Native Mineral Resources (ASX:NMR) reported solid Q3 FY26 gold production from its Charters Towers assets, highlighted by strong mill performance and record pours at Blackjack. The company also secured exclusive mining rights at Podosky, underpinning its regional growth strategy.
- 667.59 oz gold produced at Blackjack with 95.1% plant recovery
- Record doré pours and mining restart at Blackjack South and North Central pits
- Exclusive 12-month mining rights secured at Podosky for US$4 million
- Far Fanning drilling underway targeting 2027 production ramp-up
- A$6.47 million smelt revenue and ongoing debt repayments
Blackjack Plant Delivers Consistent Gold Production and Reliability Gains
Native Mineral Resources (ASX:NMR) maintained steady gold output in Q3 FY26 at its flagship Blackjack processing facility within the Charters Towers Gold Project. The plant produced 667.59 ounces of fine gold from 4,712.4 ounces of doré across five pours, contributing to a cumulative 2,293.43 ounces since operations restarted. Notably, the quarter included two record single smelts of 1,474.9 oz and 1,543.5 oz doré, marking the largest pours in Blackjack’s history.
Operational metrics underscore solid mill performance: 48,480 dry tonnes milled over 1,393 hours at an average throughput of 34.8 tonnes per hour, with average plant recovery at a high 95.1%. March saw mill availability rebound to 97.3% after a maintenance-induced dip in February. The plant’s uptime and utilisation are supported by ongoing maintenance initiatives, including the implementation of a computerized maintenance management system and procurement of critical spares to reduce downtime risk.
Following the February record pour, an 84-hour planned shutdown targeted crushing and leaching circuits for reliability upgrades. Crusher availability remained challenged at 74.8% in March due to maintenance, but the regime is maturing towards steady-state performance. Ausenco’s planned throughput upgrade has been deferred to prioritize tailings storage facility expansions.
High-Grade Drilling Boosts Mining Plans at Blackjack
Drilling activity continued apace with 114 reverse circulation holes and three diamond holes completed during the quarter, delivering significant shallow, high-grade intercepts. A standout post-quarter diamond drill result at Blackjack North Central returned 5.45 meters at 14.23 g/t gold, including a peak 0.62 meters at 98.93 g/t, the highest grade ever recorded at the site.
These results have informed an updated geological block model and mine design by AMC Consultants. Mining recommenced on 9 April 2026 at the Blackjack South and North Central pits, following drill-and-blast contractor mobilisation in February. Stage 2a mining is scheduled through June 2026, with subsequent stages extending into early 2027 and beyond. This operational restart and grade uplift align with the recent mining recommencement and first gold pour updates that highlighted improved production dynamics.
Tailings Storage Expansion and Water Supply Assessment Progress
Environmental and infrastructure developments remain a key focus. The Stage 3 lift of the Blackjack Tailings Storage Facility (TSF) was completed during the quarter, securing capacity through late 2027. Design and approval work for the Stage 4 lift and a new TSF are progressing on schedule, with construction planned to commence in late 2026 and extend into 2028.
Parallel to TSF works, NMR is advancing a permanent water supply assessment to secure long-term water resources for Blackjack operations and reduce operating costs. The outcome of this engineering-led study will be pivotal for operational sustainability.
Far Fanning Drilling and Haulage Support Longer-Term Growth
Approximately 26,000 tonnes of legacy stockpiles were hauled to the Blackjack ROM pad under existing environmental approvals, with haulage planned to continue through Q4 2026. An approved Environmental Authority amendment allowed resource definition drilling to commence at Far Fanning, with results expected to inform an updated mine design by July 2026. Site establishment for dewatering and mining preparation is underway, targeting a 2027 mining start.
Podosky Joint Venture Secures Exclusive Mining Rights and Advances Site Setup
In a strategic move, NMR secured exclusive 12-month mining rights over the Podosky Gold Project near Ravenswood for US$4 million under a binding term sheet with Haoma Mining NL. Phase 1 drilling at Podosky confirmed shallow, high-grade gold intercepts, including 18 meters at 11.33 g/t gold from 12 meters.
Site establishment progressed post-quarter with mining fleet mobilisation and infrastructure installation, aiming for first ore haulage to Blackjack in late Q4 FY26. This deal complements NMR’s central processing hub strategy, providing a new feed source to the Blackjack plant and underpinning regional growth potential. The Podosky update builds on the recent Podosky mining mobilisation and gold pour that marked the JV’s operational ramp-up.
Financial Position Strengthened Through Revenue and Capital Management
Financially, the quarter generated A$6.47 million in smelt revenue, with gold sales contributing A$6.07 million and silver by-product A$0.4 million. The company completed a A$3 million convertible note issue with Lind Global Fund III and commenced early repayments on its Collins Street debt facility, reducing the balance to approximately A$16 million.
Cash flow reflected operational and investing outflows offset by financing inflows from option exercises totaling nearly A$6 million. At quarter-end, NMR held A$2.78 million in unused finance facilities, providing liquidity headroom for ongoing capital projects and operational needs.
Bottom Line?
NMR’s operational momentum and strategic mining rights acquisition position it well for production growth, though execution on infrastructure upgrades and drilling results will be critical to sustaining this trajectory.
Questions in the middle?
- How will the permanent water supply assessment impact Blackjack’s operating costs and reliability?
- Will Far Fanning drilling results support a timely transition to mining and production ramp-up in 2027?
- Can NMR maintain mill availability and crusher reliability to meet throughput targets amid ongoing maintenance?