Fed tests gold upleg
Gold’s outlook and fundamentals remain really bullish.
Australian gold miner Regis Resources (ASX: RRL) is going ahead with the construction of two new underground mines, forecast to deliver between 100,000 ounces and 120,000 ounces of the precious metal per year from 2027.
The development of the Garden Well Main and Rosemont Stage 3 mines are part of the company’s strategy to expand underground operations at its Duketon project in Western Australia, Regis said.
The company, which is the third largest Australian gold producer listed on the local exchange (ASX), has several projects at various stages of consideration across Duketon, as potential feed sources for processing.
“We are well on the way to operating four to five underground mines at Duketon to deliver sustainable gold production of 200,000 to 250,000 ounces of gold each year,” managing director and chief executive officer Jim Beyer said.
“We also continue exploring for additional high value, large scale open pits across our dominant holding across the Duketon Greenstone Belt,” Beyer noted.
Between declaring a maiden underground reserve for its Rosemont project in 2019 and the end of calendar year 2022, the gold miner completed targeted exploration and resource definition drilling programs that have successfully expanded its Duketon reserves by nearly 170%. In the same period, Regis produced 151,000 ounces of gold from its underground mines.
Regis will spend between A$120 million and A$150 million ($80m-$99m) in capital to build the two new mines, with development starting immediately. First ore from stopes is scheduled between July and September of 2026, which is Regis Resources’ first quarter of the 2027 financial year.
