Valiant Gold has moved its Comet mine restart from re-entry into a construction and commissioning phase, with power, ventilation and dewatering systems advancing ahead of a H2 FY27 production target. The company ended the September quarter with $62.5 million in cash and term deposits while drilling at Reedy continued to test resource growth.
- Comet restart infrastructure advanced across power, ventilation, dewatering and site establishment
- First production remains targeted for H2 FY27
- $62.5 million in cash and term deposits at quarter end
- South Emu-Triton drilling extended the mineralised system below the existing resource
- 8,000-metre Boomerang program continued with assays pending validation
Comet moves from underground re-entry to restart execution
Valiant Gold Ltd (ASX:VAL) spent the September quarter turning its 100%-owned Comet Gold Mine from a re-entry project into a functioning restart site. The company advanced a 6.1 MW power station, ordered primary ventilation equipment, progressed permanent dewatering infrastructure and installed communications and safety systems after successfully regaining underground access in July.
The work is substantial, but it is not yet production. Valiant is still targeting first output in the second half of FY27, while the Comet Restart Study and preliminary restart mining schedule remain due for completion in Q2 FY27. The company also has to appoint and mobilise underground mining and drilling contractors before priority grade-control and resource-definition drilling can begin.
The physical progress echoes the Comet restart infrastructure push reported in September, when power and ventilation contracts had been secured and the technical study was advancing. During the quarter, Comet restart expenditure reached $1.315 million, including long-lead items and dewatering costs.
Dewatering and power remain the next hard milestones
After quarter end, dewatering reached the 1270 Level, about 170 metres below surface, moving access towards the first planned production areas. The workshop, offices and medical centre were established, while primary ventilation fans were installed on budget and on schedule. Commissioning is dependent on site power, with installation and commissioning of the power station scheduled for completion by the end of October 2026.
That sequence matters because the restart target depends on several linked workstreams rather than a single announcement milestone. The company said the underground mining services tender was progressing, the drilling contractor appointment was nearing completion and the Restart Study remained on track for completion before the end of Q2 FY27. None of those steps, on its own, establishes that production will begin on schedule.
Reedy drilling keeps the resource-growth case alive
At Reedy, the completed South Emu-Triton diamond program returned further mineralisation below the existing 1.7 million tonne resource grading 4.00 grams per tonne gold for 224,000 ounces. Results included 7.0 metres at 4.57 grams per tonne from 861 metres, including 0.3 metres at 68.80 grams per tonne, plus 2.0 metres at 11.49 grams per tonne from 872 metres in hole 26REDD003.
The final hole produced a more modest 3.0-metre intersection at 0.94 grams per tonne from 664 metres, but Valiant said the broader system remains open down dip and along strike. The reported intervals are downhole widths rather than stated true widths, and no development decision has been made for South Emu-Triton. The results nevertheless extend the exploration story captured in the South Emu-Triton deep drilling coverage.
Meanwhile, two rigs completed eight Boomerang holes for 3,259 metres during the quarter, against an initial program of approximately 8,000 metres. The program is designed to improve confidence in Boomerang's existing 5.26 million tonne resource at 2.17 grams per tonne for 367,000 ounces and support assessments of potential open-pit and underground mining scenarios. Initial assays had been received but were still undergoing review and validation before release.
Cash position supports the next phase of spending
Valiant finished the quarter with $62.5 million in cash and term deposits, including $5 million held in deposits with maturities longer than 90 days. It spent $6.014 million during the quarter, including $2.616 million on exploration, $1.315 million on the Comet and South Emu mine restarts, and $980,000 on working capital.
The company says the longer-term deposits remain accessible for development activities, subject to normal bank notice periods and immaterial break fees. It also received an exemption from the $3.1 million of landholder stamp duty budgeted in its prospectus, leaving the board to decide how that surplus is applied. With the power station, camp, contractor mobilisation and underground drilling still ahead, the balance sheet will now be tested by execution rather than by plans alone.
Bottom Line?
The next quarter should show whether Comet's infrastructure progress converts into commissioned power, contractor mobilisation and a completed restart study without materially accelerating cash use.
Questions in the middle?
- Can the power station be commissioned by the end of October and unlock ventilation and underground restart activities?
- Will the Comet Restart Study support the H2 FY27 production target once mining schedules and contractor pricing are finalised?
- Do validated Boomerang assays and further South Emu-Triton work justify expanding the development pipeline beyond Comet?