VANCOUVER, BC, Nov. 11, 2025 /CNW/ - Orla Mining Ltd. (TSX:OLA) (NYSE:ORLA) ("Orla" or the "Company") today announces the results for the third quarter September 30, 2025.
(All amounts expressed in U.S. dollars unless otherwise stated)
Third Quarter 2025 Summary
Third quarter gold production of 79,645 ounces and total quarterly gold sold of 78,857 ounces, generating $275.0 million in revenue.
Third quarter all-in sustaining cost1 ("AISC") was $1,641 per ounce of gold sold. Year to date AISC of $1,420 per ounce of gold sold.
Net income for the third quarter was $49.3 million or $0.15 per share
Adjusted earnings1 for the third quarter were $73.0 million or $0.22 per share.
Cash flow from operating activities before changes in non-cash working capital during the third quarter was $113.1 million.
Exploration and project expenditure1 was $38.8 million during the quarter, of which $12.8 million was expensed and $26.0 million was capitalized.
Musselwhite initial exploration results confirm a potential two-kilometre extension of the mine's main gold trend indicating substantial potential to extend mine life and increase production.
The Company experienced a pit wall event at Camino Rojo on July 23rd resulting in an operational pause and mine resequencing. The stabilization plan is currently on track and Orla reaffirms its revised production and cost guidance of 265,000 to 285,000 ounces of gold production and AISC of $1,350 to $1,550 per ounces of gold sold.
The Company ended the quarter with $326.9 million in cash and $420.0 million in debt, resulting in $93.1 million in net debt1 and $356.9 million in liquidity1.
"Orla delivered strong results in the third quarter, achieving a record $93 million in free cash flow1 and strengthening our balance sheet. This performance positions the Company to self-fund the next stage of growth at South Railroad, consider return of capital initiatives, and underscores the quality of our assets and execution.
While the quarter also brought its challenges, I'm proud of our team's resilience and focus in navigating them. As we move toward year-end, we remain committed to finishing strong, targeting the upper end of our production guidance, and advancing our key growth projects, further reinforcing Orla's standing as the emerging producer of choice."
- Jason Simpson, President and Chief Executive Officer of Orla
________________________
1 Non-GAAP measure. Refer to the "Non-GAAP Measures" section of this press release.
Financial and Operations Update
Table 1: Financial and Operating Highlights
Operating
Q3 2025
YTD 2025
Consolidated
Total Gold Produced
oz
79,645
205,215
Total Gold Sold
oz
78,857
204,124
Average Realized Gold Price2
$/oz
$ 3,417
$ 3,239
Cash Cost per Ounce2,3
$/oz
$ 1,200
$ 1,046
All-in Sustaining Cost per Ounce2,3
$/oz
$ 1,641
$ 1,420
Musselwhite, Canada1
Ore Milled
tonnes
329,634
728,489
Milled Ore Gold Head Grade
g/t
5.87
5.68
Gold Produced
oz
57,586
128,038
Gold Sold
oz
56,897
125,060
Camino Rojo, Mexico
Ore Stacked
tonnes
2,793,951
7,075,366
Stacked Ore Gold Grade
g/t
0.40
0.55
Gold Produced
oz
22,059
77,177
Gold Sold
oz
21,961
79,064
Financial
Revenue
$m
$ 275.0
$ 679.4
Cost of Sales, Operating Cost
$m
$ 91.3
$ 225.1
Net Income (Loss)
$m
$ 49.3
$ 27.7
Adjusted Earnings2
$m
$ 73.0
$ 175.8
Earnings per Share, basic
$/sh
$ 0.15
$ 0.09
Adjusted Earnings per Share, basic2
$/sh
$ 0.22
$ 0.54
Cash Flow from Operating Activities before Changes in Non-Cash Working Capital
$m
$ 113.1
$ 617.0
Free Cash Flow2
$m
$ 93.1
$ (246.8)
Financial Position
September 30, 2025
June 30, 2025
Cash and Cash Equivalents
$m
$ 326.9
$ 215.4
Net Cash (Debt)2
$m
$ (93.1)
$ (204.6)
1 Orla completed the acquisition of Musselwhite on February 28, 2025. Operational figures (excluding cash cost and AISC) are provided from March 1, 2025 onwards.
2 Non-GAAP measure. Refer to the "Non-GAAP Measures" section of this news release.
3 Cash cost and AISC on a year-to-date basis for 2025 include the impact of the Musselwhite Mine as of April 1, 2025 onwards. Refer to "Non-GAAP Measures" for further discussion.
Third Quarter 2025 Consolidated Summary
Gold produced during the quarter totaled 79,645 ounces, with contributions from the Musselwhite Mine and the Camino Rojo Oxide Mine. This period represented the second full quarter of contribution from Musselwhite, resulting in a quarterly record for production for the Company.
Gold sold during the quarter totaled 78,857 ounces, also a quarterly record. Consolidated cash costs and AISC totaled $1,200 and $1,641 per ounce of gold sold, respectively.
Musselwhite
During the quarter, Musselwhite mined 325,923 tonnes of ore and processed 329,634 tonnes at a mill head grade of 5.87 g/t gold. Gold recovery rates of 95.3% resulted in gold production of 57,586 ounces. Gold sold during the quarter was 56,897 ounces.
Lateral development metres in the quarter totalled 2,738 metres. Lateral development allows access to mining horizons for existing reserves and provides additional drill platforms to support the underground exploration drill program to grow reserves, resources, and mineral inventories. During the quarter, lateral development amounted to $45.5 million of which $38.1 was expensed and $7.4 million was capitalized.
Tonnes mined continued to improve in the third quarter, with two stopes being in full production at the end of the period. In addition, the stope in the Redwings area, commissioned in September, will continue contributing to increased ore delivery through the remainder of the year.
Sustaining capex was $18.3 million, mostly driven by underground development and PQ Deep Extension.
Camino Rojo Operations Summary
The Camino Rojo Oxide Gold Mine produced 22,059 ounces of gold in the third quarter of 2025, in-line with plan.
During the quarter, Camino Rojo mined over 0.7 million tonnes of ore and nearly 2.4 million tonnes of waste, for an implied strip ratio of 3.34. This higher strip ratio was a result of the pit wall event that occurred during the quarter. As stabilization activities began, a new ramp was established that required the removal of overburden material and waste material which resulted in a higher than normal strip ratio.
During the quarter, a total of 2.8 million tonnes of ore grading an average of 0.40 g/t gold were placed on the heap leach pad. This included material from low-grade stockpiles that was stacked while mining activities were temporarily paused following the pit wall event in late July. Gold sold during the quarter totaled 21,961 ounces and sustaining capital during the third quarter of 2025 totaled $4.6 million.
On July 23rd, Camino Rojo experienced an uncontrolled material movement on the north wall, resulting in no injuries or equipment damage. Work on the action plan is well underway, including a 50–80 metre pushback of the north wall with a redesigned slope and continuous monitoring. Approximately 9.0 million tonnes of predominantly oxidized material (strip ratio 1:0.9, average grade 0.74 g/t Au) is planned to be removed and stacked on the heap leach. No material was lost or sterilized; the update to 2025 guidance reflects a deferral of production based on grade and recovery mix.
On November 4, 2025, employees at the Camino Rojo Mine approved the recently negotiated collective bargaining agreement, reinforcing a constructive labour relationship and operational continuity.
Project and Exploration Summary
During the quarter, exploration focused on drilling activities at Musselwhite in Canada, Camino Rojo in Mexico, and the South Carlin Complex (including the South Railroad Project) in Nevada. For the third quarter, a total of 35,306 metres were drilled, with 21,693 metres at Musselwhite, 6,381 metres in Mexico, and 7,232 metres in Nevada. Project development activities during the period focused on advancing permitting efforts and feasibility study update for the South Railroad Project in Nevada and progressing the potential underground development at Camino Rojo.
Musselwhite, Ontario:
The 2025 exploration program at Musselwhite is focused on defining the extent and continuity of mineralization across priority zones, particularly along the mine trend extension, and to define reserves, resources, and inventory to support production and extend the mine life. Following Orla's acquisition of Musselwhite in February 2025, the Company launched an aggressive two-year exploration program designed to accomplish the following:
Test Mine Trend Extensions: Deep directional surface drilling to test the down-plunge extension of the mine trend one kilometre beyond historical surface drilling (11,000 metres).
Replace and Expand Underground Resources: Underground drilling for reserve, resource, and inventory definition to support production and growth (38,000 metres).
Identify Satellite Deposits: Near-mine surface drilling to evaluate targets for potential shallow open-pit satellite deposits within a 10 km-radius of the mill (6,500 metres).
Orla's 2025 deep directional drilling program at Musselwhite is off to an exceptional start. Drilling has intersected high-grade gold mineralization 1.6 kilometres along strike from current operations, including 4.1 metres grading 15.1 g/t gold with visible gold observed. Importantly, favourable geology extends a further 400 metres, highlighting strong potential to expand the mineralized corridor and significantly extend mine life and future production.
Launched in late May, the program is targeting the northwest extension of the mine trend within a well-developed iron formation. Three rigs are currently active, with 8,000 metres of the planned 11,000 metres in 2025 now complete. Results have been released from the first four holes of an approximately 30-hole program over 2025 and 2026, and early indications are highly encouraging.
Each mother hole supports two drill sections, spaced 200 and 400 metres apart this year, moving to consistent 200-metre spacing in 2026. Each section includes at least five daughter holes with 50-metre vertical separations, designed to systematically test mineralization 1,200 to 2,000 metres beyond the current resource boundary.
These early successes reinforce Musselwhite's exceptional exploration upside and mark an exciting step forward in unlocking the next phase of growth for the operation.
In the underground drilling program, initiated in early March 2025, high-grade mineralization has been intersected in multiple holes, reinforcing geological continuity within known zones and identifying promising extensions. These drill results support ongoing efforts to replace and expand resources and reserves, underscoring the potential for continued growth and long-term mine life extension. We have drilled 19,100 metres across 76 holes and assay results have been received for 37 of the 76 holes, with drilling efforts primarily concentrated on the Redwings, Lynx, and PQE zones.
The near-mine surface drilling program was completed in October and has returned encouraging shallow gold mineralization intercepts from multiple targets. 6,500 metres were drilled from surface across the Camp Bay, Bottenfield, Karl Zeemal, and Midway targets, all located within a 10-kilometre radius of the Musselwhite mine and mill.
Remaining 2025 Program: The underground and deep directional drill programs will continue through year-end. Additional daughter holes from existing mother holes are expected to reach target zones by year-end, with assay results anticipated in early 2026.
2026 Planning: The underground exploration program will continue to focus on resource and reserve growth and replacement. The deep directional program is expected to include infill drilling at 200-metre spacing to establish high-confidence inventory and test potential extensions up to three kilometres from current resources. A follow up winter near-mine surface drilling program is planned for early 2026 when conditions are suitable for access over frozen ground.
Resource Growth: With greater confidence in expansion potential, Musselwhite will be positioned to pursue opportunities that increase throughput, enhance gold production, and extend mine life beyond current projections.
Initial results are outlined in the press release dated October 6, 2025, "Orla Mining Discovers Potential Two-Kilometre Extension at Musselwhite". An update on the Musselwhite exploration program is anticipated in early 2026.
South Railroad Project & South Carlin Complex, Nevada:
The South Railroad Project, situated on federal land, is currently ...
