Key Highlights
- Q2 Production: Capricorn Metals (Capricorn) produced 28,702 ounces of gold at its Karlawinda Gold Project (KGP) in the December 2024 quarter.
- Half-Year Performance: Total production for the first half of FY25 is 54,261 ounces, exceeding the budgeted target and positioning Capricorn to meet its FY25 guidance of 110,000 to 120,000 ounces.
- AISC Guidance: The All-in Sustaining Costs (AISC) for FY25 remain on track, expected to fall within the $1,370 to $1,470 per ounce range.
Operational Performance
- Gold Recovery: Recovery rates for Q2 continued strong at 92%, in line with expectations.
- Bibra Pit: Ongoing focus on material movement from the Bibra open pit has ensured the pit face positions are aligned with the company’s mining plans. As a result, the Bibra pit is well-positioned for a higher production period in H2 FY25.
- Southern Corridor: Pre-stripping activities for the Southern Corridor extension of Bibra have commenced, further reinforcing the mine’s long-term outlook.
Financial and Capital Update
- Cash & Gold on Hand: Capricorn’s cash and gold at the end of Q2 stood at $363.1 million, an increase from $144.6 million in Q1, driven by a strong cash build from operations of $31.2 million for the quarter.
- Capital Expenditure: The company spent $6.0 million on development activities at the Mt Gibson Gold Project (MGGP) during the quarter, with the focus on the 400-room accommodation village. To date, $29.9 million has been spent on these early-stage works.
Strategic Developments at MGGP & KEP
- Mt Gibson Gold Project:
- Accommodation Village: Installation of the 400-room accommodation village is nearing completion, with partial occupation beginning in Q2 and full completion expected in Q3 FY25.
- Process Plant Design: The Process Plant Design contract was awarded to CPC Engineering, with work already underway.
- Environmental Approvals: The Public Environmental Report (PER) for MGGP was submitted to the Department of Climate Change, Energy, the Environment and Water (DCCEEW) in accordance with regulatory guidelines.
- Karlawinda Exploration Project (KEP):
- Plant Design Contract: The Plant Design contract was awarded to MACA Interquip Mintrex Engineering (MIQM), with procurement and design works now underway.
- Tailings Storage Facility: Progress on TSF design and permitting has advanced as planned.
Outlook
With strong operational performance and a solid financial position, Capricorn Metals is on track to meet its FY25 guidance and continues to progress its development activities at the Mt Gibson and Karlawinda projects, positioning the company for sustainable growth and long-term success.
