Generation Mining Limited (GENM) Earnings Call Transcript & Summary

Thank you all for attending. Good morning. Welcome to the 2026 Annual and Special Meeting of Generation Mining Limited. My name is Jamie Levy, and I am President and Chief Executive Officer and Director of the company. It's my pleasure to welcome shareholders and other President in person and those watching the 3 of you in person. Thank you and those listening by Zoom to this meeting. Thank you for your interest in Generation Mining. Sorry, I'm just submitting more people here. We will first proceed with the formal business of the meeting. As highlighted in our notice of meeting and management circular shareholders joining us via Zoom shall not be able to vote or participate in the formal business of the meeting. Following the formal business of the meeting, I will present an update of the company and those joining us in person or participating by a zoom have an opportunity to ask questions, instructions on how to ask questions, by a Zoom will be provided after the formal business of the meeting has been completed. The meeting now come to order. I Jamie Levy will act as Chair of the meeting. And with the consent of the meeting, I appoint Brian Jennings, the company's Chief Financial Officer as Secretary of the meeting. With the consent of the meeting, I appoint TSX Trust Company, the registrar and transfer agent for the company acting through its representative, Ms. Julie Kim, to act as scrutineer of the meeting. In order for a quorum to be present in accordance with the bylaws of the company, the scrutineer reports must show that there are not less than 2 shareholders present in person or represented by proxy. The scrutineer has already provided her preliminary report, and I can report to the meeting that the requisite number of shareholders for a quorum is present, and the meeting is properly constituted for the transaction of business. I direct that the final news report will be annexed to the minutes of this meeting as a schedule. Notice calling this meeting and the company management information circular and the former proxy has been mailed to all shareholders of record to the directors and to the auditors of the company and the Secretary has received and filed with me proof of the mailing. I direct that a copy of such materials together with the proof of the mailings, the annex to the minutes of this meeting as a schedule. Before commencing to the business of the meeting, I would like to comment on the voting procedures. Each holder of a common share on the record date of this meeting, Friday, May 13, 2026 is entitled to 1 vote for each share held by such shareholders. Based upon information I received from the scrutineer to the best of my belief, if the ballot is conducted in respect to each matter to be voted upon at this meeting, the total number of votes attached to the shareholders represented the meeting by proxy and required to be able to get or withheld from voting which would be the decision of the meeting in respect to each such matter was some pant of all the votes that might be cast at the meeting on each such ballot. Accordingly, in order to expedite the voting on such matters, unless a ballot is demanded in respect of a particular matter, each matter will be voted upon by a show and shareholder or proxy holder represent a person at this meeting has a right to demand that a baby conducted on any resolution either by the show of hands or hand both or following that vote. In that case, each shareholder or proxyholder represented at the meeting or receive a ballot at the appropriate time. Following this meeting, a complete record of the voting results for each of the items of business delivered upon at this meeting, including the number of votes cast by ballot or proxy or an against or withheld from voting as required by the scrutineer will be filed on SEDAR+ and will be available for viewing under the corporation's profile at www.sedarplus.ca to make the best use of our time. The meeting certain management shareholders have been asked to move and second items of business, which are called for in the notice of the meeting. I should now request the secretary to table the minutes of the last annual meeting of shareholders of the corporation held on June 24, 2025, the minutes of June 24, annual meeting are available for review by any shareholder. Unless someone wishes to have them read, may I have a motion that the minutes be taken as read and approved.

Mr. Chair. SP-3 Move that the minutes of the general meeting of shareholders so for June 24, 2025, be taken.

Mr. Chair, I second the motion.

We will conduct this fell by a show of hands. All those in favor of the resolution, please so signify by raising your hands. I declare the motion carried. I should now call upon the secretary to file with the company's records, a list of shareholders of the company showing their respective shareholders and the original proxies deposited at this meeting. I will now ask someone to move and someone to second a resolution respecting the destruction of proxies.

I move the solution as follows: be it resolved that the proxies forwarded to shareholders for use at this meeting of shareholders of that we be retained with the records of the company for a period of 6 months after that date here after and then that same be destroyed.

Resolution.

All those in favor of the resolution, please so signify by raising your hands. Contrary, if any? I declare the resolution carried. I now present to the meeting the audited financial statements of the company for the financial year ended December 31, 2025, and the report of the auditor there on the Board of Directors has approved these financial statements and the financial statements were mailed to register to beneficial shareholders who requested a copy of shareholders are not being able -- not asked to approve the audited financial statements. However, I will be pleased to deal with any relevant shareholder questions concerning these financial statements after the formal part of the meeting is completed. The next item of the business is to fix the number of directors of the company to be elected at this meeting at 6. I will now ask someone to move and someone resolution setting the number of directors at 6.

A resolution as follows: be it resolved that, a number of directors of the company to be elected at this meeting here by set at 6.

I second the resolution.

All those near the resolution, please so signify they're raising your hands, contrary evening, I declare the resolution carried. We shall now proceed with the nominations and elections of directors and has just approved the number of directors to be elected at this meeting is 6 particular relating to the 6 recommended nominees are set out in the circular. I now declare the meeting open for nominations.

Mr. Chair, I nominate Jamie Levy, Kerry Knoll, Stephen Reford, Philip Walford, Rebecca Hudson and Kyle Kuntz. As directors of the company to hold office until the next Annual Meeting of Shareholders or until their successors are elected at more point.

Are there any further nominations? If there are no further nominations, I will entertain a motion that nominations be closed.

I move that nominations to be closed.

I second the motion.

All those in favor of the motion, please so signify Contrary. I declare the motion, the nomination closed. I will now ask someone to move someone to second a resolution for the election of the 6 persons nominated as directors and directing Mr. Levy to cast a single ballot for such election.

I move a resolution as follows: be it resolved that the 6 persons nominated fee and are by elected as directors of the company to hold office until the next Annual Meeting of Shareholders or until their successors are elected or appointed. Mr. Levy be and is hereby authorized to cast a single ballot for such election of the 6 persons pass directly subject.

I second the resolution.

All those in favor of the resolution, please signify by raising your hand, contrary an based on the show of hands and the cast by proxy and events of the meeting, I can declare the resolution carried and those nominated have been duly elected as directors of the company to hold office until the next annual meeting of shareholders or until their successors are elected or appointed. The next item of business is the appointment of the auditor and the authorization of the terms to fix the auditors' remuneration. I will now ask someone to move and some one to second a resolution appointing the auditors and authorization of the directors to fix the auditor's remuneration. I'll move a resolution as follows: be it resolved that RSM Canada LLP Chartered Accountants be and is hereby appointed auditor of the company to hold off as the next auto shareholders at such remuneration as may be fixed by the directors and the directors be and are hereby our us a big such remuneration.

I second the resolution.

This in far we're pleased to the 65 are raising your hand. -- contrary venting I declare the resolution carried. The next item of the business is the approval of all unallocated entitlements under the company's Omnibus incentive -- equity incentive when, as more in particular is described in the circular. I will now ask someone to move and someone to second the resolution.

Should as follows: be it resolved that, all unallocated entitlements under the company's Omnibus Equity Incentive Plan B and are hereby approved as more particularly to drive uncertainty.

I second the resolution.

All those in favor of the resolution, please so signify by raising your hands. Contrary, if any? I declare solution carried. The next item of business is a special resolution authorizing an amendment to the company's articles to consolidate all of its issued and outstanding common shares of the company as more particularly driven circular -- this is a special resolution and must be approved by not less than 2/3 of the votes cast. I want to ask someone to move and so on to second the resolution.

I move the resolution as follows: be it resolved as a special resolution amendment from the company's articles to consolidate all of its issues with outstanding common shares of the company and is hereby authorized an approval as more particularly described in the certain.

I second the rest of the chip.

Well, there's a part the resolution, please still signify by raising your hands, condemning. I declare the resolution carried. If there is no further business to come before this meeting, I will entertain a motion to terminate the formal part of the meeting. I will now ask someone to move and someone to second the motion.

Mr. Chair, I move the meeting to

Those in a with the motion, please by raising your hand in I declare that meeting that this meeting is now terminated. The formal business part of this meeting is now terminated. Before beginning the next part of the meeting. I would ask Brian Jennings a statement regarding forward-looking evasion.

Before we begin, I'd like to remind everyone that the following discussion may on forward-looking information and forward-looking statements within the meeting of applicable securities laws. These statements reflect the company's current expectations and are subject to risks and uncertainties that could cause actual results to differ materially. They are not guarantees of future performance and the audience is cautioned not to place undue reliance on them for the complete cautionary language and risk factors. We refer everyone to the company's annual information form and management's discussion and analysis available on the company's website at www.gedmining.com, [indiscernible].

Thank you, Mr. Jennings. I would like to provide you with an update or the real Chairman, Mr. Cary Hill will be providing an update on our business. He's got a presentation. Should you have any questions or comments, you opportunity to do so with the conclusion of Kerry's remarks. For those attending by Zoom, we have on mute. I will unmute everybody at the end of the Zoom if there's any questions or please try to put it in the text box, and I'll look for them. And obviously, anybody in the room here, you can just ask questions that after, please enter your questions to the chat zoombox. For those attending in person, raise your hand. If there's no further okay. So Kerry, you can start the presentation.

Hi, everybody. Kerry Knoll here [indiscernible] about 8 years ago. Good to give a brief presentation I do have a harvest of at 830, so maybe in your time zone. So I'm going to start off with our people because people are really important to a mining company, especially when you're building it been but hiring people on the releases. On the top right here is Jeremy who just joined us as our Chief Operating Officer. This mines before he's designed mine. He he's through the again, and we're really happy to welcome -- he's worked in the past with Clinton Swimmer who joined his last call, our Vice President of Project. He's going to be really the guy looking after a build. And on for Corporate Affairs and Human Resources, and she's done this mining company. She knows everybody in the industry, and she's in charge of those contracts and and a whole raft of different things in this company. And Eric Manges as well. He was Senior VP of DRA Global, very recently. And they were 1 of the bidders on our EPC contract to build a mine. Ruben Wallin, who's been with us now for a while, thank you, Ruben, for a lot of the big companies, and we just also net -- he is -- the recently built a copper mine in Saskatchewan. So he's been through this very recently and has done during the build and thing, of course, who's been our Chief Financial Officer for a long time, and Jamie was the co-founder. And I won't get into all the directors, but we've got a very strong board, very, very mining-focused group of people here. So I think you all know, we've got a mine that we want to build in Northwestern Ontario, which is rated the #1 jurisdiction in the world by the mining journal. I about our permits. We are trading at a discount trying to remedy that, but I think people want to see us fully financed and to that. I'll talk about that in a minute. And we've also got very, very strong support, not only from the local indie partners in this but also the province of Ontario and government who's come up with some financing to help us out. So as metal braces fluctuates, so does our revenue rate down by point this dominantly a palladium project back with a few years ago, but backed off now, but copper is running at current prices or a reasonable price of 47% of our revenue or 38% palladium and the rest a little bit flat gold and silver. And what's interesting is the first 3 years of this going to produce substantially more metal than the average, especially the palladium in the first 3 years, we averaged 110,000 ounces. And we also got some extra copper and platinum as well. So you probably know that our CapEx is $992 million. There's additional moneys needed beyond that, which moment. But our after-tax value at the feasibility was done last year was just $1 million. The recent stock prices it was $2 billion. So that's forward to in terms of projects. Our payback also has reduced from 1.9 years to 3 years on a payback on a base metal mine is really rare. Generally, they're 2 to 4 years. So that just shows you how robust this mine is. And we have I just want to point out that we can produce copper at just over 2 just under $800 an very, very profitable at today's prices. And the -- the blue bars here are the revenue. The dark blue being the 3-year trailing which is the light blue being recent spot prices. So as you can see in year 2, we've got about over $1.2 billion in revenue and EBITDA is almost $1 billion. And that's why we get the quick payback. But those numbers close to those numbers the first 5 or 6 years of production. I think probably the -- we've also designed a revised feasibility study that we hear SP1 Kerry, can I interrupt you're just kind of muffled a little bit. Can you go a little closer to the microphone, a please?

Now a little bit better.

Okay. That's the best thing I can do I just wonder on a meeting this happens. We let the EPCM contract to inco earlier this year. And as I pointed out, we've been building out the owners team and now in the middle of the financing. This is the key here. So we have [indiscernible] million to come. We've got leases, most of them with others negotiated for $145 million, USD 310 million from banks the Canada Infrastructure Bank has offered support the debt of $200 million. We have a little bit of equity, and we're working on a couple of other things that we're hoping to have nailed next and then -- so we're getting very close. We do -- in addition to what we say we're close to having that $1 billion to build the mine, but the issue is, and this is the same for any -- you also have to have things like closure bond, you have to have working structure and lease payments during construction and the lenders are requiring us to have facilities. So there is additional mining still working with governments to put a pin in everything, and it will all come clear in the next few weeks we hope. Just a quick comparison of what our goal is in like -- once this might we expect it to be in the range of what happened with this year? It was taken over for $3.8 billion and their mine is actually small in ours. It has a longer payback or IRR, and that's the value of built mine in this country and so that's what we -- that's our goal why we're building this line and not just putting the company up like a longer. So that wraps it up. I think we're open [indiscernible].

Any questions for anybody in the room I'm trying to [indiscernible].

How many dollars are required still.

We're still working at the final number. But there's going to be some equity required. We're just trying to find the least dilutive way that we can do it, whether it be equity and such equity like investment foods from federal governments, institutions retail and that will be announced very soon.

So it sounds like $200 million.

It's going to be some number. We're not disclosing that event right now. -- we're just trying to put the final number what the banks requiring for us carries costs overrun facilities or everything else. And when we have that, we're going to make that announcement. What we're trying to do, as mentioned, was leased has been I don't know. How do we unmute everybody now. Anybody is having a tough time I'm meeting I've got the chatbox here if anybody has a -- let's go to a person, if you want. So if anybody has any questions, you could just unmute yourself and ask a question. I guess there's no other questions or comments. Thank you all for those who have joined us in person or electronically for the interest in generation mining and our exceptional Marathon copper palladium project, the status of which has been validated as an economic sustainable low-cost producer of critical metals in jurisdiction that are needed to some emission controls and the transition to a greener economy, focusing on strategic and critical metals. We look forward to providing you with further updates in the coming weeks and months, and we had advanced our project and construction decision -- have a very good weekend. Any further questions, please reach out to Chris Holden and myself or Kerry. I think you have all of our emails. And there are no further questions. Have a great weekend, thank you for Canada.

Great. Thank you.

Thank you.

Thank you.