Red Hill Minerals (RHI) Q4 2024 TU earnings summary

Executive summary

• Achieved FY24 production and cost guidance, with strong operational improvements, safety focus, and a robust balance sheet supporting growth projects.

• Federation project remains on track for first stope ore in late Q1 FY25, despite weather-related delays; exploration delivered exceptional results, especially at Federation and Peak.

• Dargues mine nearing completion, transitioning to care and maintenance, with asset sales and remediation planned.

• Record high recoveries for zinc and lead at Peak, with strong sales and operational performance.

Financial highlights

• FY24 gold production reached 65.3koz, at the upper end of guidance; copper output was 2.2kt, zinc 16.8kt, and lead 18.7kt, all within or near guidance.

• Ended the quarter with AUD 116.5 million cash and over AUD 150 million in total liquidity.

• Peak and Dargues generated around AUD 75 million in cash flow, nearly funding Federation and exploration investments.

• All-in sustaining cost for FY24 was AUD 2,035/oz, at the lower end of guidance.

• Peak mine finished with over AUD 25 million cash for the quarter, AUD 37 million for the year; Dargues contributed AUD 10.2 million for the quarter.

Outlook and guidance

• FY25 guidance and detailed outlook to be provided with full-year results in August; focus on ramping up Federation and optimizing Cobar region.

• Federation project targeting first stope ore in late Q1 FY25, with ramp-up planned.

• Exploration and drilling plans for FY25 to be detailed in upcoming guidance, including at Federation and Lancelot.

• Additional hedges executed for gold, lead, and zinc across FY25.