Thank you, John. Thank you, everyone, for joining us today. Barton Gold, that is a picture of our Tarcoola open pit mine, not a stock image. I'll explain why that matters. We are a pure-play gold developer focused in South Australia. The reason we're interested in South Australia is that it is the home of the Gawler Craton, obviously a globally renowned geological domain. On the eastern side of the central Gawler Craton, you have the IOCG province that BHP has now consolidated. That's Carrapateena, Olympic Dam, and Prominent Hill. To the west side of that same highway there, the western margin of that same basin, as it comes to surface, it gets shallow and goldy. Deep and coppery to shallow and goldy as it heads to the west.
This is an area with a 130-year history of high-grade gold production and very little in the way of contemporary aggregation and large-scale development. We spotted this opportunity back in 2017, 2018. We bought every significant historical exploration and production asset in the region. We bought the only gold mill, and then we stepped back and said, we're going to build a much larger platform and then use that mill to turn that platform on. We're not targeting 50,000 oz. We're targeting 150,000 oz per annum. We have now essentially crystallized that platform. We've now put together a 1.6 million oz platform at our stage two asset, Tunkillia. We have now published a 222,000 oz resource next to our fully permitted mill at what we call our stage one project area, anchored around the Central Gawler Mill. We've also interestingly made some kind of high-grade silver discovery just for fun.
Basically, what we're doing now over the next 18 months is turning on our stage one operations and applying for a mining lease for our stage two expansion project. We've now sort of set the table and it's time to commercialize and deliver. Our capital structure is very simple. We have about 224 million shares outstanding, enterprise value of around $150 million with $9 million in cash. We have a very strongly consolidated shareholder register that is focused around high board and management alignment, but also very significant institutional and high net wealth and family office ownership, which has really consolidated our stock around one, that strong board and management alignment, and then very consistent cost-efficient performance. We've been public for four years. We've invested something like $40 million during that time. We've only raised $13 million publicly since our IPO.
The reason is that we are very, very good at how we spend our capital. We are all professional developers and professional investors and asset managers. We also generate capital internally. That's a very rare thing for a pre-operations business. We've generated about $12 million- $13 million in net additional cash internally just by monetizing our existing assets. In terms of our capital, can't go past the team. That's the most important capital we have. We've built quite early in our stage, in our development cycle, a team that has got hundreds of years of experience finding, permitting, financing, building, and operating major mining assets with a very strong pedigree in South Australia, where we are exclusively focused, and a very strong pedigree in gold.
About half of our leadership team come from Normandy Mining, which many of you will remember as the largest gold producer in the Southern Hemisphere of the whole world until Newmont bought them in 2002 as a 2.5 million oz producer. When you look at the map, this in simple terms is what we're doing. We have traditionally, if you look at the sort of the three major historical assets that we bought, it's the Challenger Mine and the Central Gawler Mill in the northwest, top left corner, the Tarcoola Goldfield, which is where high-grade gold was actually discovered in South Australia in 1893, right in the middle, and then our Tunkillia Project in the southeast or bottom right corner. We actually focused on that Tunkillia Project. The reason was we wanted to establish scale, a destination that actually matters, and then go back up to the top left corner.
We've now done that at Tunkillia. We've got 1.6 million oz there. That'll be 120,000 oz per annum producer. We've just now gone up and published this resource at our Central Gawler Mill, and we're now going to do a feasibility there. The idea is that we cheaply unlock operations with our existing mill, generate cash flow, rerate our equity, rerate our credit, and then fund our own expansion going from the top left to the bottom right. That's how we get to that 150,000 oz per annum target without having to spend the 150,000 oz per annum money right up front. That's how our shareholders continue to benefit from a low dilution track record. Why are we focused on that scale and that project? We bought that project specifically because we thought it looked like Capricorn's Karlawinda asset.
There are a lot of analogs out there for this, but what we saw when we were looking at the data was data that looked an awful lot like the drilling that Capricorn were publishing at that time, specifically broad continuous mineralization with some higher grade pods near the surface where you can actually pay back your capital very quickly and then get into dividends. They bought that as a 650,000 oz asset in 2015. They grew it to 900,000 oz, 1.1, 1.3, 1.5. It's now a 2.25 million oz asset at 0.7 g. Everybody says that's low grade, but they are one of the lowest cost gold producers in Australia and the world, producing 120,000 oz per annum out of a 4.5 million ton per annum plant. We bought Tunkillia in 2020. We have followed exactly the same grade and ounce trajectory, and we published a strikingly similar study.
How do we do this? Back up to the top left corner. Stage one, leverage your Central Gawler Mill. On Monday, we published for the first time some guidance about what it's going to take to reinstate that mill, and it's only AUD 26 million if we go back to full reinstatement of the hard rock processing, plus a bunch of add-ons and modifications to improve that. We have options there to actually process some historical high-grade tailings that we have on site, essentially defer further of that capital, generate free cash flow, and then transition back into our hard rock. This is something that will pay back very, very quickly. This is existing fully permitted infrastructure. It would take two to three years and $200 million - $300 million if you had to build this from scratch today.
We can probably put this into operations for less than AUD 30 million . We have already been talking to credit financiers, stockpile financiers. We can forward sell gold we have in stockpiles. This is a very small drawbridge to cross. It will give us the ability to generate capital with higher margins than utilizing third-party toll milling. Not that we could because we own the only mill. We go to stage two. This is where we look down at that Tunkillia Project. When we transition stage one into operations, we're going to be submitting a mining lease application for stage two. Stage two, Tunkillia is going to produce about 120,000 oz per annum. It's going to generate about $2.7 billion in operating free cash flow during its operations on a $400 million investment. Importantly, it has some very, very strong payback terms.
It pays back 73% IRR, but that is based on a fast payback period from the central high-grade zones that we liked. When you look at that cross-section to that mineralization, it shows you there's this sort of 300 m long zone in the middle where you have 80 m- 100 m o f mineralization, but 10 m- 30 m of higher grade mineralization. The effect is that pushes up the average grade in what we call our starter pits, our sort of stage one and stage two starter pits. On average, you're processing a 0.82 g head grade, producing on average 120,000 oz per annum. During the first 13 months, we'll process 5.9 million tons with an average head grade of 1.2 g and produce 206,000 oz. We produce $825 million in operating free cash in the first 13 months.
We produce $1.3 billion in operating free cash in the first two and a half years. This pays itself back 2x-3x over in the first 13 - 27 months. On its own, that's a very, very strong financing profile if next to it we already have an existing operating cash flowing mill. It puts us in a very different category of credit financing when we're talking about how do we build this and what do we require. We look back up to our Tarcoola Project, and I won't spend too much time here other than to say this is where high-grade gold was discovered in South Australia. We are now working out what's going on in this historical high-grade gold field.
If we can find more small high-grade pods, and there are 600 historical high-grade workings there, that becomes high-grade gold that we can send either northwest to our Central Gawler Mill or southeast to our Tunkillia Project and blend and create more of those really attractive year one and year two higher production outcomes. I probably should have said in the last slide, our cost of producing 1 oz of gold for the first 13 months is 206,000 oz for AUD 997 . That is just going to spit out a lot of cash. Marginal grade is very valuable. More interestingly here, we have got that existing open pit, but we've made a very interesting high-grade silver discovery. Basically, this was following a lot of essentially structural targeting. We drilled a target called Tolmer. We made a gold discovery.
We drilled it, we extended it, we drilled it, we extended it. We did more sampling. We found that there was a lot of high-grade silver with the gold, which was a surprise. We drilled a little bit to the left, 500 m left, and we hit the fifth highest grade silver intersection published on any exchange in the world in the first half of this year. What is it? We don't yet know. We've just done 2,900 m of drilling around that. We'll have those results in the next couple of weeks, but it presents a really interesting opportunity for us. We've also just bought the Wudinna Project. The fourth and last major historical asset in that sort of island chain of gold assets, we now have acquired that, or we will. Tomorrow, that should complete.
In really simple terms for us, it's really about the next 18 months transitioning stage one into operations and getting stage two on track for development. In terms of the proposition here for us, we have 1.9 million oz. We will have 2.2 million oz- 2.3 million oz in the next month or two. We are going to be a producer by the end of 2026, and we are going to become a major producer behind that. At $150 million, it's probably worth a look. Thanks.