St Barbara Limited has reported a significant 49% increase in gold production at its Simberi operation during the March 2026 quarter, delivering 13,522 ounces compared to 9,072 ounces in the prior quarter. This substantial improvement reflects operational gains across both mining and processing, with processed tonnes climbing 22% to 493,000 tonnes and average feed grade improving 15% to 1.09 grams per tonne. The acceleration suggests the company’s turnaround efforts at Simberi are gaining traction after a challenging prior period.
The production gains were underpinned by improved processing performance under new leadership, particularly in March when 192,000 tonnes were processed at 1.14 grams per tonne, yielding 5,973 ounces for the month alone. Mining output also expanded with ore mined reaching 679,000 tonnes, up 24% quarter-on-quarter, as face positions established in the first half provided better access to ore zones. However, the operation encountered headwinds from above-average rainfall during the quarter, with March experiencing rainfall at the 80th percentile of historical records. Mining conditions in the Pigibo pit proved particularly challenging, as the operation continues working through backfill material from prior year waste dumps.
A critical development for investors involves St Barbara’s strategic restructuring of its Simberi interests. The company completed its transaction with Lingbao Gold Group this month and expects to finalise its arrangement with Kumul during April 2026. As a result, St Barbara will hold a 40% attributable stake in the New Simberi Gold Project going forward. This structural change means the company will report only its 40% share of production and sales from Q4 onwards, requiring careful interpretation of future quarterly results relative to historical performance.
Looking ahead to the June quarter, management anticipates the New Simberi Gold Project will produce between 14,000 and 17,000 ounces, translating to St Barbara’s attributable share of 5,600 to 6,800 ounces. The company projects All-In Sustaining Costs for its attributable production in the range of A$4,100 to A$4,500 per ounce, accounting for anticipated diesel price escalation. Mining and processing volumes are expected to improve from Q3 levels, though the company acknowledged that not all scheduled higher-grade Pigibo pit benches will be mined by quarter end, with recovery instead occurring in July and August 2026.
St Barbara’s liquidity position strengthened materially following the Lingbao transaction, with the company receiving A$389 million on 2 April 2026. This capital infusion significantly boosts the company’s financial flexibility beyond the A$170 million in combined cash, bullion, and listed investments reported at quarter end. Investors should monitor the detailed quarterly report expected on 29 April 2026 for finalised capital expenditure and cost figures. The announcement is price sensitive and has been flagged as material by the ASX.
View the full ASX announcement (PDF)
About St Barbara Limited (ASX: SBM)
St Barbara Limited is an Australian-based gold mining company with operations in Canada and Papua New Guinea. The company operates the Atlantic Operations in Nova Scotia, Canada, which includes the Touquoy mine, and the Simberi Operations in the province of New Ireland, Papua New Guinea. The company engages in the exploration, development, mining, and sale of gold, with additional interest in silver exploration.
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