Australian gold producer St Barbara Limited has returned to underlying profitability in the first half of FY2026, while expanding mineral resources at its Simberi Operations in Papua New Guinea and advancing a fully funded pathway for the New Simberi Gold Project.
For the six months to 31 December 2025, the group reported an underlying net profit after tax of A$1.336 million, a marked reversal from an underlying loss of A$48.058 million in the corresponding period a year earlier. Statutory loss after tax narrowed to A$249,000, compared with A$48.526 million previously.
Revenue from ordinary activities rose 32 per cent to A$128.83 million, underpinned by improved operating performance at Simberi and a stronger gold price environment.
Simberi drives operational recovery
Simberi generated a pre-tax segment operating profit of A$20.639 million in the half year, contributing A$23.382 million in operating cash before sustaining capital.
Gold production at Simberi totalled 20,215 ounces, compared with 22,495 ounces in the prior corresponding period. The average gold price received was A$5,822 per ounce, up from A$3,916 per ounce a year earlier. Cash cost for the period was A$5,170 per ounce, with all-in sustaining cost at A$5,397 per ounce.
Mine operating costs declined to A$95.82 million from A$116.164 million, reflecting lower maintenance costs following fleet upgrades and plant improvements.
Total growth capital expenditure at Simberi reached A$36.111 million, largely associated with advancing the New Simberi Gold Project, including mobile fleet additions, camp upgrades, ball mill procurement and water treatment infrastructure.
Resources expand; silver reported for first time
Alongside its half-year results, St Barbara updated its Mineral Resources and Ore Reserves Statement as at 31 December 2025.
Group Mineral Resources for gold increased to 7.9 million ounces, up 1.0 million ounces from 6.9 million ounces a year earlier. Group Ore Reserves for gold stood at 3.8 million ounces, compared with 4.0 million ounces at 31 December 2024.
At Simberi alone, gold Mineral Resources rose by 0.9 million ounces (17 per cent) to 5.8 million ounces (net of depletion), while Ore Reserves decreased by 0.2 million ounces to 2.5 million ounces.
Total Simberi gold Mineral Resources are estimated at 136.5 million tonnes at 1.3 g/t for 5.8 million ounces of contained gold. Simberi gold Ore Reserves stand at 42.9 million tonnes at 1.8 g/t for 2.5 million ounces.
Significantly for PNG, silver Mineral Resources and Ore Reserves were reported for the first time at Simberi. Silver Mineral Resources total 15.3 million ounces and Ore Reserves total 4.5 million ounces of contained silver.
The increases in Mineral Resources were largely driven by updated feasibility and pre-feasibility studies and revised economic assumptions, including reporting at a higher gold price of US$2,500 per ounce.
Fully funded pathway to expansion
St Barbara’s strategic focus remains the development of the New Simberi Gold Project. During the half year, the company reached agreements with Lingbao Gold International Company Limited and Kumul Mineral Holdings Ltd that are expected to fully fund St Barbara’s share of development costs.
Lingbao will acquire 50 per cent of St Barbara Mining Pty Ltd, delivering A$370 million in cash to St Barbara upon completion, targeted by the end of Q3 FY2026. In parallel, Kumul’s subsidiary will acquire a 20 per cent interest in the Simberi Operation for A$100 million.
Recent study outcomes reinforce the project’s scale. The New Simberi Gold Project Feasibility Study outlined annual production of over 200,000 ounces per annum at an all-in sustaining cost of between US$1,100 and US$1,400 per ounce over a mine life extending to 13 years.
The study reported a post-tax net present value of US$1.023 billion, assuming a gold price of US$3,000 per ounce.
Balance sheet and liquidity
As at 31 December 2025, St Barbara held cash and cash equivalents of A$74.784 million, in addition to restricted cash of A$87.288 million lodged as security for reclamation bonds at its Atlantic Operations.
Net assets stood at A$434.597 million. The board said it remains confident the group can meet its obligations as they fall due for at least 12 months, though the independent auditor included an emphasis of matter regarding material uncertainty relating to going concern.
For Papua New Guinea, the half-year results signal both improved financial resilience and a material uplift in long-term resource confidence at Simberi. With silver now formally recognised and expansion funding arrangements nearing completion, Simberi is positioning itself as a long-life, multi-metal operation central to St Barbara’s growth strategy.
