Savannah Goldfields Limited is poised to restart gold production in 2025 at its Georgetown and Agate Creek sites, backed by solid ore reserves and ambitious exploration plans to extend mine life.
- JORC Ore Reserve of 36,800 oz Au and Mineral Resource of 541,000 oz Au
- Georgetown Gold Processing Plant restart planned for 2025
- Exploration targets aim to extend mine life and increase production
- Growth initiatives include sulphide circuit development and standalone Agate Creek plant
- Environmental approvals and management appointments support operational restart
Restarting Gold Production in Far North Queensland
Savannah Goldfields Limited (ASX, SVG) has announced plans to recommence gold production in 2025, leveraging its existing infrastructure at the Georgetown Gold Processing Plant (GGPP) and the Agate Creek Gold Mine. This move marks a significant step for the company as it seeks to capitalise on its substantial mineral resources and ore reserves in a region known for its rich, yet underexplored, gold deposits.
The company holds a JORC-compliant Ore Reserve of 36,800 ounces of gold at Agate Creek, supported by a broader Mineral Resource base of approximately 541,000 ounces. These figures provide a solid foundation for the initial production phase, with the Agate Creek Ore Reserve expected to sustain over two years of plant feed. Savannah’s strategy includes processing around 13,000 tonnes from existing stockpiles and mining approximately 18,000 tonnes from the Big Reef deposit, subject to environmental approvals.
Exploration and Growth Prospects
Beyond the immediate restart, Savannah is actively pursuing exploration targets designed to extend the life of the Georgetown processing plant and increase overall production. The company has identified multiple promising targets, including Red Dam, Electric Light, Jubilee Plunger, Big Reef, and Phily’s, with exploration drilling programs scheduled for 2025. These targets represent potential extensions of known mineralisation zones, with conceptual gold quantities ranging from 69,000 to 303,000 ounces.
Growth initiatives are ambitious and multifaceted. Savannah is evaluating the development of a sulphide processing circuit adjacent to the existing CIP plant to recover gold concentrates, a move that could unlock additional value from sulphide ores. Concurrently, the company is exploring the potential for a standalone gold processing plant at Agate Creek, which could tap into a large surrounding mineralised halo containing over 422,000 ounces of gold.
Operational and Corporate Foundations
Operational readiness is supported by recent management appointments, including a new CEO, exploration manager, and environmental manager, underscoring Savannah’s commitment to a structured and compliant restart. The company is also progressing environmental authority applications critical to resuming mining and processing activities, with approvals expected in early 2026.
Strategically, Savannah is positioning the Georgetown plant as a regional hub within a 'hub and spoke' model, capitalising on its unique status as the only gold processing facility within 400 kilometres. This opens opportunities for toll processing third-party material, potentially enhancing throughput and revenue streams.
Financial and Market Context
As of August 2025, Savannah’s market capitalisation stands at approximately A$20.6 million, with a share price near A$0.018. The company holds convertible notes maturing in late 2025, with provisions for extension and conversion into shares, a factor investors will watch closely given its potential impact on capital structure and dilution.
While the restart and growth plans are promising, Savannah’s outlook is tempered by typical mining sector risks, including the need for additional funding, exploration uncertainties, operational challenges, and regulatory compliance. The company also maintains a 5.2% stake in Clara Resources Australia Ltd, adding a layer of diversification through exposure to coal and other minerals.
Bottom Line?
Savannah Goldfields’ 2025 production restart is a pivotal moment, but its success hinges on exploration outcomes and regulatory approvals that will shape its growth trajectory.
Questions in the middle?
- Will environmental authorities approve processing of Big Reef material and Agate Creek stockpiles on schedule?
- Can exploration drilling validate the sizeable conceptual targets and extend mine life beyond initial reserves?
- How will convertible notes maturity and potential share dilution affect Savannah’s capital structure and investor confidence?