Author: Chloe Coutinho

Total gold sales for January and February were 220koz.

Northern Star flags additional production downgrade

Northern Star Resources (ASX: NST) has flagged a further downgrade to its full-year gold guidance following weaker performance in the last two months and throughput issues at KCGM.The miner has warned that achieving even the bottom end of its 1.6–1.7moz guidance range is now “challenging”.Northern Star says its current best estimate is for FY26 production to exceed 1.5moz, after weaker-than-expected January and February performance caused by ongoing throughput constraints at the existing KCGM mill and lower mining productivity, especially at Jundee.The update marks a further deterioration from the cuts announced in January, when the company reduced group production guidance, raised AISC guidance and lowered KCGM’s expected output.In an investor call, Northern Star managing director and chief executive Stuart Tonkin said he recognised that, externally, it may appear the company had not been forthcoming with information.“That’s not the case,” he said.“In January, we absolutely thought 1.6moz was a very comfortable floor we would clear.“So to be sitting here as soon as now to say things aren’t going well, I get it, it’s as disappointing for us as it is our audience and we have to learn from that.”Until the expanded KCGM mill comes online, operations remain dependent on the existing mill, which has been struggling to maintain steady performance.Northern Star says the mill expansion remains on track for commissioning in early FY27.The miner will now undertake an operational review at Jundee, aimed at reducing costs and prioritising higher-margin ounces.“Front of mind for management and the board is that efforts to achieve the FY26 forecast do not compromise the transition to the new plant and have negative implications for Q1 next year,” Mr Tonkin said.“To deal with that concern, management’s focus over the next four months will be to set the company up to achieve its full potential from the start of FY27 and not on the achievement of short-term guidance above all else.“The production focus over this period will be on extracting ounces in the most effective way, from both a cost and mining efficiency perspective.”On the positive side, Northern Star said mining volumes at KCGM were tracking well, with ROM stockpiles continuing to build to about 100koz of high-grade ore at the end of February. The miner said this material would be processed in FY27, displacing lower-grade ore.

This follows the fatal incident in February that resulted in the death of a contract worker at Rio Tinto’s SimFer mine, part of the Simandou project in Guinea.

Worker dies at Rio Tinto copper mine

An employee of a contracting company has died following an incident at Rio Tinto’s (ASX: RIO) Kennecott copper mine in Utah.All surface and underground mining operations at the mine have been suspended.Rio Tinto chief executive Simon Trott comments on the fatal incident.“We are devastated by the loss of our colleague, and our heartfelt sympathies are with their family, friends, teammates, and everyone in the Kennecott community,” he said.“We are working closely with the relevant authorities and contractor partners to support a complete and thorough investigation.“The safety of our people comes before everything else. We are fully focused on understanding what led to this tragedy. I will be travelling to Kennecott to support our team on site.”Rio Tinto says it is providing support, including counselling, to its team members.

(Image source: Alcoa Australia) Kelly Pillay is a graduate geotechnical engineer at Alcoa’s Pinjarra refinery.

Alcoa Australia opens graduate program

Alcoa Australia (ASX: AAI) has opened 18 vacancies across 12 disciplines to university graduates looking to build long?term careers in the mining, refining and smelting sectors.

The job cuts leave about 90 workers remaining at the mine.

238 jobs cut at troubled Tahmoor Coal mine

McGrathNicol restructuring partners Shaun Fraser and Jonathan Henry have cut Tahmoor Coal’s workforce by more than 70%, making 238 employees redundant following their initial assessment of the mine as liquidators.Workers affected by the cuts have been offered a limited period of unpaid leave.“The Tahmoor mine is a quality asset that has unfortunately been affected by issues facing the broader GFG Group and has lacked the capital necessary to continue mining operations,” Mr Fraser said.Tahmoor Coal entered voluntary administration in February, just hours after creditors led by Coal Mines Insurance moved to force the mine into liquidation over unpaid debts, including $4.7m in insurance premiums. Financial statements for FY24 were also bought before the court, showing unpaid creditor claims that exceeded $18.9m.The administration gave Sanjeev Gupta more time to pursue an alternative pathway for the idle mine, adding to pressure across his Australian operations following administrations involving other GFG-linked assets.According to the Mining and Energy Union, GFG Alliance had at the time rejected a $350m purchase offer from a consortium led by the site’s main contractor RStar, the employer of 250 of the 500 Tahmoor workers who were initially stood down without pay while the mine was idle.The liquidators have confirmed that they are urgently seeking expressions of interest for the Tahmoor mine in a sale process that commenced this week and that there is significant interest from several parties familiar with the mine.

Liontown’s FY26 guidance remains unchanged.

Liontown loss masks lift in Kathleen Valley sales

Liontown (ASX: LTR) lifted H1 revenue to $207.5m as the underground ramp-up at Kathleen Valley drove a 106% surge in sales volumes.Kathleen Valley’s 1mtpa run rate was delivered on schedule, with Liontown targeting 1.5mtpa by the end of March.Liontown managing director and chief executive Tony Ottaviano says Kathleen Valley is now a 100% underground operation.“We have delivered a 1mtpa underground run-rate on schedule, sold 190,000t of concentrate across ten shipments and more than doubled revenue period to period,” he said.“The underground ramp-up is on track and we expect the second half to be materially stronger as volumes, recoveries and pricing all continue to improve.”Kathleen Valley was still ramping up in H1 with AISC of $1,179/dmt weighing on margins, although Liontown expects unit costs and cash generation to improve in H2.The miner reported an average realised spodumene price of US$888/dmt, with an encouraging price signal for Liontown coming out of its November 2025 Metalshub spot auction, which cleared at US$1,254/dmt for shipment in January 2026.Liontown says spodumene prices were strengthening into CY26 and expects cash generation to improve in H2.“The balance sheet has been reset. Pro forma gearing (excluding leases) has dropped from 48% to 22% and we had $390m in cash at 31 December 2025,” Mr Ottaviano said.“This provides us with a strong financial foundation to complete the ramp-up, progress the 4mtpa expansion study and continue to grow the company to its full potential.“We are one of a small number of producers globally that can bring additional lithium tonnes to market quickly through brownfield expansion of an operating asset. The expansion study is underway and we are advancing critical path procurement now."Liontown posted a statutory net loss of $184m, including $104.4m loss on the LGES convertible note primarily driven by the company’s share price increasing from $.70 to $1.575 over the period.Liontown said the note converted to equity in February, with an estimated $58m gain expected to be recognised on conversion.

Rio Tinto says Rincon is expected to have a 40-year mine life.

Rio Tinto secures $1.648b for lithium push

Rio Tinto (ASX: RIO) has secured a $1.648b (US$1.175b) financing package from four international lenders to help fund the development of its Rincon lithium project in Argentina’s Salta Province. The funding package includes loans from the International Finance Corporation (IFC), IDB Invest, Export Finance Australia (EFA) and the Japan Bank for International Cooperation (JBIC). Proceeds will support development of the $3.5b (US$2.5b) Rincon lithium project, which is targeting about 60,000tpa of battery grade lithium carbonate capacity. Construction of the plant is already underway, with works including camp expansion works and development of site infrastructure starting in 2025. Rio Tinto’s chief executive aluminium & lithium Jérôme Pécresse comments on the funding. “This financing package broadens our funding sources for the Rincon project and supports the continued execution of our lithium growth pipeline, which is underpinned by the attractive long-term outlook driven by the energy transition,” he said. First production is expected in 2028 with a three-year ramp-up to full capacity.

This follows Lynas’ successful first production of separated heavy rare earth (HRE) oxides in 2025.

Lynas locks in price floor for Japan

Lynas Rare Earths (ASX: LYC) and Japan Australia Rare Earths (JARE) have extended their rare earths supply deal through 2038, locking in a market-linked floor price of US$110/kg for neodymium and praseodymium. Under the revised agreement, Lynas will continue to provide up to 7200tpa of neodymium and praseodymium to Japanese industry, while JARE has committed to purchase 5000tpa under the new pricing structure.If Lynas’ achieved price is above US$150/kg, 30% of the upside above that level, capped at US$10m each calendar year, will be paid to JARE. Lynas chief executive and managing director Amanda Lacaze comments on the agreement. “Lynas’ partnership with JARE has served both organisations well over the past 15 years. It has created a strong foundation for the development of Lynas’ business, supported investments in new processing capacity and new products, and delivered reliable supply of quality product to support Japanese industry growth,” she said. “This new agreement will ensure continued reliable supply of rare earth products that are strategically important to Japanese industry and its global market, and at the same time, the implementation of fair market pricing will reduce price volatility for Lynas and enable continued growth and investment in our operations.” Additionally, 75% of all HRE oxides produced by Lynas will be made available to Japanese industry, with JARE committed to purchasing the equivalent of 50% of all those HRE oxides.

The expansion flowsheet includes a new primary crusher, a 5.8MW semi-autogenous (SAG) mill, pebble crusher and additional leaching/adsorption tanks.

Westgold approves $145m expansion to lift output and cut costs

Westgold Resources (ASX: WGX) has approved the final investment decision to expand its Higginsville processing hub from 1.6mtpa to 2.6mtpa.This follows the completion of a definitive feasibility study (DFS) confirming the expansion which would increase Westgold’s southern goldfields gold production by about 60kozpa and reduce processing costs by 24% to $34/t.Many of the upgrades within the flowsheet are designed to support further expansion to 4mtpa.Westgold managing director and chief executive Wayne Bramwell comments on the expansion plan.“The Higginsville expansion plan (HXP) is the next step to drive down unit costs and increase group free cash flow from the Southern Goldfields,” he said.“By expanding the Higginsville mill capacity to a nominal 2.6mtpa we are creating a more productive, lower-cost processing hub to match the growing outputs from our Beta Hunt mine. This will see us deliver higher group gold production at a lower cost, in line with our three-year outlook.“The DFS highlights the strength of the business case. It is underpinned by increasing annual gold production and a step-change reduction in processing unit costs – all within a short payback period.“The timing of the HXP aligns strategically with the anticipated growth in mining rates from the Southern Goldfields, ensuring that expanded processing capacity is ready to accommodate increased ore delivery from Beta Hunt.”The final capital cost for the processing plant upgrade, as determined by the DFS, is $145m.

Located in the Patagonia Mountains, about 80km south-east of Tucson, Arizona, Hermosa comprises the zinc-lead-silver Taylor sulphide deposit and the zinc-manganese-silver Clark oxide deposit.

Hermosa moves closer to federal land expansion

South32 (ASX: S32) says the US Forest Service (USFS) has indicated it would approve Hermosa’s development onto National Forest Service land.If granted, this approval would allow South32 to construct ancillary infrastructure on US Forest Service land, including a primary access road and a secondary dry-stack tailings facility, while also enabling a third party to build part of a 138kV power line to supply the project.South32 Hermosa president Pat Risner says the decision reflected years of listening, collaboration and real changes shaped by community input.“This draft decision affirms our design and development approach including mitigation measures as described in the final environmental impact statement, that were informed through agency and public consultation,” he said.South32 Hermosa environment and permitting director Brent Musslewhite says he was proud of the team for their efforts to get the FEIS over the line.“This is a significant milestone for Hermosa,” he said.“Getting a major mining project through an EIS process in less than two years is almost unheard of and testament to the quality of our people, plans and work. I couldn’t be prouder to work with such amazing teams.”As part of the federal FAST-41 permitting program, the USFS conducted a thorough, independent analysis of Hermosa’s possible environmental impacts, with the Draft ROD determining that the proposal would result in the least surface disturbance on National Forest Service lands, compared to alternatives.The release of the Draft ROD now kicks off a review period for feedback provided during previous public comment periods. The Final ROD is expected to be published in July with a Notice to Proceed expected in September.

Youanmi has a production target of 817koz of gold doré over the life-of-mine, averaging 117kozpa over an estimated initial seven-year processing period.

Rox fully funds WA gold project to production

Rox Resources (ASX: RXL) has received commitments for $350m in debt facilities to fund the development of its 100%-owned Youanmi gold project in WA.The company has entered into a binding credit-approved commitment letter and term sheet with Societe Generale, Sydney Branch, Sumitomo Mitsui Banking Corporation, The Hongkong and Shanghai Banking and Westpac Banking Corporation to provide the $300m senior secured project term loan facility, $20m cost overrun facility and $30m bank guarantee facility.Rox Resources managing director and chief executive Phill Wilding comments on the funding.“The commitment of debt funding from an impressive selection of Australian and International banks is yet another major milestone for Rox as we accelerate our pathway to production for the Youanmi gold project,” he said.“The debt funding process included a thorough due diligence process by the banks’ independent technical expert, which provides further validation of the robustness of Youanmi and our expectation that it will be a high-margin operation.“The project is now fully funded through to production, and we look forward to making a final investment decision later in this quarter, before commencing construction activities.”Rox and the syndicate banks are now working towards satisfying conditions precedent. Financial close and first debt draw down is expected in the September quarter of 2026.

Funding will be directed at community development initiatives benefiting Traditional Owners and Native Title Holders in the areas of Tivan’s Central Australian projects, specifically the Molyhil tungsten project and the Sandover fluorite project.

Tivan to provide $1m in grant funding

Tivan (ASX: TVN) has established a community development initiative with the Central Land Council (CLC) to provide grant funding to support Traditional Owners and Native Title Holders in Central Australia.Tivan will provide up to $1m to fund regional community development initiatives, structured as $250,000 in initial funding, and three further annual funding stages of up to $250,000 over the next three years.Existing projects under the Community Development Program are targeted at delivering positive outcomes across health, cultural strengthening, education, infrastructure, employment and enterprise development.Tivan executive chairman Grant Wilson comments on the initiative.“The board of Tivan is proud to support this landmark initiative, that will provide much needed development funding to some of the most remote communities in Australia,” he said.“For too long resources companies in the Territory have adopted an adversarial and transactional approach to land access and have focused on bare minimum outcomes in respect of Aboriginal Australians. Tivan is different. The early and genuine inclusion of Traditional Owners and Native Title Holders is a foundational principle at our company, and we are committed to furthering a durable alignment of interests throughout the project development lifecycle.“Tivan will fundamentally reshape how resources projects are developed in the Territory in the years ahead.”Tivan says that wherever possible, initiatives are delivered in partnership with Aboriginal-controlled organisations and companies, strengthening local capability and economic participation.