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Wesdome Announces 2022 Fourth Quarter and Full Year Financial Results

Financials

Wesdome Announces 2022 Fourth Quarter and Full Year Financial Results

TORONTO, Feb. 22, 2023 -- Wesdome Gold Mines Ltd. (TSX: WDO) (“Wesdome” or the “Company”) today announces fourth

quarter (“Q4 2022”) and full year financial results. All figures are stated in Canadian dollars unless otherwise noted.

Key Highlights:

Eagle River

• Eagle River underground mine processed 223,735 tonnes at an average grade of 11.5 gpt to produce 79,997 ounces

with the underground producing 231,000 tonnes of broken ore.

• Completed additional drilling and ore development at the Falcon Zone which is improving production and grade

forecasting; results in 2023 so far are showing positive reconciliation at the Falcon Zone

Kiena

• Successfully commissioned the pastefill plant and declared commercial production

• Drilling expanded the size of the A Zones and Footwall Zones, which supports future mine life extension potential

• Drilling better defined and expanded the Presqu’ile Zone potentially justifying the installation of an exploration ramp

Other

• Named to the Globe & Mail's 2022 Report on Business Women Lead Here list. This annual editorial benchmark

identifies best-in-class executive gender diversity in corporate Canada

• Placed 6 th out of 34 TSX-listed materials companies in the annual Globe and Mail Board Games report on corporate

governance

Warwick Morley-Jepson, Interim CEO commented, “2022 was a challenging year for Wesdome, and we have leveraged our

experiences to ensure better operational and financial performance going forward. Production misses at both mines resulted in

a net loss of $14.7 million or ($0.10) per share.

Previously disclosed grade reconciliation issues at the Falcon zone that impacted 2022 production have been addressed

through additional ore development and drilling. Eagle operations are recovering well, with 2023 grade so far reconciling higher

than guidance.

At Kiena, despite the challenging backdrop of the fractured supply chains we are very pleased to have put a second mine into

production, financed almost entirely from internally generated cash flow. The delays encountered in 2022 are behind us, and all

required equipment is on site. The next milestone is the continued development of the ramp giving access to mining operations

in the A zone. Ramp advancement will position us to mine in the areas where the ounces per vertical metre significantly

increase, and grade is expected to improve. Year to date, this project is tracking slightly ahead of schedule. As well, 2022

saw the hiring of key technical personnel including a Director, Engineering and Operations who will support daily mine

operations.

Production guidance for 2023 is expected to range between 110,000 – 130,000 ounces with production back end weighted

through the year. Until the ramp reaches the 129 metre level at Kiena, lower processed grades are expected to continue into

2023.   We will continue to supply the mill with lower grade ore from the Martin, S50, and VC zones to supplement the Kiena

Deep material that will be available to mine, which is mostly lower grade fringe material and diluted ore from previously mined

areas.

We consider this year to be a transition year as we get Kiena back on schedule, setting up 2024 to be a stronger year

operationally, as well as financially. In this regard, an at-the-market equity program was established in December to accelerate

balance sheet de-levering.”

Key operating and financial performance of the full year 2022 results include:

• Gold production of 110,850 ounces is a 10% decrease over the same period in the previous year (2021: 123,843

ounces):

◦ Eagle River underground processed 223,734 tonnes at a head grade of 11.5 grams per tonne for 79,997 ounces

produced, 19% decrease over the previous year (2021: 99,120 ounces).

◦ Mishi Open Pit 23,153 tonnes at a head grade of 3.2 grams per tonne for 2,005 ounces produced (2021: 2,283

ounces).

◦ Kiena 115,171 tonnes at a head grade of 7.9 grams per tonne for 28,848 ounces produced, 29% increase over

previous year (2021: 22,440)

• Revenue2 of $265.5 million, a 1% increase over the previous year (2021: $262.9 million).

• Ounces sold3 were 113,000 at an average sales price of $2,347/oz (2021: 116,708 ounces at an average price of

$2,250/oz).

• Cash margin1,2,4 of $95.7 million, a 34% decrease over the previous year (2021 - $145.4 million).

• Operating cash flows2,4 decreased by 50% to $65.2 million or $0.46 per share1 as compared to $131.0 million or $0.93

per share for the same period in 2021.

• Free cash outflow of $90.2 million, net of an investment of $108.9 million in Kiena, or ($0.63) per share1 (2021: free cash

outflow of $21.3 million or ($0.15) per share).  

• Net loss of $14.7 million or ($0.10) per share (2021: Net income2,4 $131.3 million or $0.94 per share) and Net loss

(adjusted)1 of $5.9 million or ($0.04) per share (2021: Net income (adjusted)1,2,4 $69.9 million or $0.50 per share).

• Cash position at the end of the year of $33.2 million, with total borrowings of $54.7 million drawn on the senior secured

revolving credit facility.Cash costs1,4,5 of $1,500/oz or US$1,153/oz, a 52% increase over the same period in 2021

(2021: $990/oz or US$789/oz) due to a 9% increase in aggregate operating costs at Eagle River and the costs of

ramping up operations at Kiena in anticipation of declaring commercial production;

• AISC1,5 increased by 43% to $2,020/oz or US$1,552/oz (2021: $1,408 or US$1,123 per ounce) due to a 9% increase in

aggregate operating costs and increased spending at Eagle River to replace aging infrastructure and the costs of

ramping up operations at Kiena in anticipation of declaring commercial production.

Key operating and financial performance of Q4 2022 results include:

• Gold production of 35,116 ounces, which includes a 16% decrease over the same period in the previous year (Q4 2021:

41,559 ounces):

◦ Eagle River underground 58,306 tonnes at a head grade of 14.0 grams per tonne for 25,502 ounces produced,

5% increase over the previous year (Q4 2021: 24,267 ounces).

◦ Kiena 51,419 tonnes at a head grade of 5.9 grams per tonne for 9,614 ounces produced, 43% decrease over the

previous year (Q4 2021: 16,929 ounces).

• Revenue of $75.1 million, a 12% decrease over the previous year (Q4 2021: $85.5 million).

• Ounces sold were 31,500 at an average sales price of $2,380/oz (Q4 2021: 37,544 ounces at an average price of

$2,275/oz).

• Cash margin1 of $26.5 million, an 44% decrease over the previous year (Q4 2021 - $47.7 million).

• Operating cash flows decreased by 79% to $10.3 million or $0.07 per share1 as compared to $48.2 million or $0.34 per

share for the same period in 2021.

• Free cash outflow of $31.6 million, net of an investment of $26.5 million in Kiena, or ($0.22) per share1 (Q4 2021: free

cash outflow of $3.2 million or ($0.02) per share).  

• Net loss and Net loss (adjusted) 1of $3.5 million or ($0.02) per share (2021: Net income and Net income (adjusted)1

$24.8 million or $0.18 per share).

• Cash costs 1 of $1,540/oz or US$1,134/oz, a 53% increase over the same period in 2021 (Q4 2021: $1,005/oz or

US$797/oz);

• AISC1 increased by 51% to $2,136/oz or US$1,573/oz (Q4 2021: $1,412 or US$1,121 per ounce).

1. Refer to the Company’s 2022 Annual Management Discussion and Analysis section entitled “Non-IFRS

Performance Measures” for the reconciliation of these non-IFRS measurements to the financial statements.

2. FY 2021 excludes $3.9 million of revenue from the Kiena bulk sample, which was processed in Q4 2020 and

sold in Q1 2021. The incidental revenue was credited against the cost of the Kiena exploration asset.

3. FY 2021 excludes 1,793 ounces from the Kiena bulk sample, which was processed in Q4 2020 and sold in Q1

2021.

4. Includes a $0.4 million charge for product inventory costs from the sale of 1,793 ounces of gold from the Kiena

bulk sample, which was processed in Q4 2020 and sold in Q1 2021.

5. In determining the Cash cost per ounce and AISC per ounce, the total ounces sold includes 1,793 ounces of

gold from the Kiena bulk sample, which was processed in Q4 2020 and sold in Q1 2021.

Production

Metrics and

Exploration

Updates

Performance

Eagle River

Complex • FY 2022 gold production from the Eagle River Complex decreased by 19% from FY 2021 to 82,002

ounces of gold, primarily due to lower realized head grade, as the newly developed Falcon Zone

grade was not as high as expected. Gold production from Mishi was also lower than in 2021 as the

stockpiled ore nears depletion. Head grade at the Eagle River Complex in 2022 averaged 10.7 g/t.

• FY 2022 cash cost of $1,356 (US$1,042) per ounce of gold sold 1 increased by 39% or $378 from

FY 2021 due to a 21% decrease in ounces sold and a 9% increase in overall aggregate site

operating costs resulting from higher operating costs incurred due to more ore development metres,

waste movement, improvements made to strengthen the technical and mine management team at

site, general maintenance improvements and inflationary pressures, driven by higher labour costs

and an increase in commodity inputs, including higher fuel and energy costs.

• FY 2022 AISC of $2,003 (US$1,539) per ounce of gold sold 1 increased by 38% or $547 from FY

2021 due to the higher cash costs, combined with the replacement of aging site infrastructure and

raising of the tailings storage facility.

• Generated $79.1 million in cash margin in FY 2022 compared to $127.7 million in FY 2021 due to

the 21% decrease in ounces sold and the 9% increase in overall aggregate site operating costs.

• The new 355 m level development is now complete along the western extent of the mine

infrastructure. The development extends 400 m west of the mine into the volcanic rocks that host

the Falcon 7 zone. This development provides drill platforms to test for gold mineralization near the

Falcon 7 zone further along strike, and for parallel zones. In the future it will provide access for

mining and will improve operational planning, as it is situated away from the main mining area at

depth.

• Most recently, surface, and underground drilling from the newly established 355 m level exploration

drift, has defined the up-plunge extent of the Falcon 7 zone. Highlights of the recent drilling include

11.1 g/t Au over 3.0 m core length and 26.5 g/t Au over 2.0 m core length (see press release dated

October 5, 2022).

• In addition, several drill holes have intersected mineralization in subparallel zones in the hanging

wall of the Falcon 7 zone, including a recent hole that returned 40.3 g/t Au over 1.5 m. One hole,

further to the west along strike from the Falcon 7 zone, near the historic 9 zone, returned 19.4 g/t

au over 0.7 m.

• Additionally, initial surface drilling within the volcanic rocks, 150 metres east and down dip of the

previously mined 2 Zone intersected altered volcanic rocks with quartz veining and VG. One hole

returned 233.0 g/t Au over 0.4 metres.

Kiena

• With the successful completion of a test pastefill pour on November 30, 2022, commercial

production at the Kiena Mine was declared effective December 1, 2022. The pastefill plant has been

performing well and in line with expectations.

• FY 2022 Kiena ore production increased by 29% from FY 2021 to 28,848 ounces of gold, primarily

due to higher throughput; partially offset by lower head grade as less ore was sourced from Kiena

Deep. Head grade at Kiena in 2022 averaged 7.9 g/t.

• The 2022 cash cost of $1,839 (US$1,413) per ounce of gold sold increased by 75% or $786 per

ounce as compared to $1,052 (US$839) in 2021 and the AISC of $2,059 (US$1,582) per ounce of

gold sold increased by 81% or $922 per ounce as compared to $1,138 (US$908) in 2021 primarily

due to ramping up operations in anticipation of declaring commercial production, which was delayed

until December 1, 2022 due to supply chain challenges in sourcing vital equipment necessary to

deal with challenging ground conditions within the Kiena Deep A zone. Once a sufficient level of

developed reserves is achieved through the development of the ramp to the higher grade A zone, the

cash cost and AISC are expected to align with the life of mine cash costs and AISC in the

Preliminary Feasibility Study (“PFS”), excluding the industry-wide cost escalations that have

occurred since its publishing in 2021.

• Generated $16.6 million in cash margin despite the low ounces produced and the high cash costs

of $1,839 per ounce of gold sold 1 as commercial production was delayed until December 1, 2022

due to supply chain challenges in sourcing vital equipment necessary to deal with challenging

ground conditions within the Kiena Deep A zone.

• The recent discovery of the South Limb and Footwall zones show the underexplored exploration

potential of the Kiena Deep zone.`

• Most recently, drilling intersected two new zones in the hanging wall basalt. This zone consists of

disseminated sulfides in basalt associated with a stockwork of veinlets composed of quartz ± gold.

The second zone consists of a quartz-cabonate vein with visible gold that returned 2,850 g/t Au over

1.5 m core length. The discovery of these zones highlights the potential to add ounces within the

basalt, where the rock quality is significantly better than in the A Zone allowing for increased

development rates (see press release dated November 16,2022).

• From surface, drilling has focused on the Presqu'île Zone located 2 kilometres west of the Kiena

Mine. Highlights include 24.3 g/t over 3.3 m core length and 30.0 g/t Au over 9.4 m core length.

Given the significant upside that the Presqu'île zone could represent for Kiena, the Company is

currently evaluating options to fast-track an exploration ramp from surface. It could also easily be

connected to Kiena's existing underground ramp network, providing access to surface for the

existing operation and enhancements to the mine’s ventilation network (see press release dated

September 8, 2022).

Technical Disclosure

The technical content of this release has been compiled, reviewed and approved by Frédéric Langevin, Eng, Chief Operating

Officer of the Company and Michael Michaud, P.Geo., Vice President, Exploration of the Company and each a "Qualified

Person" as defined in National Instrument 43-101 -Standards of Disclosure for Mineral Projects.

Cautionary Note to United States Investors Concerning Estimates of Reserves and Resources

The mineral reserve and resource estimates reported in this news release were prepared in accordance with National

Instrument 43-101 – Standards of Disclosure for Mineral Projects (“ NI 43-101”) as required by Canadian securities regulatory

authorities. The United States Securities and Exchange Commission (the “ SEC”) applies different standards in order to

classify and report mineralization. This news release uses the terms “measured”, “indicated” and “inferred” mineral resources,

as required by NI 43-101. Readers are advised that although such terms are recognized and required by Canadian securities

regulations, the SEC does not recognize such terms. Canadian standards differ significantly from the requirements of the

SEC. Readers are cautioned not to assume that any part or all of the mineral deposits in these categories constitute or will

ever be converted into mineral reserves. In addition, “inferred” mineral resources have a great amount of uncertainty as to their

existence and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an

inferred mineral resource exists, is economically or legally mineable or will ever be upgraded to a higher category of mineral

resource.

Wesdome Gold Mines 2022 Fourth Quarter and Full Year Financial Results Conference Call

February 23, 2023 at 10:00 am ET

• Participants may register for the call at the link below to obtain dial in details. Preregistration is required for this event. It

is recommended you join 10 minutes prior to the start of the event.

• Participant Registration Link:

https://register.vevent.com/register/BIcb64cd10b9f843d79897899900fca10c

• Webcast Link:

https://edge.media-server.com/mmc/p/oab6ykxp

• The webcast can also be accessed under the news and events section of the company’s website

ABOUT WESDOME

Wesdome is a Canadian focused gold producer with two high grade underground assets, the Eagle River mine in Ontario and

the recently commissioned Kiena mine in Quebec. The Company also retains meaningful exposure to the Moss Lake gold

deposit in Ontario through its equity position in Goldshore Resources Inc. The Company’s primary goal is to responsibly

leverage this operating platform and high-quality brownfield and greenfield exploration pipeline to build Canada’s next

intermediate gold producer. Wesdome trades on the Toronto Stock Exchange under the symbol “WDO,” with a secondary

listing on the OTCQX under the symbol “WDOFF.”

For further information, please contact:

Warwick Morley-Jepson or Lindsay Carpenter Dunlop

Interim CEO   VP Investor Relations

416-360-3743   ext. 2029   416-360-3743   ext. 2025

w.morley-

[email protected]   [email protected]

220 Bay St, Suite 1200

Toronto, ON, M5J 2W4

Toll Free: 1-866-4-WDO-TSX

Phone: 416-360-3743, Fax: 416-360-7620

Website: www.wesdome.com

FORWARD-LOOKING INFORMATION

This news release contains “forward-looking information” which may include, but is not limited to, statements with respect to

the benefits of achieving commercial production at Kiena, the Company’s expected capital expenditure in 2023, the timing

around reaching the Kiena Deep A Zone, the Company’s ability to be cash flow positive and its annual production run rate.

Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects”, “is

expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, or “believes” or variations (including negative

variations) of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will”

be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors

which may cause the actual results, performance or achievements of the Company to be materially different from any future

results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements

contained herein are made as of the date of this press release and the Company disclaims any obligation to update any

forward-looking statements, whether as a result of new information, future events or results or otherwise. There can be no

assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially

from those anticipated in such statements. The Company undertakes no obligation to update forward-looking statements if

circumstances, management’s estimates or opinions should change, except as required by securities legislation. Accordingly,

the reader is cautioned not to place undue reliance on forward-looking statements.

Wesdome Gold Mines Ltd.

Summarized Operating and Financial Data

(Unaudited, expressed in thousands of Canadian dollars, except per share and per unit amounts and otherwise indicated)

    Three Months Ended Years Ended  

    December 31,   December 31,  

    2022   2021   2022   2021  

Operating data              

Milling (tonnes)              

Eagle River   58,306   56,159    223,734    228,759  

Mishi   0   6,215    23,153    36,508  

Kiena   51,419   38,000    115,171    68,470  

Throughput 2   109,725   100,374    362,058   333,737  

Head grades (g/t)              

Eagle River   14.0   13.7    11.5    13.8  

Mishi   0.0   2.1    3.2    2.4  

Kiena   5.9   14.1    7.9    10.4  

Recovery (%)              

Eagle River   97.4   97.8    96.9    97.5  

Mishi   0.0   88.1    83.5    82.4  

Kiena   98.1   98.1    98.3    98.0  

Production (ounces)              

Eagle River   25,502   24,267    79,997    99,120  

Mishi   0   363    2,005    2,283  

Kiena   9,614   16,929    28,848    22,440  

Total gold produced 2   35,116    41,559    110,850    123,843  

Total gold sales (ounces) 4   31,500   37,544    113,000    118,501  

Eagle River Complex (per ounce of gold sold) 1           

Average realized price $ 2,384 $ 2,279 $ 2,354 $ 2,250  

Cash costs   1,302   1,017   1,356   978  

Cash margin $ 1,082 $ 1,262 $ 998 $ 1,272  

All-in Sustaining Costs 1 $ 2,039 $ 1,608 $ 2,003 $ 1,456  

Mine operating costs/tonne milled 1 $ 515 $ 391 $ 436 $ 357  

Average 1 USD → CAD exchange rate   1.3578   1.2603   1.3013   1.2535  

Cash costs per ounce of gold sold (US$) 1 $ 959 $ 807 $ 1,042 $ 780  

All-in Sustaining Costs ( US$) 1 $ 1,502 $ 1,276 $ 1,539 $ 1,162  

Kiena Mine (per ounce of gold sold) 1              

Average realized price $ 2,371 $ 2,267 $ 2,331 $ 2,249  

Cash costs 3, 5   2,063   983   1,839   1,052  

Cash margin $ 308 $ 1,284 $ 492 $ 1,197  

All-in Sustaining Costs 1, 3, 5 $ 2,348 $ 1,051 $ 2,059 $ 1,138  

Mine operating costs/tonne milled 1 $ 352 $ 335 $ 518 $ 325  

Average 1 USD → CAD exchange rate   1.3578   1.2603   1.3013   1.2535  

Cash costs per ounce of gold sold (US$) 1 $ 1,519 $ 780 $ 1,413 $ 839  

All-in Sustaining Costs ( US$) 1 $ 1,729 $ 834 $ 1,582 $ 908  

Financial Data              

Cash margin 1 $ 26,466 $ 47,681 $ 95,674 $ 145,354  

Net income $ (3,527) $ 24,762 $ (14,706) $ 131,288  

Net income adjusted 1 $ (3,527) $ 24,762 $ (5,856) $ 69,903  

Earnings before interest, taxes, depreciation and

amortization 1 $ 21,309 $ 44,235 $ 55,617 $ 132,199  

Operating cash flow $ 10,267 $ 48,160 $ 65,206 $ 130,958  

Free cash flow $ (31,609) $ (3,172) $ (90,174) $ (21,291)  

Per share data              

    Net income $ (0.02) $ 0.18 $ (0.10) $ 0.94  

Adjusted net income 1 $ (0.02) $ 0.18 $ (0.04) $ 0.50  

Operating cash flow 1 $ 0.07 $ 0.34 $ 0.46 $ 0.93  

Free cash flow 1 $ (0.22) $ (0.02) $ (0.63) $ (0.15)  

1. Refer to the Company’s 2022 Annual Management Discussion and Analysis section entitled “Non-IFRS Performance

Measures” for the reconciliation of these non-IFRS measurements to the financial statements.

2. Totals for tonnage and gold ounces may not add due to rounding.

3. FY 2021 includes a $0.4 million charge for product inventory costs from the sale of 1,793 ounces of gold from the Kiena

bulk sample, which was processed in Q4 2020.

4. FY 2021 includes 1,793 ounces of gold from the Kiena bulk sample, which was processed in Q4 2020

5. In determining the Cash cost per ounce and AISC per ounce, the total ounces sold includes 1,793 ounces of gold from

the Kiena bulk sample, which was processed in Q4 2020 and sold in Q1 2021.

Wesdome Gold Mines Ltd.

Statements of Financial Position

(Expressed in thousands of Canadian dollars)

    As at December

31, 2022  As at December 31,

2021  

Assets        

Current        

  Cash and cash equivalents  $ 33,185  $ 56,764  

  Receivables and prepaids     12,755    13,793  

  Inventories     22,119    17,918  

  Income and mining tax receivable     6,494    -  

  Share consideration receivable     2,994    4,560  

Total current assets     77,547    93,035  

Restricted cash     1,176    657  

Deferred financing costs     1,411    758  

Mining properties, plant and equipment     525,860    212,394  

Mines under development     -    214,089  

Exploration properties     1,139    1,139  

Marketable securities     960    1,860  

Share consideration receivable     2,576    10,729  

Investment in associate     8,458    19,058  

Total assets  $ 619,127  $ 553,719  

Liabilities        

Current        

  Payables and accruals  $ 54,734  $ 40,093  

  Borrowings     54,697    -  

  Income and mining tax payable     -    5,490  

  Current portion of lease liabilities     6,160    7,789  

Total current liabilities     115,591    53,372  

Lease liabilities     3,126    6,786  

Deferred income and mining tax liabilities     82,950    77,195  

Decommissioning provisions     18,941    21,191  

Total liabilities     220,608    158,544  

Equity        

Equity attributable to owners of the Company        

  Capital stock     205,361    187,911  

  Contributed surplus     7,359    5,859  

  Retained earnings     186,939    201,645  

  Accumulated other comprehensive loss     (1,140)    (240)  

Total equity attributable to owners of the Company     398,519    395,175  

Total liabilities and equity  $ 619,127  $ 553,719  

Wesdome Gold Mines Ltd.

Statements of Income (Loss) and Comprehensive Income (Loss)

(Unaudited, expressed in thousands of Canadian dollars except for per share amounts)

  Three Months Ended   Years Ended

    December 31,     December 31,

   2022     2021     2022     2021  

Revenues $ 75,035  $ 85,505  $ 265,483  $ 262,907 

Cost of sales   (61,997)    (45,945)    (214,371)    (145,619)

Gross profit   13,038    39,560    51,112    117,288 

Other expenses           

Corporate and general   2,309    2,817    11,823    10,614 

Stock-based compensation   857    533    3,311    2,604 

Exploration and evaluation   1,926    471    14,369    471 

Reversal of impairment charges   -    -    -    (58,563)

Impairment charge on exploration properties   -    -    -    7,507 

Loss (gain) on disposal of mining equipment   242    -    303    (3)

Total other expenses (income)   5,334    3,821    29,806    (37,370)

Operating income   7,704    35,739    21,306    154,658 

Gain on sale of Moss Lake exploration properties   -    -    -    34,330 

Impairment of investment in associate   -    -    (11,800)    - 

Fair value adjustment on share consideration receivable   1,005    1,038    (6,386)    1,947 

Interest expense   (1,279)    (339)    (2,446)    (1,194)

Accretion of decommissioning provisions   (242)    (146)    (860)    (556)

Share of loss of associate   (1,264)    (393)    (1,652)    (497)

Loss on dilution of ownership   188    -    (481)    - 

Other income (expenses)   490    (124)    (872)    (363)

Income (loss) before income and mining taxes   6,602    35,775    (3,191)    188,325 

Income and mining tax expense           

  Current   999    4,720    5,600    13,375 

  Deferred   9,130    6,293    5,915    43,662 

Total income and mining tax expense   10,129    11,013    11,515    57,037 

Net (loss) income $ (3,527)  $ 24,762  $ (14,706)  $ 131,288 

Other comprehensive income (loss)           

    Change in fair value of marketable securities   360    (240)    (900)    (240)

Total comprehensive (loss) income $ (3,167)  $ 24,522  $ (15,606)  $ 131,048 

(Loss) Earnings per share           

  Basic $ (0.02)  $ 0.18  $ (0.10)  $ 0.94 

  Diluted $ (0.02)  $ 0.17  $ (0.10)  $ 0.92 

Weighted average number of common           

  shares (000s)           

  Basic   142,782    141,156    142,391    140,195 

  Diluted   142,782    143,200    142,391    142,787 

Wesdome Gold Mines Ltd.

Statements of Total Equity

(Expressed in thousands of Canadian dollars)

            Accumulated   

            Other   

  Capital   Contributed   Retained   Comprehensive Total

  Stock   Surplus   Earnings   Loss   Equity

Balance, December 31, 2020 $ 179,540   $ 6,472  $ 70,357   $ -   $ 256,369 

Net income for the year ended   -     -    131,288     -     131,288 

 December 31, 2021              

Other comprehensive loss   -     -    -     (240)    (240)

Exercise of options   5,154     -    -     -     5,154 

Value attributed to options exercised   2,431     (2,431)    -     -     - 

Value attributed to RSUs exercised   786     (786)    -     -     - 

Stock-based compensation   -     2,604    -     -     2,604 

Balance, December 31, 2021 $ 187,911   $ 5,859  $ 201,645   $ (240)  $ 395,175 

Net loss for the year ended $ -   $ -  $ (14,706)   $ -   $ (14,706)

  December 31, 2022              

Other comprehensive loss   -     -    -     (900)    (900)

At-the-Market offering:              

  Common shares issued for cash   13,080     -    -     -     13,080 

  Agents' fees and issuance costs   (472)     -    -     -     (472)

Exercise of options   3,031     -    -     -     3,031 

Value attributed to options exercised   1,173     (1,173)    -     -     - 

Value attributed to RSUs exercised   638     (638)    -     -     - 

Stock-based compensation   -     3,311    -     -     3,311 

Balance, December 31, 2022 $ 205,361   $ 7,359  $ 186,939   $ (1,140)  $ 398,519 

Wesdome Gold Mines Ltd.

Statements of Cash Flows

(Unaudited, expressed in thousands of Canadian dollars)

  Three Months Ended

December 31,   Years Ended

December 31,  

   2022     2021     2022     2021   

Operating Activities            

  Net (loss) income $ (3,527)  $ 24,762  $ (14,706)  $ 131,288  

  Depreciation and depletion   13,428    8,121     44,562    28,066  

  Stock-based compensation   857    533     3,311    2,604