Fortuna Mining: Strong Year in 2025 and Outlook for 2026

Fortuna Mining – 2025/2026 Performance & Growth Strategy Update

Key Concepts:

• Mineral Reserves: Estimated quantities of economically mineable ore.
• Mineral Resources: Estimated quantities of ore, including those not currently economically viable.
• Cash Costs: Direct costs associated with gold production (e.g., mining, processing).
• Total Costs: Cash costs plus other expenses (e.g., administration, exploration).
• Mine Life: Estimated duration of mining operations based on reserves and production rate.
• Feasibility Study: Comprehensive assessment of the viability of a mining project.
• Share Buyback: Repurchase of company shares from the open market.
• Liquidity: The ability of a company to meet its short-term obligations.
• Net Cash Position: Cash and cash equivalents minus total debt.

I. 2025 Production & Financial Performance

Fortuna Mining reported 2025 production of 279,200 ounces of gold from ongoing operations. The Segua mine demonstrated particularly strong performance, achieving record gold production of 152,426 ounces – exceeding the upper end of the 2026 forecast by 4%. Preliminary, unaudited financial information as of December 31st, 2025, indicates estimated liquidity of $74 million and a net cash position of $382 million. These figures are subject to final review and approval.

II. 2026 Production Forecast & Cost Estimates

The company forecasts gold production between 281,000 and 305,000 ounces for 2026, representing a projected increase of 1-9% compared to 2025. Cash costs are anticipated to range from $895 to $1,000 per ounce, while total costs are expected to be between $1,830 and $1,975 per ounce.

III. Growth Projects & Capital Allocation

Fortuna Mining is prioritizing two key growth projects to reach a consolidated medium-term gold production target of 500,000 ounces:

• Diambasut: A construction decision is planned by mid-2026. Approximately $100 million is allocated for development, including exploration.
• Segua Mill Expansion: A feasibility study for expanding the processing plant is slated for submission in the second quarter of 2026. A budget of approximately $14 million is allocated for Sunbird’s underground infrastructure development and mill expansion studies.

In addition to these projects, $55 million is allocated for exploration across the company’s entire portfolio. This investment is underpinned by the company’s strong financial position.

IV. Updated Mineral Reserves & Resources – Segua Mine (as of Dec 31, 2025)

The Segua mine possesses total mineral reserves of 16 million tons of ore, with an average grade of 3.01 grams of gold per ton. At a current mining rate of 1.75 million tons per year, this translates to a mine life exceeding 9 years. Total mineral reserves increased by 31% compared to October 31st, 2025, representing approximately 1.54 million ounces of gold.

Initial estimates of underground mineral reserves at Sunbird indicate 3.5 million tons, averaging 3.6 g gold per ton, containing 401,000 ounces of gold. Exploration drilling in 2025 suggests mineralization at Sunbird remains open down dip and along strike, with an updated estimate planned for the second quarter of 2026.

V. Share Repurchase Program

Between December 23rd, 2025, and January 7th, 2026, Fortuna Mining repurchased 1.7 million common shares on the New York Stock Exchange at a weighted average price of $10.01 per share, totaling approximately $17 million (excluding brokerage fees). All repurchased shares have been cancelled.

VI. Strategic Outlook & Key Statements

The company highlights its progress in increasing production, extending the Segua mine’s life, and strengthening its financial position. The planned mill expansion at Segua has the potential to increase annual gold production to over 200,000 ounces, significantly exceeding the 2025 record of approximately 152,000 ounces.

As stated in the broadcast, “It is clear that Fortuna mining is making progress. Production is expected to increase in 2026 with the Segua mine now having a life of more than 9 years at current production rates and strong potential for further growth.” The share buyback program is also viewed as a mechanism to support the share price.

VII. Disclaimer & Potential Conflicts of Interest

The broadcast includes a disclaimer stating that the information presented is preliminary and unaudited. It also acknowledges a potential conflict of interest, noting that the program is financed by Fortuna Mining and that SRC Mining, its employees, and the presenter may be shareholders of the company or become shareholders through the SRC mining special situation certificate.

Conclusion:

Fortuna Mining demonstrates a positive trajectory with strong 2025 performance and a clear growth strategy for 2026 and beyond. The company’s focus on expanding production at Segua, coupled with its robust financial position and proactive capital allocation (including share buybacks), positions it for continued success. The updated mineral reserve estimates and ongoing exploration efforts further solidify the long-term potential of the Segua mine.