Cerrado Gold Inc. reported a 35% increase in second-quarter 2026 gold-equivalent production to 15,415 ounces, driven by higher output from its San Nicolas mine in Argentina. The Toronto-listed miner’s Q2 2026 output compared with 11,437 ounces in the same period last year, according to a corporate presentation dated August 19, 2026.
First-half 2026 production totaled 28,257 gold-equivalent ounces, up from 22,600 ounces in the prior-year period. Heap leach operations contributed 9,981 GEOs, while the carbon-in-leach plant added 5,434 GEOs. The company maintained full-year 2026 guidance of 50,000 to 60,000 GEOs, trending toward the upper end of the range.
All-in sustaining costs rose to $1,933 per ounce from $1,779 in the year-ago quarter, reflecting inflationary pressures in Argentina, where labor and contractor expenses account for roughly 60% of production costs. Management targets an AISC of around $1,800 per ounce. Argentina’s annualized inflation rate is approximately 30%.
Financial performance improved, with adjusted EBITDA reaching $28.2 million in Q2 2026, compared with $24.1 million in the prior-year period. Twelve-month trailing EBITDA stood at $94.25 million, while trailing revenue increased 11% year-over-year to $421.75 million. Q2 2026 revenue totaled $64.56 million, and net income from operations rose to $9.2 million from $1.2 million a year earlier. Earnings per share were $0.07. The company held $25.3 million in cash at quarter-end.
Cerrado Gold also outlined operational milestones, including the arrival of a new underground drill rig in July 2026. A targeted definition drill program at the Mont Sorcier iron ore project in Quebec is planned for Q3 2026 to convert inferred resources to measured resources. A new Preliminary Economic Assessment and Mineral Resource Estimate for Mont Sorcier is targeted for Q1 2027, with the Bankable Feasibility Study completion pushed to H1 2027.
Construction at the Lagoa Salgada VMS project in Portugal could begin in the second half of 2027, subject to permits and financing. The Environmental and Social Impact Assessment for Mont Sorcier is expected to be filed in Q2 2027.
Chief Executive Mark Brennan said the Q2 results reflected increased production and cash flow, noting that strong operational cash generation was supporting the company’s financial position despite wage inflation in Argentina.
