Strong production and low continuing AISC
Produced 191,000 oz gold and 18,000 t copper in the December quarter for continuing operations. All-in sustaining cost (continuing ops) was a low $1,275/oz. Gold production improved 10% and AISC improved 26% versus the prior comparable period.
Material cash flow acceleration
Underlying group cash flow improved 176% to $541 million (≈$2,800/oz when normalizing for FY25 annual tax timing). Reported cash flow rose 110% to $412 million. Operating cash flow increased 57% to just over $1.0 billion and net mine cash flow doubled to $727 million.
Cowal exceptional cash generation
Cowal delivered $361 million of operating cash flow at ~$4,500/oz and $284 million of net cash in the quarter (equating to >$3 million per day) and is cited as having at least 16 more years of life.
Mungari ramp-up and record cash performance
Mungari moved to commercial production, achieved an annualized mill run-rate of ~4.1 Mtpa and delivered record net mine cash flow of $104 million (a 142% improvement for the quarter). Mungari quarterly AISC reported around $1,980/oz with a go‑forward expectation in the low $2,000s once at steady 50,000 oz quarterly run-rate.
Red Lake delivering steady production and cash
Red Lake produced 33,000 oz in the quarter, is settling into a targeted 30k–40k oz per quarter rhythm, doubled net mine cash flow to $80 million for the quarter and has delivered >$200 million net cash in the past 18 months.
Balance sheet improvement and capital flexibility
Cash balance increased to $967 million after repaying $110 million and paying $116 million in net dividends. No debt due until FY29. Gearing reduced to 6% (from 11% at September and ~30% two years ago) and management expects to be net cash this year.
Guidance maintained and improved cost outlook
Group production guidance unchanged at 710,000–780,000 oz gold and 70,000–80,000 t copper. Group AISC guidance updated to $1,640–$1,760/oz, a 6% improvement on original guidance reflecting continued cost control and stronger by-product credits (partially offset by Ernest Henry impacts).
Project and portfolio progress
Cowal OPC project ahead of schedule and on budget; Mungari progressed to commercial production and Castle Hill haul road sealing completed. Studies for E22 (Northparkes) and Ernest Henry growth options are complete and proceeding to the board for assessment.