Northern Star delivers golden results

Northern Star has reported strong June quarter results that delivered positive performance within the FY25 revised production guidelines.

Northern Star Resources (ASX: NST) has reported total gold sold for the June quarter was 444koz, bringing the total gold sold during FY25 to 1634koz.

The majority of the total was supported by Northern Star’s Kalgoorlie production centre, which totalled 832koz of gold sold for FY25 and 118koz for the June quarter.

The company’s FY25 total sales are within its revised group guidance range of 1630-1660koz with an all in sustaining cost (AISC) expected to fall between $2100-2200/oz.

The Yandall production centre in WA reported production that fell in the mid-point of revised guidance, selling a total of 518koz.

Northern Star’s Pogo operations in Alaska, US sold 283koz, a result that exceeded the top end of the revised guidance.

Forecasted to deliver 1700-1850koz of gold in FY26, the company expects the increased productivity at its Kalgoorlie production centre to be the main driver for this increased output.

The company anticipates the September quarter to be its softest as planned major shutdowns are carried out across all three of its production centres. The June quarter is expected to be the strongest as multiple growth projects are on track for completion and will facilitate increased productivity.

FY26 AISC is forecast to fall between $2300-2700/oz reflecting broader sector inflationary pressure, uplift in sustaining capital from increased development meters and associated underground development and processing capital.

Higher growth capital expenditure at the Kalgoorlie production centre is associated with several expansion projects to enable expanded throughput capacity of 27mtpa from FY27.

These projects include:

  • Mill expansion ($530-550m)
  • Operational development ($500-550m)
  • New tailings dam facilities ($180-220m)
  • Thermal power plant and transmission infrastructure ($85m in FY26 and $70m in FY27)
  • Accommodation camp ($30-35m)

The Hemi gold project, recently acquired from the De Grey merger, has a planned expenditure of $140-150m to support ongoing engineering and design as well as commitments for long lead time items.

Exploration expenditure for FY26 is expected to be around $225m, focusing on the Hemi development project.

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