Mountain Province Diamonds Inc. ("Mountain Province", the "Company") (TSX: MPVD) & (OTC: MPVD) today announces financial results for the first quarter ended March 31, 2025 ("the Quarter" or "Q1 2025") from the Gahcho Kué Diamond Mine ("GK Mine"). All figures are expressed in Canadian dollars unless otherwise noted.

Financial Highlights for Q1 2025

Operational Highlights for Q1 2025(all figures reported on a 100% basis unless otherwise stated)

Sales Highlights for Q1 2025

As previously released, during Q1 2025, 426,000 carats were sold for total proceeds of $44.0 million (US$30.7 million), resulting in an average value of $103 per carat (US$72 per carat). These results compare to Q1 2024 when 938,000 carats were sold for total proceeds of $89.4 million (US$66.1 million), resulting in an average price of $95 per carat (US$70 per carat).

Mark Wall, the Company's President, and Chief Executive Officer, commented: 

"The diamond market remained depressed in Q1 2025, and this was a real challenge from a cashflow perspective.  On the mine operations side we executed another successful ice-road resupply season safely and on plan.  Safety at the operations remained a key focus area, with the Total Recordable Injury Frequency Rate (TRIFR) finishing at 2.14, which was a material improvement on the TRIFR of 6.37 for Q1 2024.

The processing plant continued to perform very well, with total tonnes treated in Q1 2025 improving by 15% compared to Q1 2024.  On the negative, the grade for Q1 2025 was 48% lower than Q1 2024.  The grade reduction was expected while lower grade stockpiles were treated during the period that we are stripping down to the higher grade NEX orebody, although the grade reduction experienced in the stockpile was greater than anticipated.  Confidence remains in the overall grade of the stockpile, but at around 3 million tonnes there are pockets of higher and lower grade that will be experienced.  We have begun treating areas of higher grade although the minerology of the ore will reduce the tonnes able to be treated by the processing facility.

On the all-important mining side, the total tonnes mined increased by 28% in Q1 2025 when compared to Q1 2024.  The significant increase in mining rate is the result of a sustained focus on drill and blast efficiency, people efficiency, maintenance efficiency and short-term planning efforts.  At this time, I anticipate earlier access to the high grade NEX ore than was originally anticipated in the plan, which will help us later in the year.

I am optimistic that the turbulence in the global markets will stabilize as we move through 2025 and the diamond market will recover.

As previously announced, during Q1 2025, we saw the closing of the Refinancing Transactions , which served to address the reclamation liabilities owed to De Beers as operator of the GK Mine, provide an immediate injection of capital to address the 2025 near cash flow deficit faced by the Company, and extend the term of the Second Lien Notes to December 2027, which were due to mature in December 2025. Furthermore, we recently announced that at our AGM to be held on May 16th, Shareholders will be asked to pass an ordinary resolution approving a new working capital facility from Dunebridge Worldwide Ltd., a related party of the Company, in the amount of CAD33,000,000, or the USD equivalent amount. In respect of these transactions for which we have received much appreciated support from De Beers and our financing partners, I would like to recognize the stalwart support of our largest shareholder and debt holder, Mr. Dermot Desmond. "

Gahcho Kué Mine Operations

The following table summarizes key operating statistics for the Gahcho Kué Mine in Q1 2025, and Q1 2024. 

Financial Performance 

Conference Call

The Company will host its quarterly conference call on Wednesday May 14th, 2025, at 11:00am ET.

Title: Mountain Province Diamonds Inc Q1 2025 Earnings Conference Call

Conference ID: 19522Date of call: 05/14/2025Time of call: 11:00 Eastern TimeExpected Duration: 60 minutes

Webcast Link:https://app.webinar.net/pKjva5r9zNm Participant Toll-Free Dial-In Number:             (+1) 888-699-1199Participant International Dial-In Number:       (+1) 416-945-7677

A replay of the webcast and audio call will be available on the Company's website.

Reconciliation of Non-IFRS measures

This news release refers to the terms "Cash costs of production per tonne of ore processed" and "Cash costs of production per carat recovered", both including and net of capitalized stripping costs and "Adjusted Earnings Before Interest, Taxes Depreciation and Amortization (Adjusted EBITDA)" and "Adjusted EBITDA Margin". Each of these is a non-IFRS performance measure and is referenced in order to provide investors with information about the measures used by management to monitor performance. These measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. They do not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers.

Cash costs of production per tonne of ore processed and cash costs of production per carat recovered are used by management to analyze the actual cash costs associated with processing the ore, and for each recovered carat. Differences from production costs reported within cost of sales are attributed to the amount of production cost included in ore stockpile and rough diamond inventories.

Adjusted EBITDA is used by management to analyze the operational cash flows of the Company, as compared to the net income for accounting purposes. It is also a measure which is defined in the Notes documents. Adjusted EBITDA margin is used by management to analyze the operational margin % on cash flows of the Company.

The following table provides a reconciliation of the Adjusted EBITDA and Adjusted EBITDA margin with the net income on the condensed consolidated interim statements of comprehensive (loss) income:

The following table provides a reconciliation of the cash costs of production per tonne of ore processed and per carat recovered and the production costs reported within cost of sales on the condensed consolidated interim statements of comprehensive (loss) income:

About Mountain Province Diamonds Inc.

Mountain Province Diamonds is a 49% participant with De Beers Canada in the Gahcho Kué diamond mine located in Canada's Northwest Territories. The Gahcho Kué Joint Venture property consists of several kimberlites that are actively being mined, developed, and explored for future development. The Company also controls more than 113,000 hectares of highly prospective mineral claims and leases surrounding the Gahcho Kué Mine that include an Indicated mineral resource for the Kelvin kimberlite and Inferred mineral resources for the Faraday kimberlites. Kelvin is estimated to contain 13.62 million carats (Mct) in 8.50 million tonnes (Mt) at a grade of 1.60 carats/tonne and value of US$63/carat, at February 2019. Faraday 2 is estimated to contain 5.45Mct in 2.07Mt at a grade of 2.63 carats/tonne and value of US$140/ct, at February 2019. Faraday 1-3 is estimated to contain 1.90Mct in 1.87Mt at a grade of 1.04 carats/tonne and value of US$75/carat, at February 2019. All resource estimations are based on a 1mm diamond size bottom cut-off.

Qualified Person

The disclosure in this news release of scientific and technical information regarding Mountain Province's mineral properties has been reviewed and approved by Tom McCandless, Ph.D., P.Geo, and Mr. Tysen Hantelmann, P.Eng., independent advisors to the Company and Qualified Persons as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects.

Caution Regarding Forward Looking Information

This news release contains certain "forward-looking statements" and "forward-looking information" under applicable Canadian and United States securities laws concerning the business, operations and financial performance and condition of Mountain Province Diamonds Inc. Forward-looking statements and forward-looking information include, but are not limited to, statements with respect to operational hazards, including possible disruption due to pandemic such as COVID-19, its impact on travel, self-isolation protocols and business and operations, estimated production and mine life of the project of Mountain Province; the realization of mineral reserve estimates; the timing and amount of estimated future production; costs of production; the future price of diamonds; the estimation of mineral reserves and resources; the ability to manage debt; capital expenditures; the ability to obtain permits for operations; liquidity; tax rates; and currency exchange rate fluctuations.  Except for statements of historical fact relating to Mountain Province, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "anticipates," "may," "can," "plans," "believes," "estimates," "expects," "projects," "targets," "intends," "likely," "will," "should," "to be", "potential" and other similar words, or statements that certain events or conditions "may", "should" or "will" occur.  Forward-looking statements are based on the opinions and estimates of management at the date the statements are made and are based on a number of assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements.  Many of these assumptions are based on factors and events that are not within the control of Mountain Province and there is no assurance they will prove to be correct.

Factors that could cause actual results to vary materially from results anticipated by such forward-looking statements include the development of operation hazards which could arise in relation to COVID-19, including, but not limited to protocols which may be adopted to reduce the spread of COVID-19 and any impact of such protocols on Mountain Province's business and operations, variations in ore grade or recovery rates, changes in market conditions, changes in project parameters, mine sequencing; production rates; cash flow; risks relating to the availability and timeliness of permitting and governmental approvals; supply of, and demand for, diamonds; fluctuating commodity prices and currency exchange rates, the possibility of project cost overruns or unanticipated costs and expenses, labour disputes and other risks of the mining industry, failure of plant, equipment or processes to operate as anticipated.

These factors are discussed in greater detail in Mountain Province's most recent Annual Information Form and in the most recent MD&A filed on SEDAR, which also provides additional general assumptions in connection with these statements. Mountain Province cautions that the foregoing list of important factors is not exhaustive. Investors and others who base themselves on forward-looking statements should carefully consider the above factors as well as the uncertainties they represent and the risk they entail. Mountain Province believes that the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. These statements speak only as of the date of this news release.

Although Mountain Province has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be anticipated, estimated or intended.  There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Mountain Province undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements. Statements concerning mineral reserve and resource estimates may also be deemed to constitute forward-looking statements to the extent they involve estimates of the mineralization that will be encountered as the property is developed.

Further, Mountain Province may make changes to its business plans that could affect its results. The principal assets of Mountain Province are administered pursuant to a joint venture under which Mountain Province is not the operator. Mountain Province is exposed to actions taken or omissions made by the operator within its prerogative and/or determinations made by the joint venture under its terms. Such actions or omissions may impact the future performance of Mountain Province. Under its current note and revolving credit facilities, Mountain Province is subject to certain limitations on its ability to pay dividends on common stock. The declaration of dividends is at the discretion of Mountain Province's Board of Directors, subject to the limitations under the Company's debt facilities, and will depend on Mountain Province's financial results, cash requirements, future prospects, and other factors deemed relevant by the Board.

SOURCE Mountain Province Diamonds Inc.

SOURCE: Mountain Province Diamonds Inc.

FOR FURTHER INFORMATION, PLEASE CONTACT: Mark Wall, President, and CEO, 161 Bay
Street, Suite 1410, Toronto, Ontario M5J 2S1, Phone: (416) 361-3562, E-mail:
info@mountainprovince.com

COMTEX_465484488/2197/2025-05-13T17:00:00