Lundin Gold at Mining Forum Americas 2026: growth, cash and copper

On 28th September 2026, Lundin Gold held a presentation at Mining Forum Americas 2026 to showcase its robust financial position, low operational costs and an expanding portfolio of projects in Ecuador. Management highlighted the significance of Fruta del Norte, but also addressed the risks arising from commodity cycle fluctuations and ongoing sovereign adjustments with the local government.

Fruta del Norte is considered one of Ecuador's highest-grade and lowest-cost gold mines, boasting an all-in sustaining cost of approximately $1,100 per ounce.

In the near future, the company plans to expand its current mine by upgrading the mill capacity to reach 6,500 to 7,000 tons per day. This expansion will be supported by new ore sources from FDN South and FDN East. Moreover, Lundin Gold is actively exploring for new projects, including seven copper porphyry centers, with the first resource estimate for Sandia slated for the first quarter of 2027.

Dividend policy remains consistent, with shareholders receiving at least 50% of the free cash flow and a dividend yield ranging between 7% to 8%. The company is currently generating strong margins attributable to current gold prices, offering flexibility in funding both growth and shareholder returns. Lundin Gold also announced the initiation of a share repurchase program in the latest quarter.

CEO Jamie emphasized that the company's cost basis is around $1,100 an ounce and its All-In Sustaining Cost. He stated, "We're making a lot of money at current gold prices, giving us lots of flexibility to pursue both." Lundin Gold's share price has declined significantly in 2026, dropping about 40% year-to-date to trade at $0.27, near its 52-week low. However, the stock is currently trading above the platform's Fair Value estimate, placing it on the Most Overvalued watchlist.

The company's exploration efforts extend beyond gold, with seven distinct copper porphyry centers identified, spanning about 10 kilometers north to south from Fruta del Norte. These centers are copper-predominant, with lower levels of gold, silver, and molybdenum. The company is confident that these porphyries could eventually evolve into a multi-billion-tonne copper district.

Sandia, the company's first major target in this group, is expected to support an early starter pit with a maiden mineral resource estimate due in early 2027. The development timeline for these porphyry systems depends on the scale of the opportunity and could be managed through various structures, including internal development, joint ventures, or partnerships.