Perth, March 2025 – Ramelius Resources (ASX: RMS) has unveiled an expanded 17-year mine plan for its Mt Magnet gold operations, boosting total gold production to 2.1 million ounces (Moz), a 37% increase from 2024. With a strong financial outlook and ongoing exploration, the company is poised for sustained long-term growth.
Key Highlights
- 17-year mine plan at Mt Magnet, targeting 2.1Moz of gold production.
- All-in sustaining costs (AISC) of A$1,500–1,700/oz for the first 2.5 years, with a 10-year average of A$1,750–1,950/oz.
- Projected pre-tax cash flow of A$2.5B at A$3,500/oz gold and up to A$4.3B at A$4,500/oz gold.
- Group-wide mine plan forecasts 2.6Moz production over the next decade.
- Strong balance sheet: A$501.7M in cash & gold (Dec 2024), with an expected A$270M in free cash flow in H2 FY25 (at A$4,000/oz gold).
Major Developments: The Eridanus Pit Cutback
The Eridanus deposit is now planned as an open-pit operation rather than an underground mine, boosting reserves to 680koz, more than double the previous 280koz estimate.
- Open-pit Ore Reserve: 18Mt at 1.2g/t for 680koz.
- Life-of-Mine AISC: A$1,918/oz (at A$3,500/oz gold).
- Capital Costs: A$15M up-front, with A$336M in pre-production costs.
- Open pit mining to begin in April 2026, with underground potential still being assessed.
Mt Magnet Mill Expansion: A$95M Upgrade to 3Mtpa
Ramelius is planning a A$95M mill expansion to increase processing capacity from 2Mtpa to 3Mtpa.
- Includes a new crusher, SAG mill, ball mill, and additional leach tanks.
- Processing costs to drop 15%, from A$28.17/t (FY24) to A$21.42/t (FY28).
- Green energy transition: Shift to a 32MW hybrid solar, battery & wind system is progressing.
- Investment decision expected in September 2025, with construction targeted for late 2026.
Long-Term Growth and Strong Financial Outlook
Ramelius’ consolidated gold production is expected to average 244,000oz per year from FY26 to FY35, with costs remaining competitive.
- Mt Magnet Mine Plan: 25Mt at 2.0g/t for 1.5Moz over the first 10.5 years.
- Rebecca-Roe Project: 25Mt at 1.4g/t for 1.1Moz.
- AISC forecast: A$2,000–2,200/oz over the next decade, with a low A$1,500–1,700/oz in the near term.
- Ore Reserves have increased significantly, with new estimates for Eridanus and Rebecca-Roe.
CEO’s Vision: Delivering on Growth and Returns
Managing Director Mark Zeptner highlighted the strong production and cash flow outlook, reinforcing Ramelius’ ability to turn plans into profits:
“Mt Magnet continues to deliver industry-leading costs, with a forecast AISC of just A$1,600/oz for the next 2.5 years. Our new mine plan, combined with the Rebecca-Roe project, pushes our annual production to 244,000oz at an AISC below A$2,100/oz.
The planned Mt Magnet mill upgrade to 3Mtpa is a game-changer, lowering processing costs by 15% while ensuring long-term efficiency and profitability. With A$4.3B in projected cash flow at A$4,500/oz gold, we are well-positioned to create value for shareholders.”
With a clear roadmap for production growth, cost efficiency, and financial strength, Ramelius remains one of Australia’s leading mid-tier gold producers.
