29Metals (29M) Q4 2024 earnings summary

Executive summary

• Achieved or exceeded full-year 2024 production and cost guidance, with strong operational and cash performance at Golden Grove and a positive outlook for 2025, targeting higher copper and zinc production.

• Completed AUD 180 million ($180 million) equity raise and senior debt refinancing, significantly improving liquidity and funding for growth and strategic objectives.

• Gossan Valley final investment decision made, extending Golden Grove's mine life by 7 years, with strong project economics (34% IRR, $110 million NPV).

• Capricorn Copper remains suspended, with focus on water management, environmental compliance, and regulatory engagement; no mining production during the quarter.

• Group TRIF and LTIF improved to 10.0 and 2.4, respectively, compared to the previous quarter.

Financial highlights

• December quarter unaudited revenues reached AUD 184 million, a 5% increase over the prior quarter, driven by higher zinc and gold prices.

• Golden Grove generated $48 million in operating cash flow and $18 million in free cash flow for the quarter.

• Group liquidity at 31 December 2024 was $268 million, up from $60 million in the previous quarter.

• Net drawn debt reduced to $9 million from $147 million in the previous quarter.

• $21 million insurance claim progress payment received for Capricorn Copper, with total insurance proceeds to date of $61 million.

Outlook and guidance

• 2025 guidance targets a 7% increase in copper production and a 15% increase in zinc production versus 2024, with Golden Grove copper guidance at 22–25kt and zinc at 60–70kt.

• Golden Grove site costs for 2025 are guided at $370–400 million, with capital spend of $136–173 million including Gossan Valley development.

• Capricorn Copper suspension costs forecast at $30–40 million for 2025, with significant reduction in cash outflows planned as water management projects complete.

• Exploration spend expected to increase to AUD 10–14 million, focused mainly on Golden Grove.

• Gold hedges reprofiled to smooth cash flows over 2025–2026, with 10,008oz at $2,590/oz in 2025.