Production records continue to fall for Ora Banda Mining Ltd (ASX:OBM, OTC:ESGFF), which delivered record September quarter output. The company produced 30,595 ounces of gold (including 3,564 ounces of attributed third-party ounces) and generated $38.5 million in free cash flows.
Quarterly produced ounces.
Closing cash rose to $122.7 million, with management indicating production should improve quarter-on-quarter through the rest of financial year 2026 as Sand King ramps up.
Quarterly closing cash.
OBM maintained full exposure to the stronger gold price and paid $7.4 million in put-option premiums during the quarter, including $5.1 million for new put options over 33,332 ounces for July to October 2026 at an average exercise price of A$5,013 per ounce.
Hard work pays off
“A record quarter to the start of FY26 reflects the hard work by the team in FY25 to bring our second underground mine, Sand King, online and the continued improvement initiatives on the Davyhurst plant to increase throughput rates and recoveries,” managing director Luke Creagh said.
“The cash build of $38.5M in the quarter shows the improving operational and financial performance of the company, even as we continue to reinvest significantly into organic growth through the drill bit and infrastructure upgrades.”
Ora Banda ended the quarter with $122.7 million in cash and noted progress on outstanding conditions to financial close for its $50 million revolving credit facility, which together would provide liquidity of more than $170 million.