Mr. Fred Stanford reports

TOREX GOLD INITIATES GOLD PRICE PROTECTION PROGRAM

Torex Gold Resources Inc. has entered into a series of zero-cost collar hedges which are consistent with the policy approved by the board of directors. A total of 96,000 ounces of gold sales have been hedged evenly over the next 12 months. The floor price of the monthly gold collars has been set at $1,400/oz with the ceiling price of the collars ranging from $1,666/oz in September, 2019, to $1,768/oz in August, 2020.

Fred Stanford, president and chief executive officer of Torex, stated: "We are currently in a debt repayment phase and after this is complete, we will be building cash to fund the construction of Media Luna, and other initiatives. Given these uses for near-term cash flow, it is a prudent business decision to lock in some price protection for our primary product. This is the first decision under the policy that guides our price protection program. We expect it will become normal course to evaluate the business need for price protection and whether there are suitable products available to provide it. Currently, the market conditions for collar hedges are favourable, with the collar range skewed to the upside. We have taken advantage of this opportunity.

"To update on other milestones -- The Media Luna infill diamond drill program is now complete. An updated resource estimate is expected before year-end. The Muckahi testing progresses well. A team is pulling together designs to mine, with Muckahi, the portions of ELD that are below current infrastructure. Trade-off studies for mining Media Luna with Muckahi are also advancing. Confidence is increasing."

A total of 96,000 ounces of gold sales have been hedged between September, 2019, and August, 2020, at an average floor price of $1,400/oz and an average ceiling price of $1,720/oz. The difference between the average floor price and average ceiling price over the term of the collars offers a favourable spread around the spot price of gold, which is currently trading slightly above $1,500/oz. Recall, 2019 sales guidance is 430,000 ounces (plus or minus 7 per cent).

 SUMMARY OF GOLD PRICE COLLARS (SEPTEMBER, 2019, THROUGH AUGUST, 2020)

Period                  Gold sales       Floor price   Ceiling price
                           (ounces)     ($ per ounce)   ($ per ounce)

September, 2019              8,000            $1,400          $1,666
October, 2019                8,000            $1,400          $1,682
November, 2019               8,000            $1,400          $1,688
December, 2019               8,000            $1,400          $1,696
January, 2020                8,000            $1,400          $1,703
February, 2020               8,000            $1,400          $1,717
March, 2020                  8,000            $1,400          $1,728
April, 2020                  8,000            $1,400          $1,739
May, 2020                    8,000            $1,400          $1,745
June, 2020                   8,000            $1,400          $1,752
July, 2020                   8,000            $1,400          $1,758
August, 2020                 8,000            $1,400          $1,768
Total (1)                   96,000            $1,400          $1,720
  
(1) Represents total gold sales hedged to date as well as weighted 
    average floor and ceiling gold prices

About Torex Gold Resources Inc.

Torex is an intermediate gold producer based in Canada, engaged in the exploration, development and operation of its 100-per-cent-owned Morelos gold property, an area of 29,000 hectares in the highly prospective Guerrero gold belt located 180 kilometres southwest of Mexico City.

Muckahi mining system

The technical report includes information on Muckahi. It is important to note that Muckahi is experimental in nature and has not been tested in an operating mine. Many aspects of the system are conceptual, and proof of concept has not been demonstrated. Drill and blast fundamentals, standards and best practices for underground hard rock mining are applied in the Muckahi, where applicable. The proposed application of a monorail system for underground transportation for mine development and production mining is unique to underground hard rock mining. There are existing underground hard rock mines that use a monorail system for transportation of materials and equipment, however not in the capacity described in the technical report. Aspects of Muckahi mining equipment are currently in the design and test stage. The mine design, equipment performance and cost estimations are conceptual in nature, and do not demonstrate technical or economic viability. The company expects to complete the development and test the concept by the end of 2019 for the mine development and production activities. Further studies would be required to verify the viability of Muckahi.

We seek Safe Harbor.