Earnings Call - SOLARIS RESOURCES INC

Financial Performance:

• No specific quarterly revenue, earnings, or margin figures reported; the company is in the pre-development stage.
• Significant capital expenditure made: Over $350 million invested into the project to date (primarily social license and exploration).
• Project economics highlighted by a pre-feasibility study (PFS) delivered in November 2025, projecting significant free cash flow generation over a 55+ year life of mine.
• Equity structure is clean with no major mining partner attachments, preserving strategic flexibility for future funding.
• Byproduct credits from Molle gold and silver deposits are identified as a key financing lever.

Guidance and Future Outlook:

• Final Investment Decision (FID): Targeted for the end of 2027.
• Permitting: Project expected to be fully permitted in the first half of 2027; Technical approval of the Environmental Impact Assessment (EIA) expected in Q1 2026.
• Feasibility Study (FS): Currently in progress, with delivery expected in the first half of 2027.
• Exploration: Drilling on non-core Peruvian assets (Paco Orco, Capricho) slated to begin in early 2027.
• Long-term Goal: Position Wurensa as a near-term, global-scale copper project with a 55-year-plus life.

Business Segments and Product Lines:

• Core Asset: Wurensa project in Ecuador (SE corridor), featuring a 165,000 ton/day concentrator and an open-pit design.
• Resources: 5.8 billion tons identified, with multi-generational scale potential.
• Non-Core Portfolio: Includes Paco Orco (polymetallic, Peru), Capricho (large porphyry, Peru), La Verde joint venture (60/40 in Solaris' favor, Peru), and an early-stage asset in Chile.
• Future Strategy: Potential spin-out of non-core assets to shareholders in 2027 to unlock value.

Market and Competitive Landscape:

• Location: Situated in Ecuador's "Mineralization Corridor," within 40-70km of Fruta del Norte (gold) and Mirador (copper) mines.
• Competitive Advantage: Simple operational design (conventional processing) and lack of major partner dependencies compared to peers.
• Market Context: Ecuador's mining sector is a top three export pillar; government support is consistent across recent administrations (left, center, right) with current focus under the Noboa government.
• Currency: Ecuador uses the USD, offering investors currency protection.

Risks and Challenges:

• Regulatory: Pending finalization of exploitation contract with the state and critical permits for tailings, water, and energy.
• Social: Requires completion of "Free, Prior, and Informed Consultation" (FPIC) and finalization of long-term collective and relocation agreements with host communities (currently nearing crystallization).
• Supply Chain: Navigating global supply chain independence and potential reliance on government debt for critical infrastructure.
• Execution: Risk associated with the tight timeline to achieve FID by late 2027.

Management Commentary and Tone:

• Tone: Highly confident and optimistic regarding the project's de-risking and timeline.
• Key Message: Emphasizes "simplicity" of the project design, robust social license acquisition, and the "tier-one" quality of the asset.
• CEO Stance: CEO Matt Roblinson highlights the strategic flexibility of the capital structure and the uniqueness of the Ecuadorian geology for future large-scale porphyry deposits.

Analyst Questions and Answers:

• Question: What are the critical path steps to FID?
  • Answer: Finalizing three major permits (tailings, water, energy), securing the state exploitation contract, and completing social license agreements; financing will likely be a mix of byproduct streaming (gold/silver), project debt, and potential EPC/EPCM structures.
• Question: What is the geopolitical outlook in Ecuador?
  • Answer: Ecuador is stable for mining, with mining being a key economic driver; the USD currency and established mining history (Mirador, Fruta del Norte) reduce risk.
• Question: What is the news flow for investors?
  • Answer: Four key pillars: 1) Wurensa de-risking (permits/social), 2) Step-out exploration in Tinky concessions (porphyry targets), 3) Advancement and potential spin-out of non-core assets, 4) Strategic partnerships.

Other Key Points:

• Byproduct Strategy: Previous gold stream sold to Royal Gold (12% of gold price, 6% of silver) in May 2025; future financing may involve streaming additional byproducts.
• Land Position: Solaris owns 260 square kilometers of land and holds a significant option agreement package with the government (NME).
• Geology: The region extends from Chile/Peru to Colombia, identified as a profound global district for large-scale porphyry deposits.