Good morning, ladies and gentlemen. Welcome to the 2026 Annual General Meeting of Alkane Resources Limited. For those who don't know me, my name is Andy Quinn. I have the privilege of serving as Chairman of your company, and I'm delighted to be in person this year to chair this meeting rather than being on a screen from the other side of the world. Before proceeding with the formal business of the meeting, I'd like to introduce my fellow Directors and the members of our executive management team who are with us today. I'm joined today at today's meeting by our Managing Director and CEO, Nic Earner, Non-Executive Directors Ian Gandel, Brad Mills, Frazer Bourchier, Denise McComish, Gabrielle Upton, and Jennifer Purdie. I'm also joined by members of the executive management team, including our CFO, Jim Carter, General Counsel and Company Secretary, Rich Steenhof.
Also present today is Rob Gambitta, a Partner of KPMG, the company's auditor, and Rod Somes from the company's share registry, Computershare, who has agreed to be the Returning Officer for this meeting. The past year has been very significant for this company, particularly the combination of Alkane and Mandalay has brought together a portfolio of quality gold operations, creating a substantially larger, more diversified, and financially stronger company. The integration of the two businesses has been a major undertaking, and I'm pleased with the progress of our management teams in bringing the operations, people, and systems together while maintaining a clear focus on operational performance. The enlarged companies also achieved important milestones, first entering the ASX 300 and subsequently the ASX 200, recognition of the increased scale and standing of Alkane in the market.
Importantly, throughout this period of considerable change, we've continued to deliver against our operating guidance, and strong operating performance together with a favorable gold environment, it has to be said, has enabled us to build a substantial cash balance and strengthen our balance sheet. This financial strength allowed the board to take two important steps in returning capital to shareholders, declaring our first dividend in its 46 years of public company history, and at the same time announcing a share buyback program that allowed our non-Australian shareholders to participate in the capital return. These are significant milestones for Alkane and reflect the confidence we have in the company's financial position while retaining the capacity to invest in our operations and future growth.
One other priority that was recognized by the board early in the process of bringing these two companies together, the importance of strengthening the board through the appointment of additional independent Non-Executive Directors. As Alkane has grown in size, complexity, and profile, so too is the need for a board with the breadth of experience, independence, and diversity to provide effective oversight and support for management. I'm therefore particularly delighted that we've secured the agreement of three exceptionally talented and experienced women to join the board. Each brings valuable skills, experience, and perspectives, and I believe their appointments will make a substantial contribution to Alkane's future. I'm now going to invite each of them to say a few words by way of introduction and then proceed with the formal business of today's meeting. First, I'd like to introduce Ms. Denise McComish, Non-Executive Director of the company.
Denise, I invite you to say a few words to shareholders. I am going to stand to one side.
Thanks, Andy. It is a pleasure to be here and to address you as well this morning. With the support of our shareholders, I seek to be elected as a director of Alkane. I was privileged to be appointed to the board in December last year. I also hold the roles of Audit and Risk Committee chair, and I am a member of the nominations and governance committee. My executive background until 2019 was as a 30-year partner with global professional services firm KPMG, specializing in audit and advisory services and working closely with major companies in many industries and on a global basis, particularly focused on the mining, resources, and infrastructure sectors. I also served as KPMG's national mining partner.
I bring significant and diverse experience gained from numerous board roles as a Non-Executive Director, and my current and recent board roles and other appointments are set out in the notice of meeting. I think my sector experience, my financial, audit, risk, strategy, and governance expertise, and my corporate and regulatory experience, including in strategy, M&A, and international operations, are all very relevant to Alkane. In addition, I have specific experience in Audit and Risk Committee function, governance, and performance. I believe this does make me well-placed to support Alkane's board and management team and serve our shareholders and other key stakeholders as the company continues to grow and deliver on its strategy, while at the same time safeguarding the long-term governance, viability, and sustainability of the company. I am honored to be part of the board and seek your support for my re-election.
Thank you, Denise. I would now like to introduce Dr. Jennifer Purdie, a Non-Executive Director of the company. Jenny, I invite you to say a few words to shareholders.
Thank you, Andy, and it is an honor to be here alongside my board colleagues to offer myself for election as a director of your company, having been appointed by the directors in August of this year. It is certainly an exciting time to be in the gold mining industry. I have had an executive career working for over 35 years in operational, functional, and technical roles across mining, minerals processing, and infrastructure. Much of this time, I have had the privilege of working for global blue-chip miners, including Rio, BHP, and Alcoa, and most recently, in that context, working as the asset president of BHP's Olympic Dam asset, now Copper South Australia. I have also worked with privately owned infrastructure companies and with smaller miners.
Now, as I move into a career as a Non-Executive Director, I can bring to the Alkane board my understanding of how to drive business and operational performance through engaging and aligning business and operational teams, and how to build a performance culture, my knowledge of how to govern capital project portfolios, and my significant experience in engaging with a range of stakeholders, including communities and traditional owner groups, often in quite complex contexts. I have joined the Audit and Risk Committee and also the Technical Committee, and in these committees, my experience in managing operations and mitigating operational risks, including, of course, safety, is relevant. I also sit on the boards of two junior ASX-listed miners and of a government-owned infrastructure utility, and through these experiences, I am building my skills as a director. I am a naturally curious person.
I love to learn, and already I very much enjoyed my orientation visits to Alkane's Australian sites and, of course, visits this week with my fellow directors. Through this, I am building an understanding of the business and meeting our teams. If elected today, I look forward to supporting management in continuing to deliver strong performance and, of course, in taking advantage of opportunities for growth, delivering great outcomes for your company and for you as its shareholders. I thank you for your support.
Thank you, Jenny. I would now like to introduce The Honorable Gabrielle Upton, a Non-Executive Director of the company. Gabrielle, I invite you to say a few words to shareholders.
Well, thank you, Chair, and good morning, shareholders. It's a pleasure to be with you this morning. It's been a privilege to serve on the Alkane Resources board since August 24 of this year, and I'm pleased to stand for election today. Since joining the board, I visited Alkane's operations and met some of the people who are central to its success. These visits have deepened my understanding of the business. As the Chair mentioned, I bring more than 35 years of professional experience in Australia and internationally, spanning corporate finance, law, senior ministerial roles, and board governance across multiple sectors. I've overseen large and complex organizations, substantial budgets, major investment decisions, risk management, regulatory frameworks, and significant stakeholder relationships. I bring commercial judgment at the intersection of capital, regulation, government, and stakeholders, particularly in highly regulated environments.
I believe these skills and experience are directly relevant to Alkane and complement those of my fellow directors. I recognize the responsibilities of serving as a director of a listed company and the importance of working constructively with my fellow directors and management to deliver sustainable long-term value for Alkane's shareholders. I'm committed to the time, the preparation, and independent judgment this requires. I would be honored to continue serving on the Alkane board and today respectfully ask for your support. Thank you.
Thank you, Gabrielle. I'll now proceed with the formal business of the meeting. I've been advised that a quorum of shareholders is present, and I now declare the meeting open and the poll open. I'd like to take this opportunity, of course, to thank you all for attending today's meeting, which is being held here at the Fullerton Hotel, for those who are online, as well as online via the Computershare meeting platform, which enables our shareholders, proxies, and guests to attend either in person or virtually. Your support and interest in the company's affairs are certainly appreciated by my colleagues and I on the board. For shareholders attending in person, please ensure that you registered with Computershare at the entrance desk. Shareholders and validly appointed proxies, corporate representatives, and attorneys attending in person will have received a green admission card, which is also your voting paper.
If you've previously lodged a proxy and are happy with that vote to remain in place, then you would not have received a green admission card, and no further action is required. If you've not received a green card and believe you're entitled to vote, please see the Computershare staff. For shareholders attending online, if you're eligible to vote at this meeting, once voting opens, press the vote icon and all resolutions will be activated with voting options. To cast your vote, simply select one of the options. There's no need to hit a submit or enter button, as your vote will automatically be recorded. You'll receive a vote confirmation notification on your screen, and you can change your vote up until the time I declare the voting closed. Online questions can be submitted via the Computershare meeting platform at any time until we commence question time.
If you would like to ask a question, select the Q and A icon and type your question in the text box. Once you have finished typing, press the send button. Please note, the questions submitted online may be moderated, and where we receive a number of questions on the same subject, may be amalgamated into one. Online attendees may also ask a question verbally. I am hoping that the telephone line is available. It was not earlier. To do this, please follow the written instructions below the broadcast. If online attendees experience technical difficulties with the platform during the meeting, please refer to the online meeting guide, which is available on the platform or within the notice of meeting. The notice of meeting was released through the ASX and TSX platforms in October 2026 and made available to all shareholders.
If there is no objection, the notice of meeting will be taken as read. As there are no objections, let us move on to the proceedings for today. The formalities of today will follow the common format of AGMs. Voting for all items of business will be conducted by a poll. Instructions regarding the poll will be given prior to the commencement of the poll, which I will declare open shortly. The results will be tallied and announced through the ASX and TSX platforms as soon as practicable after the results become available. After the poll is closed, shareholders will have an opportunity to ask questions or make comments about the management of the company.
After each item of business has been introduced, there will be an opportunity for shareholders to ask questions of the board in relation to that item of business before shareholders cast their vote for that resolution. If you do ask a question, please state your name and limit your questions to the item of business that is being considered. There will be time for plenty of general questions at the conclusion of the meeting. For those physically in attendance with green voting paper cards, when called upon to vote, please do so by marking your voting card either for, against, or abstain, and your voting paper will be collected prior to the end of the meeting. For those voting online, simply press the vote icon and all resolutions will be activated with voting options. To cast your vote, select one of the options.
Before we move to the formal business of the meeting, I would like to advise everyone that I am holding undirected proxies in my capacity as chair, and it is my intention to vote such proxies in favor of all resolutions. Any directed proxies that are not voted at the meeting will automatically default to me as Chair of the meeting, and I am required to vote those proxies as directed. The proxies received for each item of business are now displayed on the screen. I will now move to the business of today's meeting. The first item of business is consideration of the financial report for the year ended 30 June 2026, which is now tabled. The company's auditor, Rob Gambitta from KPMG, will be available to respond to any questions on the financial statements or on the conduct of the audit during question time.
For those attending in person, please address your questions to me as Chair. Are there any questions or comments from shareholders in the audience today on the financial reports? Shaking of heads. Rich, are there any online questions or any shareholders online with a verbal question regarding this item?
Yes, Andy. We have an online question from Mr. Stephen Mayne. Mr. Mayne has asked, "Our external auditor, KPMG, was in the news quite a bit this year. How did we as a board respond to the revelations, and what did KPMG tell us about the issues? Were there any changes to the KPMG personnel working on our audit as a result of the confidentiality and whistleblower issues?"
Thank you, Stephen. The board and Audit and Risk Committee are aware of ASIC's investigation, of course, announced in June 2026, concerning certain KPMG registered companies' auditors. KPMG has confirmed to the Audit and Risk Committee and to the board that Alkane's audit partner and audit team have had no involvement whatsoever in the matters under investigation. Obviously, the committee will continue to monitor developments and consider any implications for audit quality and auditor independence. KPMG were fulsome and prompt in their disclosure, and no changes to KPMG personnel were required, and we are very happy with the performance of KPMG. Are there any further questions?
No further questions, Chair.
As there are no further questions, we will now move on to the formal resolutions. Under the Corporations Act, listed companies are required to include, as part of their director's report, a remuneration report which includes specified information. The Corporations Act also requires that companies put to shareholders a resolution that the remuneration report be adopted. The directors have prepared a remuneration report for financial year 2026, and it is included on pages 122- 136 of the 2026 annual report. It is a lot of numbers. The next item of business asks shareholders to adopt the company's remuneration report for the financial year 2026. The first resolution is the adoption of the remuneration report. This resolution is as set out in the notice of meeting and as displayed on the screen, along with the proxy votes received on this resolution.
The board recommends that shareholders vote in favor of this resolution. I will now invite questions or comments from shareholders regarding this resolution. I will start with any questions from the floor to give our shareholders online a moment to submit any questions on this. Rich, are there any questions online?
No questions online.
As there are no questions, I will now draw your attention to the resolution and the proxies received on the screen, and I put the resolution to the meeting. If you have not already done so, please now cast your vote on this item. I will now move to the next item of business. The next item of business that requires voting is the election of Ms. Denise McComish as a director. The board, excluding Denise, recommends that shareholders vote in favor of this resolution. This resolution is as set out in the notice of meeting and as displayed on the screen, along with the proxy votes received on this resolution. I invite any questions or comments from shareholders regarding this resolution. I will again start with questions from the floor to give our shareholders online a moment to submit any questions on this.
Rich, are there any online questions or shareholders online with a verbal question?
There is one online question from Mr. Stephen Mayne. Mr. Mayne has asked, "Thank you for disclosing the proxies early to the ASX at 4:30 P.M. last night. What was behind the 15% vote against the re-election of Denise McComish? Did a proxy advisor recommend against, and if so, what was the issue? Also, well done for addressing the remuneration concerns raised at last year's AGM and achieving more than 95% support for both remuneration resolutions this year.
Thank you, Stephen. I appreciate the question. I am very pleased that you are pleased that we got 95% support for the rem resolutions. The board notes the current proxy position, which indicates substantial report for Ms. McComish's election, and we continue to recommend Ms. McComish because of her financial audit strategy, ESG, and resource sector experience, and her contribution as Chair of the Audit and Risk Committee. I am going to go a little bit off-piste here and really address the questions that you asked, and that is that, yes, ISS recommended a vote against the re-election of Denise McComish, and I think that their recommendation is wrong.
The issue is that they do not recommend a vote in favor for a director who serves on the audit committee, who previously served as a partner of an audit firm that happens to be the current auditor of the company in question. There is no drop-dead date in their logic, and Ms. McComish, when we appointed her on the board, had retired from KPMG for seven years. She has no financial ongoing relationship with them, and we think it is quite unreasonable for them to have that attitude towards such highly qualified directors. Are there any further questions? As there are no further questions, and thank you, Stephen, I will now draw your attention to the resolution and the proxies received on the screen. I now put the resolution to the meeting. If you have not already done so, please now cast your vote on this item.
I will now move on to the next item of business. Resolution 3, the election of Dr. Jennifer Purdie. The board, excluding Jennifer, recommends that shareholders vote in favor of this resolution. The resolution is set out in the notice of meeting and as displayed on the screen, along with the proxy votes received on this resolution. I invite any questions or comments from the shareholders regarding this resolution. I will again start with any questions from the floor to give our shareholders online a moment to submit any questions on this. Rich, are there any questions online?
No online questions, Andy.
As there are no questions, I will draw your attention to the resolution and the proxies received on the screen, and I now put the resolution to the meeting. If you have not already done so, please now cast your vote on this item. I will now move to the next item of business. The next item of business that requires voting is the election of The Honorable Gabrielle Upton as a director. The board, excluding Gabrielle, recommends that shareholders vote in favor of her election. This resolution is set out in the notice of meeting and as displayed on the screen, along with the proxy votes received on this resolution. I invite any questions or comments from shareholders regarding this resolution. I will again start with any questions from the floor to give our shareholders online a moment to submit any questions on this.
Rich, are there any online questions or any shareholders online with a verbal question?
Yes, we have one online question from Mr. Stephen Mayne. Mr. Mayne has asked, "Thank you for offering a best practice hybrid AGM again this year, but why the move of the physical component from Melbourne to Sydney? Was it because only four people turned up in Melbourne last year? Or did our newest director, former New South Wales state MP Gabrielle Upton, push for it to be held in her hometown? Was Gabrielle happy with her 99.5% mandate? What was her highest primary vote in politics?"
Thank you, Stephen. We will miss your humor when you stop coming to AGMs. The board decided to hold the AGM in Sydney. Last year it was in Melbourne, that is true. There was also a practical reason in that the board had just finished visiting Alkane's Tomingley site in New South Wales. I am not sure I am going to ask whether Gabrielle was happy with her 99.5% mandate. We certainly are. I am not going to ask her what her highest primary vote in politics was, unless you want to volunteer. I think the answer is no, Stephen. Sorry, she will not answer that last one. I will now move on to the next item. No, before that, sorry. I will now draw your attention to the resolution and the proxies received on the screen. I now put the resolution to the meeting.
If you have not already done so, please now cast your vote on this item. I will now move to the next item of business, which is Resolution 5 . The next item of business that requires voting is the approval of the Alkane Resources Performance Rights Plan. The board, excluding Nic, recommends that shareholders vote in favor of this resolution. The resolution is as set out in the notice of meeting and as displayed on the screen, along with the proxy votes received on this resolution. I invite any questions or comments from shareholders regarding this resolution, and I will again start with questions from the floor to give our shareholders online a moment to submit any questions on this. Rich, are there any online questions?
No online questions on this resolution, Andy.
Very good. As there are no questions, I will now draw your attention to the resolution and the proxies received on the screen. I now put the resolution to the meeting. If you have not done so already, please now cast your vote on this item. I will now move to the next item of business, which is Resolution 6 , approval of the grant of performance rights to Mr. Nicholas Earner. The board, excluding Nic, recommends that shareholders vote in favor of this resolution. This resolution is as set out in the notice of meeting and as displayed on the screen, along with the proxy votes received on this resolution. I invite any questions or comments from shareholders regarding this resolution. I will again start with any questions from the floor to give our shareholders online a moment to submit any questions on this.
Rich, are there any online questions?
Yes, we have one online question from Mr. Stephen Mayne. Mr. Mayne has asked, "With this excellent hybrid AGM format, you are getting very close to AGM best practice. Thank you for following the agenda today, calling for questions on each agenda item, and disclosing the proxies early to the ASX." All you need to do now to be a top 10 company for AGM practice is publish the full AGM webcast and disclose the headcount data in the poll results. Given that Suncorp, ASX, Qantas, Myer, Tabcorp, Stockland, and many others already do this, will you make the switch today and reveal how many of our 10,830 shareholders voted for and against each item, including this LTI grant to the CEO? Did we even achieve a 2% turnout on the proxies?"
Stephen, thanks for the question, and also for your comments on the conduct of today's meeting. We are always interested in ways we can improve shareholder participation and transparency at our AGMs, including the matters you have raised regarding the webcast and additional voting information. In relation to today's voting, we will publish the poll results following the meeting in accordance with the Corporations Act and the ASX Listing Rules, including votes cast for and against each resolution. I will just make one point about the participation figure you mentioned. The number of individual shareholders who lodge a proxy or vote is not necessarily a meaningful measure of shareholder participation, because shareholders hold vastly different numbers of shares. The more relevant measure is the proportion of the company's share capital represented in the vote.
We do not have the verified holder headcount information in front of us today, so I am not going to speculate on that figure. But we have noted your suggestion regarding disclosure of that information and publication of the full webcast, and we will certainly consider both for future meetings. Thank you. So, I will now draw your attention to the resolution and the proxies received on the screen. I put the resolution to the meeting. If you have not already done so, please now cast your vote on this item. I will now move to the next item of business. There are no other items of business, so I will now conclude our discussion on the items of business before this Annual General Meeting. I will ask everyone to complete their poll voting as previously explained.
For those in attendance, Rod Somes and his team from Computershare are doing the collection. AUD 50 notes also welcome. Should you require any assistance from him or his staff, please raise your hand. For shareholders online, I ask you complete your voting on all resolutions. I will now pause to allow you time to finalize those votes. During this time, and as advised in the notice of meeting, I will vote all available undirected proxies in favor of all resolutions. Thanks, Rod. I now declare the poll closed. At a general meeting like this, shareholders may ask questions about or make comments to or on the management of the company. So before calling the meeting to a close, I would like to provide shareholders with an opportunity to ask any questions that you may have or may not have been able to ask earlier.
Please remember that after the meeting, Managing Director and CEO Nic Earner will be providing an update on the company's results and an insight in what we can expect in the year to come. At the conclusion of Nic's comments and presentation, there will be an opportunity to ask further questions. But as before, I will start with any questions from the floor to give our shareholders online an opportunity to frame their questions and submit them to Rich. Any questions from the floor? Rich, are there any online questions?
We do have one online question, Andy, from Mr. Stephen Mayne. Mr. Mayne has asked, "At last year's AGM, CEO Nic Earner gave a good summary of the Newell Highway relocation works 50 km south of Dubbo. Our market cap has risen by around AUD 1 billion-AUD 2.13 billion since those comments. What is the final spend likely to be on moving the and can the CEO cite any more expensive or significant road relocation works associated with any other mine anywhere in Australia? Last year, he said he thought it was the biggest relocation for an Australian gold mine, but there may have been bigger coal mine relocations."
Stephen, as ever, thank you very much for that question. It is a perfect segue into asking Nic to come and talk about a number of things, which will include the Newell Highway, so I will leave him to address your questions when he makes his presentation. I want to thank you all for your attendance at the meeting today and your interest in the company. On behalf of the board, yes, that is a cold place, isn't it? On behalf of the board, we look forward to your continued support. As no other business has been notified to shareholders in accordance with the company's constitution, this now concludes the business to be dealt with at today's meeting, and I declare the meeting closed. Thank you very much, everybody. Nic, over to you.
Thanks, Andy. Well, good day, everyone, and good day to people online. We get to the more relaxed, dare I say, without any disrespect to our erstwhile chairman, interesting section of the Annual General Meeting. These are the same notices and disclaimers. This presentation is online, so I encourage you to read that to understand the risks of the company, and I will try and point those out. Many of you are existing shareholders, so this is a lot more a presentation that is pitched to, what are we doing with our company, as distinct from trying to persuade you to buy into the company, which is a lot of the presentations that I make internationally. So, a reminder, we have three mines. You all know that. This is our production from last year, and this is the state of our balance sheet.
To understand, we remain debt-free, with the exception of our equipment finance. We have an AUD 110 million facility that we can draw on. We have three producing assets. They are all long-life, and they are all operating well. We have plenty of broker coverage for people to look at. Most people's price targets are above our existing price, but a lot of that, you can all imagine, is the gold price deck. We can see the volatility and movement, just with the U.S. elections and the results that we have seen, the quite large material shift in gold prices giving quite a large material shift in share prices today. So it has been a really volatile period for us all as share owners. These are our operations, and I am going to dive into each of those and particularly point out what the year ahead holds.
This is our guidance for this year. Very similar to last year, so I am very pleased that we have been able to hold steady state. I often make this comment. When you have smaller mines with smaller reserves in a dynamic price environment, standing still is quite an achievement, right? I want to actually thank our employees and contractors for that effort. We have very, very solid teams at each site, led by General Managers on each site, Adam, Åsa, and Andrew. They do a great job in running our business, and Mike does a great job in pushing for the Boda-Kaiser project now, regional stuff, as well as Chris and his team with exploration. So, thank you to all of that team, because they are the people on the ground making it happen. So what are they making happen this year?
At Tomingley, similar to last year, 78,000-84,000 ounces. Costerfield, again, similar to last year, 37,000-39,000 ounces and 1,200-1,500 tons of antimony. Note that that is a post-payable amount. We actually produce more than that, and we get roughly 70% payable. It varies contract by contract. That is a post-payable amount. Just a brief note on the gold equivalent produced there. There is a not that complex, but somewhat complex calculation down in little subscript two down the bottom. Actually, since we put together our budgets, antimony price is nearly half, so actually the equivalent effect in ounces is halved. It is only circa 2,000-ounce equivalent, but that is one of the challenges when we report an equivalence on Costerfield. To note, antimony forms about 3% of the group's revenue. I am just making the comment so that we all understand as shareholders. Björkdal, 41,000-45,000 ounces.
Significant growth projects, which I am going to talk about as we go through. I will answer Stephen's question on the Newell Highway. I have some pictures of that. Significant exploration, which I will talk about as well. That is where we are heading this year, and this is where we are going this year. So far, all I will say is we are meeting all our targets, which is what we work very, very hard to do, is to be on track and deliver quarter after quarter. Let us dive into Tomingley first. Western New South Wales. We are on the Newell Highway. Things to note. We currently run that process plant at a bit over 1.3 million tons per annum.
A couple of years ago, we outlined a growth plan to actually build a whole new facility and take it to 1.5 million, but the team there has been inching that up ever further. We are in the 1.3 million at the moment, so we are really great. That saved us a fair bit of capital in doing that. That gives us this run rate of 80,000 ounces. We continue to be owner-operator. All our resources are open at depth. I will point to those, and I will also talk about where we are with the highway. Regional targets. This mine is going very well. We have eight years ahead of us as it stands at the moment. Let us have a look at that. These are the areas that Chris and his team look at on site.
I am going to work through them from number one to seven . McLeans, we have it near our vent fan. It is off our existing infrastructure, stands off about 300 m. We have mineralization there. We have an Inferred Mineral Resource there, and we continue to drill and find and discover new results around that. That is one new ore source to us. We have an area to the north we call Roswell North. It is a bit thin, really depends on, a bit spotty, depends on gold prices to whether or not we will choose to access that. Roswell is also open at depth, and we continue to do depth drilling as we get drill platforms around it.
In between, in our underground drive between Wyoming One , where our portal is, and Roswell, where our main mining is, where we are mining 1.3 million tons a year from underground at the moment, we have been drilling tangentially off that to the east for a period of time, and we are trying to work out what the results are. We certainly believe that there is mineralization out there because we have the host rocks that are exactly the same as our other areas, and that is a big focus for this year. We would very much like to find another 500,000-odd ounce results like Roswell along there. That is underway. It will be interesting, hopefully exciting for us all as shareholders, along that period of time to be talked about in the coming year.
One thing we already know exists, which is to the west, about 100 m-odd to the west of our existing Roswell, and where it is in our mine plan, is a thing we call the Western Monzodiorite. That is a slightly different host mineralization, but it is the same, the same quartz veining that you see with gold in it. We are further expanding that area. That was something that was spinning in our Inferred Mineral Resources. We are converting to indicated and extending. Then we have the stuff to the north at Caloma, and we are doing a whole heap of grade control drilling at the San Antonio pits. The Newell Highway runs right over the middle of those, so it is not until we finish that work that we can just punch that in the fourth quarter of this financial year, so quarter two next financial year.
The message out of this is, we have plenty of targets in and around our existing mining lease. As well, we have these targets. We have targets to the north, which we call Tomingley One and Two. We have previously put results out on that, but we have currently got more drilling that we are interpreting at the moment. El Paso is one of the most elusive and exciting and frustrating prospects that we have, which is we very much wanted to do an open pit there, and in fact, we have bought the land and moved the highway specifically to be able to do that. It is shaping up a lot more as an underground target, and Chris's team is really trying to get orientation around it. It does not matter, to get close to the surface, we need to move the highway anyway.
That is an area that we very much hope to get more results from and bring into the forward production plan. Peak Hill, I am going to talk about separately. Glen Isla, out to the east, we have got drilling going there, and then so on and so forth. We are also doing a 2D seismic survey up the line. All of these geological things, and by all means, if you are here, if you are online, you can watch many of the numerous presentations we have done talking about this. If you are here, you can grab Chris afterwards and flog him for more information. A seismic survey lets us look at the structures and faults that have enabled fluid flow that has carried gold, right? That is why we are doing that work. Here is, and I will answer Stephen's question.
We are forecasting. The pictures on the left are the different parts of the, just two different parts of the Newell Highway. Actually, it is the same image looking from two different directions. You can see the, well, the less formed road is the road we are building, basically, right? We are at the point now where we are putting blue metal in layers. You can see a culvert being formed. There are culverts all along here because this is on a low-level floodplain. In the background on the bottom left picture, which is zoomed in on the right-hand picture, this is what we call Kyalite Road. It is a local road, and our haul road from the San Antonio pits will go under that bridge.
This is a road with eight-odd farms out at the other end of it, and the regulator-required grade separation, so the trucks can't go near each other. We are building this. To answer the question, our original budget, and we're tracking on for that, end of April, was AUD 55 million for the Newell Highway works, which will then be bitumenized, 1.5 lanes wide, all that sort of good stuff. For this bridge and the other regional works and setups, there's another road that we have down the other end that turns in and out. It's AUD 15 million. We'll spend circa AUD 70 million all up. I'm not aware of a more expensive road diversion. There might be some in the coal, it's just I'm not familiar with that. Certainly still is inside gold.
But remember, we are on the east coast in a reasonably populated area with good infrastructure, and so it's a trade-off, isn't it, right? The fact that we have this road right in the middle is also one of the reasons we have a residential workforce and grid power and all these other things. Still very economic, but yeah, that's the road, on track. That enables us, in our plans, in that first quarter of next financial year, so in that sort of July, August, September, that's when we want to be open-cut mining and deliver ore out of those pits, which will be great. Peak Hill, haven't really talked about this much, the south.
Now remember, some of you may not know that that pit was dug by Alkane between 1995 and 2000, and we built a heap leach, produced 160,000-odd ounces back in the day from 1995- 2004. We have an Inferred Mineral Resource underneath that. That is the opportunity. The metallurgy of this is different, and what that means is we need to do some sort of extra treatment on the ore. It's refractory in nature, for those of a metallurgical background. It ranks lower down our list for ore sources than others. However, with this gold price, known resource on an existing mining lease under a rehabilitated mine that we have. We felt that it was very much time to reevaluate this. We drilled some very, very deep holes that showed the potential for mineralization to continue. That's a release that we put out previously.
Now, we are starting a Scoping Study on how we might mine it. So before we bother doing any permitting or metallics, we're saying, "Can we actually mine this safely and successfully, and what would the cost of that be, and could we therefore get it to Tomingley and make money?" That's step one. Chris's team has a six-hole, 6 km worth of drilling going down about sort of 500, 600 m below surface. We're looking for continuity. We're saying, "Do we have an underground ore source there?" We'll then, on those dates, go through and do those things that I describe on the screen. Think longer term ore source that has potential, it has size and scale, we think. We're going to evaluate that. We're going to run it to ground across this next 12 months. So, we'll see more results on that.
And then, of course, we would have to go and get that re-permitted, all that thing. But people shouldn't get too excited about that, apart from the fact we do know how to get stuff permitted. Well, we know how to do everything about this. But we'll get on and get that done. First step, scope out what the cost of mining is, increase the resource. So that's Tomingley. Ask me any questions at the other end. We go down to Victoria, to Costerfield. Subtle changes from other presentations I've made. The team there on site is now milling at a bit over 150,000 tons a year. Very high grade. So we've previously been milling at and around 140,000 tons a year, so that's quite a substantial. We've nearly added another month's worth of production there.
That's important because grades do fall at depth in certain parts of the ore body there. It remains a critical mineral producer of antimony. Until Larvotto ramps up further up in the New England region, we are still the largest western producer. We should lose that mantle sometime in the next six months. And I'm going to talk to you, we've got exploration potential across the land package here. We're putting a lot of money as a company into exploration in this region, and we also have an earn-in joint venture with Nagambie. I'm going to talk about both of those things now, because it's the exploration that's the future of this. So here we have three main areas. I have a more regional map coming up, but True Blue, we've worked on it. It's in our mine plan later in the sequence.
The big things we're working on is Brunswick South. We put out quite a substantial announcement. We are developing to that at the moment. We really are hoping that that builds out into a substantial resource across the next few months. There's smaller piecemeal activity that we think can add a year or two in the Cuffley-Augusta region, and then we're actually looking at some drill results in and around the Kendall region at the moment. So we are still chasing a substantive major discovery. Maybe Brunswick South will expand out, but we don't have anything yet in the region, which is why we have this regional exploration. Some pretty interesting things. I'll leave you to read that there, but one thing to note, the Northern Dykes region, we're chasing something a little like Sunday Creek.
It's slightly different structure to the vein systems similar to Costerfield, which we think we might see at Brown's, Margaret's, or up and down the True Blue corridor. So this is where the money is going. We are back into a target generation stage here. We have regional drilling, which we would then hopefully aggressively explore. So this is what's occurring in Costerfield. As well as that, we have the Nagambie. We put out an announcement on this. We hope to have another announcement out before Christmas, because we have two drill rigs here still running. And you can see, our first step was, let's validate the resource that they had. That looks pretty reasonable that the joint venture had. So we like it. We certainly like it enough to keep two drill rigs deployed there. Strategically, where might this fit in?
First, we earn into 60% holding, then we earn into 80% holding, depending AUD 12.5 million to get to 60%. That is the path that we are on at present. Maybe this could Well, obviously, we have got this because we are hoping that one day it can feed the Costerfield mill. There is approval process to go through for that. There is consultation, stakeholder engagement, but that is what we are looking for. Note that it is of lower grade than Costerfield, so slightly higher in antimony because it is higher up in the sequence. So we are looking for higher grade, what is the mining method, how could it be, would we need to expand the Costerfield mill, all of those things that come with it. But at this stage, it is just exploration.
We really like this because when we talk about the mine life, which is currently five years at Costerfield, we do not add this in there, but that is part of why we are working on it. If I then go to Björkdal in Sweden. This is our longest life mine, actually. We have 13 years ahead of us at the moment as it stands. We have commenced the open cut at Nylunds as a different ore source, and that is now producing ore. I have a map of that. I do not have a picture of that one. We are expanding the resource at Storheden. I will talk about that, and I have got a picture coming up of the portal. Then we continue to explore for the higher grade zones that do appear within this mine and have historically.
What we are doing here at Björkdal is we are slowly expanding up through to a 50,000-ounce run rate on this, which is what is driving our all-in sustaining cost down here. If we look here in particular, and you can see our mine plans and ramps and everything at Storheden, I have a picture coming up for that. Down at the bottom, you can see the section that shows Storheden, which we think has the potential to go and replicate in many ways the original Björkdal mine, which is fantastic because that is a substantial ore body. But also, it runs at the moment at slightly higher grade than Storheden, which is part of why we think when we start mining that, we will lift the run rate. Then in and around the existing mine, numbers one and two, we continue to find more and more mineralization.
The big thing for Björkdal is not the size and scale of the mineralization, it is the economics that we put together, which is why we look for higher grade sources. We do have a scan, and these are small pockets of material that run at higher grade, and this one we think contains circa 15,000 ounces, and we just mine those in sequence. Because they are much more continuous in their mineralization, we have to work out how do we get a higher ore recovery than we normally do when we mine it. Happy to answer questions on that. But they are the three main areas. Then regionally, we are spending money on this once we have defined our, at Storheden, out looking at satellite sources that could come in.
We do have a resource already at Norrberget, number one, and we are looking, does the Storheden mineralization go even further to the north? Storheden, Norrberget, those sort of places, they are much more right back to original targets. In this region, we would also do, we are open to joint ventures and other things within this area of Sweden as well, but this is where our own greenfield exploration is. Just a couple of pictures, because here at Björkdal, in that capital growth plan, one is expanding the tailings dam. These are pictures of the tailings dam before it starts snowing on one side and then the other. It was too complex to do before and after photos, but basically what we are doing here is lifting to allow seven years from where we stand.
The Björkdal mine has a particular method where it first separates out coarse sand, and that goes into one area, which is captured in the top picture, and then finer sand, which is captured in another area, and that is what you see in the second picture. On the right is a hot off the press photo of our new portal at Storheden. If it looks like it has got a door on it, that is because they are actually blast mats. We are not yet far enough into that, so that when we fire off the rounds in that, we need to be able to stop all the fly rock coming back out, so we hang the blast mats down. We are progressing there.
Our whole thing that we are doing here, which we are spending money on, we spent the better part of, this is a AUD 30 million- plus program on the tailings dam over an extended period, not just this financial year. It is a circa AUD 30 million program over the next two years to set up Storheden. We are already also developing from underground across to that. We want to join the entire infrastructure up. We are doing the permitting and modifications required to do that, and then we want to have this ore source on in and around late 2028, early 2029. Nylunds sees us start to lift our run rate, and this sees us stabilize that run rate and bring on new ore sources and start to balance. Very happy with the team and what is occurring here in Sweden.
The other thing that we saw was, as I said, how hard it is to keep running on the same spot, we had quite a good success at building out our reserves. The minimum that we aim to do as a company is everything that we mine, we try and replace. It has been a really interesting period as the gold price is really dynamic. We lifted our cutoff grades. We are mining lower grade stuff that is making even more money than it used to because the price has risen so far. We are careful not to get sucked too much into that momentum. We are lucky we are quite constrained on mineralization. But the thing we want to point out to you really is that we have taken a whole year, produced, made cash, and extended everything by another year.
That is our sort of minimum case mantra that we have for ourselves. I am going to talk very briefly about the Lupin Gold Mine, tell you a bit about this. I have mentioned it in the annual report. I have not really talked about it much, and I thought, we are spending money on it, we have done a hell of a lot of work on it, let us make sure everyone understands what I am talking about. The Lupin Gold Mine is a mine that ran from the 1980s until the sort of mid-ish, mid to late 2000s. It is a mine entering reclamation. Reclamation is what Canadians say for what we call rehabilitation, and the opportunity there. The opportunity there is this is an incredibly mineral-rich region. This mine was mined at 10 g/ton . All right?
The resource still, there is resource in and around it that we will look to define. I am not saying, people should not interpret we are rushing back into that. All I am saying is that is the opportunity, and this region is littered with these opportunities, and it is infrastructure, of course, that drives, do people invest in these or not? But what we are focused on is meeting the reclamation obligations. It is critically important to the board, it is important to the regulator, it is important to the local communities. We are a company that meets its obligations. We have rehabilitated Peak Hill, we have got steady state rehabilitation at Tomingley, we are rehabilitating this mine, and you will see the substantial amount of money that we are doing here.
This is a picture of the mine just as we are ready to leave at the end of this summer. But I have got more pictures of that.
But first, where is it? It is in the Kitikmeot region in Nunavut. For those, if you look at that map of Canada on the top right, where the Arctic Circle runs just above the top of the square, we are on the border just into Nunavut from the Northwest Territories. That nearest community of Kugluktuk is 285 km, you can see it there on the map, up to the northwest. That town can be accessed out of the ocean. Sometimes all year round. Then our closest town that has got a road going to it is Yellowknife, which is, I do not know, if that is 285, it is like 300, 400 km down to the south. It is about circa two hours on a plane when we go in there. We have an all-season airstrip there at the mine, so we can fly in and out year-round.
It depends what type of plane that you take, obviously. We built a winter road for heavy haul. We built a winter road in March this year, and we took in the equipment, extra equipment that we needed for the reclamation activities. That is some of it going down there. That is the road across the Contwoyto Lake, which comes into Lupin Mine. This is what we have been spending money on. We have spent AUD 30 million. It is true for both Canadian and Australian dollars. At the moment, it is one for one. So it is pretty easy. We actually spent them in Canadian, but this is the Australian dollar amounts. To give you an idea, on the left is the before, back in September 2025 when we were doing the last scoping studies.
On the right is, it's a little bit rotated around, but you can see that the fuel tanks, which are the orange dots on the left of the left-hand picture, some of the camp facilities, which is the orange, the cold storage, which is the gray in the front right, and then miscellaneous equipment. A lot of this has been contaminated, fuel-contaminated soils. It's all been reclaimed, treated, transported out, buried, all in accordance with the protocol. The way that things work in this area is that the permafrost rises up and stabilizes the material, and there's certain amounts of cover, and it's all engineered. There's tailings dams, tailings dam walls, covering, all this has been occurred across this summer period. We've had a team of 70 working day and night across the summer, and the last people left a couple of weeks ago.
You can see substantial activity. That is an engineered design in there. This is all tundra region, dead flat. This is what we're doing. Next year, we're going back in the summer to finish a couple of bits of work that you see in the picture. We have some more contaminated soils that we need to cover over. Then in 2028, we're bringing everything out and across the winter road. Then this mine is done and goes into a monitoring period. Of course, we then reevaluate what's the opportunity. If you go back to that map, all through that region, in the Nunavut region, there are resources waiting for decisions to be made on infrastructure.
Because the big challenge for everybody looking to start a mine in this area is the diamond mines that run up towards Fort Enterprise are all closing down for reasons we don't need to go into. That significantly shifts the gold mines, which are in and around, but then further up. It shifts. If you're a mine on its own, you have to build an entire winter road complex on your own, and that really shifts it. Some other mines have been coming in from the north, and it's something the Canadian government and provincial governments are really looking at. Hence, future opportunity. Anyway, that's what we've been doing on Lupin Mine. Boda-Kaiser. I've talked about this a fair bit before.
This is a slow-burning project that this was a Scoping Study that we did back when gold was AUD 3,500. We've got these results. I'll talk about what we're doing here. We are building momentum on this mine. Of course, at higher prices, the financial returns are greater on this. This is where we are. We are now deep into 2026. I added this extra on the pre-feasibility study. In the second half of next year, we'll be releasing our pre-feasibility study. We're working on this at the moment. We're negotiating with landholders. We're working very hard with infrastructure providers, different aspects of the government. We've got ecologists to the wazoo out there counting birds and all sorts of marsupials that do and don't exist. It's the nature of these things. We will have, and we're redoing our economics. We're redoing the mine plan.
We are looking at the geotechnical to understand, because that affects our mining costs. We are redoing our capital, updating our capital estimate. We are re-updating our operating costs for new fuel prices, new reagent prices. That is what we are doing. All that will come out in the pre-feasibility study. We wrap that up into the EIS, and that goes into government. Our intention is to have that in by the end of next year. There is a lot of work occurring on this on the ground. Not incredibly expensive work. Then we go for project approvals. This is gathering momentum at the moment. Once we submit that to government, then it ends up being really barring stakeholder engagement and objection, other things we follow.
We enter that process, and realistically, if you look at the way things are going in New South Wales at the moment with approvals, we should expect that approval in 2029 and FID. It is just, does this work financially or not? Very happy with this, and it is one of the biggest leverage things that exists within our company on our current share price versus what I see as our future share price. If I look forward to the next year, of course, people have questions for me. Number one, deliver on production. We have a reputation for delivering. It is very hard delivering, but we deliver safely and on time. That is what we intend to keep doing. We obviously intend to expand the mineral resources. I hope I have given you a flavor of where we are goin g.
We are going to complete the Newell Highway project. We are going to keep going with Storheden. We are going to get this pre-feasibility done and out to you all and to ourselves. We continue to look for sensible and accretive corporate investment, growth, existing operations. Very happy to talk about that more for people. There are heaps of videos of me just discussing this for people to look at. Then we, obviously, this is all to position for continued shareholder returns. Thank you all for being shareholders. Thank you for your interest. Thank you for the teams, the men and women on the ground that deliver. Thank you to the board for, one, listening to this presentation, which they have heard so many times before, and for continuing to support the executive team. Fire away with any questions. Do people ask questions online, Rich, as well, or?
They can, Nic, but I have got nothing here for you.
Okay, great.
Andrew Dunlop is my name. I would just like you to go back to the Boda-Kaiser slide where you showed the resources. Yeah, that is the one. Thanks.
Oh, yeah. Just a little bit of context for you. That is an equivalent, and the equivalent calculation is there. Roughly, the split between gold and copper is nearly 50/50 at a share price. The gold grade is about 0.32 g/ton on average, and the copper grade is just under 0.2%. Combined, they are about 0.6 g/ton-ish equivalent, and then over a lot of volume. That is how you end up with the nearly 15 million equivalent ounces and close to 10 million of ounces that is indicated level. Any other questions? That may go close to being the easiest set of questions that I have ever had. I will ask myself a question, why is everything so great? I do not know. It might be the gold price. With that, thank you very much.
Thank you online for anyone watching, and really look forward to delivering for you guys over the next 12 months. Thanks very much. Andy, would you like to do some closing words to close out? Thanks, mate.
Thank you, Nic. Yes, I have heard that presentation a couple of times. Let me thank you very much all for attending today. We really appreciate it. Stephen, I really appreciate your questions. Much appreciated, and I like your sense of humor. Hopefully, we've answered them all. I'd certainly encourage people to come to next year's AGM. We're not quite sure whether it's going to be in Sydney or Melbourne or Perth or Stockholm or wherever next year, but we'll see. I look forward to welcoming you all again next year. Thank you very much. Thank you to the team, especially the executives here who put in such a lot of hard work behind the scenes. Not behind the scenes for us, of course, but for shareholders. Thank you to my board. Thank you to Computershare for sorting things out today.
Thank you to all of you for coming. Please join us for a cup of coffee or a light refreshment, and to meet and mingle with the team and ask other questions that you might have. Thank you very much.