G Mining Ventures outlook positive despite higher costs, Jefferies says
Published: 12:51 21 Jan 2026 EST
G Mining Ventures Corp (TSX:GMIN, OTCQX:GMINF, FRA:W97) is expected to maintain strong margins and growth potential over the next two years, according to a Jefferies analyst note, despite higher projected costs for 2026.
Jefferies maintained a Buy rating on GMIN with a C$54 price target, implying 25% upside from current levels.
The firm noted that G Mining’s two-year production guidance aligns with consensus estimates, with gold output expected at 160,000-190,000 ounces in 2026 and 200,000-235,000 ounces in 2027. Production in 2026 is anticipated to be weighted to the second half of the year, reflecting access to higher-grade mineralization, while 2027 will benefit from a full-year contribution of Phase 2 ore at the TZ mine, excluding Oko West.
Costs are expected to rise in 2026, with all-in sustaining costs (AISC) projected at $1,230-$1,444 per ounce, about 4% above consensus, driven partly by elevated gold prices. For 2027, AISC is forecast at $977-$1,146 per ounce, in line with expectations. Despite this, Jefferies highlighted that G Mining remains among the lowest-cost and highest-margin producers in its gold coverage.
Construction at the Oko West project continues on budget and schedule, with 44% of total capital expenditure committed and 60% of detailed engineering work completed. First gold production from Oko West is expected in the second half of 2027, with 2026 capex projected at $514-$568 million and the remainder to be spent in 2027.
The company also plans its largest-ever exploration program, budgeted at $42-$50 million. Targets include new prospects at TZ, follow-up and infill drilling at Oko West, and resource expansion at Gurupi ahead of a planned PEA release in the second half of 2026.
Jefferies said G Mining trades at a 0.5x P/NAV, below the average of 0.7x for its gold coverage universe, reflecting its capital-intensive phase. “We view 2028 as the true free cash flow inflection point, when production from TZ and Oko West is fully realized,” the analysts wrote.
Jefferies reiterated its Buy rating, citing continued production growth, exploration optionality, and robust margins, while leaving the price target unchanged at C$54.
