Genesis Minerals welcomed strong financial results for the first half of the 2023–24 financial year (H1 FY24), following its acquisition of the Leonora assets from St Barbara.
The gold miner’s net profit for the six months ending December 31 2023 was worth $14.8 million, with the amount being generated from $209.1 million in gold sales revenue, a major increase from the $43.8 million recorded in H1 FY23.
During the period, 70,077 ounces (oz) was sold at an average realised gold price of $2984/oz.
Genesis produced 69,361oz at an all-in sustaining cost of $2114/oz and invested $44.5 million in growth capital and exploration.
As a result, the company closed the period with $192 million in cash and bullion while having no corporate bank debt.
“Genesis has put the building blocks in place to deliver on its stated strategy of establishing a premium 300,000oz gold producer and we look forward to presenting our five-year outlook to our shareholders later this month,” Genesis Minerals managing director Raleigh Finlayson said.
Genesis will undertake key measures to deliver its growth strategy, including commencing underground development at the Ulysses deposit, continuing investment in mining activities at the Admiral open pit, and carrying out drilling and early development works at the Tower Hill deposit.
The company has also paid a $15 million one-off cash payment to Kin Mining for the acquisition of the Bruno-Lewis and Raeside deposits.
Production wise, the Gwalia underground mine saw the Hoover Decline advancing below the 1900 level and 1874m of development was completed in parallel with 412,000 tonnes (t) of ore hauled.
Gwalia’s total underground mill production equalled 438,000t at five grams per tonne (g/t) for recovered gold of 67,689oz, and Admiral’s total material movement amounted to 3.9 million bank cubic metres, with 650,000t of ore hauled and its total open pit mill production equalling 54,000t at 1.0g/t for recovered gold of 1672oz.
To top off its strong H1 FY24, Genesis’ Gwalia gold plant hosted Brightstar Resources’ inaugural gold from the Menzies gold project yesterday.
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