Serabi Gold's Stellar Q2-2025 Performance: Key Highlights

Serabi Gold's Exceptional Q2-2025 Production Results

Serabi Gold plc (AIM:SRB, TSX:SBI), a dedicated gold mining company focused on Brazilian operations, proudly shares its production results and operational milestones for the second quarter of FY2025. The figures reflect a strong upward trend in performance, showcasing the company's commitment to growth in the sector.

Q2-2025 Highlights

Production Insights

• Gold production reached a remarkable 10,532 ounces, marking a significant increase of 17% compared to Q2-2024.
• The development team completed over 3,850 metres of horizontal mining advancements, a 10% increase over the previous quarter, achieving the highest quarterly development since operations resumed in 2013.
• Cash reserves stood at $30.4 million as of June 30, 2025, a rise from $26.5 million recorded at the end of March 2025.
• Net cash at the end of the quarter amounts to $24.6 million, up from $21.1 million at the close of Q1-2025.
• The company is positioned to meet its 2025 production guidance, targeting a total output of between 44,000 – 47,000 ounces of gold.

Exploration Successes

Serabi Gold is excited about the promising results from its brownfield exploration initiatives at the Palito Complex and Coringa Mine. Early drilling results indicate substantial potential:

• At the Palito Complex's Senna orebody, drilling revealed 0.6m at 27.17 g/t Au from a depth of 274m.
• Further drilling in the same area showed results of 1.05m at 6.42 g/t Au.
• At Coringa's Jatobá and Galena orebodies, results included 0.5m at 27.78 g/t Au and 0.5m at 52.07 g/t Au.
• Additionally, the São Domingos target yielded impressive results, including 1.65m at 80.50 g/t Au.

These early exploration outcomes are part of Serabi's Phase II growth strategy, aiming to expand its mineral resource inventory significantly.

CEO Mike Hodgson's Insights

Mike Hodgson, the CEO, remarked on the company’s performance: “This quarter follows a strong first quarter with an even better second quarter. With 10,532 ounces produced, this is the highest output recorded since 2013. Year-to-date production stands at 20,545 ounces, slightly ahead of budget.”

He highlighted the 17% increase compared to the same quarter last year and noted that both Palito and Coringa have shown grade improvements. For instance, Palito's year-to-date plant feed grades are 27% higher than the 2024 average, while Coringa's grades have surged 12%.

Hodgson also reported that the ore sorter at Coringa has been instrumental in optimizing production, enabling the team to process previously stockpiled low-grade ore while channeling higher-grade material directly to the Palito plant. This approach has allowed for increased gold output from Coringa beyond initial forecasts.

Coringa Area Production Developments

The Coringa mine continues to evolve, contributing to the overall gold output. Production targets are currently focused on various levels, including the new Meio zone, which has recently commenced stoping activities. Although progress is slightly slower due to rock conditions, encouraging grade data is reported as development deepens.

Financial Overview

As of June 30, 2025, Serabi reported a cash balance of $30.4 million, reflecting effective financial management. The net cash position stood at $24.6 million, showcasing a robust financial trajectory.

In January 2025, the company successfully repaid a $5.0 million unsecured loan with Itau Bank, and subsequently secured a new loan of $5.0 million from Banco Santander, which offers favorable repayment terms and a reduced interest rate.

Future Production Guidance

Looking ahead, Serabi Gold remains on track to achieve its consolidated production target of 44,000 – 47,000 ounces for 2025. With positive cash flow and strategic exploration, the company is well-positioned for continued growth.

About Serabi Gold plc

Serabi Gold plc focuses on gold exploration, development, and production in Brazil, particularly in the Tapajós region. With the Palito Complex consistently generating 30,000 to 40,000 ounces annually, plans are underway to double production through the Coringa Gold project. The company recently announced a new copper-gold porphyry discovery within its exploration licenses, enhancing its growth potential.

Frequently Asked Questions

What are Serabi Gold's production results for Q2-2025?

Serabi Gold achieved a production of 10,532 ounces of gold in Q2-2025, a 17% increase from Q2-2024.

How has the financial position of Serabi Gold improved?

The company reported a cash balance of $30.4 million as of June 30, 2025, and a net cash position of $24.6 million, reflecting solid financial growth.

What exploration initiatives is Serabi currently involved in?

Serabi is conducting exploration at the Palito Complex and Coringa Mine, yielding promising results indicating an increase in its mineral resource inventory.

What is Serabi Gold's production guidance for 2025?

Serabi Gold is on track to achieve a consolidated production target of 44,000 – 47,000 ounces of gold for FY2025.

Where is Serabi Gold plc headquartered?

The company is headquartered in the United Kingdom, with operational focus in Brazil, particularly in the Tapajós gold district.

About The Author

Hi there I'm 38-year-old author and financial consultant Owen Jenkins. Having worked in the financial sector for more than ten years, I am well-versed in the subtleties and complexity that mold our financial environment. Following a degree in finance, I worked in a number of financial institutions honing my abilities in market analysis, financial planning, and investment strategies.

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