Ora Banda Mining Ltd has reported a robust half-year performance, with revenue soaring 80% to $336.3 million and net profit nearly doubling to $96.3 million, driven by operational ramp-ups and exploration success.
- Revenue up 80% to $336.3 million
- Net profit after tax rises 89.4% to $96.3 million
- Sand King underground mine ramp-up boosts production
- Significant high-grade drilling results expand mineralisation
- Board approves $63 million capital investment for growth projects
Strong Financial Performance
Ora Banda Mining Ltd has delivered a standout half-year result for the six months ended 31 December 2025, with revenue climbing 80% to $336.3 million and net profit after tax increasing by 89.4% to $96.3 million. This surge reflects higher gold production and sales, supported by a favourable gold price environment and operational improvements.
The company’s earnings growth was underpinned by a 14,759-ounce increase in gold sold, including attributable ounces from third-party ore processing arrangements. The average realised gold price rose by $1,754 per ounce, further bolstering revenue.
Operational Highlights and Mine Development
Central to Ora Banda’s performance was the ramp-up of the Sand King underground mine, which achieved full capital payback within 12 months of establishing its portal. Sand King’s lateral advance metres increased significantly, reflecting the company’s ability to develop low-risk underground assets organically.
Meanwhile, the Riverina underground operation continued to perform strongly, with lateral advance rates ahead of schedule, setting the stage for a solid second half. The Davyhurst processing plant maintained robust throughput and improved recovery rates despite a slight dip in head grade.
Exploration Success Expands Mineral Resources
Exploration drilling programs delivered impressive high-grade results across multiple projects, including Riverina, Sand King, Little Gem, Waihi, and Round Dam. Notable intercepts such as 3.4m at 51.7 g/t and 16.6m at 8.3 g/t highlight the expanding mineralisation footprint, with some zones open in all directions.
These results reinforce the growth potential of Ora Banda’s tenement package and underpin the company’s strategy to extend mine life and increase production capacity.
Balance Sheet Strength and Capital Investment
The company’s balance sheet strengthened with cash and cash equivalents rising by $71.3 million to $155.4 million, supported by strong operating cash flows of $184 million. Mine property assets increased by $65.5 million, reflecting ongoing development and resource work.
In a strategic move to support future growth, the Board approved a $63 million capital investment plan. This includes $10 million to advance a 3 million tonnes per annum processing plant study, $30 million for pre-production open pit mining at Waihi, and $23 million to expand accommodation facilities at Davyhurst and Siberia.
Corporate and Governance Updates
Ora Banda also announced a key management change with John Sanders appointed as Joint Company Secretary, replacing Doug Warden who remains Chief Financial Officer. The company confirmed no dividends were declared or paid during the period, focusing on reinvestment to fuel growth.
The half-year financial report was reviewed by KPMG with no independence issues noted, providing assurance on the integrity of the results.
Bottom Line?
Ora Banda’s strong half-year momentum and strategic investments position it well for continued growth, but execution risks remain as expansion projects advance.
Questions in the middle?
- How will the $63 million capital investment impact production timelines and costs?
- What are the risks associated with the company’s extensive use of put option hedging?
- Can exploration success translate into sustained long-term mine life extensions?