ORVANA REPORTS Q1 FY2026 PRODUCTION AND EXPLORATION RESULTS; AND PROVIDES UPDATE ON OXIDES STOCKPILE PROJECT AT DON MARIO, BOLIVIA
Orvana pivots to multi-asset production as Don Mario nears first doré, but extreme Spain costs loom.
The most recent news release (January 16, 2026) reports Q1 FY2026 production and exploration results. Flagship Spanish operation Orovalle produced 10,576 Gold Equivalent Ounces (GEO), showing stable operational performance. Key developments are centered on the Don Mario Oxides Stockpile Project (OSP) in Bolivia: initial doré production is expected in February 2026, though the copper circuit completion has been delayed from late January to mid-March 2026. Processing of the oxide stockpile is now slated for April 2026. In Argentina, the Taguas exploration program remains on track for completion in April 2026.
- Transition to Multi-Asset Producer: The start of production at Don Mario is a material transformation. Orvana is moving from a single-asset producer in Spain to a dual-asset producer, with consolidated FY2026 guidance targeting 70,000 oz of gold and 20 million lbs of copper—roughly double the FY2025 output.
- Bolivia Execution: While the copper circuit experienced a 6-week delay, the gold-silver circuit is entering performance verification. The successful $25 million financing and offtake agreement with Trafigura (November 2024) significantly derisks the final construction phase.
- Spanish Cost Inflation: The news confirms Spain is meeting production guidance, but historical news (November 2025) reveals a alarming spike in All-In Sustaining Costs (AISC) for Spain, guided at $2,700 - $3,000 per ounce for FY2026. This suggests Orovalle is currently a marginal operation dependent on high gold prices.
- Exploration Potential: Repositioning Taguas as a deep copper-gold porphyry target and reacquiring the 1% NSR (October 2025) adds long-term optionality, though it currently remains a cash drain.
Orvana is a mid-tier producer with three main pillars: - Orovalle (Spain): Underground gold-copper-silver mine. Currently the only revenue generator, but struggling with very high costs. - Don Mario (Bolivia): The "Oxides Stockpile Project" (OSP) involves expanding an existing plant to process 2.0 million tonnes of stockpiled ore over 35 months. - Taguas (Argentina): A large-scale exploration project in the San Juan province being tested for deep porphyry potential.