Business · Energy & Commodities · 1 hr ago
Carnavale study targets Kookynie gold production from 2027
Carnavale Resources’ feasibility study proposes two open pits at its Kookynie gold project in Western Australia, about 60km south of Leonora.
The plan is to mine about 35,600 ounces of gold over 18 months from the Swiftsure and Tiptoe pits, starting in the second half of 2027.
Kookynie is held 80% by Carnavale and 20% by Western Resources, and the study’s production and financial estimates cover the whole project.
The company plans to use contractors and send ore to a third-party plant, avoiding the cost of building its own processing facility.
The study forecasts A$104 million in pre-tax free cash flow, based on a gold price of A$6,000 an ounce.
The pits could provide cash to support possible underground mining, but that option is not included in the study and has no declared reserve.
Approvals, funding and processing deals are still needed before the project can proceed; production depends on approvals and a final investment decision.
Carnavale Resources’ bankable feasibility study targets gold production at the Kookynie project in Western Australia from the second half of 2027.
The proposed Swiftsure and Tiptoe starter pits are expected to produce 35,600 ounces of gold over 18 months.
The study forecasts A$104 million in pre-tax free cash flow, using a base-case gold price of A$6,000 an ounce.
The plan relies on contract mining and processing ore at a third-party plant, but processing and contractor agreements are not yet secured.
Approvals, funding and a positive final investment decision remain ahead of production.
- Who
- Carnavale Resources, which holds an 80% interest in Kookynie, and its joint venture partner Western Resources, which holds 20%.
- What
- A feasibility study outlines a proposed open-pit gold mine at Kookynie. Production is targeted to start in the second half of 2027.
- When
- The study was released on October 26, 2026. Production is targeted for the second half of 2027.
- Where
- The Kookynie Gold Project in Western Australia, about 60km south of Leonora.
- Why
- The proposed open pits could generate cash flow to support possible underground development at Swiftsure.
This story does not have two clearly opposing sides.
Carnavale released its bankable feasibility study for the proposed Kookynie starter pits.
The company expects decisions on key environmental approval applications and completion of technical work on underground potential.
Open-pit production is scheduled to begin, subject to approvals and a positive final investment decision.
- Starter-pit ore
- About 220,000 tonnes grading 5g/t
- Forecast gold output
- 35,600 ounces over 18 months
- Forecast pre-tax free cash flow
- A$104 million at a base-case gold price of A$6,000/oz
- Peak funding estimate
- A$24 million, including A$2.4 million in pre-operating capital
- Project interests
- Carnavale Resources 80%; Western Resources 20%