Dynacor Feeds First Ore to Ecuador Mill

Dynacor Group Inc. (DNG) provided an update on the rehabilitation progress at its Svetlana plant in Ecuador, noting that work is 82% complete as of September 30, 2026. This marks an increase from the 65% completion rate disclosed on September 24, 2026, and the 40% figure reported in the Q2-2026 update. The company stated that the project remains on budget, with approximately US$10.7 million spent as of September 30, 2026, and an additional US$4.0 million committed. These expenditures are against a projected 2026 capital expenditure envelope of US$22 million to US$25 million. Prior disclosures indicated that US$9.5 million had been spent as of August 30, 2026.

First ore was fed through the crushing circuit at the end of October 2026, satisfying the company’s commitment to achieve first ore feed in the fourth quarter of 2026. Crushing operations are currently being commissioned on sterile rock before transitioning to low-grade ore. Dry commissioning is underway in the crushing, grinding, and leaching circuits, with other circuits expected to follow over the coming weeks.

The schedule for the plant’s operational milestones has shifted. Hot commissioning is now scheduled for December 2026, followed by a plant ramp-up in Q1 2027 and the first gold pour in January 2027. This represents a one-month delay from the initial gold pour target of Q4 2026 previously disclosed on September 24, 2026. Dynacor attributed the schedule slippage to extended delivery timelines for the Svetlana cyclone cluster and additional refurbishment required in the elution and refinery circuits.

The working tailings storage facility is now operational, and main equipment refurbishment in the crushing, grinding, and leaching sections is complete. The plant is set to undergo a phased restart, beginning with a capacity of 300 tonnes per day (tpd) and ramping up to 500 tpd.

Regarding ore supply, Dynacor’s internal purchasing team is in discussions with individual artisanal small-scale mining (ASM) suppliers near Portovelo. Additionally, a collaboration agreement with planetGOLD, a UN Environment Programme-led initiative, will refer ASM suppliers to the company, initially providing access to 25–50 suppliers.

On the permitting front, the Ministry of Environment, Forestry and Climate Change (MAE) commercialisation permit is expected to be issued in the first week of November 2026. The application for the Investment Protection Agreement (IPA) is advancing through in-person negotiations. Dynacor Group Inc. is scheduled to release its Q3-2026 results on or about November 12, 2026.

Dynacor Group Inc. (DNG) released an update on its Svetlana project that confirms significant construction progress while acknowledging a delay in first gold production. The company reported that first ore is now 82% complete, the tailings facility is live, and main equipment refurbishment is finished. Capital expenditure stands at US$14.7 million spent and committed against a budget of US$22 million–US$25 million, marking a reduction in construction risk for the project.

Despite these advancements, the timeline for first gold pour has shifted from the fourth quarter of 2026 to January 2027. This one-month delay represents the third consecutive slip in plant milestones for Dynacor. The company still faces hot commissioning scheduled for December, an unissued MAE commercialisation permit, and a late cyclone cluster.

Svetlana’s contribution was always projected for 2027, with commercial production targeted for the first quarter of 2027. This release does not alter that target, meaning there is no change to 2026 or 2027 guidance. Regarding supply chain developments, the planetGOLD channel, which involves 25–50 referred ASM suppliers, serves as a referral arrangement rather than contracted tonnage. This arrangement does not guarantee the 300 tpd or 500 tpd processing capacity.

Market reaction to the news has been subdued. Shares closed at C$6.61 on August 13, the day of the Q2 release, before gapping down to C$6.00 the following session. The stock has since declined 22% to C$5.17, with a low of C$5.02 set on September 30.

Dynacor Group Inc. (TSX: DNG), a Montreal-headquartered company founded in 1996, operates as a gold ore processor rather than a mine operator. The company purchases gold-bearing material from formalized artisanal and small-scale miners, processes it through its own plants, and sells doré and gold at market. A premium on its PX Impact® gold channel is directed to the Fidamar Foundation to support health and education projects in Peruvian ASM communities.

The company’s operations are centered on several key assets across Peru, Ecuador, and Senegal. Key operational and development metrics include:

• Veta Dorada / Chala, Peru — The sole material revenue generator, processing roughly 530 tpd and running above design capacity in Q2-2026. The asset produced 113,791 AuEq oz in 2025, with sustaining capex budgeted at US$6M–US$8M for 2026.
• Svetlana, Ecuador — Acquired on July 14, 2025, for US$9.75M in cash plus US$0.2M in costs. Rehabilitation is 82% complete, with an initial capacity of 300 tpd and a target of 500 tpd. First gold is expected in January 2027, with commercial production targeted for Q1 2027. Budgeted 2026 capex stands at US$22M–US$25M.
• Galam, Kédougou, Senegal — A 50 tpd modular pilot plant poured its first gold on September 30, 2026, and is now ramping up. This facility serves as the blueprint for a planned 300 tpd commercial plant. 2026 capex is budgeted at US$4M–US$5M.
• Ghana — Discussions are ongoing with GoldBod regarding an operating structure, though no agreement has been disclosed.
• Tumipampa, Peru — An exploration property where a community agreement is pending and drilling has been deferred.
• Côte d'Ivoire — Referenced historically by the dissident, with no current disclosure.