1. AAUC produced 91,017 ounces of gold in Q2 2025, up 8.3%. 2. Operational enhancements aim for increased production and cost reductions. 3. Second half production expected to rise significantly, especially in Q4. 4. Total AISC per ounce sold has improved; anticipated decrease to $1,850 in H2. 5. Kurmuk project on track for mid-2026 first gold production.
The improvement in gold production and cost management directly strengthens AAUC's growth outlook, supported by strategic enhancements and successful expansion efforts.
The article details significant operational progress, production increases, and turnaround strategies that are pivotal in shaping investor confidence and long-term value for AAUC.
As production increases and costs decrease in the upcoming quarters, the long-term value of AAUC's stock is likely to reflect these improvements.
TORONTO, Aug. 6, 2025 /PRNewswire/ - Allied Gold Corporation (TSX: AAUC) (NYSE: AAUC) ("Allied" or the "Company") reports second quarter of 2025 production of 91,017 gold ounces which aligns with plan, represents an increase of 8.3% from last quarter, and positions the Company to meet its guidance for the year as presented below.
| Quarter | Production ounces | AISC |
|---|---|---|
| Q1 2025 | 84,040 | $1,811 |
| Q2 2025 | 91,017 | $2,343 |
| Q3 2025 | 88,000 - 91,000 | Second half of year at approximately $1,850 |
| Q4 2025 | 118,000 - 122,000 |
Kurmuk: The Company continues to track well against plan for the Kurmuk Project, both in terms of physical completion and spend, having continued to achieve key milestones and progress during the second quarter of 2025. The Company is well-positioned to achieve the goal of commencing production by mid-2026. Being less than a year away from first production, the Company is advancing technical studies aimed at improving operational confidence and flexibility, including potential increases in plant throughput among other improvements and targeted optimizations.
At the end of the second quarter, Engineering and Procurement have achieved approximately 90% progress. Transportation of key equipment is advancing well, with delivery to site of key components such as the Carbon-in-Leach ("CIL") tanks and grinding mills. Structural fills at the plant terrace were completed. Key areas, including crushing, grinding, and leaching, were handed over to the civil works contractor, allowing rebar installation and concrete works. Key bulk earthworks progress outside the process plant area was achieved ahead of the rainy season. Structural, Mechanical, Plate and Piping (SMPP) contractor fabrication is progressing well, and development of the main accommodation camp is nearing completion. Mobilization of the mining fleet is ongoing with the site delivery expected imminently, and mining pioneering was completed during the quarter.
For the quarter ended June 30, 2025, $71.3 million was spent on the Kurmuk project, comprising direct construction capital expenditures and exploration activity.
The Company remains positioned to achieve the next milestones, which include:
The first phase of expansion at Sadiola advanced on schedule and on budget during the second quarter. Earthworks, civil works and structural fill, along with engineering and procurement, are progressing well with engineering and procurement essentially complete. The first components of the modular three-stage crushing plant have been shipped to site, and preparatory earthworks in the area have commenced. The mill motor has landed on site, as have the mill components. The first batch of structural steel has arrived on site and erection will commence imminently. Major mechanical equipment, including the cyclones and pumps are en route and will arrive on site for installation during the third quarter.
Allied executed a number of strategic transactions and initiatives during the second quarter, reinforcing a fortress balance sheet, further improving the Company's financial flexibility, enhancing trading liquidity and broadening the shareholder base. The transactions include:
Gold production of 91,017 ounces during the three months ended June 30, 2025, was in line with expectations and driven by strong performance at Bonikro and Sadiola. The average gold production for the year is expected to follow a 45%/55% weighting between the first and second half, with the fourth quarter being the strongest of the year.
| Mine | Production Gold Ounces | Sales Gold Ounces | Cost of Sales Per Gold Ounce Sold | Cash Cost Per Gold Ounce Sold | AISC Per Gold Ounce Sold |
|---|---|---|---|---|---|
| Sadiola Gold Mine | 49,283 | 43,648 | $2,493 | $2,351 | $2,471 |
| Bonikro Gold Mine | 25,775 | 22,517 | $1,928 | $1,384 | $1,592 |
| Agbaou Gold Mine | 15,959 | 14,938 | $2,267 | $2,085 | $3,104 |
| Total | 91,017 | 81,103 | $2,294 | $2,034 | $2,343 |