Blanket mine output rebounds 18% in second quarter as Caledonia adds a seventh shift

Gold production at Caledonia Mining's Blanket mine in Zimbabwe recovered in the second quarter of 2026, rising 18% to 17,360 ounces from 14,767 ounces in the first quarter, the company said on 20 July.

The improvement came mainly from grade. Caledonia said ore delivered to the plant averaged 2.88g/t during the quarter and that grades for July to date had reached 3.05g/t, reflecting better access to higher-grade parts of the underground mine after a difficult start to the year.

More days underground

Operationally, the most significant change was the switch to a seven-day working week in June. Caledonia estimates the extra day adds about 200 tonnes of ore processed per day, a meaningful increment for a mine of Blanket's size. The company has also been upgrading its elution plant, with completion expected in the third quarter. Once finished, that upgrade will allow Blanket to treat a stockpile of fine-grained loaded carbon that has built up, which should release additional gold.

The quarter was still below the second quarter of 2025, which had been a record for Blanket. Caledonia attributed the year-on-year decline to its planned mining sequence and the restricted access to higher-grade stopes that affected the first half of the year, rather than to any new operational problem.

Guidance held, second half to carry the load

Caledonia reaffirmed its 2026 production guidance of 72,000 to 76,500 ounces. With about 32,100 ounces produced in the first six months, the mine needs to produce roughly 40,000 to 44,000 ounces in the second half to land within the range. That implies quarterly output well above anything achieved so far this year, which is why the company has emphasised that production is weighted towards the second half.

Chief executive Mark Learmonth described the quarter as an improvement on the first three months. Management's case rests on the combined effect of the seven-day roster, the contractor brought in to accelerate development towards higher-grade ore, the additional ball mill commissioned in the second quarter and the elution upgrade.

The numbers matter well beyond Blanket itself. Cash generated at the mine at current gold prices is a pillar of Caledonia's funding plan for the Bilboes project, where the company is targeting first gold at the end of 2028. A strong second half at Blanket would reduce pressure on that funding package.

Full financial results for the quarter, including costs per ounce, are due in August.

Sources

• Stock Titan (company release): Caledonia Mining Corporation Plc: Blanket Mine Q2 2026 Production Update, 20 Jul 2026

Photo: A gold bullion bar with its assay card. Kjmonkey, Wikimedia Commons, CC0.