Page 56 Alamos Gold on target to meet annual guidance Contd on pg 58 Alamos Gold is a mid tier gold pro ducer operating 4 mines two of which are in Northern Ontario It operates the venerable Y oungDa vidson mine near Matachewan On tario and one of the longest producing mines in Northern Ontario Last year Alamos purchased Island Gold near W awa Ontario from Richmont Gold Alamos also operates the Mulatos and El Chanate Mines in Sonora Mexico The company also has major explora tion projects and development proj ects in Mexico T urkey Canada and the United States The 3rd quarte r performance for Ala mos indicated that it was making sig nifcant progress to meeting its full year guidance but it also experienced a loss in revenue because of a decline in the price of gold One of the successes experienced by Alamos was the completion of the Phase 1 expansion of Island Gold that will see mill capacity expanded to 1100 tonnes per day W e made excellent progress in the third quarter towards both our near and longterm objectives W e met our quarterly production guidance and re main well positioned to achieve full year guidance W e completed the Phase I expansion at Island Gold on schedule and are having ongoing suc cess on the exploration front which has translated into signifcant Min eral Reserve and Resource growth in the year since we acquired the mine W ere also advancing on the lower mine expansion at Y oungDavidson which will unlock the full potential of the mine and drive signifcant free cash fow growth said John A Mc Cluskey President and Chief Execu tive Ofcer Third Quarter 2018 Highlights Produced 124000 ounces of gold consistent with quarterly guidance of 120000 to 125000 ounces and 16 above the third quarter of 2017 refecting the inclusion of production from Island Gold Gold production for the frst nine months of 2018 achieved a record 379400 ounces a 23 increase from the same period in 2017 The Company remains well positioned to achieve fullyear production guidance of 490000 to 530000 ounces Sold 1 19401 ounces of gold in the third quarter at an average realized price of 1229 per ounce 16 per ounce above the average London PM Fix for revenues of 1467 million Revenues declined relative to the second quarter refecting lower gold sales and a 78 per ounce decline in the realized gold price Cost of sales of 1152 per ounce total cash costs of 817 per ounce and allin sustaining costs AISC of 1048 per ounce were higher than full year guidance refecting lower mining rates at Y oungDavidson higher costs at El Chanate and planned higher sus taining capital at Island Gold Given higher than budgeted costs at Y oungDavidson and El Chanate through the frst nine months of 2018 the Company is revising its full year consolidated total cash cost guidance from 740 to 810 per ounce and AISC guidance from 950 to 990 per ounce Realiz ed net earnings of 72 mil lion or 002 per share Reported an adjusted net loss of 19 million or 000 per share primar ily refecting adjustments for unreal Page 56