GoGold Commences Construction of the Fully-Funded Los Ricos South Mine
Rhea-AI Summary
GoGold Resources (OTCQX: GLGDF, TSX: GGD) has begun site construction at its Los Ricos South silver-gold project in Jalisco, Mexico, following a 2025 feasibility study and a project permit granted in June 2026. The company reports it is fully financed, with a cash position of US$284 million, strong cash flow from its Parral operation, and no debt as construction starts.
Key milestones include selection of an underground mining contractor, portal construction planned for Q4 2026 and initial mine development in January 2027, detailed plant design approximately 85% complete, all critical long-lead equipment ordered, and first silver and gold pour targeted for June 2028.
Positive
- US$284 million cash and zero debt reported at construction start
- First silver and gold pour at Los Ricos South targeted for June 2028
- Underground mining contractor selected; portal construction planned for Q4 2026
- Initial underground mine development scheduled for January 2027
- Detailed plant design by engineering firms reported as ~85% complete
- Orders placed for all critical long-lead time processing and plant equipment
Negative
- None.
News Explained
On-site contractors and earthworks make construction physically active, while the project now includes a 20,000-tree regional mitigation program.
The latest update places Los Ricos South in active physical construction: the EPCM contractor and construction manager are on site, and earthworks have commenced at the plant site. This adds on-site execution and management to the project’s construction activities.
The company also reports that its regional environmental mitigation program includes planting 20,000 trees for local reforestation, adding a defined mitigation activity to the project’s current work scope.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Halifax, Nova Scotia--(Newsfile Corp. - August 25, 2026) - GoGold Resources Inc. (TSX: GGD) (OTCQX: GLGDF) ("GoGold", "the Company") is pleased to announce the formal commencement of site construction at Los Ricos South in Jalisco, Mexico. This milestone follows the completion of a feasibility study in 2025 and the granting of the project permit from the Mexican Government in June of this year. This rapid progress was driven in part by the Company's decision to initiate the detailed engineering and plant design phase in 2025. First silver and gold pour is scheduled for June 2028.
"We are fully financed with a robust cash position of US
The Company provides the following update on construction and engineering activities:
Underground mining contractor has been selected. Portal construction is scheduled for Q4 2026, with initial mine development to begin in January 2027.
Additional geotechnical drilling is currently underway to define exact portal locations and overall underground conditions, which will aid in further optimization of the underground mine plan, with specialist support provided by WSP Geotechnical Engineering.
Detailed plant design by M3 and DENM Engineering is approximately
85% complete.RMS (Responsible Mining Solutions) is advancing the detailed design of the paste backfill plant.
Orders for all critical long-lead time equipment have been placed, including the SAG mill, tailings filter, crusher, electrical switchgear, Merrill-Crowe plant, conveyors, slurry pumps, hydrocyclones, feeders and screens.
The EPCM contractor (M3) is now on site for the construction phase. GoGold has also appointed a construction manager who is currently at site.
The earthworks contractor has been mobilized to site, work has commenced at the plant site.
As part of its environmental mitigation program, GoGold has launched a regional mitigation program that includes the planting of 20,000 trees to support local reforestation.
Figure 1 – Earthworks Underway
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https://images.newsfilecorp.com/files/1683/311368_bece3545143ce96f_001full.jpg
Figure 2 – Construction Equipment on Site
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Technical information contained in this news release with respect to GoGold has been reviewed and approved by Mr. Bob Harris, P.Eng., who is a non-independent qualified person for the purposes of NI 43-101.
About GoGold Resources
GoGold Resources (TSX: GGD) is a Canadian-based silver and gold producer focused on operating, developing, exploring and acquiring high quality projects in Mexico. The Company operates the Parral Tailings mine in the state of Chihuahua and has the Los Ricos South project, which is in development with a construction decision approved by the Board, and Los Ricos North exploration and development project, both in the state of Jalisco. Headquartered in Halifax, NS, GoGold is building a portfolio of low cost, high margin projects. For more information visit gogoldresources.com.
For further information please contact:
Steve Low
Corporate Development
GoGold Resources
T: 416 855 0435
E: steve@gogoldresources.com
CAUTIONARY STATEMENT:
The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws, and may not be offered or sold within the United States or to, or for the benefit of, U.S. persons (as defined in Regulation S under the U.S. Securities Act) except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities laws or pursuant to exemptions therefrom. This release does not constitute an offer to sell or a solicitation of an offer to buy of any of GoGold's securities in the United States.
This news release may contain "forward-looking information" as defined in applicable Canadian securities legislation. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding the Parral tailings mine, the Los Ricos projects, future operating margins, future production and processing, construction timelines and future plans and objectives of GoGold, constitute forward-looking information that involve various risks and uncertainties. Forward-looking information is based on a number of factors and assumptions which have been used to develop such information but which may prove to be incorrect, including, but not limited to, assumptions in connection with the continuance of GoGold and its subsidiaries as a going concern, general economic and market conditions, mineral prices, the accuracy of mineral resource estimates, and the performance of the Parral tailings mine. There can be no assurance that such information will prove to be accurate and actual results and future events could differ materially from those anticipated in such forward-looking information.
Important factors that could cause actual results to differ materially from GoGold's expectations include exploration and development risks associated with the GoGold's projects, the failure to establish estimated mineral resources or mineral reserves, volatility of commodity prices, variations of recovery rates, and global economic conditions. For additional information with respect to risk factors applicable to GoGold, reference should be made to GoGold's continuous disclosure materials filed from time to time with securities regulators, including, but not limited to, GoGold's Annual Information Form. The forward-looking information contained in this release is made as of the date of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/311368