Northern Star's KCGM in Focus Ahead of Mill Ramp-up

Dow Jones
Aug 07

0258 GMT - The next era for Northern Star's KCGM operation will be "driven by efficiencies across processing, operating and energy" following its investment in a 27 million-metric-ton-per-annum gold-processing hub, UBS says. "The mills are currently commissioning on water and it looks set for a ramp-up from September," UBS says of the new hub. Consensus expectations for FY27 appear relatively conservative ahead of annual guidance, expected alongside FY26 results on Aug. 20, and a multi-year outlook expected around March 2027, UBS says. "Grades and recoveries are expected to be subdued during commissioning," it says. The bank forecasts KCGM output of 615,000 ounces at a cost of 2,770 Australian dollars an ounce in FY27. It has a buy rating and A$24.05 target on Northern Star shares. The stock is up 1.6% at A$22.55.

 

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