Lundin Gold's Fruta del Norte mine in Ecuador produced 153,736 ounces of gold in the third quarter, its best quarter ever. Higher grades drove a 26% rise from a year earlier, and the company says it is on track for its full-year target.
At a glance
- Fruta del Norte produced 153,736 ounces in Q3 2026, up from 122,086 ounces a year earlier.
- Lundin Gold sold gold at an average of $4,299 an ounce, against $3,634 a year earlier.
- Year-to-date output of 392,472 ounces keeps it within its 475,000 to 525,000-ounce guidance.
Background
Fruta del Norte is an underground gold mine in Ecuador, run by Vancouver-based Lundin Gold. Grade measures how much gold each tonne of ore contains, and Fruta del Norte's ore averaged above 10 grams per tonne last quarter. The mine produces most of its gold in concentrate, a partly processed product, and the rest as doré bars, which are later refined.
What happened
Lundin Gold said on October 8 that Fruta del Norte produced 153,736 ounces of gold in the quarter to September 30. That is the highest quarterly output since the mine began commercial production. It is about 26% more than the 122,086 ounces produced in the same quarter of 2025.
The company sold 148,326 ounces at an average realised price of $4,299 an ounce. A year earlier it sold 124,911 ounces at $3,634. Of the quarter's output, 103,311 ounces came as concentrate and 50,425 ounces as doré.
Why output rose
Higher grades and steady mill performance did the work. The mill processed 535,711 tonnes of ore, or about 5,823 tonnes a day, at an average grade of 10.1 grams per tonne. Recovery, the share of gold the plant extracts from the ore, was 88.3%.
Chief executive Jamie Beck called it "the strongest production quarter in Fruta del Norte's history." He said the company is well positioned to deliver full-year production within its 2026 guidance.
What it means
Lundin Gold has produced 392,472 ounces so far this year. To reach the bottom of its 475,000 to 525,000-ounce guidance, it needs about 82,500 ounces in the fourth quarter, well below its recent pace.
Higher output at a much higher gold price points to a strong revenue quarter. The company will publish full third-quarter financial results on November 4.
Our read
Outlook: neutral. A record quarter at one mine is good news for Lundin Gold, but about 150,000 ounces is small next to global supply. It does not move the gold price.
What to watch
- Lundin Gold's third-quarter financial results on November 4.
- Whether head grades stay near 10 grams per tonne in the fourth quarter.
- Where full-year output lands within the 475,000 to 525,000-ounce range.
For information only, not investment advice.
Gold price in India
metalscost.com India reference price as of 2026-10-24.
Detailed analysis
Timeline
- 2026-10-08: Lundin Gold reports record Q3 production of 153,736 ounces.
- 2026-11-04: Lundin Gold is due to publish full Q3 2026 financial results.
Supply Drivers
Fruta del Norte lifted quarterly output 26% year on year on higher ore grades.
Mining Production
The mill ran at about 5,823 tonnes a day with 88.3% recovery in the quarter.
What could lift prices
- Realised prices of $4,299 an ounce show how high gold prices are lifting miners' revenue.
- Strong miner results can draw more investor money into the gold sector.
What could weigh on prices
- Rising output from high-grade mines adds to global gold supply.
- Gold has slipped from its highs, so fourth-quarter realised prices may be lower.
Country impact
| Country | Impact | Reason |
|---|---|---|
| Ecuador | Medium | The country's flagship gold mine had its best quarter on record. |
Industry impact
| Industry | Effect | Reason |
|---|---|---|
| Gold Mining | Positive | Record output at higher prices shows strong margins for high-grade producers. |
Who gains, who loses
- Lundin Gold shareholders: Record output met a realised gold price far above last year's.
- Higher-cost gold producers: They earn thinner margins than a mine grading about 10 grams per tonne.
Other ways this could play out
- If grades stay near 10 grams per tonne, full-year output could land toward the top of guidance.
- If grades fall back, output could still meet the lower end of guidance given the strong first nine months.
Price risks
- Gold prices depend on interest rates and central bank buying, not on single-mine output.
- Lower gold prices would cut Lundin Gold's revenue even if output stays high.
Technical view
Price is trading below both its 20-period and 50-period moving averages, a bearish alignment.
Computed from metalscost.com's own stored price history.
