Perseus Mining reported steady gold production and cashflow growth in Q1 FY26, while progressing key projects including the CMA Underground and Nyanzaga development. The company also completed a CEO transition and renewed its share buyback program.
- Q1 FY26 gold production of 99,953 ounces at AISC of US$1,463/oz
- Cash and bullion balance increased to US$837 million with zero debt
- CMA Underground development commenced at Yaouré; Nyanzaga project on track for Q1 2027 production
- FY26 production guidance reaffirmed at 400,000–440,000 ounces at AISC US$1,460–1,620/oz
- CEO transition completed with Craig Jones succeeding Jeff Quartermaine
Operational Performance and Financial Health
Perseus Mining delivered a solid operational performance in the September 2025 quarter (Q1 FY26), producing just under 100,000 ounces of gold at an all-in-site cost (AISC) of US$1,463 per ounce. This steady output generated a notional operating cashflow of US$161 million, underpinning the company’s robust financial position with cash and bullion holdings rising to US$837 million and no debt on the balance sheet.
The company’s three core mines, Yaouré and Sissingué in Côte d’Ivoire and Edikan in Ghana, each contributed to this performance, albeit with some expected production declines at Yaouré due to mining transitions. Despite these operational shifts, Perseus maintained a strong average cash margin of US$1,612 per ounce, reflecting effective cost management amid fluctuating gold prices.
Project Development Momentum
A highlight of the quarter was the commencement of underground development at the CMA project within the Yaouré mine. This marks a significant milestone as CMA Underground is set to become Côte d’Ivoire’s first mechanised underground gold mine, with first ore expected in Q3 FY26 and commercial production targeted for Q3 FY27. The project has received critical governmental approvals, including a Presidential Decree, underscoring its strategic importance.
Meanwhile, the Nyanzaga Gold Project in Tanzania remains on schedule and budget, with first production anticipated in the March quarter of 2027. Construction activities are progressing well, including key infrastructure and mill installations, while community resettlement efforts continue as part of Perseus’s commitment to sustainable development.
Exploration and Sustainability
Exploration efforts across Perseus’s portfolio continue to support organic growth, with active drilling programs in Côte d’Ivoire, Ghana, Tanzania, and Sudan. Encouraging results from resource definition drilling at Nyanzaga and ongoing work at Yaouré and Edikan suggest potential for resource extensions and reserve upgrades. However, some exploration results remain pending, and the security situation in Sudan continues to present operational challenges at the Meyas Sand Gold Project.
On the sustainability front, Perseus maintained a strong safety record with zero lost time injuries over the past 12 months and a total recordable injury frequency rate well below industry averages. Environmental metrics remained stable, with no significant incidents reported, and the company continued to deliver substantial economic contributions to its host countries through local employment, procurement, and social investments.
Leadership and Capital Management
The quarter also marked a leadership transition with long-serving CEO Jeff Quartermaine retiring and Craig Jones assuming the role. Jones brings over 25 years of global mining experience, positioning Perseus for continued operational and strategic execution. Capital management remains disciplined, with a renewed A$100 million share buyback program approved and a comprehensive gold hedging strategy in place to mitigate price volatility risks.
Looking ahead, Perseus reaffirmed its FY26 production guidance of 400,000 to 440,000 ounces at an AISC range of US$1,460 to US$1,620 per ounce, with production weighted towards the second half of the year as new higher-grade ore sources come online.
Bottom Line?
Perseus Mining’s steady operational footing and strategic project advances set the stage for growth, but upcoming exploration results and underground ramp-up will be key to watch.
Questions in the middle?
- How will the CMA Underground development impact Perseus’s cost structure and production profile in FY27?
- What are the implications of the slower-than-expected Mining Convention signing for the Bagoé project?
- How might ongoing security concerns in Sudan affect the Meyas Sand Gold Project’s timeline and feasibility?