Mr. Stuart McDonald reports

TASEKO REPORTS SIGNIFICANTLY IMPROVED ADJUSTED EBITDA* OF $76 MILLION FOR THE THIRD QUARTER 2021

Taseko Mines Ltd. had revenue of $132.6-million, earnings from mining operations before depletion and amortization* of $83.7-million, adjusted EBITDA (earnings before interest, taxes, depreciation and amortization)* of $76.3-million, and adjusted net income* of $27.0-million, or 10 cents per share, in the third quarter of 2021. (This release should be read with the company's financial statements and management's discussion and analysis, available at the Taseko Mines website and filed on SEDAR. Taseko's 75-per-cent-owned Gibraltar mine is located north of the city of Williams Lake in south-central British Columbia. Production volumes stated in this release are on a 100-per-cent basis unless otherwise indicated.)

Stuart McDonald, president and chief executive officer of Taseko, stated: "Gibraltar produced 34.5 million pounds of copper in the third quarter, a 29-per-cent increase over the prior quarter, as copper grades improved in line with our expectations and the mine plan. Higher metal production led to lower unit costs as total operating costs (C1)* fell to $1.57 (U.S.) per pound produced, 22 per cent lower than the previous quarter. Copper markets remained robust through the period, resulting in adjusted EBITDA* of $76-million, which is 60 per cent higher than the previous quarter and 140 per cent higher than the comparative period last year.

"During the third quarter, the Gibraltar pit started producing ore to supplement existing production from the Pollyanna pit. The combined ore feed is being efficiently processed, and the transition to the Gibraltar pit will continue over the next few quarters. We expect a strong fourth quarter, and copper production for the year should be in line with the previous guidance of approximately 120 million pounds.

"At Florence, we continue to advance detailed engineering and have made initial deposits on long-lead equipment orders, which we believe will mitigate the impact of heightening global supply chain issues on the construction schedule. Recent feedback from the U.S. Environmental Protection Agency (EPA) on the draft underground injection control (UIC) permit is that no new issues have arisen, but final drafting and review of the permit is taking longer than anticipated. We expect to receive the draft permit from the EPA shortly and, once received, will complete our review within the allotted time frame and look forward to the public comment period commencing," continued Mr. McDonald.

"Our balance sheet remains strong, and our cash position increased quarter over quarter to $239-million, despite the $15-million of capital spending at Florence and an $18-million semi-annual interest payment on our bonds during the period. We now have approximately $300-million in available liquidity and are well positioned to move into our next phase of growth with construction of the Florence copper commercial production facility," concluded Mr. McDonald.

Third quarter review:

• Third quarter earnings from mining operations before depletion and amortization* were $83.7-million, adjusted EBITDA* was $76.3-million, and cash flows from operations was $68.3-million.
• Adjusted net income* was $27.0-million (10 cents per share), a 171-per-cent increase from the second quarter.
• Site operating costs, net of byproduct credits*, were $1.28 (U.S.) per pound produced, and total operating costs (C1)* were $1.57 (U.S.) per pound produced.
• The Gibraltar mine produced 34.5 million pounds of copper and 571,000 pounds of molybdenum in the third quarter, increases of 29 per cent and 42 per cent over the second quarter, respectively. Copper recoveries were 84.2 per cent, and copper head grades were 0.28 per cent in line with management expectations.
• Gibraltar sold 32.4 million pounds of copper in the quarter (100-per-cent basis), which contributed to $132.6-million of revenue for Taseko, an increase of 19 per cent over the second quarter. Average realized copper prices were $4.26 (U.S.) per pound in the quarter, consistent with the LME (London Metal Exchange) average price.
• The company has approximately $300-million of available liquidity, including a cash balance of $239-million at Sept. 30, 2021, and a $50-million (U.S.) revolving credit facility. The facility, which closed in early October, was arranged and fully underwritten by National Bank of Canada, will be available for working capital and general corporate purposes, and provides additional financial flexibility as the company prepares for the construction at Florence copper.
• Development costs incurred for Florence copper were $19.1-million in the third quarter, and included detailed engineering and design of the commercial facility, and initial deposits for major processing equipment associated with the solvent extraction and electrowinning (SX/EW) plant. These activities will allow the project team to efficiently advance into construction upon receipt of the underground injection control permit.
• The EPA continues to make progress toward finalizing the UIC permit with no significant issues raised to date, and the company is expecting to receive the draft permit from the EPA shortly for its review. Once publicly issued by the EPA, there will be a public comment period.
• The company has secured minimum copper price protection for the coming quarters, including copper collars, for the first half of 2022, which secures a minimum copper price of $4 (U.S.) per pound and a ceiling price of $5.60 (U.S.) per pound for 43 million pounds of copper.
• In September, 2021, the company completed the sale of the Harmony gold project to JDS Gold Inc., a newly incorporated company controlled by JDS Energy & Mining Inc. and affiliates. Under the terms of the agreement, JDS Gold became the owner and operator of Harmony, a high-grade development-stage gold project located on Graham Island in Haida Gwaii. The company retained a 2-per-cent net smelter return royalty in Harmony and a 15-per-cent carried interest in JDS Gold.

* Non-generally accepted accounting principle performance measure.

                                     OPERATING HIGHLIGHTS
                              (Gibraltar -- 100-per-cent basis)
  
                                        Three months ended Sept. 30,       Nine months ended Sept. 30,
                                              2021             2020             2021             2020

Tons mined (millions)                         25.2             23.3             82.1             72.3
Tons milled (millions)                         7.4              7.5             21.9             22.6
Production (million pounds Cu)                34.5             28.9             83.5             98.1
Sales (million pounds Cu)                     32.4             28.6             81.1             99.0
                                            ------           ------           ------           ------

Financial data

* Non-GAAP performance measure.

Third quarter review

Copper production in the third quarter was 34.5 million pounds and improved 29 per cent over the second quarter as higher ore grades were mined and processed from the Pollyanna pit. Copper recoveries also improved with the increasing ore grade.

A total of 25.2 million tons were mined in the third quarter in line with the mine plan and the second quarter. The strip ratio decreased as a result of mining in Pollyanna opening higher-grade areas with lower stripping rates. There was also an increase of 3.7 million tons added to ore stockpiles. While Pollyanna ore remains the primary mill feed, waste stripping activities also increased in the Gibraltar East pit during the quarter.

Total site spending (including capitalized stripping of $10.9-million on a 75-per-cent basis) was 4 per cent lower than the prior quarter due mainly to the timing of routine maintenance. Sustaining capital expenditures at Gibraltar of $8.3-million on a 75-per-cent basis in the third quarter were comparable with the second quarter.

The company will host a telephone conference call and live webcast on Nov. 4, 2021, at 11 a.m. Eastern Time (8 a.m. Pacific Time), to discuss these results. After opening remarks by management, there will be a question-and-answer session open to analysts and investors. The conference call may be accessed by dialling 416-764-8688 in Canada, 888-390-0546 in the United States, 0800-652-2435 in the United Kingdom or on-line at the Taseko Mines website. The conference call will be archived for later playback until Nov. 18, 2021, and can be accessed by dialling 416-764-8677 in Canada, 888-390-0561 in the United States, or on-line at the Taseko Mines website and using the passcode 709396 followed by the number sign.

We seek Safe Harbor.