Merdeka Gold Resources records 69% third-quarter output increase

JAKARTA, Indonesia, Nov. 9, 2026 /PRNewswire/ -- PT Merdeka Gold Resources Tbk (the "Company"; IDX: EMAS; HKEX: 6228) recorded a 69% quarter-on-quarter increase in gold production to 26,331 ounces in the third quarter of 2026, as the ramp-up of heap leach operations at the Pani Gold Mine in Pohuwato Regency, Gorontalo, continued to gain momentum. At the same time, development of the Carbon-in-Leach ("CIL") facility advanced into construction, supporting the next phase of Pani Gold Mine's long-term growth.

Since achieving first gold production in February 2026, Pani has continued to scale rapidly. Gold production reached 10,952 ounces in September, up 12% from August, with momentum extending into October as 6,190 ounces were produced during the first two weeks, implying an annualised production rate of approximately 149,000 ounces. Driven by this accelerating momentum, EMAS views the production trajectory of 2026 and 2027 as a continuous growth phase, firmly positioning the Company to deliver a combined gold output of over 250,000 ounces during the two-year period.

"The third quarter demonstrates the continued momentum of Pani Gold Mine's ramp-up, with higher production, stronger operating throughput and improved cost performance. At the same time, the CIL development is moving from engineering into construction, marking an important step in the next phase of EMAS' growth. Our focus remains on scaling production responsibly, improving operational reliability and executing the CIL development with discipline as we build Pani Gold Mine into a larger, long-life gold operation," said Boyke P. Abidin, President Director of PT Merdeka Gold Resources Tbk.

Higher production volumes were accompanied by improved unit costs during the quarter. Cash cost, excluding royalties and silver credits, declined 13% quarter-on-quarter to US$778 per ounce, while all-in sustaining cost ("AISC") declined 12% to US$1,281 per ounce. EMAS expects quarterly costs to remain variable as the production ramp-up continues and inventory moves through the production cycle, while full-year costs are expected to remain within the Company's 2026 guidance.

The next major growth phase at Pani Gold Mine is centred on CIL Phase 1. Basic engineering has been completed, all major long-lead equipment has been ordered, construction contractors have mobilised and civil works have commenced across key plant areas. The facility is designed with approximately 20% surge capacity, allowing throughput of up to 14.4 million tonnes per annum, and is targeted for commissioning in 2028.

EMAS is also advancing plans for a second CIL facility with the same capacity as Phase 1, supported by shared infrastructure between the two plants. Subject to successful development and commissioning, combined annual gold production capacity from the CIL operations is expected to reach approximately 500,000-700,000 ounces, compared with approximately 250,000-350,000 ounces from a single plant, in addition to production from the existing heap-leach operation.

Exploration continued to strengthen Pani's longer-term growth potential, with drilling confirming extensions of gold mineralisation beneath the existing Resource envelope at Pani Deeps and additional mineralisation across the Pani Gap Area and Kolokoa Phase 2. Building on these results, EMAS has approved a US$11.4 million exploration budget for 2027, including a 50,000-metre drilling programme aimed at expanding Pani's Resource base and advancing additional exploration targets.

Combined heap-leach gold production for 2026 and 2027 is expected to exceed 250,000 ounces. Given that production is heavily weighted towards the remainder of the year, EMAS is revising its production guidance to 85,000-100,000 ounces due to potential timing difference that could shift 2026 production into early 2027. Hence, 2027 gold production is expected to be well above the Company's previous estimate of 150,000 ounces, although conditional to RKAB approval. Cash cost guidance, excluding royalties and silver credits, remains unchanged at US$900-US$1,100 per ounce, while AISC guidance remains at US$1,300-US$1,450 per ounce.

Having only commenced gold production in February 2026, Pani Gold Mine has already delivered strong operating performance by 3Q26, demonstrating the quality of the asset and its ability to ramp up rapidly. This strong start provides a solid foundation for EMAS' next phase of growth, supported by continued heap leach expansion, an extensive 2027 exploration programme and the development of its CIL facilities. EMAS is firmly focused on unlocking Pani's full potential and delivering sustained production growth in the years ahead, while at the same time, maintaining its disciplined cost management and allocation.