Ramelius Resources delivered a solid quarter, achieving full-year production guidance for the sixth consecutive year with 192,182 ounces of gold production, comfortably within the 185,000 to 205,000 ounce range. More impressive was the quarter-on-quarter acceleration, with June quarter output jumping 40 percent to 53,466 ounces as high-grade ore stockpiles were depleted and mining operations ramped up across the portfolio.
This operational consistency has direct financial implications. The company generated underlying free cash flow of A$138.3 million during the quarter, allowing simultaneous investment in growth, exploration, and shareholder returns. An interim fully franked dividend of A$54.1 million was paid in April, with a modest 6 percent take-up of the dividend reinvestment plan, followed by A$30.5 million in share buybacks during the June quarter. To date, Ramelius has completed A$140.7 million of its A$250 million buyback program, returning 56 percent of the committed capital to shareholders.
The balance sheet supports continued shareholder distributions, with cash and gold holdings of A$649.6 million at quarter end. This firepower enabled a landmark transaction announced on 29 June, when the company agreed to sell its Edna May hub to Forrestania Resources for A$300 million, comprising A$200 million in cash and A$100 million in FRS shares. The deal closes a chapter on a mature asset while injecting capital into the business and diversifying exposure across producers.
Operationally, growth projects are tracking to plan. The Never Never underground operation is ramping up with four stopes mined by quarter end, supported by extended incline and decline infrastructure. At Mt Magnet, multiple initiatives are underway: Circuit 1 site works have begun with the refurbished second ball mill set to arrive, while engineering work on Circuits 2 and 3 nears completion ahead of major works in the September quarter. The site will also welcome a significant camp expansion adding 236 rooms and new facilities, along with progression of a hybrid power project with wind turbine foundations now complete.
Investors should watch for the full quarterly report due 29 July, which will detail all-in-sustaining-cost performance and provide deeper insight into capital deployment across the growth portfolio. The success of Mt Magnet’s multi-stage expansion and the operational contribution from Never Never underground will be key metrics through the remainder of FY2027. This announcement is price sensitive and has been flagged as material by the ASX.
View the full ASX announcement (PDF)
About Ramelius Resources Limited (ASX: RMS)
Ramelius Resources Limited is a gold mining and exploration company that engages in the exploration, evaluation, mine development, operation, production, and sale of gold. The company operates through three segments: Mt Magnet, Edna May, and Exploration, with a portfolio of projects in Australia. Based in Perth, Australia, the company was incorporated in 1979 and generates the majority of its revenue from gold mining operations.
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