Cerrado Gold Inc. has announced a robust operational and financial performance for the third quarter of 2025, headlined by a significant increase in gold production and a solid financial position as it advances its key development projects.
Strong Operational and Financial Performance
The company reported production of 13,832 Gold Equivalent Ounces (GEO) from its Minera Don Nicolas (MDN) mine in Argentina during the third quarter. This represents a substantial 21% increase compared to the 11,437 GEO produced in the previous quarter. The all-in sustaining cost (AISC) for this production was $1,915 per ounce.
Financially, Cerrado Gold delivered an Adjusted EBITDA of $11.8 million for Q3 2025. The company also reported a strong cash position of $16.5 million. A notable positive development is the upcoming expiration of a partial hedge at the end of December 2025, which is expected to increase the company's realized gold sale prices moving forward.
Record Heap Leach and Underground Development
A key driver of the quarterly success was the heap leach operation, which achieved a record production of 10,429 GEO, marking a 33% increase over the second quarter. This performance was attributed to the expanded crushing capacity and improved recovery rates.
Underground development at the Paloma deposit is advancing well, with three access portals expected to reach production stopes in the fourth quarter. The CIL plant has begun processing ore from this underground development, and a production ramp-up is anticipated in Q4 2025 as higher-grade underground material begins to supplant the lower-grade stockpile feed currently being used.
Expanded Exploration and Project Updates
Cerrado Gold has maintained its full-year 2025 production guidance of 50,000 to 55,000 GEO. The company's initial 20,000-meter exploration drill program is being expanded by an additional 50,000 meters. To accelerate this effort, three new drill rigs are scheduled to arrive in the fourth quarter.
To address delays in receiving assay results, the company is in the process of certifying its own testing lab, which is expected to dramatically reduce turnaround times. Significant progress was also reported at the company's other key assets: the Lagoa Salgada polymetallic project in Portugal and the Mont Sorcier high-purity DRI iron project in Quebec.
Management will host a conference call to discuss these results on Monday, December 1st, at 11:00 AM EST. The company's full financial results are available on SEDAR+ and its corporate website.
