Gold price surge brings huge gains to producers in Q1’26, WGC says
Global average gold producer All-In Sustaining Costs (AISC) rise by 5% quarter-on-quarter and 16% year-on-year to $1,785 per ounce during the first quarter of 2026
The World Gold Council (WGC) reported that record gold prices led to significant profits for mining producers in Q1 2026, despite rising mining costs and inflationary pressures. The global average gold producer's All-In Sustaining Costs (AISC) increased by 5% quarter-on-quarter and 16% year-on-year to $1,785 per ounce, marking the 28th consecutive year-on-year increase in AISC.
The surge in gold prices, reaching historic highs of $5,595 per ounce in January, resulted in a 12% share of AISC in royalty payments, up from 6% in Q1 2021. Despite higher costs, gold prices' 17% increase quarter-on-quarter and 70% increase year-on-year drove average AISC margins up by 25% quarter-on-quarter and 134% year-on-year to a record $3,076 per ounce.
Miners focused on capital discipline, returning substantial cash flows to shareholders through dividends and share buybacks.
Brief written by urgent.news from Hindu BusinessLine's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
