Larvotto Resources delivers a robust Definitive Feasibility Study for its Hillgrove Antimony-Gold Project, backed by $165 million in fresh funding and regulatory approvals, targeting production in Q2 2026.
- Definitive Feasibility Study shows $694M NPV at mid-price scenario
- 8-year mine life with 11-month payback period
- Secured US$105M senior secured bonds and AU$60M equity raising post-quarter
- Formal NSW government approval for mining and processing activities
- Maiden tungsten resource discovered, adding strategic value
A Definitive Step Forward for Hillgrove
Larvotto Resources Limited has taken a significant stride in advancing its Hillgrove Antimony-Gold Project in New South Wales, unveiling a Definitive Feasibility Study (DFS) that paints a compelling economic picture. The study outlines an initial eight-year mine life, with a net present value (NPV) of $694 million under a mid-range commodity price scenario, and an impressively short payback period of just 11 months post-production start.
These figures underscore Hillgrove’s potential as a high-margin, strategically important project, particularly given its position as one of the few near-term antimony developments in the Western world. The DFS envisages an upgraded processing plant with a capacity of 525,000 tonnes per annum, producing gold and antimony concentrates alongside gold doré.
Funding and Approvals – Clearing the Path to Production
Backing the DFS, Larvotto has successfully completed a US$105 million senior secured bond issue and secured firm commitments for an AU$60 million equity raising, supplemented by a AU$5 million Share Purchase Plan. These capital injections provide a robust financial foundation, with the company reporting a cash position of $26.6 million at quarter-end.
Regulatory progress has been equally encouraging. The NSW Department of Planning, Housing and Infrastructure granted formal approval for mining and processing activities under DA98/35-Mod-6, clearing a critical hurdle for the project’s scheduled production commencement in the second quarter of 2026.
Exploration Upside and New Resources
Beyond the DFS, Larvotto’s ongoing exploration efforts continue to yield promising results. Drilling at the Eleanora-Garibaldi and Golden Gate prospects has intersected thick, high-grade gold and antimony mineralisation, reinforcing the potential to extend mine life and increase reserves.
Notably, the company announced a maiden tungsten Mineral Resource Estimate totaling 4,774 tonnes of tungsten trioxide (WO₃), a critical mineral with rising global demand. While tungsten was not included in the DFS economic evaluation, its presence adds a valuable dimension to Hillgrove’s resource base and future revenue streams.
Operational Readiness and Community Engagement
Larvotto has already ordered long lead-time process plant equipment to mitigate supply chain risks and maintain the project timeline. The company also opened the Hillgrove Hub in Armidale, a dedicated community engagement centre aimed at fostering strong local relationships and supporting regional development.
With four diamond drill rigs active on site and plans to expand exploration, Larvotto is positioning Hillgrove not only as a mining operation but as a strategic supplier of critical minerals, including antimony, gold, and potentially tungsten.
Financial Discipline and Future Outlook
Larvotto’s June quarter cash flow report reveals disciplined capital deployment, with $4 million used in operating activities and $4 million in investing activities, balanced by modest financing inflows. The company maintains a strong balance sheet to support upcoming site works, operational team recruitment, and continued exploration.
As Hillgrove moves toward production, Larvotto’s strategic decisions, such as transitioning to a dry stack tailings system, reflect a commitment to environmental stewardship alongside economic performance.
Bottom Line?
With strong DFS results, secured funding, and regulatory green lights, Larvotto is poised to transform Hillgrove into a critical mineral hub by mid-2026.
Questions in the middle?
- How will tungsten recovery be integrated into Hillgrove’s processing and economics?
- What are the risks and timelines associated with the remaining environmental approvals?
- How sensitive is the project’s valuation to fluctuations in antimony and gold prices?