Emmerson’s White Devil Scoping Study Unveils Major Mine Potential with $890M NPV

• White Devil classified as a Major Mine under JV agreements
• 7-year mine life with combined open pit and underground mining
• Strong financial metrics, A$890 million pre-tax NPV8 and A$1.27 billion operating free cashflow
• Low capital expenditure due to existing Nobles CIL processing plant
• Feasibility Study underway, targeting mid-2026 development start

White Devil Confirmed as Major Mine

Emmerson Resources has released a comprehensive Scoping Study for its White Devil Gold Project in the Northern Territory, confirming the deposit as a Major Mine under its joint venture with Tennant Mining, a subsidiary of Pan African Resources. The study, based on a Mineral Resource Estimate of 4.6 million tonnes at 4.2 grams per tonne gold for 611,400 ounces, outlines a seven-year mine life combining open pit and underground operations.

The open pit component alone contains 3.2 million tonnes at 3.73 g/t gold for approximately 379,000 ounces, while the underground design adds another 1 million tonnes at 3.2 g/t gold for 100,500 ounces. Notably, 97% of the production target in the first five years is sourced from Indicated Mineral Resources, providing a solid foundation for project viability.

Robust Economics and Low Capital Intensity

The study assumes processing at the existing Nobles Carbon-in-Leach (CIL) plant, owned by Tennant Mining, which significantly reduces upfront capital requirements. The peak capital expenditure is estimated at A$32.8 million, with pre-production capital costs as low as A$11.8 million. Operating costs are competitive, with an all-in sustaining cost (AISC) of around A$2,050 per ounce, resulting in operating margins of approximately A$2,950 per ounce at a base case gold price of A$5,000 per ounce.

Financially, the project delivers a pre-tax net present value (NPV8) of A$890 million and operating free cashflow of A$1.27 billion on a 100% project basis. Even under a conservative gold price scenario of A$4,000 per ounce; more than 20% below current spot prices; the project remains economically attractive with a pre-tax NPV8 of A$583 million.

Advancing Towards Feasibility and Development

Following the positive Scoping Study outcomes, Emmerson and its JV partner have commenced Feasibility Study activities, including geotechnical drilling to refine pit wall stability assumptions. Completion of the Feasibility Study is expected in the first half of fiscal 2026, aligning with regulatory permitting timelines that could see mining approvals granted by mid-2026.

Emmerson currently holds A$6.2 million in cash and anticipates receiving approximately A$18 million in Minimum Production Payments from Tennant Mining in the second half of fiscal 2026. These funds are expected to cover Emmerson’s share of development and exploration costs, supporting the company’s confidence in funding its portion of the project.

Strategic JV Structure and Ownership

Under the JV agreements, the White Devil deposit qualifies as a Major Mine Deposit, allowing Emmerson to retain a 40% contributing interest in the project. This ownership structure is contingent on JV committee approvals and the formal transfer of the project into a Major Mine Joint Venture. The arrangement positions Emmerson to benefit significantly from the project’s development and production phases.

Outlook and Next Steps

While the Scoping Study provides a promising outlook, it remains a preliminary assessment with an accuracy range of ±35%. Further infill drilling, geotechnical studies, and permitting are critical next steps before Ore Reserves can be declared and definitive investment decisions made. Emmerson’s management emphasizes that funding is not guaranteed and may involve dilution or alternative financing strategies.

Overall, the White Devil project stands out as one of Australia’s highest-grade undeveloped open cut gold mines, with strong financial metrics and a clear pathway toward development. The coming months will be pivotal as feasibility studies progress and the JV partners navigate funding and regulatory milestones.

Bottom Line?

White Devil’s strong Scoping Study results set the stage for a major gold development, but funding and permitting hurdles remain ahead.

Questions in the middle?

• Will Emmerson and Tennant Mining secure the necessary funding on favourable terms to advance development?
• How will upcoming infill drilling results impact the Mineral Resource classification and project economics?
• What are the key geotechnical risks that could affect pit design and capital costs in the Feasibility Study?