Gold Road Resources downgrades 2025 guidance

The news: Gold miner Gold Road Resources has downgraded its production and cost guidance for 2025, after maintenance activities and mechanical failures led to lower-than-expected output in the year-to-date period.

The numbers: Gold Road said it now expects 2025 gold production to be between 310,000 and 320,000 ounces, down from 325,000 to 355,000 ounces. As a result of the lower output, all-in sustaining cost is expected to be higher than previously guided, up from a range of $2,400-$2,600 to $2,600-$2,800.

The context: The miner, which co-owns the Gruyere gold mine in Western Australia, said the lower production forecast is primarily due to primary crusher maintenance, failure of conveyor belts, and lower-than-anticipated ore from the mine.

Gold Road also said the planned ramp-up of total movement rates at Gruyere is progressing "more slowly than anticipated".