Greatland Resources (ASX:GGP) Q1 2027 Earnings Call

0:00 Thank you for standing by and welcome to the Great Land Resources September 2026 Quarter Investor Call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during Q&A time, simply press star followed by the number 1 on your telephone keypad and to withdraw your question, press the star 1 again. For operator assistance throughout the call, please press star 0 and finally I would like to advise all participants that this call is being recorded. I'd now like to welcome Shaun Day, Managing Director to begin the conference. Shaun, over to you. Thanks, Polly, for leading us in there and welcome everyone. Thanks for dialing in to Greatlands September 2026 quarterly results.

0:46 With me on the call is pretty much a full house of the executive team. We've got Andrew Bowler, Rowan Krasnoff, Otto Richter, Monique Connolly, also Nick Strong, our new Chief Operating Officer, is joining us on the call. What I'll do is I'll start by turning to slide five. Just a really solid quarter, we thought, from an operational outcome. You know, beat the street both in terms of gold production, and also all in sustaining costs with both being better than planned. And that was really driven particularly by Strong's processing performance.

1:37 and that was particularly encouraging given we had the planned major shutdown for the year of 15 days and that ran like a Swiss watch. The guy at that site did a great job to bring that back online and a really significant de-reaching as part of the year. In terms of production, doing just over 70,000 ounces of gold we thought was very strong. particularly the copper production as well, just over 2,900 tonnes of copper we thought was really encouraging and this just puts us very comfortable in terms of that guidance range of 260 to 300,000 ounces for FY27.

2:24 All in sustaining costs, I thought that outcome was particularly strong. coming in at 2,925 Aussie. That's right at the bottom of our All In Sustaining Cost Guidance for the year. When you look at that, this all delivered an operating cash flow of $289 million. We saw a net cash build and that net cash build was notwithstanding, we actually paid five months of tax during the quarter as we transitioned from a quarterly payment system to a monthly instalment system. So notwithstanding that extra tax burden for this quarter, it was still a strong cash-filled performance. Plus, of course, we got the full permitting on Tavron, so we started increased spending there.

3:16 We still closed the quarter with over $1.3 billion cash at bank, debt-free, and together with the undrawn $500 million debt facility, it means we have $1.8 billion of liquidity available. And what's really important about that is that de-risk, it gives us a clear pathway for delivering the organic growth profile we have at Havron but also across Telfer, which we'll talk to a little bit more through these slides. The core highlights for this quarter, to my mind, was the permitting coming through on Havron. That's been a journey, but we're delighted to have received that. And now we're in a position to go into the construction phase on our flagship Havron development.

4:06 The team's done a great job at spinning up in the week since that approval, and you've seen work at surface around setting up those evaporation pond construction and also clearing the pads for the ventilation blind boards. With that summary of third quarter, I'll pass across to Otto Richter. Thank you, Shaun. If we turn to slide seven... We'll now look at the key drivers of this good start to the financial year. We firstly look at the open pit, where's that? The open pit total material mined again saw an increase quarter on quarter to just under 8 million tonnes, 7.9. This is our seventh consecutive quarter on quarter increase in total material mined since Greatland took ownership and represents a 79% uplift in productivity since our March quarter last year. The continued growth is the result of higher trucking availability from our new and rebuilt trucks, consistent digger productivity, and an ongoing focus to improve bench turnover and opening up those larger, more productive working fronts in Stage 7.

5:22 The open but ore mine was also a record under grade and ownership at 4 million tonnes for the quarter. While grade was consistent quarter to quarter on our 0.45 grams per tonne Stage 7 growth stripping continues with 2.8 million ton waste mined for the quarter at a script ratio of approximately 1.7, down again from the 2.3 script ratio we had last quarter. The Stage 7 script ratio is expected to be around that 1.4, 1.5 for the remainder of FY27. If we now turn our focus to the main dome underground, we can see that the underground ore mine was also a record under Greatland ownership at 0.4 million tonnes for the quarter and up 19% quarter on quarter.

6:10 The underground grade is at 1.33 gram per tonne gold and this is in line with our plan for the quarter. Underground development, so a seventh consecutive quarter of record development metres with just over two kilometres achieved. And a good focus there or highlight is the second development drive to West Ham Underground which is now complete with the breakthrough occurring just after the quarter end. The big benefit here is this extends that primary ventilation circuit to the west end underground wall platform location and now allows us to open up more headings on that west end front. If we then turn to slide eight, we can see the processing outcomes from the quarter.

6:58 We milled 4.9 million tonnes at a 0.5 gram per tonne gold head grade, with milled tonnes being a key area of strength, while having successfully executed the planned 15-day mill shut, as Shaun highlighted. Our gold recoveries of 85% were in line with the plan, and our prior guidance commentary at 85%, while our copper recoveries at 83% was definitely a standout for the quarter. On to our stockpiles. This quarter we processed about 0.4 million tonnes of stockpile material, significantly down from the 1.3 million tonnes in the prior quarter, and this is due to the record times directly from the open pit and lower processing volumes during the planned shut in the quarter.

7:46 While we note that stockpile will remain an important contributor to our mill feed in FY27, we remind our listeners that our 1.4 million tonnes of remaining high-grade stockpile will be blended into the mill feed evenly through the rest of the year. Our stockpile balances at the end of the quarter total 21 million tonnes containing about 236,000 ounces of gold and another 10,000 tonnes of copper, which significantly de-risk the remainder of the year. On projects, if we look at the TSF stage, TSF 8 stage 4 construction, This remains on schedule for completion in our third quarter of FY27, and this will provide us capacity for processing out of the second half of FY28.

8:35 And I'll now hand over to Monique to talk to the costs. Thanks, Arno. We'll now move to slide 9. As Shaun outlined earlier, we achieved an all-in sustaining cost of $2,925 for the quarter, comfortably within the FY27 guidance range of $2,900 to $3,330 per hour. The strong oil and sustaining outcome was supported by good cost control, strong copper production and pricing, and gold production being ahead of plan. Our oil and sustaining cost margin for the quarter was a little over $3,000 per ounce, resulting in an oil and sustaining cost margin of over 100%. Looking at the key operating items, mining costs of $88 million were lower than the previous quarter despite higher total material moves. largely due to improved productivity aided by a higher proportion of mining volumes from the more productive Stage 7 mining areas. Processing costs of $90 million were in line with plan, but higher quarter-on-quarter primarily from the costs associated with the planned major maintenance shutdown in July.

9:34 Sustaining capex of $37 million was in line with plan, though higher than the previous quarter due to increased underground development activity. And finally, site services costs of $42 million was in line with plan and prior quarter's performance. Turning to cash flow and finance on slide 10, we generated net revenue of $485 million from sales of 72,000 ounces of gold and 2.7,000 tonnes of copper. Gold sales were achieved at an average realized price of just less than $6,000 per ounce. This resulted in TELSEC operating cash flows of $289 million and a $25 million cash build, which was after a tax payment of $100 million and a step up in growth investment following formal project commencement at Halbron.

10:19 We close the quarter with $1.3 billion of cash, no debt, and available liquidity of $1.8 billion. As a reminder, Greatland remains fully exposed to any upside in the gold price, with downside protection via gold put options out to September 2027, at an average strike price of $4,850. From a tax perspective, the $100 million paid in the September quarter, comprised of June's quarterly tax installments of $64 million, and an additional $36 million in tax payments for July and August as we move from quarterly to monthly instalments in the quarter, so effectively five months of tax paid in September's quarter. Looking forward, ongoing monthly tax instalments will be made for the rest of FY27 based on an assessed rate of approximately 12% of revenue from the ATO.

11:06 In addition, a catch-up payment that relates to FY26 of $155 million is anticipated in the December quarter Given tax instalments hadn't commenced until the June 2026 quarter. Finally, depreciation and amortisation was $73 million. Four-year depreciation and amortisation is expected to be $280 million to $320 million, weighted towards the second half of FY27. The increase in depreciation from FY26 to FY27 results from the increased capital base established at Telfer following significant investment made since acquisition. particularly from the underground development stage 7 stripping and the TSF construction list. I'll now head back to Shaun for the remainder of the presentation.

11:51 Thanks, Monique. If we jump across to slide 12, I'll just speak to CapEx briefly. We invested north of $37 million into Telfer growth capital during the period. This is just this ongoing investment in mine life extension at Telfer I think that for me the highlight of the quarter was we completed the second drive out to the West Dome Underground that completes the ventilation circuit out to West Dome Underground so I think that really sets us up for what we can achieve out there on the balance of the year and you've seen that ongoing investment in the open pit mining fleet that enabled that 7.8 million tonnes of total material moved during the quarter, which is now an increase of 79% over the productivity of that open pit measured by TMM when we first took over.

12:51 So it's just an outstanding result by the team. Moving across to slide 13, I think the narrative here is really that we're going through this investment phase and you're going to see the real benefits of this investment phase ringing in future years but you're just starting to see the benefit of that open fleet renewal in FY27. You'll see that consistently across FY28 and beyond and also things like the power station upgrade. This is a de-risking event. as we upgrade that power station and the switch room. And we think this just gives us a basis to be, again, more de-risked, more consistent as we move forward.

13:42 And then, of course, you've got Havron spinning up. We've done the evaporation, clearing for the evaporation ponds, also clearing for the blind bores, which is an important part of the ventilation circuit there. And you've seen a stark tendering, and so far that tendering has been encouraging. So we continue to kind of walk that forward, but we are early in this TAVRON process. I'll now just jump across to slide 15. and really, you know, you can see our guidance metrics for FY27. We were, you know, ahead in terms of or slightly ahead in terms of gold production for the quarter and also we're right at the bottom end of that all in sustaining cost guidance.

14:38 We still believe we're modestly second half weighted in terms of ounce production. are getting behind us the largest of the planned shutdowns for the year. I think it was really positive. Again, the team did a good job and it's a big risking for us. So overall, our guidance is unchanged, both in terms of total production, all in sustaining costs, but also for HAPEX as well. I'll now turn to slide 16. And this is where, you know, for the last two quarters or so, it's been around just executing that initial gross phase out of Telfer. But really, as we go into the balance of this financial year, we feel there's a lot of catalysts coming up. Firstly, the West Dome Underground drilling.

15:35 That pinnacle step out, that took the strike length of West Dome Underground from 600 metres to potentially 1.2 kilometres. So we're excited about that. You've seen we've completed about 12,000 metres of drilling, underground drilling, into that West Dome underground area. That's that core area. That's where we've actually driven out to. Then we also have... We've got to move from one surface rig to three surface rigs. as we better understand that 1.2 kilometres of additional strike length, which potentially takes West Dome Underground to a 1.8-kilometre strike length, still open in both directions, you know, plus vertically up and down and further out to the west.

16:30 But we're really excited just about the expansion opportunity there. Then we move into updating the DORC resource. That's a really significant update for us. We've had, you know, we've presently got 12 rigs on site and that really been spinning for most of the last 12 months. The drill cut off for our last resource update was 31 December 2025. So we think this is a substantial update. a lot of focus on target targeting conversion but you're also going to see that growth particularly in the West Dome Underground, West Dome Open Pit but we'd also like to put a maiden resource around that name going Open Pit and that's important because again we love the fact that we've got this life extension availability at West Dome Open Pit but to have the contingency, the flexibility, the resilience of also having a mine plan around that main dome.

17:31 I think it'd be really encouraging for us. Plus, historically, that was a notch higher grade. So, again, might give us some flexibility about how we approach that. We then go into the studies. The West Dome Undergrounds, that should be the first cab off the rank. It's really a phase one study because we're just going to be looking where that 12,000 metres of underground drilling has gone into that first 600 metres of strike length. But, you know, with the two drives out there, we've already started work on the third drive, being the haulage drive, back directly to the underground crusher and hoist to surface. and that has a lot of latent capacity in that.

18:16 It's rated for 6 million tonnes per year. Presently we use it for 1.25 million tonnes a year. So it's really encouraging to have this high grade opportunity Then we look at the vertical stock work study. This sits below the old sub-level cave. Again, we think there's an opportunity to potentially bring this online. There's about 35 million tonnes of material in that VSC over certainly well north of 1.2 million ounces there. and again we could bring it up that latent infrastructure in terms of the underground pressure and hoist. So those studies I think are really encouraging.

19:02 Then we should complete a dwarf reserve. That sets us up to really start describing how a long-term integrated intel and have one look together. and then finally obviously we've got this world-class O'Callaghan's tungsten deposit. We're looking at multiple ways to unlock value but it's certainly a focus for us to unpack this during the course of FY27. With that I'll now just turn to the summary slide which really just talks about this being a strong quarter in terms of North of 70,000 tonnes of gold production plus the outperformance on copper and a bit of a de-risking event in terms of the processing infrastructure.

19:54 Havron is now underway. We got those secondary permit approvals so really we're just spinning up now but we're really pleased and tremendous hard-working team. The liquidity and the robust treasury situation with $1.3 billion of cash at bank, no debt, together with undrawn debt gives us $1.8 billion to deliver that portfolio of growth projects. And highlighting as well that not just West Coast Underground, but also we're now underway at Havron. and then finally, look, we continue to have 12 rig spinning sites and the opportunity to update that York Resource, York Reserve and then be in a position to describe not just Havron with a multi-decade mine life but both Telfer and Havron as a gold copper mining complex with multi-decade life.

20:59 With that, and just before I pass across back to Paulie for questions. We do have a new COO on deck, Nick Strong. You know, we're delighted to have Nick join us, joins us from Northern Star, but he's really kicked the ground running over the, you know, since joining at the start of this month. Spent a lot of time with the team outside and, you know, really completes that executive team. but I'd also like to just acknowledge Otto who's done a magnificent job as COO over the last three quarters and you can see the success we've had. Otto's also have been very focused on our long-term mine planning.

21:48 So he'll retain that Chief Technical Officer role, which will be his focus and really that link between Otto with these, you know, with multiple open pits, multiple underground production centres, bringing them into the mine planning and into the life of mine and then passing across to Nick for execution. So the interaction between Nick and Otto is going to be a really important element of us moving forward and I think that's been really positive to see since Nick's joined. So with that, I might just offer to dial Nick in here and just throw him just to your first impressions, Nick, as you join Greatland this month.

22:36 Yeah, thanks, Shaun. Look, as Shaun mentioned, I recently joined Greatland about three weeks ago on the 5th of October and I've spent most of that time on site so far getting to know our team and getting up to speed on those operations. My first impression is that we've got a very solid, motivated team in place. The operations and infrastructure are in really good shape. It's an exciting time to be there and certainly no shortage of work as we look to significantly upgrade our mill feed by delivering multiple high-grade underground growth projects. I think the key things I'll be focused on in FY27 are our operating discipline and our risk management as we manage multiple expansion fronts and continue to deliver into the FY27 plan. Havron is an obvious growth front for us, however there appears to be plenty of lifeline to tell from the ground and that's a very exciting place to be operating and expanding at the moment. I'd like to share my appreciation for Otto, he's done a great job leading our operations since February, which is evident in these operating results. Otto and I will be working closely together going forward as we plan and execute on the integrated Telfer Havre Online plan.

23:39 So I look forward to interacting with the investors and analysts until I get my feet on the desk and it's a great start so far. Thanks Shaun. Thanks Nick and welcome aboard. With that Paulie, why don't we open it up for questions. Thank you Shaun and as mentioned we will now begin the Q&A session. For those listening by phone and would like to ask a question, please press star followed by 1 on your telephone keypad to raise your hand and join the queue. And to withdraw your question, simply press star 1 again. When called upon, please use your handset, ensure your line is unmuted and be ready to ask your question. And your first question is from the line of Kate McCutcheon of Bank of America. Your line is open. Hey, good morning, Shaun, and well done on the new role, Nick.

24:24 Just for September quarters annualising below the CapEx ranges for the full year guide, how do we think about the cadence over the coming quarters for that Telfer growth CapEx? Look, for Telfer, I think it will be a steady progression as we go across the year. I think it ramps up a little bit across the financial year. You'll probably see that with Havron as well, obviously. as we go through the year but again we should be staying within that guidance as we see it today. Okay and then hover on, I know that you're just getting started there with tenders etc but compared to where you thought you would be when you made that FID, are there any key areas you're ahead of the plan there and conversely any areas where there needs to be some catch-up I guess?

25:19 We're three weeks in, so I'm going to say we're bang on schedule, Kate. But I think give us maybe another quarter before we start trying to pick where there's any divergence. But so far, I think what was impressive is I think we got the permitting at 10 o'clock on an Australian Western Standard Time on a Friday. and by 3.30 that afternoon we'd started work. We were talking a lot to the EPA and to the national EPA. So we had a fence that was coming that week. So we spun off during the week. So we got off to a really good flying start. Probably the other key for us, I think the surface works are going to schedule.

26:08 I think the other element to me, which I think will play itself out, is the tendering that we're doing presently to get some of those EPCs squared away. So far encouraging but again gives us a little bit of time to get them contracted before we start being too definitive. Okay, nice one. And your next question comes from the line of Levi Spray of UBS. Please go ahead. G'day Shaun and team. Can you just talk through the next steps that have here and a little more? So just confirming on the permits, what is outstanding? Is there anything outstanding in terms of activities? What's happening over the course of the remainder of the year?

26:54 And then you mentioned the EPC for the tendering. What are the big ones coming up? Yeah, thanks Levi. Look, In terms of, well, let me start with the termination. All the secondary permits are now in place, so effectively we are actively working both that surface and in the underground there and indeed starting the process for operating the haul road back from Telford to Havron and indeed doing the plant modifications at Telford. So everything is spinning up. What you've seen initially the focus for us is the where the evaporation pond that surface you might recall where we're just sitting above that lower confined aquifer we wanted additional evaporation pond capacity so that we could punch through that LCA so that's effectively been the focus for us with that clearing we've also been doing the blind pour pads Those blind floors are also on the critical path in terms of getting that ventilation down into that underground before we do stoping.

28:09 So that's encouraging in terms of the underground, the deep line itself. Just to remind people we are 340 metres vertical because this is already effectively half built. So we've started moving that forward but again It's very needed progress until we actually have those evaporation ponds, or at least evaporation ponds for online, which is still more the end of October before we'll have that actually online. And then in terms of tendering, staff's underway. We have the EPCM tender, which is complete. We have the whole road.

28:55 We have the mill modifications, the power line and the blind boards. Those are probably the five main kind of contracts that springs to mind as kind of under the 80-20 rules. We have the blind boards in place with Abigaility. Again, that's largely consistent with the study. Abigaility is an Australian group, one of probably the four world-leading blind board organisations in the world. They do a lot of work in the Hunter Valley. We think they're really well-placed to team up with us. And remember, we already have blind board VR1 in place, and then this is effectively putting in VR2 and VR3.

29:44 the power line and the whole road and indeed the new modifications are all live tenders so we're positive about where we are but yeah as I said to Kay just give us a you know weeks and months to actually get the outcomes of those before I'm more definitive but hopefully that gives you some pretty good colour on where we are thereby. Yeah thanks for the extra data. Thanks Shaun. And your next question comes from the line of Adam Baker of Macquarie. Please go ahead. Hi Shaun and welcome Nick, thanks for the update. Just maybe touching on the underground volumes, I mean pretty solid performance during the quarter, 378,000 tonnes, looks like it's been your best performance underground in three years there.

30:33 And you've also noted that you've had record development metres over the course of the quarter, over 2,000 metres. So just wondering, could this flow through to higher stoke volumes in the upcoming quarters and what are we expecting from underground volumes for the rest of the financial year? Thank you. Otto here, I'll take that one. For the rest of the quarter, we're looking at a fairly similar trend to what we currently have, especially in terms of that ounce production. The Telfer Underground does offer quite a range of mineralization, ranging between narrower, lower tons and higher grade versus more bulky stockworks at lower grade. And where we are currently, while we're opening up that West Dome Underground market, The focus is expanding those current areas but also we put some focus on the ESC over the last few quarters and that's currently one of our main production areas. So from an ounce profile point of view for the remainder of the year we're looking at remaining consistent on that profile and that'll be a mix as I said between higher tonnage lower grade and lower tonnage higher grade depending on which areas we're mining in the sequence through the year.

31:49 And if I just augment that, Adam, I think where we see the real step change is when we bring on that West Dome underground and obviously Otto's leading the study on that. But that's this beautiful confluence of really high grades, the highest grade you've seen at SELTA since 2005 or highest average grade. and an independent mining area, which I think will allow us to lift tons. And that's why that latent infrastructure, having an underground crusher, underground hoist rated for 6 million tons, we're using about 25% of that. So the capital intensity of bringing West Dome underground online, we think is really attractive. Right now, we plan to see that in FY28.

32:39 but, you know, we've been really encouraged by the development we're getting out there. And then, of course, with Nick's background in pedigree, you know, we're really keen to unleash him on that underground as well. Sounds good. I'll jump back in the queue. Thank you. And your next question comes from the line of David Ratcliffe of GMR. Your line is open. Hi. Good morning, Shaun and team. First question was just to follow up on Kate's question about the self-growth capital capex. It's obviously quite a way below the pace of the guidance and you'd need to average probably close to $100 million for the balance of the three quarters to get to that level.

33:25 So if I could push a little bit more to just understand what's happening there. So is the spend behind schedule? And if so, what's driving it? I'll just grab that one. Effectively our first quarter was always going to be a little bit slower in terms of capex spend for growth at Telfer purely because there's some low lead items that we were looking to place. So it's definitely a ramp up that was planned for the rest of the three quarters of FY27. I would also highlight we have around $25 million of capex spend on the mining open pit fleet that we have spent but hasn't yet been converted into capex. purely from an accounting perspective, we treat that as a pre-payment until it's delivered to site. So those long lead items, while we are progressing them, they just haven't actually hit CapEx yet. So I think very much on track to make the guidance verify 27 with a slower Q1.

34:19 And importantly, to Monique's point, we've spent the cash, but it doesn't appear in CapEx, it appears in pre-payments. Yeah, that's actually very helpful. There may be a follow-up there. I mean, you mentioned the ventilation is now done for West Dome. The plans for 28, but it certainly feels like it could come in a lot earlier. So what has to happen at West Dome before we see some production this financial year rather than next? Let me answer that in two parts. Firstly, we're doing this third drive out. That will be a dedicated haul drive. That's about 1,500 metres of development, and that will bring ore directly back to that underground crusher and hoist, which we think is a long-term, really elegant tramming solution. Right now with that ventilation in with the two drives, that gives us access. I think we're going to get four headings in there which we think can be productive. We stand off around 280 metres from that ore body.

35:31 So what's most important for us right now is the drilling we're doing to make sure we put that infrastructure in the optimal position to deliver West Dome Underground efficiently over the medium to long term. We probably could drive in there a little bit quicker if we wanted to, but right now it's about doing it well. This is potentially transformational in terms of grade and volume to that Telfer Underground. It's just, you know, we're not about doing record quarters. We're about consistent delivery. So although right now we're kind of really happy with where we are, and we probably could look at accelerating, and perhaps there's a little bit of development more in that June quarter, which is not in our budget or plan, but that's certainly the opportunity for us. But right now it's about getting it right.

36:30 And from a study point of view, if I can jump in there, so that infill drilling is planned to run through to roughly the end of the year. That will then give us our resource update. and if you look at our previous resource that was released for West Brom Underground, there's a significant resource that needs conversion into reserves. So as Shaun said, we're just waiting for that drilling to be finished, getting the assays back, updating the resource model and then finishing the study in this phase one process to get the reserve done and placement of that major infrastructure and then waiting in serious anticipation for the remainder of the Pinnacles holes to come in.

37:15 Yeah, brilliant. Thank you, that's very clear. Cheers. Your next question is from the line of Daniel Morgan, Baron Joey. Your line is open. Hi, Shaun and Tim. Do you plan to produce more in the December quarter? I just didn't think through it. You don't have a mill chart, well, not a major mill chart, Mining productivity has clearly been improving. So I guess it comes down to grades and recovery expectations. Could you just talk about the December quarter? I'll answer that in two ways. Obviously, as you said, we don't have the malls shut. So we're not looking at the downtime from the mall time. That is getting into the start of our wet season, which we have to take into account. We're currently planning a slight uptick in throughput based on the first quarter, and as what we've said previously, we are slightly weighted towards the second half of the year.

38:21 But at a high level, I think we'll see a slight uptick from the first quarter, but largely in line from an ounce production profile. Yeah, look, just to add to that, Daniel, I think the real kick-up comes in the second half of the year. And in Q2, depending on, we've probably exceeded where we forecast and budget our mining productivity, particularly in that open pit, which is, again, a great credit to the team. But right now, we assume there's a little bit more stockpile feed in that second Q in terms of our forecast. You know, what you saw in this September quarter, I think we only used 300,000, just shy of 300,000 tonnes of stockpile feed. You saw the high-grade stockpile effectively remain unchanged at 1.4 million tonnes.

39:19 Now, there is some, you know, we do use it as some working capital, so to speak, so there's tonnes on and tonnes off that stockpile. But, you know, we're happy with how things are going, but Equally, we probably formally see that tick up really happening in the second half rather than in the December quarter. But if we can maintain the productivity of this first quarter, where we put ourselves in a strong position. Thank you. And just on that piece regarding mining productivity versus filling the mill, obviously this is a big year of investment to get new ore sources up and running. I'm just wondering... When do you think, conceptually, you might be able to fill the mill from fresh ore? Is that FY28?

40:06 Thank you. Thanks, Damien. We're pretty close, aren't we? I think of just under 5 million tonnes, 4.7 million of that was fresh ore. And we've got, what, is it 21 million tonnes of stockpiles there? So when we're drawing it down at 300 tonnes, You know, tons a quarter. There's, yeah, there's a plus 20 year kind of stockpile there. So, yeah, we feel that is beautiful. You know, just what it does for de-risking, what it does for consistency of performance. We really like that. But again, if we can bring on the West Dome Underground, if we can continue that improvement in open pitch productivity for FY27, We still forecast using some of the stockpiles.

41:04 And then, of course, in time, there's also the potential to bring on Havron Underground and turn back on that BSC. So we think we have multiple pathways where we're not using that stockpile. It's just long-term buffer for us. And we love the idea of having it there. But you know there are multiple pathways where through productivity, through bringing on Western Underground, the VSC and Avron where we effectively park up those stockpiles into the more kind of medium to long term. Okay thanks very much John. And Hugo, just a reminder there, although we said the July shut was our largest shut, we do have a shut in November as well. That will be the smaller one, but we're not going into the next quarter without any shuts.

42:02 Thank you. And your next question is from the line of Hugo Nicolazzi of Goldman Sachs. Please go ahead. Hi, Shaun and Tane. Thanks for the update. Look, firstly, to the entire previous question, Maybe just starting with the open pit, you've talked to the strip ratio of stage 7. Can you just talk to more broadly how you see overall material movements for the open pit progressing over the rest of the year? So we currently have material coming from three stages, which is stage 7, stage 8 and stage 2. Stage 8 and stage 2 are our two deeper stages and that's where the bulk of our ore or our higher grade ore comes from. and if you look in our release that was posted in Figure 1 and then obviously Stage 7 is opening up the larger surface areas.

42:57 So through the remainder of the year the bulk of the material movement will be coming from Stage 7 but our high grade mainly comes from Stage 2. So Stage 8 is getting towards the end of its life and that's tied into Stage 2 now and The higher grade will come out of stage two, obviously longer haul and slightly higher cost. And then our main focus will move to stage seven from a volume opening up, putting in two diggers up at the top towards the second half of the year, opening up the fronts in stage seven and bringing that down to where the higher grade in stage seven kicks off.

43:43 God, I think it's a helpful caller. And then sort of similar line of questioning on the underground piece. If I go back historically, I think, to your outlook, your plan was for the underground material for 26 and 27 to be about 3.5 million tonnes. Obviously, you know, a number of reasons in the industry in terms of productivity and availability may be impacting that. But can you just talk to the tonnage rates you expect to continue ramping up the tell for underground from here and then what sort of exit rate you expect to end FY27 at? So we're expecting to ramp up probably about, off the top of my head, about 30% more than what we're doing now towards the end of the year from the underground.

44:29 Now, that depends on as we open up those underground fronts. The ESC is currently in full production, so we're putting a lot of development into that previously. And then The underground, one of the big focuses for the underground is also the copper that comes from the underground to complement that open pit copper feed from it. So we do look at areas not necessarily from a just a gold grade point of view but also from the copper contribution that comes from those areas and the bend that provides to the open put on.

45:19 Great, that's helpful. And then just maybe on the copper piece, some of your peers more recently have reported very strong realized prices in the September quarter just around provisional pricing and things on copper. Yours probably more in line with quarter average. Do you want to just remind us what your quotational periods are on the copper comp? Alright, Shaun here. We don't necessarily share the details of our off-takes. What I will say is there's no long-term kind of off-takes in place. We're able to fully participate in the market, which is hugely advantageous and Yeah, I think it's actually quite a good strategic asset for us that we are producing this copper concentrate. I think it gets a little bit lost that we're also a copper producer within our peer group.

46:13 The TCRCs, the pricing, the payability on it is really attractive. Having said that, we There's also gold in our... It's a gold copper concentrate. So we also... It's important for us to focus on what we get as a return for that gold as well in there. But we think the pricing continues to improve on concentrate sales. And I think if you have a look at us, we track the market pretty well, which shows you there's no unusual quotation periods in what we've got. And I sold a copper con through... the late 2000s where you had a big correction in the copper market. So I think I understand some of the risk profile associated with that and I think we've got a very de-risked approach to copper concentrate sales.

47:09 Alright, thanks for that Shaun. Just lastly to clarify, so your integrated Telfer Haviron site is now due in the June half next year? If you're talking about... So I think what we would need to do before we came out with an integrated study is complete the York Reserve. That is the foundation, as you appreciate, for us developing the life of mine on Telfer. That is due in about May, June 2027, so this year. We've obviously already got the Havron element in place with that feasibility study. At that point, we're able to add them together, but I wouldn't say we'd be racing to get that out. We'd want to make sure we spent the time getting that, you know, making sure we think through the nuances and how we present that.

48:03 But, yeah, I think we'll have all the building blocks we need in place by May, June 2027. All right, thanks. That was a good one. And a reminder, before we continue on, to press the star 1 to join the queue. And your next question is from the line of Ben Lyons of Jardins. Please go ahead. Thanks. G'day Shaun, Monique, Otto. Just a quick one on Haviron please, and sorry if I misinterpreted your comments on the current status, but did you say you're re-tendering the underground mining contractor? at Haviron. Obviously Burncut was up there for many years on standby for a restart of the decline and you say just how you're weighing up the opportunity to maybe cut a few bucks on cost versus mitigating the risk of the potentially challenging ground conditions.

48:57 Thanks Shaun. Thanks Dan. No I didn't mention Burncut as that. Burncut are there as you correctly identified. We're really confident working with Burncut. I mentioned also earlier that we're 340 metres vertical. That was done with Burncut. Very much what we've tried to do with Burncut is put the band back together in terms of bringing in a lot of the team there that had been through Have Run previously. So we think that that history, that expertise, that experience Thank you very much. Thank you very much.

50:18 Then I think, you know, we can re, you know, we can re kind of consider this from sales principles. But look, we enjoy a good relationship with Burncut. They've done a good job. We think highly of them. I think they're probably Australia's premium underground contractor. So, yeah, it's a good relationship. But naturally, we always want to optimise that. And as you described, if there's an opportunity to save some bucks over time, I think that's something that we'd like to unpack. Awesome. Thanks for clarifying, Shaun. Apologies for misinterpreting the comments. All good, mate. And your next question is from the line of Branko Skocic of J.P. Morgan. Your line is open.

51:05 Morning guys, thanks for your time. First question on the tungsten angle. I was just interested in how progressed discussions around Oak Callaghan's are. It does seem like the time wants to do it all to the back end of this financial year. I'd also be interested if there's been any inbounds from governments or quasi-government-led entities for the asset as well. Yeah, thank you. I'll take that. So, look, just a reminder for people who aren't as familiar as I am about tungsten deposits. Ongoing discussions. Look, I don't want to sort of name parties or talk to specifics here. I think, you know, we said on the last quarterly call that we were, you know, looking for an outcome this financial year and that remains the case. We are really focused on it and all options are still on the table in that regard.

51:59 So that ranges from a spin-out, a potential divestment, or essentially a joint venture. We're seeking to optimize and maximize value for our shareholders. We're deliberately being patient. We don't want to rush an outcome that we're not satisfied with. So that's kind of the update. We still target an outcome this financial year. and just back on the FY27 guidance, I was just wondering why you haven't felt comfortable upgrading or at least narrowing, should I say, the guidance range, just given that strong first quarter of the year? Veronica, I think that's a compliment, as in it was a good first quarter, but look, we're one quarter in, give us some time, but it is an encouraging start, but I think, you know, for now, you know, one quarter in, we're really happy in terms of, I think, de-risking delivery of that guidance and then let us take it from there.

53:09 But, you know, one step at a time. That's crazy. Much appreciated. Thank you. And this concludes today's Q&A session. I would like to turn the call back over to Shaun for closing remarks. Just to say thank you for everyone who's dialed in. We appreciate your time and the really high quality of questions. So thanks for kind of reading in and thanks to the team here for putting this together. Thanks again and we'll look forward to engaging again next quarter. This concludes today's conference call. Thank you all for joining us. You may now disconnect.