Wesdome Gold Mines (TSX: WDO) produced 41,287 ounces of gold in the third quarter, down 18% from the same period last year, as sharply lower grades at its Eagle River mine more than offset higher throughput at both operations.
The company milled 143,617 tonnes during the quarter, an 18% increase year over year. Eagle River processed 79,820 tonnes, or roughly 870 tonnes per day, but its average grade fell to 10.1 g/t gold from 15.3 g/t a year earlier, pulling production down 28% to 24,758 ounces.
Kiena held up better. The mine processed 63,797 tonnes, about 690 tonnes per day and 27% more than a year ago, despite 10 days of planned and unplanned maintenance downtime. Grade slipped to 8.2 g/t from 10.2 g/t, which the company attributed to the blending of early stope and development ore from the Presqu’île Zone, and production edged up 2% to 16,529 ounces.
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Wesdome sold 41,800 ounces at an average realized price of US$4,279 per ounce, up 21% from the prior year.
“Third quarter production was modestly below our expectations,” said President and CEO Anthea Bath. “However, Q4 is anticipated to be our strongest quarter of the year, driven by increased throughput and ounces at Eagle River, the continued ramp-up of the new Presqu’île Zone, and further operational improvements at Kiena Deep.”
Year-to-date production stands at 130,414 ounces, leaving Wesdome needing roughly 49,600 ounces in the final three months to reach the low end of its 2026 guidance of 180,000 to 205,000 ounces. That’s about 20% more than it produced in Q3. The company maintained the range but now expects to finish below the midpoint.
Eagle River is the main pressure point. The mine has averaged 10.7 g/t so far this year against guidance of 13.0 to 14.0 g/t, and needs about 30,600 ounces in the fourth quarter to hit the bottom of its 105,000 to 115,000 ounce target. Management has characterized the grade variability as expected while the operation transitions to higher throughput.
Wesdome ended the quarter debt free with approximately C$377 million in cash, after paying its first dividend and repurchasing 1.8 million shares in July for C$46 million. Full financial results are due November 4.
Wesdome Gold Mines last traded at $34.51 on the TSX.
