Aya Gold & Silver Reports Strong Q2-2025 Results

Core Viewpoint - Aya Gold & Silver Inc. reported strong operational and financial results for Q2-2025, highlighting record revenues and significant increases in silver production, driven by the ramp-up of the Zgounder plant and ongoing exploration efforts [4][11][24]. Operational Summary - Silver production reached 1.04 million ounces, a 141% increase year-over-year, attributed to the new Zgounder plant's ramp-up [8][10]. - The average throughput was 3,005 tonnes per day, with mill availability at 98% and recovery rates improving to an average of 86.5% for the quarter [7][10]. - Ore processed increased by 239% year-over-year to 273,471 tonnes, with a 10% quarter-over-quarter increase [10][11]. Financial Summary - Revenue from silver sales totaled $38.6 million, up 182% year-over-year, reflecting higher sales volumes and a net realized silver price of $33.86 per ounce, a 29% increase from the previous year [11][20]. - Net income for the quarter was $8.6 million, or diluted EPS of $0.06, compared to $6.8 million and $0.05 in Q2-2024 [12][20]. - Cash costs per ounce sold increased to $21.26, reflecting early-stage development costs, with expectations for normalization in the second half of 2025 [12][20]. Development and Exploration - The company is advancing its Boumadine project, with a Preliminary Economic Assessment (PEA) expected later this year, which is anticipated to highlight its potential as a major production hub [6][24]. - Exploration activities included 33,510 meters of drilling at Boumadine and 5,915 meters at Zgounder, with new targets identified, including the Asirem Gold-Copper zone [19][21]. - The regional land package has expanded by 12% to 452.7 km², with ongoing geological mapping and prospecting [18][21]. Recent Developments - Aya received an $8 million payment under bank guarantees from EPC contractor Duro Felguera, reinforcing project oversight and contract enforcement [17]. - The company completed a C$144 million bought deal financing, ending the quarter with $114 million in cash, providing flexibility for future developments [15][16]. Outlook - The company expects continued strong operational execution, with milling throughput and recoveries projected to remain above feasibility study rates [24]. - Key catalysts for the second half of 2025 include the Boumadine PEA and ongoing drill results, which are expected to further demonstrate growth potential [24].