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Introduction & Market Context
Perseus Mining Ltd (ASX/TSX:PRU) reported a resilient September 2025 quarter despite production challenges, according to the company's latest quarterly presentation. The gold producer maintained its strong financial position with higher gold prices offsetting lower production volumes across its three West African operations.
The company's stock closed at $4.73 on October 24, 2025, down 0.63% for the session, but has shown significant appreciation from its 52-week low of $2.45, reflecting investor confidence in the company's growth strategy and operational execution.
Quarterly Performance Highlights
Perseus produced 99,953 ounces of gold during the September quarter, down 21,284 ounces from the previous quarter. Despite this production decline, the company benefited from higher gold prices, with the average sale price reaching $3,075 per ounce, up $98 from the June quarter.
As shown in the following performance summary:
The company's all-in site costs increased slightly to $1,463 per ounce, but the cash margin expanded to $1,612 per ounce, generating notional cashflow of $161 million. Perseus ended the quarter with $837 million in net cash and bullion, an increase of $10 million, while maintaining zero debt and an undrawn $300 million credit facility.
Mine-by-Mine Performance
The Yaouré Gold Mine in Côte d'Ivoire remained Perseus's flagship operation, producing 55,405 ounces (55% of total production), though this represented a 21% decrease from the June quarter. The mine achieved an all-in site cost of $1,110 per ounce, a 6% improvement, and generated $102 million in notional cashflow.
Notably, Yaouré reached a significant milestone with the commencement of underground development at the CMA deposit, making it the first mechanized underground mine in Côte d'Ivoire. The final "good-bye" cut was also taken in the CMA open pit during the quarter.
At the Edikan Gold Mine in Ghana, production reached 32,856 ounces, 15% lower than the previous quarter, with all-in site costs increasing 8% to $1,603 per ounce. Despite these challenges, the operation generated $57 million in notional cashflow.
The Sissingué Gold Complex in Côte d'Ivoire produced 11,692 ounces, a 3% decrease from the June quarter. All-in site costs rose 6% to $2,745 per ounce, resulting in a modest notional cashflow of $2 million. Management noted that Bagoé mining operations are scheduled to commence at the Antoinette deposit in Q2 FY26.
Financial Position and Outlook
Perseus maintained its FY2026 production guidance of 400,000 to 440,000 ounces at an all-in site cost of $1,460 to $1,620 per ounce, suggesting confidence in improved performance in upcoming quarters.
The company's financial position remains robust, with cash and bullion increasing to $837 million. The waterfall chart below illustrates the key cash movements during the quarter:
Operating margin contributed $170 million to cash flow, with Yaouré accounting for 65%, Edikan 31%, and Sissingué 4%. This was partially offset by capital expenditure of $67 million, primarily directed toward growth projects. Perseus also returned capital to shareholders through a $11 million dividend payment and $29 million in share buybacks.
The company has strategically managed its exposure to gold price volatility by reducing its committed hedge position from 16% to 14% of forecast three-year production:
Strategic Growth Projects
Perseus continues to advance two key growth projects. The Nyanzaga Development Project in Tanzania progressed with camp construction, completion of the Ngoma Bypass Road, and extensive drilling (24,656 meters). The company officially signed amendments to the Framework and Shareholder Agreement on August 20, 2025.
The project remains on track with its development timeline, targeting first gold pour in January 2027:
At Yaouré, the CMA Underground Development Project achieved a significant milestone with the first blast taken at the Pauline Portal in September. The company received the Presidential Decree authorizing the development and operation of the underground project during the quarter.
First ore delivery from the CMA underground operation is scheduled for Q3 FY26, with commercial production expected in Q3 FY27.
Sustainability Performance
Perseus highlighted its sustainability achievements, including $215 million in economic contribution to host communities and countries, with 95% national employment. Safety performance remained strong with a Total Recordable Injury Frequency Rate (TRIFR) of 0.60 and a Lost Time Injury Frequency Rate (LTIFR) of zero, marking one year without a lost time injury.
The company published its FY25 Sustainable Development Report during the quarter, further emphasizing its commitment to responsible mining practices and community engagement.
Craig Jones, Managing Director and CEO, emphasized the company's strategic focus on maintaining operational excellence while advancing key growth projects that will secure Perseus's future as a leading West African gold producer.
Full presentation:
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