Capital reports higher revenue, drilling platform gains momentum
London-listed Capital has delivered group revenue of $115.7-million for the third quarter – a 23.3% increase year-on-year but a 1.4% decrease quarter-on-quarter.
Revenue for the first nine months of this year increased to $334.7-million, up 32.2% on the prior year-to-date figures.
Drilling revenue was lower in the quarter as the company redeployed equipment from Nevada Gold Mines (NGM), in the US, and Sadiola, in Mali, to higher-returning contracts across its existing portfolio and into new contract wins.
Drilling and associated revenue for the quarter was $64.5-million, down 0.9% on the third quarter of 2025 – $65.1-million – and down 5.1% on the second quarter of this year.
Mining revenue for the quarter was $25.2-million, up 223.1% on the third quarter of 2025 and down 1.2% on the second quarter of this year.
The company reports that its mining contracts remained stable at planned operating levels, while its subsidiary MSALABS achieved yet another record quarter, with revenue up 23.8% year-on-year.
MSALABS’s revenue for the quarter was $26-million, up 23.8% on the third quarter of 2025 and up 9.2% on the second quarter of this year.
During the quarter, the company notes, its on-site laboratory at Montage Gold’s Koné gold project, in Côte d’Ivoire, started receiving samples.
The company says commissioning is under way at both its new commercial laboratory in Korhogo, in Côte d’Ivoire, and its on-site laboratory at United Gold’s Amulsar gold mine, in Armenia, with first samples to be received in the fourth quarter of this year.
Capital says several of its laboratories across North America are undergoing expansion work.
Additionally, Capital executive chairperson Jamie Boyton says the company’s drilling platform is gaining momentum as the company further expands its activities at the Belinga iron-ore mine, in Gabon, alongside Fortescue.
The company was awarded a two-year extension and expansion of scope for diamond and reverse circulation (RC) drilling services at Fortescue’s Belinga iron-ore project, where Capital has been operating since 2023.
The expansion of scope covers an additional five rigs, two of which are already on site, bringing the project to a total of ten rigs.
Boyton says Capital has also established a strategic foothold in the Australian drilling market through the acquisition of Metres Down Under (MDU) – a specialist underground RC drilling contractor – which was completed during the period.
Capital explains that MDU generated about $25-million in revenue and $6-million in adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda) over the 12 months to September 30 and is expected to be accretive from day one.
Boyton explained that, with growing activity levels across the group and the contribution from MDU, the company remains well positioned to deliver on its recently increased 2026 revenue guidance.
As previously announced, Capital says group revenue guidance for this year was raised to $435-million to $455-million, reflecting the consolidation of MDU’s revenue into the group from September 30.
MSALABS’s revenue guidance is reiterated at between $85-million to $95-million and capital expenditure guidance is reiterated at between $55-million and $65-million.
Meanwhile, Capital also notes that it has appointed Tim Donnelly as its drilling and mining COO. Most recently, Donnelly served as GM of Artemis Gold’s Blackwater mine. Prior to Artemis Gold, he held several senior operational roles with leading mining and mining services companies including Centamin, Endeavour Mining and Macmahon Holdings.
“We are delighted to welcome Tim Donnelly as drilling and mining COO. His appointment strengthens our leadership team as we enter a new phase of growth,” says Boyton.
OUTLOOK
Looking ahead, Capital says it will focus on integrating MDU into its group and mobilising with Fortescue and Maaden.
The company says it remains committed to delivering its mining contracts while continuing to support the long-term success of its clients’ operations.
Additionally, with MSALABS, Capital says it expects to commission a further two laboratories and continue expansions across several laboratories.
During the fourth quarter of this year, Capital says, it expects WIA Gold to obtain its permitting and Asara Resources to progress infill drilling in support of a mineral resource estimate update.
Moreover, the company says exploration and development activity remains robust across the markets in which it operates, providing a supportive backdrop for future contract awards.