Australian Gold Mining Outlook Strengthens as Major Projects Advance
The Australian gold mining outlook is strengthening as major plant expansions and new mine developments move toward production through the end of the decade, according to gold consultancy Surbiton Associates.
Australia produced 303 tonnes of gold in 2025, valued at about A$54 billion at prices prevailing during the year, Surbiton said. Annual output has averaged more than 300 tonnes since 2017. The country currently has about 80 gold-only operations and another 20 mines that produce gold as a by-product.
Surbiton director Dr. Sandra Close said several large projects should outweigh potential closures at older operations. “There are some big new projects and some large plant expansions coming on stream in the next few years,” she said. Mining Weekly
The largest near-term increase identified by Surbiton is at Northern Star Resources’ KCGM operations in Kalgoorlie. Stage 1 commissioning of the Fimiston mill expansion is underway, increasing capacity from 13 million to 27 million tonnes a year. Northern Star plans to connect the existing plant to the expanded facility in September, followed by a measured ramp-up using lower-grade feed during the first half of fiscal 2027. Northern Star Resources
Newmont’s Tanami Expansion 2 in the Northern Territory is another major project, although its latest figures differ from those cited in Surbiton’s report. Newmont now expects its 1,460-meter hoisting shaft and related infrastructure to support processing of 3.3 million tonnes a year. Commercial production is scheduled for the second half of 2027, with estimated capital costs of US$1.7 billion to US$1.8 billion. Newmont
At Karlawinda in Western Australia, Capricorn Metals is increasing processing capacity from 4 million to 6.5 million tonnes a year, targeting annual output of about 150,000 ounces. Commissioning is planned for the first quarter of fiscal 2027. Vault Minerals has also been advancing a Stage 2 expansion at King of the Hills toward 7.5 million tonnes a year. Surbiton said Vault’s proposed merger with Genesis Minerals could change the operation’s production plans. Capricorn Metals Vault Minerals
A second wave of growth is scheduled for 2028. Ora Banda Mining has approved a new 3-million-tonne-per-year plant at Davyhurst for A$375 million, with commissioning targeted for the third quarter of fiscal 2028. Ora Banda Mining
Capricorn’s updated Mt Gibson prefeasibility study outlines a 5-million-tonne-per-year operation beginning in the third quarter of fiscal 2028, subject to final approvals. The project now contains 5.67 million ounces in resources and 3.67 million ounces in reserves, with a 19.25-year mine life. Production is expected to reach about 260,000 ounces a year during four years of concurrent open-pit and underground mining. Capricorn Metals
Minerals 260’s Bullabulling study outlines production of 150,000 ounces a year from a 5-million-tonne-per-year plant beginning in the fourth quarter of 2028. The project has a 6.2-million-ounce resource and a maiden 2.5-million-ounce reserve. Minerals 260
Longer-term additions could include Northern Star’s Hemi project and Vista Gold’s Mt Todd development. Surbiton identified both as potential contributors around 2030. Northern Star continues to optimize Hemi’s design and permitting, while Vista aims to begin detailed engineering for Mt Todd in 2027, followed by an estimated 27-month construction and commissioning period. Northern Star Resources Vista Gold
Timelines remain subject to permitting, project execution, and corporate decisions. Close said higher gold prices could also allow smaller undeveloped deposits to use spare processing capacity as it becomes available.
Sources
- Mining Weekly – Australia’s gold mining industry has ‘bright’ future
- Northern Star Resources – June 2026 Quarterly Activities Report
- Newmont – 2026 guidance and Tanami Expansion 2
- Capricorn Metals – Karlawinda Gold Project
- Capricorn Metals – Updated Mt Gibson prefeasibility study
- Ora Banda Mining – Davyhurst expansion approval
- Minerals 260 – Bullabulling prefeasibility study
- Vista Gold – July 2026 Mt Todd update
Editorial Disclosure
This article is based entirely on publicly available information, including press releases, SEC/SEDAR filings, and publicly available news sources. Securities discussed or referenced include Northern Star Resources (ASX: NST), Newmont Corporation (NYSE/ASX: NEM), Capricorn Metals (ASX: CMM), Vault Minerals (ASX: VAU), Genesis Minerals (ASX: GMD), Ora Banda Mining (ASX: OBM), Minerals 260 (ASX: MI6), and Vista Gold Corp. (NYSE American/TSX: VGZ). Mining Markets Report has not received any compensation from any company mentioned in this article for this specific article. Mining Markets Report may have current or past paid business relationships with other companies, which do not influence the content or conclusions of this article. No staff member or principal of Mining Markets Report holds a position in any security mentioned at the time of publication.
