During the second quarter of 2026, Mount Polley’s copper production totaled 3.382 million pounds, marking a steep 64% decline compared to 9.496 million pounds in the second quarter of 2025. Gold production also saw a decline, falling to 6,848 ounces from 11,061 ounces in the same period. These reductions were primarily due to lower-grade ore, reduced recoveries, and less processing capacity. The daily throughput at the mine was recorded at 18,498 tonnes, slightly below 19,331 tonnes in the second quarter of the previous year. Of the material processed, 44% came from low-grade stockpiles, contributing to the dip in output. However, the company anticipates that beginning in the fourth quarter, higher-grade material from the Springer pit Phase 5 pushback will reach the mill, eliminating the need to rely on the low-grade stockpiles. The stripping operations for this pushback continued, with 6.032 million tonnes of rock mined. Of that, 2.725 million tonnes of non-acid generating rock were sent to the tailings storage facility to construct a buttress, supporting long-term environmental and operational goals.
Imperial Metals reported total revenue of $166.5 million in the second quarter of 2026, a slight drop from $175.8 million in the same quarter of the previous year. Net income for the period was $22 million, down from $40.6 million in Q2 2025. The company attributed this reduction to lower production levels and the ongoing processing of low-grade ore. Mount Polley’s concentrate shipments were limited to just one shipment in the quarter, down from 1.9 in the prior year, while Red Chris maintained four shipments in both quarters. The fluctuation in revenue was influenced by shipment timing, changes in metal prices, exchange rates, and revaluations. Revenue revaluation in Q2 2026 reached $4.6 million, compared to $2.2 million in the same period in 2025. Mine operations income fell by $34 million to $47.3 million, though this was partially offset by reduced interest and tax expenses.
Production Decline Details
Compared to the first quarter of 2026, Mount Polley’s copper and gold production fell by 23% and 10%, respectively. The dip was again attributed to the processing of low-grade stockpiles, which impacted both throughput and recovery rates. The mine is preparing to shift its processing to higher-grade material from the Springer pit Phase 5 pushback, expected to arrive in the fourth quarter of 2026. This transition is expected to restore production levels and boost overall profitability. The move is seen as a critical turning point for Mount Polley, allowing it to tap into higher-grade reserves while maintaining compliance with environmental standards. These developments are essential for the mine’s long-term sustainability and operational efficiency.
For the second quarter of 2026, total capital expenditures across the company reached $67 million, an increase from $64.1 million in the same period of 2025. This investment included $29.8 million for exploration and development, $12.4 million for tailings dam construction, and $24.8 million for other capital needs. Mount Polley remains a primary focus for infrastructure development, with ongoing efforts to build a more sustainable and efficient operation. These projects, including tailings dam construction, are progressing to ensure long-term stability and meet future production demands. The expenditures reflect the company’s commitment to preparing for a stronger operational outlook later in the year.
Permitting progress
Regulatory Approvals and Investments
In the second quarter of 2026, Imperial secured key regulatory approvals that are expected to have a lasting impact on its operations. Mount Polley received authorization to raise its tailings dam, while Red Chris obtained the necessary permits to transition to block cave mining. These developments, highlighted as strategic by company President Brian Kynoch, are designed to extend the mine life of both operations and improve access to higher-grade mineralization. Kynoch noted that these authorizations will unlock new reserves, leading to increased production and stronger returns in the coming years. The permitting progress is seen as a crucial step forward, especially when combined with favorable copper and gold prices, which position the company for improved performance in the second half of 2026.
Kynoch emphasized the importance of these permits, calling them a pivotal step for the company’s long-term success. The transition to block cave mining at Red Chris and the eventual processing of higher-grade material at Mount Polley are central to unlocking future returns. These operational improvements, coupled with strong metal prices, will help Imperial overcome the current production challenges and deliver stronger results in the coming months. The focus remains on strategic investments and regulatory compliance to ensure sustainable growth and profitability.