Allied Gold: Record Quarterly Production and Cost Reductions in Q4 2024

Allied Gold Corporation (TSX: AAUC) (OTCQX: AAUCF) has announced its preliminary operating results for the fourth quarter ending December 31st, 2024, achieving record quarterly production and demonstrating significant cost reductions. The Company produced 99,632 ounces of gold in Q4, well in line with previously issued production guidance of 98,000 to 102,000 ounces. This result is consistent with Allied's previous outlook and guidance that annual production from its producing mines is expected to be 375,000 to 400,000 ounces of gold.



Key Contributors to the Record Production:

1. Sadiola Mine: At Sadiola, increased production of 54,210 ounces was driven by a full quarter of production from Korali oxide ore of approximately 48,000 ounces. The Company has previously indicated that Korali is an interim step pending the completion of the first phase expansion at Sadiola to achieve consistent annual production of 200,000 to 230,000 ounces.
2. Côte d'Ivoire (CDI) Complex: At the CDI Complex, total production was 45,422 ounces, continuing the solid performance of the third quarter and bolstered by the strong production of Agbaou's 25,163 ounces during the quarter.

Costs Trending Down:

Pro-Forma All-in Sustaining Costs ("AISC")(1) for the quarter are improved from AISC(1) for the third quarter. AISC(1) is expected to be not more than $1,780 per gold ounce sold pro forma to gold sales from Korali produced in the fourth quarter and sold after the year-end. As the Company reports AISC(1) on an ounces sold basis, rather than ounces produced, costs will be shown on a pro-forma basis as the inventory of ounces produced from Korali was sold subsequent to the end of the year due to certain administrative delays.

Strong Financial Position:

The Company's cash balances, including year-end cash and proceeds from Korali gold sales immediately following year-end, are expected to exceed $340 million. While these post-year-end sales increase overall cash, the Company notes that, for accounting purposes, a working capital deficit will have been recorded as of year-end. This is due to certain payables being deferred pending the sale of a significant inventory of Korali gold, which had accumulated by year-end and was sold subsequently.

Ongoing Growth Projects:

The Kurmuk project construction and the Phase 1 expansion at Sadiola are progressing well and remain on time and on budget, while exploration activities continued to target mineral inventory increases across the portfolio. The Company is also in discussions with SOREM (Mali state-owned mining company) to pursue potential mining opportunities in the vicinity of Sadiola and other highly prolific areas in Mali. While definitive arrangements have not been concluded at this time, the Company is encouraged with the prospects under evaluation and discussion and with the cooperativeness and engagement with in-country authorities.

In conclusion, Allied Gold Corporation's record quarterly production and cost reductions in Q4 2024 demonstrate the Company's commitment to driving expansion and optimization at existing mines, developing synergies across existing operations and new projects, and the progression of exploration. These efforts have resulted in a strong financial position and a promising outlook for future growth. Investors should closely monitor Allied Gold's progress as it continues to execute its growth strategy and deliver value to shareholders.