Taseko Announces Second Quarter Financial and Operational Results
Taseko Announces Second Quarter Financial and Operational Results
VANCOUVER, British Columbia, Aug. 06, 2025 -- Taseko Mines Limited (TSX: TKO; NYSE American: TGB; LSE: TKO)
("Taseko" or the "Company") reports second quarter 2025 Adjusted EBITDA* of $17 million, net income of $22 million ($0.07
per share) and an Adjusted net loss* of $13 million ($0.04 loss per share). Revenues for the second quarter were $116 million
from the sale of 19 million pounds of copper and 178 thousand pounds of molybdenum.
Second quarter copper production at Gibraltar was in line with plan and mining operations made significant headway opening
up the Connector pit. Tons mined was 31% higher than the first quarter, and the improved mining rates have set the mine up
to deliver the expected higher grades in the second half of the year. The mine produced 20 million pounds of copper and 180
thousand pounds of molybdenum in the second quarter at Total operating costs (C1)* of US$3.14 per pound of copper
produced. Mill throughput averaged 84,200 tons per day at average copper grades of 0.20% and copper recoveries were 63%.
Recoveries continued to be impacted by both low grades and also high oxide and secondary mineralization. Second quarter
copper production also includes the first copper cathodes from Gibraltar’s newly refurbished SX/EW plant which restarted in
late May after being idle since 2015. After a quick ramp up in June and July, the plant is now operating at a steady state.
Construction activities at Florence Copper continue to advance on schedule and the project remains on track to achieve first
copper cathode production before the end of 2025. At the end of June, overall project completion was over 90% and US$239
million had been incurred on construction in the last 18 months. Construction spending was lower than the prior quarter and,
with approximately 90% of total expected construction costs now incurred, spending will decline again in the third quarter as
construction activities wind down.
Stuart McDonald, President & CEO of Taseko, commented, “I am very pleased with progress at Florence Copper, where our
project team has done an excellent job maintaining the project schedule and budget, without compromising the safety of our
contractors or employees at site. Construction activities will soon be shifting to commissioning of the SX/EW plant systems
and beginning wellfield operations. With less than six months until anticipated first production, this is an exciting time for our
Company. We still have a lot of work ahead to complete construction and ramp up copper production, but the more than ten
years of effort to get us here is about to payoff.
At Gibraltar, mining operations have made good progress advancing deeper into the Connector Pit and we’re looking forward to
a much stronger second half. The expected higher grades and improved recoveries will lead to increased copper production
and stronger cash flows.
Despite the recent volatility in Comex copper prices, we remain in a healthy copper price environment and it’s great timing to
be growing our copper production base with a new US-based operation. With lowest quartile operating costs, Florence Copper
will begin to generate strong cashflows next year as it ramps up to design capacity.”
*Non-GAAP performance measure. See end of news release.
Mr. McDonald continued, “Another important goal for us is to unlock value from our longer-term growth portfolio, and in recent
months we’ve achieved some significant milestones with those projects. We published an updated technical study for
Yellowhead, which showed a significant improvement in project economics. At a copper price of US$4.25 per pound,
Yellowhead has an after-tax NPV (8%) of $2 billion and a 21% internal rate of return. With average annual copper production of
178 million pounds over 25 years, Yellowhead represents a high quality, longer-term growth option for Taseko. Also, in early
July the Environmental Assessment process was formally initiated with the filing and acceptance of the Initial Project
Description. We will look to unlock further value from Yellowhead as it advances through the permitting process, and as we
progress other technical and financing aspects of the project.”
“Another significant development was the recent agreement reached with Tŝilhqot'in Nation and Province of BC on our New
Prosperity Project. The payment of $75 million was received from the Province of BC during the second quarter and Taseko
retains a 77.5% interest in the project. We believe this agreement could potentially open a pathway for the mine to be
developed in the future, but only with the Tŝilhqot’in Nation’s consent.
With Florence Copper just months away from first production and with Yellowhead now moving forward into permitting, we are
making significant strides advancing our long-term strategy to become a North American multi-asset copper miner,” concluded
Mr. McDonald.
Second Quarter Review
• Earnings from mining operations before depletion, amortization and non-recurring items* was $20.7 million, Adjusted
EBITDA* was $17.4 million and cash flows from operations was $26.0 million;
• Net income was $21.9 million ($0.07 per share) and Adjusted net loss* was $13.0 million ($0.04 loss per share) after
removal of unrealized foreign exchange gains on the Company’s US dollar-denominated debt;
• Gibraltar produced 19.8 million pounds of copper at a total operating (C1) cost* of US$3.14 per pound of copper
produced. Copper head grade was 0.20% and recovery was 63% for the quarter reflecting the continued processing of
lower grade stockpiled material which also had higher oxidation;
• Gibraltar sold 19.0 million pounds of copper at an average realized copper price of US$4.32 per pound and at an
average Canadian dollar exchange rate of 1.38, contributing to revenues of $116.1 million for Taseko;
• At June 30, 2025, construction of the Florence Copper commercial production facility was over 90% complete and
remains on schedule for first copper production before the end of the year. All 90 injection and recovery wells planned
for the construction phase have now been drilled and completed. Construction of the solvent extraction and
electrowinning areas continue to advance, with the installation of major components well underway;
*Non-GAAP performance measure. See end of news release.
• In June 2025, Taseko, Tŝilhqot’in Nation and the Province of BC reached an agreement concerning the New Prosperity
project. Taseko received a payment of $75 million from the Province of BC on closing of the transaction in the second
quarter;
• In July 2025, the Company filed an updated technical report on the Yellowhead project highlighting an after-tax net
present value of $2.0 billion for the project (8% after-tax discount rate), after-tax internal rate of return of 21%, and
payback period of 3.3 years. The Company also announced that it had submitted an Initial Project Description for the
Yellowhead project and formally commenced the Environmental Assessment process with regulators;
• The Company has copper collar contracts in place to secure a minimum copper price of US$4.00 per pound for 54
million pounds of copper for the remainder of 2025; and,
• At June 30, 2025, the Company had a cash balance of $122.0 million and available liquidity of $197.0 million including
the undrawn portion of its corporate revolving credit facility.
*Non-GAAP performance measure. See end of news release.
Highlights
Operating data
Three months ended
June 30,
Six months ended
June 30,
(Gibraltar – 100% basis) 2025 2024 Change 2025 2024 Change
Tons mined (millions) 30.4 18.4 12.0 53.6 41.2 12.4
Tons milled (millions) 7.7 5.7 2.0 15.6 13.4 2.2
Production (million pounds Cu) 19.8 20.2 (0.4) 39.8 49.9 (10.1)
Sales (million pounds Cu) 19.0 22.6 (3.6) 40.8 54.3 (13.5)
Financial Data
(Cdn$ in thousands, except for per
share amounts)
Three months ended
June 30,
Six months ended
June 30,
2025 2024 Change 2025 20241 Change
Revenues 116,082 137,730 (21,648) 255,231 284,677 (29,446)
Cash flows from operations 25,954 34,711 (8,757) 81,846 94,285 (12,439)
Net income (loss) 21,868 (10,953) 32,821 (6,692) 7,943 (14,635)
Per share – basic (“EPS”) 0.07 (0.04) 0.11 (0.02) 0.03 (0.05)
Earnings from mining operations
before depletion, amortization and
non-recurring items* 20,700 76,928 (56,228) 59,491 129,725 (70,234)
Adjusted EBITDA* 17,432 70,777 (53,345) 51,682 120,700 (69,018)
Adjusted net (loss) income* (13,025) 30,503 (43,528) (19,968) 38,231 (58,199)
Per share – basic (“Adjusted
EPS”)* (0.04) 0.10 (0.14) (0.06) 0.13 (0.19)
1 On March 25, 2024, the Company completed its acquisition of the remaining 50% interest in Cariboo Copper Corp.
(“Cariboo”) from Dowa Metals & Mining Co., Ltd. (“Dowa”) and Furukawa Co., Ltd. (“Furukawa”) and increased its effective
interest in Gibraltar from 87.5% to 100%. As a result, the financial results reported in this MD&A reflect the Company’s
87.5% effective interest from March 15, 2023 to March 25, 2024 and 100% effective interest thereafter. For more information
on the Company’s acquisition of Cariboo, refer to the Financial Statements—Note 12a.
*Non-GAAP performance measure. See end of news release.
Review of Operations
Gibraltar
Operating data (100% basis) Q2 2025 Q1 2025 Q4 2024 Q3 2024 Q2 2024
Tons mined (millions) 30.4 23.2 24.0 23.2 18.4
Tons milled (millions) 7.7 7.9 8.3 7.6 5.7
Strip ratio 2.3 4.6 1.9 1.2 1.6
Site operating cost per ton milled* $ 11.23 $ 8.73 $ 12.18 $ 14.23 $ 13.93
Copper concentrate
Head grade (%) 0.20 0.19 0.22 0.23 0.23
Copper recovery (%) 63.2 67.5 78.2 78.9 77.7
Production (million pounds Cu) 19.4 20.0 28.6 27.1 20.2
Sales (million pounds Cu) 19.0 21.8 27.4 26.3 22.6
Inventory (million pounds Cu) 2.7 2.3 4.1 2.9 2.3
Copper cathode
Production (thousand pounds Cu) 395 – – – –
Sales (thousand pounds Cu) – – – – –
Molybdenum concentrate
Production (thousand pounds Mo) 180 336 578 421 185
Sales (thousand pounds Mo) 178 364 607 348 221
Per unit data (US$ per Cu pound
produced)1
Site operating cost* $ 3.15 $ 2.41 $ 2.52 $ 2.91 $ 2.88
By-product credit* (0.19) (0.33) (0.42) (0.25) (0.26)
Site operating cost, net of by-product
credit* 2.96 2.08 2.10 2.66 2.62
Off-property cost* 0.18 0.18 0.32 0.26 0.37
Total operating (C1) cost* $ 3.14 $ 2.26 $ 2.42 $ 2.92 $ 2.99
1 Copper pounds produced includes both copper in concentrate and copper cathode.
Operations Analysis
Second Quarter Review
Mining operations continued to advance through the upper sections of the Connector pit, opening up the deeper, higher quality
ore zones for the next phase of mining. A total of 30.4 million tons were mined in the second quarter, a 30% increase over the
prior quarter due to increased productivity of the mining fleet. Approximately 65% of the ore mined in the quarter was oxide
ore, which was added to the heap leach pads and contributed to a lower strip ratio.
*Non-GAAP performance measure. See end of news release.
Operations Analysis - Continued
Lower-grade stockpiled ore continued to be the primary source of mill feed in the quarter, resulting in copper production levels
similar to the first quarter. Gibraltar produced 19.4 million pounds of copper in concentrate in the second quarter. Copper
head grade was 0.20% and recovery was 63%, impacted by oxidation and supergene material in the stockpiled ore which
mainly originated from the upper benches of the Connector pit. Mill throughput was 7.7 million tons in the quarter and
remained consistently at nameplate capacity throughout the quarter.
In the second quarter, Gibraltar completed the refurbishment and successfully restarted its solvent extraction and
electrowinning (“SX/EW”) plant which had been idle since 2015 and produced 395 thousand pounds of copper cathode.
Capitalized stripping costs totaling $30.8 million remained higher in the second quarter attributable to a higher than normal
strip ratio for sulphide ore tons in the Connector pit. Total site costs* including capitalized stripping was $116.8 million in the
quarter, higher than the prior quarter primarily due to higher mining rates. Total site costs were also higher than the prior year
quarter due to mill downtime in 2024 related to a labour strike and crusher relocation project.
Molybdenum production was 180 thousand pounds in the second quarter, comparable to 185 thousand pounds in the
comparative prior year quarter. At an average molybdenum price of US$20.71 per pound for the quarter, molybdenum
contributed a by-product credit of US$0.19 per pound of copper produced.
Off-property costs of US$0.18 per pound of copper produced were consistent with the prior quarter and reflect Gibraltar’s 2025
offtake agreements with average treatment and refining charges (“TCRC”) of $nil for the year.
Total operating (C1) costs* were US$3.14 per pound of copper produced in the second quarter compared to US$2.99 per
pound of copper produced in the comparative prior year quarter. The increase in total operating (C1) costs was attributable to
low site operating costs in the prior year from mill downtime, as well as lower copper production and lower molybdenum by-
product credits in the current quarter, partially offset by higher capitalized stripping costs and lower off-property costs as
outlined in the bridge graph below:
*Non-GAAP performance measure. See end of news release.
Operations Analysis - Continued
https://www.globenewswire.com/NewsRoom/AttachmentNg/df87bda2-56b8-4686-baef-a7d4ff25f5e6
Gibraltar Outlook
Mining activity will continue to advance in the Connector pit, which will be the primary source of mill feed for the remainder of
2025 and the years ahead. Significant increases in head grades and recoveries, and higher mill throughput from processing
the softer Connector pit ore, are expected in the second half of 2025 and continuing into 2026. Copper production for the year
is expected to be 110 to 120 million pounds, including cathode production.
Molybdenum production is also forecast to increase in the second half of 2025 as molybdenum grades are expected to be
notably higher in Connector pit ore.
The Company has offtake agreements covering Gibraltar concentrate production in 2025 and 2026, which contain significantly
lower and in certain cases negative (premium) TCRC rates reflecting the tight copper smelting market. Offtake agreements are
in place for substantially all of Gibraltar’s copper concentrate production in 2025 and 2026, and, based on the contract terms,
the Company expects average TCRCs to be to around $nil in 2025 and 2026.
The Company has a prudent hedging program in place to protect a minimum copper price and Gibraltar cash flow during the
Florence Copper construction period. Currently, the Company has copper collar contracts in place that secure a minimum
copper price of US$4.00 per pound for 54 million pounds of copper production for the remainder of 2025 (refer to “Financial
Condition Review—Hedging Strategy” for details).
*Non-GAAP performance measure. See end of news release.
Florence Copper
The Company has all the key permits in place for the commercial production facility at Florence and construction continues to
advance on schedule. Over 900,000 project hours have been worked with no reportable injuries or environmental incidents.
The Company has a fixed-price contract with the general contractor for construction of the SX/EW plant and associated
surface infrastructure and activities are beginning to wind down from peak spend in the first quarter.
All injection and recovery wells planned to be drilled during the construction phase were completed as of June 30, 2025.
Remaining construction activities are advancing on plan and project areas will soon start transitioning to commissioning.
Operational readiness remains a key focus for site management. Site activities are focused on hiring additional personnel and
developing detailed operating plans for the ramp up of production, which is expected to begin before the end of this year.
Florence Copper capital spend
(US$ in thousands)
Three months ended
June 30, 2025
Six months ended
June 30, 2025
Commercial facility construction costs 32,956 84,320
Site and PTF operations 8,276 14,345
Total Florence Copper capital spend 41,232 98,665
Florence Copper commercial facility construction costs were US$33.0 million in the second quarter and US$239.3 million has
been incurred on the Florence Copper commercial facility construction as of June 30, 2025.
The Company has a technical report titled “NI 43-101 Technical Report Florence Copper Project, Pinal County, Arizona” dated
March 30, 2023 (the “Florence 2023 Technical Report”) on SEDAR+. The Florence 2023 Technical Report was prepared in
accordance with National Instrument 43-101 (“NI 43-101”) and incorporated the results of test work from the production test
facility (“PTF”) as well as updated capital and operating costs (Q3 2022 basis) for the commercial production facility.
Project highlights based on the Florence 2023 Technical Report are detailed below:
• Net present value of US$930 million (at US$3.75 copper price, 8% after-tax discount rate);
• After-tax internal rate of return of 47%;
• Payback period of 2.6 years;
• Operating costs (C1) of US$1.11 per pound of copper produced;
• Annual production capacity of 85 million pounds of LME grade A copper cathode;
• Mine life of 22 years;
• Total life of mine production of 1.5 billion pounds of copper; and
• Initial capital cost of US$232 million (Q3 2022 basis).
Florence Copper - Continued
Based on the Florence 2023 Technical Report, the estimated construction costs for the Florence Copper commercial
production facility were US$232 million and management continues to expect that total construction costs will be within 10%
to 15% of this estimate.
Long-term Growth Strategy
Taseko’s strategy has been to grow the company by acquiring and developing a pipeline of projects focused on copper in
North America. We continue to believe this will generate long-term returns for shareholders. Our other development projects
are located in BC, Canada.
Yellowhead Copper Project
The Yellowhead copper project (“Yellowhead”) is expected to produce 4.4 billion pounds of copper over a 25-year mine life at
an average C1 cost, net of by-product credit, of US$1.90 per pound of copper produced. During the first 5 years of operation,
Yellowhead is expected to produce an average of 206 million pounds of copper per year at an average C1 cost, net of by-
product credit, of US$1.62 per pound of copper produced. Yellowhead also contains valuable precious metal by-products with
282,000 ounces of gold production and 19.4 million ounces of silver production over the life of mine.
The economic analysis in the Yellowhead 2025 Technical Report (defined below) was prepared using a long-term copper price
of US$4.25 per pound, a long-term gold price of US$2,400 per ounce, and a long-term silver price of US$28.00 per ounce. This
report titled “Technical Report Update on the Yellowhead Copper Project, British Columbia, Canada” (the “Yellowhead 2025
Technical Report”) was published on July 10, 2025 under the supervision of Richard Weymark, P. Eng., MBA, Vice President,
Engineering for Taseko and a Qualified Person as defined by NI 43-101.
Project highlights based on the Yellowhead 2025 Technical Report are detailed below:
• Average annual copper production of 178 million pounds over a 25 year mine life at total cash costs (C1) of US$1.90 per
pound of copper produced;
• Over the first 5 years of the mine life, copper grade is expected to average 0.32% producing an average of 206 million
pounds of copper at total cash costs (C1) of US$1.62 per pound of copper produced;
• Concentrator designed to process 90,000 tonnes per day of ore with an expected copper recovery of 90%, and produce
a clean copper concentrate with payable gold and silver by-products;
• Conventional open pit mining with a low strip ratio of 1.4;
• After-tax net present value of $2.0 billion (8% after-tax discount rate) and after-tax internal rate of return of 21%;
• Initial capital costs of $2.0 billion with a payback period of 3.3 years; and
• Expected to be eligible for the Canadian federal Clean Technology Manufacturing Investment Tax Credit, with 30%
(approximately $540 million) of eligible initial capital costs reimbursed in year 1 of operation.
Long-term Growth Strategy - Continued
In the second quarter, the project’s Initial Project Description was filed and accepted by the British Columbia Environmental
Assessment Office and Impact Assessment Agency of Canada, formally commencing the Environmental Assessment
process. The Company has been engaging with project stakeholders to ensure that the development of Yellowhead is in line
with environmental and social expectations. The Company opened a community Yellowhead project office in 2024 to support
ongoing engagement with local communities including First Nations.
New Prosperity Copper-Gold project
In June 2025, Taseko, the Tŝilhqot’in Nation and the Province of BC reached a historic agreement concerning the New
Prosperity project (the “Teẑtan Biny Agreement”). The Teẑtan Biny Agreement ends litigation among the parties while
providing certainty with respect to how the significant copper-gold resource at New Prosperity may be developed in the future,
and meaningfully advances the goals of reconciliation in BC.
Key elements of the Teẑtan Biny Agreement include:
• Taseko received a payment of $75 million from the Province of BC upon closing of the agreement;
• Taseko contributed a 22.5% equity interest in the New Prosperity mineral tenures to a trust for the future benefit of the
Tŝilhqot’in Nation. The trust will transfer the property interest to the Tŝilhqot’in Nation if and when it consents to a
proposal to pursue mineral development in the project area;
• Taseko retains a majority interest (77.5%) in the New Prosperity mineral tenures and can divest some or all of its
interest at any time, including to other mining companies that could advance a project with the consent of the
Tŝilhqot’in Nation. However, Taseko has committed not to be the proponent (operator) of mineral exploration and
development activities at New Prosperity, nor the owner of a future mine development;
• Taseko has entered into a consent agreement with the Tŝilhqot’in Nation, whereby no mineral exploration or
development activity can proceed in the New Prosperity project area without the free, prior and informed consent of the
Tŝilhqot’in Nation;
• The Province of BC and the Tŝilhqot’in Nation have agreed to negotiate the process by which the consent of the
Tŝilhqot’in Nation will be sought for any proposed mining project to proceed through an environmental assessment
process; and
• The Tŝilhqot’in Nation and the Province of BC have agreed to undertake a land-use planning process for the area of the
mineral tenures and a broader area of land within Tŝilhqot’in territory. The Province of BC will provide funding to the
Tŝilhqot’in Nation to facilitate the land-use planning process and for a Cultural Revitalization Fund.
Long-term Growth Strategy - Continued
Aley Niobium project
The converter pilot test is ongoing to provide additional process data to support the design of commercial process facilities,
and final product samples to support product marketing initiatives. The Company is also conducting a scoping study to
investigate the potential for Aley niobium oxide production to supply the growing market for niobium-based batteries.
Annual General Meeting
The Company’s Annual General Meeting was held on June 12, 2025 and shareholders voted in favor of all items of business
before the meeting, including the continuation of the Company’s amended and restated shareholders rights plan for a 3-year
period and the advisory resolution on executive compensation (Say-on-Pay), and the election of all director nominees.
Detailed voting results for the 2025 Annual General Meeting are available on SEDAR+ at www.sedarplus.ca.
Annual Sustainability Report
In June 2025, the Company published its annual Sustainability Report titled C2 (Copper x Community) (the “Report”). The
Report highlights Taseko’s operational and sustainability achievements, with an emphasis on the connection between copper
production and the people, communities, and social environments that support and benefit from our operations and projects.
With 20 years of successful operations under Taseko’s stewardship, 2024 marked a milestone year for the Company’s
flagship operation, the Gibraltar mine. As Canada’s second-largest copper mine, Gibraltar continues to reflect Taseko’s
commitment to operational excellence, health and safety, and delivering ‘360° of Value’ for all stakeholders.
Florence Copper will soon become one of the lowest carbon and energy-intensive copper producers in the world, offering
domestically produced, traceable and high-purity copper metal to support North American manufacturing and economic
security.
While profitable operations and return on investment are critical drivers for Taseko’s success, the Company also delivers value
to its employees and operating communities, business partners, Indigenous Nations and governments. The Report is an
opportunity to showcase the important benefits that the Company generates through its operations, investments and people.
The full report can be viewed and downloaded at www.tasekomines.com/sustainability/overview.
Conference Call and Webcast
The Company will host a telephone conference call and live webcast on Thursday August 7, 2025 at 11:00 a.m. Eastern Time
(8:00 a.m. Pacific) to discuss these results. After opening remarks by management, there will be a question and answer
session open to analysts and investors. The conference call may be accessed by dialing 800-715-9871 toll free or 646-307-
1963, using the access code 2521595. The webcast may be accessed at tasekomines.com/investors/events and will be
archived until August 7, 2026 for later playback.
For further information on Taseko, see the Company’s website at tasekomines.com or contact:
Brian Bergot, Vice President, Investor Relations – 778-373-4554
Stuart McDonald
President and CEO
No regulatory authority has approved or disapproved of the information contained in this news release
Non-GAAP Performance Measures
This MD&A includes certain non-GAAP performance measures that do not have a standardized meaning prescribed by IFRS.
These measures may differ from those used by, and may not be comparable to such measures as reported by, other issuers.
The Company believes that these measures are commonly used by certain investors, in conjunction with conventional IFRS
measures, to enhance their understanding of the Company’s performance. These measures have been derived from the
Company’s financial statements and applied on a consistent basis. The following tables below provide a reconciliation of
these non-GAAP measures to the most directly comparable IFRS measures.
Total operating cost and site operating cost, net of by-product credit
Total operating cost includes all costs absorbed into inventory, as well as transportation costs and insurance recoverable.
Site operating cost is calculated by removing net changes in inventory, depletion and amortization, insurance recoverable, and
transportation costs from cost of sales. Site operating cost, net of by-product credit is calculated by subtracting by-product
credits from site operating cost. Site operating cost, net of by-product credit per pound is calculated by dividing the aggregate
of the applicable costs by pounds of copper produced. Total operating cost per pound is the sum of site operating costs, net
of by-product credits and off-property costs divided by pounds of copper produced. By-product credit is calculated based on
actual sales of molybdenum (net of treating costs) and silver during the period divided by the total pounds of copper produced
during the period. These measures are calculated on a consistent basis for the periods presented.
(Cdn$ in thousands, unless otherwise
indicated) Q2 2025 Q1 2025 Q4 2024 Q3 2024 Q2 2024
Cost of sales 120,592 122,783 134,940 124,883 108,637
Less:
Depletion and amortization (25,210) (22,425) (24,641) (20,466) (13,721)
Net change in inventories of finished
goods 2,123 (2,710) 4,064 2,938 (10,462)
Net change in inventories of ore
stockpiles (5,718) (22,747) (3,698) 9,089 1,758
Transportation costs (5,720) (5,984) (10,170) (8,682) (6,408)
Site operating cost 86,067 68,917 100,495 107,712 79,804
Less by-product credits:
Molybdenum, net of treatment costs (4,814) (8,774) (16,507) (8,962) (7,071)
Silver, excluding amortization of deferred
revenue (58) (131) (139) (241) (144)
Gold, net of refining costs (350) (389) – – –
Site operating cost, net of by-product credit 80,845 59,623 83,849 98,509 72,589
Total pounds of copper produced (thousand
pounds) 19,813 19,959 28,595 27,101 20,225
Total costs per pound produced 4.08 2.99 2.94 3.63 3.59
Average exchange rate for the period
(Cdn$ / US$) 1.38 1.44 1.40 1.36 1.37
Site operating cost, net of by-product
credits
(US$ per pound) $ 2.96 $ 2.08 $ 2.10 $ 2.66 $ 2.62
Site operating cost, net of by-product credit 80,845 59,623 83,849 98,509 72,589
Add off-property costs:
Treatment and refining costs (837) (510) 2,435 816 3,941
Transportation costs 5,720 5,984 10,170 8,682 6,408
Total operating cost 85,728 65,097 96,454 108,007 82,938
Total operating cost (C1) (US$ per
pound) $ 3.14 $ 2.26 $ 2.42 $ 2.92 $ 2.99
Non-GAAP Performance Measures - Continued
Total site costs
Total site costs include site operating costs charged to cost of sales and mining costs capitalized to property, plant and
equipment in the period. This measure is intended to capture total site operating costs incurred during the period calculated
on a consistent basis for the periods presented.
(Cdn$ in thousands) Q2 2025 Q1 2025 Q4 2024 Q3 2024 Q2 2024
Site operating costs 86,067 68,917 100,495 107,712 79,804
Capitalized stripping costs 30,765 38,082 1,981 3,631 10,732
Total site costs – 100% basis 116,832 106,999 102,476 111,343 90,536
Adjusted net income (loss) and Adjusted EPS
Adjusted net income (loss) removes the effect of the following transactions from net income (loss) as reported under IFRS:
• Unrealized foreign currency gains and losses;
• Unrealized derivative gains and losses;
• Other operating costs;
• Call premium on settlement of debt;
• Loss on settlement of debt, net of capitalized interest;
• Bargain purchase gains on Cariboo acquisition;
• Gain on acquisition of control of Gibraltar;
• Realized gain on sale of finished goods inventory;
• Inventory write-ups to fair value that was sold or processed;
• Accretion on Florence royalty obligations;
• Accretion on Cariboo consideration payable;
• Tax effect of sale of non-recurring interest; and
• Non-recurring other expenses for Cariboo adjustment.
Management believes these transactions do not reflect the underlying operating performance of the Company’s core mining
business and are not necessarily indicative of future operating results. Furthermore, unrealized gains and losses on derivative
instruments, changes in the fair value of financial instruments, and unrealized foreign currency gains and losses are not
necessarily reflective of the underlying operating results for the periods presented.
Adjusted earnings per share (“Adjusted EPS”) is Adjusted net income attributable to common shareholders of the Company
divided by the weighted average number of common shares outstanding for the period.
Non-GAAP Performance Measures - Continued
(Cdn$ in thousands) Q2 2025 Q1 2025 Q4 2024 Q3 2024
Net income (loss) 21,868 (28,560) (21,207) (180)
Unrealized foreign exchange (gain) loss (40,335) 2,074 40,462 (7,259)
Unrealized derivative loss (gain) and fair value adjustments 9,489 23,536 (25,514) 1,821
Other operating costs1 – – 4,132 4,098
Inventory write-ups to fair value that was sold or processed2 – – 1,905 3,266
Accretion on Florence royalty obligation 6,201 2,571 3,682 3,703
Accretion on Cariboo consideration payable 4,484 664 4,543 9,423
Tax effect of sale of non-controlling interest (9,285) – – –
Estimated tax effect of adjustments (5,447) (7,228) 2,465 (6,644)
Adjusted net (loss) income (13,025) (6,943) 10,468 8,228
Adjusted EPS $ (0.04) $ (0.02) $ 0.03 $ 0.03
1 Other operating costs relate to the in-pit crusher relocation project and care and maintenance costs due to the June 2024
labour strike.
2 Inventory write-ups to net realizable value that was sold or processed relates to stockpile inventories that were written-up
to fair value as part of the acquisition of control of Gibraltar. These write-ups have been included in Adjusted net (loss) income
in the period when the inventories were sold or processed.
Non-GAAP Performance Measures - Continued
(Cdn$ in thousands) Q2 2024 Q1 2024 Q4 2023 Q3 2023
Net (loss) income (10,953) 18,896 38,076 871
Unrealized foreign exchange loss (gain) 5,408 13,688 (14,541) 14,582
Unrealized derivative loss and fair value adjustment 10,033 3,519 1,636 4,518
Other operating costs1 10,435 – – –
Call premium on settlement of debt 9,571 – – –
Loss on settlement of debt, net of capitalized interest 2,904 – – –
Gain on Cariboo acquisition – (47,426) – –
Gain on acquisition of control of Gibraltar2 – (14,982) – –
Realized gain on sale of inventory3 3,768 13,354 – –
Inventory write-ups to fair value that was sold or processed4 4,056 – – –
Accretion on Florence royalty obligation 2,132 3,416 – –
Accretion on Cariboo consideration payable 8,399 1,555 – –
Non-recurring other expenses for Cariboo adjustment 394 138 (916) 1,244
Estimated tax effect of adjustments (15,644) 15,570 (194) (1,556)
Adjusted net income 30,503 7,728 24,061 19,659
Adjusted EPS $ 0.10 $ 0.03 $ 0.08 $ 0.07
1 Other operating costs relate to the in-pit crusher relocation project and care and maintenance costs due to the June 2024
labour strike.
2 Gain on acquisition of control of Gibraltar relates to the write-up of copper concentrate inventory to fair value for Taseko’s
87.5% interest in Gibraltar at March 25, 2024.
3 Realized gain on sale of inventory relates to copper concentrate inventory held at March 25, 2024 that was written-up to fair
value as part of the acquisition of control of Gibraltar, and subsequently sold. The realized portion of these gains have been
added back to Adjusted net income in the period the inventory was sold.
4 Inventory write-ups to fair value that was sold or processed relates to stockpile inventories that were written-up to fair value as
part of the acquisition of control of Gibraltar. These write-ups have been included in Adjusted net income in the period the
inventories were sold or processed.
Non-GAAP Performance Measures - Continued
Adjusted EBITDA
Adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) is presented as a supplemental
measure of the Company’s performance and ability to service debt. Adjusted EBITDA is frequently used by securities
analysts, investors and other interested parties in the evaluation of companies in the industry, many of which present adjusted
EBITDA when reporting their results. Issuers of “high yield” securities also present adjusted EBITDA because investors,
analysts and rating agencies considering it useful in measuring the ability of those issuers to meet debt service obligations.