DPM Metals Inc. has announced preliminary production results for the first quarter of 2026, confirming steady operational performance and progress in ramping up the Vareš mine. The company remains on track to meet its full-year production guidance amid ongoing exploration and capital management initiatives.
- Vareš mine ramp-up continues with 29,000 gold equivalent ounces produced in Q1
- Chelopech and Ada Tepe mines perform in line with expectations; Ada Tepe nearing closure
- Renewal of Čoka Rakita exploration permits and commencement of 20,000-metre drilling program
- Share repurchase program active with US$25.4 million spent in Q1; quarterly dividend declared
- Processing plant shutdown planned at Vareš in Q2 for tailings filter installation with minimal disruption
Preliminary Production Results for Q1 2026
DPM Metals Inc. (TSX: DPM, ASX:DPM) has released preliminary production figures for the first quarter ended March 31, 2026, showing solid operational performance across its portfolio. The Vareš mine produced approximately 29,000 gold equivalent ounces (GEO) during the quarter, reflecting steady progress in its ramp-up phase towards full production. Payable metals sold at Vareš were lower at around 14,000 GEO, primarily due to delivery timing.
Chelopech mine delivered about 43,000 GEO in the quarter, with expected lower metal grades and gold recoveries linked to the ore type processed. Production at Chelopech is anticipated to increase in the second quarter, maintaining alignment with the company's 2026 guidance. Ada Tepe produced roughly 12,000 GEO, consistent with expectations, but is approaching the end of its operational life with the final production blast scheduled for mid-April 2026. DPM has committed to responsible closure and rehabilitation of Ada Tepe in accordance with regulatory standards.
Operational Developments and Planned Maintenance
Operationally, DPM Metals reported that development rates at Vareš are in line with expectations. The paste backfill plant is on track for commissioning in the third quarter of 2026. A planned shutdown of the processing plant for approximately 20 days in the second quarter will facilitate installation tie-ins for a second tailings filter. The company expects this maintenance to have minimal impact on the anticipated higher production rates in the second half of the year.
Exploration Activities and Permit Renewals
In March 2026, DPM received the routine renewal of exploration permits for the Čoka Rakita licence in Serbia, enabling the continuation of its exploration program. The company has initiated a 20,000-metre drilling campaign focused on infilling and extending mineralization at the Dumitru Potok prospect, with two drill rigs currently active and plans to ramp up to ten by June. An additional 20,000 metres of drilling is planned for the Putaj Čuka licence, targeting the same geological trend as Čoka Rakita and Dumitru Potok.
Capital Management and Shareholder Returns
DPM Metals repurchased approximately 700,800 common shares during the first quarter at an average price of US$36.29 per share, spending around US$25.4 million under its Normal Course Issuer Bid (NCIB), which was renewed in March 2026. The Board has authorised up to US$200 million in share repurchases for the year. Additionally, the company declared a quarterly dividend of US$0.04 per share payable on April 15, 2026, to shareholders of record as of March 31, 2026.
Outlook and Upcoming Financial Reporting
DPM Metals remains on track to meet its 2026 production guidance, with higher output expected in the second half of the year as the Vareš mine continues its ramp-up. The company plans to release its detailed first quarter 2026 operating and financial results after market close on May 5, 2026, followed by a conference call and webcast on May 6, 2026. This update follows the company’s recent record 2025 results and growth plans with Vareš, which outlined a robust three-year outlook and strategic focus on expanding production and exploration activities.
Bottom Line?
DPM Metals’ preliminary Q1 results indicate steady progress in ramping up Vareš and disciplined capital management, but investors should await the full financial release for confirmation.
Questions in the middle?
- How will the planned Q2 processing plant shutdown at Vareš affect overall 2026 production and costs?
- What are the expected timelines and potential outcomes of the ongoing drilling programs at Čoka Rakita and Putaj Čuka?
- How might the closure of Ada Tepe impact the company’s production profile and rehabilitation obligations?