Equinox Gold Reports Q4 and Fiscal 2022 Financial and Operating Results,

Equinox Gold Corp released its audited consolidated financial and operating results and related management's discussion and analysis for the fourth quarter and fiscal year ended December 31, 2022. 

"Equinox Gold finished 2022 with its strongest quarter of production at the lowest costs for the year, bringing full-year production to 532,319 ounces of gold at all-in sustaining costs of US$1,622 per ounce,” said Greg Smith, President and CEO of Equinox Gold. “We made significant progress at our assets in 2022, achieving commercial production at Santa Luz, advancing permitting for expansions at both Aurizona and Castle Mountain, completing the Los Filos expansion study and advancing the Greenstone project to 65% complete at year end and over 70% complete today.”

Note: All funds are in US Dollars.

"Looking forward, we expect to produce between 555,000 to 625,000 ounces of gold in 2023 at all-in sustaining costs of $1,575 to $1,695 per ounce. Growth capital of $324 million in 2023 is directed primarily to Greenstone construction,” Smith added. “We entered 2023 with $327 million in total liquidity which, along with cash flow from our operating mines and marketable investments currently worth about $220 million, leaves us well funded to complete construction at Greenstone and pour gold in the first half of 2024."

HIGHLIGHTS FOR THE THREE MONTHS ENDED DECEMBER 31, 2022

Operational
Produced 150,439 ounces of gold
Sold 149,386 ounces of gold at an average realized gold price of $1,733 per oz
Total cash costs of $1,223 per oz and AISC of $1,523 per oz

Earnings
Earnings from mine operations of $32.0 million
Net income of $22.6 million or $0.07 per share
Adjusted net income of $7.5 million or $0.02 per share

Financial
Cash flow from operations before changes in non-cash working capital of $80.0 million ($45.5 million after changes in non-cash working capital) Adjusted EBITDA of $74.7 million.

Expenditures of $43.1 million in sustaining capital and $108.7 million in non-sustaining capital; Filed a base shelf prospectus on November 21, 2022 that allows the Company to make offerings of up to $500 million of common shares, debt securities, subscription receipts, share purchase contracts, units, warrants, or any combination thereof, over a 25-month period.

Entered into an equity distribution agreement dated November 21, 2022 providing for an at-the-market equity offering program ("ATM Program") for up to $100 million effective until December 21, 2024, unless terminated earlier.

Sold 11 million common shares of Solaris Resources Inc. (TSX: SLS) ("Solaris") for aggregate gross proceeds of $51.9 million Construction, development and exploration.

Greenstone Project
Advanced Greenstone construction to 65% complete at December 31, 2022, while remaining on budget and on track to achieve first gold pour in the first half of 2024. Spent $97.9 million of non-sustaining capital in Q4 2022 (Equinox Gold's 60% share).

Building enclosure and heating completed for the process plant west end, power plant, truck shop, ore bin tower of the high-pressure grinding rolls building and site mixed emulsion plant, with the rest of the buildings on track for enclosure in Q1 2023 as planned.

Completed the Ministry of Transportation Patrol Yard, the Goldfield Creek diversion, and the permanent effluent water treatment plant. First four bays of the truck shop are complete and in use. The 14-km natural gas pipeline is complete and ready for commissioning in Q2 2023

Commercial Production  at Santa Luz
Achieved commercial production at Santa Luz effective October 1, 2022. Increased Los Filos Mineral Reserves by 44% and completed a feasibility study for construction of a carbon-in-leach plant to process higher-grade ore concurrent with existing heap leach processing, which would extend the mine life and increase production to on average 280,000 ounces per year, with peak production of 360,000 ounces per year.

Recent Developments
Provided 2023 production and cost guidance of 555,000 to 625,000 ounces of gold at cash costs of $1,355 to $1,460 per oz and AISC of $1,575 to $1,695 per oz.

Provided 2023 sustaining and non-sustaining expenditure guidance of $460 million; $137 million of sustaining expenditures, of which $127 million is sustaining capital; $324 million of non-sustaining expenditures, of which $300 million is non-sustaining capital. Non-sustaining capital includes $277 million to advance Greenstone construction.

Equinox  has issued 6,651,017 common shares under the ATM Program at an average share price of $3.75 per common share for total gross proceeds of $24.9 million. In February 2023, published the Company's inaugural Climate Action Report in alignment with the Task Force on Climate Related Financial Disclosures (TCFD). In January 2023, Equinox sold 4.5 million common shares of the company's investment in Solaris for proceeds of $20.0 million.

In January 2023,Equinox entered into gold collar contracts with a put strike price of $1,900 per ounce and an average call strike price of $2,065 per ounce, for 10,644 ounces of gold per month beginning February 2023 through to March 2024.

FULL-YEAR 2022 HIGHLIGHTS

Operational                                                                           Over 2023 Equinox produced 532,319 ounces of gold and sold 532,137 ounces of gold at an average realized gold price of $1,784 per oz.

Equinox Gold had total cash costs of $1,328 per oz and AISC of $1,622 per oz. and achieved a total recordable injury frequency rate(3) of 2.12, a 30% improvement compared to 2021. The company reports achieving a significant environmental incident frequency rate(3) of 0.63, a 7% improvement compared to 2021.

Earnings                                                                                For 2022 Earnings from mine operations of $85.0 million
Net loss of $106.0 million or $0.35 per share,
Adjusted net loss of $90.8 million(1) or $0.30 per share.

Financial                                                                             Cash flow from Equinox operations before changes in non-cash working capital of $144.3 million ($56.5 million after changes in non-cash working capital). The Adjusted EBITDA of $168.7 million.

Expenditures of $139.2 million in sustaining capital(1) and $457.7 million in non-sustaining capital. Cash and cash equivalents (unrestricted) of $200.8 million at December 31, 2022 Net debt(1) of $627.3 million at December 31, 2022.

Equinox strengthened its capital flexibility and expanded the corporate revolving credit facility to $700 million with an additional $100 million accordion feature, and extended the maturity date to July 2026 with the option for a one-year extension.

For the complete report visit:
 https://www.equinoxgold.com/news/equinox-gold-reports-q4-and-fiscal-2022-financial-and-operating-results-provides-2023-production-guidance-of-555000-to-625000-ounces-of-gold

For more information
Christian Milau, Chief Executive Officer
Rhylin Bailie, Vice President, Investor Relations
Tel: +1 604-558-0560
Email: ir@equinoxgold.com

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