Brightstar’s Goldfields Plant Development Hinges on Financing and Final Investment Decision

Brightstar Advances Goldfields Project with EPC Contract Award

Brightstar Resources Limited (ASX – BTR) has taken a significant step forward in its development of the Goldfields Project near Laverton, Western Australia, by appointing GR Engineering Services Limited (ASX – GNG) as the preferred engineering, procurement, and construction (EPC) contractor for its new 1.5 million tonnes per annum processing plant. This engagement follows a competitive front-end engineering design phase completed in December 2025 and is a key milestone in Brightstar’s pathway to becoming a mid-tier gold producer.

The Early Works Agreement signed with GR Engineering has already enabled the ordering of critical long-lead items, including the SAG mill and variable speed drives, which are essential to maintaining the project’s schedule. Brightstar’s Managing Director, Alex Rovira, highlighted GR Engineering’s proven track record in delivering gold projects on time and on budget in Western Australia, underscoring the de-risking benefits of a fixed-price EPC contract with performance guarantees.

Robust Feasibility Study Supports Development Plans

Brightstar’s updated Definitive Feasibility Study (DFS 2.0), released in January 2026, paints a compelling picture of the Goldfields Project’s financial and operational potential. The study projects an average annual production of over 75,000 ounces of gold for an initial six-year mine life, generating net cash flows exceeding A$1.4 billion at a gold price of A$7,000 per ounce. The project’s pre-tax net present value (NPV8) stands at A$606 million with an internal rate of return (IRR) of 74%, reflecting strong economics that underpin Brightstar’s growth ambitions.

Brightstar is targeting a Final Investment Decision (FID) by late March 2026, contingent on securing debt financing, which is advancing towards finalisation. The company has also announced an equity raising of up to A$180 million to fund the development, signalling strong capital market support for the project. Once operational, the Goldfields Project’s cash flows are expected to materially support the development of Brightstar’s Sandstone Project, aligning with the company’s “TARGET200” vision of producing over 200,000 ounces of gold annually from multiple assets in Western Australia.

Next Steps and Growth Outlook

With approvals either granted or lodged, and infrastructure upgrades underway; including accommodation expansions at the nearby Fish and Lord Byron mine camps; Brightstar is well positioned to commence construction following the FID. The company aims for first gold production in the June quarter of 2027, a timeline supported by the early works and procurement activities already in motion.

Looking ahead, Brightstar plans to continue mine optimisation and exploration programs targeting extensions to mine life, particularly at the Lord Byron open pit and Yunndaga underground mines. The company’s broader strategy involves consolidating its position in the Western Australian gold sector through staged development of its Goldfields and Sandstone projects, leveraging robust resource bases and infrastructure advantages.

While aspirational statements regarding the Sandstone Project’s future production targets remain subject to further feasibility work, Brightstar’s current progress at Goldfields provides a solid foundation for its growth trajectory.