Galiano Gold Advances Towards a Maiden Underground Resource at Abore with Additional High-Grade Results Encountered Including 4.7 g/t Au over 28m and 3.5 g/t Au over 17mNew high grade drilling intercepts to be included in maiden underground Mineral ResourceNovember 17, 2025 7:30 AM EST | Source: Galiano Gold Inc.Vancouver, British Columbia--(Newsfile Corp. - November 17, 2025) - Galiano Gold Inc. (TSX: GAU) (NYSE American: GAU) ("Galiano" or the "Company") is pleased to provide an update on th ...

Financial Data and Key Metrics Changes - The company reported revenue of $114 million for Q3 2025, a 17% increase from $97 million in Q2 2025, driven by higher production and improved gold prices [4][13] - Gold production reached just over 32,000 ounces in Q3, up 7% from 30,000 ounces in Q2, attributed to higher grades and increased throughput [4][11] - The company ended the quarter with $116 million in cash and cash equivalents, showing a slight improvement from Q2 [4][14] - All-in sustaining costs (AISC) remained consistent at $22.83 per ounce, but guidance for the year was increased to between $2,200 and $2,300 per ounce due to production shortfalls [14][16] Business Line Data and Key Metrics Changes - Production from the Abora site increased significantly, with a 57% rise in ore mined compared to the previous quarter, while Asasi mining was temporarily impacted by an incident [8][9] - Encran stripping increased by 111% compared to Q2, with development capital costs for pre-stripping totaling $12 million in Q3 [10][14] - The secondary crusher's commissioning led to a 13% increase in milling rates compared to Q2, contributing to improved gold production [11][18] Market Data and Key Metrics Changes - The average gold price for the quarter was just over $3,500 per ounce, positively impacting revenue despite a net loss before taxes of $5 million due to fair value adjustments to the hedge book [13][14] - The company has paid $12 million in tax installments to the Ghanaian government, marking the first tax expense since exhausting previous tax losses [13][14] Company Strategy and Development Direction - The company aims to continue investing in operations, particularly accelerating stripping at Encran in 2026, while maintaining a strong focus on exploration [4][14] - The exploration program at Abora has been expanded, with an additional 10,000 meters of drilling planned for completion by the end of the year [21][25] - The company is positioned as Ghana's largest single-asset gold producer, with a robust production outlook supported by strong financial discipline [26][27] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that Q3 results fell slightly below expectations due to the incident at Asasi but noted continued positive momentum in operational metrics [26] - The company remains optimistic about exploration success at Abora and the potential for organic growth [26][27] - Management emphasized the importance of maintaining strong community relations to prevent future disruptions [63] Other Important Information - The company is in discussions to implement a $75 million revolving credit facility to enhance its balance sheet for general working capital [18] - The incident at Asasi involved illegal miners and resulted in damage to mining equipment, but operations have since resumed [5][6] Q&A Session Summary Question: Can you walk us through the longer-term impacts of the improvements made to the circuit? - Management indicated that improved grades and recoveries are expected to be maintained into next year, with ongoing optimizations to the secondary crushing circuit [29][32] Question: What is needed to start underground mining related to costs and permitting? - The first step is to define the underground resource at Abora, with expectations for clarity in early next year [35][36] Question: Can you clarify the production from Abora and Asasi? - Management confirmed that more tonnage is being mined at lower grades, but overall ounces remain consistent due to mining methodology [40][41] Question: What are the stockpile levels at the end of Q3? - Stockpile levels were approximately 500,000 tons, with grades consistent with what has been processed [45][47] Question: What is the status of the Ghana audit? - The site audit is scheduled for January next year, with no specific requests for pre-documentation received yet [48][49] Question: How has community relations evolved since the incident? - Management reported that relationships have been maintained and operations resumed shortly after the incident [53] Question: How can unit costs be modeled as volumes increase? - Unit costs are expected to decrease as fixed costs are spread over increased volumes, with modest reductions anticipated [54][55] Question: What is the expected tax range for this year? - The estimated tax range for the year is between $20 million and $30 million, with a 35% effective tax rate for future calculations [56][58] Question: Why implement a revolving credit facility now? - The facility is seen as prudent balance sheet management to provide flexibility [59]

Q3 2025 Performance Highlights - Gold production increased by 7% from Q2 2025, reaching 32,533 ounces[17, 35] - Revenue increased by 17% from Q2 2025, reaching $114.2 million[17, 39] - Cash flow from operations increased by 13% from Q2 2025, reaching $40.4 million[17, 39] - Cash and cash equivalents increased by 2% from Q2 2025, reaching $116.4 million[17, 39] - Abore metres drilled increased significantly by 129% from Q2 2025, reaching 11,554 metres[17] Mining Operations - Abore ore mined increased by 57% from Q2 2025, with 1.3 Mt ore mined[23] - Nkran material mined increased by 111% compared to Q2 2025, with 3.6 Mt of material mined[34] - Esaase ore mined decreased by 83% from Q2 2025, with 0.1 Mt ore mined due to a temporary pause in mining operations[24] Financials and Costs - All-in Sustaining Costs (AISC) increased by 1% from Q2 2025, reaching $2,283 per ounce[17, 39] - Processing cost improved from $12.89/t in Q2 2025 to $12.57/t in Q3 2025[43] - Mining cost decreased by 8% from $3.65/t in Q2 2025 to $3.36/t in Q3 2025[49] Exploration and Future Outlook - The company maintains a strong cash balance of $116.4 million[17, 39] - The company has revised its production guidance to 120,000 – 125,000 ounces of gold and AISC to $2,200/oz - $2,300/oz[37]

Condensed Consolidated Interim Financial Statements For the three and nine months ended September 30, 2025 and 2024 (Unaudited, expressed in thousands of United States dollars, unless otherwise stated) TABLE OF CONTENTS | Condensed Consolidated Interim Statements of Financial Position | 2 | | --- | --- | | Condensed Consolidated Interim Statements of Operations and Comprehensive Income (Loss) | 3 | | Condensed Consolidated Interim Statements of Changes in Equity | 4 | | Condensed Consolidated Interim Statem ...

Core Insights - Galiano Gold Inc. reported its Q3 2025 operating and financial results, highlighting a strong performance despite challenges, including a net loss attributable to common shareholders of $38.6 million [1][24][26] Safety - The company recorded no lost-time injuries (LTI) and one total recordable injury (TRI) during Q3 2025, with 12-month rolling LTI and TRI frequency rates of 0.39 and 0.90 per million hours worked, respectively [5][9] Financial Performance - Cash and cash equivalents stood at $116.4 million as of September 30, 2025, with cash flow from operating activities generating $40.4 million during Q3 2025 [4][29] - Revenue for Q3 2025 reached $114.2 million, a 60% increase from $71.1 million in Q3 2024, driven by a 43% rise in average gold sales prices and a 12% increase in gold ounces sold [24][26] - Adjusted EBITDA for Q3 2025 was reported at $37.8 million, up from $29.0 million in Q3 2024 [29] Mining Operations - The company mined 1.6 million tonnes of ore at an average grade of 0.8 grams per tonne (g/t) gold, with a strip ratio of 7.8:1 during Q3 2025 [4][11] - Gold production for the quarter was 32,533 ounces, a 7% increase compared to Q2 2025, with year-to-date production reaching 83,617 ounces [4][11] - The average gold sales price for Q3 2025 was $3,501 per ounce, setting a record for the company [11][26] Cost and Capital Expenditures - Total cash costs were $1,554 per ounce, with all-in sustaining costs (AISC) at $2,283 per ounce for the quarter, consistent with Q2 2025 [11][12] - Capitalized development pre-stripping costs at Nkran Cut 3 amounted to $12.0 million during Q3 2025 [11] Exploration - The Phase 2 drilling program at Abore was completed, identifying multiple new high-grade ore shoots and a significant new discovery at Abore North [20][25] - The company plans to continue infill and step-out drilling through Q4 2025 based on positive results from the drilling program [25] Revised Guidance - The company revised its gold production guidance for FY 2025 to a range of 120,000 - 125,000 ounces, down from the previous range of 130,000 - 150,000 ounces [12][26] - AISC guidance for FY 2025 was also revised to $2,200 - $2,300 per ounce, up from $1,750 - $1,950 per ounce [12][26]

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, with the aim of buying high and selling higher, capitalizing on established price movements [1] Company Overview: Galiano Gold (GAU) - Galiano Gold currently holds a Momentum Style Score of B, indicating a favorable momentum characteristic [2] - The company has a Zacks Rank of 2 (Buy), suggesting strong potential for outperformance in the market [3] Performance Metrics - Over the past week, GAU shares have increased by 8.76%, while the Zacks Mining - Gold industry remained flat [5] - In a longer timeframe, GAU's monthly price change is 10.59%, compared to the industry's 11.13% [5] - Over the last quarter, GAU shares have surged by 89.26%, and over the past year, they have gained 95.83%, significantly outperforming the S&P 500, which moved 6.67% and 15.74% respectively [6] Trading Volume - GAU's average 20-day trading volume is 3,569,436 shares, which serves as a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the past two months, two earnings estimates for GAU have been revised upwards, increasing the consensus estimate from $0.18 to $0.24 [9] - For the next fiscal year, two estimates have also moved higher, with no downward revisions noted [9] Conclusion - Given the positive momentum indicators and earnings outlook, GAU is positioned as a 2 (Buy) stock with a Momentum Score of B, making it a strong candidate for near-term investment [11]

Group 1 - Galiano Gold Inc. will release its Q3 2025 financial and operational results after market close on November 6, 2025 [1] - A conference call and webcast to discuss the Q3 results is scheduled for November 7, 2025, at 7:30am PT [1] - The conference call will be accessible via multiple dial-in options and will also be available for replay until November 14, 2025 [1] Group 2 - Galiano Gold Inc. is focused on sustainable business practices aimed at value creation for stakeholders through production, exploration, and disciplined financial resource deployment [2] - The company owns the Asanko Gold Mine located in Ghana, West Africa [2] - Galiano is committed to high standards in environmental management, social responsibility, and the health and safety of employees and local communities [2]

Core Insights - The recent surge in gold prices is driving momentum for gold mining stocks, with three companies—Galiano Gold Inc., McEwen Inc., and Seabridge Gold Inc.—ranking highly in momentum metrics as gold approaches the $4,000 mark [1][2] - Experts believe that the rally in gold mining stocks is just the beginning, as these stocks remain undervalued despite significant price increases [7][8] Company Performance - Galiano Gold Inc. (GAU) has seen its momentum score rise from 88.5 to 92.04, reflecting a year-to-date increase of 92.37% and an 82.61% increase over the past year [10] - McEwen Inc. (MUX) improved its momentum percentile from 89.91 to 93.83, although it has experienced a decline of 121.55% year-to-date and 87.69% over the past year [10] - Seabridge Gold Inc. (SA) increased its momentum score from 86.57 to 90.78, with a year-to-date rise of 105.32% and a 48.38% increase over the past year [10] Valuation Insights - Despite a 140% increase in mining stocks this year, their price-to-earnings ratios are contracting, indicating that earnings are growing faster than share prices [8][11] - Analysts predict that if gold prices remain high, gold miners could achieve the highest profit margins in industry history, enhancing their investment appeal [12]

Core Viewpoint - Galiano Gold (GAU) shares have recently declined by 8.2% over the past two weeks, but the formation of a hammer chart pattern suggests a potential trend reversal as buying interest may be emerging to counteract selling pressure [1][2]. Technical Analysis - The hammer chart pattern indicates a possible bottoming out, with reduced selling pressure, suggesting that bulls may be gaining control [2][5]. - A hammer pattern forms when there is a small candle body with a long lower wick, indicating that the stock opened lower, made a new low, but closed near its opening price, reflecting buying interest [4][5]. - This pattern is significant when it appears at the bottom of a downtrend, signaling a potential reversal as bears may have lost control [5][6]. Fundamental Analysis - There has been a positive trend in earnings estimate revisions for GAU, with a 21.7% increase in the consensus EPS estimate for the current year over the last 30 days, indicating that analysts expect better earnings than previously predicted [7][8]. - The company currently holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks, which typically outperform the market [9][10]. - The Zacks Rank serves as a timing indicator, suggesting that the company's prospects are improving, further supporting the case for a potential turnaround [10].

Core Insights - The article emphasizes the importance of value investing as a preferred strategy for identifying strong stocks in various market conditions [2] - Galiano Gold (GAU) is highlighted as a stock of interest, currently holding a Zacks Rank of 2 (Buy) and a Value grade of A, indicating strong potential for value investors [3] Valuation Metrics - GAU has a Price-to-Book (P/B) ratio of 2.69, which is attractive compared to the industry average of 2.90. Over the past year, GAU's P/B has fluctuated between a high of 2.79 and a low of 1.13, with a median of 1.51 [4] - The Price-to-Sales (P/S) ratio for GAU is 1.87, significantly lower than the industry's average P/S of 4.59, suggesting that GAU may be undervalued [5] Earnings Outlook - The combination of GAU's favorable valuation metrics and its strong earnings outlook positions it as one of the strongest value stocks in the market currently [6]