Discovery Mining reported record third quarter results on November 10. The Porcupine complex near Timmins, Ontario produced 70,564 ounces of gold, up 12 percent from 63,154 ounces a year earlier and 5 percent above the second quarter, and sold a record 71,200 ounces. Net earnings were $58.4 million, or 7 cents a share, and adjusted net earnings were $83.0 million, or 10 cents a share, compared with $61.1 million a year earlier. Free cash flow was $86.9 million after $116.4 million of cash capital spending, and cash rose 24 percent in the quarter to $450.7 million, with total liquidity of $844.2 million. The quarter was the first full quarter including the Kidd operations, acquired on June 1, 2026.
Costs moved the other way. Operating cash costs were $1,470 an ounce in the quarter and all-in sustaining costs were $2,293 an ounce, with year-to-date AISC at $2,170 an ounce. The company described unit costs as tracking to the top end of guidance, the tension in the result: record volumes at a high gold price are generating cash, but the cost base is absorbing a large share of it.
At Porcupine, the Pamour project has been established over a 4 kilometre strike length with high-grade zones in multiple target areas, and an updated mineral resource and technical report are due early in 2027. At Cordero, the large silver project in Mexico, Discovery received its change of land use permit on September 28 and environmental impact approval on October 5, and cut 2026 Cordero spending guidance to $20 million to $30 million from $90 million to $100 million, mainly on lower permit fees, while it updates the 2024 feasibility study cost estimates over the next few months.