Allied Gold Commences Phase 1 Expansion At Sadiola

(RTTNews) - Allied Gold Corporation (AAUC, AAUC.TO) announced the successful start of operations at its Sadiola mine, marking a major milestone in the Company's transformational growth strategy. The commencement of ore processing through the newly installed fresh ore comminution circuit under the Phase 1 expansion is expected to significantly enhance production, reduce costs, and increase cash flows.

With the new circuit in place, Sadiola can now increase the proportion of fresh ore in its feed from approximately 20% to 60%, at a throughput of 5.7 million tonnes per annum. This improvement is expected to materially enhance operational flexibility. The first quarter of 2026 will be the first full quarter to benefit from higher-grade fresh ore, with production levels expected to vary in the medium term as mining progresses toward multi-year higher-grade pushbacks.

Allied is also advancing engineering and design work for the installation of a pre-leach thickener in 2026, which will expand fresh and transitional ore processing capacity. In addition, upgrades to the processing plant's control systems are planned to improve efficiency and reduce operating costs. These initiatives form part of the Phase 2 expansion, scheduled to commence late next year, which will further increase production capacity and metallurgical recoveries.

Upon completion of Phase 1, Sadiola is expected to deliver annual production of 200,000 to 230,000 ounces of gold starting in 2026 — representing a 17% to nearly 30% increase compared to 2023 levels. Phase 2, targeted for completion by 2029, is expected to provide additional long-term production growth.

In the current quarter, Sadiola expects to produce approximately 60,000 ounces of gold, a 40% increase over the average of prior quarters this year. Strong contributions from Allied's Côte d'Ivoire operations, particularly the Bonikro mine, are expected to lift overall quarterly production to more than 113,000 ounces — up nearly 30% from earlier quarters and 13% higher than the same period last year.

Allied Gold continues to maintain its full-year guidance of over 375,000 ounces of gold production.