Predictive Discovery's Kiniero mine in Guinea outperformed expectations in the June 2026 quarter, delivering gold production well above nameplate capacity and boosting combined output with Nampala to over 64,000 ounces.
- Kiniero mine throughput surpasses 6Mtpa capacity
- Gold recovery improves to 90.5%
- Combined Kiniero and Nampala gold output hits 64,026 ounces
- Cash and bullion position strong at A$530 million
- One-off merger and royalty costs impact quarter
Kiniero Gold Mine Surpasses Design Capacity
Predictive Discovery Limited (ASX:PDI, TSX:PDI) reported an impressive operational performance from its Kiniero Gold Mine in Guinea for the June 2026 quarter. The processing plant achieved an average throughput of 1,113 tonnes per hour, equivalent to roughly 9 million tonnes per annum (Mtpa), significantly exceeding the 6 Mtpa nameplate capacity. This surge was accompanied by an improved gold recovery rate of 90.5%, reflecting ongoing optimisation efforts and robust plant operations.
Mining activities at Kiniero maintained strong momentum, supporting the elevated mill throughput and consistent processing results. During the quarter, Kiniero milled 2.2 million tonnes of ore at an average grade of 0.86 grams per tonne (g/t) gold, producing 54,252 ounces of gold.
Nampala Contributes to Combined Gold Production
The Nampala Gold Mine in Mali, operational since 2017, added 9,774 ounces to the quarter’s tally by milling 450,000 tonnes of ore at a grade of 0.71 g/t gold. Together with Kiniero, the two assets delivered a combined gold output of 64,026 ounces for the quarter, underscoring PDI’s growing production base in West Africa.
Strong Cash and Bullion Position Despite One-Off Costs
At quarter-end, PDI held a robust cash and bullion balance of A$530 million (US$365 million), supported by a spot gold price of US$4,026 per ounce and an AUD:USD exchange rate of 0.689. This balance includes US$80 million in restricted cash. However, the quarter’s financials were affected by one-off costs, notably US$36 million related to merger activities and a US$9 million royalty buyback.
Advancing Toward Mid-Tier Producer Status
These results mark a significant milestone for PDI as it solidifies its position as a burgeoning mid-tier gold producer in West Africa. The company’s portfolio is anchored by Kiniero and Nampala, with the Bankan Gold Project in Guinea poised to become a Tier-1 asset, expected to deliver approximately 250,000 ounces annually over more than 12 years once operational. PDI targets surpassing 400,000 ounces of annual production by 2029 by leveraging synergies between Kiniero and Bankan.
The company plans to release a comprehensive quarterly report later in July, which will provide further details on operational and financial performance, including how these production figures align with its broader growth strategy.
Bottom Line?
PDI’s ability to push Kiniero well beyond design capacity while maintaining strong recovery rates signals operational resilience, but upcoming reports will clarify how one-off costs impact near-term profitability.
Questions in the middle?
- How will merger-related expenses affect PDI’s cash flow and capital allocation in coming quarters?
- What progress has been made toward construction readiness at the Bankan Gold Project?
- Can Kiniero sustain throughput above nameplate capacity without compromising ore grade or recovery?