A 200,000 to 300,000 oz per annum West Australian gold producer, filling that mid-tier scale of producers. We believe that the current portfolio really lends itself to that, and having two hubs, two production centers, producing well over 200,000 oz is the objective of the business. At the moment, we are in construction of our brand-new 1.5 million ton per annum carbon-in-leach processing plant south of Laverton in our Goldfields Hub. That project is set to produce 75,000 oz per annum over six years. For us, that asset is very much a starting position for what we believe the Goldfields Hub can deliver. We are very focused and committed to ensuring that that mine life extension is real. We have expansion capabilities and optionality with that project, and ideally, we are targeting taking that project itself to something that could sustain more than 100,000 oz per annum.
That Goldfields Hub, even as a starter asset, is still quite cash flow generative. It produces about AUD 1 billion of free cash flow over the six-year life of mine. For us, that opportunity is then to recycle that cash flow and that capital, not only through the Goldfields Hub, but also across to Sandstone. Sandstone is the flagship asset in the portfolio, albeit a little bit further back in the development queue. We are targeting the release of a Pre-Feasibility Study for Sandstone in November of this year, ahead of a DFS at the end of next year and targeting to get into production, sorry, construction, coming to early calendar year 2028. That project, we released quite a material resource upgrade earlier this week. That project sits at just over 3.6 million oz of resources. Again, all on granted mining leases in the Eastern Goldfields of Western Australia.
This is a great part of the world to build a gold mining business. Both of these assets are located access really good infrastructure, roads into nearby towns on granted mining leases, and we're really excited about building both of these projects into a genuine mid-tier producer. Just quickly looking at the corporate snapshot, we're about a AUD 650 million market cap. We are really well-funded for our aspirations. We've had over AUD 122 million of cash at the end of June. We do have an undrawn $120 million bond. Both those cash and the equity and the debt position there really funds us through the construction of Goldfields into production, as well as funding Sandstone all the way to FID. That's through the Pre-Feasibility Study, through the DFS, through drill outs, and getting that project all the way to FID.
Just looking now at Sandstone itself. Taking a step back, Brightstar actually acquired three different companies and assets to deliver this portfolio. We really like this part of the opportunity for two key reasons. One, prior to our entry into this district, this area had about 7 million or 8 million oz of gold in that 100 km radius around Sandstone. Yet in that same radius, there was not one operating mine. There's no mid-tiers, there's no majors, there was no operating mines. You had this significant level of endowment, but no actual mining companies operating. What it was, it was characterized by fragmented junior ownership. We identified that and subsequently acquired one asset out of a company and two companies themselves to deliver this portfolio.
The second reason why we really like this opportunity was because that fragmented ownership really meant that there was a lack of systematic exploration. There was over 2 million oz mined across this package. When we acquired this project, it had 2.4 million oz. It would be very difficult to understand why a greenstone belt the scale of Sandstone would have 4 million oz of endowment in the top 200 m and have no exploration at depth and for there not to be any upside. We were very excited and confident with that exploration upside, and ultimately, that is what we have shown. In a few slides' time, I will show you where.
As a project, where it stands today, 3.6 million oz of resources. This is a genuine district scale opportunity. We own the entirety of the Sandstone greenstone belt, all of the resources on granted mining leases. We have a sealed highway that runs from Leinster to Mount Magnet through the project area. We have an existing processing plant site that was last run in the early 2000s. Whilst that infrastructure is of no use to us in its own right, the cleared land, the ROM pad, the tailings, the haul roads, the camp, there is a lot of infrastructure there that we will utilize that gives us a de-risked approach to not only permitting, but eventually operations.
We know right now we have got the critical mass for development here, therefore, we will take this project towards construction and development as quick as we can. Based on our timelines, that sees us doing a DFS by the end of next year and looking to get into construction early in 2028. We are now really kind of quite far down the road of looking at the critical mass for development, but also, how big could Sandstone be? This is where we are starting to see ourselves today. We know there is critical mass right now for a project. We have spent the last two years doing infill drilling, redoing all the resources, metallurgy, geotech, doing all the technical work really well to de-risk future development.
That has taken us the last two years to do. That is now kind of culminating in this Pre-Feasibility Study due in November. What that has afforded us now is to start to look at exploration. Where are the opportunities for growth? How can we grow this project area? We have grown this project over 50% since we have acquired it. It was originally 2.4 million oz, now it is 3.6 million . We are now really setting this platform for material growth. Just looking here at the Gantt chart for project delivery. We have released two resource upgrades this year. As I mentioned, we are targeting that Pre-Feasibility Study in the December quarter. We see 12 months for the DFS as sufficient to get through towards being able to make a Final Investment Decision in line with getting the project approved, coming to early 2028 to enable construction.
We are looking at building a 5 million ton per annum processing plant, and we believe that is going to support quite a substantial production profile here. We have now been afforded the opportunity for looking at exploration, made quite material discovery at depth at a deposit called Two Mile Hill. This is something that is shaping up as a very material contributor to Sandstone. This was an existing resource. We knew about it when we acquired the asset. We were unashamedly looking at the open pits here and the potential for a modest underground. During our feasibility study approach and our exploration, we started drilling some deeper holes. Two Mile Hill certainly looks like it's getting materially better at depth.
The scale is blowing out in terms of the width and the strike, and the grade is looking like it's getting a lot better at depth. At the bottom, we're seeing 400 to 500 m wide in terms of thickness of this mineralized host tonalite unit. You can see there two example drilling results there, 225 m at 3 g, nearly 200 m at 2 g. We are seeing something here that could lend itself to a very large-scale bulk underground mine. The current resource there is 1.45 million oz at 1.8 g/ ton. Importantly, it is very much open at depth. We've put four holes below it at the moment, and we've put out some visuals previously that showed visible gold all through the mineralized tonalite and for a significant depth below the resource.
Importantly and excitingly for us, we are now changing our exploration methodology. We're now targeting any other potential felsic intrusives in this greenstone belt. We've identified up to 10 other lookalikes for Two Mile Hill. While this is an extremely material discovery, very important for our project, we are seeing the opportunity for there to be multiples of these. We've got instances where there's the same geophysical signatures. You've got historical RAB or air core drilling at surface, logged in tonalite with gold in it, and it's never been drilled below the RAB or the air core. That is extremely anomalous. It looks exactly like what Two Mile Hill looks like. We're now genuinely going to start targeting other lookalikes for Two Mile Hill.
In this cross-section here, you can see that drill trace on the right-hand side. Each of those gold stars represents logged visible gold occurrences in this particular hole. You can see in that colored block model there, that's the extent of the resource. We have drilled for 250 m below this resource. As you can see, we're still in the tonalite. We never left the host unit. It's the same alteration, the same veining, the same lithology, full of visible gold. We are reasonably excited about what that potential is at depth. You can see here that on an ounces per vertical meter basis, because of the geometry of the ore body expanding, because of the grade profile getting better at depth, this is now peaking at 6,000 oz per vertical meter at depth.
We are very excited about looking to drill some further holes here. We've got four holes that have been completed pending assays, and we're looking to drill another six deep holes plus 1,000 m deep diamond holes before Christmas and looking to really enable us to have a further resource upgrade here coming into November with the Pre-Feasibility Study. Suffice to say, this is quite a material development for our project. Even outside of Two Mile Hill, this is already looking like a fantastic West Australian Gold development opportunity. I would happily contend that this is probably the best gold project in Western Australia that's coming up for development in the coming years, and we're on the cusp of making some potentially material discoveries here as well.
Just changing focus now to our Goldfields project. This is the area of current construction and development. This has been the area where we have been operating for the last few years. For context, we have been operating two underground mines in the Laverton district for the last three to four years. Those mines were previously feeding originally Gwalia and then the Mount Morgans mill owned by Genesis Minerals. We elected to go down our own development path earlier this year. We put out a DFS in January. We subsequently went and funded this project and have now commenced construction. As you can see, it is going well. It is about two weeks ahead of schedule at the moment. We are building a genuine, very conventional CIL plant off-the-shelf technology.
Our EPC contractor is GR Engineering. They are the best in the space at building conventional CIL plants. What we believe we have in this Laverton district is a de-risked pathway to first gold. It is a simplified business model. We will remain owner-operator with our underground mines. We will partner with a mining contractor for the open pits. All of these mines have been mined before. They have been processed before. They are well understood metallurgically, geologically. All the haul roads are in place, the infrastructure is there. This is a de-risked asset base. Over the life of mine, about 70% of the production comes from open pits, and each of those open pits runs for anywhere between two to three years. We do see real potential for mine life extension here in amongst each of these deposits.
At the moment, we are only proposing to mine about 1/3 of our resource. The opportunity for us is to continue to convert more of our existing resource inventory into mining inventory and ore reserves. The processing plant that is being constructed is a 1.5 million ton per annum mill. We have embedded some upside optionality and flex here. A lot of the infrastructure we are building is actually already sized to be 2.5 million tons per annum. We have an expansion upside case here that during operation, we can elect to do this. To effect that upgrade, all we would need to put in is an additional ball mill to complement the SAG mill and two additional tanks in the leaching circuit.
That would get us to 2.5 million tons of processing capacity in an area that we believe not only in our portfolio, but broadly is lacking milling infrastructure and would see this project producing over 100,000 oz per annum. Just in terms of the Gantt chart for pouring first gold in nine months, we are midway through, as you saw in those photos, the construction process. The Brightstar owners team is working with our power provider to build an [audio distortion] power station on site. The bore fields are being established right now, and mining is looking to commence mobilization in December for first mining to commence in January. That would give us about four months of mining prior to commissioning and looking to start commissioning in late May.
The economics themselves stacked up, even though, as I mentioned at the start of this presentation, that for us, this is very much a starter project. I do not believe that what we are building here is six years at 75,000 oz per annum. The opportunity is to really start to build this infrastructure, get the cash flow going, and look at mine life extension, look at potential inorganic opportunities. We can look at exploration across our portfolio, and we really see the opportunity that the key asset here is really the milling infrastructure and what we can do in that district. That said, it is still a very robust project, economically enabled us to get it permitted and funded, producing about AUD 160 million of free cash flow per annum. You can see the NPVs and the IRRs there.
Great return on capital, great return on investment, even though we truly believe that we can make this project look a lot better than what is being put up there on that screen. The all-in sustaining costs are about AUD 3,000, so giving us ballpark AUD 3,000 margins at spot price. Where does that put us in terms of our market position? There is a lot of data on this screen, so I will not necessarily go through it. Brightstar genuinely believes that given our portfolio, given that we are nine months away from first production in Goldfields, and that because we have got a very material potential development opportunity in Sandstone, that the valuation is relatively undemanding.
We are trading about AUD 100 per resource ounce. We are pending quite a material resource upgrade at the end of the year. With our PFS that comes out for Sandstone, we will be declaring very substantial reserves. Again, so you are looking at EV resource, EV per reserve ounce kind of metrics there. We do trade at relatively undemanding valuations. We believe that our peer groups there in that the established kind of emerging peers in Ora Banda and Catalyst are great peers, companies that we look up to. You can see where they are trading at from a valuation perspective and where we believe we can start to trend towards.
Minerals 260 with their Bullabulling project, they have done a fantastic job taking that project from ownership to where it is today. But trading at a really healthy valuation in terms of what is that as a P/NAV in terms of their NPV and versus what we believe. Certainly Sandstone will show is a very comparable asset to what Bullabulling is in terms of mine life, production profile, and economics. We have had a demonstrable track recording in growing our resource base over the last few years. When I started at Brightstar, the resource base was about 400,000 oz of resources. We have now grown that to over 5 million. That is through both M&A and aggressive exploration. You can see that bubble chart on the left. That is West Australian gold developers in terms of resource size and grade.
The bubble there reflects the enterprise value. You can see why we believe that, we think that Brightstar is undervalued, certainly when you compare it to something like a Minerals 260, based on the size of that bubble. But that is certainly our aspiration, that the Pre-Feasibility Study, due for release in November, will show a project that is extremely comparable on all metrics. Where does that put us in terms of our eventual kind of strategy? We genuinely want to be a 200,000-300,000 oz per annum producer. We believe that both of these project areas supports that aspiration. Where does that put us in terms of the established mid-tiers? It puts us right in the middle of some very substantial companies in terms of market caps and production profile. And for us, that is that opportunity.
That is really what the business has been established for. That's our aspiration, is to build Goldfields, build Sandstone, and be a 200,000-300,000 oz per annum producer. For us, the platform is set there to execute. We've got Goldfields in construction. We are very focused on delivering that project on time and on budget. We are equally focused on getting Sandstone all the way through to FID. Sandstone is a very material project in terms of West Australian gold development assets. We have a Pre-Feasibility Study due in November, which we believe will show a substantial production profile and opportunity. We've got a really strong team. We've attracted some great talent, largely out of the mid-tier gold producers, to come join Brightstar. We believe that our employee value proposition is very unique.
Building Goldfields, then building Sandstone is a very unique proposition to go build two projects, essentially sequentially within two years and take a project from essentially zero production all the way to potentially 200,000-300,000 oz. Because of that, we've been able to attract some really strong professionals to join our business, that we believe we've got the right talent in the business to execute. We have aggressive drilling programs in place. This is our aspiration, is to continue to grow this resource base. We've spent the last few years consolidating assets, consolidating companies to give us the portfolio that we've got today. Now the opportunity is to continue to grow that. We've seen that in the recent resource update in Sandstone. We've added 1.2 million oz there and we've barely tried.
By that, I mean most of the exploration to date has been infill in nature, confirming the existing resources, improving the quality of the resources. We haven't really begun trying to grow this project. That is very exciting for us now, given we're afforded the opportunity in terms of timelines to start to look at exploration. Exploration and drilling is a key part of our business moving forward, and we believe that there is genuine opportunity for us to start to capture more value as we re-rate from being an explorer and a developer into an existing producer. Thank you very much.
Alex, thank you very much. That was fantastic. Unfortunately, we've run a little bit over time. I'm going to have to leave it there and give folks an opportunity to ask you questions, maybe on the sidelines.
Fantastic. Thank you, Lawson.
Thank you.