Dynacor Advances Expansion Projects, Ecuador Plant Rehabilitation 65% Complete

Dynacor Advances Expansion Projects, Ecuador Plant Rehabilitation 65% Complete

Dynacor Group Inc. (TSX: DNG,OTC:DNGDF) ("Dynacor" or the "Corporation") is pleased to provide an update on its expansion within Senegal and Ecuador and on its Peruvian operations.

Key Highlights

Ecuador

  • Overall plant rehabilitation is 65% complete and on schedule for first ore feed in Q4-2026.
  • Upgrade of the main milling equipment is complete and the crushing area is over 85% complete. 
  • Pre-commissioning activities are planned in October, initially in the main process plant area:
    • Tests have been conducted on the ball mill, which has been operated without loads.
    • Sourcing of 500 tonnes of sterile rock is underway for use in initial commissioning.
  • First ore feed is scheduled in October, followed by commissioning through Q4-2026. 
  • Initial gold pour is targeted for Q4-2026, subject to successful completion of plant rehabilitation and commissioning.

Senegal

  • All commissioning activities are complete, and the 50-tpd plant is being ramped up.
  • Additional stock has been sourced from new suppliers.
  • Preparations are in place for the inaugural gold pour.
  • Initial plant operator and other internal positions are being filled.

Peru

  • Ore inventory reduction is ongoing and is expected to reach 75% of the historical average by quarter-end.

Daniel Misiano, President & CEO of Dynacor, commented: "Congrats to the Dynacor team for successful execution on our two expansion projects, which will add materially to our 2027 production. With all critical aspects advancing as planned, the priority is now to complete rehabilitation of the Svetlana plant and begin commissioning. We look forward to providing more visibility on Africa's potential for value creation through our ramp-up of production in Senegal.

Moreover, reduction of ore inventory levels is being accelerated in Peru. We are on track for a strong finish to the year with expansion milestones and operations expected to further enhance stakeholder value."

Figure 1 – Svetlana's Ball Mill has been Tested

Svetlana

Advancing Ecuador Plant Upgrade to Plan

Dynacor's rehabilitation of the 1,500-tpd Svetlana processing plant continues to progress to plan, and first ore feed and gold pour remain on track for Q4-2026:

  • The project is 65% complete, on time and on budget. Most major equipment is now on site.
    • On budget – As of August 30, 2026, US$9.5 million had been spent of the US$22-$25 million projected capital expenditure for 2026...
  • Crushing circuit - Rehabilitation of the crushing circuit is 85% complete, the mill feed almost 65% complete, and fabrication of the apron support has commenced.
  • Milling area – Rehabilitation of the ball mill and supporting infrastructure is fully complete.
  • Electrical / power systems – Installation of the electrical cable infrastructure is well advanced. Dynacor has signed an agreement with CNEL EP (Ecuador's national utility) to secure a 6-MW grid connection. The connection will feed into the Svetlana substation to supply mainly hydro-backed renewable energy to power the plant.
  • Leaching area – Rehabilitation of the leaching infrastructure is some 70% complete.
  • Operational readiness – Operational readiness activities and hiring are ramping up, in line with plan.
  • Tailings – Following repair of its geomembrane, the working tailings storage facility is expected to be operational at month-end.
  • Permitting progress – Dynacor's application for a commercialisation permit has been approved by ARCOM, Ecuador's mining regulatory agency. Approval from the MAE (Ministry of Environment and Energy) is pending and expected in Q4-2026.

Figure 2: Tank Sampling at Galam in Senegal

Galam

About Dynacor

Dynacor Group is an ore processing company dedicated to producing gold sourced from artisanal miners. Since its establishment in 1996, Dynacor has pioneered a responsible mineral supply chain with stringent traceability and audit standards for the fast-growing artisanal mining industry. By focusing on formalized miners, the Canadian company offers a win-win approach for governments and miners globally. Dynacor operates the Veta Dorada plant and owns a gold exploration property in Peru. The company is expanding to West Africa and within Latin America.

The premium paid by luxury jewellers for Dynacor's PX Impact® gold goes to Fidamar Foundation, an NGO that mainly invests in health and education projects for artisanal mining communities in Peru. Visit www.dynacor.com for more information.

Forward-Looking Information

Certain statements in the preceding may constitute forward-looking statements, which involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Dynacor, or industry results, to be materially different from any future result, performance or achievement expressed or implied by such forward-looking statements. These statements reflect management's current expectations regarding future events and operating performance as of the date of this news release.

Contact:

For more information, please contact:

Ruth Hanna
Director, Investor Relations
T: 514-393-9000 #236
E: investors@dynacor.com
Website: https://dynacor.com

Renmark Financial Communications Inc.
Bettina Filippone
T: (416) 644-2020 or (212) 812-7680
E: bfilippone@renmarkfinancial.com
Website: www.renmarkfinancial.com

Photos accompanying this announcement are available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/b1121997-1642-4599-b9bc-076b68c13a96
https://www.globenewswire.com/NewsRoom/AttachmentNg/e5ce501d-f52d-43de-9071-15814adb3186


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