How Is Aeris Resources Turning $25M Growth Capital Into Future Copper Production?

Solid Operational Performance

Aeris Resources has delivered a robust start to FY26, producing 10.3 kilotonnes of copper equivalent during the September quarter at an all-in sustaining cost (AISC) of A$4.64 per pound. Both the Tritton operations in New South Wales and the Cracow gold mine in Queensland performed in line with expectations, maintaining steady output despite some operational challenges such as a brief power outage at Cracow.

The company’s disciplined cost management was evident, with mining and processing expenses well contained within guidance ranges. Safety remained a priority, with zero lost time injuries recorded and no environmental incidents, underscoring Aeris’s commitment to responsible operations.

Growth Capital and Development Progress

Aeris invested $25 million in growth capital focused on waste stripping at the Murrawombie Pit, a key development at the Tritton site. This work is expected to deliver ore to the mill in the second half of FY26, supporting sustained production levels. Concurrently, construction of the next lift of the tailings storage facility (TSF) is progressing ahead of schedule at Cracow, ensuring infrastructure keeps pace with operational needs.

Meanwhile, the Constellation project continues to advance through technical studies and permitting, with early mine design and metallurgical test work underway. These efforts aim to establish a solid foundation for future development phases.

Exploration Highlights and Resource Modelling

Exploration activity remains vigorous, with over 17,000 metres of underground drilling completed in the quarter, primarily for grade control at Avoca Tank and Budgerygar. Notably, mineralisation was intersected some 400 metres down plunge from the current Avoca Tank resource, suggesting potential for resource expansion. A down-hole electromagnetic survey is planned to refine targeting for thicker sulphide zones.

At Cracow, a new internal grade model for the Golden Plateau deposit has been developed to guide upcoming drilling programs. This model highlights significant mineralisation extending below the existing open pit, with a 7,000-metre drill campaign scheduled to commence in November. Additionally, a comprehensive regional airborne magnetic and radiometric survey was completed, providing valuable data to identify new exploration targets across the extensive tenement package.

Financial Position and Hedging

Financially, Aeris ended the quarter with $46.4 million in cash and receivables, including an unrestricted cash balance of $32 million. Operational cash flow was strong at $53 million, boosted by timely receipt of concentrate payments and improved commodity prices. The company maintained its $40 million debt facility drawdown and entered into new unsecured gold hedges covering approximately 20,000 ounces at a forward price of A$5,145.75 per ounce, with 16,400 ounces remaining to be delivered.

Care and Maintenance Assets and Other Projects

Operations at the Jaguar project in Western Australia and North Queensland remain on care and maintenance, with costs being actively reduced. Exploration planning continues at Jaguar, focusing on geochemical and geophysical targets to unlock future value. At the Stockman project in Victoria, metallurgical test work on the Albion leach process was completed, and management is evaluating processing options and next steps while maintaining low holding costs.