Black Cat Reports Record FY26 Gold Production and Cashflow with Key Operational Milestones

Transformational Production Growth and Cashflow

Black Cat Syndicate Limited (ASX:BC8) marked FY26 as a pivotal year, with gold production soaring 132% to 90,833 ounces, driven by the full integration of its Kal East and Paulsens operations. The June quarter alone saw 20,830 ounces produced from wholly owned assets, underpinning a sustainable business model. This surge propelled operating cashflow to a record A$77 million, a figure that enabled the company to fully recoup the A$106 million capital invested in the Paulsens acquisition and refurbishment within a remarkably short timeframe.

Paulsens Delivers Record Production and Resource Upside

Paulsens Gold Operation hit a new quarterly production record of 10,620 ounces, a 49% increase on the prior quarter, buoyed by development progress and higher grades from the recently discovered Regulus and Lynx orebodies. These discoveries have unveiled a broader and more prospective gold system, with new structural orientations offering pathways to unlock additional high-grade mineralisation beyond the historical footprint. Underground drilling continues to confirm grade continuity, with intercepts such as 4.8m at 18.8g/t Au at Lynx and 3.68m at 40.3g/t Au at Regulus highlighting the quality of the resource. The company has consequently shifted geological focus and funding towards these promising zones, scaling back exploration at Coyote to prioritise Paulsens’ growth potential Black Cat Uncovers High-Grade Lynx and Regulus.

Kal East Ramps Up with 100% Black Cat Ore Processing

Kal East achieved a milestone by processing 100% Black Cat ore for the first time, producing 10,210 ounces during the quarter. The ramp-up at Fingals and Majestic mines continues, with pre-strip activities progressing at Fingals and initial stoping underway at Majestic. The Lakewood processing facility, recently expanded, averaged annualised throughput of 1.3 Mtpa, nearing its 1.5 Mtpa target. Resource upgrades at Kal East also featured prominently, with Trojan and Imperial resources increasing 31% to 286,000 ounces, reinforcing the operation’s long-term potential Black Cat Boosts Trojan Resource.

Financial Strength and Capital Deployment

Black Cat’s balance sheet remains robust, with cash and liquid assets rising from A$91.7 million to A$105.3 million during the quarter, while the company holds no debt or hedging obligations. Operating cashflow was partly reinvested in growth capital (A$43.5 million), sustaining capital (A$11.3 million), and exploration (A$3.5 million), ensuring ongoing operational resilience. The company also maintains an undrawn A$30 million asset financing facility with Commonwealth Bank of Australia, providing additional financial flexibility.

Legal Proceedings and Corporate Updates

In a notable development, Black Cat has initiated proceedings in the Supreme Court of Western Australia against Barclays Capital Asia Ltd, alleging breaches of Market Integrity Rules related to trading in Black Cat shares. The case is at an early stage, with documents submitted to ASIC and ASX, and ASIC treating the matter as a formal complaint. The timing of the trial remains uncertain. On the corporate front, Aaron Gates was appointed as Joint Company Secretary, replacing Dan Travers after nine years of service. The company also issued shares from exercised options and performance rights, while cancelling certain options and rights as part of ongoing capital structure management.

Exploration and Project Focus

Exploration drilling at Coyote commenced targeting extensions to known high-grade mineralisation and resource upgrades; however, the program scale has been reduced to prioritise the promising Regulus and Lynx discoveries at Paulsens. Meanwhile, technical studies and metallurgical test work continue at the Mt Clement antimony project, one of Australia’s largest undeveloped antimony deposits, with stakeholder engagement ongoing. The company plans to provide FY27 guidance on all-in sustaining costs and production expectations alongside its FY26 annual results.