Aurelia Metals Limited reported a robust half-year result for December 2025, with revenue climbing 27% and net profit after tax rising 26%, driven by production ramp-up at the Federation Mine and progress on the Great Cobar Project.
- Revenue increased 27% to $206.9 million
- Net profit after tax rose 26% to $22.6 million
- Federation Mine production ramp-up significantly boosted zinc and lead output
- Great Cobar Project development commenced, targeting first ore in FY28
- Strong balance sheet with $85.6 million cash and undrawn loan facilities
Strong Financial Performance Amid Operational Growth
Aurelia Metals Limited has delivered a solid half-year financial performance for the period ending 31 December 2025, reporting a 27% increase in revenue to $206.9 million and a 26% rise in net profit after tax to $22.6 million. These results reflect the company’s successful operational ramp-up and strategic development initiatives within its core assets in the Cobar Basin, New South Wales.
Federation Mine Drives Higher Base Metal Production
The Federation Mine, one of Australia’s highest-grade base metal developments, has transitioned from commissioning to ramping up production as planned. During the half-year, ore mined at Federation surged nearly sixfold to 139kt, contributing to a 124% increase in zinc production and a 12% rise in lead output compared to the prior corresponding period. This ramp-up has materially enhanced Aurelia’s production profile and cash flow generation, underpinning the company’s improved financial results.
Peak Mine Maintains Steady Operations with Increased Development
The Peak Mine, a long-standing asset in Aurelia’s portfolio, continued steady operations with a notable 79% increase in mine development metres to 2,926m. While ore mined at Peak declined slightly by 16%, the operation focused on improving development advance and operational flexibility, including advancing the Great Cobar Project development from the New Cobar Mine. The Peak processing plant is undergoing upgrades to increase throughput capacity from 800kt to up to 1.2Mt per annum, positioning the company for future growth.
Great Cobar Project Progresses on Schedule
Development of the Great Cobar Project commenced in July 2025 following board approval earlier that year. The project targets high-grade copper and gold production, with first development ore expected in the first half of FY28 and stope production to follow in the second half. During the half-year, Aurelia completed 954 metres of underground development and invested $11.1 million in growth capital. The project’s feasibility study forecasts an initial eight-year mine life with significant copper and gold output, and the deposit remains open for further resource expansion.
Financial Position and Risk Management
Aurelia finished the period with a strong balance sheet, holding $85.6 million in cash and an undrawn US$20.4 million loan facility from Trafigura Pte Ltd, providing total liquidity of approximately A$116 million. The company’s disciplined financial management is complemented by a prudent hedging strategy covering gold, lead, zinc, and copper, helping to mitigate commodity price volatility. Environmental and safety performance remain priorities, with zero recordable environmental incidents and ongoing initiatives to reduce workplace injuries.
Corporate and Governance Updates
Post period-end, Aurelia appointed Graeme Hunt as Chair of the Board, signaling continuity in leadership as the company advances its growth agenda. No dividends were declared for the half-year, reflecting the company’s focus on reinvestment and project development. Exploration efforts across the Cobar and Nymagee districts continue to support resource growth and discovery, underpinning Aurelia’s long-term strategy to build a copper-dominant production base.
Bottom Line?
With Federation ramping up and Great Cobar development underway, Aurelia Metals is poised for sustained growth, though market and project execution risks remain to be closely watched.
Questions in the middle?
- How will commodity price fluctuations impact Aurelia’s profitability and hedging effectiveness in the coming quarters?
- What are the key milestones and potential risks for the Great Cobar Project as it moves toward production in FY28?
- How will the planned plant upgrades at Peak influence operational efficiency and cost structure?