Greatland Resources Ltd (AIM:GGP, OTC:GRLGF, ASX:GGP) has completed a Feasibility Study (FS) confirming Havieron as a long-life, low-cost Australian gold-copper operation with strong project economics.
Havieron is a large-scale underground gold-copper project with substantial mine development already completed. It is located about 45 kilometres east of Greatland’s 100%-owned Telfer gold-copper operations in Western Australia.
Telfer comprises open pit and underground mines, with ore treated through two processing trains at the Telfer Mill, each with nominal capacity of 10 million tonnes per annum (20Mtpa total). Telfer is expected to produce 260,000–310,000 ounces of gold in FY26 at an AISC of $2,400–$2,800 per ounce.
In December 2024, Greatland acquired Newmont’s joint venture interest in the Havieron Project, consolidating 100% ownership and establishing a dedicated team to complete the Feasibility Study (FS). The FS builds on extensive prior joint venture work led by Newcrest before its acquisition by Newmont in 2023.
The FS assumes Havieron ore is processed through the existing Telfer processing infrastructure and evaluates two operating cost scenarios:
- Havieron Standalone (base case): A conservative case where Havieron operates on a standalone basis, with only Havieron ore processed through the Telfer Mill and no extension to the current Telfer mine life. In steady state, Havieron utilises about 35% of the Telfer Mill’s total processing capacity.
- Telfer Hub: An illustrative case where ore from both Telfer and Havieron is co-processed at the Telfer Mill. This scenario assumes the combined feed utilises the full 20Mtpa nominal capacity, lowering Havieron’s AISC through sharing of fixed costs, particularly processing, site services and sustaining capital.
All reported FS outcomes are based on the Havieron Standalone scenario.
“Greatland discovered Havieron in 2018 and returned to 100% ownership of the project 12 months ago. Today, we are delighted to deliver our Feasibility Study which confirms Havieron’s world-class quality and sets the pathway for its development into a long-life, low cost, leading Australian gold-copper mine that will integrate efficiently with the existing infrastructure at Telfer," Greatland managing director Shaun Day said.
"The results of the study are robust, generating an IRR of 22.5% at a long term $4,500/oz gold price. At a long-term price equal to the current spot gold price, this rises to 31.5% IRR. The assessed steady-state average production target of 266koz gold and 9.6kt copper annually would generate significant after tax free cash flow of $550 million per annum at our base case pricing, or $870 million per annum at spot gold pricing.
"We approach this development phase with an exceptionally strong balance sheet, substantial ongoing production from Telfer, and new corporate debt finance commitments with a Tier 1 lending syndicate, that together provide us confidence that Havieron’s development is expected to be fully funded.
"The delivery of Havieron positions Greatland for long-term success, complementing the ongoing, strong operational performance of Telfer. Looking ahead, we look forward to obtaining the final permits required to take final investment decision and resume full development at Havieron, and to outlining our integrated Telfer-Havieron production plan.
"The potential is to deliver Havieron and in parallel extend the mine life of Telfer to achieve the full potential of the Greatland platform.”
Project economics and cash flow
The FS confirms a pathway to a world-class, long-life, lowest-quartile-cost Australian underground gold-copper mine, leveraging Telfer’s existing infrastructure.
At steady state, Havieron is expected to generate pre-tax free cash flow of $739 million per annum at base case metal prices, or $1,197 million per annum at spot gold prices, from a production target of 266,000 ounces of gold and 9,600 tonnes of copper per year, at an AISC of $1,610/oz of gold.
- Undiscounted free cash flow is estimated at $7.7 billion pre-tax and $5.4 billion post-tax at base case metal price assumptions (A$4,500/oz long-term gold).
- Steady state operations deliver average annual free cash flow of $739 million pre-tax and $550 million post-tax.
- The project delivers an NPV₅% of $4.2 billion pre-tax and $2.9 billion post-tax at base case metal pricing.
- At spot gold pricing (A$6,250/oz), NPV₅% increases to $7.9 billion pre-tax and $5.4 billion post-tax.
- The post-tax IRR is 22.5% at base case pricing, rising to 31.5% at spot gold prices.
Ore Reserve and production profile
Havieron has an updated Ore Reserve of 38.5Mt at 2.63g/t Au and 0.33% Cu, containing 3.3Moz of gold and 128kt of copper, making it:
- Australia’s third largest underground Ore Reserve, and
- the largest Australian underground gold reserve outside a global major, sitting behind only Newmont’s Cadia and Tanami operations.
This represents a 55% increase in tonnage and 36% increase in contained metal from previous estimates, based on conservative metal prices of A$2,500/oz gold and A$10,141/t copper.
The FS Mine Plan (Production Target) comprises:
- 50.3Mt mined at 2.52g/t Au and 0.30% Cu, containing 4.1Moz of gold and 153kt of copper.
- First gold production approximately 2.5 years after final investment decision (FID), which is expected following receipt of key environmental approvals targeted in FY26.
- Pre-production capital expenditure of $1,065 million, including 11% and 3.5% growth allowances.
- Post-production expansion capital expenditure of $673 million, largely funded from Havieron cash flows.
- An initial 17-year mine life, including a nine-year steady-state period.
Processing and Telfer integration
Havieron ore will be processed through the existing Telfer processing plant.
Approximately $200 million (included in pre-production capex) will be spent on plant upgrades, which are also expected to improve Telfer ore recovery. These upgrades are planned so as not to interrupt processing of Telfer ore.
Upside potential
The FS base case is deliberately conservative, assuming a Havieron Standalone scenario. There is material upside through:
Telfer Hub scenario:
- Extending Telfer’s mine life and co-processing Havieron ore with Telfer ore, potentially reducing Havieron’s AISC via fixed cost sharing.
Residual Mineral Resources:
- Significant Mineral Resources remain outside the FS Mine Plan, including 87Mt at 1.1g/t Au and 0.15% Cu for 3.1Moz gold and 130kt copper, supporting potential mine life extension.
Further resource growth and conversion:
- Additional drilling from underground targeting the Breccias and Link Zone, which are relatively less drilled than the higher-grade Crescent Zone.
- The deposit remains open at depth, providing scope for resource expansion.
Infrastructure and productivity improvements:
- Installation of underground conveyor haulage and crushing infrastructure is expected to enhance the economics of additional inventory and support extension of the steady-state period and overall LOM.
- Business improvement initiatives, including potential autonomous haulage from Havieron to Telfer.
Funding and balance sheet
Completion of Havieron’s development is expected to be fully funded through:
- Greatland’s $750 million cash balance as at September 30, 2025 (with no debt).
- Ongoing cash flow from Telfer operations; and
- $500 million of corporate debt commitments from a Tier 1 lending syndicate comprising ANZ, HSBC, ING, NAB and Westpac.
Telfer growth and integrated planning
Greatland is targeting a multi-year extension of Telfer’s mine life and integration of Telfer and Havieron ore feeds, with key upcoming milestones including:
- A record 240,000m Telfer drill program in FY26, aimed at life extensions in the West Dome Open Pit, Main Dome Underground and growth in the new West Dome Underground Project.
- An updated Telfer Mineral Resource targeted for the March 2026 quarter.
- An updated Telfer Ore Reserve targeted for the June 2026 quarter.
- A multi-year integrated Telfer–Havieron production outlook targeted for FY27.