Greatland Resources has released a comprehensive feasibility study for its Havieron gold-copper project, outlining a long-life, low-cost operation fully funded through cash reserves and debt facilities. The study highlights robust economics and significant upside potential.
- 17+ year mine life with 3.53Moz gold and 130kt copper production
- Pre-production capex of A$1.065 billion fully funded by A$750 million cash and A$500 million debt
- Steady state all-in sustaining cost (AISC) of A$1,610/oz gold
- Integration with Telfer mill enables cost savings and operational synergies
- Key environmental approvals progressing; multiple opportunities for mine life extension
A World-Class Gold-Copper Asset Emerges
Greatland Resources Limited has unveiled the results of its latest feasibility study for the Havieron Project, a substantial gold-copper deposit located in Western Australia. The study confirms Havieron as a world-class asset with a projected mine life exceeding 17 years, producing an estimated 3.53 million ounces of gold and 130,000 tonnes of copper over its lifespan.
The project benefits from existing infrastructure, notably the nearby Telfer processing mill, which is the third largest gold or gold-copper processing facility in Australia. This proximity not only derisks the project delivery but also offers operational efficiencies through potential co-processing arrangements.
Robust Financial Metrics and Funding Confidence
The feasibility study outlines a pre-production capital expenditure of approximately A$1.065 billion. This investment is expected to be fully funded by Greatland’s strong cash position of A$750 million as of September 2025, supplemented by a binding A$500 million corporate debt facility secured from a syndicate of Tier 1 banks including ANZ, HSBC, ING, NAB, and Westpac.
Financial projections under conservative metal price assumptions show a post-tax net present value (NPV) of A$5.4 billion at a 5% discount rate and an internal rate of return (IRR) of 22.5%. The project is forecast to achieve payback within 4.2 years post first revenue, with free cash flow generation of approximately A$2.9 billion over the life of mine. Under spot price scenarios, these figures improve markedly, underscoring the project’s resilience to commodity price fluctuations.
Operational Highlights and Cost Competitiveness
Havieron’s steady state production is projected at 266,000 ounces of gold annually, with an all-in sustaining cost (AISC) of A$1,610 per ounce, placing it in the lowest cost quartile among Australian gold producers. The mining method involves sub-level open stoping with paste backfill, supported by a conveyor decline and underground crusher system to optimize ore haulage.
Importantly, the study highlights potential cost reductions through the 'Telfer Hub' scenario, where Havieron ore is co-processed with feed from the Telfer mine. This integration could dilute fixed costs across processing, site services, and sustaining capital, further enhancing project economics.
Environmental Approvals and Development Timeline
Key environmental approvals under the Environmental Protection & Biodiversity Conservation Act and the Western Australian Environmental Protection Act are well advanced, with receipt targeted in fiscal year 2026. These approvals are critical milestones ahead of the final investment decision (FID) and subsequent development phases.
The development plan is staged, beginning with completion of the main decline and initial infrastructure, followed by ramp-up to steady state production over approximately three years. Expansion capital will fund the conveyor decline and material handling system, enabling increased throughput and operational efficiency.
Upside Potential and Growth Opportunities
Beyond the base case, Havieron offers multiple upside opportunities. Significant residual mineral resources lie outside the current mine plan, presenting potential for mine life extension. Ongoing drilling programs at the adjacent Telfer mine aim to grow and convert resources, supporting integrated production strategies.
Additionally, exploration of renewable energy options and autonomous haulage technologies could reduce operating costs further. The project’s strategic location in a Tier-1 mining jurisdiction with established infrastructure and export capabilities positions it well for long-term success.
Bottom Line?
With funding secured and approvals advancing, Havieron is poised to become a cornerstone of Australia’s gold-copper sector, though investors should watch for resource upgrades and regulatory milestones.
Questions in the middle?
- How will ongoing drilling at Havieron and Telfer impact resource classification and mine life?
- What are the risks and timelines associated with final environmental approvals and the FID?
- To what extent can the Telfer Hub co-processing scenario reduce operating costs and improve margins?