Horizon Gold (HRN) Q4 2026 earnings summary

Executive summary

• Definitive Feasibility Study (DFS) targets 962,000 oz mined and 880,000 oz produced over 10 years, averaging 88,000 oz per annum, with 98,000 oz per annum in the first five years and first gold expected in H2 2028.

• Significant upside potential exists from integrating over 800,000 oz of underground and refractory ore bodies, currently outside the DFS, into future mine plans.

• The project is underpinned by a well-drilled 80-km greenstone belt with 37 deposits, offering substantial exploration and expansion opportunities.

• Recent AUD 30 million capital raise will fund feasibility, an 80,000m exploration drilling program, and working capital.

• Approvals process is on track for a Final Investment Decision (FID) in Q2 2027.

Financial highlights

• Pre-tax NPV of AUD 1.3 billion and IRR of 53% based on a gold price of AUD 5,500/oz, with a payback period of 23 months from first production.

• Life of Mine (LOM) gold production: 880,000 oz; average annual production: 88,000 oz; peak: 114,000 oz in year two.

• All-in sustaining cost (AISC) just under AUD 3,000/oz, with strong margins at current gold prices (spot ~AUD 6,000/oz).

• Pre-production capital requirement of AUD 350 million, including contingency and commissioning.

• NPV to CapEx ratio of 3.7x, indicating robust project economics.

Outlook and guidance

• First gold production targeted for H2 2028, with FID expected in Q2 2027.

• Plant construction expected to start Q4 2027.

• Plans to expand throughput from 2.4 Mtpa to 3 Mtpa, potentially increasing annual production to 120,000 oz.

• Ongoing drilling and exploration to extend mine life and integrate high-grade underground resources.

• Estimated quarters of funding available: 4.82, supporting near-term activities.