Third Quarter 2026 – Download MD&A

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# Third Quarter 2026 – Download MD&A

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# Third Quarter 2026 – Download MD&A
TRX GOLD CORPORATION
MANAGEMENT’S DISCUSSION AND ANALYSIS
For the three and nine month periods ended May 31, 2026
Management’s Discussion
and Analysis
May 31, 2026
The following Management’s Discussion and Analysis (“MD&A”) of the financial condition and results of
operations for TRX Gold Corporation (“TRX Gold” or the “Company”) should be read in conjunction with the
Company’s Unaudited Interim Condensed Consolidated Financial Statements for the three and nine
months ended May 31, 2026, as well as the Company’s audited consolidated financial statements included
in the Company’s Annual Report on Form 40-F and Annual Information Form for the year ended August
31, 2025. The financial statements and related notes of TRX Gold have been prepared in accordance with
International Financial Reporting Standards (“IFRS”). Additional information, including our press releases,
has been filed electronically on SEDAR+ and is available online under the Company’s profile at
www.sedarplus.ca, on EDGAR at www.sec.gov/edgar, and on our website at www.TRXGold.com.
This MD&A reports our activities to date, July 14, 2026, unless otherwise indicated. References to the 3rd
quarter of 2026 or Q3 2026, and references to the 3rd quarter of 2025 or Q3 2025 mean the three months
ended May 31, 2026, and May 31, 2025, respectively. References to fiscal 2026 and fiscal 2025 mean the
twelve months ended August 31, 2026, and August 31, 2025, respectively. Unless otherwise noted, all
references to currency in this MD&A refer to US dollars. Certain prior period amounts have been restated
to conform with current period classification. Unless clearly otherwise referenced to a specific table,
numbers referenced refer to numbered Endnotes on page 41.
Disclosure and Cautionary Statement Regarding Forward Looking Information
This MD&A contains certain forward-looking statements and forward-looking information, including without
limitation statements about TRX Gold’s future business, operations and production capabilities. All
statements, other than statements of historical fact, included herein are forward-looking statements and
forward-looking information that involve various risks and uncertainties. There can be no assurance that
such statements will prove to be accurate, and actual results and future events could differ materially from
those anticipated in such statements. Although TRX Gold believes the expectations expressed in such
forward-looking statements are based on reasonable assumptions, such statements are not guarantees of
future performance. The actual achievements of TRX Gold or other future events or conditions may differ
materially from those reflected in the forward-looking statements due to a variety of risks, uncertainties and
other factors. These risks, uncertainties and factors include general business, legal, economic, competitive,
political, regulatory and social uncertainties; actual results of exploration activities and economic
evaluations; fluctuations in currency exchange rates; changes in costs; future prices of gold and other
minerals; mining method, production profile and mine plan; delays in exploration, development and
construction activities; changes in government legislation and regulation; the ability to obtain financing on
acceptable terms and in a timely manner or at all; contests over title to properties; employee relations and
shortages of skilled personnel and contractors; and the speculative nature of, and the risks involved in, the
exploration, development and mining business.
Mr. Richard Boffey, BE Mining (Hons) F AusIMM, Chief Operating Officer of TRX Gold Corporation, is the
Company’s in-house Qualified Person under National Instrument 43-101 “Standards of Disclosure for
Mineral Projects” (“NI 43-101”) and has reviewed and assumes responsibility for the scientific and technical
content in this MD&A.
1
Management’s Discussion
and Analysis
May 31, 2026
The disclosure contained in this MD&A of a scientific or technical nature relating to the Company’s Buckreef
Project has been summarized or extracted from the technical report prepared in accordance with NI 43-
101 – Standards of Disclosure for Mineral Projects on the Buckreef Gold Project (“Buckreef Gold”) titled
Preliminary Economic Assessment and Updated Mineral Resource Estimate of the Buckreef Gold Mine
Project, Tanzania (“PEA”) with an effective date of April 15, 2025. The PEA was prepared in accordance
with NI 43-101 guidelines by P&E Mining Consultants Inc. (“P&E”). Input to this PEA was also provided by
D.E.N.M. Engineering Ltd. (“D.E.N.M.”). The information contained herein is subject to all of the
assumptions, qualifications and procedures set out in, and is qualified in its entirety by reference to the full
text of, the PEA and reference should be made to the full details of the PEA which has been filed with the
applicable regulatory authorities and is available on the Company’s profile at www.sedarplus.ca.
Certain information presented in this MD&A may constitute “forward-looking statements” and “forward
looking information” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and
under securities legislation applicable in Canada, respectively. Such forward-looking statements and
information are based on numerous assumptions, and involve known and unknown risks, uncertainties, and
other factors, including risks inherent in mineral exploration and development, which may cause the actual
results, performance, or achievements of the Company to be materially different from any projected future
results, performance, or achievements expressed or implied by such forward-looking statements and
information. Investors are referred to our description of the risk factors affecting the Company, as contained
in our U.S. Securities and Exchange Commission (“SEC”) filings, including our Annual Report on Form 40-
F and Report of Foreign Private Issuer on Form 6-K, and our Annual Information Form also posted on
SEDAR+ and EDGAR, for more information concerning these risks, uncertainties, and other factors.
TRX Gold Corporation
TRX Gold is a high margin and growing gold company advancing the Buckreef Gold Project in Tanzania.
Buckreef Gold includes an established open pit operation and 2,000 tonnes per day process plant with
upside potential demonstrated in the May 2025 PEA. The PEA outlines average gold production of 62,000
oz per annum over 17.6 years at 3,000 tonnes per day (“tpd”) of throughput capacity, and $1.9 - $2.6 billion
pre-tax NPV5% at average life of mine gold price of $4,000/oz - $5,000/oz. The Buckreef Gold Project hosts
a Measured and Indicated Mineral Resource of 10.8 million tonnes (“MT”) at 2.57 grams per tonne (“g/t”)
gold containing 893,000 ounces (“oz”) of gold and an Inferred Mineral Resource of 9.1 MT at 2.47 g/t gold
for 726,000 oz of gold. The leadership team is focused on creating both near-term and long-term
shareholder value by increasing gold production to generate positive cash flow to fund the expansion as
outlined in the PEA, grow Mineral Resources through exploration, and update the PEA with a larger capacity
beyond 3,000 tpd. TRX Gold’s actions are led by the highest environmental, social and corporate
governance (“ESG”) standards, evidenced by the relationships and programs that the Company has
developed during its nearly two decades of presence in the Geita Region, Tanzania.
2
Management’s Discussion
and Analysis
May 31, 2026
Highlights – Third Quarter and Year to Date 2026
The Company continued its strong production momentum by delivering record processing plant throughput
and improved recoveries during Q3 2026, which drove strong quarterly production and a record buildup of
gold-in-circuit inventory, demonstrating the operational strength and scalability of Buckreef Gold. With
production increasing by 58% year-over-year and recoveries improving to 84.9%, the Company continues
to demonstrate leverage to high gold spot prices, realizing robust gross profit margins and strong cash flow
generation, including record quarterly adjusted EBITDA of $20.7 million during Q3 2026. During Q3 2026,
the Company was able to continue to improve its working capital position to approximately 2.2 times,
including a cash position of $26.8 million, while continuing to invest in the future growth and development
of Buckreef Gold. During Q3 2026, the Company announced robust recovery results from metallurgical
testwork above what was assumed in the PEA as part of its current flowsheet optimization and future
expanded processing plant development. Testwork has led to a letter of award for a new 3,500 tpd mill,
operating in conjunction with the existing, upgraded 2,000 tpd plant, which is a much larger processing
facility than the 3,000 tpd mill that was initially contemplated in the PEA. The expanded plant is now
expected to produce greater than 62 thousand ounces of average annual gold as published in the PEA.
The Company also initiated a revision of the life-of-mine plan, which has the potential to extend the open
pit and add recoverable ounces, improving the overall economics of the project. During Q3 2026, the
Company also made significant progress on its life-of-mine tailings storage facility. All required regulatory
approvals and permits have been received, a construction contractor has been selected, and Stage 1 is
targeted for completion in Q2 2027. The Company’s short-to-medium term priorities are to continue to
expand and upgrade processing capacity above the PEA, advance exploration drilling in key areas,
continue to strengthen liquidity, and use cash flow from operations to self-fund value creating activities.
Key Q3 and Year to Date 2026 Financial and Operational Highlights:
• During Q3 2026 the Company continued to make progress on upgrades to the 2,000 tpd processing
plant, including accelerated manufacturing for several key components, including installation of the pre-
leach thickener, upgraded agitators & interstage screens, Aachen reactor, oxygen plant, apron feeder
and belt magnet. The plant upgrades are in various stages of completion and have already begun to
boost plant reliability and performance as evidenced by an increase in plant throughput (1,690 tpd) and
an improvement in recovery (84.9%) in Q3 2026.
• During Q3 2026, the Company reported results of ongoing metallurgical testwork as part of its current
flowsheet optimisation and future expanded processing plant development. Recovery rates between
89% - 92% were achieved from metallurgical test work, which is above the 88% recovery rate assumed
in the PEA. Testwork has led the Company to specify a Semi Autogenous Grind (“SAG”) / Ball mill
combination of 3,500 tpd. A letter of award for the new SAG and Ball mills has been initiated with final
contract execution expected in Q4 2026 and an initial estimated completion date of 12 – 18 months.
The existing, upgraded 2,000 tpd processing plant will be available to continue operating in conjunction
with the new 3,500 tpd SAG / Ball mill processing plant, providing a significant upgrade in processing
capacity versus the 3,000 tpd assumed in the PEA. The increase in throughput from the expanded
processing plant is expected to produce average annual gold production in excess of the 62,000 ounces
of gold originally anticipated in the PEA.
• During Q3 2026 the Company also initiated a revision of the life-of-mine plan as a result of the expected
increase in processing capacity and the increase in gold price well above the PEA reserve estimate.
Preliminary analysis indicates the potential for an expanded open pit, which could extend open pit
operations

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