Gold Road Resources Ltd (ASX: GOR) shares are edging higher on Tuesday morning.
At the time of writing, the ASX 200 gold stock is up 1% to $3.24.
This compares favourably to the performance of the benchmark ASX 200 index, which is down 0.2%.
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Why is this ASX 200 gold stock rising?
Investors have been hitting the buy button on Tuesday after the gold miner released a production update from the Gruyere gold mine joint venture.
Gold Road owns 50% of the world-class Gruyere gold mine, which was developed in joint venture with Gold Fields and produced its first gold in June 2019.
Its three-year production outlook ranges between 335,000 and 375,000 ounces per annum on 100% basis. It is also forecasting sustainable production at a ~350,000 ounces per annum rate with its life of mine reaffirmed to 2032 through a seven-stage mine plan. The ASX 200 gold stock notes that this makes it one of Australia's largest and lowest-cost gold mining operations.
What was announced?
This morning, ahead of the release of its quarterly report later this month, Gold Road has provided investors with a preliminary snapshot of production and sales.
Gold Road revealed that the Gruyere joint venture produced 72,980 ounces of gold on a 100% basis during the three months ended 30 June 2025. This was a modest increase on the 71,226 ounces produced in the March quarter.
However, while production ticked up, management flagged that its full year output is likely to only come in at the lower end of its guidance range of 325,000 to 355,000 ounces.
In addition, the ASX 200 gold stock has warned that its all-in sustaining costs (AISC) for the year are expected to land at the top end of its forecast range of A$2,400 to A$2,600 per ounce. Full AISC details will be confirmed in the upcoming June quarter report.
Gold sales and financial update
One positive was that Gold Road remains completely unhedged, which means it has full exposure to recent strength in the gold price.
As a result, Gold Road revealed that it sold 37,741 ounces of gold at an average price of A$5,131 per ounce.
In light of this, the company's cash and equivalents increased to approximately A$242.2 million, up from A$203.8 million in the previous quarter, with no debt drawn. Gold Road also reported that it holds listed investments worth around A$921 million, further strengthening its balance sheet.
Gold Road shares are now up 80% over the past 12 months.
