Entree Resources Announces Second Quarter 2026 Results
Entree’s CEO retires as Mongolia agrees to commence license transfer work for its projects.
Entree Resources Ltd. (ETG) filed its Q2 2026 results, reporting an operating loss of $0.6 million, matching the figure from Q2 2025, and a six-month loss of $1.3 million. The company’s cash position fell to $3.1 million at quarter-end.
On the leadership front, President & CEO Stephen Scott has retired, with Chris Adams appointed as his successor. Sarah Strunk joined the board as an independent director.
Regarding the critical license-transfer situation, the Mongolian Tax Authority (MTA) refused to issue a tax-payment certificate, claiming documents were not submitted per methodology; Entrée LLC filed a formal complaint. However, on July 29, 2026, Rio Tinto disclosed that the Government of Mongolia agreed to commence work on the license transfer for Lift 1 Panel 1.
The management committee approved an infill drilling program of ~9,136 m underground and 4 surface holes at Hugo North Extension. OTLLC completed an updated resource model for Hugo North Lifts 1 & 2. Rio Tinto confirmed the Oyu Tolgoi underground ramp-up remains on track.
Entree Resources Ltd. (ETG) released a routine quarterly update containing no genuinely new, market-moving information. The company’s operating loss remains unchanged quarter-over-quarter, and the decline in cash is consistent with its established burn rate.
The appointment of Chris Adams follows the previously announced retirement of the CEO in Q1 2026. The primary development in the update is the government’s agreement to commence license-transfer work. While this is a constructive step, it represents only an agreement to start the process rather than a final resolution. Simultaneously, the MTA continues to create procedural obstacles, leaving the overall license situation uncertain and stalled.
Entree Resources Ltd. (ETG) holds a 20% carried interest, with a 30% stake above 560 meters elevation, in the Entrée/Oyu Tolgoi Joint Venture property in Mongolia. This interest covers the Shivee Tolgoi and Javkhlant mining licences. The company’s flagship asset is the Hugo North Extension (HNE) Cu-Au deposit, which is part of the world-class Oyu Tolgoi complex operated by OTLLC, a partnership comprising 66% Rio Tinto and 34% Mongolian state ownership. Entree also holds the long-term Heruga Cu-Au-Mo inferred resource.
HNE Lift 1 Panel 0 is currently in production. Development of Panel 1 and Panel 2, which would involve Entree’s ground, is on hold pending licence transfers. Entree is carried through development, meaning OTLLC funds all capital costs and recovers them from 90% of Entree’s free operating cash flow.