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Introduction & Market Context
Greatland Resources Ltd (ASX:GGP) presented its September 2025 quarter results on October 27, showcasing strong operational and financial performance. The Australian gold-copper producer, which owns 100% of the Havieron and Telfer operations, saw its stock price decline 4.17% to $373.75 following the release, despite reporting robust fundamentals.
The company's presentation highlighted its continued success in generating substantial cash flow while maintaining operational efficiency, with gold recovery rates reaching their highest level in over 15 years.
Quarterly Performance Highlights
Greatland Resources reported production of 80,900 ounces of gold and 3,400 tonnes of copper for the September quarter at an All-In Sustaining Cost (AISC) of A$2,155 per ounce. The company achieved gold recovery of 88.6%, marking the highest quarterly recovery rate at Telfer since FY2010.
As shown in the following comprehensive results summary:
Sales for the quarter totaled 82,200 ounces of gold and 3,300 tonnes of copper at an average realized price of A$5,277 per ounce, generating revenue of A$476 million. This performance translated into an operating cash flow of A$284 million, slightly down from A$310 million in the June quarter, but still representing strong financial results.
Operational Performance
The company's mining operations extracted ore from both open pit (1.79Mt at 0.60g/t Au) and underground sources (0.28Mt at 1.89g/t Au). The West Dome open pit provided the bulk of the ore, while higher-grade material came from the Main Dome underground operations.
The processing operations demonstrated exceptional efficiency during the quarter, with 4.68Mt processed at an average head grade of 0.58g/t Au and 0.09% Cu. The standout achievement was the 88.6% gold recovery rate, which contributed significantly to the strong production results.
The following chart illustrates the processing performance:
Cost control remained a priority for Greatland, with the September quarter AISC of A$2,155/oz coming in below the FY26 guidance range of A$2,400-A$2,800/oz. The cost structure breakdown and margin analysis is shown in this detailed chart:
Financial Results
Greatland Resources ended the September quarter with a cash balance of A$750 million, up from A$575 million at the end of the June quarter. The company remains debt-free with an undrawn A$75 million working capital facility, giving it total liquidity of A$825 million.
The financial waterfall chart below demonstrates the strong cash generation during the quarter:
One of the most impressive financial achievements highlighted in the presentation was the rapid payback of the acquisition consideration. Since completing the acquisition in December 2024, Greatland has generated A$885 million in operating cash flow over just 10 months, representing 1.6 times the upfront acquisition cost of A$541 million.
The acquisition payback metrics are illustrated here:
Growth Initiatives and Exploration
Greatland Resources maintained an aggressive exploration and development program during the quarter, with 10 active drill rigs completing approximately 54,000 meters of drilling. The company's exploration efforts focused on resource growth and conversion in the West Dome Open Pit and Main Dome Underground areas.
A significant development was the identification of a new high-grade zone in the West Dome Underground, which the company described as "one of the most exciting discoveries at Telfer recently." Drilling results included impressive intercepts such as 30m @ 5.6g/t Au & 0.25% Cu.
The West Dome Underground exploration results are shown here:
The Havieron project continues to advance, with the Feasibility Study targeted for completion in December 2025. The study is assessing an initial mining rate of 2.8Mtpa post ramp-up, with plans to increase to between 4.0-4.5Mtpa through the development of an underground crusher and material handling system.
Forward Outlook
Greatland Resources appears well-positioned for future growth, with its strong cash position providing flexibility to fund ongoing development initiatives. The company's investment proposition emphasizes its production capabilities, mine life extension potential, existing infrastructure advantages, strong funding position, and growth opportunities.
While the September quarter AISC of A$2,155/oz was below the FY26 guidance range of A$2,400-A$2,800/oz, investors will be watching to see if this favorable cost performance can be maintained in future quarters. The company's continued exploration success, particularly at the West Dome Underground, suggests potential for resource expansion and extended mine life.
The completion of the Havieron Feasibility Study in December 2025 will be a key milestone that could significantly impact the company's future production profile and valuation. With its robust financial position and ongoing operational success, Greatland Resources appears to be executing effectively on its strategy despite the recent share price decline.
Full presentation:
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