Abcourt Announces its Results for the First Quarter Ended September 30, 2025 and the Engagement of Red Cloud Securities to Provide Market-Making Services
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The November 27, 2025, news release discloses Abcourt's financial results for the first quarter ending September 30, 2025. Key figures include: - Revenue: $0 - Net Loss: $7.52 million, or ($0.01) per share. - Cash Position: $594,357 as of September 30, 2025. - Shareholders' Equity: Negative $5.49 million. - Working Capital: $1.29 million.
Operationally, the company reports progress in the development of the Sleeping Giant mine, including drift development, filling the mill circuit with gold, and commissioning a sleep camp.
Concurrently, Abcourt announced it has engaged Red Cloud Securities Inc. for market-making services, pending TSXV approval. The release notes that a director of Abcourt, Chad Williams, is a significant shareholder of Red Cloud's parent company.
This earnings report is materially negative. Despite a series of positive operational updates throughout the quarter, including the mill starting in mid-August and the first gold pour on September 11, the company generated zero revenue. The Q1 operational update from October 14 had already revealed that only 26 ounces were sold in the entire quarter.
The financial results expose a severe cash burn rate, with a net loss of $7.52 million for the quarter. The cash position dwindled to a dangerously low $594,357 by the end of September, making the $10 million financing that closed on October 31 an act of critical necessity rather than strategic expansion.
The most alarming metric is the negative shareholders' equity of -$5.49 million, a significant deterioration from the -$0.6 million reported at the fiscal year-end on June 30, 2025. This indicates that the company's liabilities now substantially exceed its assets, a sign of severe financial distress.
While the company has been consistently reporting operational progress, this financial report provides the first hard evidence that the ramp-up is far more costly and less productive than previously implied. The engagement of a market maker, particularly one with close ties to a director, immediately following a dilutive financing and preceding these poor results, can be interpreted as a defensive measure to support a fragile stock price. The operational progress is overshadowed by the grim financial reality.
Abcourt Mines Inc. is a Canadian gold exploration and development company. Its flagship asset is the 100%-owned Sleeping Giant mine and mill, a past-producing high-grade gold mine located in the Abitibi greenstone belt of Quebec. The company's primary focus in 2025 has been the restart and ramp-up of operations at Sleeping Giant, financed through a combination of debt and equity. The company also holds the Flordin and Cartwright exploration projects in Quebec.
The progression of news in 2025 details this restart: - Early 2025: Focused on exploration at Flordin and Sleeping Giant, reporting positive drill results. - Mid-2025 (June-July): Secured critical financing, including a US$8M loan from Nebari and a $3M convertible debenture from a director, to fund the restart. - Late 2025 (Aug-Sept): Announced major operational milestones: mill restart (Aug 20), first gold pour (Sept 12), and increased debt financing from Nebari to US$12M. - Q4 2025 (Oct-Nov): Closed another crucial $10M private placement, received a custom milling permit, and released the deeply troubling Q1 financial results.