FINWIRES · TerminalLIVE
FINWIRES

Alamos Gold Down 2.9% After Hours as It Lowers Q2 Guidance for Its Young-Davidson Mine

By

Alamos Gold (AGI.TO, AGI) was down 2.9% in after-hours New York trading after the company on Thursday said it is lowering quarter production guidance on lower production from its Young-Davidson mine in northern Ontario following two seismic events at the mine and a power outage following storm damaged regional electricity infrastructure.

The company said the seismic events caused no injuries, but damaged mine infrastructure and limited access to high-grade stopes. It expects tonnage to drop to 5,000 tonnes per day for the remainder of the year.

A storm late in May damaged the power line that connects the town of Kirkland Lake to the mine, causing three days of downtime.

The company said it now expects the mine to produce 130,000 to 135,000 ounces of gold in the second quarter, in-line with first-quarter output but below guidance.

"We are disappointed with the operational challenges at Young-Davidson, and are working diligently to review and optimize the mining sequence to support higher mining rates going forward. The first half has been challenging, but we expect stronger production into the second half of this year," chief executive John McCluskey said.

The company's shares were last seen down US$1.06 to US$35.28 after hours. They closed down C$1.33 to US$51.40 on the Toronto Stock Exchange.

Related Articles

Mining & Metals

PMET Advances On-Site Lithium Refining Strategy Through Technology Collaboration MOU with Mitsui and MWCC

PMET Resources (PMET.TO) after the close Wednesday said entered into a non-binding memorandum of understanding with Mitsui & Co., Ltd. and Microwave Chemical Co., Ltd. to jointly evaluate the application of proprietary microwave calcination technology to spodumene samples from its Shaakichiuwaanaan project in the Eeyou Istchee James Bay region of Quebec.According to the statement, microwave calcination has the potential to support electric calcination at site, which is the first step in the production of value-added lithium chemicals from spodumene concentrate, leveraging Quebec's low-cost, renewable hydroelectric power as a potential alternative to conventional fossil fuel-based calcination.Calcination is an initial processing step in the conversion of spodumene concentrate into downstream lithium chemicals, using heat to convert alpha-spodumene into beta-spodumene for subsequent lithium extraction. Historically, fossil fuels have been the key energy source to create heat and the overall energy required to undertake the phase change."This collaboration is a direct extension of the downstream growth strategy we outlined recently for Shaakichiuwaanaan. Our concept study identified a potential pathway to produce battery-grade lithium carbonate on site, and microwave calcination now represents an opportunity to evaluate one of the key enabling technologies that could support that vision," chief executive Ken Brinsden said. "Shaakichiuwaanaan is already one of the world's premier hard-rock lithium projects, and the collaboration with Mitsui and Microwave Chemical represents another important step in our strategy to evaluate additional value-creation opportunities beyond spodumene concentrate."PMET shares closed down $0.16 to $6.19 on Toronto Stock Exchange.

$PMET.TO
Mining & Metals

IGM Simplifies Organization to Accelerate Investment in Key Technology Capabilities to Strengthen Business

IGM Financial (IGM.TO) after the close Wednesday announced a multi-year initiative to simplify its operations, aimed at reducing "complexity and costs" and generating additional savings.IGM said it is taking actions to improve efficiency, lower ongoing costs and create greater enterprise agility. Some of the efforts include consolidating team structures and streamlining workflows to drive efficiency and increase alignment with strategy; upskilling its existing workforce and enhancing capabilities through targeted hiring in areas such as AI leadership, process redesign, data engineering, agent development and deployment, and governance; and advancing key technology, data and AI capabilities across the enterprise.It is anticipated that this initiative will generate approximately $70 million in annualized savings by the end of 2028, IGM said. This will be reinvested in AI capabilities, with a focus on people, processes and technologies to further strengthen the company while allowing it to manage expense growth prudently, it added.IGM is maintaining its operations, support and business development expense growth target of 4%t for 2026. The company expects to record a one-time charge of approximately $95 million or $70 million after-tax in Q2 related to these activities, including severance and the accelerated accounting recognition of certain incentive programs related to CEO transition.The company did not say how many positions will be cut in the restructuring."We are building an AI-enabled organization that enhances, not replaces, the trusted relationships at the core of our business," said chief executive James O'Sullivan."While much is still evolving, we are encouraged by the opportunities AI is providing to elevate the advice experience, empower our advisors and employees, and deliver even stronger outcomes for clients, while staying grounded in the personal connections that define our model."Shares of the company closed up $1.62 to $83.41 on Toronto Stock Exchange on Wednesday.

$IGM.TO
Mining & Metals

TSX Closer: Index Drops as Financials, Battery Metals Rise; Canada Population, Housing Data Weaken

The Toronto Stock Exchange edged lower Wednesday as gains in financial and battery metals stocks offset broad-based weakness across most other sectors, while investors assessed fresh domestic economic data pointing to slower population growth and a cooling housing market.The S&P/TSX Composite Index closed down 264.47 points, or 0.75%, at 35,125.11.Battery Metals Index led gainers, up 1.23%, while Financial closed up 0.54%. Industrials led decliners, down 2.12%, with Information and Technology, down 1.25%, Utilities, down 0.54%, Telecom, down 1.19%, Energy, down 1.55%, Base Metals, down 1.26%, and Health Care, down 1.14%.In commodities, Gold traded higher Wednesday even as the dollar rose after a report showed U.S. retail sales rose more than expected last month ahead of the latest interest rate decision coming from the Federal Reserve. Gold for July delivery was last seen up US$37.10 to US$4.391.50 per ounce.West Texas Intermediate (WTI) crude oil closed higher on Wednesday, rebounding from its lowest level in more than three months as details of a peace agreement between Iran and the United States emerged, while the International Energy Agency said inventories depleted by a closure of the Strait of Hormuz would return to surplus next year. WTI oil for July delivery closed up US$0.74 to settle at US$76.79 per barrel, rising off the lowest since March 4, while August Brent oil was last seen up US$0.41 to US$79.37.Meanwhile, domestic data released Wednesday pointed to a slowdown in Canada's population growth as immigration levels continued to ease.The population of Canada was estimated at 41,417,056 on April 1, a decrease of 0.1% from the previous quarter, said the country's statistical agency Wednesday. The country welcomed 83,149 permanent immigrants in Q1 2026. This represents a decline of 20.2% compared with the number of permanent immigrants welcomed in the same quarter of 2025 and is in line with the lower target established by Immigration, Refugees and Citizenship Canada for the 2026 calendar year, Statistic Canada noted.Natural increase was negative (-155) in Q1, meaning there were more deaths than births in Canada during this quarter. By comparison, the natural increase in Q1 2025 was positive, at 983. Natural increase is usually low during the winter months, because there are typically fewer births and more deaths during the colder months.The housing sector also remained under pressure amid affordability challenges and softer demand conditions.Canada's new housing price index (NHPI) shed 0.3% month over month in May, said StatsCan on Wednesday. The NHPI is a monthly series that measures changes over time in the contractors' selling prices of new residential houses, where detailed specifications pertaining to each house remain the same between two consecutive periods. The survey covers dwelling types including new single homes, semi-detached homes and town homes (row or garden homes).Additionally, Scotiabank argued if a recovery is in sight after Canada's existing home sales rise in May. After having declined by nearly 11% seasonally adjusted from November 2025 to March 2026, Canada's housing sales have since recovered more than half of this decline with increases in April and May, said Scotiabank. In the latter month, national sales posted a 5.5% monthly rise, the strongest since October 2024, noted the bank.The bank added it must witness a sustained upward trend in housing demand and tightening in market conditions before it can see a recovery in the national house price, and especially in Ontario and British Columbia markets given their influence on national figures.Additionally, Bank of Montreal (BMO) said the international investors are big buyers of Canadian dollar bonds.International investors were big net buyers of Canadian securities in April to the tune of $46.9 billion, the lender noted. That's among the larger inflows over the past few years. Buying was focused in federal and provincial government debt, as well as corporate bonds, pointed out BMO. Equities saw a decent inflow too, while money markets had an outflow.The net inflow to federal government bonds was a record $27.7 billion in the month, while provincial bonds were just short of a record at $10.6 billion. Notably, April's net inflow to Canadian dollar-denominated bonds was a record $36.2 billion, added the bank.

S&P/TSX CompositeS&P/TSX Composite$CXY