Gold Resource Corporation Unveils Promising 2024 Drill Results

Gold Resource Corporation (NYSE American: GORO) has announced the 2024 exploration drill results from its Don David Gold Mine (DDGM) in Oaxaca, Mexico, revealing significant advancements that could reshape the mine's future. The results, which include notable high-grade intersections and a substantial increase in mineral reserves, suggest a promising outlook for the company's growth and profitability.

The 2024 exploration drill program focused on underground infill and expansion drilling within the Three Sisters and Gloria vein systems, as well as in veins of the North Arista system. The program yielded encouraging results, which were included in the updated S-K 1300 Technical Report Summary for DDGM released on March 5, 2025. The report highlights a 10% increase in tonnes in Mineral Reserves at December 31, 2024, compared to December 31, 2023. This increase is most significant in the recently discovered Three Sisters vein system, with an increase of over 800% in Mineral Reserves (526,152 t versus 57,890 t) and an 180% increase in Mineral Resource (662,749 t versus 234,014 t).

The 2024 drill results also confirmed and upgraded mineral resources from previous drilling campaigns within the Three Sisters and Gloria vein systems, as well as in veins of the North Arista system. Notable high-grade intersections were identified, advancing the exploration objectives by confirming the continuity and quality of polymetallic mineralization up-dip and along strike. For example, Hole No. 524005 in the Sandy 2 vein showed 4.70 m with 15.53 g/t AuEq and an NSR value of $966/t, including 2.01 m with 21.08 g/t AuEq and an NSR value of $1,298/t. Similarly, Hole No. 524008 in the Gloria vein showed 12.30 m with 4.77 g/t AuEq and an NSR value of $348/t, including 3.71 m with 6.17 g/t AuEq and an NSR value of $487/t.

These results suggest that the Three Sisters and Gloria vein systems have the potential to significantly contribute to the mine's future resource and enhance its bottom line with improved accessibility and reduced production costs. The Company believes that the mine has significant potential to generate positive cash flow from the new areas of Three Sisters and Gloria, as well as other areas that have been discovered near the existing mining zones. These new vein systems offer easily accessible resources, situated close to the current mine portal and at significantly higher elevations than current production areas, which should result in reduced haulage costs and reduced total production costs.



The significant increase in Mineral Reserves and Mineral Resources in the Three Sisters vein system can be attributed to several key factors:

1. Successful 2024 Drilling Program: The 2024 exploration drill program focused on underground infill and expansion drilling within the Three Sisters and Gloria vein systems. This program yielded encouraging results, which were included in the updated S-K 1300 Technical Report Summary for DDGM released on March 5, 2025. The program confirmed and upgraded mineral resources from previous drilling campaigns, particularly within the Three Sisters vein system. For instance, the Three Sisters vein system saw an increase of over 800% in Mineral Reserves (526,152 t versus 57,890 t) and an 180% increase in Mineral Resource (662,749 t versus 234,014 t).

2. High-Grade Intersections: Notable high-grade intersections were identified during the drilling program, advancing exploration objectives by confirming the continuity and quality of polymetallic mineralization up-dip and along strike. For example, Hole No. 524005 in the Sandy 2 vein showed 4.70 m with 15.53 g/t AuEq and NSR value of $966/t, including 2.01 m with 21.08 g/t AuEq and NSR value of $1,298/t. These high-grade intersections indicate the potential for significant mineralization in the area.

3. Accessibility and Reduced Production Costs: The new vein systems, including the Three Sisters, offer easily accessible resources situated close to the current mine portal and at significantly higher elevations than current production areas. This accessibility should result in reduced haulage costs and reduced total production costs, making the mine more efficient and profitable.

4. Investment in Additional Equipment and Development: To develop access and better define these new areas, an investment must be made in additional equipment and development. This investment is crucial for further exploration and development, as it will enable additional infill and expansion drilling to the northwest of the current defined vein extents in the Three Sisters/Gloria zone.

These factors are likely to influence future exploration and development strategies at the mine in several ways:

- Continued Exploration: The Company expects to conduct additional exploration development in 2025 to enable further infill and expansion drilling. This continued exploration will help to better define the extent of the mineralization and potentially uncover additional high-grade intersections.

- Mine Planning: The discovery and definition of the Three Sisters vein system will be integrated into the future mine plan. This will involve developing the system into a significant contributor to the mine's overall production and resource base.

- Investment in Infrastructure: The mine will need to invest in additional equipment and development to access and define these new areas. This investment will be crucial for maximizing the potential of the new vein systems and ensuring their integration into the mine's operations.

- Enhanced Shareholder Value: The potential for improved accessibility and reduced production costs, along with the significant increase in Mineral Reserves and Mineral Resources, is expected to enhance the bottom line and maximize shareholder value and organic growth.

In summary, the 2024 drill results at DDGM indicate a strong long-term viability and growth potential for the mine, with significant increases in mineral reserves and resources, high-grade intersections, and the discovery of new vein systems that offer improved accessibility and reduced production costs. The Company's commitment to developing these new areas and further advancing its exploration efforts is expected to maximize shareholder value and organic growth.