Austral Gold Restarts Production at Casposo, Argentina
Austral Gold Restarts Production at Casposo,
Argentina
HIGHLIGHTS
Casposo enhances Austral Gold's production profile, with two active mines now operating in
Argentina and Chile.
Commercial production has resumed at the Casposo Mine following completion of the plant
refurbishment.
Q4 2025 Casposo production is forecasted to be approximately 4,000 to 6,000 gold equivalent
ounces (GEOs
1
), including 230 GEOs
1
produced during the commissioning phase.
Sydney, Australia--(Newsfile Corp. - October 13, 2025) -
Austral Gold Limited
(ASX: AGD) (TSXV:
AGLD) (OTCQB: AGLDF) ("Austral" or the "Company"), an established gold producer, is pleased to
announce that commercial production has resumed at its 100%-owned Casposo Mine in Argentina.
The refurbishment of the Casposo Plant has been successfully completed, including the commissioning
phase, which formally commenced at the end of December 2024, following the Company's receipt of a
US$7 million bank loan.
Initial production at Casposo is currently being sourced from the Company's existing stockpiles. Austral
plans to transition to open-pit mining through a collaborative operating arrangement. The Company is in
negotiations with a local contractor and expects to finalise an agreement soon. Under this structure, the
contractor will provide mining services under the Company's supervision.
As part of the plant refurbishment, the Company completed the commissioning phase, producing
approximately 230 gold equivalent ounces (GEOs
1
) of doré. During commissioning, the doré was
smelted from residual plant material and historical samples that had been returned to Casposo by
Argentine customs authorities.
Austral Gold's Chief Executive Officer, Stabro Kasaneva, said:
"
We are pleased to announce the
restart of operations at Casposo, marking a significant milestone for the company as we expand our
production base along existing mining operations at Guanaco. This development positions us to
generate improved cash flow and strengthen our financial position. I thank our team for their
dedication in completing the plant refurbishment and our debtholders and shareholders for their
continued support."
Production guidance for the remainder of 2025 from Casposo is forecasted at approximately 4,000 -
6,000
1
gold equivalent ounces (GEOs
1
), representing a monthly average of 1,800 GEOs
1
. This estimate
includes the 230 GEOs produced during the commissioning phase.
1
.
Notes:
Gold equivalent ounces (GEOs) were calculated using a silver-to-gold ratio (Ag:Au) of 91:1, in accordance with the following
formula: AuEq (g/t) = (g/t Au) + (g/t Ag) / 90.91, where the factor 90.91 reflects metal prices of US$2,500/oz for gold and
US$27.5/oz for silver.
Gold and silver are expected to account for 70% and 30% at Casposo.
Casposo: Metallurgical recovery rates are forecast at 90.3% for gold and 85.8% for silver under the agitation leaching process.
Average head grades are forecast at 1.88 g/t gold and 80.73 g/t silver.
About Austral Gold
Austral Gold is a gold and silver mining producer building a portfolio of quality assets in the Americas
based on three strategic pillars: production, exploration, and equity investments. Austral continues to lay
the foundation for its growth strategy by advancing its attractive portfolio of producing and exploration
assets.
For more information, please visit the Company's website at
www.australgold.com
.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Release approved by the Company's Chief Executive Officer of Austral Gold, Stabro Kasaneva.
For additional information, please contact:
David Hwang
Jose Bordogna
Joint Company Secretary
Chief Financial Officer and Joint Company
Secretary
Austral Gold Limited
Austral Gold Limited
+61 433 292 290
+61 466 892 307
Forward-Looking Statements
Statements in this news release that are not historical facts are forward-looking statements. Forward-
looking statements are statements that are not historical, and consist primarily of projections and
statements regarding future plans, expectations and developments. Words such as "expects", "intends",
"plans", "may", "could", "potential", "should", "anticipates", "likely", "believes" and words of similar
expressions are intended to identify forward-looking statements. The forward-looking statement in this
news release include, but are not limited to, statements regarding expectations regarding the
recommencement of commercial production at the Casposo Mine, estimated production volumes, the
transition to open-pit mining, anticipated cash flow improvements, the anticipated finalisation of a
contractor agreement to support open-pit mining operations, and the Company's growth strategy,
including plans to advance its portfolio of producing and exploration assets.
All of these forward-looking statements are subject to a variety of known and unknown risks,
uncertainties and other factors that could cause actual events or results to differ from those expressed or
implied, including, without limitation, uncertainty of exploration programs, development plans and cost
estimates, commodity price fluctuations; political or economic instability and regulatory changes;
currency fluctuations, the state of the capital markets, uncertainty in the measurement of mineral
resources and reserves; and other risks and hazards related to the exploitation and development of
mineral properties, as well as the availability of capital. You are cautioned that the foregoing list is not
exhaustive of all factors and assumptions which may have been used. Austral cannot assure you that
actual events, performance or results will be consistent with these forward-looking statements, and
management's assumptions may prove to be incorrect. Austral's forward-looking statements reflect
current expectations regarding future events and operating performance and speak only as of the date
hereof and Austral does not assume any obligation to update forward-looking statements if
circumstances or management's beliefs, expectations or opinions should change other than as required
by applicable law. For the reasons set forth above, you should not place undue reliance on forward-
looking statements.
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/270308