DENARIUS METALS ANNOUNCES SECOND QUARTER AND FIRST HALF 2026 PRODUCTION RESULTS FOR ITS ZANCUDO PROJECT IN COLOMBIA
Rhea-AI Summary
Denarius Metals (OTCQX: DNRSF) reported second quarter and first half 2026 early production results from its Zancudo Project in Colombia. Q2 2026 shipments reached 3,907 tonnes, a 67% increase over Q1. Head grades averaged 11.3 g/t gold and 217.1 g/t silver, generating US$5.1 million in Q2 revenue.
According to Denarius Metals, first half 2026 revenue totaled US$8.6 million, compared with US$1.7 million for full-year 2025. Early production, based on artisanal mining and sales of run-of-mine material to Trafigura under a long-term offtake, is expected to continue through Q3 2026 while mine development and a new 1,000 tpd processing plant advance toward producing gold-silver concentrates by Q4 2026.
Positive
- Q2 2026 shipments 3,907 tonnes, a 67% increase over Q1 2026
- Q2 2026 revenue US$5.1 million from early production at Zancudo
- H1 2026 revenue US$8.6 million versus US$1.7 million in full-year 2025
- Consistently strong grades around 11.3–11.5 g/t gold and 217–269 g/t silver
- Future concentrate shipments expected to receive 86–90% gold payability from Trafigura
- New 1,000 tonnes per day processing plant under construction to support long-term operations
Negative
- Current Trafigura payability only 30–70% for gold and 20–40% for silver on run-of-mine material
- Early production phase reliant on artisanal mining until at least the end of Q3 2026
News Explained
The release says Trafigura’s current early-production payability is
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Serafino Iacono, Executive Chairman of Denarius Metals, commented, "We continue to increase our daily average mining rates during the early production phase at our Zancudo Project. This has allowed us to increase our shipments to 3,907 tonnes in the second quarter of 2026 representing a
Denarius Metals commenced mining operations at its Zancudo Project in the second quarter of 2025. The current "early production" phase encompasses artisanal mining in accessible areas of the Zancudo Project and is expected to run through the third quarter of 2026 as mine development progresses to open new fronts that are being developed for long-term conventional, semi-mechanized mining operations and construction of the Company's new 1,000 tonnes per day processing plant is completed. Mined material is being shipped during this early production period to a local port for sale to Trafigura pursuant to a long-term offtake contract. Concentrates production will also be sold to Trafigura when the new processing plant goes into operation.
A summary of the operating results during the Zancudo Project's early production phase is set out below:
2025 | 2026 | |||
Year | 1st Quarter | 2nd Quarter | First Half | |
Tonnes mined and delivered | 2,092 | 2,337 | 3,907 | 6,244 |
Contained metals | ||||
Gold grade (g/t) | 7.9 | 11.5 | 11.3 | 11.4 |
Gold (ounces) | 532 | 863 | 1,416 | 2,279 |
Silver grade (g/t) | 222.7 | 269.3 | 217.1 | 236.6 |
Silver (ounces) | 14,977 | 20,237 | 27,265 | 47,502 |
Payable metals (1) | ||||
Gold (ounces) | 333 | 593 | 970 | 1,563 |
Silver (ounces) | 5,749 | 7,839 | 9,706 | 17,545 |
Total revenue (US$ millions) | 1.7 | 3.5 | 5.1 | 8.6 |
- During the current early production phase, Trafigura's payability rates range from
30% to70% for gold and20% to40% for silver, depending on the grades of the material. Trafigura's payability rates in the early production phase reflect the additional costs they have to incur to bring the material to a saleable condition. When the Company begins shipping concentrates to Trafigura, payability rates will increase to86% to90% for gold and35% to45% for silver, depending on the grades in the concentrates.
About Denarius Metals
Denarius Metals is a Canadian junior company engaged in the acquisition, exploration, development and eventual operation of precious metals and polymetallic mining projects in high-grade districts in Colombia and Spain. Denarius Metals is listed on Cboe Canada where it trades under the symbol "DMET". The Company also trades on the OTCQX Market in the United States under the symbol "DNRSF".
In Colombia, Denarius Metals is producing gold and silver in an "early production" phase at its
In Spain, Denarius Metals has interests in three projects focused on in-demand critical minerals. The Company owns a
Denarius Metals entered into a strategic collaboration in early 2026 as JV partners with ProGrowth Ltd. Company, a Saudi-based diversified group of companies with long-standing experience across construction and infrastructure, oil & gas, petrochemicals, mining, trading and technology-enabled services in the Kingdom of Saudi Arabia ("KSA"). This strategic collaboration will focus on a mandate to establish arrangements in the KSA for the processing, smelting and commercialization of material sourced from the Company's projects and to identify, acquire, develop and operate gold and nickel mining concessions within the KSA.
Additional information on Denarius Metals can be found on its website at www.denariusmetals.com and by reviewing its profile on SEDAR+ at www.sedarplus.ca.
Cautionary Statement on Forward-Looking Information
This news release contains "forward-looking information", which may include, but is not limited to, statements with respect to anticipated business plans or strategies, including the ability of mine development to open new fronts, the timing for commencement of conventional, semi-mechanized mining and commissioning of plant operations at its Zancudo Project and future concentrates production. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Denarius Metals to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Factors that could cause actual results to differ materially from those anticipated in these forward-looking statements are described under the caption "Risk Factors" in the Company's Annual Information Form dated March 31, 2026 which is available for view on SEDAR+ at www.sedarplus.ca. Forward-looking statements contained herein are made as of the date of this press release and Denarius Metals disclaims, other than as required by law, any obligation to update any forward-looking statements whether as a result of new information, results, future events, circumstances, or if management's estimates or opinions should change, or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements.
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SOURCE Denarius Metals Corp.