29Metals (29M) Q4 2024 earnings summary

Executive summary

• Achieved or exceeded full-year 2024 production and cost guidance, with strong operational performance and cash generation at Golden Grove, and strategic progress at both Golden Grove and Capricorn Copper.

• Completed $180 million equity raise and senior debt refinancing, strengthening liquidity and funding for growth projects, with group liquidity at $268 million at year-end.

• Final investment decision made for Gossan Valley, extending Golden Grove's mine life and providing a third mining front.

• Capricorn Copper remains suspended, focusing on water inventory reduction and environmental compliance, with no mining production during the quarter.

• Group TRIF and LTIF improved to 10.0 and 2.4, respectively, compared to the previous quarter.

Financial highlights

• Unaudited revenues for the December quarter were $184.3 million, up 5% sequentially, driven by higher zinc and gold prices.

• Golden Grove generated $48 million in operating cash flow and $18 million in free cash flow for the quarter.

• Unaudited cash and cash equivalents at 31 December 2024 were $252 million; group liquidity was $268 million, up from $104 million in September.

• Net drawn debt reduced to $9 million from $147 million in the previous quarter.

• $21 million insurance claim progress payment received for Capricorn Copper, with total insurance proceeds to date $61 million.

Outlook and guidance

• 2025 guidance targets a 7% increase in copper production and a 15% increase in zinc production versus 2024, with Golden Grove production guidance: copper 22–25kt, zinc 60–70kt, gold 20–25koz, silver 750–1,000koz.

• Golden Grove site costs expected at $370–400 million, with capital spend of $136–173 million including Gossan Valley development.

• Capricorn Copper suspension costs forecast at $30–40 million for 2025, with spend ramping down post-wet season.

• Exploration expenditure expected to rise to $10–14 million, mainly focused on Golden Grove.

• Gold hedges reprofiled across 2025–2026, with 10,008oz at $2,590/oz in 2025.