Goldstone Resources Reports Final Results: Homase Mine Progress, Fundraising and Strategic Expansion into Sierra Leone

GoldStone Resources final results 2025: better mine activity, but the balance sheet is still doing the heavy lifting

GoldStone Resources has used its 2025 final results to tell a fairly clear story: operations at the Homase Mine in Ghana are improving, production infrastructure is getting stronger, and fresh money has been raised to keep things moving. That is the good bit.

The tougher bit is this: the company is still loss-making, cash at the year end was thin, and the business remains dependent on continued support from investors and its lender. For retail investors, this is one of those updates where operational progress is real, but financial risk is still front and centre.

GoldStone Resources key numbers: revenue up, losses up, cash still tight

Metric	2025	2024
Revenue	US$11.2 million	US$5.0 million
Gross profit	US$6.8 million	US$3.1 million
Operating loss	US$3.2 million	US$2.1 million
Loss before and after tax	US$9.5 million	US$4.2 million
Cash and cash equivalents	US$435k	US$96k
Net assets	US$11.7 million	US$10.5 million
Borrowings	US$11.6 million	US$9.5 million

The headline improvement is revenue. It more than doubled to US$11.2 million from US$5.0 million, which shows Homase is producing and selling more gold than before.

But the jump in losses matters more than it first appears. Finance costs rose sharply to US$6.3 million from US$2.0 million, mainly due to the gold loan. That financing burden is swallowing a lot of the operational progress.

Homase Mine production in 2025: definite progress, but not yet enough to de-risk the story

Operationally, 2025 was better. GoldStone stacked 163,313 tonnes of ore at an average grade of 1.07 g/t, produced 2,912.2 troy ounces of gold, and ended the year with estimated gold in process, or GIP, of 74.2kg.

GIP simply means gold that is sitting within the processing circuit and has not yet been poured and sold. In heap leach mining, where gold is recovered gradually by irrigating crushed ore, that can build up over time. It is useful, but it is not the same as cash in the bank.

The company also said it focused on improving throughput, recovery rates and consistency. That is exactly where investors would want management concentrating, because small miners live or die on operational reliability.

Why Pad 6 at Homase matters for 2026 production

Post period end, GoldStone approved and commissioned Pad 6, described as the largest heap leach pad it has built so far, and started stacking agglomerated ore onto it. That is one of the more encouraging operational points in the whole release.

A heap leach pad is basically the engineered area where ore is stacked and processed. A bigger, commissioned pad gives GoldStone more operating capacity and should help smooth production. In plain English, it gives the company a better shot at becoming less stop-start.

That said, first-quarter 2026 production was still modest at 480 troy ounces from 36,268 tonnes of ore stacked. So while the direction looks better, the scale still has a long way to go.

GoldStone going concern warning: this is the biggest issue investors should not ignore

Here is the bit that really matters. The accounts were prepared on a going concern basis, but explicitly subject to material uncertainty. That is serious language in company reporting.

At 31 December 2025, GoldStone had just US$435k of cash and net current liabilities of US$11.2 million. In simple terms, short-term obligations outweighed short-term assets by a wide margin.

The main pressure point is the secured gold loan with AIMSL. At year end, the outstanding principal was 1,871.31 troy ounces of gold, with accrued interest of 801.40 troy ounces. If the company could not repay or reschedule it, security over its main assets could potentially be enforced.

That is the red flag. The good news is that the lender has kept supporting the business, and after the year end the standstill was extended again. Most recently, the maturity date moved from 31 December 2026 to 30 June 2027, while the interest freeze was extended from 30 June 2026 to 30 September 2026.

My take: lender support is buying time, which is valuable. But buying time is not the same as solving the problem.

GoldStone fundraising and share dilution: necessary, but not painless for shareholders

The company completed an equity fundraise of approximately £2 million net after its February 2026 meeting. The money is being used for working capital, exploration at Homase and strategic investment.

There were also major share issuances tied to debt and interest conversion. During 2025, the company issued 147,692,308 shares on loan note conversion and 49,003,680 shares on conversion of loan interest. After the year end, it issued another 144,855,000 shares to settle around £1.45 million of accrued interest under the gold loan, plus 22,285,317 shares to settle 50% of certain directors’ unpaid fees.

That is a lot of dilution. Existing shareholders now own a smaller slice of the company than before. But if the alternative is a liquidity crunch, management will argue the dilution was the price of survival.

Sierra Leone expansion and MinCorp investment: interesting upside, but clearly early stage

GoldStone has also invested in MinCorp and entered Sierra Leone. Management visited the Wandor Province, where it reported extensive gold-bearing soils and gravels, signs of a possible primary reef source, and the start of site preparation.

This could become a useful second leg to the story, but it is very early days. No resource number has been disclosed, no economic study has been disclosed, and there is no certainty this turns into a commercial asset.

For me, this is a speculative bonus rather than something to build the investment case around today. Homase still needs to do the heavy lifting.

GoldStone Resources outlook: what matters next for the share price

The company says its priorities for 2026 are to stabilise and grow production at Homase, expand the oxide resource, and advance the sulphide development. Oxide ore is typically easier and cheaper to process, while sulphide ore often needs more complex treatment. JORC, for context, is the recognised reporting standard for mineral resources and reserves.

That makes strategic sense. If GoldStone can grow oxide feed and make the sulphide case more robust, it improves mine life and potentially future production capacity.

Still, investors should keep their eyes on a few hard facts:

• Can Homase produce consistently enough to improve cash generation?
• Can finance costs be brought under control?
• Will the company need more equity raises?
• Can the gold loan be refinanced on better terms, or at least kept from becoming a bigger drag?

Is this GoldStone Resources RNS positive or negative?

It is a mixed update, leaning operationally positive but financially cautious. Revenue rose strongly, mine infrastructure improved, Pad 6 is now live, and fresh funds have kept the company moving.

But the loss widened to US$9.5 million, borrowings rose to US$11.6 million, and the accounts carry a material uncertainty around going concern. That combination means this is still a high-risk small-cap mining story.

If you are a bullish shareholder, the case is that Homase is finally building toward steadier production and that lender support has extended the runway. If you are cautious, the case is that GoldStone still needs to prove it can turn operational progress into self-sustaining cash flow.

My verdict: this is not a clean recovery story yet, but it is no longer standing still. GoldStone has bought itself time, improved the mine setup, and opened up some optionality. Now it needs production delivery to do the talking.