Q1 FY2026 Operating & Financial Results
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The most recent news, released on November 13, 2025, details Alkane's operating and financial results for the first quarter of fiscal year 2026, ended September 30, 2025. This is the first full quarterly report since the merger with Mandalay Resources.
Key highlights include: * Production: 29,965 ounces of gold and 124 tonnes of antimony were produced, equivalent to 30,511 gold equivalent (AuEq) ounces for the statutory period (post-merger completion on August 5). * Sales: Gold equivalent sales were 30,010 ounces at an average realized price of AUD 4,896 per ounce. * Costs: Consolidated All-In Sustaining Cost (AISC) was AUD 2,988 per AuEq ounce. The AISC breakdown by mine was: Tomingley at AUD 2,628/oz, Costerfield at AUD 2,451/oz, and Björkdal at a very high AUD 4,010/oz. * Financials: Revenue was AUD 147.23 million, resulting in an adjusted EBITDA of AUD 36.87 million. The company reported a net loss of AUD 2.68 million, but an adjusted net profit of AUD 2.27 million. The loss was attributed to one-off merger transaction costs. * Balance Sheet: The company ended the quarter with a strong position of AUD 191 million in cash, bullion, and listed investments, after repaying AUD 45 million in bank debt.
The Q1 FY2026 results are the first consolidated report following the merger with Mandalay Resources, which was completed on August 5, 2025. The results provide a baseline for the newly combined entity.
- Production: The statutory production of 30,511 AuEq ounces reflects a partial quarter for the Costerfield and Björkdal mines. An earlier release on October 9 provided a pro-forma "full quarter" production figure of 36,407 AuEq ounces. Annual FY2026 guidance is 160,000 to 175,000 AuEq ounces. A straight-line quarterly run rate would be 40,000 to 43,750 ounces. The pro-forma production is tracking slightly below the low end of this guidance, which bears watching.
- Costs: The consolidated AISC of AUD 2,988/oz is at the high end of the full-year guidance range of AUD 2,600 - 2,900/oz. The most significant concern is the AISC at the Björkdal mine, which came in at AUD 4,010/oz. While this is within its specific annual guidance range of AUD 4,050 - 4,450/oz (at the very bottom), it represents a very high-cost operation with thin margins. The performance of Tomingley (AISC AUD 2,628/oz vs. guidance of AUD 2,300-2,550) and Costerfield (AISC AUD 2,451/oz vs. guidance of AUD 2,400-2,650) were closer to, but still at the higher end of, their respective guidance ranges. The market will be closely watching for cost improvements, particularly at Björkdal.
- Financials & Balance Sheet: The reported net loss was expected due to the AUD 25 million in one-off transaction costs related to the merger, which management has now put behind them. The adjusted net profit demonstrates underlying profitability. The most positive aspect is the balance sheet. With AUD 191 million in cash, bullion, and investments, and having repaid AUD 45 million in debt (as per the August 18 release), the company is in a very strong financial position to fund its aggressive exploration and development plans (guided at AUD 81-91 million for FY2026).
Most of the key operational figures were pre-released in the October 9 and October 28 updates. This formal financial release confirms those numbers and provides the detailed cost breakdown and official profit/loss statement. As such, the news is not a surprise but a confirmation. The positive is the robust balance sheet; the negative is the high-end cost performance. The net impact is assessed as Routine - Positive.
Alkane Resources Limited is an Australian-based gold producer and explorer. Following its August 2025 merger with Mandalay Resources, the company operates three mines: 1. Tomingley Gold Operations: An underground gold mine in New South Wales, Australia. 2. Costerfield: An underground gold-antimony mine in Victoria, Australia. 3. Björkdal: An underground gold mine in Sweden.
The company's flagship development project is the Northern Molong Porphyry Project (NMPP) in New South Wales. This project hosts the major Boda-Kaiser discovery, a large-scale, low-grade gold-copper porphyry system with a resource of over 8 million ounces of gold and 1.46 million tonnes of copper. This project represents the company's long-term, tier-one growth potential. All properties appear to be royalty-free based on the information provided.