Final Milling 60,000 Tonnes of Jeffreys Find Ore Commenced
Summary
- Auric Mining Limited has commenced processing the last parcel of Jeffreys Find ore at the Three Mile Hill Mill.
- This final milling campaign targets the sale of 2,750 ounces of gold.
- Auric has invoiced BML Ventures $3.6 million as a further interim cash surplus distribution, expected to be paid in July and August.
- The processing of approximately 60,000 tonnes of ore is expected to be completed in about three weeks.
- Total ounces mined and sold from Jeffreys Find are projected to exceed 30,000 ounces.
- Auric expects to receive between $4.0 million to $4.5 million as its final share of surplus cash from this campaign.
- The total surplus cash generated from the project is estimated to be between $7.5 million and $9.0 million.
- In total, Auric anticipates banking more than $17 million from its profit share of the Jeffreys Find mining joint venture.
- These additional funds will primarily be used to support operations already underway at the Munda Gold Mine.
Sentiment
Score: 9
Explanation: The document conveys a highly positive sentiment, highlighting significant financial success, a 'game changer' project, and strong future funding for new operations, indicating excellent performance and outlook.
Positives
- The commencement of the final processing campaign signifies the nearing completion of a successful project phase.
- The target of 2,750 ounces from this campaign is considered an impressive result.
- The project is expected to deliver a 'bumper final payday' for Auric, with most mining costs already paid.
- Auric anticipates receiving around $4.0 million to $4.5 million as its share of surplus cash from this final campaign.
- The total profit share of more than $17 million from Jeffreys Find is described as a 'game changer' for Auric.
- The significant cash inflow enables Auric to transition to becoming a gold producer in its own right.
- The additional funds will be used to support operations and development costs at the Munda Gold Mine.
Future Outlook
Auric Mining plans to utilize the significant cash proceeds from the Jeffreys Find Project to fund mining and other development costs at its Munda Gold Mine, supporting its transition to becoming an independent gold producer.
Management Comments
- Managing Director, Mark English, stated that they expect processing of the last ore from Jeffreys Find Project to be completed at the Three Mile Hill Mill in around three weeks time.
- Mr. English commented that the target of 2,750 ounces would be an impressive result, seeing total ounces mined and sold from Jeffreys Find exceeding 30,000 ounces.
- He also noted that this will be a 'bumper final payday' from the Project, particularly as most mining costs have already been paid.
- Mr. English expects Auric will receive around $4.0 million as their share of surplus cash from this campaign.
- He emphasized that banking more than $17 million in total from Jeffreys Find has been a 'game changer' for Auric as they transition to becoming a gold producer.
- Mr. English confirmed that these additional funds will principally be used to support the operations already underway at Munda.
Industry Context
This announcement highlights a successful joint venture model in the gold mining sector, where Auric Mining, as a project partner, is realizing substantial cash flow from a toll milling operation. The focus on transitioning to an independent gold producer and funding future projects like Munda aligns with broader industry trends of companies leveraging successful initial projects to self-fund growth and expand their operational footprint.
Stakeholder Impact
- Shareholders are positively impacted by the substantial cash distributions and the company's strengthened financial position, which supports future growth and value creation.
- Employees benefit from the continued operations and development at Munda, ensuring job security and potential expansion.
- Creditors may view Auric Mining as a more financially stable entity due to the significant cash inflows.
Next Steps
- Completion of processing the final 60,000 tonnes of ore at Three Mile Hill Mill in approximately three weeks.
- Sale of the targeted 2,750 ounces of gold from the final milling campaign.
- Receipt of the $3.6 million interim cash surplus distribution from BML Ventures in July and August.
- Completion of final accounting and cash distribution for the Jeffreys Find Project by October 2025.
- Utilization of additional funds to support mining and development costs at the Munda Gold Mine.
Key Dates
- 30 June 2025: More than 52,000 tonnes of Jeffreys Find ore was already at the Three Mile Hill Mill.
- 9 July 2025: Processing commenced at Three Mile Hill Mill for the last parcel of Jeffreys Find ore, and the announcement was made.
- July 2025: The first part of the $3.6 million interim cash surplus distribution from BML Ventures to Auric is expected to be paid.
- August 2025: The second part of the $3.6 million interim cash surplus distribution from BML Ventures to Auric is expected to be paid.
- October 2025: Final accounting and cash distribution from the Jeffreys Find Project are expected to be completed.
Keywords
Filings with Classifications
Investor Presentation
- The Jeffreys Find Gold Mine has significantly exceeded expectations by generating over $120 million in gold sales with a low acquisition and development cost of approximately $1.5 million.
- The estimated final cash distribution to Auric from Jeffreys Find of $11.5 million to $12.5 million is a strong financial outcome.
- The company's proforma financial estimates for FY2025 show substantial growth in total revenue to $24 million and net profit before tax to $13 million, indicating a very positive outlook.
Operational Update
- The project is expected to yield a 'bumper final payday' with Auric anticipating around $4.0 million from this campaign.
- Auric expects to bank more than $17 million in total from its profit share, described as a 'game changer' for the company.
- The target of 2,750 ounces from the final campaign is considered an 'impressive result'.
Commercial Agreement Announcement
- The execution of the toll milling and ore purchase agreement is a significant positive step, enabling the company to monetize gold from the Starter Pit and generate substantial cash flow.
Acquisition Update
- The Wardens Court hearing, originally due on 4 July 2025, has been further adjourned to 1 August 2025, delaying the resolution of a key condition precedent for the acquisition.
Acquisition Update
- The Wardens Court hearing, which is a condition precedent for the acquisition, was further adjourned from 4 July 2025 to 1 August 2025, indicating a delay in the acquisition process.
Annual General Meeting Presentation
- Net Profit Before Tax increased by a significant 212% from FY 2023 to FY 2024.
- Total Revenue grew by a substantial 76% in FY 2024.
- The Jeffreys Find Mine is projected to yield over $15 million in cash returns from a $1.5 million investment, indicating exceptional profitability.
- Total Assets and Net Current Assets also showed strong growth of 62% and 135% respectively.
Capital Raise Presentation
- The document is a capital raise presentation.
- The total allocation of the capital raising is $6,660,000.
- The funds are intended for the Burbanks Gold Facility and Lindsays Project.
Trading Halt Request
- Auric Mining is planning a capital raising.
- The details of the capital raising will be announced after the trading halt is lifted.
Legal Update
- The company is facing legal action, which introduces uncertainty and potential financial strain.
Annual Report
- The company's net profit before tax increased by over 300% compared to the previous year, indicating a significant improvement in financial performance.
Notice of Annual General Meeting
- The company is seeking approval for a 7.1A mandate, allowing it to issue up to 10% of its issued capital without further shareholder approval.
- Funds raised from the 7.1A Mandate will be used for acquisitions, exploration, development, and working capital.
Project Update
- The due diligence period for the Lindsays Gold Project has been extended.
Annual Report
- The company's net profit before tax increased by 212% compared to the previous year, indicating a significant improvement in profitability.
- Total revenue increased by 76%, demonstrating strong growth in sales.
- Adjusted net profit before tax increased by 101%, reflecting improved operational efficiency.
Corporate Presentation
- Stage Two gold production at Jeffreys Find has surpassed $100 million in revenue, exceeding initial expectations.
Announcement
- The settlement date will be changed to a date yet to be agreed, indicating a delay in the original timeline.
Operational Update
- The gold sales exceeded $100 million, surpassing initial expectations.
- The average gold price achieved was significantly higher than the initial estimate of A$2,600 per ounce.
Announcement
- The due diligence timeframe for the exclusive right to purchase the Burbanks Plant has been extended.
Quarterly Activities Report
- The company exceeded expectations with gold sales of $58.7 million at an average price of $3,952 per ounce.
- The Munda project has progressed faster than expected with the definition of an Ore Reserve and a clear path to mining.
- The acquisition of the Burbanks Mill at a discounted price is a positive development.
Quarterly Report
- The company reported a positive operating cash flow, which is better than many exploration companies that often report negative cash flow.
Production Update
- The company has exceeded expectations in terms of gold sales and ore processing compared to Stage One.
- The average gold price achieved is higher than previous sales, leading to increased revenue.
- The company has received significant interim cash distributions, indicating strong financial performance.
Operational Update
- The company's gold sales for 2024 have exceeded the previous year's total, indicating better than expected performance.
Acquisition Announcement
- The acquisition price is a substantial discount to current and replacement values.
- The acquisition will enable Auric to process its own ore, reducing reliance on third-party toll milling.
- The potential to upgrade the plant's capacity offers significant growth opportunities.
Clarification Announcement and Pre-Feasibility Study
- The upfront project capital cost for the starter pit is $6.5M.
- Any delay to the treatment of ore via toll milling leads to a requirement for working capital of $8.3M, including a 35% contingency.
Resource Update
- The updated resource estimate shows a slight reduction in grade compared to the previous estimate.
Capital Raise Announcement
- Auric Mining Limited is raising AUD 45,000 through the issue of 300,000 ordinary shares at AUD 0.15 per share.
Exploration Update
- The results are worse than expected due to the high AISC of $2,635 per ounce compared to industry averages, a lower than average gold recovery rate, and a very short mine life for the Starter Pit.
Exploration Update
- Any delay to the treatment of ore via toll milling leads to a requirement for working capital, including a 35% contingency, $8.3M.
Exploration Update
- The updated resource estimate shows a slight reduction in estimated gold grade compared to the previous estimate from January 2022.
Operational Update
- Heavy rain has slowed down the haulage of ore to the Three Mile Hill Plant, potentially impacting the overall processing timeline.
Exploration Update
- The drilling results exceeded expectations, revealing high-grade gold intercepts at the Fugitive Prospect and opening a new exploration target at Anomaly 37.
Quarterly Report
- The Munda Gold Project's timeline has been delayed due to DEMIRS requiring a Mining Proposal for a larger area than initially planned.
Quarterly Report
- The Jeffreys Find gold mine's second processing campaign exceeded expectations, generating significantly higher revenue than anticipated.
Operational Update
- The securing of a toll milling agreement with Focus Minerals for a significant amount of ore surpasses previous expectations and ensures expedited cash flow for Auric.
Half Year Financial Report
- Auric Mining reported a net profit for the half-year, a significant improvement from the previous year's loss, exceeding expectations given the previous year's performance.
Exploration Update
- The aircore drilling results exceeded expectations by confirming high-grade gold intersections at the Fugitive Prospect and identifying additional promising targets at the Anomaly 37 Prospect.
Quarterly Cash Flow Report
- The document includes questions about the entity's plans to raise further cash to fund its operations if it has less than 2 quarters of funding available.
- This suggests a potential need for a capital raise in the future.
Quarterly Cash Flow Report
- The company's net cash from operating activities was negative, indicating it spent more than it earned from operations.
- The company has negative cash available for future operating activities, suggesting potential funding challenges.
Production Update
- The company expects cash surpluses well in excess of what they had budgeted and anticipated due to the increasing gold price.
Missing type for ID: 5160
- ASX:AWJ announces better than expected results.
Production Update
- The average selling price of gold was $543 per ounce better than last year.
Quarterly Activities Report
- The company is targeting to mine 300,000 tonnes of ore in 2024, significantly more than the 176,000 tonnes processed in 2023.
Notice of Annual General Meeting
- The company is seeking approval for a 7.1A mandate, which would allow it to issue up to an additional 10% of its issued capital without further shareholder approval.
- The funds raised from these equity securities would be used for various purposes, including acquisitions, exploration, development, and working capital.
Annual Report
- The company reported a profit after income tax expense for the year attributable to the owners of Auric Mining Limited of $1,313,644 compared to a loss of $1,106,692 in the prior year.
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.