Galiano Gold Q2 Earnings Call Highlights

Galiano Gold produced 34,391 ounces in Q2 and more than 69,000 ounces in the first half, near the upper end of its prior guidance. Management maintained full-year production guidance and projected 2026 all-in sustaining costs of $2,300–$2,600 per ounce. Abore drove operations while Nkran investment increased: Abore supplied about 77% of second-quarter mill feed, with higher grades expected later in the year. Galiano invested $22.1 million in Nkran pre-stripping, though Nkran is not expected to contribute significant ore until late 2028 or 2029. Q2 revenue reached $156.6 million, adjusted EBITDA was $78.5 million, and the company remained debt-free, although $26 million of cash was restricted due to a legal dispute. Galiano also increased its 2026 exploration budget to $25 million to advance Esaase resource conversion and Abore growth ahead of a potential 2027 production increase.

Galiano Gold NYSEAMERICAN: GAU reported second-quarter gold production of 34,391 ounces, bringing first-half output to more than 69,000 ounces as the company continued development work at its Asanko Gold Mine and funded exploration programs aimed at extending mine life. Chief Executive Officer Matt Badylak said first-half production was near the upper end of the company’s previously communicated 60,000-ounce to 70,000-ounce range. Management maintained its full-year production and all-in sustaining cost guidance, with all-in sustaining costs projected at $2,300 to $2,600 per ounce for 2026. The company recorded no lost-time injuries or total recordable injuries during the quarter. As of June 30, Badylak said Galiano’s workforce had completed approximately 11 million hours without a lost-time injury and reached 456 consecutive incident-free days.

Operating performance supported by Abore Executive Vice President and Chief Operating Officer Michael Cardinaels said the company mined about 1.8 million tons of ore during the quarter at an average grade of 0.9 grams per ton. Ore tonnage increased roughly 15% from the first quarter, while grades were in line with expectations. Abore was the primary source of mill feed, contributing approximately 77% of total ore mined in the second quarter. Mining has advanced into deeper areas of the pit, where Galiano expects to access higher grades later in the year. Cardinaels said Abore is expected to provide approximately 80% of mill feed during the second half. Mining at Esaase continued to provide supplemental mill feed. Meanwhile, at Nkran Cut 3, Galiano mined 6.1 million tons of waste during the quarter, a 30% increase from the first quarter. The company invested $22.1 million in pre-stripping during the second quarter, bringing year-to-date pre-strip investment to $35.6 million. Additional equipment is being commissioned to support higher mining rates. Cardinaels said the company’s mining partner has mobilized the full complement of trucks to site, while two additional excavators are undergoing commissioning. The equipment is expected to be operating in the third quarter, with the fleet reaching full complement by the fourth quarter. Nkran is not expected to make a meaningful ore contribution to the production profile until the back end of 2028 and into 2029, according to Cardinaels.

Processing performance was affected by maintenance on the ball mill gearbox in June and ongoing work on the primary crusher pit. Despite the interruptions, the operation achieved a 90% metallurgical recovery rate on average feed grade of approximately 0.9 grams per ton. Cardinaels said remaining primary crusher work is expected to be comp...