Comstock Q2 Earnings Call Highlights

Comstock said it finished Q2 with a stronger balance sheet , holding about $31.4 million in cash and no debt, and expects another $20 million from the planned sale of its legacy mining assets. Management said that sale would also reduce ongoing reclamation and operating costs and let the company focus more on recycling. The company’s first industry-scale solar panel recycling facility is expected to begin ramping in August, with annual capacity of 100,000 tons and an initial target of about 25% utilization. Management said the operation is designed to produce clean, saleable glass and metals while building toward cash-flow breakeven at higher utilization levels. Comstock is also advancing its Sierra Springs land-and-water monetization effort, including a precedent gas agreement that could support up to 300 MW of power and potentially much more in a follow-on opportunity. Separately, the company is recalibrating its Bioleum strategy, with revenue from fuels not expected until 2027.

Comstock NYSEAMERICAN: LODE executives said the company ended the second quarter of 2026 with a stronger balance sheet, completed major capital spending on its first industry-scale solar panel recycling facility and remains focused on monetizing legacy mining and real estate-related assets. Chief Financial Officer Judd Merrill said Comstock ended the quarter with approximately $31.4 million in cash and no debt. Total working capital was $39.9 million, based on $58.1 million in current assets and $18.2 million in current liabilities.

Merrill said the company expects another $20 million in cash in August upon closing a securities purchase agreement tied to the sale of 100% of its legacy mining assets to Mackay Precious Metals. He said the transaction would also remove mining reclamation liabilities, bonding requirements and related costs from Comstock’s balance sheet, while allowing the company to retain upside through net smelter return royalties across the district and equity in Mackay. “The mining sale will also eliminate annual costs of about $1.4 million and free our capacity to focus more on the recycling business,” Merrill said. Capital Deployment Focused on Metals and Sierra Springs Merrill said Comstock’s largest source of cash during the first half of the year was its January equity financing, which generated approximately $56 million in net proceeds. The company also generated nearly $6.5 million in additional proceeds, including more than $2 million from mining asset sales, $1.8 million from debt extinguishment-related recoveries and $2.6 million in solar panel recycling revenue, including deferred revenue from Comstock Metals. On the spending side, Merrill said the company invested approximately $21 million into Sierra Springs, enabling the closing of more than 2,200 acres of land and nearly 2,000 acre-feet of water rights. The investment increased Comstock’s ownership in Sierra Springs to nearly 50%, according to the company. Comstock also spent approximately $5 million completing its first industry-scale metals recycling facility, $1.3 million expanding product upgrade capabilities, approximately $1.4 million advancing new metals recovery technologies and approximately $3 million on metals operating costs as operations ramped. Merrill said Comstock was added to the Russell 2000 and Russell 3000 indexes in late June, which the company views as a step in strengthening its institutional capital base. Solar Panel Recycling Facility Set to Begin Continuous Operations Chief Executive Officer Corrado De Gasperis said Comstock’s first industry-scale solar panel recycling system is expected to begin ramping in August after final testing and commi