Can Beacon Sustain Momentum After Cancelling Share Buy-Back and Selling MacPhersons?

Strong Financial Turnaround

Beacon Minerals Limited (ASX: BCN) has delivered a striking turnaround in its half-year results for the period ended 31 December 2025. Gold sales more than doubled to AU$82.6 million, up 102% from the previous corresponding period, while the company swung from a comprehensive loss of AU$4.6 million to a profit of AU$14.8 million. This performance was underpinned by a 27% increase in gold ounces sold to 13,900 and a 51% rise in the average realised gold price to AU$5,927 per ounce.

The company’s cash and term deposits combined to a healthy AU$36.1 million, supporting a strong balance sheet with net assets rising to AU$84.2 million. Beacon also paid fully franked dividends during the period, reflecting confidence in its cash flow and profitability.

Operational Progress and Asset Rationalisation

Operationally, Beacon advanced mining activities across multiple sites including Iguana, Hodari North, and MacPhersons. The MacPhersons pit was completed in early February 2026, coinciding with a binding Heads of Agreement to sell MacPhersons Reward Pty Ltd to Forrestania Resources Limited. The transaction, valued at AU$5 million in cash plus 36 million Forrestania shares, aligns with Beacon’s strategy to focus on core assets and reduce holding costs.

Meanwhile, the Jaurdi mill expansion project is progressing with a revised capital budget of AU$11.5 million. Construction management has been appointed, civil works commenced, and long lead items ordered. The expansion aims to improve recoveries and throughput, with a payback period of less than three years.

Exploration and Resource Development

Beacon’s exploration efforts centred on the Iguana deposit, where extensive drilling programs have confirmed significant high-grade gold mineralisation. The company completed its largest reverse circulation drilling program to date, with over 16,500 metres drilled. Results have been consistently strong, supporting a five-year resource development plan focused on converting inferred resources to indicated status.

The Iguana laterite deposit alone holds a mineral resource estimate of 1.2 million tonnes at 0.92 g/t gold for approximately 36,000 ounces, with an ore reserve of 972,000 tonnes at 0.94 g/t for 29,400 ounces. A pre-feasibility study indicates robust economics at a gold price of AU$4,500 per ounce, with all-in sustaining costs around AU$2,341 per ounce.

Strategic Portfolio Moves

In addition to the MacPhersons sale, Beacon completed the sale of its Timor Leste concessions to Tivan Ltd, further streamlining its asset base. The company also exercised options to acquire the Wealth of Nations tenements, located near the Jaurdi processing plant, with plans for further drilling to extend resources.

Beacon’s focus remains on advancing core projects north of Coolgardie, including Lady Ida, Geko, Black Cat, Wealth of Nations, and Mt Dimer. The company is awaiting regulatory approvals to commence drilling at Mt Dimer and continues to evaluate exploration targets in the Ida region.

Outlook

Beacon Minerals’ half-year results mark a significant step forward, combining operational growth, strategic asset management, and a strengthened financial position. The ongoing Jaurdi mill expansion and Iguana resource development programs are set to drive further value creation. Investors will be watching closely for updated resource and reserve statements planned for later in 2026, as well as the completion of the MacPhersons transaction.