Taseko begins Florence Copper output, shares fall post earnings

[Ben Graham]

Taseko Mines (TSX, LSE: TKO; NYSE-A: TGB) has officially begun cathode production at its Florence Copper operation in Arizona, adding a second producing asset to the company’s portfolio. However, its shares fell following its annual earnings report.

The milestone follows the successful completion of project construction in the fourth quarter of 2025 and commissioning of the solvent extraction and electrowinning (SX/EW) plant at Florence Copper.

In its earnings release this week, the company said the SX/EW plant is fully operational and copper is now being plated. Injection of solutions commenced in the fourth quarter and wellfield performance to date has met or exceeded expectations, it added.

For the rest of 2026, the Taseko team will focus on ramping up the operation, targeting between 30 and 35 million lb. of copper cathode production for the year. At full capacity, the mine is expected to output 85 million lb. of LME Grade A copper per year.

“Bringing our second mine into production will be a major accomplishment for the company, and we’re looking forward to ramping up Florence and demonstrating the true value of this asset,” Stuart McDonald, president and CEO of Taseko, commented in the release.

Gibraltar production

Meanwhile, the company is expecting better performance at its Gibraltar mine in British Columbia, which produced 98.1 million lb. of copper in 2025, down from over 105 million a year ago. Its molybdenum production, however, increased to 1.9 million lb. in 2025 from 1.4 million, primarily due to higher molybdenum grades and improved recoveries.

Looking ahead, “total copper production for 2026 is expected to be in the range of 110 to 115 million lb.,” McDonald said, as mining activity “is now well established in the Connector pit.”

“With the anticipated production increase at Gibraltar and copper prices roughly 25% higher today than our average realized price in 2025, Gibraltar is positioned to generate significantly stronger cashflows in 2026,” he added.

Loss deepens

For 2025, Taseko generated revenues of C$673 million from the sale of 99 million lb. of copper and 1.9 million lb. of molybdenum. This represents a 10.7% growth compared to 2024. Adjusted EBITDA came to about $230 million, slightly higher than the $224 million from the year before.

However, the company posted a wider net loss of C$30 million or C$0.09 per share, both significantly higher than in 2024 (C$13 million and C$0.05 respectively).

Shares of Taseko Mines fell by nearly 6% on the results release, taking its market capitalization to C$3.75 billion ($2.74 billion).