Name of the Project
Katanning gold project (KGP).

Location
Western Australia.

Project Owner/s
ASX-listed Ausgold.

Project Description
The outcomes of a June 2025 definitive feasibility study (DFS) confirmed the KGP’s status as a development-ready, long-life gold project with a fast payback period and excellent financial returns at a range of forecast gold prices.

The project will have a ten-year life-of-mine (LoM) delivering an average of 1.14-million ounces of gold, with average production of 113 700 oz/y of gold over the LoM.

Openpit mining using a conventional load and haul arrangement will be implemented.

Ore will be processed in a 3.6-million-tonne-a-year carbon-in-leach plant.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an after-tax net present value, at a 5% discount rate, of A$954-million and an after-tax internal rate of return of 53.2%, at a gold price of A$4 300/oz. Payback is estimated at about 13 months.

Capital Expenditure
Initial capital expenditure is estimated at $355-million, including preproduction operating expenditure and contingency.

Planned Start/End Date
Not stated.

Latest Developments
Ausgold has taken a big step towards advancing the KGP after signing a binding agreement to acquire a substantial freehold land position critical to the development of the project.

The deal covers about 860 ha of freehold land, including 212 ha within mining licence (ML) 70/211, which hosts a significant portion of the project’s mineral resource and mineable gold ounces identified in the June 2025 DFS.

The acquisition resolves long-running legal disputes tied to Plaints 688801 and 719694, which had restricted Ausgold’s ability to enforce mining rights. With the legal actions now discontinued, the company has gains development certainty and immediate exploration access to prospective areas that had been off limits for years.

The acquisition also delivers a buffer area around ML70/211, materially improving opportunities for future expansion of the project.

Ausgold will now further optimise its DFS mine plan. This will focus on incorporating previously excluded portions of the mineral resource and reducing haulage costs by relocating waste dumps to more efficient locations.

The company also plans to launch a multirig drilling programme across newly acquired ground, targeting extensions of the Central zone ore shoots and high-grade mineralisation at the White Dam lode. Significant historical intercepts include 16 m at 19.25 g/t gold, 26 m at 6.60 g/t gold and 7 m at 10.94 g/t gold.

The acquisition carries a total consideration of A$35-million, comprising land costs and compensation for the relocation of four families residing on the land. 

Key Contracts, Suppliers and Consultants
Ausgold and Minescope Services (DFS).

Contact Details for Project Information
Ausgold, tel +61 8 9220 9890 or email info@ausgoldlimited.com.