Dynacor’s Global Gold Push: Expansion on Track Amid New Challenges

MONTREAL, QC – March 11, 2026 – Canadian ore processor Dynacor Group Inc. is forging ahead with an ambitious international expansion, confirming that its new gold processing plants in Senegal and Ecuador are on schedule to commence operations in 2026. The move signals a significant push to diversify beyond its established Peruvian base and export its unique model of sourcing gold responsibly from artisanal miners into new, resource-rich territories in West Africa and Latin America.

While the company reports steady progress on its construction timelines and community engagement efforts, its venture into Ghana faces a shifting and complex regulatory environment, highlighting both the immense opportunity and the inherent risks of its global strategy.

A Strategic Global Footprint

Dynacor's expansion is not just a geographical shift but a calculated business strategy aimed at significant growth. The company, which has set an ambitious target of reaching $1 billion in sales by 2030, is leveraging strong financial performance to fuel its global projects. The firm reported record sales of $100.5 million and a record EBITDA of $9.0 million in the third quarter of 2025, bolstering its cash position to nearly $37 million.

This financial strength has captured the attention of the market. Dynacor's stock (TSX: DNG) has seen a more than 13% increase over the past year, and financial analysts are largely bullish on its prospects. The consensus rating among several analysts is a 'Strong Buy' or 'Outperform,' with average 12-month price targets suggesting a potential upside of over 40% from its current trading price of approximately 6.11 CAD. The company's attractive P/E ratio, which is below industry averages, and a sustainable dividend payout of around 2.5% have further solidified investor confidence.

This strategic diversification away from a single-country operation in Peru is seen as a key move to mitigate geopolitical risk and tap into new streams of ore from the world's burgeoning artisanal and small-scale mining (ASM) sector.

Building on the Ground: Senegal and Ecuador

On-the-ground progress in both Senegal and Ecuador appears tangible and on schedule. The company is employing a modular construction approach in Senegal, which has facilitated the timely delivery of critical plant components.

In Senegal, where the pilot plant is slated to process its first ore in the second quarter of 2026, major equipment including the Merrill Crowe circuit, jaw crusher, and leaching tanks have already arrived on site. Site preparation is well underway, with concrete foundations being poured and a water borehole already completed. Dynacor's local subsidiary, Galam S.A., is now in pricing discussions with local artisanal mining sites to secure the necessary ore feedstock.

Simultaneously, in Ecuador, the integration of the acquired Svetlana plant is proceeding on multiple fronts. The company has established its local subsidiary, Sumacor-EC, and has awarded a key Engineering, Procurement, and Construction Management (EPCM) contract for upgrading the tailings ponds. With first ore processing targeted for the fourth quarter of 2026, the project aims to ramp up capacity from an initial 300 tonnes per day (tpd) to a potential 500 tpd, significantly boosting Dynacor's overall processing capability.

The Ethical Blueprint in New Territories

Central to Dynacor’s expansion is the replication of its responsible business model, which has been honed over two decades in Peru. The company specializes in purchasing ore from formalized artisanal miners, providing them with a legitimate market and fair prices while ensuring stringent traceability and environmental standards. This approach stands in contrast to the often-illicit and environmentally damaging practices associated with informal mining.

A key component of this model is the PX Impact® program. A premium paid by luxury jewelry clients for this ethically sourced gold is funneled directly to the Fidamar Foundation, a non-profit organization that invests in health and education projects within the mining communities. In 2023 alone, Dynacor invested over $235,000 in local labor and employment programs in Peru.

Dynacor is actively working to establish a similar social license to operate in its new locations. In Senegal, this has translated into partnerships with local technical schools to create internships, along with infrastructure support like road upgrades and donations of school supplies. In Ecuador, initiatives are focused on promoting employment for single mothers, providing training in solid waste management, and improving local roads, with a data collection campaign planned for 2026 to better understand and serve community needs.

Navigating New Frontiers: The Ghana Opportunity

Perhaps the most forward-looking aspect of Dynacor’s strategy is its deepening engagement in Ghana, Africa's top gold producer. The company is in advanced discussions with GoldBod, a new state entity established in 2025 to be the sole authorized buyer and exporter of gold from the country's vast ASM sector. A potential agreement could provide Dynacor with a major foothold in West Africa and a blueprint for further expansion on the continent.

However, this opportunity comes with significant regulatory headwinds. Ghana is in the midst of a major overhaul of its mining laws. Effective today, March 11, 2026, the country is implementing a new sliding-scale royalty regime that replaces its flat 5% rate. With gold prices currently trading above $5,000 per ounce, miners could face royalties as high as 12%, a policy that has sparked concern among some international investors about its potential impact on long-term project viability and investment.

For Dynacor, successfully navigating this new framework and securing a partnership with GoldBod will be a critical test of its ability to adapt its model to different political and economic climates. The outcome of these discussions will be a key indicator of whether the company can transform its ambitious global vision into a sustainable, multi-continental reality.