GoGold Financial Report - Q3 2025

• Profitability achieved: Net income of $8.2 million and operating cash flow of $7.2 million in Q3 2025
• Revenue increased 71%: Quarterly revenue of $17.7 million versus $10.4 million in Q3 2024
• Production delivered: 555,500 silver equivalent ounces at cash costs of $17.21 per ounce
• Cash reserves: $139 million following $57 million financing completed during the quarter
• Sales volume: 527,933 silver equivalent ounces at average realised price of $33.54 per ounce

GoGold Resources (TSX:GGD) is a silver and gold producer with mining projects in Mexico. The company currently operates the Parral tailings reprocessing facility in Chihuahua state, which processes historical tailings material to extract precious and base metals. This facility represents the company's primary revenue-generating asset. Based in Halifax, Nova Scotia, GoGold owns the Los Ricos South and North projects in Jalisco state, which remain in development phases. The company focuses on projects in Mexico's established mining regions, operating the Parral facility while advancing permitting and development work on its pipeline assets.

Quarterly Financial Performance

GoGold recorded net income of $8.2 million for Q3 2025, compared to a net loss of $483,000 in the same period of 2024. The turnaround resulted from higher production volumes and increased metal prices during the quarter. Cost of sales totalled $10.2 million, yielding operating income of $4.6 million.

Revenue reached $17.7 million, up from $10.4 million in Q3 2024. The company sold 527,933 silver equivalent ounces at an average price of $33.54 per ounce, compared to 365,119 ounces at $28.37 per ounce in the prior year. Higher silver prices contributed to the revenue increase alongside greater sales volumes.

Operating cash flow of $7.2 million contrasted with negative cash flow of $2.2 million in Q3 2024. CEO Brad Langille stated that "Parral continued to generate significant cash flow for the Company during the quarter, driving operating cash flow of $7 million which is exceeding our spending at Los Rios and corporate costs." Year-to-date operating cash flow totalled $20.3 million.

Operational Performance

The Parral facility produced 555,500 silver equivalent ounces during Q3 2025, consisting of 201,616 ounces of silver, 3,100 ounces of gold, 128 tonnes of copper, and 140 tonnes of zinc. The operation processed 402,906 tonnes of tailings material during the quarter. Production levels supported sales volumes while maintaining working inventory.

Cash costs per silver equivalent ounce decreased to $17.21 from $18.54 in Q3 2024. All-in sustaining costs were $22.78 per ounce, down from $24.59 in the comparable period. The cost reductions reflect operational improvements and higher throughput rates at the facility.

Processing rates at Parral have remained consistent over recent quarters, with the facility handling between 400,000 and 430,000 tonnes per quarter. Recovery rates for silver, gold, and base metals have stabilised as operational parameters were optimised. The facility continues to process tailings from historical mining operations in the Parral district.

Balance Sheet and Capital Position

Cash holdings increased to $139 million at quarter-end, representing a $61 million increase during the three-month period. The increase included $57 million from a financing completed during the quarter, with the remainder from operating cash flow generation. The company maintains no long-term debt obligations.

Working capital totalled approximately $140 million at June 30, 2025. Current assets exceeded current liabilities, with cash representing the largest component of the balance sheet. The company's financial position provides funding capacity for development activities at Los Ricos South without additional external financing requirements.

Management indicated the cash reserves will support anticipated development spending on the Los Ricos South project. Langille noted:

"With our strong cash flow generation and our cash position of $139 million we are well capitalised as we anticipate a permit for our Los Ricos South project."

Permitting activities continue for the development project.

Development Timeline

GoGold awaits regulatory approval for the Los Ricos South project, which represents the next phase of the company's development plans. The project has completed feasibility studies and environmental assessments as part of the permitting process. Development timelines will depend on regulatory approval schedules and construction planning.

The company continues operations at Parral while advancing Los Ricos South through the permitting phase. With revenue increasing 108% year-to-date compared to 2024, current operations provide funding for development activities and corporate expenses. The combination of operational cash flow and available capital supports the transition from single-asset operations to multi-project development.

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