“H1 2025 results reflected weaker sales due to the temporary delays in third-party processing of Kyzyl concentrate. With this issue now largely addressed, we anticipate a recovery in profitability and cash flows in H2 2025. As previously disclosed, this year’s production will still be partially constrained by accumulated concentrate inventories and is expected to come below the initial guidance, with a corresponding negative impact on costs. We remain focused on meeting our revised targets and executing our strategic priorities, including the start of the full-scale construction of the Ertis POX and progressing the Syrymbet project”, said Vitaly Nesis, CEO of Solidcore Resources plc, commenting on the results.
FINANCIAL HIGHLIGHTS
The results for H1 2024 exclude those from the discontinued Russian segment of our business, which was divested in March 2024 and is categorised as a discontinued operation in the accompanying prior year financial statements.- In H1 2025, revenue decreased by 54% year-on-year (y-o-y), totalling US$ 325 million (H1 2024: US$ 704 million) as a deferral of the Kyzyl concentrate sales fully offset positive gold price dynamics.
- Toll-treatment at the Amursk POX and third-party sales stabilised in July 2025, therefore the Company expects to release most of the accumulated c. 200 Koz of gold in concentrate by the year end. As a result, the Company expects revenue to be materially weighted towards H2 2025.
- Full-year production guidance is forecasted to be 420 Koz (reduced from 470 Koz) as a part of the accumulated concentrate stockpiles will be carried forward into 2026.
- The Company’s total cash costs (TCC)[1] were US$ 1,458/GE oz, up 52% y-o-y, reflecting the spread of costs over a smaller number of ounces sold and domestic inflationary pressures. For the full year, TCC are expected to decline to the upper edge of the US$ 1,000-1,100/GE oz guidance range as the sales ramp-up in H2 2025.
- All-in sustaining cash costs (AISC)1 amounted to US$ 2,201/GE oz, a y-o-y increase of 72%, driven by the same factors which impacted TCC dynamics as well as an increase in sustaining CAPEX, attributable to higher capitalised stripping volumes and the renewal of the mining fleet at Komar. Full-year AISC is expected to be within the revised guidance range of US$ 1,450-1,550/GE oz, up from the original US$ 1,350-1,450/GE oz primarily due to a stronger-than-budgeted Kazakhstani tenge exchange rate in H1 2025 and lower projected sales at Kyzyl.
- Driven by the negative revenue and costs dynamics, Adjusted EBITDA1 for the reporting period decreased by 56% y-o-y to US$ 152 million (H1 2024: US$ 346 million), with the Adjusted EBITDA margin of 47% (H1 2024: 49%).
- Underlying net earnings1 declined to US$ 101 million (H1 2024: US$ 243 million), and net earnings[2] declined to US$ 85 million (H1 2024: US$ 238 million).
- Capital expenditure (CAPEX) increased by 19% y-o-y to US$ 128 million[3] due to the start of the Ertis POX construction. The Company reiterates its full-year CAPEX guidance of US$ 300 million.
- Net operating cash outflow was US$ 86 million (H1 2024: net inflow of US$ 344 million) reflecting the concentrate inventories accumulation and lower Adjusted EBITDA. The Company generated negative free cash flow1 of US$ 220 million (H1 2024: positive US$ 240 million). Free cash flow is expected to be significantly positive in the second half of the year due to the working capital release and the Company expects this will fully compensate for the negative result in H1.
- Net cash declined to US$ 143 million as of 30 June 2025 (US$ 374 million at year-end 2024). Despite that, the liquidity position remains strong with US$ 351 million in cash on the balance sheet and US$ 139 million of undrawn credit lines. In July 2025, the Company signed a new credit facility agreement with ING for up to US$ 100 million which is expected to replace some of the maturing debt facilities.
OPERATING HIGHLIGHTS
- No fatal accidents or lost time injuries were recorded among the Company’s employees and contractors during H1 2025 (consistent with 2024), reflecting our continued commitment to safety.
- H1 GE output declined by 51% y-o-y to 123 Koz, primarily due to delays in Kyzyl concentrate processing at Amursk POX. Processing at Amursk POX resumed in late Q2 2025, with additional batches dispatched to China and a third-party smelter in Kazakhstan. With a portion of the stockpiles expected to be carried forward to 2026, full-year 2025 GE production is now forecast at 420 Koz, down from the original 470 Koz by 11%.
- In Q2 2025, the Company continued to advance the Ertis POX project, a key initiative to strengthen operational resilience and reduce reliance on third parties for concentrate processing. On-site activities are progressing according to plan, with the main focus on the completion of foundations for the autoclave storage. The autoclave was delivered to the river port in Pavlodar and unloaded onto the shore. The transportation of the autoclave to site is expected before the year's end. The Company is undertaking an independent environmental and social impact assessment in accordance with its own corporate ESG policies and high international standards.
Conference call and webcast
The Company will hold a webcast on Monday, 15 September 2025, at 14:00 Astana time (10:00 London time).
To participate in the webcast, please register using the following link:
https://edge.media-server.com/mmc/p/esnhqofi
Webcast details will be sent to you via email after registration.
About Solidcore
Solidcore Resources is a leading gold producer registered in AIFC, Kazakhstan, and listed on Astana International Exchange. Solidcore operates two producing gold mines and a major growth project (Ertis POX) in Kazakhstan.
Enquiries
Investor Relations
Media
Kirill Kuznetsov
Alina Assanova
+7 7172 47 66 55 (Kazakhstan)
Yerkin Uderbay
+7 7172 47 66 55 (Kazakhstan)
FORWARD-LOOKING STATEMENTS
This release may include statements that are, or may be deemed to be, “forward-looking statements”. These forward-looking statements speak only as at the date of this release. These forward-looking statements can be identified by the use of forward-looking terminology, including the words “targets”, “believes”, “expects”, “aims”, “intends”, “will”, “may”, “anticipates”, “would”, “could” or “should” or similar expressions or, in each case their negative or other variations or by discussion of strategies, plans, objectives, goals, future events or intentions. These forward-looking statements all include matters that are not historical facts. By their nature, such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the Company’s control that could cause the actual results, performance or achievements of the Company to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding the Company’s present and future business strategies and the environment in which the Company will operate in the future. Forward-looking statements are not guarantees of future performance. There are many factors that could cause the Company’s actual results, performance or achievements to differ materially from those expressed in such forward-looking statements. The Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company’s expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based.
