Ora Banda Mining Ltd (ASX:OBM, OTC:ESGFF) has approved a suite of growth investments designed to lift capacity across processing, mining and accommodation as it continues to pursue organic growth across its 100%-owned Davyhurst tenure in Western Australia.
The board has signed off on $63 million of key project spend, led by funding to move a proposed ~3-million-tonnes-per-annum (Mtpa) standalone processing plant from definitive feasibility study (DFS) into front-end engineering design (FEED), alongside pre-production capital to start a new open pit at Waihi, about 3km from the existing 1.2Mtpa Davyhurst mill.
Ora Banda said the capital program is fully funded from existing cash reserves and noted it continues to generate cashflow from current operations. The company reported A$155 million cash at December 31, 2025 (Quarterly Activities Report released January 28, 2026).
Processing: $10 million to take 3Mtpa plant into FEED
Ora Banda has committed $10 million to progress the ~3Mtpa processing plant study from DFS into FEED, with FEED targeted for completion early in the June quarter 2026. The work is intended to refine the final design and capital requirements for a new mill to be constructed as a standalone facility next to the existing Davyhurst plant.
Mining: $30 million pre-production to commence Waihi open pit
The company has approved $30 million in pre-production capital to begin open pit works at Waihi, which it expects will become Ora Banda’s third mining operation.
The approved spend comprises:
- around $16 million for open pit infrastructure
- around $14 million for waste stripping
Ora Banda is targeting mining commencement in the March 2026 quarter, with a life-of-mine strip ratio of 7.4:1. Current key metrics outlined for the starter pit include ~235kt at 1.7g/t for 12.7koz mined over ~8 months, with ounces expected to be milled in FY27.
The company also flagged ongoing drilling and resource work at Waihi, with a resource model update planned early in the June quarter 2026 that is expected to incorporate recent drilling from the Golden Pole lode for the first time.
People: $23.2 million to increase camp capacity
To support the operational ramp-up, Ora Banda has committed $23.2 million to expand accommodation capacity via:
- a new 150-room village at Siberia, and
- an additional 100 rooms at the existing Davyhurst village, lifting capacity to 400 rooms.
Total capital works for the camp program are expected to be $34 million, with $23 million expected to fall in FY26 and the balance in FY27.
Guidance update
With the growth projects scheduled across the second half of FY26, Ora Banda said it has updated FY26 capital guidance, including a $7 million adjustment tied to minor capital works that have been deferred.