Mount Gibson Iron
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Mount Gibson Iron (MGX) investor relations material

Mount Gibson Iron Q2 2026 TU earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 2026 TU earnings summary22 Jan, 2026

Executive summary

  • Operations at Koolan Island were suspended in October due to a significant rockfall, shifting focus to monetizing low-grade stockpiles and reducing the workforce by 140 employees and 130 contractors.

  • The December quarter's financial performance exceeded expectations, generating $15 million in positive operating cash flow and increasing cash and investments to $497 million, with no bank borrowings.

  • Acquisition of a 50% interest in the Central Tanami Gold Project is nearing completion, with FIRB approval received and closing expected by March, marking a strategic diversification into precious metals.

Financial highlights

  • Koolan Island generated $15 million in positive operating cash flow for the quarter, with sales revenue of $71 million and cash operating costs of $45 million.

  • Total cash and investments rose to $497 million as of 31 December, up from $473 million in the previous quarter.

  • Shipments for the half-year totaled 1.35 million tons, including 870,000 tons of high-grade and 500,000 tons of low-grade material.

  • Realized average prices: high-grade at $85/ton FOB, low-grade at $42/ton FOB.

  • No bank borrowings; interest earnings covered all corporate, admin, and exploration costs.

Outlook and guidance

  • Processing and shipping of low-grade stockpile material expected to continue through late June 2026 quarter, targeting an additional 1 million tons of sales in the June 2026 half-year.

  • Sale of remaining low-grade material expected to significantly reduce the previously estimated $30-40 million net cost of post-rockfall activities in FY26.

  • Anticipated non-cash impairment of $55–65 million for Koolan Island assets in the December 2025 half-year results.

  • Central Tanami Gold Project acquisition expected to close before 31 March, with development activities to follow.

Koolan Island infrastructure repurposing progress?
CTPJV development decision acceleration strategy?
Reason for Koolan Island cash cost per tonne drop?
Koolan Island long-term strategy post-stockpile?
Central Tanami gold price sensitivity analysis?
Capital allocation for new precious/base metal projects?
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Frequently asked questions

Mount Gibson Iron Limited is an Australian mining company focused on the exploration, extraction, and sale of iron ore. The company operates iron ore mines primarily in Western Australia, supplying iron ore to both domestic and international steel producers. Its activities encompass mining, processing, and shipping of iron ore products, including lump and fines. Mount Gibson Iron is involved in ongoing exploration to expand its resource base and sustain long-term production. The company is headquartered in Perth, Australia, and its shares are listed on the ASX.

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