Environmental Approvals and Development Risks Loom Over Havieron’s Path to Production

Feasibility Study Highlights Havieron’s World-Class Potential

Greatland Resources Limited has released a comprehensive feasibility study for its Havieron gold-copper project, cementing its status as a world-class, long-life, and low-cost underground mine in Western Australia. Located approximately 45km east of the existing Telfer operations, Havieron leverages the established Telfer processing infrastructure, enabling significant capital efficiencies and operational synergies.

The study outlines a 17-year life of mine with a steady state production target averaging 266,000 ounces of gold and 9,600 tonnes of copper annually. Operating costs are competitive, with an all-in sustaining cost (AISC) of A$1,610 per ounce of gold, placing Havieron in the lowest cost quartile among Australian gold mines.

Robust Economics Backed by Strong Financial Position

Greatland’s updated Ore Reserve stands at 38.5 million tonnes grading 2.63 grams per tonne gold and 0.33% copper, representing 3.3 million ounces of gold and 128,000 tonnes of copper. This makes Havieron the third largest Australian underground gold reserve, trailing only Newmont’s Cadia and Tanami mines.

The project requires a pre-production capital expenditure of approximately A$1.065 billion, which Greatland expects to fully fund through its existing cash reserves of A$750 million, ongoing cash flows from Telfer, and a recently secured $500 million debt facility from a Tier 1 banking syndicate including ANZ, HSBC, ING, NAB, and Westpac. This strong financial footing provides confidence in the project’s development timeline and execution.

Financial Metrics Signal Attractive Returns

At a conservative long-term gold price assumption of A$4,500 per ounce, the project delivers a post-tax net present value (NPV5%) of A$2.9 billion and an internal rate of return (IRR) of 22.5%. These metrics improve substantially at current spot gold prices (~A$6,250/oz), with the NPV rising to A$5.4 billion and IRR to 31.5%, underscoring the project’s resilience to commodity price fluctuations.

Steady state operations are forecast to generate pre-tax free cash flow of A$739 million per annum, or A$1.2 billion at spot prices, positioning Havieron as a significant cash generator for Greatland.

Operational and Development Plans

The mining method selected is sub-level open stoping with cemented paste backfill, supported by an underground crusher and conveyor system to enable a mining rate of approximately 4 million tonnes per annum. Ore will be trucked to the Telfer Mill for processing, with planned plant upgrades budgeted at A$200 million to optimize recoveries for Havieron ore.

Key infrastructure developments include a new 55km sealed haul road connecting Havieron to Telfer, four vertical blind bore ventilation shafts, and a high voltage transmission line to utilize latent power capacity at Telfer. The project also plans to construct additional evaporation ponds to manage groundwater inflows during development.

Environmental and Regulatory Outlook

Environmental approvals under the Commonwealth EPBC Act and Western Australian Environmental Protection Act are critical path items targeted for receipt in fiscal year 2026. Greatland is confident in securing these approvals, supported by extensive environmental studies and ongoing consultation with the Jamukurnu Yapalikurnu Aboriginal Corporation and other stakeholders.

These approvals will enable the restart of underground development through the Permian cover sequence, with first gold production expected approximately 2.5 years after the final investment decision.

Upside Potential and Future Growth

Significant upside opportunities exist beyond the current mine plan, including over 3 million ounces of residual mineral resources outside the planned inventory, particularly in the Breccia and Link Zones. The deposit remains open at depth, and underground drilling platforms will facilitate more efficient resource growth and conversion.

Greatland is also targeting a multi-year extension of the Telfer mine life, which could enable co-processing of Telfer and Havieron ores, reducing operating costs through shared fixed costs and enhancing overall project economics.

Risks and Challenges

Key risks include potential delays in environmental approvals, challenges in underground development rates, technical issues in ventilation shaft construction, and commodity price volatility. The company has incorporated contingencies in capital and operating cost estimates and is progressing early works to mitigate schedule risks.

Operational risks typical of underground mining also apply, including geological uncertainties, workforce availability, and equipment reliability.