Highlights

  • Casposo’s production for the remainder of 2025 is projected at 4,000–6,000 GEOs
  • Q4 2025 Casposo output expected at 4,000–6,000 gold equivalent ounces (GEOs)
  • Casposo joins Guanaco Mine in Chile as Austral Gold’s active operations

Austral Gold Limited (ASX:AGD) is an Australia-based gold and silver mining company focused on exploration and development of copper-gold projects in the Americas. The company informed that has resumed commercial production at its Casposo Mine, located in Argentina. The plant refurbishment has been completed, including a commissioning phase that started in December 2024 and was supported by a USD 7M bank loan.

Austral Gold plans to transition to open-pit mining through an arrangement with a local contractor, providing mining services under the company’s supervision.

Around 230 gold equivalent ounces (GEOs) of doré were produced during commissioning from leftover plant material and historical samples cleared by Argentine customs.

Production Guidance

Casposo’s production for the remainder of 2025 is projected at 4,000–6,000 GEOs, averaging around 1,800 GEOs per month. This forecast includes the 230 GEOs produced during commissioning. Production is projected to comprise approximately 70% gold and 30% silver.

Metallurgical recovery rates under the agitation leaching process are forecast at 90.3% for gold and 85.8% for silver, with average head grades of 1.88 g/t gold and 80.73 g/t silver GEOs are determined using a silver-to-gold ratio of 91:1, with gold priced at USD 2,500 per ounce and silver at USD 27.5 per ounce.

Management Comment

Austral Gold’s CEO, Stabro Kasaneva, stated:

“We are pleased to announce the restart of operations at Casposo, marking a significant milestone for the company as we expand our production base along existing mining operations at Guanaco. This development positions us to generate improved cash flow and strengthen our financial position. I thank our team for their dedication in completing the plant refurbishment and our debtholders and shareholders for their continued support.”

Operational Context

The Casposo Mine now operates alongside the Guanaco Mine in Chile, contributing to Austral Gold’s production profile in Argentina and Chile. The company is finalizing arrangements to scale up production through open-pit mining under contractor supervision.

Share Performance of ADG

AGD is currently trading at AUD 0.120, up by 155.31% from its last close of AUD 0.047.