Firefinch Limited presented a Production Target for forthcoming production from the Morila Gold Project in Mali (Morila). The Production Target covers the period from October 2022 to March 2024 and is based on the recent update of the Mineral Resources for Morila. The Production Target has been derived from Stages 1, 2 and 3, being sub-stages of the Phase 1 open pit of the Morila Super Pit (MSP) where Ore Reserves were previously defined in May 2021.

The 2021 Stage 1 and 2 designs have been modified to bring them in-line with the open pit optimisations recently completed by Orelogy Mine Consulting (Orelogy) utilising the new Morila Mineral Resource and updated modifying factors. Accordingly, a medium term production plan (MTPP) has been able to be rapidly optimised. The new MTPP envisages a target production rate of 30,000 ounces of gold per quarter on average for the 18 month period via the processing of 4.17 million tonnes of ore at an average grade of 1.54g/t gold and at a rate of 700,000 tonnes per quarter.

Importantly, the input costs and consumption rates used in the MTPP based current, actual costs at Morila. The AISC over the 18 month period is forecast to be between USD 1,425/oz ­ USD 1,475/oz. The project is anticipated to be cashflow positive in fourth quarter 2023 (December Quarter).

The updated pit design for the Phase 1 Pit at the MSP is currently being completed by Orelogy. This will enable updated Ore Reserves to be published for Morila and a full Life of Mine Plan (LOMP) to be scheduled and costed. Following completion of the LOMP, studies will commence into the expansion of the mine life for Morila, either via a cut back to the Phase 1 pit (Phase 2) or via underground mining.

Safety is Firefinch's number one priority. There were no serious injuries or incidents during the months of July and August. Gold production was 5,339 ounces of gold for the month of July and 8,122 ounces of gold for the month of August.

The August monthly production is the highest monthly production for Morila under Firefinch's ownership with improved production driven by increases in head grade to 1.52g/t (vs 0.61g/t in the June quarter) and recovery to 90.3% (vs 84.3% in the June Quarter) 3. Ore from the Morila Super Pit comprised approximately 40% of the mill feed in July and 70% of the mill feed in August. Operations have successfully pivoted to the new project plan, with mining only undertaken at the Morila and Viper pits since early July. The larger fleet at Morila has assisted in minimising the impacts of the wet season and equipment downtime during the month.

Total material moved (TMM) improved in August due to greater equipment availability with movement at the MSP being only 3% below target. Tonnes processed was 9% below target for August but mitigated by both grade and recovery being above target with a number of initiatives implemented to improve reliability and throughput. The new MTPP envisages mining and processing of 4.17 million tonnes at 1.54 g/t gold to end March 2024 for a total of 189,000 recovered ounces of gold and a target quarterly production of 30,000 ounces of recovered gold (average).

The MTPP assumes that mining is only carried out at the MSP and the Viper open pit. The predominant ore feed will be from the MSP during the MTPP with Stage 1 ore being mined to Second Quarter of calendar year 2023 in parallel with Stage 2 waste stripping. Stage 2 ore mining is anticipated to commence in First Quarter of calendar year 2023 and continue until after the end of the MTPP.

No ore is mined from Stage 3 during the MTPP. Waste stripping from Stage 3 has been scheduled within the 18 month period to ensure ore is available as planned in the previous LOMP 4. Activity at Viper will decrease to enable mining to proceed in a safe and orderly manner. Mining at Viper is scheduled to be completed by end first quarter 2023 (end March 2023).