CGAU — Centerra Gold Inc.

Summary of Centerra Gold (CGAU) Q4 2025 Earnings Call

1. Key Financial Results and Metrics:

• Q4 Adjusted Net Earnings: $83 million ($0.41 per share).
• Full Year Adjusted Net Earnings: $229 million ($1.12 per share).
• Sales: Over 68,000 ounces of gold and 12.5 million pounds of copper in Q4.
• Average Realized Prices: $3,415 per ounce of gold and $4.69 per pound of copper.
• Consolidated All-in Sustaining Costs (AISC):
  • Q4: $1,646 per ounce.
  • Full Year 2025: $1,614 per ounce, outperforming guidance.
• Cash Flow:
  • Q4: $103 million from operations, $12 million in free cash flow.
  • Full Year: $349 million from operations, $95 million in free cash flow.
• Cash Balance: $529 million at year-end, total liquidity of $929 million.

2. Strategic Updates and Business Highlights:

• Production: Full year production exceeded 275,000 ounces of gold and 50 million pounds of copper.
• Growth Projects:
  • Mount Milligan: Published a PFS extending mine life to 2045.
  • Goldfield Project: Development commenced in Nevada.
  • Kemess Project: Preliminary economic assessment indicates robust potential with a 15-year mine life and significant production estimates.
• Sustainability Initiatives: Received permits for Mount Milligan to operate through 2035, including increased throughput capacity.
• Community Engagement: Oksut received nine awards for social responsibility initiatives.

3. Forward Guidance and Outlook:

• 2026 Production Guidance: Expected gold production between 250,000 and 280,000 ounces; copper production between 50 million and 60 million pounds.
• 2026 AISC Guidance: Expected to be between $1,650 and $1,750 per ounce.
• Capital Expenditures: Sustaining CapEx of $85 million to $105 million; non-sustaining CapEx of $260 million to $315 million, including significant investments in Thompson Creek and Goldfield.
• Exploration Budget: $40 million to $50 million planned for exploration activities.

4. Bad News, Challenges, or Points of Concern:

• Langeloth Facility Incident: Operations suspended due to an explosion, with repairs expected to cost $5 million to $10 million. Full operations anticipated to resume by May 2026.
• Cost Increases: Increased capital estimates for Thompson Creek due to inflation and maintenance needs, with a revised total cost range of $425 million to $450 million.
• AISC Increase at Oksut: Expected to rise to $1,850 to $1,950 per ounce in 2026, driven by higher royalty rates and inflationary pressures.

5. Notable Q&A Insights:

• Langeloth Suspension: Management is exploring options to manage molybdenum concentrate inventory during the shutdown.
• Water Management Projects: Ongoing capital expenditures for water management at Mount Milligan are expected to be mostly sustaining in nature, with one new well field project planned.
• Kemess PFS: Focused on tightening operational assumptions and advancing environmental work, with potential for future resource expansion.
• Endako Mill: Current strategy is to delay any development until after Thompson Creek is mined out, but management is open to considering a sale at the right price.

Overall, Centerra Gold reported strong financial results and operational performance in 2025, with a solid outlook for 2026, despite facing challenges related to the Langeloth facility and rising costs at Oksut. The company remains committed to its growth strategy while returning capital to shareholders.