Northern Star Resources finished the September 2023 quarter well positioned to deliver its 2024 financial year (FY24) guidance, which is 1.6–1.75 million ounces (oz) of gold sold at an all-in-sustaining cost (AISC) of $1730–1790 per ounce.
Operational highlights included recording a lost time injury frequency rate of 0.8 injuries per million hours worked.
“During the quarter we safely and successfully completed major planned shutdowns at our three production centres. This provides a clear pathway for the company to achieve its full-year guidance, which as previously flagged is 2H (second half) weighted,” Northern Star managing director Stuart Tonkin said.
Gold sales were high, with 369,000 ounces being sold at an AISC of $1939/oz and an all-in cost of $2748/oz.
Enabling works commenced for the KCGM (Kalgoorlie Consolidated Gold Mines) mill expansion during the quarter, and the Thunderbox operations in WA achieved a record 5.5-million-tonnes-per-annum (Mtpa) annualised rate.
“The Thunderbox mill continued to ramp-up towards its 6Mtpa nameplate capacity, achieving record production performance. Offsetting this during the quarter, Jundee experienced unplanned crushing circuit downtime resulting in lower mill throughput,” Tonkin said.
“For KCGM, it was a transitional quarter as mining activity prepares to access higher grade material at Golden Pike North while processing focus remains on throughput and blend of available ore sources.
“Northern Star generated solid quarterly underlying free cash flow from our operations as our recently expanded production centres – Yandal and Pogo – offset KCGM, where we have begun mill expansion capital works. Our focus remains steadfast on operational excellence to maximise free cash generation.”
Northern Star ended the September with net cash totalling $285 million, along with about $1.1 billion in cash and bullion, and $2.2 billion of liquidity.
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