/C O R R E C T I O N -- Luca Mining Corp./

Executive Summary

• Luca Mining Corp. reported strong third-quarter 2025 results, highlighting significant year-over-year growth in production, revenue, and profitability across its Campo Morado and Tahuehueto mines.
• The company generated positive net free cash flow of $5.3 million year-to-date (before working capital) despite elevated sustaining capital investments aimed at accelerating development and exploration.
• Management revised full-year 2025 guidance downward for production and free cash flow due to mining through lower-grade zones and metallurgical challenges, while announcing a new $25 million, three-year exploration program.

Key Details

• Financial Performance (9 Months Ended Sept 30, 2025):
  • Net Free Cash Flow (before working capital): $5.3 million.
  • Adjusted EBITDA (Q3): $4.3 million.
  • Year-to-Date Adjusted Net Earnings: $12.8 million.
  • Q3 Revenue: $35.0 million (+94% vs. prior year).
  • Q3 Metals Recoveries: Temporarily lower due to mine sequencing and commissioning, but expected to improve in 2026.
• Production Highlights (Q3 2025 vs. Q3 2024):
  • Consolidated Tonnes Milled: 250,807 (+66%).
  • Gold Production: +51%.
  • Silver Production: +97%.
  • Zinc Production: +78%.
  • Lead Production: +81%.
  • Copper Production: +43%.
• Campo Morado Performance:
  • Tonnes Milled: 173,260 (+42% vs. prior year).
  • Production: ~30.2 million ZnEq pounds (+75% YoY).
  • Cash Costs: $1.09 per payable ZnEq pound (-14% vs. prior year).
  • AISC: $1.43/lb (+8% vs. prior year).
  • Key Drill Result (Reforma Deposit): 37.2m at 5.87 g/t Au, 367.50 g/t Ag, 0.53% Cu, 5.54% Zn, 2.57% Pb.
• Tahuehueto Performance:
  • Tonnes Milled: 77,548 (Record of 969 tonnes/day, +187% vs. prior year).
  • AuEq Production: +74% YoY.
  • Direct Cost per Tonne: $149 (-22% vs. prior year).
  • AISC: Increased 35% YoY due to lower grades and increased capital/exploration spend.
  • Operational Update: New copper-lead separation circuit installation substantially complete; industrial trials scheduled for late-Q4 2025, with full integration expected early 2026.
  • Key Drill Result (Santiago Deposit): 14.0m at 6.68 g/t Au.
• Capital and Debt:
  • Sustaining Capital (Q3): $8.7 million ($19.0 million YTD).
  • Debt Repayment: $2.5 million repaid during the quarter.
  • 2025 Capital Program Updated: Increased to $29.4 million (from $27.4 million).
  • 2025 Exploration Program: Committed to a major three-year, US$25 million exploration program.
• Revised 2025 Guidance:
  • Production: Consolidated gold and zinc production tracking below original guidance due to sequencing through lower-grade zones; copper, silver, and lead tracking within or above guidance.
  • Net Free Cash Flow: Revised down to between $5 million and $10 million (previously $30–$40 million).

Notable Quotes

• "Q3 was a transformational quarter of operational investment and performance for Luca Mining... Both of our operating mines delivered substantial year-over-year production growth, are operating at throughput levels above budget, and our increased development investment is positioning us for higher grades, stronger recoveries, and improved cash flow as we enter 2026." — Dan Barnholden, CEO
• "Even with the increased investment we have made in our mines and in exploration, so far in 2025 our operations have generated $5.3 million in net free cash flow net of corporate expenses. Given the strong exploration results received to date, we are excited to have committed to a major three-year, US$25 million exploration program... which we believe has the potential to unlock considerable new gold resources at both Campo Morado and Tahuehueto." — Dan Barnholden, CEO