Canadian miner Allied Gold Corporation has poured its first gold at the Kurmuk Gold Mine in western Ethiopia, marking the site’s transition from a greenfield development project into an operating mine.
Allied Gold announced on November 9, 2026, that it had completed the initial gold pour at Kurmuk. Management described the milestone as a major step for the project, which is set to become the company’s newest producing asset and its lowest-cost operation.
Allied Gold’s management and board of directors praised the development and operations teams for delivering the project to production. The company highlighted joint efforts by local and international staff as essential to reaching the milestone.
Government officials were also recognized for their support. According to Allied Gold, Kurmuk stands among the first large-scale mechanized mines in the country and represents a crucial test for Ethiopia’s ambition to establish a modern mining industry.
Located in the Benishangul-Gumuz region near the Sudanese border, the project is widely watched as a bellwether for foreign direct investment in Ethiopian mining. Allied Gold consolidated its ownership of the project to 93 percent in September 2023, and its subsidiary, Kurmuk Gold Mine PLC, secured a 20-year power purchase agreement with Ethiopian Electric Power in August 2024 to supply hydroelectric power. The deposit sits within the highly prospective Arabian-Nubian Shield.
Following the initial pour, Allied Gold is preparing to scale up production toward full commercial operations. The company expects to complete final power infrastructure installations during November 2026, alongside the full mobilization of its haulage fleet.
Commercial production is targeted by the end of 2026, with the mine expected to reach its designed operating capacity in early 2027. Recovery rates are projected to improve steadily through year-end.
Kurmuk is targeting between 25,000 and 35,000 ounces of gold in 2026. Production is forecast to rise to 55,000 to 65,000 ounces in the first quarter of 2027, reaching 240,000 to 270,000 ounces for the full year.
Allied Gold projects annual output from Kurmuk to reach 300,000 ounces by 2028, averaging 300,000 ounces annually over its first four years and 240,000 ounces per year over the total life of the mine. Exploration teams are continuing near-surface drilling at nearby targets—including Ashashire, Dish Mountain, and the Tsenge Trend—to extend the mine’s operational lifespan.
The company projects consolidated production across its portfolio to reach between 400,000 and 435,000 ounces in 2026, rising to between 615,000 and 670,000 ounces in 2027—a 54 percent surge over its 2026 midpoint.
Beyond 2027, the producer aims to hit 800,000 ounces annually by 2029, aided by an expansion at its Sadiola mine in Mali.
