Orla Mining reduces 2025 Au production guidance

Executive Summary

• Orla Mining reported an uncontrolled material movement on the north wall of its Camino Rojo oxide mine on July 23, 2025; no injuries, equipment damage or environmental impact occurred.
• A geotechnical assessment (with third‑party consultants) led to an action plan that includes a 50–80 m push‑back of the north wall, removal of ~9 Mt of oxidized material (0.74 g/t Au), and continuous slope monitoring.
• The incident prompted an update to 2025 production, cash cost and AISC guidance, with interim crushing/stacking rates of ~20 kt/day to mitigate short‑term production loss.

Key Details

• Pit wall event: Uncontrolled material movement on the temporary north wall (July 23, 2025); no injuries or equipment damage; ramp access remained intact.
• Geotechnical assessment: Conducted by Orla and external consultants; identified two faults acting as release features due to increased pore pressure from rainfall and steep interwall angle.
• Action plan:
• Push‑back of north wall by 50–80 m with redesigned slope (single 10‑m benches).
• Removal of ~9.0 Mt of predominantly oxidized material (strip ratio 1:0.9, average grade 0.74 g/t Au).
• Material to be crushed and stacked on heap leach over coming months.
• Continuous monitoring via slope‑stability radar; enhanced Trigger Action Response Plans (TARPs).
• Production mitigation: Crushing and stacking of stockpiled material at ~20,000 t/day (plus an additional 20,000 t/day truck‑stacked) to offset short‑term production impact.
• Guidance update: Annual production, cash costs and All‑In Sustaining Cost (AISC) guidance for 2025 revised downward due to the temporary suspension and revised pit sequencing (specific numbers not disclosed in release).
• Quote: “While the north wall event at Camino Rojo was a temporary setback…the team on site acted quickly before the event to ensure safety…” – Jason Simpson, President & CEO.

Notable Quotes

“The team on site acted quickly before the event to ensure safety. Following the event, our broader team, supported by expert consultants, rapidly implemented a comprehensive action plan that prioritizes safety, reinforces slope stability and allows for continued operations in Mexico, important for all stakeholders.” – Jason Simpson, President & CEO, Orla Mining Ltd.