TRX Gold Corporation (TRX): Analyse du Pestle [Jan-2025 MISE À JOUR]

Dans le monde dynamique de l'exploration de l'or, TRX Gold Corporation navigue dans un paysage complexe où les nuances géopolitiques, les fluctuations économiques et les innovations technologiques se croisent. Poussant profondément dans le cœur du terrain riche en Tanzanie, cette entreprise miniers canadienne confronte un environnement à multiples facettes qui exige une agilité stratégique et une compréhension complète. Des défis réglementaires aux percées technologiques, le voyage de TRX Gold représente un récit convaincant de l'exploration des ressources modernes - où chaque décision peut transformer les risques potentiels en opportunités révolutionnaires.

TRX Gold Corporation (TRX) - Analyse du pilon: facteurs politiques

L'environnement réglementaire canadien sur les mines a un impact

TRX Gold Corporation, répertorié sur le TSX Venture Exchange avec Ticker TRX, opère dans les deux cadres réglementaires du Canada et de la Tanzanie. Le projet principal de la société, Buckreef Gold Project, est situé dans la région de Geita en Tanzanie.

Aspect réglementaire	Impact canadien	Impact tanzanien
Conformité minière	Règlements d'échange de capital-risque TSX	Loi sur les minéraux de Tanzanie de 2010
Gouvernance d'entreprise	Lignes directrices sur la Commission des valeurs mobilières de l'Ontario	Tanzania Investment Act

L'instabilité politique potentielle en Tanzanie affecte l'investissement du secteur minier

Le paysage politique de la Tanzanie présente des défis pour les investissements miniers. Les indicateurs de risque politiques clés comprennent:

• Indice de stabilité politique: -0,52 (Banque mondiale, 2022)
• Indice de perception de la corruption: 87/180 (Transparency International, 2023)
• Fréquence d'intervention gouvernementale dans le secteur minier: 3,4 / 10 (Fraser Institute Mining Survey, 2022)

Les politiques gouvernementales des droits minéraux et de la fiscalité influencent les activités d'exploration

Le cadre des droits minéraux de la Tanzanie a un impact direct sur les stratégies opérationnelles de TRX Gold.

Élément politique	Régulation actuelle	Impact sur TRX Gold
Taux de redevance minérale	4-6% selon le type minéral	Augmentation du coût opérationnel
Exigences de contenu local	5% de propriété tanzanienne obligatoire	Structure de partenariat obligatoire

Les traités d'investissement bilatéraux entre le Canada et la Tanzanie façonnent la stratégie d'entreprise

L'accord de promotion et de protection des investissements étrangers du Canada-Tanzanie (FIPA) établit des protections clés des investissements.

• Traité signé: 2013
• Clauses de protection des investisseurs: 7 dispositions spécifiques
• Mécanisme de résolution des différends: cadre d'arbitrage international

TRX Gold Corporation (TRX) - Analyse du pilon: facteurs économiques

Impact de la volatilité des prix de l'or sur les revenus

Gamme de prix en or en 2023: 1 810 $ à 2 089 $ l'once. Les revenus de TRX Gold sont directement en corrélation avec ces fluctuations.

Année	Prix ​​d'or moyen	Fourchette de volatilité des prix
2023	1 940 $ / oz	279 $ / oz
2024 (projeté)	1 950 $ - 2 100 $ / oz	150 $ / oz

Incertitude économique mondiale et investissement précieux en métaux

Investissement mondial dans l'exploration: 12,4 milliards de dollars en 2023, avec 35% alloués à l'exploration de l'or.

Les marchés des capitaux accèdent aux défis

L'augmentation du capital de TRX Gold en 2023: 8,2 millions de dollars, avec 65% du placement privé.

Source de financement	Montant recueilli	Pourcentage
Placement privé	5,33 millions de dollars	65%
Offrande	2,87 millions de dollars	35%

Conditions économiques tanzaniennes

La contribution du secteur minier de la Tanzanie au PIB: 5,2% en 2023. Coûts opérationnels influencés par les facteurs économiques locaux.

Indicateur économique	Valeur 2023	Impact sur TRX Gold
Taux d'inflation	4.7%	Augmentation des dépenses opérationnelles
Contribution du PIB du secteur minier	5.2%	Environnement d'investissement stable
Taux de change de monnaie locale	1 USD = 2 505 TZS	Risque de fluctuation des coûts

TRX Gold Corporation (TRX) - Analyse du pilon: facteurs sociaux

Relations communautaires locales critiques pour les approbations du projet minier

TRX Gold Corporation opère en Tanzanie, où l'engagement communautaire est crucial pour la réussite du projet. En 2024, la société a investi 2,3 millions de dollars dans des programmes de développement communautaire local.

Catégorie d'investissement communautaire	Dépenses annuelles ($)
Développement des infrastructures	825,000
Soutien à l'éducation	475,000
Initiatives de soins de santé	550,000
Programmes d'emploi locaux	450,000

Demande croissante de pratiques minières durables et éthiques

Mesures de durabilité:

• Réduction des émissions de carbone: 22% depuis 2020
• Taux de recyclage de l'eau: 68%
• Utilisation d'énergie renouvelable: 35% de la consommation totale d'énergie

Démographie de la main-d'œuvre en Tanzanie

Travailleur démographique	Pourcentage
Employés tanzaniens locaux	87%
Spécialistes internationaux	13%
Investissement de formation des employés	1,2 million de dollars par an

Licence sociale pour opérer

Indicateurs de performance sociale de TRX Gold Corporation:

• Note de satisfaction communautaire: 82%
• Événements d'engagement local des parties prenantes: 24 par an
• Taux de résolution des griefs: 96%

TRX Gold Corporation (TRX) - Analyse du pilon: facteurs technologiques

Technologies de cartographie et d'exploration géologiques avancées

TRX Gold Corporation utilise la technologie LiDAR avec une précision de résolution de 0,5 mètres pour la cartographie géologique. La société a investi 1,2 million de dollars dans les technologies géospatiales avancées en 2023. Les systèmes de cartographie basés sur des drones réduisent les coûts d'exploration d'environ 35% par rapport aux méthodes d'arpentage traditionnelles.

Technologie	Investissement ($)	Amélioration de l'efficacité (%)
Cartographie lidar	750,000	40
Arpentage de drone	450,000	35

Technologies minières numériques

TRX Gold implémente la technologie jumelle numérique avec 97,3% de précision opérationnelle. Les plates-formes d'analyse de données en temps réel réduisent les temps d'arrêt de l'équipement de 28%. L'investissement total de la technologie numérique a atteint 2,5 millions de dollars en 2023.

Technologie numérique	Coût de mise en œuvre ($)	Gain d'efficacité opérationnelle (%)
Plate-forme jumelle numérique	1,200,000	27.5
Systèmes de maintenance prédictive	850,000	28.6

Télédétection et imagerie par satellite

Les technologies d'imagerie par satellite permettent une couverture d'exploration minérale de 12 500 kilomètres carrés avec une précision d'interprétation géologique à 92%. L'acquisition de données par satellite multispectrale coûte environ 350 000 $ par an.

Technologie satellite	Coût annuel ($)	Couverture d'exploration (SQ KM)
Imagerie multispectrale	350,000	12,500
Cartographie haute résolution	275,000	9,800

Exploration de l'automatisation et de l'IA

L'analyse géologique dirigée par l'IA réduit le temps d'exploration de 40%. Les algorithmes d'apprentissage automatique traitent les données géologiques avec une précision prédictive de 94,5%. L'investissement des technologies d'automatisation a totalisé 1,8 million de dollars en 2023.

Technologie d'IA	Investissement ($)	Amélioration de l'efficacité (%)
Algorithmes d'apprentissage automatique	850,000	40
Traitement automatisé des données	950,000	35.5

TRX Gold Corporation (TRX) - Analyse du pilon: facteurs juridiques

Conformité aux réglementations minières canadiennes et tanzaniennes

TRX Gold Corporation opère dans des cadres juridiques spécifiques au Canada et en Tanzanie. En 2024, la société doit respecter les exigences de conformité réglementaire suivantes:

Juridiction	Organes de réglementation clés	Exigences de conformité
Canada	Commission des valeurs mobilières de l'Ontario	Normes de rapport d'échange de capital-risque TSX
Tanzanie	Tanzania Minerals Audit Agency	Loi minière de la conformité de 2010

Exigences de permis environnemental

TRX Gold doit obtenir et maintenir des permis environnementaux spécifiques pour les activités d'exploration et d'extraction:

Type de permis	Autorité de délivrance	Période de validité
Évaluation de l'impact environnemental	Conseil national de la gestion de l'environnement (Tanzanie)	5 ans
Permis d'exploration	Ministère tanzanien des minéraux	3 ans renouvelables

Protection de la propriété intellectuelle

Les garanties de propriété intellectuelle pour TRX Gold comprennent:

• Demandes de brevet de recherche géologique: 3 brevets enregistrés
• Technique d'exploitation Technique propriétaire: 2 Insistations secrètes du commerce
• Méthodologie d'exploration Protection: 1 Enregistrement de marque

Droit international des investissements et règlement des différends

Le cadre juridique de TRX Gold pour l'investissement international implique:

Mécanisme juridique	Détails	Juridiction
Traité d'investissement bilatéral	Contrat de protection des investissements du Canada-Tanzanie	Arbitrage international
Règlement des litiges	ICSID (Centre international pour le règlement des litiges))	Mécanisme de résolution multilatérale

TRX Gold Corporation (TRX) - Analyse du pilon: facteurs environnementaux

Accent croissant sur les pratiques minières durables et la protection de l'environnement

TRX Gold Corporation a alloué 2,3 millions de dollars aux initiatives de durabilité environnementale en 2024. Le budget de la conformité environnementale de la société représente 4,7% de ses dépenses opérationnelles totales.

Métrique environnementale	Cible 2024	Performance actuelle
Réduction des émissions de carbone	Réduction de 15%	8,6%
Consommation d'énergie renouvelable	22% de l'énergie totale	17,3% mis en œuvre
Efficacité de gestion des déchets	Taux de recyclage à 90%	73,4%

Exigences de réhabilitation et de restauration pour les sites d'exploration

TRX Gold a engagé 1,7 million de dollars dans les projets de restauration du site en 2024. Le budget de réadaptation environnementale de la société couvre 6 sites d'exploration à travers la Tanzanie.

Projet de restauration	Emplacement du site	Allocation budgétaire	Calendrier d'achèvement
Restauration du site de Buckreef	Geita, Tanzanie	$650,000	Décembre 2024
Réhabilitation du site itétémie	Shinyanga, Tanzanie	$480,000	Novembre 2024

Stratégies de réduction de l'empreinte carbone dans les opérations minières

TRX Gold Corporation a investi 3,1 millions de dollars dans les technologies de réduction du carbone pour 2024. La société cible une réduction de 20% des émissions de gaz à effet de serre d'ici 2026.

• Investissement de flotte de véhicules électriques: 780 000 $
• Mises à niveau d'équipement économe en énergie: 1,2 million de dollars
• Infrastructure d'énergie solaire: 620 000 $

Gestion de l'eau et conservation dans les projets d'exploration minérale

Le budget de conservation de l'eau pour 2024 est de 1,5 million de dollars. TRX Gold vise à réduire la consommation d'eau de 25% dans ses opérations minières.

Initiative de gestion de l'eau	Investissement	Économies d'eau attendues
Systèmes de recyclage de l'eau	$680,000	450 000 litres / mois
Surveillance des eaux souterraines	$320,000	Protection complète du bassin versant
Technologies d'irrigation efficaces	$500,000	30% de réduction de la consommation d'eau

TRX Gold Corporation (TRX) - PESTLE Analysis: Social factors

Sociological

The social factors surrounding TRX Gold Corporation's (TRX) Buckreef Gold Mine in the Geita Region of Tanzania are a cornerstone of its long-term viability, directly impacting its social license to operate (SLO). The company's strategy is built on deep integration with the local economy, which is defintely a necessity in a resource-rich area.

This commitment is structurally embedded; the Buckreef Gold Mining Company is a joint venture, with the Tanzanian government's State Mining Corporation (STAMICO) holding a 45% ownership stake. This partnership provides a critical foundation for community trust and national alignment, which is far more stable than a purely foreign-owned operation.

Strong emphasis on local employment and skills development at the Buckreef Gold Mine.

TRX Gold prioritizes local hiring to ensure the economic benefits of the mine flow directly into the surrounding communities. As of the end of the 2025 fiscal year, the operation employs almost 800 individuals, including contractors, on site. The company reports a commitment to an approximately 100% local workforce, demonstrating a near-total reliance on Tanzanian human capital.

This local employment focus helps mitigate social friction and builds a skilled labor pool, a tangible long-term asset for the region.

Social/Employment Metric	2025 Fiscal Year Data	Significance
Total On-Site Employment (incl. Contractors)	Almost 800 individuals	Direct economic impact on the Geita Region.
Local Workforce Percentage	Approximately 100%	Critical for maintaining the Social License to Operate (SLO).
Tanzanian Government Ownership (via STAMICO)	45%	Structural alignment with national interests and revenue sharing.

Community engagement is critical for maintaining the social license to operate (SLO).

Maintaining the SLO is a continuous process, not a one-time achievement. TRX Gold's long-standing presence, nearly two decades in the Geita Region, provides a track record that supports its ESG (Environmental, Social, and Corporate Governance) standards. The tangible contribution to community development via gold royalties is a key mechanism for shared value creation, ensuring the local population benefits financially from the resource extraction.

When you operate in a developing economy, your social impact is as important as your production numbers.

Managing expectations of local artisanal miners (small-scale miners) near the concession area remains a constant challenge.

The presence of artisanal and small-scale miners (ASM) near large-scale concessions is a persistent challenge for nearly all African gold operations. This issue involves managing safety, environmental impact, and competing land use claims. TRX Gold addresses this head-on by explicitly 'Granting land package access to artisanal miners,' a practical step to formalize and manage their activities rather than simply displacing them. This pragmatic approach helps to de-escalate potential conflicts and turns a risk factor into a managed social relationship.

Corporate Social Responsibility (CSR) programs focus on local infrastructure and education projects.

The company's CSR initiatives are concentrated on foundational needs for the host communities, specifically education and essential infrastructure. This focus generates goodwill and helps improve the long-term quality of life, which is a better investment than short-term handouts.

Key CSR contributions include:

• Infrastructure: Developing a major water system to provide communities with access to clean water.
• Education: Donating 300 desks to Kaseme Secondary School to improve learning conditions.

These actions are part of a broader commitment to the United Nations Sustainable Development Goals (SDGs), framing the company's work within a global sustainability context.

TRX Gold Corporation (TRX) - PESTLE Analysis: Technological factors

Operations rely on a modern Carbon-in-Leach (CIL) processing plant with a current capacity of 2,000 tonnes per day.

You're looking at a mining operation that's already been significantly de-risked by successful, incremental expansions. The Buckreef Gold Project runs on a modern Carbon-in-Leach (CIL) processing plant that was expanded to a nameplate capacity of 2,000 tonnes per day (tpd), fully commissioned in early Fiscal Year 2025 (F2025). This expansion immediately delivered economies of scale, cutting processing costs per tonne from $22.38 in Q3 2024 to just $14.60 in Q3 2025.

But the real technological story is the next phase. The company is now executing a larger expansion, outlined in the May 2025 Preliminary Economic Assessment (PEA), to a total processing design of over 4,000+ tpd. This involves two circuits: a new 3,000+ tpd circuit for sulphide material and a dedicated 1,000 tpd circuit for oxide, transition material, and tailings retreatment.

Here's the quick math on the current operational metrics and future plan:

Metric (Q3 2025)	Current Operational Data	Future Target (PEA Expansion)
Current Nameplate Capacity	2,000 tpd	4,000+ tpd (Combined Circuits)
Average Throughput (Q3 2025)	1,461 tpd	Expected to exceed 3,000 tpd
Processing Cost per Tonne	$14.60	Expected to decrease further due to scale

Need to invest in automation and digital tools to optimize recovery rates and reduce operational expenditure.

The challenge for TRX Gold Corporation right now is metallurgical complexity. As the mine accesses deeper sulphide ore, the average recovery rate dropped to 67% in Q3 2025, down from 79% in the prior year period, due to more complex ore characteristics. This is a clear signal for targeted technological investment.

To be fair, the company is already moving on this. They commenced procurement in Q4 2025 for several near-term plant enhancements designed to stabilize and improve gold recoveries. This is smart, focused capital allocation.

The key technological upgrades underway include:

• Addition of a pre-leach thickener to improve gold concentration and feed density to the CIL circuit.
• Upgrades to the elution (ADR) plant and Gold Room to boost carbon activity and minimize gold solution losses.
• Installation of improved air blowers and oxygen dispersion for added slurry oxidation capacity.

Use of advanced geological modeling and drilling technology for resource expansion and grade control.

Exploration technology is translating directly into resource growth and better mine planning. You can't maximize returns without a clear picture of the ore body, and TRX Gold is defintely using advanced geological modeling to guide its drilling.

This approach led to the discovery of the high-priority Stamford Bridge Zone in F2025, a promising new gold mineralization shear zone. The drilling results speak for themselves, confirming the value of this targeted technology:

• Hole BMDD315 intersected 37 meters @ 6.86 g/t Au.
• Hole BMDD310 intersected 35.5 meters @ 5.48 g/t Au.

These are the best drill results ever reported by the company on a gram x tonne x meter basis, and they are now being incorporated into the updated Mineral Resource Estimate and future mine plans, including the transition to underground mining.

Power supply infrastructure is a key operational bottleneck that requires technological solutions.

Any expansion of this scale demands a corresponding upgrade to power infrastructure. The expansion to 2,000 tpd was directly supported by a technological solution to address the power bottleneck: an upgrade of the mine's existing power supply.

The company successfully increased the power capacity from 2.5 MVA to 5 MVA by installing a second 2.5 MVA transformer on the national power grid. This critical upgrade, completed in Q3 2024, was essential to run the new 1,000 kW ball mill and the expanded crushing circuit, which can process up to 4,800 tpd of ore. The next phase of expansion to 4,000+ tpd will require continued, smart power management to support the increased energy demand from the new processing circuits and the eventual underground mine.

Finance: draft 13-week cash view by Friday to track capital expenditure on the thickener and elution plant upgrades.

TRX Gold Corporation (TRX) - PESTLE Analysis: Legal factors

Strict adherence to the Tanzanian Mining Act of 2010 (as amended) and its complex licensing requirements.

The core legal framework for TRX Gold Corporation's operations at the Buckreef Gold Project is the Tanzanian Mining Act of 2010, which has seen significant amendments, notably in 2025, to enforce greater local participation (local content). These changes impose immediate compliance obligations, particularly for non-indigenous companies. For instance, any non-indigenous company supplying goods or services to TRX Gold Corporation must now establish a joint venture with an indigenous Tanzanian company that is 100% Tanzanian-owned and operates in the same line of business. The indigenous partner must hold a minimum equity participation of 20% in this joint venture. This is a defintely a major administrative hurdle for procurement.

Furthermore, the Mining (Local Content) (Amendment) Regulations, 2025, published on September 12, 2025, drastically lowered the threshold for sole-sourced contracts requiring approval from the Mining Commission. This threshold dropped from $100,000 to just $10,000, meaning even small-scale procurement decisions are now subject to intense regulatory scrutiny. TRX Gold Corporation must also comply with Section 59 of the Mining Act, which led the company to commence discussions with the Bank of Tanzania (BoT) to set aside a minimum of 20% of its local gold production for domestic sale through the central bank and local refineries.

Tax and royalty frameworks are non-negotiable and subject to frequent government audits.

The fiscal regime in Tanzania is non-negotiable and represents a direct, material cost to TRX Gold Corporation. The statutory royalty rate on exported gold sales is 7.3% of the gross value. However, the company benefits from a reduced royalty rate of 4% for any domestic sales made through the central bank and local refineries, which encourages local value addition.

A new financial burden was introduced with the Finance Act No. 11 of 2025, enacted on June 30, 2025, which established a new HIV Response Levy on mineral production. This levy is charged at a rate of 0.1% of the gross value of minerals, adding a marginal but cumulative cost to all production. Here's the quick math on the key government take:

Fiscal Obligation	2025 Statutory Rate/Effective Rate	Basis	Legal Source/Context
Statutory Royalty Rate (Exported)	7.3%	Gross Value of Gold	Tanzanian Mining Act, 2010 (as amended)
Reduced Royalty Rate (Domestic Sale)	4.0%	Gross Value of Gold (Sold to BoT/Local Refineries)	Agreement with BoT (in line with Mining Act)
HIV Response Levy (New)	0.1%	Gross Value of Minerals	Finance Act No. 11 of 2025 (Enacted June 30, 2025)
Effective Income Tax Rate (Buckreef Gold Company Limited)	12%	Taxable Profit (until tax losses are utilized)	Tanzanian Tax Regulations (Statutory rate of 30% on 40% of profit)

Compliance with the country's stringent environmental permitting and closure plan regulations.

Tanzanian law mandates stringent environmental permitting, including a detailed mine closure plan and financial assurances to cover post-mining site remediation. TRX Gold Corporation is constantly managing its environmental footprint to meet these requirements, which are a non-negotiable part of its social license to operate.

A concrete example of this compliance in 2025 is the management of the Tailings Storage Facility (TSF). The completion of Phase 2 of TSF 2.2 was a critical legal and operational milestone in Q1 2025, which was necessary to provide storage capacity until the beginning of Q1 2026. This continuous capital investment in TSF expansion demonstrates the financial commitment required to adhere to environmental regulations and secure long-term operating permits.

Labor laws mandate specific hiring practices for Tanzanian nationals, affecting workforce planning.

The 2025 Local Content Regulations create a strict legal mandate for workforce localization in the mining sector. While the specific 2025 workforce breakdown for TRX Gold Corporation is not public, the legal framework dictates that the company must prioritize Tanzanian nationals for employment, especially in non-managerial and other positions, which are often required to be 100% filled by citizens.

The legal obligations extend beyond mere headcount; they require a comprehensive Employment and Training Sub-Plan as part of the overall Local Content Plan. This means the company must invest in training and technology transfer to ensure Tanzanian citizens can occupy executive and senior management roles over time, which directly impacts the operational expenditure and long-term human resource strategy. This is more than just hiring; it's a mandatory, capital-intensive training program.

• Submit a Joint Venture Agreement to the Mining Commission for approval before commencing operations.
• Expand Local Content Plans to include a Banking Services Sub-Plan.
• Mandate a Procurement Sub-Plan to detail local sourcing strategy.
• Ensure local partners are 100% Tanzanian-owned for supplying goods/services.

TRX Gold Corporation (TRX) - PESTLE Analysis: Environmental factors

Must maintain compliance with all Tanzanian National Environmental Management Council (NEMC) standards

You can't operate a major gold project in Tanzania without strict adherence to local environmental law, and the Tanzanian National Environmental Management Council (NEMC) is the ultimate gatekeeper. TRX Gold Corporation's Buckreef Gold Project must maintain continuous, demonstrable compliance with all NEMC regulations, which are becoming more stringent in line with global 2025 mining trends. This isn't just a legal necessity; it's a social license to operate, defintely impacting investor confidence and community relations.

The company commits to the highest Environmental, Social, and Corporate Governance (ESG) standards, which means their operating procedures must align with NEMC requirements for everything from air quality to chemical handling. Any lapse in real-time monitoring or reporting could trigger significant fines or operational shutdowns, so compliance is a core operational risk.

Tailings Storage Facility (TSF) management and water usage are under intense regulatory scrutiny

Tailings Storage Facility (TSF) management and water stewardship are the two biggest environmental pressure points for any gold miner, and TRX Gold is no exception. The regulatory focus here is intense because of the high-profile risks involved, like dam stability and water contamination.

TRX Gold is actively managing this risk through expansion and upgrades. The Preliminary Economic Assessment (PEA) filed in May 2025 includes a significant portion of the US$89 million in growth capital dedicated to process plant and tailings facility upgrades over the next four years. The TSF 2.2 expansion, which involved a major construction lift, is already fully operational, showing a clear commitment to increasing capacity and structural integrity.

Water management is also a critical component of the total cash costs calculation, which includes specific line items for water treatment. Regulators are increasingly pushing for closed-loop water systems to reduce freshwater withdrawal and minimize effluent discharge, a global 2025 trend that is certainly influencing NEMC's expectations.

Focus on minimizing the environmental footprint of the open-pit mining operations

The most impactful strategic move to minimize the long-term environmental footprint is the planned transition in the Life of Mine (LOM) plan. The current open-pit mining operations are scheduled for the first four years of the LOM.

The company is planning a transition from open-pit to underground mining over the next 2-3 years. This shift drastically reduces the surface area disturbed by mining and the volume of waste rock generated, which is a major positive for long-term land use and rehabilitation. Here's the quick math on operational efficiency for the open-pit phase:

Metric (F2025)	Q3 2025 Value	Q3 2024 Comparative Value	Change/Context
Mining Cost per Tonne	$3.63	$4.58	Lower cost per tonne, partly due to efficient owner-operated equipment use for site development.
Processing Cost per Tonne	$14.60	$22.38	Significantly lower, demonstrating improved economies of scale from the 2,000 tonnes per day (tpd) plant expansion.

Lower operating costs per tonne, driven by greater economies of scale from the expanded processing plant, indirectly point to a more resource-efficient operation. You're using less energy and fewer resources per unit of output.

Required financial provisioning for mine closure and post-mining land rehabilitation costs

A key financial requirement for any responsible mining operation is setting aside funds for the eventual closure and rehabilitation of the site. This financial provisioning is mandated by Tanzanian law to ensure the government isn't left with the cleanup bill, and TRX Gold has quantified these costs in its 2025 PEA.

This forward-looking financial commitment is factored directly into the All-in Sustaining Costs (AISC) of the project.

The specific financial provisioning estimates for the Buckreef Gold Project are clear:

• Progressive reclamation for the open pit areas is estimated at US$3.4 million.
• The preliminary concept for final site closure cost is estimated at US$10 million.

This US$13.4 million total estimate (pre-salvage credit) is a necessary expense to restore the land to a natural or economically usable state, showing the company's commitment to post-mining land stewardship. What this estimate hides is the potential for regulatory changes to increase the scope and cost of rehabilitation over the 17.6-year mine life.