Northwire Canada EditionFriday, July 10, 2026
Sign inSubscribe
Northwire
⌕
TLO 5.37 +5.7% BNKR 4.88 +1.7% GG 2.25 +3.2% MJS 0.100 +5.3% PAAS 62.54 +3.6% PE 0.230 +0.0% SGML 17.19 +4.8% LAR 10.34 −1.1% NED 0.025 +0.0% GEN 0.080 +0.0% TVI 0.060 +0.0% SKYG 0.025 −37.5% WRLG 0.660 +6.5% FFU 0.120 −7.7% LOD 0.310 +3.3% CBI 0.110 +0.0% TLO 5.37 +5.7% BNKR 4.88 +1.7% GG 2.25 +3.2% MJS 0.100 +5.3% PAAS 62.54 +3.6% PE 0.230 +0.0% SGML 17.19 +4.8% LAR 10.34 −1.1% NED 0.025 +0.0% GEN 0.080 +0.0% TVI 0.060 +0.0% SKYG 0.025 −37.5% WRLG 0.660 +6.5% FFU 0.120 −7.7% LOD 0.310 +3.3% CBI 0.110 +0.0%
Drill Results Routine +

Goldgroup Commences 24,000 M Diamond Drilling Program at San Francisco Gold Project

Goldgroup advances its San Francisco drill program toward a 2026 or 2027 restart amid a GRC merger and ongoing going-concern risks.

By The Northwire Desk — AI Analysis Jun 18, 2026 · 08:01 GGA · 1.63 Goldgroup Mining Inc.
Executive Summary
  • Goldgroup Mining has commenced a 24,000-metre diamond core drilling program at its 100% owned San Francisco gold project in Sonora, Mexico.
  • The program carries an estimated budget of approximately US$8 million, fully funded in-house.
  • Primary objective is to optimize the resource model and prepare for a mine restart targeted for late 2026 or early 2027.
  • The project is fully permitted and features existing infrastructure (two open pits, heap leach facilities), which management states reduces time to production to less than one year at low capital cost.
  • Measured & Indicated resources stand at 1.2 million oz Au per the May 1, 2026 NI 43-101 report.
  • Technical assumptions include a US$3,500/oz gold price, 64% average recovery, US$2.69/t mining cost, US$5.1/t processing cost, and US$1.0/t G&A.
  • The release also notes advancement of the proposed business combination with Gold Resource Corporation (GRC).
Material Impact
  • This is a routine operational update that confirms execution of a previously announced strategy. The 24,000m drill program and restart timeline are in line with market expectations and prior guidance.
  • No new financial results, cost updates, or M&A closing details are provided. The news does not alter the fundamental risk profile or valuation drivers.
  • The market has likely already priced in the drill program commencement and the GRC merger progression. Absent a surprise cost beat, production guidance raise, or merger closing, this release is unlikely to trigger a material re-rating.
GGA · Price
Company Overview
  • Cerro Prieto: Producing heap-leach gold mine in Sonora, Mexico. Recently doubled crushing capacity to >4,500 t/d.
  • San Francisco: 100% owned, fully permitted project in Sonora. Acquired Dec 2025 via bankruptcy restructuring. Currently on care and maintenance, targeting restart late 2026/early 2027.
  • Pinos: Sold Feb 2026 for US$5M to streamline portfolio.
  • Proposed GRC Merger: Would add the producing Don David mine (Oaxaca, Mexico) and the Back Forty project (Michigan, USA), creating a diversified, multi-asset Mexican-focused producer.
Read the original news release →

More from Goldgroup Mining Inc.

Jul 08, 2026 · 12:36

Goldgroup Announces Effective Date of Share Consolidation

Other Jul 06, 2026 · 16:11

Goldgroup’s $372m merger with Gold Resource creates a multi-mine producer in mexico after court approval.

M&A / Property Jul 03, 2026 · 19:07

Goldgroup’s merger with Gold Resource closes July 17, confirming a 4:1 consolidation and its path to the NYSE American.

M&A / Property Jul 02, 2026 · 17:42

Goldgroup clears its final shareholder hurdle for a transformative $372m merger with Gold Resource Corp, targeting a July 17 closing date.

M&A / Property Jun 25, 2026 · 08:01

Goldgroup Advances San Francisco Restart Plan with Engagement of Leading Mining Contractor INPROMINE

M&A / Property Jun 15, 2026 · 08:01

Goldgroup secures the San Francisco asset, though liquidity constraints and care-and-maintenance status temper immediate upside.

M&A / Property