Centamin plc - QUARTERLY REPORT for the three months ended 31 December 2022

MARTIN HORGAN, CEO, commented: 'The fourth quarter performance represented a successful conclusion to the year. Our operating team delivered on our 2022 guidance for both ounces and costs at Sukari, despite the impact of industry-wide inflationary pressures. Even more importantly, we are proud to report a new safety record of over 8 million hours worked without a lost time injury reflecting our focus on safety across the Company.

It was a busy fourth quarter - we commissioned the 36Mw Sukari solar plant, delivering immediate cost savings and reductions in carbon emissions; we completed the Sukari underground expansion study confirming the ability to increase mining rates by 30% from 2025; for the consecutive second year, we materially grew the Sukari reserves; and we signed a US$150 million sustainability linked revolving credit facility providing greater flexibility to fund growth. Outside of Sukari, the Doropo pre-feasibility study is on track for H1 2023, with work focused on assessing new potential capital and cost saving opportunities, and on our earlier stage exploration blocks in Egypt, we have identified drill targets to be tested later this year.

During 2023, we look forward to further increasing gold production from Sukari year on year while continuing to manage cost pressures, and progressing the multiple identified opportunities across our portfolio.'

HIGHLIGHTS

2022 guidance delivered

New Group safety record achieved: the Company recorded no Lost Time Injuries ('LTI') in the fourth quarter ('Q4') and Sukari has achieved a site record of eight million hours LTI free. The lost time injury frequency rate ('LTIFR') for the twelve months ended 31 December 2022 ('FY') was 0.08 per one million hours worked, representing an 83% improvement from the previous year

Annual gold production of 440,974 oz in line with guidance: Q4 production of 109,564 ounces ('oz'), totalling FY production of 440,974 oz

Annual revenue of US$787 million: Q4 revenue of US$188 million, generated from gold sales of 108,441 oz at an average realised gold price of US$1,735/oz sold; FY revenue of US$787 million, generated from gold sales of 438,638 oz at an average realised gold price of US$1,794/oz sold

Costs delivered in line with guidance: Q4 cash costs of US$997/oz produced and AISC of US$1,445/oz sold; FY cash costs of US$913/oz produced and AISC of US$1,399/oz

Capital expenditure of US$224.3 million in line with guidance: Q4 spend of US$64.8 million with excellent progress made on key capital projects including the commissioning of the 36Mw Sukari solar plant; paste plant build remains on track for commissioning in H1 2024. FY capital expenditure ('capex') of US$224.3 million including underground transition to owner-operator, accelerated open pit waste stripping campaign and Sukari mining concession exploration

Geological focus delivers a second year of reserve growth at Sukari: total Measured and Indicated Mineral Resources of 320 million tonnes ('Mt') at 1.08 grams of gold per tonne ('g/t Au') for 11.11Moz of contained gold, reflecting a 13% increase in ounces (1.3Moz) after depletion, including Proven and Probable Reserves of 163Mt at 1.1g/t Au for 6.0Moz, reflecting additions of 0.8Moz in the open pit and underground before depletion. Link to full announcement here

Confirmed Sukari underground expansion potential: increasing underground ore mining rates to 1.5Mt , which is more than30% above current life of mine averages, driving future production growth from Sukari. Link to full announcement here

Upgrading the Doropo resource: total Indicated Resource of 51.2Mt at 1.52g/t Au for 2.52Moz of contained gold, including a 22% increase in grade and significant exploration upside potential. Doropo pre-feasibility study ('PFS') well progressed. Additional work underway on the processing circuit assessing potential capital and operating cost savings. PFS completion expected H1 2023. Link to full announcement here

Secured US$150 million sustainability-linked revolving credit facility: the facility provides greater financial capacity and flexibility to fund identified growth and enhancement opportunities across our portfolio. The sustainability targets will track tangible progress in reducing the Company's environmental footprint and strengthening its social license to operate. Link to full announcement here

Robust balance sheet: cash and liquid assets of US$156.6 million, as at 31 December 2022

The Company will publish its audited full year 2022 financial results on 16 March 2023.

WEBCAST AND CONFERENCE CALL

The Company will host a webcast and conference call today, Thursday, 19 January at 08.30 GMT to discuss the results, followed by an opportunity to ask questions.

Webcast link: https://www.investis-live.com/centamin/63b6ddfbaba36a0c00072b18/eabie

Conference call dial-in telephone numbers:

United Kingdom (and all other locations) [phone]

United States [phone]

Participation access code: 349884

PRINT-FRIENDLY VERSION of the quarterly results: www.centamin.com/investors/results-reports/

HEALTH AND SAFETY

Operational safety continues to be a key focus across the Group with no LTIs being reported in the quarter (FY: 1) and Sukari continues its site record of over eight million hours worked LTI free.

The Q4 LTIFR was zero per 1,000,000 site-based hours worked (FY: 0.08) comparable to the corresponding 0.31 LTIFR for the fourth quarter of 2021. The total recordable injury frequency rate ('TRIFR') for Q4 was 2.95 per 1,000,000 site-based hours worked, down 50% year on year ('YoY'). TRIFR for 2022 was 2.61, which was better than our 2022 target.

SUKARI GOLD MINE, EGYPT

(Q4 2022 vs Q4 2021)

Production

Sukari Gold Mine ('Sukari') produced 109,564 oz (FY: 440,974 oz) in Q4, a 2% increase YoY driven largely by the transition to owner mining in the underground and improved flexibility in the open pit. The reduction in production compared to Q3 2022 was as per the mine plan and reflected the mining in higher grade areas of the underground in Q3.

Production guidance range for 2023 is 450,000 to 480,000 ounces representing an increase in annual production from 2022, driven predominantly by higher mining rates from the underground following the transition to owner-operator mining.

Open Pit Mining

Total material moved (waste and ore) in Q4 increased by 20% YoY to 36.4Mt (FY: 136.4Mt) a new quarterly record, resulting from improved productivity, as well as increased waste moved as part of the accelerated waste stripping programme.

Total open pit waste material mined (owner and contractor) for the quarter was 33.3Mt (FY: 124.7Mt), a 20% increase YoY, driven largely by the ongoing contractor waste-stripping programme (11.5Mt), further improving mining flexibility within the open pit. The strip ratio for the quarter was 10.6:1 (waste:ore) (FY: 10.7:1).

During Q4, open pit ore was mined from multiple working areas and continued to focus primarily on Stage 5 North, with further ore contributions from Stage 4 and Stage 7. Total open pit ore mined for the quarter was 3.1Mt (FY: 11.7Mt), a 17% increase YoY, at an average mined grade of 0.93 g/t Au (FY: 0.99g/t Au), no change YoY.

During 2022 the accelerated waste-stripping programme has delivered increased mining flexibility and access to higher grade areas in the open pit, resulting in a 9% increase in ounces mined year on year.

Underground Mining

In Q4, underground performance improved from Q3 as the new underground equipment was delivered and commissioned.

Total material mined (waste and ore) was 300kt (FY: 1,077kt), a 47% increase YoY. Total ore mined was 233kt (FY 2022: 829kt) at an average combined (stoping and development) grade of 4.25g/t Au (FY: 4.75g/t Au). This represented a 61% increase in ore tonnes YoY and a 14% decrease in grade YoY.

The underground ore mined consisted of 138kt of ore mined from stopes at an average grade of 5.79g/t Au, and 95kt of ore mined from development, at an average grade of 2.01g/t Au. Mined grades were in line with H1 2022 with ore mined primarily from Ptah with additions from Amun, Horus and Bast zones.

FY 2022 total material mined was in line with budget and consistent with FY 2021, evidence to the capability of our team and prudent planning to successfully manage the transition to owner mining.

Processing

During Q4, the plant processed 3.0Mt of ore (FY: 12.1Mt), a 5% decrease YoY, at an average feed grade of 1.23 g/t Au (FY: 1.26g/t Au), a 11% increase YoY reflecting the higher open pit and underground grades mined over the period.

The metallurgical gold recovery rate was 88.6% for the quarter (FY: 88.2%), in line with budget.

During the quarter, the low-grade stockpiles remained broadly unchanged at 18.9Mt at a grade of 0.46g/t Au.

For FY 2022 we saw an increase in throughput and grade with the site team focussed on continued optimisation across areas such as power consumption plus consumable and reagent usage. The addition of a gravity circuit (under evaluation and development in 2023) will target the recovery of higher-grade ore especially as we aim to increase the contribution of underground ore.

EXPLORATION PROJECTS

The total greenfield exploration spend for the quarter was US$8.0 million (FY: US$29.7 million).

Doropo Project, Cote d'Ivoire

The update provided in November 2022 highlighted the opportunity to simplify the processing flowsheet, which had included a full flotation and regrind circuit as part of the 2021 preliminary economic assessment. Work over Q4 focussed on multi pit mining optimisation and scheduling using the newly published resource model in parallel with comminution and metallurgical test work comparing whole ore leach versus flotation.

The PFS is expected to be completed in H1 2023.

Eastern Desert Exploration ('EDX') (Egypt)

Systematic fieldwork continued during Q4 aimed at identifying potential commercial scale targets for drill testing. Fieldwork consisted of regional-scale screening using bulk leach extractable gold ('BLEG') sampling and identification of mineralised corridors with soil sampling and chip channel sampling.

BLEG sampling was completed for the Nugrus and Um Rus blocks. Closer spaced geological soil sampling and mapping on the Nugrus block is well progressed, identifying potential targets for drill testing starting in 2023.

Sukari Concession Exploration

Brownfield exploration across the 160km2 Sukari Concession amounted to US$3.6 million (FY: US$12.2 million) in the quarter and is capitalised and included within the 2022 capex guidance.

Work is focused on the development of additional Mineral Resources within the Sukari mining concession that can be converted to Mineral Reserves and incorporated into the mine plan in the shortest timeframe. The focus is on re-evaluation of old prospects (Kurdeman and Quartz Ridge) and new targets which have been developed over the last two years through systematic soil sampling and geological mapping programmes. Highlights during the quarter include:

3,324 metres of resource drilling at the Kurdeman prospect

5,815 metres of second phase exploration drilling at the new V-Shear East prospect

Re-logging, geological review and modelling with further drilling planned on the update of a pit optimisation study at Quartz Ridge prospect, and

Geological mapping of three newly defined drill targets (ARC, SE Corner and Sami South), based on 2022 soil sampling programmes. Drill testing scheduled for H1 2023.

SALES AND COSTS

Gold sales for the quarter were 108,441 oz (FY: 438,638oz), a 9% increase YoY. The average realised gold price for the quarter was US$1,735/oz (FY: US$1,794/oz), down 5% YoY. Revenues generated were US$188.5 million (FY: US$788.4m), an increase of 3% YoY, driven by higher gold sales countering a slightly lower gold price.

Cash costs of production were US$109.2 million for the quarter (FY: US$402.5m), a 2% increase YoY, predominantly driven by increased material moved and processed in the period. Inflationary cost pressures around fuel and consumables have largely been offset by cost-savings initiatives including the transition to underground owner mining and the initial impact of the solar power plant. Open pit costs increased during the quarter due to the increase in the total open pit material mined. However, certain waste mining costs have been capitalised to the balance sheet. Unit cash costs of production were US$997/oz produced (FY: US$913/oz), no significant change YoY.

Total all-in sustaining costs ('AISC') were US$156.8 million for the quarter (FY: US$613.9m), a 16% increase YoY, resulting from a 72% increase in capex spend YoY, partly offset by inventory movements. The AISC of US$1,445/oz Au sold (FY: US$1,399/oz) increased 7% YoY, reflecting lower gold sales during the quarter.

Despite the continuing inflationary pressures, we remain firmly focussed on stringent cost control and improving productivity at Sukari. We continue to make good progress with our US$150 million stretch cost savings programme and continue to identify new potential cost savings opportunities. Certain key projects delivered during the year have started to have an impact on costs and productivity. The commissioning of the solar plant in Q4, will result in a potential cost saving of up to US$20 million per annum at current fuel prices, and the final installation of the high production truck trays will result in further productivity gains.

Cost guidance for 2023 reflects prudent assumptions on input costs and our focus remains on the ongoing cost-savings programme. Cash cost guidance range of US$840-990/oz produced and AISC guidance range of US$1,250-1,400/oz sold reflecting higher sustaining capex, fuel prices and additional inflationary pressures across our cost base.

CAPITAL EXPENDITURE

As part of the reinvestment programme at Sukari, key capital projects progressed as scheduled during Q4, including the underground paste-fill plant, underground infrastructure and equipment upgrades, plant optimisation and the accelerated waste-stripping programme.

From 2021, the Company implemented a more granular methodology to the accounting and classification of waste-stripping costs, in line with IFRS accounting standards. As such, there is an accounting reclassification of open pit waste mining costs, resulting in a reduction in total cash costs with a corresponding equal increase in the sustaining expenditure and therefore AISC, with no impact on net cash flow.

The table below illustrates the impact of the waste stripping which is capitalised as sustaining and non-sustaining capital and therefore reclassified out of operating expenditure ('opex'). The gross capex in Q4 was US$70.0 million (FY: US$283.5m) and after removing the impact of this waste mining accounting treatment, adjusted capex was US$64.8 million (FY: US$224.3 m), which reconciles with 2022 guidance.

Sukari capex guidance for 2023 is US$225 million, including:

US$110 million of sustaining capex

US$37 million of non-sustaining capex on projects such as gravity circuit, expansion of the north dump leach, completion of the paste plant and ongoing development of the second tailings storage facility. (Note. Under the Sukari Concession Agreement, these projects are cost recovered over three years)

ABOUT CENTAMIN

Centamin is an established gold producer, with a premium listing on the London Stock Exchange and Toronto Stock Exchange. The Company's flagship asset is the Sukari Gold Mine ('Sukari'), Egypt's largest and first modern gold mine, as well as one of the world's largest producing mines. Since production began in 2009 Sukari has produced circa 5 million ounces of gold, and today has a projected mine life of 12 years.

Through its large portfolio of exploration assets in Egypt and West Africa, Centamin is advancing an active pipeline of future growth prospects, including the Doropo Project in Cote d'Ivoire, and approximately 3,000km2 of highly prospective exploration ground in Egypt's Arabian Nubian Shield.

Centamin practices responsible mining activities, recognising its responsibility to not only deliver operational and financial performance but to create lasting mutual benefit for all stakeholders through good corporate citizenship.

Contact:

Centamin plc

Alexandra Barter-Carse

Head of Corporate Communications

E: [e-mail]

Buchanan

Bobby Morse

George Cleary

T: 44 (0) 20 7466 5000

E: [e-mail]

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