AIS
Aeris Resources Limited
ASX
QUARTERLY ACTIVITIES REPORT - MARCH 2025
Sentiment:
Quarterly Report
27 April 2025 7:52 PM
Aeris Resources reports increased copper equivalent production and strong cash flow for the March 2025 quarter, while advancing key projects and exploration activities.
Delay expected
Underground ore production was impacted by delays to stope filling at Budgerygar due to a failure of the newly commissioned paste pump.
Ramp up to full production at Murrawombie Pit was slower than expected due to the contractor having difficulty securing skilled operators.
Summary
- Aeris Resources increased group copper equivalent production to 10.7kt for the quarter ended March 31, 2025, with improved AISC of A$4.91/lb Cu eq.
- The company's cash and receivables stood at $33.6M at the end of the quarter, following a $10M cash backing of an ANZ guarantee facility.
- Strong cash flow from operations reached $45.4M, a 37% increase compared to the December 2024 quarter ($33.2M).
- Gold production was 9.0koz with an AISC of A$3,473/oz.
- Final stockpiles at Mt Colin were processed, yielding 2.6kt Cu at an AISC of A$1.64/lb, contributing to FY25 production of 5.5kt Cu and 4koz Au.
- Aeris remains on track to meet its group copper equivalent production guidance.
- Tritton Operations saw improved production of 4.3kt Cu at an AISC of A$6.16/lb.
- An updated Mineral Resource Estimate (MRE) at Constellation showed a material increase in contained copper metal by 24% and contained gold metal by 29%.
- Cracow Operations produced 9.0koz of gold at an AISC of $3,473/oz.
- Mt Colin operations moved into care and maintenance after processing final stockpiles.
- Jaguar Operations remain in care and maintenance, with restart studies advancing to feasibility level.
- Stockman Project is undergoing detailed Albion leach metallurgical test work, expected to be completed in Q4.
- The company's debt position remained unchanged with $40 million drawn on the WHSP facility, and the ANZ guarantee facility was extended to July 31, 2025.
- The process to refinance the company's facilities is nearing completion.
Sentiment
Score: 7
Explanation: The report highlights positive operational improvements and strong cash flow, but also acknowledges some production challenges and delays. The overall sentiment is moderately positive.
Highlights
- Group copper equivalent production increased to 10.7kt for the quarter, with an improved AISC of A$4.91/lb Cu eq.
- Cash and receivables totaled $33.6M at the end of the quarter.
- Cash flow from operations increased by 37% to $45.4M compared to the previous quarter.
- Mt Colin's final stockpiles were processed, producing 2.6kt Cu at an AISC of A$1.64/lb.
- The Constellation deposit's updated MRE showed a 24% increase in contained copper metal and a 29% increase in contained gold metal.
- The ANZ guarantee facility was extended to July 31, 2025.
Positives
- Increased group copper equivalent production and improved AISC.
- Strong cash flow from operations.
- Successful processing of final stockpiles at Mt Colin.
- Material increase in copper and gold at Constellation.
- Cracow generating free cash flow significantly above budget at current gold prices.
- Tritton's mining improvement project is delivering increased development, backfill and diamond drilling rates.
- Metallurgical recovery at the Tritton processing plant was above plan at 95.7%.
Negatives
- Gold production at Cracow was slightly lower than planned.
- A paste pump failure at Budgerygar impacted underground ore production at Tritton.
- Ramp up to full production at Murrawombie Pit was slower than expected due to contractor issues.
- Jaguar Operations remain in care and maintenance, incurring costs of $2.9 million.
Risks
- Variability in mined stope grades at Cracow impacted production.
- Disruptions to flights caused by Cyclone Alfred impacted mining activities at Cracow.
- Potential delays in obtaining the Mining Lease for Constellation.
- Dependence on contractor performance for Murrawombie Pit operations.
Future Outlook
Aeris remains on track for group copper equivalent production guidance. Production is forecast to improve in Q4 at Cracow. The feasibility study for Constellation is expected to be complete in Q2 FY26. The Mining Lease for Constellation is expected within CY25.
Industry Context
This announcement reflects the ongoing activities of a mid-tier base and precious metals producer, focusing on operational improvements, project development, and exploration to sustain and grow production. The company's focus on copper and gold aligns with current market demand for these metals.
Comparison to Industry Standards
- It is difficult to compare Aeris' results to global benchmarks without specific competitor data.
- However, the reported AISC for copper production can be compared to other copper producers like Sandfire Resources or Oz Minerals (now part of BHP) to assess cost competitiveness.
- Similarly, gold production costs can be benchmarked against companies like Evolution Mining or Northern Star Resources.
Stakeholder Impact
- Shareholders: Positive due to increased production and strong cash flow.
- Employees: Potential for job security and growth with project advancements.
- Customers: Consistent supply of copper and gold.
- Suppliers: Continued business opportunities.
- Creditors: Stable financial performance reduces risk.
Next Steps
- Complete the feasibility study on an open pit and underground operation at Constellation.
- Obtain determination and granting of the Mining Lease for Constellation within CY25.
- Complete detailed Albion leach metallurgical test work at Stockman in Q4.
- Refinance the company's facilities.
- Advance restart studies to feasibility level at Jaguar Operations.
Key Dates
- August 18, 2022: Previous Constellation Mineral Resource Update announcement
- March 31, 2025: End of the reported quarter; Material Increase in Copper and Gold at Constellation announcement
- July 31, 2025: Extended expiry date of the ANZ guarantee facility
Keywords
copper, gold, production, AISC, cash flow, exploration, resources, mining, Aeris Resources
AIS
Aeris Resources Limited
ASX
Sector: Materials
Filings with Classifications
Capital raise
7 May 2025 7:31 PM
Market Announcement
- The announcement concerns a capital raising by Aeris Resources Limited.
Delay expected
27 April 2025 7:52 PM
Quarterly Report
- Underground ore production was impacted by delays to stope filling at Budgerygar due to a failure of the newly commissioned paste pump.
- Ramp up to full production at Murrawombie Pit was slower than expected due to the contractor having difficulty securing skilled operators.
Better than expected
30 March 2025 7:12 PM
Mineral Resource Update
- The document contains better than expected results due to the significant increase in copper and gold resources at the Constellation deposit, with a substantial upgrade to the Indicated Mineral Resource.
Better than expected
26 February 2025 5:48 PM
Half-Year Results
- The company's financial results for HY25 are significantly better than HY24, with increased revenue, lower costs, and a substantial improvement in profitability.
Capital raise
2 February 2025 7:45 PM
Quarterly Report
- The ANZ facility was renewed to July 2025 to facilitate the refinancing process.
- The company is working to complete refinancing.
Delay expected
2 February 2025 7:45 PM
Quarterly Report
- There were delays to the paste fill plant at Budgerygar.
Delay expected
30 January 2025 6:03 PM
Quarterly Report
- The new paste fill pump and reticulation system at the Budgerygar mine was delayed due to overseas supplier issues.
Capital raise
27 November 2024 12:21 AM
Annual General Meeting Results
- The AGM approved the issuance of an additional 10% of the issued capital over a 12-month period.
Capital raise
14 November 2024 2:57 AM
Facility Extension Announcement
- The refinancing process implies the company is seeking additional capital, though the specific method is not detailed.
Better than expected
29 October 2024 6:34 PM
Quarterly Report
- Tritton and Cracow exceeded production expectations, resulting in better than expected overall production.
- The AISC was lower than expected, indicating better cost management.
Delay expected
29 October 2024 6:23 PM
Quarterly Operational Report
- The completion of mining activities at Mt Colin is now expected in late November 2024.
Better than expected
29 October 2024 6:23 PM
Quarterly Operational Report
- Copper equivalent production exceeded expectations, reaching 10.2kt for the quarter.
- All-in sustaining costs (AISC) were lower than anticipated at A$5.32/lb.
Better than expected
24 October 2024 10:55 PM
Annual Report
- Despite lower overall revenue, Aeris Resources significantly exceeded expectations for Adjusted EBITDA, demonstrating improved operational efficiency and benefiting from higher commodity prices.
Capital raise
24 October 2024 10:52 PM
Annual General Meeting Notice
- Resolution 3 proposes issuing up to an additional 10% of the issued capital over a 12-month period.
- Funds raised would be used for exploration, assessing investment opportunities, and working capital.
Delay expected
29 July 2024 11:29 PM
Company Presentation
- Mt Colin's copper production was below guidance due to limited toll processing availability, indicating a delay in processing mined ore.
Delay expected
29 July 2024 7:52 PM
Quarterly Activities Report
- Mining activities at Mt Colin are now expected to continue until early Q2 FY25, which is later than the previously expected late Q4 FY24.
Delay expected
17 July 2024 11:02 PM
Presentation
- Delays in toll processing for Mt Colin have resulted in a significant buildup of ore stockpiles.
Worse than expected
10 July 2024 7:20 PM
Missing type for ID: 3564
- ASX:AIS announces worse than expected results.
Better than expected
10 July 2024 7:20 PM
Missing type for ID: 3564
- ASX:AIS announces better than expected results.
Better than expected
3 July 2024 7:39 PM
Metallurgical Testwork Results
- The metal recoveries are better than the original conventional flotation flowsheet.
Worse than expected
2 July 2024 6:21 PM
Exploration Update
- The DHEM results suggest that the targeted copper lodes are deeper than initially anticipated, which could increase exploration costs and delay potential production.
Delay expected
16 June 2024 7:22 PM
Group Mineral Resource and Ore Reserve Statement
- The Jaguar Ore Reserve has not been updated since the previous reporting period (end December 2022).
Worse than expected
16 June 2024 7:22 PM
Group Mineral Resource and Ore Reserve Statement
- The document contains worse than expected results due to the overall decrease in Group Ore Reserve tonnage.
Better than expected
7 May 2024 6:22 PM
Exploration Update
- The new IP anomaly is larger than the one associated with the existing Canbelego Main Lode, suggesting the potential for a larger copper deposit.
Worse than expected
29 April 2024 8:01 PM
Quarterly Report
- Tritton's metal production was impacted by labour and equipment availability, leading to lower than expected output.
Delay expected
29 April 2024 7:04 PM
Quarterly Activities Report
- Mt Colin toll processing and copper production are behind schedule.
- Due to reduced processing runs through the year, copper production is forecast to be below guidance for FY24 at Mt Colin.
Better than expected
8 April 2024 7:05 PM
Exploration Update
- The document contains better than expected results because new geophysical surveys have identified significant new copper targets in close proximity to known, high-grade copper mineralisation at the Canbelego deposit.
Disclaimer: This summary was generated by artificial intelligence and its accuracy is not guaranteed. The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.