Cerrado Gold Announces Q4 and Annual 2025 Financial Results
Operational Turnaround at MDN and Hedge Removal Offset Portuguese Permitting Crisis
The most recent news (April 2, 2026) reports FY 2025 financial and operational results. Key highlights include: - Production of 50,238 GEO, meeting the 50,000–55,000 guidance range. - Significant cost improvement in Q4 2025, with AISC dropping to $1,391/oz from $1,953/oz YoY. - Adjusted EBITDA for FY 2025 rose to $46.1M, nearly doubling the $24.4M from FY 2024. - 2026 production guidance set at 50,000–60,000 GEO, with a heavy weighting toward H2 2026. - The gold hedging program (which capped prices at $3,250/oz) was officially concluded in January 2026, allowing 100% spot price realization. - A major setback at the Lagoa Salgada project in Portugal, where the Environmental Agency (APA) issued an unfavorable opinion, currently being challenged in court.
The news is Material - Positive because the operational turnaround at the Minera Don Nicolas (MDN) mine in Argentina is finally manifesting in the financial statements. - Profitability Shift: The 30% YoY reduction in cash costs and the expiration of the gold hedge allow the company to capture the full upside of current high gold prices (realized $3,401/oz in Q4). - Balance Sheet De-risking: The company ended 2025 with $22.1M in cash and has been systematically paying down debt (US$18M paid down during 2025). - Counter-balance to Portugal: While the "unfavorable opinion" on Lagoa Salgada is a significant negative for the long-term pipeline, the immediate cash flow from Argentina and the progress at Mont Sorcier (Feasibility Study due Q2 2026) provide a valuation floor that was previously absent. - Shareholder Returns: The initiation of a 5% Normal Course Issuer Bid (NCIB) signals management's confidence that the stock is undervalued relative to its now-stabilized cash flow.
Cerrado Gold is a gold producer and developer with assets in Argentina, Brazil, and Canada. - Flagship Project: Minera Don Nicolas (MDN) in Santa Cruz, Argentina. It is a multi-source operation utilizing open-pit, heap leach, and newly developed underground mining. - Development Projects: Mont Sorcier (Iron, Quebec) and Lagoa Salgada (Polymetallic, Portugal). - Status: Transitioning from high-cost open-pit mining to a lower-cost hybrid model including underground ore.