Gold Resource reports Q2 2025 production down, secures funding for equipment upgrade.

• Gold Resource Corporation reports Q2 2025 results from Don David Gold Mine • Production lower than desired, but hard work starting to pay off • Secured funding through ATM sales and loan • Ordered new equipment to replace aging fleet • Capital injection expected to improve operations • Focus on digital data and improving operational efficiency • Mining company remains committed to growth and success.

Gold Resource Corporation (NYSE American: GORO) has reported its second quarter (Q2) 2025 operational results from its Don David Gold Mine (DDGM) near Oaxaca, Mexico. The company highlighted that while production remained lower than desired, it is starting to see the benefits of its strategic initiatives.

Production and Sales
In Q2 2025, DDGM produced and sold a total of 2,420 gold equivalent (AuEq) ounces, comprised of 878 gold ounces and 150,365 silver ounces. The average sales price per ounce was $3,350 for gold and $34.35 for silver [1].

Funding and Capital Investment
The company secured additional funding through its At-The-Market (ATM) offering and a loan agreement. The ATM program raised approximately $5.6 million in the second quarter, while the loan agreement provided $6.28 million. These funds were used to order new equipment and engage Cominvi Servicios, an experienced underground mining contractor, to accelerate the development of the Three Sisters vein systems [1].

Operational Improvements
Gold Resource Corporation has ordered a third dry stack filter press to increase processing throughput and improve return. The company is also focusing on digital data and improving operational efficiency to enhance overall performance. The appointment of Peter Gianulis to the board and Armando Alexandri as the new Chief Operating Officer reflects the company's commitment to strategic changes and operational excellence [1].

Financial Performance
The company reported a net loss of $11.5 million or $0.09 per share for the quarter, mainly due to lower production and a decrease in net sales. Total cash cost after co-product credits for the quarter was $4,017 per AuEq ounce, and total all-in sustaining cost (AISC) after co-product credits was $5,458 per AuEq ounce [1].

Outlook
Gold Resource Corporation remains committed to growth and success. The company believes that the new areas of the Three Sisters vein system have potential to generate positive cash flow. However, it acknowledges that the mine may not generate sufficient free cash flow in the near term without the addition of these areas to the life-of-mine plan. The company may be compelled to place the mine on "care and maintenance" status if it is unable to successfully develop the new mining areas [1].

References
[1] https://www.morningstar.com/news/business-wire/20250805618790/gold-resource-corporation-reports-financial-results-for-the-second-quarter-of-2025