Vault Minerals has begun commissioning stage 1 of its King of the Hills plant upgrade, set to increase throughput capacity to around 6 million tonnes per annum on time and budget.
- Stage 1 commissioning underway, targeting 6.0 Mtpa throughput
- New primary crusher and conveyor extension completed
- Wet plant and power station upgrades finalized
- Stage 2 on track for Q2 FY27, aiming for 7.5–8.0 Mtpa capacity
- Stockpiles of 15 million tonnes provide operational flexibility amid geopolitical risks
Progress on King of the Hills Upgrade
Vault Minerals Limited (ASX:VAU) has announced significant progress on the first stage of its King of the Hills (KoTH) plant upgrade, a project designed to substantially increase the processing capacity of its gold mining operations. The upgrade aims to boost throughput capacity to approximately 6 million tonnes per annum (Mtpa), with commissioning now in its final stages and all works reported to be on time and within budget.
The company has completed the installation of a new primary crusher, a critical piece of infrastructure that will handle the initial ore crushing. This is complemented by a conveyor belt extension that integrates the new crushing facility with the existing plant, ensuring a seamless flow of material. The existing crusher was taken offline on 24 March 2026, with stockpiles of around 90,000 tonnes ready to maintain uninterrupted mill feed during commissioning.
Enhancements to Processing and Power
Alongside the crushing upgrades, Vault has completed significant enhancements to the wet plant, including the addition of four new Carbon-in-Leach (CIL) tanks, a larger regeneration kiln, and a new tailings booster pump. These improvements are already performing well, indicating a smooth transition to the upgraded processing capacity.
Power infrastructure has also been bolstered with the commissioning of two additional gas-fired generators, expanding the KoTH power station’s capacity. Notably, Vault secured a three-year gas supply agreement at a fixed price linked to the Consumer Price Index, which commenced in January 2026. This arrangement provides cost certainty and supports operational stability.
Looking Ahead to Stage 2 and Operational Flexibility
Stage 2 of the upgrade is progressing on schedule and budget, with completion and integration planned for the second quarter of fiscal year 2027. This phase will further increase plant capacity to between 7.5 and 8.0 Mtpa, representing a roughly 50% increase in throughput capacity overall. Impressively, the capital intensity for this expansion is estimated at just $57 per tonne of additional annual throughput, highlighting the project’s cost efficiency.
Vault also reported substantial stockpiles of approximately 15 million tonnes at KoTH, containing around 180,000 ounces of gold. These stockpiles, located adjacent to the processing facility, provide valuable operational flexibility. This buffer is particularly important given current geopolitical tensions in the Middle East, which could disrupt supply chains for key operational inputs.
Overall, Vault Minerals’ KoTH plant upgrade represents a significant step forward in scaling its gold production capabilities while managing costs and operational risks effectively.
Bottom Line?
As Vault pushes ahead with KoTH’s expansion, investors will watch closely for production ramp-up and how geopolitical risks might influence operations.
Questions in the middle?
- How quickly will Vault ramp up to full 6 Mtpa throughput following commissioning?
- What are the expected impacts of Middle East tensions on supply chain costs and reliability?
- How will Stage 2 completion influence Vault’s production guidance and financial outlook?