SSR Mining Achieves 2020 Production Guidance

DENVER, CO – SSR Mining Inc., President and CEO, Rod Antal, said, “2020 was a transformational year for SSR Mining as we successfully completed and integrated the merger with Alacer Gold, delivered a number of value-enhancing catalysts, and navigated the challenges presented by the COVID-19 pandemic. During this period of unprecedented change, the Company delivered on its 2020 production guidance and all four operating sites exited the year with strong operational momentum and clearly defined growth initiatives.

Looking ahead to 2021, we are focused on continuing to generate peer leading free cash flow and returning capital to our shareholders, while prudently investing-in and optimizing our assets. This year we will be advancing and executing on our organic growth portfolio aimed at increasing production, reducing costs, and extending mine lives from our near-mine, low capital intensity pipeline. Our 2021 outlook builds on our 2020 performance and will continue to demonstrate our capability to sustain 700,000 to 800,000 gold-equivalent ounces of production for the next 5+ years.”

The Company’s four operating assets produced approximately 711,000 gold-equivalent ounces, delivering strong fourth quarter performance of approximately 220,000 gold-equivalent ounces.

For 2020, gold production for Çopler was 327,000 ounces, in-line with updated full-year guidance. Gold production was 83,000 ounces in the fourth quarter of 2020.  

In 2021, Çopler is expected to produce 310,000 to 340,000 ounces of gold at mine site AISC of $760 to $810 per ounce. For the full-year, gold production is weighted to the second half of 2021 due to the commissioning and ramp-up of the flotation circuit within the sulfide plant. The flotation circuit is anticipated to increase the gold and sulfide sulfur grades processed through the autoclaves, reduce unit costs, and increase sulfide plant throughput and gold production. Commissioning and ramp-up of the flotation circuit is expected by mid-year 2021.  

Sustaining capital expenditures are planned to total $52 million, which includes ongoing construction of the tailings storage facility (“TSF”), oxygen plant lease payments and for continued optimization work on the sulfide plant. Of this amount, $8 million is carried over from 2020 due to delays related to COVID-19. Growth capital expenditures are planned to total $26 million, which includes capital for the flotation circuit and heap leach pad expansions. Capitalized stripping is expected to be $9 million for the full year.

Gold production for Marigold was 234,000 ounces, in-line with updated full-year guidance. Marigold finished the year with strong quarterly gold production of 77,000 ounces, a new quarterly record for the operation. In 2021, Marigold production is expected to be 235,000 to 265,000 ounces of gold at mine site AISC of $1,250 to $1,290 per ounce.

Sustaining capital expenditures are planned to total $53 million, which includes scheduled mine fleet replacements, construction of de-watering water wells, construction of a new leach pad cell and equipment purchases. Capitalized stripping is expected to be $47 million for the full year due to stripping of the M4 phase within the Mackay pit. 2021 represents a high-stripping year for Marigold, providing access to future ore sources in 2022 and beyond.    

Seabee gold production was 82,000 ounces, in-line with updated full-year guidance. Gold production was 32,000 ounces in the fourth quarter of 2020. In 2021, Seabee is expected to produce 95,000 to 105,000 ounces of gold at mine site AISC of $860 to $910 per ounce. Sustaining capital expenditures are planned to total $11 million which includes mining and surface equipment purchases and underground infrastructure. Growth capital expenditures, which are predominantly carried over from 2020 due to COVID-19 related impacts, are planned to total $7 million, and are for phase two of the Triangle Lake TSF expansion project. Capital expenditures are concentrated in the first half of the year during the ice road season. Capitalized development is expected to be $19 million for the full year to support higher mining rates and establish access to deeper portions of Santoy 8A and 9A.

For 2020, silver production from Puna was 5.6 million ounces, exceeding updated full-year guidance. Silver production was 2.2 million ounces in the fourth quarter of 2020.

In 2021, Puna is expected to produce 6.0 to 7.0 million ounces of silver at mine site AISC of $16.00 to $17.50 per ounce. The operation is expected to transition to the owner-operated ore haulage truck fleet in the first half of the year following COVID-19 related delays in 2020. Sustaining capital expenditures are planned to total $19 million, which includes $8 million carried over from 2020 and is primarily related to maintenance of mining equipment and plant maintenance. Capitalized stripping is expected to be $13 million for the full year.

In 2021, total exploration and resource development expenditures are expected to total $65 million, of which $54 million represents discretionary growth expenditures to advance near-mine brownfield opportunities across our portfolio. At Çopler, 2021 consolidated exploration expenditures are estimated at $33 million, with a primary focus on Ardich Mineral Resource expansion and conversion, Çopler Saddle, Mavialtin, C2 copper-gold exploration, and Çopler District Master Plan development.

At Marigold, 2021 total exploration expenditures are estimated at $18 million, focusing on oxide Mineral Resource additions and conversion at Mackay, Valmy, New Millennium, and Trenton Canyon. Growth exploration expenditures also include studies and test work at Trenton Canyon and Buffalo Valley.  

At Seabee, 2021 total exploration expenditures are estimated at $8 million with a focus on expansion and definition of the Santoy Gap Hanging Wall and surface drill programs at the Seabee, Fisher and Amisk properties. The Company exercised its option agreement at the Fisher property in January 2021, and now holds an 80% ownership interest and operatorship of the Fisher joint venture.  

At Puna, 2021 total exploration expenditures are anticipated to total $1 million. Other exploration and development expenditures total $5 million and are related to Pitarrilla, San Luis, U.S. and Canadian greenfield exploration opportunities.