# Fortitude Gold Corp: Form 10-Q for the period ended Jun 30, 2026

- Company: [Fortitude Gold Corp](/companies/ftco.md) (CIK 1828377)
- Form: 10-Q
- Filed: 2026-08-04
- Accepted by EDGAR: Aug 4, 2026, 16:05 ET
- Period: 2026-06-30
- Accession: 0001104659-26-090351
- Inline XBRL: yes
- Main document: https://www.sec.gov/Archives/edgar/data/1828377/000110465926090351/ftco-20260630x10q.htm
- All documents and exhibits: https://www.sec.gov/Archives/edgar/data/1828377/000110465926090351/

## Figures reported in this filing

Standardized XBRL line items for the period ended 2026-06-30.

| Line item | Period | Value | XBRL concept |
| --- | --- | ---: | --- |
| Revenue | 3 months, 2026-04-01 to 2026-06-30 | $8.2m | us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax |
| Revenue | 6 months, 2026-01-01 to 2026-06-30 | $11.4m | us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax |
| Cost of revenue | 3 months, 2026-04-01 to 2026-06-30 | $14.0k | us-gaap:CostOfRevenue |
| Cost of revenue | 6 months, 2026-01-01 to 2026-06-30 | $31.0k | us-gaap:CostOfRevenue |
| Gross profit | 3 months, 2026-04-01 to 2026-06-30 | $5.4m | us-gaap:GrossProfit |
| Gross profit | 6 months, 2026-01-01 to 2026-06-30 | $7.6m | us-gaap:GrossProfit |
| Income tax | 3 months, 2026-04-01 to 2026-06-30 | $0 | us-gaap:IncomeTaxExpenseBenefit |
| Income tax | 6 months, 2026-01-01 to 2026-06-30 | $0 | us-gaap:IncomeTaxExpenseBenefit |
| Net income | 3 months, 2026-04-01 to 2026-06-30 | $577.0k | us-gaap:NetIncomeLoss |
| Net income | 6 months, 2026-01-01 to 2026-06-30 | −$1.1m | us-gaap:NetIncomeLoss |
| Diluted EPS | 3 months, 2026-04-01 to 2026-06-30 | $0.02 | us-gaap:EarningsPerShareDiluted |
| Diluted EPS | 6 months, 2026-01-01 to 2026-06-30 | −$0.04 | us-gaap:EarningsPerShareDiluted |
| Basic EPS | 3 months, 2026-04-01 to 2026-06-30 | $0.02 | us-gaap:EarningsPerShareBasic |
| Basic EPS | 6 months, 2026-01-01 to 2026-06-30 | −$0.04 | us-gaap:EarningsPerShareBasic |
| Diluted shares (weighted) | 3 months, 2026-04-01 to 2026-06-30 | 27,963,713 shares | us-gaap:WeightedAverageNumberOfDilutedSharesOutstanding |
| Diluted shares (weighted) | 6 months, 2026-01-01 to 2026-06-30 | 26,734,087 shares | us-gaap:WeightedAverageNumberOfDilutedSharesOutstanding |
| Operating cash flow | 6 months, 2026-01-01 to 2026-06-30 | −$7.7m | us-gaap:NetCashProvidedByUsedInOperatingActivities |
| Capital expenditure | 6 months, 2026-01-01 to 2026-06-30 | $1.2m | us-gaap:PaymentsToAcquirePropertyPlantAndEquipment |
| Dividends paid | 6 months, 2026-01-01 to 2026-06-30 | $1.6m | us-gaap:PaymentsOfDividends |
| Cash and equivalents | at 2026-06-30 | $13.5m | us-gaap:CashAndCashEquivalentsAtCarryingValue |
| Current assets | at 2026-06-30 | $46.0m | us-gaap:AssetsCurrent |
| Total assets | at 2026-06-30 | $152.4m | us-gaap:Assets |
| Current liabilities | at 2026-06-30 | $10.6m | us-gaap:LiabilitiesCurrent |
| Total liabilities | at 2026-06-30 | $29.6m | us-gaap:Liabilities |
| Shareholders' equity | at 2026-06-30 | $119.3m | us-gaap:StockholdersEquity |

## Management's discussion and analysis

As filed, 34,867 characters.

We are a Colorado corporation and our subsidiaries are GRC Nevada Inc. (“GRCN”), Walker Lane Minerals Corp. (“WLMC”), County Line Holdings Inc. (“CLH”), County Line Minerals Corp. (“CLMC”), Golden Mile Minerals Corp. (“GMMC”), and East Camp Douglas, LLC (“ECD, LLC”). WLMC, CLH, CLMC and GMMC are wholly-owned subsidiaries of GRCN and ECD, LLC is a 60% owned joint venture. We are a mining company which pursues gold and silver projects that are expected to have both low operating costs and high returns on capital. We are presently focused on mineral production from our Isabella Pearl Mine, including Scarlet South, and County Line Mine, all in Nevada. The mineralized material mined at the Isabella Pearl and County Line mines are processed on site at our Isabella Pearl processing facilities and sold to a refiner as doré, which contains precious metals of gold and silver. We also continue exploration and evaluation work on our portfolio of other precious metal properties in Nevada and continue to evaluate other properties for possible acquisition.

In February 2021, we began trading on the OTC Market “pink sheets” operated by the OTC Markets Group and subsequently up listed to the OTCQB on March 5, 2021 with a symbol change to “FTCO”.

The following discussion summarizes our results of operations for the three and six months ended June 30, 2026 and 2025. It also analyzes our financial condition at June 30, 2026. This discussion should be read in conjunction with the management’s discussion and analysis and the audited consolidated financial statements and footnotes for the year ended December 31, 2025 contained in our annual report on Form 10-K for the year ended December 31, 2025.

The discussion also presents certain financial measures that are not prepared in accordance with U.S. Generally Accepted Accounting Principles (“Non-GAAP”) but which are important to management in its evaluation of our operating results and are used by management to compare our performance with what we perceive to be peer group mining companies and are relied on as part of management’s decision-making process. Management believes these measures may also be important to investors in evaluating our performance. For a detailed description of each of the non-GAAP financial measures, please see the discussion below under **Non-GAAP Measures.**

See **Forward-Looking Statements** at the end of this Item 2 for important information regarding statements contained herein.

### Second Quarter 2026 Financial Results and Highlights

- 2,133 gold ounces produced, an increase of 210% from the first quarter of 2026
- Net income of $0.6 million, or $0.02 per share
- Completed a $5.5 million Private Placement
- Connected to grid power
- $8.2 million net sales
- $13.5 million cash balance at June 30, 2026
- $35.4 million working capital at June 30, 2026
- $5.4 million mine gross profit
- $4.7 million exploration expenditures
- $1,200 total cash cost after by-product credits per gold ounce sold for the Isabella Pearl Mine
- $2,549 per ounce total all-in sustaining cost for the Isabella Pearl Mine
- $1,326 total cash cost after by-product credits per gold ounce sold for the County Line Mine
- $1,886 per ounce total all-in sustaining cost for the County Line Mine
- $0.8 million dividends paid
- 611 ounces of gold rounds/bullion held at June 30, 2026

*Operating Data*: The following tables summarize certain information about our operations at our Isabella Pearl and County Line Mines for the periods indicated:

### Isabella Pearl

| ​ ​ ​ ​ Mineralized material mined | ​ ​ ​ ​ ​ ​ ​ ​ | ​ ​ Three months ended June 30, 2026 ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ | ​ ​ ​ ​ ​ ​ ​ ​ | ​ ​ Six months ended June 30, 2026 ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ |
| --- | --- | ---: | --- | ---: | --- | ---: | --- | ---: |
| Mineralized material (tonnes) |  | 133,226 |  | 34,174 |  | 211,560 |  | 88,101 |
| Gold grade (g/t) |  | 0.52 |  | 0.33 |  | 0.57 |  | 0.45 |
| Waste (tonnes) |  | 508,602 |  | 474,654 |  | 1,027,035 |  | 1,022,723 |
| **Metal production (before payable metal deductions)(1)** | ​ | ​​ | ​ | ​​ | ​ | ​​ | ​ | ​ |
| Gold (ozs.) |  | 1,228 |  | 1,500 |  | 1,763 |  | 3,280 |
| Silver (ozs.) |  | 6,153 |  | 8,819 |  | 9,819 |  | 20,226 |

### County Line

| ​ ​ ​ Mineralized material mined | ​ ​ ​ ​ ​ | ​ Three months ended June 30, 2026 ​ | ​ ​ ​ ​ | ​ 2025 ​ | ​ ​ ​ ​ ​ | ​ Six months ended June 30, 2026 ​ | ​ ​ ​ ​ | ​ 2025 ​ |
| --- | --- | ---: | --- | ---: | --- | ---: | --- | ---: |
| Mineralized material (tonnes) |  | 127,811 |  | — |  | 186,427 |  | — |
| Gold grade (g/t) |  | 0.41 |  | — |  | 0.60 |  | — |
| Waste (tonnes) |  | 75,185 |  | — |  | 78,047 |  | — |
| **Metal production (before payable metal deductions)(1)** | ​ | ​​ | ​ | ​​ | ​ | ​​ | ​ | ​​ |
| Gold (ozs.) |  | 905 |  | — |  | 1,058 |  | — |
| Silver (ozs.) |  | 2,712 |  | — |  | 3,068 |  | — |

(1) The difference between what we report as “metal production” and “metal sold” is attributable to the difference between the quantities of metals contained in the doré we produce versus the portion of those metals for which we received payment according to the terms of our sales contracts. Differences can also arise from inventory changes incidental to shipping schedules, or variances in mineralized material grades and recoveries which impact the amounts of metals contained in doré produced and sold.

During the three months ended June 30, 2026 and 2025, we produced a total of 2,133 and 1,500 ounces of gold, respectively. This increase was primarily driven by due to higher mining and recoveries from the Isabella Pearl and County Line Mines.

During the six months ended June 30, 2026 and 2025, we produced a total of 2,821 and 3,280 ounces of gold, respectively. This increase was primarily due to lower leach pad recoveries as a result of timing of residual leach on the leach pad, and the ramp up of mining at County Line and Isabella Pearl during the first quarter of 2026.

### Isabella Pearl

| ​ ​ ​ ​ Metal sold | ​ ​ ​ ​ ​ ​ ​ ​ ​ | ​ ​ ​ ​ Three months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ ​ | ​ ​ ​ ​ 2025 ​ ​ | ​ ​ ​ ​ ​ ​ ​ ​ ​ | ​ ​ ​ ​ Six months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ ​ | ​ ​ ​ ​ 2025 ​ ​ |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Gold (ozs.) | ​ | ​ 1,020 |  | ​ 1,491 | ​ | ​ 1,553 |  | ​ 3,827 |
| Silver (ozs.) | ​ | ​ 5,828 |  | ​ 8,708 | ​ | ​ 9,941 |  | ​ 24,093 |
| **Average metal prices realized (1)** | ​ | ​ ​​ | ​ | ​ ​​ | ​ | ​ ​​ | ​ | ​ ​​ |
| Gold ($per oz.) | ​ | ​ 4,515 |  | ​ 3,287 | ​ | ​ 4,584 |  | ​ 3,027 |
| Silver ($per oz.) | ​ | ​ 73.96 |  | ​ 33.18 | ​ | ​ 77.49 |  | ​ 32.49 |
| **Precious metal gold equivalent ounces sold** | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ |
| Gold Ounces | ​ | ​ 1,020 | ​ | ​ 1,491 | ​ | ​ 1,553 | ​ | ​ 3,827 |
| Gold Equivalent Ounces from Silver | ​ | ​ 95 | ​ | ​ 88 | ​ | ​ 168 | ​ | ​ 259 |
| ​ | ​ | ​ 1,115 | ​ | ​ 1,579 | ​ | ​ 1,721 | ​ | ​ 4,086 |
| ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ |
| Total cash cost before by-product credits per gold ounce sold | ​ | $1,621 | ​ | $1,325 | ​ | $1,633 | ​ | $1,275 |
| Total cash cost after by-product credits per gold ounce sold | ​ | $1,200 | ​ | $1,131 | ​ | $1,137 | ​ | $1,070 |
| Total all-in sustaining cost per gold ounce sold | ​ | $2,549 | ​ | $1,452 | ​ | $2,451 | ​ | $1,461 |

### County Line

| ​ ​ ​ Metal sold | ​ ​ ​ ​ ​ ​ | ​ ​ Three months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ ​ | ​ ​ ​ ​ ​ ​ | ​ ​ Six months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ ​ |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Gold (ozs.) | ​ | ​ 775 |  | ​ — | ​ | ​ 923 |  | ​ — |
| Silver (ozs.) | ​ | ​ 2,401 |  | ​ — | ​ | ​ 2,483 |  | ​ — |
| **Average metal prices realized (1)** | ​ | ​ ​​ | ​ | ​ ​​ | ​ | ​ ​​ | ​ | ​ ​​ |
| Gold ($per oz.) | ​ | ​ 4,591 |  | ​ — | ​ | ​ 4,617 |  | ​ — |
| Silver ($per oz.) | ​ | ​ 75.31 |  | ​ — | ​ | ​ 75.90 |  | ​ — |
| **Precious metal gold equivalent ounces sold** | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ |
| Gold Ounces | ​ | ​ 775 | ​ | ​ — | ​ | ​ 923 | ​ | ​ — |
| Gold Equivalent Ounces from Silver | ​ | ​ 39 | ​ | ​ — | ​ | ​ 41 | ​ | ​ — |
| ​ | ​ | ​ 814 | ​ | ​ — | ​ | ​ 964 | ​ | ​ — |
| ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ |
| Total cash cost before by-product credits per gold ounce sold | ​ | $1,560 | ​ | $— | ​ | $1,557 | ​ | $— |
| Total cash cost after by-product credits per gold ounce sold | ​ | $1,326 | ​ | $— | ​ | $1,353 | ​ | $— |
| Total all-in sustaining cost per gold ounce sold | ​ | $1,886 | ​ | $— | ​ | $2,252 | ​ | $— |

(1) Average metal prices realized vary from the market metal prices due to final settlement adjustments from our provisional invoices when they are settled. Our average metal prices realized will therefore differ from the market average metal prices in most cases.

### Consolidated Results of Operations – Three Months Ended June 30, 2026 Compared to Three Months Ended June 30, 2025

*Sales, net.* For the three months ended June 30, 2026, consolidated sales, net were $8.2 million as compared to $4.9 million for the same period in 2025. The increase is mainly attributable to higher sales volumes and higher average sales price. Second quarter 2026 gold sales volumes increased 20% and average realized price for gold increased 39%, from the same period in 2025.

Higher sales volumes during the three months ended June 30, 2026, were the result of increased production which was primarily due to higher mining and recoveries from the Isabella Pearl and County Line Mines.

*Mine cost of sales.* For the three months ended June 30, 2026, mine cost of sales totaled $2.8 million compared to $2.2 million for the same period in 2025. The change is mainly attributable to higher production costs due to an increase in sales volumes, as discussed above.

*Mine gross profit.* For the three months ended June 30, 2026, we recorded $5.4 million mine gross profit compared to $2.7 million mine gross profit for the same period in 2025. The increase is primarily attributable to higher sales, as discussed above.

*General and administrative*. For the three months ended June 30, 2026, general and administrative expenses of $1.2 million did not materially change from the same period in 2025.

*Exploration expenses*. For the three months ending June 30, 2026, we recorded property exploration expenses of $4.7 million as compared to $1.3 million for the same period of 2025. The increase is primarily due to drilling and increased exploration activities at East Camp Douglas as part of the newly entered Joint Venture.

*Facilities and mine construction*. For the three months ended June 30, 2026, we recorded facilities and mine construction expenses of $0.1 million as compared to nil for the same period of 2025. These expenses relate to our County Line Mine which began operation in 2026.

*Reclamation and remediation expenses*. For the three months ending June 30, 2026, we recorded reclamation and remediation expenses of $0.6 million as compared to $0.04 million for the same period of 2025. The increase is primarily due to increased accretion expense for Isabella Pearl and increased disturbances at County Line.

*Other expense (income), net*. For the three months ending June 30, 2026, we recorded other expense of $0.7 million compared to other income of $0.9 million from the same period of 2025. The change is primarily attributable to less interest income due to lower cash balances and higher interest expense for our finance leases for our mining equipment. Additionally, we recognized a gain on debt retirement in 2025.

*Net loss attributable to noncontrolling interest*. For the three months ended June 30, 2026, we recorded net loss attributable to noncontrolling interest expenses of $2.5 million as compared to nil for the same period of 2025. These expenses relate to exploration activities at East Camp Douglas as part of the newly entered Joint Venture.

*Net (loss) income attributable to Fortitude Shareholders*. For the three months ended June 30, 2026, we recorded a net income of $0.6 million as compared to $0.8 million in the corresponding period for 2025. The change is due to the changes in our consolidated results of operations as discussed above.

### Consolidated Results of Operations – Six Months Ended June 30, 2026 Compared to Six Months Ended June 30, 2025

*Sales, net.* For the six months ended June 30, 2026, consolidated sales, net of $11.4 million did not materially change from the same period in 2025. The reasons for the non-material change were due to less sales volumes which were offset by higher average sales price. For the six months ended June 30, 2026 gold sales volumes decreased 35%, while the average realized price for gold increased 52%, from the same period in 2025.

Lower sales volumes during the six months ended June 30, 2026, were the result of decreased production which was primarily due to lower leach pad recoveries as a result of timing of residual leach on the leach pad, and the ramp up of mining at County Line and Isabella Pearl during the first quarter of 2026 which resulted in lower production in the first quarter but more production in the second quarter.

*Mine cost of sales.* For the six months ended June 30, 2026, mine cost of sales totaled $3.8 million compared to $5.4 million for the same period in 2025. The change is mainly attributable to lower production costs and depreciation and amortization expenses due to a decrease in sales volumes, as discussed above.

*Mine gross profit.* For the six months ended June 30, 2026, we recorded $7.6 million mine gross profit compared to $6.0 million mine gross profit for the same period in 2025. The increase is primarily attributable to increased average sales price as discussed above.

*General and administrative*. For the six months ended June 30, 2026, general and administrative expenses were $3.4 million as compared to $2.5 million in the same period in 2025. The increase is primarily attributable to placement agent fees and offering expenses for the Private Placement and an increase in stock compensation.

*Exploration expenses*. For the six months ended June 30, 2026, property exploration expenses of $6.3 million as compared to $2.7 million for the same period of 2025. The increase is primarily due to commencement of drilling programs at Isabella Pearl, County Line and East Camp Douglas.

*Facilities and mine construction*. For the six months ended June 30, 2026, we recorded facilities and mine construction expenses of $0.3 million as compared to nil for the same period of 2025. These expenses relate to our County Line Mine which began operation in 2026.

*Reclamation and remediation expenses*. For the six months ending June 30, 2026, we recorded reclamation and remediation expenses of $0.7 million as compared to $0.1 million for the same period of 2025. The increase is primarily due to increased accretion expense for Isabella Pearl and increased disturbances at County Line

*Other expense (income), net*. For the six months ended June 30, 2026, we recorded other expense of $0.7 million compared to other income of $1.5 million from the same period of 2025. The change is primarily attributable to less interest income due to lower cash balances, higher interest expense for our finance leases for our mining equipment, and change in realized/unrealized loss or gain for our gold and silver rounds/bullion due to decreasing prices. Additionally, we recognized a gain on debt retirement in 2025.

*Net loss attributable to noncontrolling interest*. For the six months ended June 30, 2026, we recorded net loss attributable to noncontrolling interest expenses of $2.8 million as compared to nil for the same period of 2025. These expenses relate to exploration activities at East Camp Douglas as part of the newly entered Joint Venture.

*Net (loss) income attributable to Fortitude Shareholders*. For the six months ended June 30, 2026, we recorded a net loss of $1.1 million as compared to net income of $2.1 million in the corresponding period for 2025. The change is due to the changes in our consolidated results of operations as discussed above.

### Non-GAAP Measures

Throughout this report, we have provided information prepared or calculated according to U.S. GAAP and have referenced some non-GAAP performance measures which we believe will assist with understanding the performance of our business. These measures are based on precious metal gold equivalent ounces sold and include cash cost before by-product credits per ounce, total cash cost after by-product credits per ounce, and total all-in sustaining cost per ounce (“AISC”). Because the non-GAAP performance measures do not have any standardized meaning prescribed by U.S. GAAP, they may not be comparable to similar measures presented by other companies. Accordingly, these measures should not be considered in isolation, or as a substitute for measures of performance prepared in accordance with U.S. GAAP. These non-GAAP measures are not necessarily indicative of operating profit or cash flow from operations as determined under GAAP.

Revenue generated from the sale of silver is considered a by-product of our gold production for the purpose of our total cash cost after by-product credits for our Isabella Pearl and County Line Mines. We periodically review our revenues to ensure that our reporting of primary products and by-products is appropriate. Because we consider silver to be a by-product of our gold production, the value of silver continues to be applied as a reduction to total cash costs in our calculation of total cash cost after by-product credits per precious metal gold equivalent ounce sold. Likewise, we believe the identification of silver as by-product credits is appropriate because of its lower individual economic value compared to gold and since gold is the primary product we produce.

Total cash cost, after by-product credits, is a measure developed by the World Gold Institute to provide a uniform standard for comparison purposes. AISC is calculated based on the current guidance from the World Gold Council.

Total cash cost before by-product credits includes all direct and indirect production costs related to our production of metals (including mining, crushing and conveying and other plant facility costs, royalties, and site general and administrative costs) plus treatment and refining costs.

Total cash cost after by-product credits includes total cash cost before by-product credits less by-product credits, or revenues earned from silver.

AISC includes total cash cost after by-product credits plus other costs related to sustaining production, including sustaining allocated general and administrative expenses and sustaining capital expenditures. We determined sustaining capital expenditures as those capital expenditures that are necessary to maintain current production and execute the current mine plan.

Cash cost before by-product credits per ounce, total cash cost after by-product credits per ounce and AISC are calculated by dividing the relevant costs, as determined using the cost elements noted above, by gold ounces sold for the periods presented.

### Reconciliations to U.S. GAAP

The following table provides a reconciliation of total cash cost after by-product credits to total mine cost of sales (a U.S. GAAP measure) as presented in the Condensed Consolidated Statements of Operations:

*(in thousands)*

| ​ ​ ​ ​ | ​ ​ ​ ​ ​ ​ | ​ ​ Three months ended June 30, 2026 | ​ ​ ​ ​ | ​ ​ 2025 | ​ ​ ​ | ​ ​ Six months ended June 30, 2026 | ​ ​ ​ ​ | ​ ​ 2025 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Cash cost after by-product credits | ​ | $2,252 | ​ | $1,686 | ​ | $3,015 | ​ | $4,097 |
| Less intercompany eliminations | ​ | ​ (15) | ​ | ​ - | ​ | ​ (18) | ​ | ​ - |
| Total cash cost after by-product credits | ​ | ​ 2,237 | ​ | ​ 1,686 | ​ | ​ 2,997 | ​ | ​ 4,097 |
| Treatment and refining charges | ​ | ​ (14) | ​ | ​ (18) | ​ | ​ (31) | ​ | ​ (166) |
| Depreciation and amortization | ​ | ​ 559 | ​ | ​ 561 | ​ | ​ 804 | ​ | ​ 1,448 |
| Total consolidated mine cost of sales | ​ | $2,782 | ​ | $2,229 | ​ | $3,770 | ​ | $5,379 |

19

The following tables present the non-GAAP measures of total cash cost and AISC for the Isabella Pearl and County Line Mine:

### Isabella Pearl

*(in thousands, except ounces sold and cost per precious metal gold equivalent ounce sold)*

| ​ ​ ​ ​ | ​ ​ ​ ​ ​ ​ | ​ ​ Three months ended June 30, 2026 | ​ ​ ​ ​ | ​ ​ 2025 | ​ ​ ​ | ​ ​ Six months ended June 30, 2026 | ​ ​ ​ ​ | ​ ​ 2025 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Total cash cost before by-product credits (1) | ​ | $1,653 | ​ | $1,975 | ​ | $2,536 | ​ | $4,880 |
| By-product credits (2) | ​ | ​ (429) | ​ | ​ (289) | ​ | ​ (770) | ​ | ​ (783) |
| Total cash cost after by-product credits | ​ | $1,224 | ​ | $1,686 | ​ | $1,766 | ​ | $4,097 |
| Sustaining capital expenditures | ​ | ​ 483 | ​ | ​ 151 | ​ | ​ 744 | ​ | ​ 792 |
| Sustaining exploration expenses | ​ | ​ 893 | ​ | ​ 328 | ​ | ​ 1,296 | ​ | ​ 704 |
| Total all-in sustaining cost | ​ | $2,600 | ​ | $2,165 | ​ | $3,806 | ​ | $5,593 |
| ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ |
| Gold ounces sold | ​ | ​ 1,020 | ​ | ​ 1,491 | ​ | ​ 1,553 | ​ | ​ 3,827 |
| ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ |
| Total cash cost before by-product credits per gold ounce sold | ​ | $1,621 | ​ | $1,325 | ​ | $1,633 | ​ | $1,275 |
| By-product credits per gold ounce sold (2) | ​ | ​ (421) | ​ | ​ (194) | ​ | ​ (496) | ​ | ​ (205) |
| Total cash cost after by-product credits per gold ounce sold | ​ | ​ 1,200 | ​ | ​ 1,131 | ​ | ​ 1,137 | ​ | ​ 1,070 |
| Other sustaining expenditures per gold ounce sold (3) | ​ | ​ 1,349 | ​ | ​ 321 | ​ | ​ 1,314 | ​ | ​ 391 |
| Total all-in sustaining cost per gold ounce sold | ​ | $2,549 | ​ | $1,452 | ​ | $2,451 | ​ | $1,461 |

### County Line

*(in thousands, except ounces sold and cost per precious metal gold equivalent ounce sold)*

| ​ ​ ​ ​ | ​ ​ ​ ​ ​ ​ | ​ ​ Three months ended June 30, 2026 | ​ ​ ​ ​ | ​ ​ 2025 | ​ ​ ​ | ​ ​ Six months ended June 30, 2026 | ​ ​ ​ ​ | ​ ​ 2025 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Total cash cost before by-product credits (1) | ​ | $1,209 | ​ | $- | ​ | $1,437 | ​ | $- |
| By-product credits (2) | ​ | ​ (181) | ​ | ​ - | ​ | ​ (188) | ​ | ​ - |
| Total cash cost after by-product credits | ​ | $1,028 | ​ | $- | ​ | $1,249 | ​ | $- |
| Sustaining capital expenditures | ​ | ​ - | ​ | ​ - | ​ | ​ 6 | ​ | ​ - |
| Sustaining exploration expenses | ​ | ​ 434 | ​ | ​ - | ​ | ​ 824 | ​ | ​ - |
| Total all-in sustaining cost | ​ | $1,462 | ​ | $- | ​ | $2,079 | ​ | $- |
| ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ |
| Gold ounces sold | ​ | ​ 775 | ​ | ​ - | ​ | ​ 923 | ​ | ​ - |
| ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ | ​ | ​ ​ |
| Total cash cost before by-product credits per gold ounce sold | ​ | $1,560 | ​ | $- | ​ | $1,557 | ​ | $- |
| By-product credits per gold ounce sold (2) | ​ | ​ (234) | ​ | ​ - | ​ | ​ (204) | ​ | ​ - |
| Total cash cost after by-product credits per gold ounce sold | ​ | ​ 1,326 | ​ | ​ - | ​ | ​ 1,353 | ​ | ​ - |
| Other sustaining expenditures per gold ounce sold (3) | ​ | ​ 560 | ​ | ​ - | ​ | ​ 899 | ​ | ​ - |
| Total all-in sustaining cost per gold ounce sold | ​ | $1,886 | ​ | $- | ​ | $2,252 | ​ | $- |

(1) Production cost plus treatment and refining charges.

(2) Please see the tables below for a summary of our by-product revenue and by-product credit per precious metal equivalent ounces sold.

(3) Sustaining capital expenditures and sustaining exploration expenses divided by gold ounces sold.

The following tables summarize our by-product revenue and by-product credit gold ounce sold for the Isabella Pearl and County Line Mines:

### Isabella Pearl

| ​ ​ ​ By-product credits by dollar value: | ​ ​ ​ ​ ​ ​ | ​ ​ Three months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ ​ | ​ ​ ​ ​ ​ ​ | ​ ​ Six months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ ​ |
| --- | --- | ---: | --- | ---: | --- | ---: | --- | ---: |
| Silver sales | ​ | $429 | ​ | $289 | ​ | $770 | ​ | $783 |
| Total sales from by-products | ​ | $429 | ​ | $289 | ​ | $770 | ​ | $783 |

| ​ ​ ​ By-product credits per gold ounce sold: | ​ ​ ​ ​ ​ ​ | ​ ​ Three months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ ​ | ​ ​ ​ ​ ​ ​ | ​ ​ Six months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ ​ |
| --- | --- | ---: | --- | ---: | --- | ---: | --- | ---: |
| Silver sales | ​ | $421 | ​ | $194 | ​ | $496 | ​ | $205 |
| Total by-product credits per gold ounce sold | ​ | $421 | ​ | $194 | ​ | $496 | ​ | $205 |

### County Line

| ​ ​ ​ By-product credits by dollar value: | ​ ​ ​ ​ ​ ​ | ​ ​ Three months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ ​ | ​ ​ ​ ​ ​ ​ | ​ ​ Six months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ ​ |
| --- | --- | ---: | --- | ---: | --- | ---: | --- | ---: |
| Silver sales | ​ | $181 | ​ | $- | ​ | $188 | ​ | $- |
| Total sales from by-products | ​ | $181 | ​ | $- | ​ | $188 | ​ | $- |

| ​ ​ ​ By-product credits per gold ounce sold: | ​ ​ ​ ​ ​ ​ | ​ ​ Three months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ ​ | ​ ​ ​ ​ ​ ​ | ​ ​ Six months ended June 30, 2026 ​ ​ | ​ ​ ​ ​ ​ | ​ ​ 2025 ​ ​ |
| --- | --- | ---: | --- | ---: | --- | ---: | --- | ---: |
| Silver sales | ​ | $234 | ​ | $- | ​ | $204 | ​ | $- |
| Total by-product credits per gold ounce sold | ​ | $234 | ​ | $- | ​ | $204 | ​ | $- |

### Liquidity and Capital Resources

As of June 30, 2026, we had a cash position of $13.5 million compared to $4.7 million at December 31, 2025. The change is primarily due to cash received for the Private Placements which was partially offset by decreased cash from operations, exploration spending and dividends paid.

As of June 30, 2026, we had working capital of $35.4 million compared to $29.5 million at December 31, 2025. Our working capital balance fluctuates as we use cash to fund our operations, financing and investing activities, including exploration, mine development and income taxes. Based on our working capital balance as of December 31, 2025, and considering projected cash burn, the Company did not have sufficient liquidity and capital resources to fund its operating, exploration, capital expenditure, and corporate requirements for the next twelve months. Ongoing permitting delays at County Line and Scarlet extended the timeline for introducing fresh material to the processing facility, which increased cash burn during the period and contributed to the Company’s liquidity constraints. These impacts were further compounded by the capital deployed for the waste stripping program at the Pearl Deep project in 2025, undertaken to access deeper gold mineralization. Accordingly, in the first quarter of 2026, the Company completed a private placement of common stock, pursuant to which it issued 2,520,206 shares for gross proceeds of $12.0 million, resulting in net proceeds of $11.7 million after placement agent fees and offering expenses. Additionally, to help fund our heap leach expansion, the Company completed a second private placement of common stock during the second quarter of 2026, pursuant to which it issued 1,150,000 shares for total proceeds of $5.5 million as there were no placement or offering expenses. The net proceeds from the private placements are expected to support ongoing operations, capital expenditures, reengagement of its exploration activities and to address the Company’s short-term liquidity needs.

Net cash used in operating activities for the six months ended June 30, 2026 was $7.7 million, compared to $4.6 million for three months ended June 30, 2026. The change is primarily due to increases in net loss, inventory, partially offset by increases in accounts payable.

Net cash used in investing activities for the six months ended June 30, 2026, was $1.2 million compared to $0.9 million during the same period in 2025. The increase is primarily due to increased capital expenditures for our connection to grid power and the commissioning of the new crusher at Isabella Pearl.

Net cash provided by financing activities for the six months ended June 30, 2026 was $17.9 million, compared to a net cash use of $4.3 million during the same period in 2025. The increase was primarily attributable to proceeds from the Private Placements and lower dividend payments following the dividend reduction implemented in May 2025, partially offset by payments on finance leases.

### Development and Exploration Activities

*Isabella Pearl Mine:* During the second quarter, operations continued at the Isabella Pearl Mine open-pit and heap leach operations, which also included mining from the Scarlet South satellite pit. Detailed mapping and sampling to further constrain the structural setting continued in the vicinity of the Isabella Pearl Mine. Drilling resumed at Scarlet North to understand the structural setting and associated gold mineralization. The results from this drilling program are to be incorporated into future geological and resource models.

*County Line Mine*: We continued to mine from the lower grade East pit while mining the historical access ramp in the main County Line pit as part of the longer-term pit layback to access the higher-grade mineralized material in the pit.

*East Camp Douglas property*: As announced in the first quarter of 2026, the Company entered into a JV Agreement with a third party to accelerate the exploration and development of its East Camp Douglas property located in Mineral County, Nevada. Pursuant to the JV Agreement, the parties formed an operating subsidiary, East Camp Douglas JV, in which the Company holds a 60% ownership interest and the third party holds the remaining 40% interest in exchange for their $40 million investment. National Environmental Policy Act (“NEPA”) review, estimated at an approximate six month timeframe, and an Environmental Assessment are currently being completed on this property. The project is expected to be granted a Plan of Operation for Exploration that will allow for 150 acres of disturbance once the NEPA process is completed. Drilling commenced in the second quarter of 2026 in both the north and south areas of the property under existing Notice of Intent (“NOI”) drill locations. Drill results released during and subsequent to the quarter highlight the expansion potential in the White Rock West area. In addition to drilling, property-scale airborne magnetic and radiometric geophysical surveys were completed in May. These geophysics studies are being incorporated into mapping and drilling results to develop a 3D structural interpretation.

*Golden Mile property:* Material characterization and hydrogeological studies continued through the second quarter of 2026 to meet the requirements of Nevada Division of Environmental Protection. The Golden Mile Project continues to be included on the FAST-41 Transparency Dashboard for a mine permit. The Fast-41 program increases transparency through the publication of project-estimated timetables with completion dates for federal authorizations and environmental reviews.

### Accounting Developments

For a discussion of recently adopted and recently issued accounting pronouncements, please see **Note 2** to the **Condensed Consolidated Financial Statements.**

### Forward-Looking Statements

This report contains or incorporates by reference “forward-looking statements,” as that term is used in federal securities laws, about our financial condition, results of operations and business. These statements include, among others:

- statements about our future exploration, permitting, production, development, and plans for development of our properties
- statements concerning the benefits that we expect will result from our business activities and certain transactions that we contemplate or have completed, such as receipt of proceeds, decreased expenses and the avoidance of future costs and expenditures
- statements of our expectations, beliefs, future plans and strategies, our targets, exploration activities, anticipated developments and other matters that are not historical facts

These statements may be made expressly in this document or may be incorporated by reference from other documents that we will file with the SEC. You can find many of these statements by looking for words such as “believes,” “expects,” “targets,” “anticipates,” “estimates,” “proposes,” or similar expressions used in this report or incorporated by reference in this report.

These forward-looking statements are subject to numerous assumptions, risks and uncertainties that may cause our actual results to be materially different from any future results expressed or implied in those statements. Because the statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied. We caution you not to put undue reliance on these statements, which speak only as of the date of this report. Further, the information contained in this document or incorporated herein by reference, is a statement of our present intention and is based on present facts and assumptions, which may change at any time and without notice, based on changes in such facts or assumptions.

### Risk Factors Impacting Forward-Looking Statements

The important factors that could prevent us from achieving our stated goals and objectives include, but are not limited to, those set forth in other reports we have filed with the SEC, including our Form 10-K for the year ended December 31, 2025, and the following:

- Permit timing due to the Bureau of Land Management (“BLM”) permit backlog caused by the Biden administration
- The BLM and Nevada Division of Environmental Protection staffing shortages
- Changes in the worldwide price for gold and/or silver
- Inflationary pressures and supply chain disruptions, with particular consideration on the outlook for increased costs specific to labor, materials, consumables and fuel and energy on operations
- Competition for industry experienced staff
- Government shutdowns and freezes on issuing resource permits
- Political and regulatory risks
- Untimely permit issuance
- Volatility in the equities markets
- Adverse results from our exploration or production efforts
- Producing at rates lower than those targeted
- Weather conditions, including unusually heavy rains
- Earthquakes or other unforeseen ground movements impacting mining or processing
- Failure to meet our revenue or profit goals or operating budget
- Technological innovations by competitors or in competing technologies
- Cybersecurity threats
- Investor perception of our industry or our prospects
- Lawsuits
- General economic trends

## Controls and procedures

As filed, 1,704 characters.

#### Disclosure Controls and Procedures

As required by Rule 15d-15 under the 1934 Act, as of June 30, 2026, we carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures. This evaluation was carried out under the supervision and with the participation of our Chief Executive Officer (our principal executive officer) and our Chief Financial Officer (our principal financial officer). Based upon and as of the date of that evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures were effective as of June 30, 2026.

Disclosure controls and procedures are controls and other procedures that are designed to ensure that information required to be disclosed in our reports filed or submitted under the 1934 Act is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed in our reports filed under the 1934 Act is accumulated and communicated to our management, including our principal executive officer and our principal financial officer, as appropriate, to allow timely decisions regarding required disclosure.

#### Changes in Internal Control Over Financial Reporting

There were no changes in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) promulgated under the 1934 Act) during the quarter ended June 30, 2026, that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Filed Aug 4, 2026.
Source: SEC EDGAR, the filing index for accession 0001104659-26-090351. Last ingested by Listed: Nov 11, 2026, 01:55 ET. No prices; not investment advice.