Torex Gold Resources Inc. reported year-end 2023 mineral reserves and resources for the Morelos Complex, which includes the producing El Limón Guajes ("ELG") Mine Complex (consisting of the ELG Open Pits and ELG Underground), advanced development phase Media Luna deposit, pre-development phase EPO deposit, and surface stockpiles. Gold equivalent ("AuEq") mineral reserves and mineral resources take into account respective metal prices and metallurgical recoveries for gold ("Au"), silver ("Ag"), and copper ("Cu") by deposit. Metal prices used to estimate mineral reserves and mineral resources have increased by $100/oz for Au, $2.00/oz for Ag and $0.25/lb for Cu relative to year-end 2022, reflecting continued strength in underlying metal prices.

These prices are in line with the mid-point of metal prices used by precious metal peers. Total Proven and Probable reserves are estimated at 4,771 koz AuEq at an average grade of 3.95 gpt, representing a 4% decrease relative to year-end 2022 reserves of 4,947 koz AuEq at 3.98 gpt. Prior to depletion (processed), reserves increased 350 koz AuEq (+7%).

Of the Proven and Probable reserves at year-end 2023, 71% of the AuEq estimate is attributable to Au, 24% to Cu, and 5% to Ag. During 2023, 67% of the 526 koz AuEq depleted (processed) was replaced, driven by drilling success (gain of 148 koz), block model updates (gain of 105 koz), lower cut-off grade in ELG Underground (gain of 86 koz), and other changes (gain of 11 koz). The decline in ELG Open Pits primarily reflects depletion (389 koz AuEq) partially offset by optimizations carried out to the block model during 2023.

At ELG Underground, Proven and Probable reserves increased 146 koz AuEq net of depletion of 134 koz AuEq (280 koz prior to depletion), with 129 koz added through drilling, 86 koz added via a lower cut- off grade (reflecting higher metal prices and lower unit costs), and 65 koz added through block model optimizations. At Media Luna, Proven and Probable reserves primarily reflect changes to Measured and Indicated resources delivered during 2022 as these results were not available to be incorporated into the year-end 2022 update. Modestly higher tonnes at modestly lower Au, Ag, and Cu grades reflect the conversion of Probable reserves to the Proven category (following resources upgraded to the Measured category during 2022), refinements to the block model carried out during 2023, and the benefit of additional Probable reserves (reflecting resources upgraded to the Indicated category during 2022).

The impact of these changes on a AuEq basis was offset by the higher relative contribution of Cu and Ag on AuEq reserves given higher metal prices used for Cu (+8%) and Ag (+12%) relative to the higher price used for Au (+7%). Metal prices used in the estimation of mineral reserves have increased relative to year-end 2022. Higher metallurgical recoveries for ELG Underground reflect the increased proportion of reserves to be processed through the upgraded processing plant starting in late 2024 relative to the proportion anticipated at year-end 2022, including improved Cu and Ag recoveries due to the installation of copper and iron sulfide flotation circuits as part of the Media Luna Project.

Overall, 542 koz AuEq depleted (mined) during 2023 was more than offset by drilling success (gain of 782 koz) and a lower cut-off grade in ELG Underground (gain of 208 koz), partially offset by block model updates (decline of 56 koz) and other changes (decline of 33 koz). At ELG Underground, Measured and Indicated resources increased 432 koz AuEq net of depletion of 138 koz (increase of 570 koz prior to depletion), with 301 koz added through drilling, 208 koz added via a lower cut-off grade (reflecting higher metal prices and lower unit costs), and 62 koz added through block model optimizations. Measured and Indicated resources specific to Media Luna declined 51 koz AuEq, reflecting refined geological interpretation related to dykes encountered during underground development.

Infill drilling at EPO was successful in further expanding the mineral endowment with infill drilling increasing Indicated resources to 1,153 koz AuEq at a grade of 5.14 gpt compared to 671 koz AuEq at 5.16 gpt at year-end 2022. The updated resource, which surpassed the Company's target of one million AuEq ounces, will form the basis of an internal prefeasibility study to be completed in the second half of 2024. The increase in Au, Ag, and Cu prices used to estimate mineral resources mirrors the increase in metal prices used to estimate mineral reserves year-over-year.

Metallurgical recoveries used to estimate mineral resources broadly reflect the assumptions used to estimate mineral reserves. Refined metallurgical recoveries for EPO reflect the results of metallurgical studies completed as part of the ongoing internal prefeasibility study.