Lundin Gold Reports Q3 2026 Production of 153,736 Ounces of Gold
Lundin reported record 153.7 koz of gold in q3, with recovery misses and a nov 4 cost read serving as key swing factors.
Lundin Gold Inc. (LUG) reported third-quarter 2026 gold production of 153,736 oz from its Fruta del Norte (FDN) mine in Ecuador, marking the highest quarterly output since commercial production began. This figure represents a 25.9% increase compared to the 122,086 oz produced in the same period of 2025. The output was split between 103,311 oz in concentrate and 50,425 oz as doré.
During the quarter, the mill processed 535,711 tonnes at an average throughput of 5,823 tonnes per day, achieving a head grade of 10.1 g/t and a recovery rate of 88.3%. For the first nine months of 2026, cumulative production reached 392,472 oz from 1,532,652 tonnes milled, an increase of 3.6% from the 378,832 oz produced in the first nine months of 2025.
Sales totaled 148,326 oz in the third quarter at an average realized price of $4,299/oz. This average included a favorable $46/oz provisional pricing adjustment, bringing the pre-provisional price to $4,253/oz. Year-to-date sales stood at 374,019 oz at an average price of $4,518/oz. Lundin Gold reaffirmed its full-year 2026 production guidance of 475,000–525,000 oz, with the CEO stating the company is "well positioned" to deliver within that range. Sales trailed production due to timing, with the majority of the difference expected to be sold in the fourth quarter.
The release did not include cost, revenue, cash flow, capital expenditure, or dividend information. These figures will be provided with the Q3 financials on November 4, 2026, followed by a call on November 5. Terry Smith serves as the Qualified Person (QP).
Lundin Gold Inc. (LUG) released a production-only update confirming that its third-quarter operations followed the trajectory management had previously outlined to the market. The company reported a record output of 153,736 ounces, validating earlier statements that the second half of the year would feature stronger grades and throughput averaging approximately 5,500 tonnes per day. This performance has de-risked the company’s full-year guidance, suggesting that even a lackluster fourth quarter would allow it to meet its targets.
Despite the operational success, the update did not address two factors that have recently influenced the company’s share price. First, realized gold prices have declined sequentially, dropping from $4,951 per ounce in the first quarter to $4,359 in the second, and further to $4,299 in the third. Second, the Ecuadorian tax authority issued a proposed sovereign adjustment assessment totaling $154 million, disclosed on September 8 and 9, 2026. This assessment includes $73 million in payable amounts and $81 million in fines and penalties, which the company is disputing.
Following the announcement, Lundin Gold’s stock traded 32.6% below its February 2026 high and 18.6% above its June low, returning to levels seen prior to the second-quarter results. The company reported a volume beat but provided no new information regarding costs or cash flow.
Lundin Gold Inc., headquartered in Vancouver, Canada, is listed on the TSX, Nasdaq Stockholm, and OTCQX under the ticker LUG. The company’s primary asset is the 100%-owned Fruta del Norte mine in southeast Ecuador’s Zamora Chinchipe province. This underground, high-grade epithermal gold mine produces both concentrate and doré and is described by the company as among the highest-grade operating gold mines in the world.
Near-mine satellite projects include FDNS, which holds an inaugural reserve of 0.54 moz at 6.66 g/t, with underground development advancing on the 1170 and 1080 levels. FDN East contains an inferred resource of 0.42 moz at 6.01 g/t, with development toward this target beginning in July 2026.
District exploration has identified seven copper-gold porphyry centres: Sandia, Sandia Northeast, Sandia Southeast, Trancaloma, Trancaloma West, Castillo, and Chontas. Sandia is the most advanced, featuring an open footprint of approximately 1,600 m x 700 m x 1,000 m. The district also includes the Bonza Sur epithermal system and the new Quebrada Dorada discovery, which extends the mineralized trend to over 8 km.