Key Takeaways:
ACG Metals Ltd (LSE:ACG, OTC:ACGAF) produced 18,487 ounces of gold equivalent in the first half of 2026, surpassing its full-year oxide production target of 17,500 ounces within six months, as surging precious metals prices offset lower output during the transition from oxide to sulphide mining at its Gediktepe operation in Türkiye.
"The period reflected solid operational performance and disciplined execution by the operating team," Artem Volynets, chairman and chief executive of ACG Metals, said.
Realized gold prices rose 64% year-over-year to $4,838 an ounce, while silver jumped 142% to $78.2 an ounce, supporting strong revenues despite a 17% decline in gold-equivalent output. All-in sustaining costs climbed 52% to $1,609 an ounce, driven by higher royalties on elevated commodity prices and lower production volumes. C1 cash costs rose 70% to $622 an ounce.
The company is transitioning from oxide to sulphide ore processing, with the Gediktepe Sulphide Expansion Project 87.2% complete as of June 30. First copper and zinc concentrate production is expected in August, after which ACG will switch to copper equivalents as its primary reporting metric. The company reiterated full-year guidance of 20,000 to 22,000 tonnes of copper equivalent at all-in sustaining costs of $2.40 to $2.60 a pound.
Sulphide Expansion on Track
All major equipment has been delivered to the Gediktepe site, with civil works completed and mechanical, piping and electrical installation advanced. Mining crews stripped 10 million tonnes of waste and rehandled 133,000 tonnes of sulphide ore during the half. Net debt stood at $140 million as of June 30, supported by $60 million in cash including $28 million of restricted cash. The majority of project capital expenditure has been incurred, including payment for substantially all major process equipment and long-lead items.
Proprietary Recovery Process Boosts Output
ACG also advanced a proprietary heap-leach recovery technique, patented in Türkiye and pending in 35 other countries, that lifted commercial gold recovery to approximately 85% from 75% previously while cutting cyanide consumption by roughly 45%. Residual production and re-leaching activities are expected to contribute a further approximately 2,500 ounces of gold equivalent by year end.
The company produced 39,200 ounces of gold equivalent in full-year 2025, placing it among the smaller precious metals producers globally. The transition to copper production positions ACG to benefit from rising demand for the red metal driven by electrification and renewable energy infrastructure.
This article is for informational purposes only and does not constitute investment advice.
