Mr. Warwick Morley-Jepson reports

WESDOME ANNOUNCES 2023 FIRST QUARTER FINANCIAL RESULTS

Wesdome Gold Mines Ltd. has released first quarter financial results.

Warwick Morley-Jepson, board chair and interim chief executive officer, commented: "The year is off to a solid start with combined production results of 28,368 ounces coming in ahead of budget. We continued to make excellent progress on the Kiena production ramp, currently at the 123 level. Once the ramp reaches the 129 level late this year and we can develop 129L station, we will be able to take advantage of the significant ounces per vertical metre increase, which is expected to result in materially better unit economics in 2024. At Eagle River, production exceeded our internal targets. Grade reconciliation in the Falcon zone has significantly improved now that additional drilling and ore development is in place. Our balance sheet is also continuing to benefit from higher production and gold prices, as well as disciplined use of our ATM financing. During the quarter, we paid down $8-million of debt, $12-million in accounts payables and expect to continue aggressively paying down our credit facility throughout the rest of the year."

First quarter 2023 highlights:

• At Eagle, production exceeded internal targets. Grade reconciliation in the Falcon zone has significantly improved now that additional drilling and ore development are in place. Q1 2023 cash costs of $1,192 ($881 (U.S.)) per ounce and AISC (all-in sustaining cost) of $1,709 ($1,264 (U.S.)) per ounce of gold were below combined guidance, and are expected to be maintained.
• At Kiena, it continued to make excellent strides toward the successful ramp-up of mining activities in 2023 and beyond. Development of the ramp to the 129L giving access to the A zone of Kiena Deep continued to track ahead of schedule, which positions the mine well for increased production levels in 2024. Longer term, excavation of an exploration ramp from surface to reach the near-surface Presqu'ile zone is expected to proceed in second half 2023 after the required permits are secured. With an existing large resource base, efforts in 2023 will focus on converting a portion of these resources to reserves. The Kiena mill has excess capacity with a permitted rate of 2,000 tonnes per day, therefore bringing a potential new source of ore into the mine plan that could be accomplished quickly and for low costs.
• Kiena cash costs of $2,267 per ounce ($1,676 (U.S.)) and AISC costs of $3,048 per ounce ($2,254 (U.S.)) were higher than guidance due to increased staffing in preparation for the production ramp-up and associated construction costs. Costs are expected to decrease throughout the second half of the year and further in 2024 as the mine reaches higher production levels, taking advantage of the higher grades and larger ore volumes at depth.
• Total cash margin was $34.4-million, a 13-per-cent increase over Q1 2022; however, net income and free cash flows were negative as the company completes the final projects on the production ramp-up at Kiena, namely the ramp to the 129-metre level. Assuming that all else remains the same, the company expects, at current gold prices, to be free cash flow neutral this year, positioning itself well to be free cash flow positive in 2024.
• The company is well positioned to deliver on its production guidance of 110,000 to 130,000 ounces and cash cost guidance of $1,500 to $1,670 per ounce ($1,150 (U.S.) to $1,290 (U.S.)), as well as AISC of $2,100 to $2,340 per ounce ($1,620 (U.S.) to $1,800 (U.S.)).
• Wesdome raised $20.1-million of net proceeds from issuing 2,987,500 common shares under the ATM program. The company ended the quarter with $25.1-million in cash and a $47-million balance on the revolving credit facility (Dec. 31, 2022: $55-million) in accordance with its strategy to accelerate the paydown of the outstanding balance on its credit facility, thereby derisking its balance sheet.

Technical disclosure

The technical content of this release has been compiled, reviewed and approved by Frederic Langevin, eng, chief operating officer of the company, and Michael Michaud, PGeo, vice-president, exploration, of the company, each a qualified person as defined in National Instrument 43-101 (Standards of Disclosure for Mineral Projects).

First quarter 2023 conference call and webcast

The company will release its first quarter 2023 financial results after market close on Wednesday, May 10, 2023. At that time, the financial statements and management's discussion and analysis will be available on the company's website and on SEDAR. A conference call and webcast to discuss these results will be held on Thursday, May 11, at 10 a.m. ET.

• Participants may register for the call to obtain dial-in details. Preregistration is required for this event. It is recommended you join 10 minutes prior to the start of the event.
• The webcast can also be viewed under the news and events section of the company's website.

About Wesdome Gold Mines Ltd.

Wesdome is a Canadian-focused gold producer with two high-grade underground assets, the Eagle River mine in Ontario and the recently commissioned Kiena mine in Quebec. The company also retains meaningful exposure to the Moss Lake gold deposit in Ontario through its equity position in Goldshore Resources Inc. The company's primary goal is to responsibly leverage this operating platform and high-quality brownfield and greenfield exploration pipeline to build Canada's next intermediate gold producer. Wesdome trades on the Toronto Stock Exchange under the symbol WDO, with a secondary listing on the OTCQX under the symbol WDOFF.

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