Mandilla PFS Targets 1.4Moz Gold with A$1.4B NPV and Rapid Payback
Astral Resources has released a compelling Pre-Feasibility Study for its Mandilla Gold Project, targeting 1.4 million ounces over 19 years with strong financial metrics. The company also advances exploration across its Western Australian assets and integrates Maximus Resources into its portfolio.
- Mandilla PFS confirms 1.4 million ounce gold production target over 19 years
- Pre-tax NPV8 of approximately A$1.4 billion at A$4,250/oz gold price
- Maiden Probable Ore Reserve of 1.1 million ounces across Mandilla and Feysville
- High gold recoveries demonstrated in maiden metallurgical tests at Feysville
- Acquisition of Maximus Resources completed, boosting exploration and development
Mandilla PFS Highlights a Strong Development Opportunity
Astral Resources has delivered a robust Pre-Feasibility Study (PFS) for its flagship Mandilla Gold Project in Western Australia, confirming the project as a large-scale, high-quality development prospect. The study outlines a production target of 1.4 million ounces of gold over a 19-year life of mine, with 13 years of active mining. The project is modelled at an all-in sustaining cost of approximately A$2,085 per ounce, underpinned by a base case gold price of A$4,250 per ounce.
Financially, the PFS forecasts revenue of around A$6 billion and pre-tax free cash flow exceeding A$2.8 billion, delivering a pre-tax net present value (NPV8) of about A$1.4 billion and an internal rate of return (IRR) of 101%. Notably, the project promises a rapid payback period of less than one year, underscoring its economic viability.
Resource and Reserve Upgrades Across Key Projects
Alongside the PFS, Astral updated its Mineral Resource and Ore Reserve estimates. The Mandilla Gold Project now hosts a JORC 2012 Mineral Resource Estimate of 42 million tonnes at 1.1 grams per tonne gold, equating to 1.43 million ounces. The maiden Probable Ore Reserve stands at 36.6 million tonnes at 0.9 grams per tonne, containing approximately 1.1 million ounces of gold, inclusive of Feysville’s contribution.
Additional exploration success was reported at the Feysville and Spargoville projects, with maiden metallurgical testing at Feysville demonstrating exceptional gold recoveries exceeding 98% in some tests using the same low-cost processing route proposed for Mandilla. Spargoville’s Mineral Resource Estimate was also updated to 3 million tonnes at 1.4 grams per tonne for 139,000 ounces.
Active Drilling and Exploration Programs Drive Growth
The quarter saw significant drilling activity, including nearly 4,000 metres of reverse circulation drilling at Mandilla focused on infill and extensional targets, and nearly 3,000 metres at Feysville completing the final holes of a 41-hole program. Assay results from these programs are pending, with expectations to further convert inferred resources to indicated categories and expand mineralisation footprints.
At Spargoville, a 90-hole RC drilling program is underway to test greenfields targets and extensions to known mineralisation, with plans to follow up with joint venture drilling. The company also plans to continue metallurgical testing, permitting, and water sourcing studies as it progresses towards a Definitive Feasibility Study (DFS) targeted for completion by June 2026.
Strategic Acquisition and Financial Position
In May 2025, Astral completed the acquisition of Maximus Resources Limited, expanding its asset base and exploration footprint, particularly in lithium exploration through the Lefroy tenements. The company ended the quarter with approximately A$18.6 million in cash, supporting ongoing exploration and development activities. Discussions with debt advisory groups are underway to secure project financing ahead of the DFS and Final Investment Decision planned for September 2026.
Overall, Astral Resources is positioning itself strongly in the Western Australian gold sector, leveraging a combination of robust project economics, resource growth, and strategic acquisitions to underpin its development ambitions.
Bottom Line?
With a strong PFS foundation and active exploration, Astral Resources is poised for critical milestones ahead, but upcoming assay results and financing will be key to watch.
Questions in the middle?
- How will pending assay results from Mandilla’s recent drilling impact resource confidence and project economics?
- What are the timelines and prospects for securing financing to advance the Definitive Feasibility Study and construction?
- How will the integration of Maximus Resources and its lithium assets influence Astral’s strategic direction beyond gold?