Greatland reveals updated gold mine plans for next two years
Greatland Gold PLC (AIM:GGP, OTC:GRLGF) has upgraded its wo-year outlook for the Telfer gold-copper mine, and has kicked off a new study exploring options to expand production at the Havieron project.
At Telfer, annual production is Telfer is projected at 280,000 – 320,000 ounces of gold and 7,000 – 11,000 tonnes of copper through to the end of 2027.
The anticipated timeline would then see processing of high grade ore from Havieron start in 2028. A result would be reduced all-in sustaining costs (AISC) and higher outputs.
Telfer’s AISC is projected at c.US$1,525 to c.US$1,650 (A$2,400 – A$2,600) per ounce in 2026 and c.US$1,750 and US$1,875 in 2027.
The company noted that it has partially mitigated downside risks, with put options covering 266,000 ounces of production between CY25 and CY26.
Meanwhile, a Feasibility Study is underway to examine lifting Havieron’s mining rate from 2.8Mtpa to between 4 and 4.5Mtpa.
"Greatland has made a tremendous start to our ownership of Telfer, producing over 90,000 ounces of gold and generating over A$250 million in free cash flow in the March 2025 quarter,” managing director Shaun Day said.
"When we acquired Telfer, we set out an initial mine plan of 15 months together with a number of opportunities we had identified during acquisition due diligence to extend that plan.
"After only five months since the acquisition, this initial updated Telfer outlook already provides for a substantial 18-month extension of dual train processing at Telfer through FY27, expected to deliver on average 280,000 - 320,000 ounces of gold (plus copper) per annum over the next two years, with opportunities to further augment this as we continue to optimise our initial mine planning.”
An excellent outcome
Day described the update mine plan as “an excellent financial outcome” that Greatland to reinvest in Telfer.
Significantly, he added that with improved confidence Greatland anticipates that the Havieron development can be funded by existing cash, supported by Telfer’s cashflows and debt finance.
“Importantly, it means operationally that we can maintain our workforce and infrastructure for first gold from Havieron,” he said.
When the Havieron ore is added to the processing feeds, in 2028, it is expected to deliver “a step change reduction in AISC” and higher volumes – as the operation benefits from ‘excellent cost efficiencies’ provided by the new deposit’s exceptional ounces per vertical metre.
Greatland also today noted that its group-level tally of ore reserves, as of 31 December 2024, increased to 71 million tonnes at 1.36 grams per tonne gold and 0.19% copper.
The publication of the Havieron feasibility study, expected in the second half of 2025, is seen as a hotly anticipated catalyst for Greatland.
Source: https://www.proactiveinvestors.co.uk/