KGL Resources (KGL) H2 2025 earnings summary

Executive summary

• Advanced the Jervois Project with a revised Feasibility Study Update (FSU25) confirming robust economics: NPV (8% real, after tax) of A$405 million, IRR 24%, and a 3.4-year payback at a copper price of US$4.58/lb over a 10-year mine life.

• Increased contained copper resource by 8% to 510,000 tonnes, with significant growth in silver and gold resources; all main deposits remain open at depth and along strike.

• Enhanced mine plan, increased open-cut ore proportion, and expanded processing capacity by 25% to 2.0 Mtpa, supporting higher early cash flow and reduced risk.

• Maintained strong safety and environmental performance with zero lost time injuries and incidents.

• Reduced staff, administration, and exploration costs by $3.9m year-over-year.

Financial highlights

• Net loss for FY25: A$3.02 million (FY24: A$2.67 million).

• Cash and cash equivalents at 30 June 2025: A$5.12 million (FY24: A$6.33 million).

• Raised A$12.28 million in new equity through two entitlement offers during the year.

• Exploration and evaluation assets increased to A$125.3 million (FY24: A$115.8 million).

• No dividends declared or paid.

Outlook and guidance

• Targeting construction commencement in 2026 and first production in 2027.

• Actively pursuing project funding through strategic partnerships, offtake, joint ventures, debt, and streaming.

• Ongoing exploration and geophysical work aim to extend mine life beyond 20 years.