Gold Resource Corporation has posted robust production results for the past two weeks as mining progresses into the high-grade Three Sisters area at its Don David Gold Mine in Oaxaca, Mexico.
The company also announced it is resuming development activities at its Back Forty Project in Michigan, signalling renewed momentum across its asset portfolio.
“The production values we have seen over the past two weeks confirm and validate the potential upside of the Three Sisters area,” stated Allen Palmiere, President and CEO.
“While these exceptional results exceed what we expect on a sustained basis, they underscore the conservatism of our geological modelling and mine planning in addition to highlighting the potential of this zone to generate significant cash flow.”
Operational data from November 8 to 24, 2025, highlighted strong performance, with production metrics exceeding both planning and modelling expectations.
The company measured production on the basis of tonnage mined and processed, as well as Net Smelter Return (NSR) value in U.S. dollars per tonne — a key measure of mine profitability.
During the week of November 8–14, Don David delivered 4,357 tonnes mined and 6,769 tonnes processed at an average NSR of US$1,512 per tonne, marking a 129 per cent increase over modelled values.
The following week, from November 15–21, the mine produced 6,580 tonnes mined and 6,095 tonnes processed, achieving an average NSR of US$723 per tonne.
Tonnage mined was 40 per cent higher, while NSR values were 91% above planned levels.
These strong figures reflect improving ore grades and operational efficiencies as work advances into the Three Sisters zone, a high-grade area expected to meaningfully contribute to near-term cash flows.
In addition to its Mexico operations, Gold Resource Corporation confirmed a strategic decision to resume work at the Back Forty Project in Michigan.
The company is engaging consulting firms to update the feasibility study and intends to begin the permitting process in the near term.
A technical report summary filed in October 2023 for the Back Forty Project included a cash flow model based on metal price assumptions of $1,800 per ounce of gold and US$1.25 per pound of zinc.
That report’s sensitivity analysis showed that a 50 per cent increase in the gold price to US$2,700 would more than double the project’s net present value to approximately US$430 million.
While the economics were already considered attractive when the study was completed, Gold Resource said the project’s financial outlook has improved further under current consensus metal price assumptions, positioning Back Forty as a significant value driver within its North American asset base.