Orla Mining Ltd. (NYSE:ORLA) Q2 2022 Earnings Conference Call August 9, 2022 10:00 AM ET

Company Participants

Andrew Bradbury - VP, IR

Jason Simpson - President & Chief Executive Officer

Etienne Morin - Chief Financial Officer

Andrew Cormier - Chief Operating Officer

Conference Call Participants

Bryce Adams - CIBC Capital Markets

Operator

Ladies and gentlemen, good morning, and welcome to the Orla Mining Conference Call for the Second Quarter 2022. My name is Sheryl, and I will be your conference operator today.

[Operator Instructions] Please be advised that this call is being recorded.

I would like to turn the meeting over to Andrew Bradbury, Vice President of Investor Relations and Corporate Development for Orla Mining. Please go ahead, Mr. Bradbury.

Andrew Bradbury

Thank you, operator, and welcome to Orla's Second Quarter 2022 Results Conference Call. During today's call, we will be making forward-looking statements. I would direct you to the first and second slides of the presentation, which contains important cautionary notes regarding these forward-looking statements. All dollar amounts discussed today will refer to U.S. dollars, unless otherwise indicated.

And on the call this morning is Orla executive team, including President and Chief Executive Officer, Jason Simpson. Jason, over to you.

Jason Simpson

Thanks, Andrew. I'd like to always begin with a refresher on our value-creating formula, a combination of quality assets, team and partners. Today, the Orla team will walk you through our impressive quarterly results. This formula has generated tremendous value for all of our stakeholders, and thus far, we continue to be a company that executes consistently.

The second quarter was marked with some exciting milestones and events. We safely made the transition from gold developer to producer with the declaration of commercial production and the second quarter was our first official period as a producer. Operations have been ramping up, which you will see in the mining, processing and production metrics. We are well on our way to meeting the 2022 annual production guidance.

Operating costs remain on track and as a low-cost producer with robust margins, we generated strong cash flows during the quarter. These cash flows, in addition to the recent debt refinancing puts us in a very strong and flexible financial position, providing the foundation to build upon. We are also on track to meet annual cost guidance.

During the quarter, we were excited to announce the acquisition of Gold Standard Ventures, the owner of the South Railroad heap leach project located in the prolific Carlin Trend. This low capital intensity, high-return project will diversify and strengthen Orla's portfolio of assets, and we are pleased to step into Nevada, a highly attractive jurisdiction. The Gold Standard securityholder vote is taking place later this morning with closing of the transaction expected by the end of the week.