-27
Company: Hemlo Mining Corp. (HEML)

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

Source: https://www.hemlomining.com/_resources/news/nr-20260415.pdf
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# Hemlo Mining Corp. Reports Fourth Quarter and Year End 2025 Financial and Operating Results
Hemlo Mining Corp.
390 Bay Street, Suite 1720
Toronto, ON M5H 2Y2
www.hemlomining.com
Hemlo Mining Corp. Reports Fourth Quarter and Year End 2025 Financial
and Operating Results
Toronto, Ontario, Canada – April 15, 2026 – Hemlo Mining Corp. (TSX.V: HMMC) (“Hemlo Mining”
or the “Company”) is pleased to announce its financial and operating results for the fourth quarter and
year ended December 31, 2025.
(All amounts expressed in U.S. dollars unless otherwise stated)
Fourth Quarter and Full Year 2025 Highlights:
Financial Highlights
• Completed the acquisition of the Hemlo Gold Mine ("Hemlo Mine") from certain wholly-owned
subsidiaries of Barrick Mining Corporation ("Barrick") on November 26, 2025 for total consideration
with a fair value of $1.0 billion (the "Hemlo Acquisition"), as well as the associated acquisition
financing package.
• As at December 31, 2025, the Company held cash of $132.0 million.
• Net loss for the three and twelve months ended December 31, 2025 were $36.2 million or $0.30 per
share and $36.9 million or $1.01 per share, respectively, primarily due to transaction costs incurred
for the Hemlo Acquisition.
• Net cash used in operating activities for the three and twelve months ended December 31, 2025
were $23.8 million and $24.6 million, respectively. Operating cash outflows were mainly due to
payment of transaction costs incurred for the Hemlo Acquisition as well as build-up of inventory at
December 31, 2025 due to timing of sales.
• Repaid $75.0 million outstanding under its Revolving Credit Facility in March 2026, reducing the
balance of the Revolving Credit Facility to nil. The Revolving Credit Facility remains available to the
Company for general corporate purposes and working capital needs.
Operating Highlights
• Attributable gold1 production from November 26, 2025 to December 31, 2025 totalled 16,503
ounces of gold at an average grade of 4.71 g/t with average recoveries of 93.2%. Strong gold
production during the period was supported by above average head grades and higher milled
tonnes. There were no gold sales recorded by the Company in 2025 as gold production for the
period was sold in early 2026.
• Attributable gold1 production for the Hemlo Mine for the three and twelve months ended December
31, 2025, inclusive of the period prior to closing of the Hemlo Acquisition, totalled 38,012 ounces
and 120,841 ounces, respectively. Full year 2025 production from the Hemlo Mine met the
previously stated guidance from Barrick (refer to Barrick's news release dated February 12, 2025).
• Company expects to provide 2026 operating and cost guidance in the second half of 2026.
1 Attributable gold is calculated as 100% of gold from Williams and 50% of gold from Interlake.
1
Investment and Growth Highlights
• Initiated phased production ramp-up efforts at the Hemlo Mine through key operational initiatives
including a transition to an owner-operator model, significant investment in new mobile equipment,
and changes to mining sequencing to improve flexibility and throughput.
• Operational improvements are being advanced in parallel with a significant exploration program,
ongoing mine planning optimization, and trade-off studies, all in support of an updated mineral
reserve estimate and life-of-mine plan in the second half of 2027.
• In 2026, the Company initiated a 130,000 metre exploration drilling program aimed at extending
mine life, de-risking the near-term mine plan and identifying near-mine growth opportunities. The
2026 exploration drilling program is expected to serve as the foundation for the updated technical
report in 2027.
• In 2026, the Company repurchased a 1.5% net smelter return royalty interest associated with the
past-producing David Bell property, consolidating the Company’s interest over the Hemlo land
package and improving economic leverage to potential exploration success and future production
growth.
Jason Kosec, President, CEO & Director of Hemlo Mining, commented: “The fourth quarter of
2025 marked a transformational milestone for Hemlo Mining with the completion of our acquisition of
the Hemlo Mine from Barrick on November 26th. In the weeks following closing, the mine delivered
consistent production at strong grades and recoveries, in line with our expectations and meeting
Barrick's guidance for the year. Since closing the acquisition, we have also made significant progress
on building our leadership team, appointing several key executives to support the Company's
objectives. The Hemlo Mine is a world-class Canadian gold asset with a 40-year production history, and
we are focused on optimizing and growing the operation to deliver long-term value for our
shareholders.”
2
Operating and Financial Highlights
Period from Three months and
November 26, 2025 year ended Year ended
to December 31, December 31, December 31,
Hemlo Mine Unit 2025 20251 20251
Williams
Ore processed 000t 103,429 269,868 924,777
Average grade g/t 4.13 3.66 3.52
Contained gold oz. 13,747 31,727 104,537
Recovery % 93.2% 94.5% 94.0%
Gold produced oz. 12,814 29,971 98,223
Interlake2
Ore processed2 000t 37,020 94,258 364,036
Average grade2 g/t 6.65 5.62 4.11
Contained gold2 oz. 7,915 17,024 48,143
Recovery2 % 93.2% 94.5% 94.0%
Gold produced2 oz. 7,378 16,082 45,235
Total gold produced oz. 20,192 46,053 143,458
Total gold sold oz. — 25,621 125,608
Attributable gold produced3 oz. 16,503 38,012 120,841
Attributable gold sold3 oz. — 17,580 102,990
1. The above table includes operating statistics for the Hemlo Mine for the period prior to closing of the Hemlo Acquisition on November 26,
2025.
2. Operating statistics are presented on a 100% basis. The Interlake claims are subject to a 50% net profits interest ("NPI") royalty with
Franco-Nevada Corporation.
3. Attributable gold is calculated as 100% of gold from Williams and 50% of gold from Interlake.
Three months ended Year ended
December 31, December 31,
2024 2024
Financial highlights Unit 2025 (restated)2 2025 (restated)2
Net loss $'000s (36,165) (29) (36,927) (86)
Basic loss per share $/share (0.30) (0.01) (1.01) (0.02)
Net cash used in operating activities $'000s (23,809) (12) (24,633) (78)
Cash flow used in operating activities before
working capital changes1 $'000s (1,624) (28) (3,074) (80)
Cash flow used in investing activities $'000s (887,105) — (887,105) —
1. This is a non-IFRS measure. For further information, refer to the “Non-IFRS Measures” section of this news release.
2. As at December 31, 2025, the Company changed its presentation currency from Canadian dollars to U.S. dollars. The change in
presentation currency is an accounting policy change and has been applied retrospectively with comparative figures restated for all
periods presented.
3
As at December 31,
2024
Financial position Unit 2025 (restated)2
Cash $'000s 131,956 216
Net (debt) cash1 $'000s (93,044) 216
Working capital1 $'000s 110,688 216
1. This is a non-IFRS measure. For further information, refer to the “Non-IFRS Measures” section of this news release.
2. As at December 31, 2025, the Company changed its presentation currency from Canadian dollars to U.S. dollars. The change in
presentation currency is an accounting policy change and has been applied retrospectively with comparative figures restated for all
periods presented.
Financial Overview
Prior to the fourth quarter of 2025, the Company was a shell company with no active operations,
focused on pursuing new investment opportunities. The increase in net loss in the fourth quarter of
2025 was due to costs incurred relating to the Hemlo Acquisition and associated financings.
Net loss for the three and twelve months ended December 31, 2025 increased by $36.1 million and
$36.8 million, respectively, compared to the comparative periods, mainly due to costs related to the
Hemlo Acquisition and related financings, including $15.9 million of costs incurred to complete the
Hemlo Acquisition, $11.4 million loss on revaluation of the Contingent Consideration, $2.8 million of
accretion expense on the Streaming Arrangement, $1.7 million of interest expense incurred for the Term
Facility and the Revolving Credit Facility, and $3.4 million of share-based compensation expense due to
increase in headcount during the period as the Company increased its corporate infrastructure to
manage its acquisition of the Hemlo Mine. The losses were partially offset by $7.5 million gain realized
on a foreign exchange contract used to hedge CAD proceeds from the financing against the USD cash
consideration paid to Barrick and $2.4 million of interest income.
Net cash used in operating activities increased for the three and twelve months ended December 31,
2025 by $23.8 million and $24.6 million, respectively, compared to the comparative periods mainly due
to build-up of inventories of $17.0 million from timing of gold sales and increase in account receivables
of $4.2 million largely due from Barrick related to certain tax refunds received by Barrick subsequent to
the closing of the Hemlo Acquisition.
Investing cash outflows for the three and twelve months ended December 31, 2025 primarily consisted
of the cash consideration paid for the Hemlo Acquisition, net of cash acquired, of $877.9 million.
Operations Overview
Attributable gold production from November 26, 2025 to December 31, 2025 totalled 16,503 ounces of
gold at an average grade of 4.71 g/t with average recoveries of 93.2%. Strong gold production during
the period was supported by above average head grades and higher milled tonnes. There were no gold
sales recorded by the Company in 2025 as gold production for the period was sold in early 2026.
4
Attributable gold production for the Hemlo Mine for the three and twelve months ended December 31,
2025, inclusive of the period prior to closing of the Hemlo Acquisition, totalled 38,012 ounces and
120,841 ounces, respectively. Full year 2025 production from the Hemlo Mine met the previously stated
guidance from Barrick (refer to Barrick's news release dated February 12, 2025).
Since acquiring the Hemlo Mine, the Company is focused on optimizing its substantial underground and
surface infrastructure to drive a phased production ramp-up. Key operational priorities for 2026 include
transitioning to an owner-operator model to improve productivity and expand local employment;
implementing changes to mining sequencing to increase flexibility and throughput; accelerating lateral
development through automation; and investing over $30 million in 21 new pieces of mobile equipment
to reduce bottlenecks and modernize the mine fleet.
Concurrent process plant upgrades include the redesign of Semi-Autogenous Grinding ("SAG") mill
liners and implementation of process optimization initiatives across liberation, carbon management, and
leach efficiency, building on strong average metallurgical recoveries achieved in full year 2025. These
operational improvements are being advanced in parallel with the 130,000-metre exploration program,
ongoing mine planning optimization, and technical studies, all in support of an updated mineral reserve
and resource estimate planned for the second half of 2027.
The Company expects to provide 2026 operating and cost guidance in the second half of 2026.
Growth Update
In January 2026, the Company initiated a 130,000 metre exploration drilling program aimed at
extending mine life, de-risking the near-term mine plan and identifying near-mine growth opportunities.
The 2026 exploration drilling program is expected to serve as the foundation for an updated technical
report, expected to be released in the second half of 2027.
Drilling Pr

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