Andean Precious Metals Reports Second Quarter 2026 Production Results
Andean Precious faces a 731,000 oz silver overhang that clouds cash conversion despite production remaining on track.
Andean Precious Metals Corp. (APM) reported second-quarter 2026 consolidated production of 25,387 gold equivalent ounces (GEO), representing a 4% year-over-year increase. For the first half of 2026, production totaled 52,730 GEOs, up 15% year-over-year and in line with the company’s 2026 guidance.
San Bartolomé was the primary driver of gains, with GEO output rising 39% year-over-year due to higher silver and gold output reflecting the company’s ore sourcing strategy. Conversely, Golden Queen production was lower year-over-year due to mine sequencing and grade timing, though management expects a catch-up in the second half of the year.
The company also noted a strategic deferral of inventory, with approximately 731,939 ounces of silver and 2,585 ounces of gold finished goods remaining unsold for treasury management purposes. These assets are expected to boost liquid assets when sold. Liquid assets were last reported at $204.1 million in the first quarter, consisting of $114.5 million in cash and $89.6 million in marketable securities.
Andean Precious Metals Corp. will release its second-quarter financial results on August 11, followed by a conference call on August 12.
Andean Precious Metals Corp. (APM) reported production figures that aligned with its guidance, adhering to the 45/55 first-half/second-half weighting reiterated in the first quarter. The company deferred approximately 732,000 ounces of silver and 2,585 ounces of gold from inventory, creating a cash-flow timing difference that does not alter production volumes but may impact second-quarter revenue and EBITDA when reported.
The market reaction was flat, with the stock moving from C$5.91 to C$5.89. The shares remain in a downtrend from January highs, with broader sector headwinds and unresolved Silver Elephant litigation already priced in. The release provided no new cost, capital expenditure, or exploration data, nor did it include any guidance changes. The update confirmed the status quo with a minor positive tilt, noting 10% or more year-over-year growth in the first half.
Andean Precious Metals Corp. operates two primary assets: the Golden Queen open-pit heap-leach gold mine in California, USA, and the San Bartolomé silver processing facility in Potosí, Bolivia. Since 2016, Golden Queen has produced more than 400,000 ounces of gold and 4.1 million ounces of silver. The mine has a processing capacity of 12,000 tons per day, with expansions to the leach pad and Merrill-Crowe circuit currently underway.
San Bartolomé is a silver processing facility with a design capacity of 1.8 million tons per annum that historically has averaged 5 million ounces of silver equivalent per year. The facility processes third-party purchased ores; in 2025, approximately 87% of its feed came from third-party sources. A new agreement with COMIBOL secures future ore supply for the facility.