(Kitco News) - Orla Mining is setting its sights high after a year of record performance and strategic acquisitions, according to Jason Simpson, President & CEO.
Speaking at the 2025 BMO Metals, Mining and Critical Minerals Conference, Simpson discussed the company's impressive 2024 and its plans for future growth.
"2024 was an outstanding year for Orla," Simpson told Kitco Mining, citing record production from the Camino Rojo oxide mine, becoming debt-free, and the transformational acquisition of the Musselwhite mine in Canada.
The Musselwhite acquisition is set to propel Orla into the intermediate producer space, increasing production by 140%. "Now we'll be producers of over 300,000 ounces a year with first quartile costs," Simpson noted.
The company aims to grow production to 500,000 ounces a year, financed through production in Canada and Mexico.
Simpson emphasized the importance of returning value to shareholders. He noted that while many companies are increasing returns through share buybacks, Orla sees value in both. "Companies... should be using some of that free cash flow to invest in the growth... but the story doesn't end there," he said. "The company also needs to be run like a business, and that business needs to consider avenues of return to shareholders."
Regarding the broader gold sector, Simpson acknowledged that gold equities remain undervalued despite high gold prices. "The broader market is not here yet," he said, expressing hope that continued mature behavior from companies will attract broader market interest.
Simpson also addressed the topic of M&A in the gold sector, which many expect to increase now that Newmont has completed its divestiture program.
Orla was part of that process, acquiring the Musselwhite asset. "That's going to be transformational for Orla," Simpson stated. He believes that as companies have more time to focus on value creation, "you'll see selective transactions".
Looking ahead, Simpson outlined Orla's key objectives. "Close the transaction, graduate to 300,000 ounces a year, build Nevada, take ourselves to 500,000 ounces a year," he stated. The Nevada project is progressing with permitting and detailed engineering, with procurement expected to begin in the second half of the year.
Special thanks to our sponsor, First Majestic, for making this coverage possible. Visit https://www.firstmajestic.com/ to learn more.
Subscribe on Apple Podcasts, Amazon Music and Spotify. You can also add the RSS link to your favorite podcast player: LINK