Ora Banda boosts production and cash reserves in FY25, outlines growth plans for FY26

Tue July 29 2025

Ora Banda Mining Ltd (ASX:OBM, OTC:ESGFF) lifted its cash balance to A$84.2 million during the June 2025 quarter, despite investing A$40.9 million in capital, resource development, and exploration. Gold sales for the period reached 20,220 ounces (oz), contributing to a full-year total of 91,687oz — up 36% on the previous year. FY25 gold production, including attributed ounces, was 92,399oz, up 32%.

Production was temporarily impacted by delays at Riverina and slower ramp-up of mill upgrades. However, the company began third-party ore sales to Norton Gold Fields (NGF), generating 1,389oz in attributable equivalent production. Full-year all-in sustaining cost (AISC) was A$2,693/oz, down from FY24, despite a spike in the June quarter AISC to A$3,583/oz.

Looking to FY26, Ora Banda has guided 140,000–155,000oz in gold production, with a capital allocation of A$73 million for exploration and A$86 million for infrastructure upgrades, including a study to expand processing capacity.

Quarterly ounce production (including attributed ounces) and head grade.

“FY25 was a very successful year for Ora Banda. We delivered record production with over 30% improvement on the previous year, commenced and ramped up Sand King as our second underground mine, extended Riverina mineralisation by over 500m to a depth of 1km and advanced numerous potential underground targets,” Ora Banda managing director Luke Creagh said.

“In addition, after investing over $124 million in capital projects, resource development and exploration during FY25, Ora Banda increased its cash position by over $57 million, closing the year with $84.2 million in cash.

“Despite the previously announced challenges in the June quarter, the operations and Ora Banda team are well positioned going into FY26.”

Operational performance: Sand King and Riverina

Sand King Underground delivered 96,600 tonnes (t) of ore at 3.4 grams per tonne (g/t) for 10,528oz, a 195% rise in mined ounces. The operation hit its targeted 60,000oz annualised run-rate in June. Riverina Underground contributed 143,000t at 3.2g/t for 14,787oz. However, high-grade stopes containing 3,000oz were deferred to July due to a delayed raisebore rig needed for escapeway commissioning.

Overall mined ore for the quarter was 181,676t at 2.8g/t for 16,291oz. Including low-grade material, total tonnes mined were 181,676t for 16,759oz. Development activities continued at pace, with 993 metres of capital development and 1,050 metres of operating development completed at Riverina.

Source: https://www.proactiveinvestors.com.au/