Calibre releases Q1 results, Valentine Gold update
Calibre Mining Corp. [CXB-TSXV, CXBMF-OTC], a company that has agreed to be acquired by Equinox Gold Corp. [EQX-TSX, NYSE American), has announced operating results for the first quarter ended March 31, 2025, and an update on its key Valentine Gold Mine, located in Newfoundland and Labrador.
Consolidated gold production came in at 71,539 ounces, including 64,469 ounces from operations in Nicaragua and 7,070 ounces from Nevada. The company said the Valentine Gold Mine continues to advance, with the first ore processed now expected early in the third quarter of 2025, followed by a steady ramp up to nameplate capacity of 2.5 million tonnes. First ore processing was previously expected to occur in the second quarter. The delay in ore processing reflects scope growth in certain areas such as electrical cabling and actual contractor performance. However, the company said Valentine is positioned to become a long-life cornerstone asset in Canada, initially delivering approximately 200,000 ounces of gold annually with significant exploration upside.
On Monday, Calibre shares edged up 0.94% or $0.03 to $3.19. The shares trade in a 52-week range of $3.35 and $1.73
In a press release on February 23, 2025, the companies announced a deal that will see Equinox Gold Corp. [EQX-TSX, NYSE American) acquiring all the outstanding shares of Calibre pursuant to a court-approved plan of arrangement.
The transaction is expected to create an Americas-focussed gold producer with a portfolio of operating mines in five countries anchored by two high quality, long-life, low cost Canadian gold mines. They are the Greenstone Mine in Ontario and Valentine Gold mine in Newfoundland. The combined company is expected to produce 950,000 ounces of gold in 2025, a target that doesn’t include production from Valentine or Equnox’s Los Filos mine in Guerrero State, Mexico.
Calibre secured the asset via the acquisition of Marathon Gold Corp.
Calibre is an Americas-focused, growing mid-tier gold producer with a pipeline of development and exploration opportunities across Newfoundland and Labrador in Canada, Nevada and Washington in the U.S. and Nicaragua.
Consolidated full-year gold production of 242,487 ounces in 2024, exceeded updated 2024 guidance of 230,000 to 240,000 ounces, and included 207,222 ounces from Nicaragua and 35,267 ounces from Nevada.
The company previously said it has made substantial progress on technical studies to increase Valentine’s throughput in a phase 2.0 expansion. While the original design envisioned an increase in throughput from the currently planned 2.5 million tonnes per year to four million tonnes per year starting in 2029, the company has said it is now actively advancing plans to accelerate the timeline for scaling up production to as much as 5.4 million tonnes per year. “In 2025, we will focus on detailed engineering and schedule with the intent of committing to long-lead-time items before year end,’’ said Calibre president and CEO Darren Hall.