MGX Resources (MGX) Q3 2026 TU earnings summary

Executive summary

• Completed acquisition of a 50% interest in the Central Tanami Gold Project for AUD 50 million, marking a strategic shift toward gold production and targeting a development decision within 12–18 months.

• Koolan Island iron ore operations are winding down, with focus on rehabilitation and final shipments, and low-grade iron ore sales funding site closure after the October 2025 rockfall.

• Ended the quarter with AUD 414.7 million in cash and investments, equivalent to AUD 0.35 per share, and no bank borrowings.

• No reportable injuries in the quarter; safety metrics improved and remain favorable versus industry standards.

Financial highlights

• Koolan Island sales revenue for the quarter was AUD 18.3 million FOB, with 0.39 million wet metric tons of low-grade iron ore shipped at 44.2% Fe.

• Group cash outflow for the quarter was AUD 11.8 million, including a Koolan outflow of AUD 15.3 million and AUD 6.6 million in rehabilitation costs.

• Group operating cash outflow was offset by AUD 3.9 million interest income and AUD 4.6 million gains on equity investments.

• Equity investments valued at AUD 31 million, including stakes in AIC Mines, Maronan Metals, and Fenix Resources.

Outlook and guidance

• Central Tanami Gold Project is the primary focus, with a development decision targeted in the next few years and Groundrush exploration decline construction to commence September 2026, valued at AUD 38 million with a 14-month timeline.

• Koolan Island low-grade shipments expected to reach 1 million tons in the January–June 2026 period, supporting positive cash flow as shipping accelerates post-wet season.

• Rehabilitation at Koolan Island on track for completion mid-2026.

• Regional exploration programs in NT and WA delayed by weather but expected to commence mid-year.

• CTPJV work program includes resource drilling, feasibility, and regulatory activities over the next 12–18 months.