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Half-year Report

25th Sep 2025 07:00

 

AltynGold PLC

(“AltynGold” or “the Company”)

Unaudited Interim Results – six months to 30 June 2025

Increased processing capacity driving production growth and record profits

AltynGold Plc (LSE: ALTN), a leading exploration, production and development gold producer operating in Kazakhstan, is pleased to announce its unaudited results for the six months to 30 June 2025.

The upgrade of the processing plant at the Sekisovskoye mine, completed in Q4 2024, is showing positive results, with gold production increasing considerably, by 44% YoY to 25,081oz, allowing AltynGold to benefit from the favorable gold price environment. The increased milling capacity and efficient operations have translated into record financial performance with an 125% increase in EBITDA from H1 2024. AltynGold continues to reiterate its production guidance of 50,000oz for the full year of 2025.

The Company is also pleased to report there were no mine accidents or other safety incidents to report in the period, demonstrating continued commitment to operating responsibly and prioritising staff safety.

Highlights:

Financial

Turnover increased to US$70m (H1 2024: US$38.4m) Strong average realised gold price of US$3,099oz during the period (H1 2024: US$2,293oz) Gross profit of US$40.2m (H1 2024: US$16.5m), with a net profit before taxation of US$34.6m (H1 2024: US$10.3m) Adjusted EBITDA of US$44m (H1 2024: US$19.6m), a compelling 125% increase Confirming low cash cost position of the Group with All-in sustaining cost (AISC) of US$1,357oz (H1 2024: US$1,284oz) Total cash cost of production (TCC) of US$1,152oz (H1 2024: US$1,154oz)

Production

Ore mined up 35% to 450,578t (H1 2024: 334,101t) H1 2024 gold dore production from Sekisovskoye was 25,081oz, compared with H1 2024 of 17,413oz, a 44% increase H1 2025 gold sold was 22,595oz, compared with H1 2024 of 17,247oz, a 31% uplift from the prior period Average processed gold grade in the period was 2.04g/t (H1 2024: 2.30g/t) Sustained operational performance with gold recovery averaging 84.75% during the 6-month period (H1 2024: 84.57%)

Sekisovskoye Mine development

The transport declines continue to be developed The No 1 decline is at -34 masl with tunnelling completed of 262 linear metres No 2 decline is at 0 masl with 60 linear metres of tunnelling completed. Exploration drilling amounted to 8,757 linear metres, (H1 2024: 8,555). Drilling of blastholes amounted to 75,555 linear metres. Ore body 11 was further developed with mine tunnelling and exploratory drilling from 300 masl to 0masl Completion of ventilation and associated works as the declines are developed.

AltynGold CEO Aidar Assaubayev commented:

“Sekisovskoye continues to deliver strong results, with production and profitability both showing significant growth in the first half of the year. The combination of higher mined volumes, stable operating costs, and a supportive gold price environment has translated into a 143% increase in operating profit and record EBITDA. Importantly, we achieved this while maintaining our exemplary safety record, with no accidents reported in the period.

With ore stockpiles in place, processing capacity running at enhanced levels, and underground development advancing on schedule, we are well placed to meet our target of 50,000 ounces for the year. The progress on our declines and ore body development underpins the long-term future of the mine, giving us confidence in our ability to continue to grow production towards our medium term goals.

AltynGold is in a robust financial position with compelling cash generation, enabling us to reinvest in mine development and pursue our growth strategy. We remain committed to delivering excellent value for our shareholders while operating safely and responsibly.”

For further information please contact:

AltynGold plc

 

Radjinder Basra

 

+44 (0) 203 432 3198

 

Email: [email protected]

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014, as it forms part of domestic law by virtue of the European Union (Withdrawal) Act 2018.

Chairman’s Statement

The first half of 2025 has been one of continued progress for AltynGold. With the expansion of the Sekisovskoye processing plant now complete, the Company is firmly positioned to deliver on its target of 50,000 ounces of production this year, while establishing the platform for our longer-term ambition of 100,000 ounces annually.

Our strengthening financial position reflects both higher output and the supportive gold price environment. Operating profits more than doubled in the half, and adjusted EBITDA rose by 125%. Importantly, cash generation is now accelerating at a pace that will see the Company move into a net cash position in the near term. This transformation provides us with the flexibility to fund growth largely from internal resources, a significant step change from previous years, and one that strengthens our resilience in a volatile global environment.

The quality and notable longevity of AltynGold’s considerable asset base remains a source of real competitive strength. Sekisovskoye has a long reserve life at current production levels, while our exploration work at Teren Sai continues to demonstrate the potential to add further scale and longevity at competitive cash costs to the portfolio. Together, these assets underpin our ambition to become a mid-tier producer of scale, capable of delivering sustainable value over decades. We continue to review organic growth opportunities that could allow us to further expand our high-quality asset portfolio.

We remain committed to pursuing further growth diligently, with a responsible focus on safety, environmental stewardship, and the pursuit of value creation for all stakeholders. The strong gold price environment enhances this opportunity, but it is the strength of our assets and expertise of our employees that give us confidence in our growth strategy.

On behalf of the Board, I would like to thank our employees for their hard work, skill, and commitment, which continue to drive our success. I also extend my gratitude to our shareholders for their trust and support as we execute our strategy.

I would also like to take this opportunity to welcome Maryam Buribayeva to the Board as Chief Financial Officer, which has been announced since the H1 2025 period end. AltynGold has benefited from Maryam’s expertise and deep knowledge of the Company during her tenure as a Non-Executive Director for the past 3 years, and we look forward to her continued leadership as an Executive Director at this exciting time for the Company.

I look forward to providing a further update on our progress later this year.

Kanat AssaubayevChairman

25 September 2025

Chief Executive Officer’s statement

The first half of 2025 marks a decisive turning point for AltynGold. With the successful completion of the Sekisovskoye processing plant upgrade at the beginning of the year, our operations are now firmly positioned to deliver higher output and strong financial performance. This expansion has increased milling capacity by around 50%, underpinning our ability to reach 50,000 ounces of gold production in 2025 and establishing a platform for our longer-term ambition of producing 100,000 ounces annually.

At Sekisovskoye, the mine continues to operate smoothly, with key development milestones achieved during the period. We advanced both transport declines by 322 metres, pushed forward tunnelling into ore body 11, and commissioned significant infrastructure including the new surface ventilation fan unit and the main drainage complex. These projects enhance the long-term resilience and efficiency of our underground operations. The team maintained our strong safety record, with no lost-time incidents recorded in the half, in line with our core commitment to safe operations.

Our primary focus has been the successful implementation of the processing plant at Sekisovskoye and ramping up production to take advantage of the increasing gold prices. Financially, the impact of the processing plant expansion is clear. Revenue rose in the period to US$70m and operating profit increased 143% YoY to US$37m. Adjusted EBITDA more than doubled to US$44m. This reflects higher production volumes and the supportive gold price environment, with an average realised price of over US$3,000 per ounce.

Cash generation is strengthening rapidly, and with net debt expected to fall sharply, we are moving towards a net cash position. This will create financial flexibility to fund the next phase of growth internally.

Our focus on the processing plant has led to a natural change of focus from the accelerated development of Teren Sai that previously envisaged as resources were committed to Sekisovskoye. Nevertheless, we continued drilling programmes at both Sekisovskoye and at our Teren Sai licence area. At Teren Sai, where our exploration licence has been extended until March 2026, we completed nearly 10,000 metres of core drilling alongside mapping and sampling works. This work is progressively de-risking the resource base and increasing our production opportunities, and the next steps are to prepare a resource estimate and determine the most efficient pathway towards production. Together with the 5.05 million ounces of proven and probable reserves across our portfolio, this work supports the scale and longevity of our resource base and provides optionality for growth well beyond current production output.

We are pleased to introduce to our Company disclosures the benchmark cost measure for our operations’ All-In Sustaining Cost (AISC), in line with our commitment to financial transparency and clear disclosure to shareholders. At US$1,357/oz (H1 2024: US$1,284/oz), our AISC clearly demonstrates AltynGold to be a compelling low-cost producer.

Looking forward, our strategy remains focused on two pillars: the continued development of Sekisovskoye and the progression of Teren Sai. The completed plant expansion has lifted our production run-rate to 56,000 ounces achievable from 2026, and we remain committed to scaling to 100,000 ounces annually from our existing resource base.

AltynGold today stands at an inflection point between junior and mid-tier producer. We are delivering strong operational performance, generating meaningful cash flow, and investing in growth responsibly. With our strengthened platform, we are well placed to create sustained value for all stakeholders as we advance towards our long-term vision of becoming a growing, low cost mid-tier gold producer of scale.

Aidar AssaubayevChief Executive Officer

25 September 2025

Operational overview

Sekisovskoye

With the completion of the final stages of the processing plant upgrade and associated works being completed in January 2025, the mine works have returned to the normal schedules of ongoing maintenance and capital expenditure associated with the ongoing development of the declines. Capital expenditure in relation the final completion of works in relation to the processing plant and capital upgrades amounted to US$7m of the total capex spend of US$11.7m

The principal milestones achieved in the period in relation to the mine development were:

Capital development of the two declines in the period amounted to 322 linear metres. Drilling and tunnelling works to access the ore in ore body 11 at 0masl. Backfilling of the voids as the ore is extracted, Exploratory drilling and blast hole drilling increased to facilitate the higher level of ore to the processing plant.

Construction of the main fan unit building on the surface at elevation +430 masl and installation of Korfmann AL 17-4500 No. 2. Work was also completed on pouring the foundation of the building and the pedestal for the ventilation units.

Completion of the main drainage complex at an elevation of +150 metres above sea level. This included the laying of 1700 linear metres of pipeline, which was also connected to outlets at an elevation of +320 metres above sea level.

Teren Sai

The primary focus of the company has been on the successful implementation of the processing plant at Sekisovskoye, and to ramp up production, to take advantage of the increasing gold prices. This has led to a change of focus from the development of Teren Sai that was previously planned as resources were committed to Sekisovskoye.

To summarise the extension to the exploration licence was granted in April 2024 for a two year period expiring in March 2026. The licence requires exploration to be undertaken in line with a work program agreed with the mining authorities. In the current six month period the following works were undertaken:

Core drilling of 9,720 metres Topographical mapping works on 31 mines 6,370 samples tested

Testing and sampling has been undertaken in the area 2 identified for development. The results continue to be analysed and collated, to assess if further works are required before moving to the next stage.

The next step will involve the preparation of a resources estimate which may necessitate the involvement of an external advisor and development of a work program to be agreed with the mining authorities.

As the licence expires in March 2026 this may require a renewal of the exploration licence with a view to switching the licence to a production licence on completion of all research. An assessment will be made at this stage as to the how to develop the prospective resource in the most efficient and profitable way.

We will update shareholders as the plans are progressed.

Aidar AssaubayevChief Executive Officer

25 September 2025

Financial review

Key Statistics

30 June 2025

30 June 2024

Ore mined

tons

450,578

334,101

Milling

tons

452,593

279,251

Contained gold milled

ounces

29,595

20,589

Gold grade

g/t

2.04

2.30

Silver grade

g/t

2.23

2.70

Gold recovery

%

84.75%

84.57%

Silver recovery

%

73.31%

73.57%

Gold poured

ounces

25,081*

17,413

Silver poured

ounces

23,496

17,901

* This figure was previously reported as 28,081oz in the H1 2025 production update RNS issued on 18 July 2025.

With the ongoing political and economic uncertainty, caused by the continuing conflicts in the world and the unpredictable economic policies in the USA, the demand and as a consequence the price of gold has been increasing. Major factors pushing the price up have been the demand from central banks diversifying their reserve holdings away from the US Dollar, and investor sentiment on interest rates and inflation. These underlying factors are set to continue with some analysts such as Goldman Sachs seeing prices continuing to move upwards to over US$4,000oz. The average price achieved in H1 2025 was US$3,099, currently the gold price is above US$3,600oz.

With the third line of production becoming fully operational in the period, the gold dore produced increased by 44% to 25,081oz, which was in line with the budgeted plan for the six months. The company is budgeting for a production level of 50,000oz for the full year.

The turnover increased to US$70m an increase of 82% on the higher level of production and increase in the average price of gold achieved of US$3,099oz up from US$2,293. Gross margin increased to 57% from 43%, due principally to the increase in price of gold as the costs are relatively fixed.

The cost of sales increased from US$22m to US$30m the increase of US$8m was due to three principal factors. An increase in depreciation of US$4m as a result of the additional capital expenditure relating to plant construction. Secondly an increase in mineral extraction tax of US$2.9m, this is levied at 7.5% on the ore extracted which increased to 450,000t (2024: 334,000t ) extracted. Thirdly an increase in wage costs in the year of US$0.6m to service the higher level of production.

Sekisovskoye produced 25,081oz of gold dore (H1 2024: 17,413oz), with an increased recovery rate of 84.75%. Gold sold in the period amounted to 22,595oz, with the balance being carried forward into stock to be sold in Q3 2025.

As production continues to grow the cash cost of production is set to reduce (cost of sales excluding depreciation and provisions) and was for the period was US$1,007/oz (H1 2024 US$1,013/oz). The total cash cost was US$1,152/oz as compared to US$1,154/oz in H1 2024.

In terms of administrative costs these increased by US$0.8m to a total of US$3.3m, principally due to a one off adjustment to restate the carrying value of VAT resulting in a provision of US$693,000.

The finance costs represent the interest charges on the bonds at the fixed rates of 11.25% and 9.75% on the two US$10m bonds which amounted to US$1.1m in the period and US$1.8m on the bank loans with interest rates principally at rates between 7%-8%.

Tax levied on the profits relates entirely to the tax charged in Kazakhstan at a rate of 20%, as all the tax losses have now been fully utilised, the tax charge has increased in the current period to US$7.6m

On the back of the strong trading performance adjusted EBITDA rose to US$44m (2024: US$19.6m) in the six months to 30 June 2025.

As of 30 June 2025, the cash balances were US$15m, increasing from the December 2024 balance of US$10.4m.

The net amount of loans repaid in the period was US$11.4m, comprised of additional loans of US$14m and loans repaid of US$25.4m. The loans repaid included the Kazakh Tenge denominated loans which had a higher interest rate of 15.5% per annum. The loans total US$49m at 30 June 2025, the majority of which will be repaid by 2027.

Ore stockpiles have increased from the December 2024 level of US$23.5m to US$37.6m. The increase in the ore stockpiles was planned in order to service the greater running capacity of the processing plant from January 2025.

Aidar AssaubayevChief Executive Officer

25 September 2025

Directors’ Responsibility Statement and Report on Principal Risks and Uncertainties

The Board confirms to the best of their knowledge, that the condensed set of financial statements have been prepared in accordance with the UK-adopted International Accounting Standard 34, 'Interim Financial Reporting' and the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom’s Financial Conduct Authority.

The interim management report includes a fair review of the information required by:

DTR 4.2.7R of the Disclosure and Transparency Rules, being an indication of important events that have occurred during the first six months of the financial year and their impact on the condensed set of financial statements; and a description of the principal risks and uncertainties for the remaining six months of the year; and

DTR 4.2.8R of the Disclosures and Transparency Rules, being related party transactions that have taken place in the first six months of the current financial year and that have materially affected the financial position or performance of the entity during the period; and any changes in the related party transactions described in the last annual report that could do so.

The Company’s management has analysed the risks and uncertainties and has in place control systems that monitor daily the performance of the business via key performance indicators. Certain factors are beyond the control of the Company such as the fluctuations in the price of gold and possible political upheaval. However, the Company is aware of these factors and tries to mitigate these as far as possible. In relation to the gold price the Company is pushing to achieve a lower cost base in order to minimise possible downward pressure of gold prices on profitability.

Risks and uncertainties identified by the Company are set out in the 2024 Annual Report and Accounts and are reviewed on an ongoing basis. There have been no significant changes in the first half of 2025 to the principal risks and uncertainties as set out in the Annual Report and Accounts and these are as follows:

Fiscal changes in Kazakhstan No access to capital Commodity price risk Reliance on operating in one country Reliant on one operating mine Technical difficulties associated with developing the underground mines at Sekisovskoye and Teren-Sai Failure to achieve production estimates Inflationary and currency risk Health, safety and environment Political uncertainties

The Directors do not expect any changes in the principal risks for the remaining six months of the financial year.

Aidar AssaubayevChief Executive Officer25 September 2025

Consolidated statement of profit or loss and other comprehensive income

– six months to 30 June 2025

 

 

Six months

Six months

  

ended 30 June

ended 30 June

  

2025

2024

  

(Unaudited)

(Unaudited)

 

Notes

 

 

 

 

 

 

 

US$’000

 

US$’000

 

 

 

Revenue

 

2

 

70,010

 

38,397

Cost of sales

 

 

(29,794)

 

(21,863)

Gross profit

 

 

40,216

 

16,534

 

 

 

Administrative expenses

  

(3,331)

 

(2,473)

Other operating income

 

2

 

150

 

1,146

 

 

 

 

 

 

Operating profit

  

37,035

 

15,207

Foreign exchange gain/(loss)

 

 

438

 

(1,967)

Finance expense

 

 

(2,866)

 

(2,978)

 

 

 

Profit before taxation

  

34,607

 

10,262

Taxation

 

 

(7,626)

 

(2,007)

 

 

 

Profit attributable to equity shareholders

 

 

26,981

 

8,255

 

 

 

Profit per ordinary share

 

 

 

 

 

 

Basic and diluted (US cent)

 

3

 

98.71c

 

30.20c

 

 

Six months

Six months

 

ended 30 June

ended 30 June

 

2025

2024

 

unaudited

 

  

unaudited

 

 

 

US$’000

 

US$’000

Profit for the period

 

26,981

 

8,255

Currency translation differences arising on translations of foreign operations items which will or may be reclassified to profit or loss

 

95

 

(3,701)

 

 

 

 

Total comprehensive profit for the period attributable to equity shareholders

 

27,076

 

4,554

   

Consolidated statement of financial position at 30 June 2025

30 June

 

30 June

 

31 December

2025

 

2024

 

2024

Notes

(unaudited)

 

(unaudited)

 

(audited)

US$’000

 

US$’000

 

US$’000

Non-current assets

 

 

Intangible assets – Teren Sai

5

16,798

 

13,547

 

14,316

Others

5

530

 

666

 

564

Property, plant and equipment

6

77,622

 

74,785

 

72,638

Other receivables

7

14,824

 

14,040

 

14,669

Restricted cash

218

 

31

 

93

109,992

 

103,069

 

102,280

Current assets

 

 

Inventories

11

37,585

 

22,212

 

23,503

Trade and other receivables

7

22,385

 

20,295

 

20,430

Cash and cash equivalents

14,962

 

4,686

 

10,402

74,932

 

47,193

 

54,335

Total assets

184,924

 

150,262

 

156,615

 

 

Current liabilities

 

 

Trade and other payables

8

(11,999)

 

(9,626)

 

(7,468)

Vat payable

(814)

 

-

 

-

Provisions

(420)

 

(376)

 

(358)

Deferred tax liability

13

(4,038)

 

(276

 

-

Tax provision

(3,193)

 

(401)

 

(78)

Borrowings

12

(15,040)

 

(32,143)

 

(29,201)

(35,504)

 

(42,822)

 

(37,105)

Net current assets

39,428

 

4,371

 

17,230

Non-current liabilities

 

 

Deferred taxes payable

13

-

 

-

 

(675)

Provisions

(6,253)

 

(6,359)

 

(5,733)

Borrowings

12

(33,934)

 

(25,845)

 

(30,945)

(40,187)

 

(32,204)

 

(37,353)

Total liabilities

(75,691)

 

(75,026)

 

(74,458)

Net assets

109,233

 

75,236

 

82,157

 

 

Equity

 

 

Share capital

(4,267)

 

(4,267)

 

(4,267)

Share premium

(152,839)

 

(152,839)

 

(152,839)

Merger reserve

282

 

282

 

282

Currency translation reserve

75,360

 

64,208

 

75,455

Accumulated loss

(27,769)

 

17,380

 

(788)

Total equity

(109,233)

 

(75,236)

 

(82,157)

   

The financial information was approved and authorised for issue by the Board of Directors on 25 September 2025 and was signed on its behalf by:Aidar Assaubayev - Chief Executive Officer

Consolidated statement of equity – six months to 30 June 2025

 

Sharecapital

 

Sharepremium

 

Mergerreserve

 

Currencytranslationreserve

 

Accumulcatedlosses

 

Total

 

 

 

 

 

 

Unaudited

 

US$'000

 

US$'000

 

US'000

 

US$'000

 

US$'000

 

US$'000

 

 

 

 

 

 

At 1 January 2025

 

(4,267)

 

(152,839)

 

282

 

75,455

 

(788)

 

(82,157)

Profit for the period

 

-

 

-

 

-

 

-

 

(26,981)

 

(26,981)

Exchange differences on translating foreign operations

 

-

 

-

 

-

 

(95)

 

-

 

(95)

 

 

 

 

 

 

Total comprehensive income for the period

 

-

 

-

 

-

 

(95)

 

(26,981)

 

(27,076)

At 30 June 2025

 

(4,267)

 

(152,839)

 

282

 

75,360

 

(27,769)

 

(109,233)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Unaudited

 

US$'000

 

US$'000

 

US'000

 

US$'000

 

US$'000

 

US$'000

 

 

 

 

 

 

At 1 January 2024

 

(4,267)

 

(152,839)

 

282

 

60,507

 

25,635

 

(70,682)

Profit for the period

 

-

 

-

 

-

 

-

 

(8,255)

 

(8,255)

Exchange differences on translating foreign operations

 

-

 

-

 

-

 

3,701

 

-

 

3,701

 

 

 

 

 

 

Total comprehensive income for the period

 

-

 

-

 

-

 

3,701

 

(8,255)

 

(4,554)

 

 

 

 

 

 

 

 

 

 

 

 

At 30 June 2024

 

(4,267)

 

(152,839)

 

282

 

64,208

 

17,380

 

(75,236)

Consolidated statement of cash flow – six months to 30 June 2025

 

Six monthsended

 

Six monthsended

 

30 June 2025

 

30 June 2024

 

 

 

(unaudited)

 

(unaudited)

Note

 

US$’000

 

US$’000

Net cash inflow from operating activities

9

 

31,639

 

6,192

 

 

Investing activities

 

 

Purchase of property, plant and equipment*

 

(10,161)

 

(2,720)

Acquisition of intangible assets

 

(2,468)

 

(1,412)

 

 

 

 

Net cash used in investing activities

 

(12,629)

 

(4,132)

 

 

Financing activities

 

 

Loans received

 

14,141

 

10,235

Loans repaid

 

(25,418)

 

(10,834)

Interest received

 

230

 

56

Interest paid

 

(2,251)

 

(2,293)

 

 

Net cash flow decrease from financing activities

 

(13,298)

 

(2,836)

Taxation paid

 

(1,152)

 

-

 

 

 

 

Increase/(decrease) in cash and cash equivalents

 

4,560

 

(776)

 

 

Cash and cash equivalents at the beginning of the period

 

10,402

 

5,502

 

 

Effect of exchange rate fluctuations on cash held

 

-

 

(40)

 

 

Cash and cash equivalents at end of the period

 

14,962

 

4,686

\* The purchase of plant and equipment represents the net amount paid in the period after adjusting for prepaid advances and amounts due to creditors in relation to acquisitions of equipment.

1. Basis of preparation

General

AltynGold Plc (the “Company”) is a Company incorporated in England and Wales under the Companies Act 2006, and is tax resident in the United Kingdom. The address of its registered office, and place of business of the Company and its subsidiaries is set out within the Company information at the end of this interim report.

The Company shares are publicly traded on the London Stock Exchange. The interim financial results for the period ended 30 June 2025 are unaudited.

This interim financial information of the Company and its subsidiaries (“the Group”) for the six months ended 30 June 2025 have been prepared, in accordance with the UK-adopted International Accounting Standard 34, 'Interim Financial Reporting' and the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom’s Financial Conduct Authority, and on a basis consistent with the accounting policies set out in the Group's consolidated annual financial statements for the year ended 31 December 2024. It has not been audited, does not include all of the information required for full annual financial statements, and should be read in conjunction with the Group's consolidated annual financial statements for the year ended 31 December 2024, which has been prepared in accordance with both “international accounting standards in conformity with the requirements of the Companies Act 2006” and “international financial reporting standards as adopted by the United Kingdom”.

These interim financial statements do not comprise statutory accounts within the meaning of section 434 of the Companies Act 2006. Statutory accounts for the year ended 31 December 2024 were approved by the board of directors on 25 April 2025 and delivered to the Registrar of Companies. The report of the auditors on those accounts was not qualified.

The same accounting policies, presentation and method of computation together with critical accounting estimates, assumptions and judgements are followed in this consolidated financial information as were applied in the Group's latest annual financial statements except that in the current financial year, the Group has adopted a number of revised Standards and Interpretations. However, none of these have had a material impact on the Group

Going concern

Turnover, profitability and EBITDA all increased significantly during the period.

At the period end the Group had cash resources of US$15m (31 December 2024: US$10.4m). The Board have reviewed the Group’s cash flow forecasts for the period to December 2026. The forecasts are based on the current approved budgets taking into account any adjustments from current trading. The Directors are of the opinion that the current cash balances and cash generated from future trading will be sufficient for the Group to meet its cash flow requirements.

The Board have considered at the period end possible stress case scenarios that they consider may impact the Group’s operations, financial position and forecasts, such as increasing unbudgeted production price increases and possible falls in gold prices. From the analysis undertaken the Board have concluded that the Group will be able to continue to trade based on its existing resources.

The stress tests included a drop in the gold price of 10% from the current gold price and budgeted production prices increasing by 10%, in both scenarios and combination of both together it was concluded that the Group had sufficient cash reserves to continue to operate.

The predicted cash flow from operations is forecast to be sufficient to repay the loans as due and repayable. Additional finance will be sought if required from the principal banker or raised on the AIX if necessary.

The Board therefore considers it appropriate to adopt the going concern basis of accounting in preparing these financial statements.

2. Segmental information and analysis of revenue

Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision maker. The chief operating decision maker, who is responsible for allocating resources and assessing performance of the operating segments and making strategic decision, has been identified as the Board of Directors.

The Board of Directors consider there to be two operating segments, the exploration and development of mineral resources at Sekisovskoye and at Teren-Sai, both based in one geographical segment, being Kazakhstan.

All sales were made in Kazakhstan from the mine at Sekisovskoye. In relation to Teren-Sai as there is discrete financial information available and the assets account for greater than 10% of the combined total assets of all segments it is considered as a separate operating segment.

Teren Sai is currently an exploration asset and expenditure in relation to the asset are capitalised, the carrying value of the asset are shown in note 5.

Total revenues of US$70,010,000 (2024: US$38,397,000) relate to sales of gold and silver which arose from sales to one customer based in Kazakhstan.

Other earnings amounted to US$150,000 (2024: US$1,146,000) which related to lease and rental income.

3. Earnings per ordinary share

Basic and fully diluted earnings per share is calculated by dividing the profit attributable to ordinary shareholders by the weighted average number of ordinary shares outstanding during the period. The weighted average number of ordinary shares and retained profit for the financial period for calculating the basic loss per share for the period are as follows:

Six monthsended 30June 2025

 

Six monthsended 30June 2024

(unaudited)

 

(unaudited)

The basic weighted average number of ordinary shares in issue during the period

27,332,934

 

27,332,934

The profit for the period attributable to equity shareholders (US$’000s)

26,981

 

8,255

4. Alternative performance measures

The Directors have presented the alternative performance measures adjusted EBITDA , operating cash cost and total cash cost as they monitor these performance measures at a consolidated level and the Directors believe it is relevant in measuring the Group’s performance.

A reconciliation of the alternative performance measures is shown below.

Adjusted EBITDA, operating cash cost and total cash cost are not defined performance measures in IFRS. The Group’s definition of adjusted EBITDA may not be comparable with similar titled performance measures as disclosed by other entities.

 

Adjusted EBITDA

Six months

 

Six months

ended 30June

 

ended 30June

2025

 

2024

(unaudited)

 

(unaudited)

US$000's

 

US $000's

Profit before taxation

34,607

 

10,262

Adjusted for:

Finance expense

2,866

 

2,978

Depreciation and amortisation of tangible fixed assets

7,087

 

4,435

Foreign currency (gain)/loss

(438)

 

1,967

Adjusted EBITDA

44,122

 

19,642

  

Cash costs

 

 

Cost of sales

29,794

 

21,863

Adjusted for:

 

Depreciation in cost of sales

(7,040)

 

(4,394)

22,754

 

17,469

Gold sold in the period - oz

22,595

 

17,247

Operating cash cost - US$/oz

1,007

 

1,013

 

Cost as above

22,754

 

17,459

Adjusted for:

 

Administrative expenses

3,331

 

2,473

Depreciation in administrative expenses

(47)

 

(41)

26,038

 

19,891

Gold sold in the period - oz

22,595

 

17,247

Total cash cost- US$/oz

1,152

 

1,153

 

Cost as above

Adjusted for:

26,038

 

19,891

Sustaining capital expenditure

4,628

 

2,290

30,666

 

22,181

All in sustaining cost – US$/oz

1,357

 

1,286

The total capital expenditure in the period was US$11.7m (2024: US$12.2m), of this amount US$7.1m (2024: US$9.9m) was deemed to be non-sustaining capital expenditure as it related to the development of the increased capacity of the processing plant.

5. Intangible assets

 

 Teren-Sai data

 

Exploration andevaluation costs

 

Other intangible

 

Total

 

US$ 000’s

 

US$000’s

 

US$000’s

 

US$'000’s

Cost

 

 

 

 

1 January 2024

 

8,358

 

10,684

 

820

 

19,862

Additions

 

-

 

3,977

 

-

 

3,977

Amortisation capitalised

 

-

 

555

 

-

 

555

Currency translation adjustment

 

(1,101)

 

(2,374)

 

(108)

 

(3,583)

31 December 2024

 

7,257

 

12,842

 

712

 

20,811

Amortisation capitalised

 

-

 

243

 

-

 

243

Additions

 

-

 

2,468

 

-

 

2,468

Currency translation adjustment

 

44

 

34

 

5

 

83

30 June 2025

 

7,301

 

15,587

 

717

 

23,605

 

 

 

 

Accumulated amortisation

 

 

 

 

1 January 2024

 

5,963

 

146

 

92

 

6,201

Charge for the period

 

555

 

-

 

79

 

634

Currency translation adjustment

 

(865)

 

(16)

 

(23)

 

(904)

31 December 2024

 

5,653

 

130

 

148

 

5,931

Charge for the period

 

243

 

-

 

38

 

281

Currency translation adjustment

 

23

 

41

 

1

 

65

30 June 2025

 

5,919

 

171

 

187

 

6,277

 

 

 

 

 

 

 

 

Net books values

 

 

 

 

30 June 2025

 

1,382

 

15,416

 

530

 

17,328

30 June 2024

 

2,046

 

11,501

 

666

 

14,213

31 December 2024

 

1,604

 

12,712

 

564

 

14,880

The intangible assets relate to the historic geological information pertaining to the Teren-Sai ore fields. The ore fields are located in close proximity to the current underground mining operations of Sekisovskoye.

6. Property, plant and equipment

 

Miningproperties

 

Freehold landand buildings

 

Plant,Equipmentfixtures andfittings

 

Assets underconstruction

 

Total

 

 

 

 

 

 

US$000

 

US$000

 

US$000

 

US$000

 

US$000

 

 

 

 

 

Cost

 

 

 

 

 

1 January 2024

 

23,819

 

34,235

 

39,514

 

13,212

 

110,780

Additions

 

7,351

 

183

 

6,795

 

9,698

 

24,027

Disposals

 

-

 

(2,566)

 

(2,319)

 

(77)

 

(4,962)

Transfers

 

-

 

10,794

 

4,562

 

(15,356)

 

-

Transfer - inventories

 

-

 

-

 

-

 

(1,126)

 

(1,126)

Currency translation adjustment

 

(5,049)

 

(5,380)

 

(6,099)

 

(1,032)

 

(17,560)

31 December 2024

 

26,121

 

37,266

 

42,453

 

5,319

 

111,159

 

 

 

 

 

Additions

 

3,592

 

79

 

2,461

 

5,528

 

11,660

Transfers

 

-

 

1,640

 

1,826

 

(3,466)

 

-

Currency translation adjustment

 

135

 

198

 

185

 

1

 

519

30 June 2025

 

29,848

 

39,183

 

46,925

 

7,382

 

123,338

 

 

 

 

 

 

 

 

 

 

Accumulated depreciation

 

 

 

 

 

1 January 2024

 

5,500

 

17,209

 

17,478

 

-

 

40,187

Charge for the period

 

2,133

 

3,359

 

3,472

 

-

 

8,964

Disposals

 

-

 

(2,566)

 

(2,317)

 

-

 

(4,883)

Currency translation adjustment

 

(975)

 

(2,349)

 

(2,423)

 

-

 

(5,747)

31 December 2024

 

6,658

 

15,653

 

16,210

 

- -

 

38,521

Charge for period

 

2,633

 

2,078

 

2,338

 

-

 

7,049

Currency translation adjustment

 

22

 

61

 

63

 

-

 

146

30 June 2025

 

9,313

 

17,792

 

18,611

 

-

 

45,716

 

 

 

 

 

Carrying amount

 

 

 

 

 

30 June 2025

 

20,535

 

21,391

 

28,314

 

7,382

 

77,622

30 June 2024

 

19,919

 

14,744

 

23,823

 

16,299

 

74,785

31 December 2024

 

19,463

 

21,613

 

26,246

 

5,319

 

72,638

      

7. Trade and other receivables

Non-current

30 June

 

30 June

 

31 December

2025

 

2024

 

2024

(unaudited)

 

(unaudited)

 

(audited)

US$000's

 

US$000's

 

US$000's

VAT recoverable

8,937

 

8,295

 

7,469

Prepayments- advances to suppliers

5,887

 

5,745

 

7,220

14,824

 

14,040

 

14,669

The amount recoverable in relation to Value Added Tax is expected to be recovered by offset against VAT payable in future periods.

The advances to suppliers relate to payments made to acquire mining equipment.

Current

30 June

 

30 June

 

31 December

2025

 

2024

 

2024

(unaudited)

 

(unaudited)

 

(audited)

US$000's

 

US$000's

 

US$000's

Trade receivables

4,872

 

3,229

 

4,011

VAT recoverable

10,420

 

7,441

 

8,599

Prepayments

7,472

 

9,902

 

8,244

Other receivables

51

 

32

 

4

Provision - receivables

(430)

 

(309)

 

(428)

22,385

 

20,295

 

20,430

The prepayments principally relate to advances to suppliers for parts and consumables.

8. Trade and other payables

Current

30 June

 

30 June

 

31 December

2025

 

2024

 

2024

(unaudited)

 

(unaudited)

 

(audited)

US$000's

 

US$000's

 

US$000's

Trade payables

5,960

 

2,002

 

1,900

Other taxes payable

4,079

 

5,228

 

3,971

Other payables

1,960

 

2,396

 

1,597

11,999

 

9,626

 

7,468

9. Notes to the cash flow statement

Six months

 

Six months

ended 30 June

 

ended 30 June

2025

 

2024

(unaudited)

 

(audited)

US$000's

 

US$000's

Profit before taxation

34,607

 

10,262

Adjusted for:

 

Finance income & expense

2,635

 

2,922

Depreciation and amortisation charges*

7,087

 

4,435

Disposal of assets

-

 

(13)

Increase in inventories

(13,939)

 

(4,253)

Increase in trade and other receivables

(3,523)

 

(6,988)

Increase/(decrease) in trade and other payables

5,210

 

(2,140)

Foreign currency translation

(438)

 

1,967

Cash inflow from operations

31,639

 

6,192

*This amount excludes US$243,000 capitalised as part of exploration costs see note 5.

10. Related party transactions

Remuneration of key management personnel

The remuneration of the Directors, who are the key management personnel of the Group, is set out below in aggregate for each of the categories specified in IAS 24 - “Related Party Disclosures”. The total amount remaining unpaid with respect to remuneration of key management personnel amounted to US$115,000 (30 June 2024 US$97,000).

Six months

 

Six months

ended 30

 

ended 30

June 2025

 

June 2024

(unaudited)

 

(unaudited)

US$000

 

US$000

Short term employee benefits

159

 

152

Social security costs

14

 

11

173

 

163

During the period, the following transactions were connected with Company’s in which the Assaubayev family have a controlling interest:

An amount is owing to Asia Mining Group of US$70,000, (30 June 2024: US$77,000) and is included within trade payables. Loan amounts due by the Group to Amrita Investments Limited a company controlled by the Assaubayev family total US$11,600 (30 June 2024 US$11,600). The group made sales to Altyn Group Qazaqstan of US$207,000 (30 June 2024 US$: 1,100,000) a debtor of US$2,942,000 is included within receivables (30 June 2024: $1,800,000).

11. Inventories

30 June

 

30 June

 

31 December

2025

 

2024

 

2024

(unaudited)

 

(unaudited)

 

(audited)

US$000's

 

US$000's

 

US$000's

 

 

Ore

25,830

 

12,852

 

18,915

Raw materials and consumables

6,059

 

6,353

 

4,323

Work in progress

876

 

843

 

263

Finished goods for resale

4,820

 

2,164

 

2

37,585

 

22,212

 

23,503

12. Borrowings

30 June

 

30 June

 

31 December

2025

 

2024

 

2024

(unaudited)

 

(unaudited)

 

(audited)

US$000's

 

US$000's

 

US$000's

 

 

Current loans and borrowings

 

 

Bonds

-

 

9,740

 

9,912

Bank loans

15,040

 

22,401

 

19,288

Related party loans

-

 

2

 

1

15,040

 

32,143

 

29,201

Due one-two years

 

 

Bonds

-

 

-

 

-

Bank loans

10,954

 

12,266

 

11,722

10,954

 

12,266

 

11,722

Due two-five years

 

 

Bank loans

3,798

 

13,579

 

9,654

Bond

19,182

 

-

 

9,569

22,980

 

13,579

 

19,223

Total non-current loans and borrowings

33,934

 

25,845

 

30,945

Bond Listed on Astana International Exchange

The total number of bonds at the period end amounted to US$20m, US$10m is repayable in July 2027 and has a coupon rate of 11.25%, the second bond raised in April 2025 is repayable in April 2028 and has a coupon rate of 9.75%. At the period end the carrying value approximates to their fair value.

Bank loans

The bank loans are the repayable in instalments and bear interest at 6%-7% (2024: 6%-7%) on the US$ denominated loans Kazakh denominated loans with interest at 15.5% were repaid in the year.

The bank loans are secured over the assets of the Group.

13. Deferred taxation

Taxation losses

 

Acceleratedcapitalallowances

 

Other timingdifferences

 

Total

US$000's

 

US$000's

 

US$000's

 

US$000's

 

 

 

 

 

 

1 January 2024

2,904

 

(619)

 

(866)

 

1,419

Movement in deferred tax

10

 

(677)

 

(1,464)

 

(2,131)

Currency translation

(389)

 

152

 

274

 

37

31 December 2024

2,525

 

(1,144)

 

(2,056)

 

(675)

Movement in deferred tax

(2,540)

 

(851)

 

32

 

(3,359)

Currency translation

15

 

(7)

 

(12)

 

(4)

30 June 2025

-

 

(2,002)

 

(2,036)

 

(4,038)

Tax losses arising in Kazakhstan have now been fully utilised.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250924972747/en/

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