Aurelia Metals Posts 69% EBITDA Surge to $121.9M, Advances Great Cobar

• 69% increase in EBITDA to $121.9 million
• Net profit after tax of $48.9 million, reversing prior year loss
• Federation Mine ramp-up progressing as planned
• Great Cobar Project approved and development underway
• Strong balance sheet with $110.1 million cash and no debt

Financial Turnaround and Operational Excellence

Aurelia Metals Limited (ASX, AMI) has delivered a striking financial recovery for the full year ended 30 June 2025. The company reported a 69% increase in EBITDA to $121.9 million and a net profit after tax of $48.9 million, a sharp reversal from a $5.7 million loss in FY24. This performance was underpinned by improved operational efficiencies at the Peak Mine and the successful ramp-up of the Federation Mine.

Operational cash flows rose 29% to $129.7 million, supporting all growth capital expenditures and leaving Aurelia with a robust cash balance of $110.1 million and no drawn debt. The company’s focus on safety also yielded results, with a 54% reduction in total recordable injury frequency rate and zero reportable environmental incidents.

Federation Ramp-Up and Peak Mine Efficiency

The Federation Mine, which commenced stoping during FY25, contributed 106,000 tonnes of ore mined and is on track to become a commercial operation from 1 July 2025. This ramp-up is expected to progressively enhance free cash flow in FY26 as mining rates increase and unit costs decline. Meanwhile, the Peak Mine set multiple monthly development records, increasing underground development metres to 3,555 and processing 631,000 tonnes of ore, a 10% increase from the prior year.

Improvements in the zinc circuit at Peak boosted zinc recovery rates to nearly 80%, and the company is targeting further processing plant optimisations to handle increased throughput and improve metal recoveries.

Growth Projects and Strategic Outlook

Aurelia is advancing its Great Cobar Project, which received board approval in April 2025. The project involves underground development to access a high-grade copper deposit, with an initial mining inventory expected to deliver 77,000 tonnes of copper, 84,000 ounces of gold, and 505,000 ounces of silver over eight years. The project’s net present value (NPV) stands at $51 million on conservative assumptions, rising to $164 million at recent spot prices.

Complementing Great Cobar, the company is executing three key processing plant optimisation projects with a combined capital cost of $16.4 million. These include a tertiary ball mill, crushing and materials handling upgrades, and a tailings and process water management project designed to increase copper and zinc recoveries by 2.5% while reducing cyanide consumption.

These initiatives are integral to Aurelia’s ambition to reach 40,000 tonnes of copper equivalent production by FY28, positioning the company as a significant base metals producer in the Cobar Basin.

Financial Strength and Future Prospects

With a strong balance sheet, no debt drawn on a $23.6 million undrawn loan facility, and operational cash flows funding growth, Aurelia is well-positioned to execute its development and exploration programs. The company’s exploration success, particularly at Federation West, signals potential for further resource expansion and value creation.

Managing Director Bryan Quinn emphasised the company’s commitment to safety, operational excellence, and shareholder value, highlighting the strategic alignment of its projects with critical base metals that power the future.

Bottom Line?

Aurelia’s FY25 results mark a decisive step towards growth, but execution on development projects and exploration will be critical to sustaining momentum.

Questions in the middle?

• How will commodity price fluctuations impact the economics of Great Cobar and processing upgrades?
• What is the timeline and risk profile for achieving the 40kt copper equivalent production target by FY28?
• How might exploration results at Federation West and Great Cobar influence mine life and resource estimates?