Allied Gold Reports Third Quarter 2025 Results: Solid Performance and on Track for Improved Production
NEWS RELEASE
ALLIED GOLD REPORTS THIRD QUARTER 2025 RESULTS: SOLID PERFORMANCE AND ON TRACK FOR IMPROVED PRODUCTION
TORONTO, ON – November 5, 2025 ─ Allied Gold Corporation (TSX: AAUC, NYSE: AAUC) (“Allied” or the “Company”) reports its financial and operational results for the third quarter of 2025. The Company produced 87,020 ounces of gold during the quarter and sold 92,099 ounces of gold during the same period. Production and sales were in line with expectations and operating plans, which fully support strong fourth quarter production as previously guided. All-in Sustaining Costs ("AISC")(1) for the period were $2,092 per ounce of gold sold, showing a material improvement from the previous period. As previously disclosed, the significant planned increase in production in the fourth quarter, along with operational improvements and mine sequencing, is expected to drive further meaningful cost improvements. Progress on growth projects during the quarter is aligned with plans, and supports the Company's strategy for achieving significant production growth with reduced costs and increased margins.
THIRD QUARTER HIGHLIGHTS
Operational Highlights
- Production and Fourth Quarter Expectations: The Company produced 87,020 ounces of gold in the third quarter, in line with expectations and operating plans, which fully support strong production in the fourth quarter as previously guided. Gold production for the fourth quarter is expected to be the highest of the year, driven primarily by higher grades, leading to improved performances at Bonikro and Sadiola and by the completion of the Phase 1 expansion at Sadiola expected in December. Annual production is expected to be above 375,000 gold ounces which is in line with the Company’s guidance and consistent with Allied’s broader production outlook from its producing mines of 375,000 to 400,000 ounces of gold per annum. While formal guidance for 2026 is expected to be provided early in that year, the Company is targeting annual production from its existing operations at the high end of the outlook range with more consistent quarter-overquarter performance. Further, results in the fourth quarter and thereafter are expected to benefit from the continued improvements the Company has made to its operations, and a series of operational enhancements and strategic initiatives aimed at delivering materially stronger operations. These include confirmatory drilling of high-grade areas, continued refinement of block models and grade-control processes, progressive mobilization of new mining equipment at Sadiola for material improvement of fleet availability and productivity, changes to mine management and hiring experienced local management including in Mali.
At Bonikro and Agbaou, in Côte d'Ivoire, fourth quarter production will be driven mainly by the stripping completed earlier this year, which has allowed access to higher-grade areas. Fourth quarter production at Bonikro is expected to increase by up to 40% compared to the average of the preceding quarters.
At Sadiola, in western Mali, operations are progressing normally and as planned. Operating, logistical and project development activities are progressing as usual, with inventories of consumables at normal levels. With fourth-quarter production expected to be up to 40% higher than the average of previous quarters, Sadiola is positioned to meet full-year guidance and is setting the foundation for stronger production next year. Production is expected to be driven by oxide ore feed from new zones discovered and developed in 2025, along with processing a higher proportion of higher-grade fresh ore following the completion of the Phase 1 expansion which continues to advance, in the fourth quarter.
- Gold Sales: Sales exceeded production in the quarter, totalling 92,099 gold ounces, as anticipated and previously guided, due to the sale early in the third quarter of inventory built up in the second quarter.
- Costs Improving: Total cost of sales(4) of $2,087, Cash Costs(1) of $1,911, and AISC(1) of $2,092, reported by the Company on a per ounce sold basis. These figures include royalties linked to higher gold prices and increased waste removal at Agbaou, which has begun resulting in higher production in the third quarter. AISC(1) for the quarter materially improved from the second quarter. As previously disclosed, the significant planned increase in production in the fourth quarter, along with operational improvements and mine sequencing, is expected to drive further meaningful cost improvements. As described in the Company's annual guidance, every $100 per ounce increase in the price of gold results in $15 per ounce higher consolidated AISC(1), which was based on a baseline for guidance of $2,500 per ounce, and at an average market price for royalty calculations of $3,457 per ounce for the third quarter, consolidated AISC(1) was impacted by over $140 per ounce, with the impact at Sadiola being disproportionately higher due to higher gold-price-driven royalty percentages and residual contributions from Korali-Sud before being phased out.
- Quarterly results for 2025 year-to-date are summarized as follows:
Q1 2025 Q2 2025 Q3 2025
| Production ounces | 84,040 | 91,017 | 87,020 |
| AISC(1) | $ 1,811 | $ 2,343 | $ 2,092 |
- Performance by Asset:
- Sadiola: production totalled 42,174 ounces and was in line with plan. Ore feed came primarily from Stage 5 and Sekekoto West, with Korali-Sud contributing early in the quarter before being phased out. The Company advanced development of moderate- to high-grade zones including Sekekoto North and Stage 5, which are expected to contribute to fourth quarter production and carry into 2026. Additional higher-grade oxide ore is expected next year from Sekekoto North as well as FE4 and FE2.5, where exploration success has accelerated development toward production.
- Bonikro: production amounted to 21,953 ounces and was in line with plan. Higher grades were sourced mainly from the Stage 3 pit while stripping was advanced at Stage 5. Throughput and recoveries improved following completion of plant enhancements, increased crusher availability, improved fragmentation, and strengthened maintenance practices.
- Agbaou: strong production of 22,893 ounces represented a 43% increase from the second quarter. Higher grades from South Sat 3, West Pit 7 and West Pit 2 drove the production improvement while Agbale and Assondji So supplied additional oxide ore supporting higher throughput and improved plant performance.
Financial Results Highlights
- Earnings:
- Third quarter net loss of $17.9 million or $(0.15) per share.
- Third quarter adjusted earnings(1) of $33.3 million or $0.29 per share.
- Cash Flows and EBITDA:
- Net cash generated from operating activities for the quarter was $181.5 million.
- Operating cash flows before income tax paid, government settlements and movements in working capital was a strong inflow of $196.3 million.
- EBITDA(1) and Adjusted EBITDA(1) for the three months ended September 30, 2025, were $70.8 million and $109.8 million, respectively.
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- Strong Financial Position: As of September 30, 2025, the Company had cash and cash equivalents of $262.3 million. The $50.0 million revolving-credit facility (including a $10.0 million accordion) remained undrawn. In addition to available credit, the Company has liquidity available through future draws on the Kurmuk gold stream. Available liquidity, coupled with an anticipated step change in production and commensurate cost reduction for the remainder of the year resulting in additional flexibility from increased cash flows, positions the Company to execute on Kurmuk's remaining capital expenditures, and other capital allocation priorities. Further, subsequent to quarter end, the Company completed an overnight marketed equity offering, for total net proceeds of $134.0 million, further increasing cash positions.
Advancement of Key Growth Initiatives
Kurmuk: The Kurmuk Project continues to track well against plan, both in terms of physical completion and spend, while achieving key milestones and progress during the third quarter of 2025.
The project is progressing well, with engineering substantially completed. The key focus during the quarter and the rest of the year is on logistics for transporting equipment and materials to the site, finishing technical concrete works around the grinding area, and advancing the mechanical erection at the processing plant site. Mining activities at Ashashire and Dish Mountain, the two initially planned open pits which account for the current inventory of ounces, are progressing according to plan, with the objective of building at least three months’ worth of high-grade ore stockpiles to support the start of operations in mid- 2026. Kurmuk will continue advancing mechanical erection throughout the fourth quarter, as well as progressing remaining earthworks, commencing electrical installation, infrastructure and ancillary facilities. The Ethiopian Electrical Power Company is progressing the installation of the power line to site, which is expected to be completed in early 2026. Pre-commissioning activities are planned to start at the beginning of the second quarter, with first gold expected for mid-2026. The Company expects Kurmuk to produce an average of 290,000 ounces per year for the first four years and 240,000 ounces per year on average for the mine’s life, with AISC(1) below $950 per ounce.
Along with the advancement of engineering for the project, the Company completed a review of the capacity of the processing plant in consideration of the ore inventory and the exploration progress at Dish, Ashashire and Tsenge. Allied made a strategic decision to maximize the operational flexibility for Kurmuk since the start of operations, and is now targeting an average processing capacity of up to 6.4 Mt/y. This increased flexibility is being incorporated into the execution of the project, with subsequent modifications to the leaching circuit expected to be deployed in the future to increase fresh ore recoveries. The expanded processing capacity is expected to drive a modest increase in capital costs, consistent with consensus estimates on a capital intensity basis. The enhancements and optimizations are expected to make Kurmuk a stronger, de-risked operation upon commencement of production, providing upside and operational flexibility, aligning with the company’s long-term strategy of maximizing value at each of its assets.
For the quarter ended September 30, 2025, $60.0 million was spent on the Kurmuk project, comprising direct construction capital expenditures and exploration activity.
Sadiola Phased Expansion: The Phase 1 expansion is advancing according to plan, with significant progress made to the end of the third quarter and into October on the mill and crushing areas. The Phase 1 expansion is expected to be operational late in the fourth quarter, which will enable Sadiola to incorporate up to 60% fresh ore into the feed. As fresh ore makes up the majority of the ore inventory at the mine, and in particular at the Sadiola Main deposit, the completion of Phase 1 not only allows Sadiola to treat a higher proportion of the abundant higher-grade fresh ore, but it also allows the mine to increase its efficiency and overall performance, as mining operations can be concentrated in fewer, bulkier areas, and use new oxide areas as production upside.
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The Company is also evaluating progressive expansion options for the existing plant following Phase 1, targeting comparable production levels at lower capital intensity. These studies indicated that adding a pre-leach thickener to the circuit can allow the plant to process up to 90% of the fresh ore in the feed, significantly increasing operational flexibility and the opportunity to boost production and reduce costs. Given that a pre-leach thickener is required regardless of the future expansion scenario selected, the Company decided to start its engineering and design in the third quarter and is planning for its construction in 2026, along with other minor quick-return improvements to the processing circuit.
Exploration
During Q3 2025, 46,686 metres of drilling in 428 holes were completed across Mali, Côte d’Ivoire and Ethiopia. The program aims to both replace and grow mineral inventories with low discovery costs, extending mine life, and enhancing operational flexibility with the aim of increasing production and margins.
At Sadiola, exploration drilling has intersected significant new zones and extensions at Sekekoto West/S12, Tambali, FE2 Trend, and FE3/4 Trend with Sekekoto West and the southern part of the FE2 Trend (FE2.5) potentially providing short-term, new and more proximal high and medium-grade oxide resources for the Sadiola mill as mining at Korali Sud winds down. Details on these zones can be found in the October 29, 2025 Press Release "Allied Gold Reports Exploration Results at Sadiola Demonstrating Continued Discovery In A World-Class Mineralized System" available on SEDAR+ at www.sedarplus.ca and on the Company’s website at https://alliedgold.com. Mineralization remains open along strike and at depth across all four target areas.
Progress for Côte d’Ivoire and Ethiopia is discussed below, and an exploration update for Kurmuk is planned later in November and an update for CDI scheduled for January 2026.
Equity Offering
Subsequent to quarter end, on October 20, 2025, the Company filed a prospectus supplement related to an overnight marketed equity offering. Pursuant to this offering, 7,143,200 common shares were issued at a price of C$27.35 per share for gross proceeds of approximately $139.6 million (CAD$195.3 million) and net proceeds of approximately $134.0 million (CAD$187.4 million) further increasing financial flexibility and positioning the Company to accelerate the pursuit of value creation across its portfolio.
For further details related to the offering please refer to the prospectus supplement dated October 20, 2025, and the accompanying base shelf prospectus dated October 1, 2024, available on SEDAR+ at www.sedarplus.ca.
Sustainability, Health and Safety Highlights
- The Company did not report any significant Environmental Incidents for the three months ended on September 30, 2025.
- The Company’s Total Recordable Injury Rate (TRIR) was 1.87, compared to a TRIR of 2.50 in the comparative prior year quarter.
- In terms of Lost Time Injuries (“LTI”), the Company reported one LTI for the three months ended September 30, 2025, compared to three LTI in the comparative prior year quarter, which results in a Company Lost Time Injury rate (“LTIR”) for the three months ended September 30, 2025 of 0.16, compared to a LTIR of 0.75 in the comparative prior year quarter.
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Summary of Operational Results
For three months For three months For three months ended September ended March 31 ended June 30, 30, 2025 2025 2025
| Gold ounces | |||
|---|---|---|---|
| Production | 84,040 | 91,017 | 87,020 |
| Sales(8) | 131,520 | 81,103 | 92,099 |
| Per Gold Ounce Sold | |||
| Total Cost of Sales(4) | $ 1,838 | $ 2,294 | $ 2,087 |
| Cash Costs(1) | $ 1,656 | $ 2,034 | $ 1,911 |
| AISC(1) | $ 1,811 | $ 2,343 | $ 2,092 |
| Average revenue per ounce | $ 2,814 | $ 3,098 | $ 3,310 |
| Average market price per ounce | $ 2,860 | $ 3,280 | $ 3,457 |
Gold production of 87,020 ounces during the three months ended September 30, 2025, compared to 85,147 ounces during the comparative prior period. The increase was predominantly driven by strong performance at Sadiola and Agbaou in relation to the comparative prior year period.
Total cost of sales(4) on a per gold ounce sold basis of $2,087 for the three months ended September 30, 2025 compared to $1,729 during the comparative prior period. Cash Costs(1) on a per gold ounce sold basis of $1,911 for the three months ended September 30, 2025, compared to $1,587 during the comparative prior period. AISC(1) on a per ounce gold sold basis for the current quarter of $2,092 compared to $1,867. AISC(1) for the quarter materially improved from the second quarter. As previously disclosed, the significant planned increase in production in the fourth quarter, along with operational improvements and mine sequencing, is expected to drive further meaningful cost improvements.
As described in the Company's annual guidance, every $100 per ounce increase in the price of gold results in $15 per ounce higher consolidated AISC(1), which was based on a baseline for guidance of $2,500 per ounce, and at an average market price for royalty calculations of $3,457 per ounce for the third quarter, consolidated AISC(1) was impacted by over $140 per ounce, with the impact at Sadiola being disproportionately higher due to higher gold-price-driven royalty percentages and residual contributions from Korali-Sud before being phased out.
At Agbaou, costs benefited from increased production, a result of securing access to higher-grade ore with the prioritization of waste removal earlier in the year and into the third quarter. This strategy further allows higher grades and increased production in the last quarter of 2025, and supports increased operational flexibility and production levels in 2026. Costs in the third quarter at Agbaou associated with waste removal were significantly lower than in the second quarter, notwithstanding the continued activities. While waste movement is expected to continue, ore feed, gold grades and production are expected to materially increase resulting in reduced costs and increased cash flows. In addition to operational factors, increased waste removal in 2025 allows for less reliance on short-term resource conversion to support production levels in 2026, creating a bridge to focus additional exploration spending at Agbaou on more transformational targets aimed at adding ounces and with an objective to increase mine life at Agbaou by four to six years, with the completion of the first stage exploration program in 2026. Production in 2026 is expected to further increase from the current year. Costs at Bonikro were also in line with expectations. At Sadiola, as previously disclosed, the 2023 mining code is expected to impact costs by
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approximately $240 to $300 per ounce, with Korali-Sud attracting further government and third-party royalty burdens of an additional $200 per ounce, as it is subject to the full impact of the 2023 mining code without derogation of royalties. With residual contributions from Korali-Sud during the quarter, costs were impacted commensurately. When compared to the prior year comparative quarter, increased gold prices and the 2023 mining code have resulted in an impact of nearly $500 per ounce in the Sadiola structure year-over-year.
Fourth quarter AISC(1) is anticipated to decrease, notwithstanding an increase in gold price-based royalties due to higher gold prices. Mostly, the decreases in AISC(1) are expected to stem from increased production and the benefit of disproportionate operating and waste removal costs in the first nine months of the year. Further, the ongoing benefits from cost control and reduction programs, the completion of Phase 1, which will contribute to production in the fourth quarter, along with further upside from potential oxide discoveries at Sadiola which provide relatively inexpensive high-quality ounces, are expected to drive continued quarter-over-quarter AISC(1) improvements. The impact on cash flows is expected to be magnified in the fourth quarter, when production is expected to meaningfully increase. Further, the higher grades at Agbaou and the Phase 1 completion at Sadiola, which will allow higher contribution of fresh ore and increased operational flexibility, will carry on to benefit the first quarter of 2026 and beyond.
Gold sales totalled 92,099 ounces for three months ended September 30, 2025 compared to 78,939 ounces sold in the comparative period. Gold sales were higher than production in the quarter, as anticipated and previously guided, due to the sale in the third quarter of built-up inventory from the second quarter.
Gold production was 262,077 ounces during the nine months ended September 30, 2025, in line with the 258,459 ounces in the comparative period. As previously disclosed, production for the year is expected to follow a 45%/55% weighting between the first and second half, with the fourth quarter being the strongest of the year.
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Sadiola (80% interest), Mali
Sadiola comprises the Sadiola (80% interest) open pit gold mine, located in the Kayes region of Mali, as well as the Korali-Sud open pit gold mine (65% interest), 15 kilometres south of the processing plant at Sadiola. The remaining ownership in Sadiola is retained by the Government of Mali.
For three months ended Sadiola Key Performance Information September 30, (100% Basis) 2025
| Operating | |
|---|---|
| Ore mined (M tonnes) | 0.82 |
| Waste mined (M tonnes) | 6.79 |
| Ore processed (M tonnes) | 1.24 |
| Gold | |
| Production (Ounces) | 42,174 |
| Sales(8) (Ounces) | 45,368 |
| Feed grade (g/t) | 1.20 |
| Recovery rate (%) | 88.3 % |
| Total cost of sales per ounce sold(4) | $ 2,166 |
| Cash costs per ounce sold(1) | $ 2,092 |
| AISC per ounce sold(1) | $ 2,224 |
| Financial (In thousands of US Dollars) | |
| Revenue | $ 151,452 |
| Cost of sales (excluding DDA) | (95,353) |
| Gross profit excluding DDA(1) | $ 56,099 |
| DDA | (2,924) |
| Gross Profit | $ 53,175 |
| Capital Expenditures (In thousands of US Dollars) | |
| Sustaining | $ 1,246 |
| Expansionary | 24,876 |
| Exploration | 208 |
For the three months ended September 30, 2025, Sadiola produced 42,174 ounces of gold. Production in the third quarter was largely in line with plan and was supported by fresh and oxide ore mined from Sadiola Stage 5, FE4, Sekekoto West and Korali-Sud before being phased out. Korali-Sud served as a bridge between the current operations at Sadiola and the completion of Phase 1 expansion, which the Company expects will allow the plant to process up to 60% of higher-grade fresh ore at an increased throughput rate of 5.7Mt/y, with construction advancing on schedule and on budget. The Phase 1 expansion is expected to ramp up late in the fourth quarter, stabilizing production at an annualized rate of over 200,000 ounces, with further details noted below.
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The Company has advanced development of new moderate- to high-grade zones including Sekekoto North and Stage 5, which are expected to contribute to fourth quarter production and carry into next year. Contributions of higher-grade oxide ore next year are also expected from Sekekoto North, along with FE4 and FE2.5 where exploration efforts have delineated new resources and accelerated their development toward production.
Following continued mobilization of additional equipment by the mining contractor in the third quarter, further equipment additions are planned for the fourth quarter. Although the mining contractor has experienced certain delays with the delivery of new mining equipment during the quarter due to logistical issues, resulting in extended use of older equipment with lower mechanical availability, it has deployed rental equipment to mitigate impacts and support production targets in the fourth quarter and into 2026 as new equipment is delivered to the site before the end of the year.
Instrumentation upgrades at the process plant have delivered measurable improvements in performance. Between January and September 2025, throughput increased by 267,000 tonnes through enhanced control systems, refined instrumentation, and improved process stability. Complementary technical upgrades, such as increased capacity of the regrind mill cyclone feed pump, are underway to support sustained higher throughput and recovery rates. The Phase 1 process plant upgrade, which will contribute to production in the fourth quarter, will consolidate these improvements, reinforcing both efficiency and output potential. In the fourth quarter, a new pebble crusher will allow for an increase in the proportion of fresh ore in the feed blend, uplift feed grade, and boost gold production in the fourth quarter in anticipation of the completion of the Phase 1 expansion.
To capitalize on these operational gains and strengthen cash flow, a comprehensive performance and cost-control program has been launched across Sadiola. Over 60 targeted initiatives are currently in progress, focusing on contractor optimization, equipment productivity, feed strategy, energy efficiency, and workforce structure. These initiatives are expected to yield partial cost reductions in Q4, with more structural and sustainable savings anticipated from 2026 onward. With rising mining volumes, improved fresh-ore preparation, and active improvement programs, Sadiola is well positioned to stabilize production and sustain stronger margins over the medium term.
Along with the advancement of the growth strategy for Sadiola, the Company is advancing its energy program (see "Sadiola Energy Program.") This upgrade will ensure Sadiola can sustain the ounce profile until the full plant expansion is complete. Despite some reported disruptions to fuel supplies in certain parts of the country, activities at Sadiola continue normally, with no impacts on operations. Further, additional fuel storage capacity has recently been added to Sadiola as part of the Phase 1 expansion.
As described in the Company's annual guidance, every $100 per ounce increase in the price of gold results in $15 per ounce higher consolidated AISC(1), which was based on a baseline for guidance of $2,500 per ounce, and at an average market price for royalty calculations of $3,457 per ounce for the third quarter, consolidated AISC(1) was impacted by over $140 per ounce, with the impact at Sadiola being disproportionately higher due to higher gold-price-driven royalty percentages and residual contributions from Korali-Sud before being phased out. At Sadiola, as previously disclosed, the 2023 mining code is expected to impact costs by approximately $240 to $300 per ounce, with Korali-Sud attracting further government and third-party royalty burdens of an additional $200 per ounce, as it is subject to the full impact of the 2023 mining code without derogation of royalties. With residual contributions from Korali-Sud during the quarter, costs were impacted commensurately. When compared to the prior year comparative quarter, increased gold prices and the 2023 mining code have resulted in an impact of nearly $500 per ounce in the Sadiola structure year-over-year.
Fourth quarter AISC(1) is anticipated to decrease, notwithstanding an increase in gold price-based royalties due to higher gold prices. Mostly, the decreases are expected from increased production and progressive cost improvements quarter-overquarter. The impact on cash flows is magnified in the fourth quarter, when production is expected to meaningfully increase.
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The Phase 1 completion at Sadiola, which will allow higher contribution of fresh ore and increase flexibility, will carry on to benefit the first quarter of 2026 and beyond.
Gold sales were higher than production in the quarter, as anticipated and previously guided, due to the sale early in the third quarter of built-up inventory from the second quarter.
Sadiola Expansion Project
The Phase 1 expansion is advancing according to plan, with significant progress made to the end of the third quarter and into October on the mill and crushing areas. The Phase 1 expansion is expected to be operational late in the fourth quarter, which will enable Sadiola to incorporate up to 60% fresh ore into the feed. As fresh ore makes up the majority of the ore inventory at the mine, and in particular at the Sadiola Main deposit, the completion of Phase 1 not only allows Sadiola to treat a higher proportion of the abundant higher-grade fresh ore, but it also allows the mine to increase its efficiency and overall performance, as mining operations can be concentrated in fewer, bulkier areas, and use new oxide areas as production upside.
Continued investment in the Phase 1 expansion, including planned plant modifications and infrastructure upgrades, is consistent with prior estimates at $70 million in 2025. This first phase plant expansion involves installing additional crushing and grinding capacity in one of the processing plant lines, which will be dedicated to treating fresh ore. These modifications will allow Sadiola to treat up to 60% of fresh rock at a rate of up to 5.7 Mt/y in the modified process plant starting during the fourth quarter of 2025. With the completion of plant modifications in the first phase, Sadiola is expected to produce between 200,000 and 230,000 ounces of gold per year in the medium term, ahead of the next phase of expansion. The Phase 2 Expansion, planned as a new processing plant with planned project commencement in late 2026 and dedicated to processing fresh rock and oxides at a rate of up to 10 Mt per year, targeted to start production in late 2028, is expected to increase production to an average of 400,000 ounces per year for the first four years and 300,000 ounces per year on average for the mine's life, with AISC(1) expected to decrease to below $1,200 per gold ounce.
Further, the Company is conducting engineering studies to determine the optimal path for expansion, including the option of progressively expanding the existing plant after the Phase 1 Expansion, with the aim of achieving similar ultimate production levels at a lower capital intensity. While this progressive expansion would also allow for the treatment of fresh and oxide ore, its installed capacity could be leveraged and maximized with additional oxide ore sources, as well as high-grade transitional ore in the medium to longer-term. These studies indicated that adding a pre-leach thickener to the circuit can allow the plant to process up to 90% of the fresh ore in the feed, significantly increasing operational flexibility and the opportunity to boost production and reduce costs. Given that a pre-leach thickener is required regardless of the future expansion scenario selected, the Company decided to start its engineering and design in the third quarter and is planning for its construction in 2026, along with other minor quick-return improvements to the processing circuit.
Sadiola Energy Program
Along with the advancement of the growth strategy for Sadiola, the Company is advancing its energy program for the asset and is undertaking a staged and scalable approach, initially installing additional state-of-the-art diesel generators and control systems, followed by the implementation of a hybrid power solution, with the deployment of more efficient medium-speed thermal units, and a photovoltaic plant with battery energy storage systems (“BESS”) sufficient to meet the power requirements of the Phase 1 expansion at reduced costs. The systems will then be scaled up to satisfy the energy needs of the next phase expansion, providing Sadiola with a flexible power solution capable of meeting its ultimate power needs, while being self-reliant, efficient and cost-effective.
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Sadiola Exploration
During the third quarter, exploratory and resource drilling programs were conducted on the Sadiola licence with a total of 151 holes drilled comprising 16,087 metres utilizing five exploration core and RC drill rigs. Resource and exploratory drilling programs continued and were expanded at the Sekekoto West, Tambali and FE4, TK1 and along the FE2 Trend during the quarter. Drilling has intersected multiple new zones and extensions at Sekekoto West/S12, Tambali, FE2 Trend, and FE3/4 Trend with Sekekoto West and the Southern part of the FE2 Trend (FE2.5) potentially providing short-term, new and more proximal high and medium-grade oxide resources for the Sadiola mill as mining at Korali Sud winds down.
Mineralization remains open along strike and at depth across all four target areas. A sterilization drill program over a proposed new tailings storage facility to the east of Sadiola Mine was completed.
Exploratory drilling at the Sekekoto West Deposit was extended to the north during the third quarter, with drillhole intersections demonstrating that the deposit remains open 700 metres to the north outside of the original pit design. Further drilling continues to test for strike extensions of this mineralized trend to the north.
At the Tambali deposit, deeper core drilling of the fresh rock mineralization was completed in the third quarter. Drillhole intersections demonstrate good continuity of potentially economic mineralization to 320 metres depth. An updated resource model will be completed in the first quarter of 2026. In the near term, additional drilling is planned to test for oxide resources at the northeast portion of the Tambali Deposit.
At FE4, a 199-hole drill program, now 40% complete, is being carried out to both upgrade inferred mineral resources to Indicated and test for extensions to the known mineralization. Access to the pit base during the quarter was limited by rainfall, with the rainy season generally running from May to October, driven by the West African Monsoon, and active mining. Results to date have been encouraging.
New drilling programs were initiated at Sadiola Main and TK1 during the quarter. The first of 17 holes were completed at Sadiola Main. These holes are designed to test for the southern strike extensions of the deposit, test for additional oxide gold mineralization, infill areas where modelling information is needed and to test below previous drilling to begin to evaluate the underground potential.
Details on these zones can be found in the October 29, 2025 Press Release "Allied Gold Reports Exploration Results at Sadiola Demonstrating Continued Discovery In A World-Class Mineralized System" available on SEDAR+ at www.sedarplus.ca and on the Company’s website at https://alliedgold.com.
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Bonikro (89.89% interest), Côte d’Ivoire
The Bonikro gold mine is an open pit gold mine located in the Oumé region of Côte d’Ivoire (“Bonikro” or “Bonikro Mine”). The remaining ownership is split between the Government of Côte d’Ivoire (10%) and a local minority shareholder (0.11%).
Bonikro is contiguous to Agbaou, and together they comprise the CDI Complex, with the two processing plants located only 20 km from each other. The combined milling capacity and existing infrastructure including water supply dams, tailings storage facilities, access and site roads, power supply and accommodation facilities, provide optionality and significant synergies.
Bonikro comprises two separate mining licences (the Bonikro Licence and Hiré Licence), although integrated as a single operation.
For three months Bonikro Key Performance Information ended September 30, (100% Basis) 2025
| Operating | |
|---|---|
| Ore mined (M tonnes) | 0.64 |
| Waste mined (M tonnes) | 6.52 |
| Ore processed (M tonnes) | 0.68 |
| Gold | |
| Production (Ounces) | 21,953 |
| Sales (Ounces) | 23,530 |
| Feed grade (g/t) | 1.08 |
| Recovery rate (%) | 93.8 % |
| Total cost of sales per ounce sold(4) | $ 2,023 |
| Cash costs per ounce sold(1) | $ 1,570 |
| AISC per ounce sold(1) | $ 1,755 |
| Financial (In thousands of US Dollars) | |
| Revenue | $ 77,012 |
| Cost of sales (excluding DDA) | (37,164) |
| Gross profit excluding DDA(1) | $ 39,848 |
| DDA | (10,444) |
| Gross Profit | $ 29,404 |
| Capital Expenditures (In thousands of US Dollars) | |
| Sustaining | $ 12,154 |
| Expansionary | — |
| Exploration | 2,585 |
Bonikro produced 21,953 ounces of gold during the three months ended September 30, 2025. Production for the third quarter was in line with plan, and higher grades were sourced mainly from the Stage 3 pit, while stripping was advanced at Stage 5. Improved plant throughput and recoveries were achieved due to the completion of plant enhancements, increased crusher availability, improved fragmentation, and enhanced maintenance practices.
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The mining strategy and stripping campaign during the year has been focused to expose higher-grade material for the last quarter of 2025, as well as the following years, with minimal waste stripping expected during 2026 and 2027. This mining sequencing at Bonikro, for an anticipated $60 million of capital expenditures related to production stripping during 2025, will lead to robust free cash flows, as the stripping ratio decreases and it further exposes higher-grade ore. As the waste stripping benefits not only 2025 but also the following two years of production, the AISC(1) per ounce sold figure accounts for the allocation of the stripping spend over the ounces it benefits through 2027.
During the quarter plant recovery rates increased by over 2%. Processing optimization continues, with a focus on circuit efficiency and downtime control. Power reliability also improved, contributing to greater plant stability. As previously disclosed, a concept-level underground study at the Hiré endowment was completed during the second quarter. While earlystage, the findings are encouraging and support the launch of further technical evaluations. This work, with resources allocated to drill these targets, will assess the viability of underground mining as a long-term strategy to access deeper mineralization, unlock new production fronts, and extend the life of the Bonikro operation.
Hiré and Oumé Exploration
Allied is actively pursuing opportunities to extend the mine life with a goal to increase Mineral Reserves through sustained drilling and other exploration efforts. In the second quarter of 2025, a further budget of $7.5 million for the year was approved by the Company, allowing the launch of a focused initiative comprising strategic projects aimed at accelerating this objective. In the case of the Bonikro properties, the following projects are being advanced.
Hiré Exploration
Resource and exploration drilling was conducted on the Hiré licence, with 160 holes completed totaling 10,826 metres. Work included underground potential testing at the Akissi So aligned with the opportunity outlined above, and oxide-target drilling south of Assondji So and east of Chapelle with future drill testing expected to extend outside the current compensation zone to the east and southwest. Oxide gold mineralization was intersected in widely-spaced holes along the Assondji So South trend with infill drilling being planned for the fourth quarter of 2025. The phase one Akissi So underground test program is 73% complete with 2,440 metres drilled.
Oumé Exploration
At the Oumé Project, drilling continued over the Dougbafla West deposit with a goal to infill and extend the mineralized lenses with drilling completed in July. Exploration work programs have been proposed to the east of the Dougbafla North Deposit, east of the Dougbafla Central Zone and SW of the Dougbafla West Deposit as the limits of the Oumé mineralized systems have not been defined yet. One of the goals of the step out drilling is to identify extensions to the known zones with a focus on areas hosting felsic intrusions where wider mineralized zones could be expected. During the quarter, 18 holes for 2,857 metres completed at Dougbafla West, to infill and extend known lenses. Additional target generation underway east and southwest of known mineralized zones.
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