Mr. Jason Simpson reports

ORLA MINING REPORTS FOURTH QUARTER AND YEAR END 2023 RESULTS

Orla Mining Ltd. has released the results for the fourth quarter and year ended Dec. 31, 2023.

(All amounts are expressed in U.S. dollars unless otherwise stated.)

Fourth quarter 2023 highlights:

• Fourth quarter gold production was a record 34,484 ounces, and gold sold was 31,300 ounces (prereleased). Full-year 2023 gold production was a record 121,877 ounces, exceeding the company's increased full-year gold production guidance range of 110,000 to 120,000 ounces (initial production guidance range was 100,000 to 110,000 ounces).
• All-in sustaining costs were $802 per ounce of gold sold during the fourth quarter 2023. Full-year 2023 AISC was $736 per ounce of gold sold, within the company's revised full-year 2023 AISC guidance of $700 to $800 per ounce of gold sold (initial AISC guidance range was $750 to $850 per ounce of gold sold).
• Adjusted earnings for the fourth quarter were $15.7-million or five cents per share.
• Net loss for the fourth quarter was $58.4-million or (19 cents) per share. This includes a non-cash impairment charge of $72.4-million on the Cerro Quema project.
• During the quarter, the Panamanian Ministry of Commerce and Industry rejected the requests for extension for the three mining concessions comprising Cerro Quema and declared the concessions cancelled. This cancellation followed Panama's passing of executive decree No. 23/2023 in October, 2023, and law 407 in November, 2023. The company is exploring all legal remedies available in response to these cancellations and intends to file a notice of intent to arbitrate under the Panama-Canada free-trade agreement.
• Cash flow from operating activities before changes in non-cash working capital during the fourth quarter was $24.7-million.
• Exploration and project expenditure was $12.6-million during the quarter, of which $3.3-million was capitalized and $9.3-million was expensed.
• As at Dec. 31, 2023, Orla Mining's cash balance was $96.6-million, and net cash was $8.3-million. During the quarter, the company repaid $25-million toward its revolving credit facility, reducing the balance outstanding under the facility to $88.4-million. The company also paid the final instalment of $22.8-million to Fresnillo PLC as part of the layback agreement.

"The fourth quarter bookended a second consecutive year of operational outperformance at the Camino Rojo oxide mine. We are disappointed in the current investment climate in Panama, particularly as it relates to our Cerro Quema project, but we remain steadfast in our overall near-term strategy. We started 2024 in a net cash position, and we are continuing to invest in our growth opportunities in Nevada and Mexico," said Jason Simpson, president and chief executive officer of Orla Mining.

2024 guidance

As set forth in the company's Jan. 16, 2024, news release, gold production from the Camino Rojo oxide mine is expected to be 110,000 to 120,000 ounces in 2024. The company is planning to mine approximately 8.3 million tonnes of ore and 9.9 million tonnes of waste for a total of 18.2 million tonnes mined resulting in a waste to ore strip ratio of 1.20. The increased strip ratio in 2024 is a result of increased waste mining planned for the east-west pit expansion following the receipt of applicable permits.

Camino Rojo's 2024 total cash cost is expected to be in a range of $625 to $725 per ounce of gold sold, including royalties and net of changes in inventory, while sustaining capital expenditures are expected to total $18.0-million, of which $12.5-million is for the planned heap leach pad expansion (phase 2), which is scheduled for the first half of 2024, and $500,000 is for capitalized exploration on the Camino Rojo oxide layback. About half of the annual sustaining capital is expected to be spent in the first quarter 2024, which will result in a higher AISC for the period. Non-sustaining capital is expected to total $13.0-million in 2024 with $11.0-million related to the Camino Rojo extension exploration. AISC for 2024 is expected to be in the range of $875 to $975 per ounce of gold sold. The higher AISC guidance range in 2024 versus 2023 is predominantly a result of increased waste stripping at Camino Rojo (approximately $85 per ounce) and sustaining capital related to the heap leach pad expansion (approximately $110 per ounce).

Income tax expense during 2024, including Mexican special mining duty, is expected to range between $35.0-million and $40.0-million. The company pays income tax in monthly instalments, with a final annual true-up in March upon filing its year-end tax returns. The special mining duty related to 2023 totals $9.1-million and is expected to be paid in March of this year.

Financial statements

Orla Mining's audited financial statements and management's discussion and analysis for the year ended Dec. 31, 2023, are available on the company's website and under the company's profiles on SEDAR+ and EDGAR.

Qualified person statement

The scientific and technical information in this news release was reviewed and approved by J. Andrew Cormier, PEng, chief operating officer of the company, and Sylvain Guerard, PGeo, senior vice-president, exploration, of the company, who are the qualified persons as defined under National Instrument 43-101 (Standards of Disclosure for Mineral Projects).

Fourth quarter 2023 conference call

Orla Mining will host a conference call on Wednesday, March 20, 2024, at 10 a.m. Eastern Time, to provide a corporate update following the release of its financial and operating results for the fourth quarter and year ended 2023.

Dial-in numbers/webcast

Conference ID:  5844017

Toll-free:  1-888-550-5302

Toll:  1-646-960-0685

Webcast:  at the Orla Mining website

About Orla Mining Ltd.

Orla Mining's corporate strategy is to acquire, develop and operate mineral properties where the company's expertise can substantially increase stakeholder value. The company has two material gold projects: (1) Camino Rojo, located in Zacatecas state, Mexico; and (2) South Railroad, located in Nevada, United States. Orla Mining is operating the Camino Rojo oxide gold mine, a gold and silver open-pit and heap leach mine. Orla Mining is also developing the South Railroad project, a feasibility-stage, open-pit, heap leach gold project located on the Carlin trend in Nevada. The property is 100 per cent owned by Orla Mining and covers over 160,000 hectares, which contain a large oxide and sulphide mineral resource. Orla Mining also owns 100 per cent of Cerro Quema located in Panama, which includes a prefeasibility-stage, open-pit, heap leach gold project and a copper-gold sulphide resource. The technical reports for the company's material projects are available on Orla Mining's website and on SEDAR+ and EDGAR under the company's profile.

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