Goldgroup Mining upsizes private placement offering to US$125 million

Goldgroup Mining Inc. [GORO-TSXV, GORO-NYSE] said it has increased the size of a previously announced private placement offering that is now expected to raise gross proceeds of US$125 million, up from an earlier US$75 million target.

The announcement comes after Goldgroup recently released an update on its activities across its expanded portfolio following the completion of its combination with Gold Resource Corp. (GRC) on July 17, 2026.

The combined company’s assets include GRC’s producing Don David Gold Mine in Oaxaca, Mexico and advanced-stage Back Forty Project in Michigan, U.S.A., and Goldgroup’s Cerro Prieto Mine and recently acquired San Francisco Mine, a past producer with restart potential. Both the Cerro Prieto and San Francisco mines are located in
Sonora State, Mexico. Pro forma revenues are expected to be predominantly silver, driven by production from the Don David Gold Mine, benefiting from a strong silver price momentum.

“One of the most important advantages of this financing is that it gives Goldgroup optionality,’’ said Goldgroup Chairman and CEO Javier Reyes. “We can invest aggressively in our highest-return organic opportunities while maintaining the financial strength to act when compelling external opportunities emerge.’’ The company has not made a final allocation for the net proceeds and may reallocate them among various purposes, including advancing existing mining and development projects, and evaluating and funding acquisitions.

Goldgroup shares were unchanged at $4.95 and currently trade in a 52-week range of $8.64 and $2.65.

On September 8, 2026, the company announced a non-brokered private placement offering of 20.5 million units priced at $3.65 per unit for aggregate proceeds of US75 million. It said each unit will consist of one common share and one half of one common share purchase warrant. Each whole warrant will entitle the holder to acquire one common share for US$5.10 for 18 months from the closing date.

In its latest press release, the company said the offering remains non-brokered. Other than an increase in the size of the offering, it said all other terms remain unchanged. The offering is still expected to close on September 30, 2026.

Goldgroup recently reported production of 3,843 gold ounces in the second quarter and revenue of US$21.1 million. Assuming Goldgroup and Gold Resource were combined as of June 30, 2026, it would have had a cash balance of US$59 million. The company went on to say that its focus is straightforward: grow production, expand resources, extend mine lives and advance San Francisco and Back Forty toward their next major milestones.

The Don David Gold Mine is now the company’s largest producing asset and is the focus of an aggressive exploration and resource-expansion program.