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Wesdome Announces Second Quarter 2023 Financial Results

Financials

Wesdome Announces Second Quarter 2023 Financial Results

(All figures are stated in Canadian dollars unless otherwise noted.)

TORONTO, Aug. 10, 2023 -- Wesdome Gold Mines Ltd. (TSX: WDO, OTCQX:WDOFF) (“Wesdome” or the “Company”) today

announces second quarter (“Q2 2023”) financial results. Management will host a conference call tomorrow, Friday August 11,

2023, at 10:00 a.m. Eastern time to discuss the results. Dial-in details for the call can be found near the end of this press

release.

Second quarter 2023 highlights

• Payable gold production in the second quarter of 2023 was 30,992 ounces at Cash costs per ounce of $1,743

(US$1,298) and all-in sustaining costs (“AISC”) per ounce of $2,238 (US$1,666). These results compared well relative to

internal targets for the quarter and reflect consistent performance from Eagle River and the successful ongoing ramp-up

of mining activities at Kiena.

• At Kiena, execution of development of the ramp to the 129 level giving access to the A Zone of Kiena Deep continues to

track ahead of schedule, positioning the mine well for increased production levels in the first half of 2024. Excavation of

an exploration ramp from surface to access a drilling platform to test the near-surface Presqu’ile Zone is expected to

proceed in the second half of 2023 after the required permits are secured.

• Cash margins were $28.7 million, however free cash flow was negative $5.3 million as the Company completes final

projects related to the production ramp up at Kiena, primarily the ramp to 129 level. While on track to meet 2023 capital

spend guidance, timing of expenditures are planned to be highest in the third quarter, before easing in the fourth

quarter.

• Adjusted net loss attributable to shareholders of $5.0 million, or $0.03 per share. Operating cash flow of $14 million, or

$0.09 per share.

• The Company reaffirms its production guidance of 110,000 to 130,000 ounces and cash cost guidance of $1,500 to

$1,670 per ounce (US$1,150 to US$1,290), as well as AISC of $2,100 to $2,340 per ounce, (US$1,620 to $1,800).

• Available liquidity of $133 million, including $22.1 million in cash, and $111 million in available credit, reflecting $11

million of gross issuance under the at-the-market (“ATM”) program during the period.

• Subsequent to quarter end, a careful review of near-term operating and financial projections concluded that use of the

ATM facility is no longer required.

Charles Main, Lead Independent Director during Warwick Morley-Jepson’s tenure as Interim President and CEO, commented,

"On behalf of the Board, we want to thank Warwick for his dedication and leadership in stabilizing the Company over the last

six months. We look forward to working with Warwick in his continuing role as independent Chair of the Board.”

Following the appointment of a permanent CEO and Warwick’s return to the independent Chair position the Company has

eliminated the Lead Director role. Mr. Main will resume his position as Independent Director.

Anthea Bath, President and CEO of Wesdome stated, “Since starting as President and Chief Executive Officer on July 1,

2023, I have had the privilege to visit both sites and spend time with our teams and stakeholders. I come away confident that

Wesdome will become a responsible, efficient, and value-driven free cash flow platform for growth.

“In the second quarter of 2023, Wesdome delivered a solid operational quarter and continues to track well relative to guidance,

with production at Eagle River and Kiena delivering above our quarterly budget despite impacts from regional forest fires in the

period. During the quarter we also made strong progress on our key projects including ramp development to the 129 level at

Kiena, which remains ahead of schedule. Looking ahead to the second half of 2023, we completed our planned shut down at

Eagle River for mill upgrades in July, with the mill offline for two weeks. With higher capital spending also planned for the third

quarter, we now expect to see an improving cash flow profile in the back end of the year. This cash flow will allow us to

continue improving working capital levels.”

Anthea concluded, “Finally, after a careful and deliberate review of our preliminary operating and financial plans, we have

greater confidence in the near-term grade profile at Kiena and, therefore, anticipate a production and free cash flow rebound

next year. Combined with an improved liquidity position, backstopped by the strength of our credit facility, we now believe that

equity issuance under the ATM facility is no longer required. As Wesdome turns a corner late this year, we will remain

committed to reducing borrowings under our $150 million credit facility as well as advancing and optimizing our high-quality

portfolio.”

Management Update

Subsequent to the quarter-end, Mr. Scott Gilbert advised that he will be leaving Wesdome to pursue another opportunity in the

mining industry. Mr. Gilbert has already initiated the process of transitioning his responsibilities and will be available to provide

support as needed.

The Company has appointed Mr. Jonathan Singh as Interim Chief Financial Officer effective September 12, 2023. Mr. Singh is

a professional accountant (CPA, CGA) with more than 19 years of experience in progressive senior financial leadership roles

within the resource industry. The Company has commenced a recruitment process to select a permanent CFO.

Anthea commented, “Scott has been an invaluable member of the leadership team at Wesdome for nearly 6 years, having

joined the Company in 2018 and serving as our Chief Financial Officer since 2020. I would like to thank Scott on behalf of the

entire team and Board at Wesdome for his leadership, hard work, and financial acumen, all of which have been instrumental in

growing the business into a diversified gold producer. We wish him every success in his future endeavors.”

   Q2 2023 Q1 2023 Q2 2022 YTD 2023 YTD 2022

Ore milled (tonnes)           

Eagle River   64,672 48,133 59,964 112,805 113,181

Mishi   0 6,150 7,685 6,150 19,558

Kiena   51,824 42,324 26,478 94,148 47,640

Total Ore Milled   116,496 96,607 94,127 213,103 180,379

Head grade (grams per tonne, “g/t”)            

Eagle River   11.4 13.5 9.6 12.3 10.6

Mishi   0.0 2.3 2.8 2.3 3.3

Kiena   5.0 5.9 10.6 5.4 9.3

Gold production (ounces)           

Eagle River   22,845 20,159 17,756 43,004 37,090

Mishi   0 332 570 332 1,735

Kiena   8,147 7,877 8,914 16,024 14,026

Total Gold Production   30,992 28,368 27,240 59,360 52,851

Production sold (ounces)   32,000 30,000 26,000 62,000 54,000

Operations and

Financial Results Comparison to Q2 2022

Gold production of

30,992 ounces.

Gold production increased by 14% compared to 27,240 ounces in Q2 2022 primarily due to

higher grade at the Eagle River Complex, and despite the impact from the regional forest fires

in June at Kiena. New quarterly throughput records established at both sites.

YTD gold production of 59,360 ounces, an increase of 12% when compared to YTD 2022

production of 52,851 ounces.

Cash costs of $1,743

(US$1,298) per ounce

of gold sold1.

Cash costs 1 in Canadian dollars increased by 13% from Q2 2022 of $1,538 (US$1,205) per

ounce due to a 39% increase in aggregate mine operating costs; partially offset by a 23%

increase in ounces sold. At Eagle River, the aggregate cash costs increased by 23% due to

more ore development metres, waste movement, improvements to strengthen the technical

and mine management team and general maintenance of aging site infrastructure. At Kiena

the aggregate cash costs increased by 77% due to a 96% increase in throughput and

increased staffing levels required to support commercial production, which was declared on

December 1, 2022.

AISC of $2,238

(US$1,666) per ounce

of gold sold1.

AISC1 in Canadian dollars increased by 11% from Q2 2022 of $2,020 (US$1,582) per ounce

due to the increased cash costs, an increase in capital spending at Eagle River resulting from

the replacement of aging site infrastructure, and the inclusion of sustaining mining exploration

and development costs at Kiena.

Cash margin of $28.7

million 1.

Cash margin1 increased by 31% or $6.8 million from Q2 2022 due to higher ounces sold and a

higher Canadian dollar realized gold price; partially offset by increased cash operating costs.

Operating cash flow of

$14.0 million or $0.09

per share 1.

Increased by 16% or $1.9 million (Q2 2022 - $12.1 million or $0.08 per share1) due to the

higher cash margin, reduced tax instalments; partially offset by the decrease in cash from

working capital changes.

Free cash outflow of The free cash outflow1 decreased by $23.3 million (Q2 2022 - $28.6 million or ($0.20) per

$5.3 million or ($0.04)

per share 1.

share1) primarily due to the increased operating cash flow and decreased capital spending.

Invested $17.8 million in capital expenditures at Eagle River and Kiena in the quarter as

compared to $38.3 million in Q2 2022.

Net loss and adjusted

net loss1 attributable to

shareholders of $5.0

million or ($0.03) per

share.

Net loss decreased by $9.3 million (Q2 2022 - $14.3 million or ($0.10 per share) primarily

because of the Q2 2022 after-tax impairment of an investment in associate of $8.9 million.

After removing these one-time items, the adjusted net loss 1 decreased by $0.4 million from Q2

2022.

1. Refer to the section entitled “Non-IFRS Performance Measures” for the reconciliation of these non-IFRS measurements

to the Financial Statements.

Production

Metrics and

Exploration

Updates

Performance

Eagle River

Complex • Q2 2023 production increased by 25% from Q2 2022 to 22,845 ounces due to a 28% increase in

head grade; offset partially by a 4% decrease in throughput, which was sourced entirely from the

Eagle River underground as the Mishi Pit stockpile was fully depleted in Q1 2023. 64,672 tonnes

processed in Q2 represents a new quarterly throughput record from the UG mine as a standalone

source of ore for the mill.

• Q2 2023 cash cost of $1,526 (US$1,136) per ounce of gold sold 1 increased by 9% or $131 per

ounce from Q2 2022 due to a 23% 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, and general

maintenance improvements; partially offset by a 13% increase in ounces sold.

• Q2 2023 AISC of $2,019 (US$1,504) per ounce of gold sold1 increased by 4% or $79 per ounce from

Q2 2022 due to higher cash costs and site infrastructure spending; partially offset by a 13%

increase in ounces sold.

• Generated $13.6 million in cash margin net AISC 1 in Q2 2023 compared to $8.8 million in Q2 2022

due to the 13% increase in ounces sold and the higher average Canadian dollar gold price; partially

offset by the 23% increase in overall aggregate site operating costs and the 12% increase in site

infrastructure spending.

• Recent exploration drilling within the mine diorite, has extended the 300 East Zone to the 1,600 m-

level and remains open down plunge. Several of these holes have intersected wider widths along the

eastern margin of the zone and is interpreted to be the result of intersecting structures with one hole

returning 77.6 g/t Au over 9.4 m core length (40.7 g/t Au cut, 6.0 m true width). Drilling is continuing

in this area to better define this wider part of the zone.

• The drilling of the 300 East Zone confirms the continuity of the mineralization at depth, thus

suggesting that many other similar parallel zones, such as 808, 811, 818, 711 and 7 East, have this

same potential to continue at depth and will be tested with ongoing drilling.

• On surface, exploration drilling is scheduled to commence in H2 2023 to test targets within the

volcanic rocks adjacent to and east and west of the mine diorite. Last year’s surface drilling returned

a number of encouraging results, along strike of, and subparallel to the Falcon 7 Zone, and also the

interpreted western extension of the mine 311 West and 5 Zones. Approximately 700 metres further

to the west, drilling near the historic 9 Zone returned 19.4 g/t au over 0.7 m. All of these areas will be

drilled in this year’s program.

• On the eastern side of the mine diorite, previous drilling within the volcanic rocks 150 metres east

and down dip of the historic 2 zone intersected quartz veining and VG that graded 233.0 g/t Au over

0.4 metres. Similar to the Falcon zones located west of the mine diorite, the drilling highlights the

potential of discovering additional zones within volcanic rocks east of the mine diorite.

Kiena

• Q2 2023 production decreased by 9% from Q2 2022 to 8,147 ounces due to a 53% decrease in

head grade; partially offset by a 96% increase in throughput (51,824 tonnes, a new quarterly record

since restart of operations, despite impact from forest fires in June). The head grade is above the

2023 grade guidance of 3.7 – 4.7 due to an overall positive reconciliation of recovered diluted material

from previous mining, and a higher proportion of ore sourced from the higher grade Kiena Deep

• Q2 2023 AISC of $2,755 (US$2,052) per ounce of gold1 sold increased by 21% or $471 per ounce as

compared to Q2 2022 due to increased cash costs and sustaining mine exploration and

development costs; offset partially by a 58% increase in ounces sold. The costs remain consistent

with the plan and will decrease once full production levels are achieved.

• Q2 2023 cash margin net AISC1 of negative $0.7 million decreased by $1.2 million compared to $0.5

million in Q2 2022 due to the increased overall aggregate cash cost and the inclusion of sustaining

development and exploration costs; offset partially by the 58% increase in ounces sold and the

favourable movement Canadian dollar gold price.

• Development of the ramp to the 129 level, which provides access to the A Zone of Kiena Deep,

continued to track ahead of schedule during Q2 2023, positioning the mine to achieve better than

planned production levels in 2024 based on the updated Kiena schedule.

• Underground exploration drilling is ongoing to better define and expand the South Limb zone with the

intent to add to the current mineral resource base at year end. Drilling is also ongoing on 33 level

east of the Kiena mine to test the strike and dip extensions of the Martin and Wish zones.

• Surface drilling is ongoing at the Presqu’ile zone, located approximately 2 kilometres west of the

Kiena mine, to better define and subsequently convert the current inferred resource to indicated for

the anticipated conversion into mineral reserves at year end. The excavation of an exploration ramp

from surface will provide drilling access to the near-surface Presqu’ile Zone, is expected to proceed

in H2 2023 after the required permits are secured.

• The recent surface exploration results at Shawkey and Dubuisson zones highlight the potential to

increase the resource base in areas adjacent to mine infrastructure, thus potentially providing a

second source of mill feed for the underutilized Kiena mill. Both of these zones are proximal to the

33 level track drift development that extends over 3 kilometres east of the Kiena mine shaft towards

the Dubuisson Zone.

• At Shawkey, surface drilling at the end of 2022 intersected wide zones of alteration and

mineralization with one hole returning 2.3 g/t Au over 72.0 m within a diorite. The zone has been

extended to 200 metres up dip and along strike and remains open along strike to the north-west as

well as down dip. Future drilling in this area next year will be able to better define the geometry and

therefore the potential of this zone. At Dubuisson, drilling has confirmed that the mineralization

occurs along shear zones located at the contact between diorite and ultramafic rocks. One hole

returned 9.8 g/t over 25.2 m core length (9.8 g/t Au capped*, 17.2 m true width).

1. Refer to the section entitled “Non-IFRS Performance Measures” for the reconciliation of these non-IFRS measurements

to the Financial Statements.

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.

Second Quarter 2023 Conference Call and Webcast

The financial statements and management discussion and analysis will be available on the company’s website at

www.wesdome.com and on SEDAR+ www.sedar.com A conference call and webcast to discuss these results will be held on

Friday August 11, 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/BI252d24d221d547208182c6cda6381b58

• Webcast Link: https://edge.media-server.com/mmc/p/5gdxhx26

• 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’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:

Lindsay Carpenter Dunlop

VP Investor Relations

(647) 812-5312

[email protected]

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 Six Months Ended  

    June 30,   June 30,  

    2023   2022   2023   2022  

Operating data              

Milling (tonnes)              

Eagle River   64,672   59,964    112,805    113,181  

Mishi   0   7,685    6,150    19,558  

Kiena   51,824   26,478    94,148    47,640  

Throughput 2   116,496   94,127    213,103   180,379  

Head grades (g/t)              

Eagle River   11.4   9.6    12.3    10.6  

Mishi   0.0   2.8    2.3    3.3  

Kiena   5.0   10.6    5.4    9.3  

Recovery (%)              

Eagle River   96.5   95.6    96.7    96.6  

Mishi   0.0   81.2    72.5    83.6  

Kiena   97.7   98.5    97.8    98.3  

Production (ounces)              

Eagle River   22,845   17,756    43,004    37,090  

Mishi   0   570    332    1,735  

Kiena   8,147   8,914    16,024    14,026  

Total gold produced 2   30,992    27,240    59,360    52,851  

Total gold sales (ounces)   32,000   26,000    62,000    54,000  

Eagle River Complex (per ounce of gold sold) 1           

Average realized price $ 2,625 $ 2,382 $ 2,584 $ 2,389  

Cash costs   1,526   1,395   1,353   1,330  

Cash margin $ 1,099 $ 987 $ 1,231 $ 1,059  

All-in Sustaining Costs 1 $ 2,019 $ 1,940 $ 1,859 $ 1,858  

Mine operating costs/tonne milled 1 $ 503 $ 387 $ 474 $ 386  

Average 1 USD → CAD exchange rate   1.3428   1.2768   1.3477   1.2715  

Cash costs per ounce of gold sold (US$) 1 $ 1,136 $ 1,093 $ 1,004 $ 1,046  

All-in Sustaining Costs ( US$) 1 $ 1,504 $ 1,519 $ 1,379 $ 1,461  

Kiena Mine (per ounce of gold sold) 1              

Average realized price $ 2,676 $ 2,372 $ 2,642 $ 2,355  

Cash costs 3, 5   2,257   2,018   2,261   1,622  

Cash margin $ 419 $ 354 $ 381 $ 733  

All-in Sustaining Costs 1 $ 2,755 $ 2,284 $ 2,868 $ 1,834  

Mine operating costs/tonne milled 1 $ 379 $ 557 $ 430 $ 567  

Average 1 USD → CAD exchange rate   1.3428   1.2768   1.3477   1.2715  

Cash costs per ounce of gold sold (US$) 1 $ 1,681 $ 1,581 $ 1,678 $ 1,276  

All-in Sustaining Costs ( US$) 1 $ 2,052 $ 1,789 $ 2,128 $ 1,442  

Financial Data              

Cash margin 1 $ 28,722 $ 21,873 $ 63,130 $ 52,215  

Net loss $ (5,014) $ (14,331) $ (5,359) $ (7,280)  

Net income (loss) adjusted 1 $ (5,014) $ (5,481) $ (1,757) $ 1,570  

Earnings before interest, taxes, depreciation and amortization 1 $ 22,020 $ 8,844 $ 48,144 $ 29,494  

Operating cash flow $ 13,979 $ 12,101 $ 19,099 $ 41,994  

Free cash outflow 1 $ (5,279) $ (28,576) $ (24,876) $ (35,372)  

Per share data              

Net income $ (0.03) $ (0.10) $ (0.04) $ (0.05)  

Adjusted net income 1 $ (0.03) $ (0.04) $ (0.01) $ 0.01  

Operating cash flow 1 $ 0.09 $ 0.08 $ 0.13 $ 0.30  

Free cash flow 1 $ (0.04) $ (0.20) $ (0.17) $ (0.25)  

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 consolidated financial statements.

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

 Wesdome Gold Mines Ltd.

Condensed Interim Statements of Financial Position

(Unaudited, expressed in thousands of Canadian dollars)

    As at June 30,

2023   As at December 31,

2022  

Assets        

Current        

Cash and cash equivalents  $ 22,067  $ 33,185  

Receivables and prepaids    16,227     12,755  

Inventories    24,261     22,119  

Income and mining tax receivable    5,988     6,494  

Share consideration receivable    2,233     2,994  

Total current assets    70,776     77,547  

Restricted cash    1,176     1,176  

Deferred financing costs    1,147     1,411  

Mining properties, plant and equipment    519,202     525,860  

Exploration properties    1,339     1,139  

Marketable securities    600     960  

Share consideration receivable    1,760     2,576  

Investment in associate    5,320     8,458  

Total assets  $ 601,320  $ 619,127  

Liabilities        

Current        

Payables and accruals  $ 30,883  $ 54,734  

Borrowings    38,779     54,697  

Current portion of lease liabilities    4,028     6,160  

Total current liabilities    73,690     115,591  

Lease liabilities    2,065     3,126  

Deferred income and mining tax liabilities    78,288     82,950  

Decommissioning provisions    19,819     18,941  

Total liabilities    173,862     220,608  

Equity        

Equity attributable to owners of the Company        

Capital stock    237,957     205,361  

Contributed surplus    9,421     7,359  

Retained earnings    181,580     186,939  

Accumulated other comprehensive loss    (1,500)     (1,140)  

Total equity attributable to owners of the Company    427,458     398,519  

Total liabilities and equity  $ 601,320  $ 619,127  

Wesdome Gold Mines Ltd.

Condensed Interim Statements of (Loss) / Income and Comprehensive (Loss) / Income

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

  Three Months Ended   Six Months Ended

  June 30,   June 30,

    2023      2022      2023      2022  

Revenues $ 84,555    $ 61,931   $ 161,256    $ 128,625 

Cost of sales   (84,048)     (51,374)     (145,466)     (96,080)

Gross profit   507      10,557     15,790      32,545 

Other expenses           

Corporate and general   4,007      3,221     7,669      6,596 

Stock-based compensation   1,551      1,554     3,325      1,630 

Retirement costs   -      -     1,190      - 

Exploration and evaluation   1,267      4,213     2,227      7,169 

Loss (gain) on disposal of mining equipment   99      (10)     317      (12)

Total other expenses   6,924      8,978     14,728      15,383 

Operating (loss) income   (6,417)     1,579     1,062      17,162 

Impairment of investment in associate   -      (11,800)     (2,700)     (11,800)

Fair value adjustment on share consideration receivable   459      (3,605)     (1,577)     (5,839)

Interest expense   (1,175)     (316)     (2,484)     (579)

Accretion of decommissioning provisions   (246)     (208)     (490)     (379)

Share of loss of associate   (310)     (131)     (666)     (543)

Gain (loss) on dilution of ownership   228      (429)     228      (634)

Other income   91      322     145      57 

Loss before income and mining taxes   (7,370)     (14,588)     (6,482)     (2,555)

Income and mining tax expense (recovery)           

Current   1,522      1,788     3,540      4,276 

Deferred   (3,878)     (2,045)     (4,663)     449 

Total income and mining tax expense (recovery)   (2,356)     (257)     (1,123)     4,725 

Net loss $ (5,014)   $ (14,331)   $ (5,359)   $ (7,280)

Other comprehensive loss           

Change in fair value of marketable securities   (30)     (1,410)     (360)     (900)

Total comprehensive loss $ (5,044)   $ (15,741)   $ (5,719)   $ (8,180)

Loss per share           

Basic $ (0.03)   $ (0.10)   $ (0.04)   $ (0.05)

Diluted $ (0.03)   $ (0.10)   $ (0.04)   $ (0.05)

  Weighted average number of common shares (000s)           

Basic   148,001      142,478     146,242      142,146 

Diluted   148,001      142,478     146,242      142,146 

Wesdome Gold Mines Ltd.

Condensed Interim Statements of Changes in Equity

(Unaudited, expressed in thousands of Canadian dollars)

            Accumulated   

            Other   

  Capital  Contributed   Retained  Comprehensive   Total

  Stock   Surplus   Earnings   Loss   Equity

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

Net loss for the period ended June 30, 2022   -     -    (7,280)    -     (7,280)

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

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   -     1,630    -     -     1,630 

Balance, June 30, 2022 $ 192,753   $ 5,678  $ 194,365   $ (1,140)  $ 391,656 

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

Net loss for the period ended June 30, 2023   -     -    (5,359)    -     (5,359)

At-the-Market offering:              

Common shares issued for cash   31,988     -    -     -     31,988 

Agents' fees and issuance costs   (1,331)    -    -     -     (1,331)

Other comprehensive loss   -     -    -     (360)    (360)

Exercise of options   676     -    -     -     676 

Value attributed to options exercised   276     (276)    -     -     - 

Value attributed to RSUs exercised   616     (616)    -     -     - 

Value attributed to PSUs exercised   371     (371)    -     -     - 

Stock-based compensation   -     3,325    -     -     3,325 

Balance, June 30, 2023 $ 237,957   $ 9,421  $ 181,580   $ (1,500)  $ 427,458 

Wesdome Gold Mines Ltd.

Condensed Interim Statements of Cash Flows

(Unaudited, expressed in thousands of Canadian dollars)

 Three months ended June 30,  Six months ended June 30,  

    2023       2022      2023      2022   

Operating Activities              

Net loss $ (5,014)   $ (14,331)   $ (5,359)   $ (7,280)  

Depreciation and depletion   28,215      11,316     47,340      19,670  

Stock-based compensation   1,551      1,554     3,325      1,630  

Accretion of decommissioning provisions   246      208     490      379