Bellevue’s Operational Gains and Net Zero Push Signal New Risks and Rewards

Operational Breakthroughs Drive Financial Strength

Bellevue Gold Limited (ASX – BGL) has reported a remarkable June 2025 quarter, marked by a surge in gold production and record free cash flow of $67 million. The company processed a record 287,000 tonnes of ore at an impressive grade of 4.5 grams per tonne, achieving metallurgical recoveries of approximately 95% following recent plant upgrades. This operational excellence translated into gold production of 38,941 ounces, a substantial increase from the prior quarter, and an average realised gold price of A$5,147 per ounce.

The all-in sustaining cost (AISC) was significantly reduced to A$2,253 per ounce, reflecting improved efficiencies and cost control. These results underscore the success of Bellevue’s strategic focus on operational improvements, including enhanced mine development rates and processing plant performance.

Mining Advances and Strategic Developments

Mining activities progressed strongly, with 290,000 tonnes mined at a grade of 4.7 grams per tonne. Notably, the Deacon orebody continued to be a key contributor, while stoping commenced at the higher-grade Viago orebody, expected to ramp up in mid-FY26. The Tribune Mine also delivered ore to the mill for the first time, adding to production diversity.

Development rates reached a record 311 metres per jumbo in June, the highest monthly rate in the fiscal year, highlighting improved planning and execution. Despite minor delays accessing a key stope and some unplanned plant maintenance early in the quarter, the operation ended the year on a strong footing.

Financial Position and Hedging

Cash and gold on hand increased by $65 million to $152 million, bolstered by the closure of hedged gold positions using proceeds from a recent capital raising. Debt remains steady at $100 million with no mandatory repayments until 2027, providing financial flexibility. The company’s forward hedging commitments have been substantially reduced, with gold production through December 2025 largely free of hedge obligations, allowing full exposure to spot prices.

Sustainability Milestones and Leadership

In a notable sustainability achievement, Bellevue commissioned four 6MW wind turbines during the quarter, powering the mine with up to 100% renewable energy for extended periods. This milestone advances the company’s goal of achieving net zero Scope 1 and 2 greenhouse gas emissions by 2026, positioning Bellevue as a leader in green mining practices.

Operational leadership was strengthened with the appointment of Campbell Baird as acting Chief Operating Officer. Baird brings over 30 years of global mining experience, signaling Bellevue’s commitment to operational excellence and growth.

Looking Ahead

Bellevue plans to release FY26 production and cost guidance in early August, with the strong finish to FY25 providing a solid platform. The ongoing strategic review aims to embed continuous improvement, focusing on cash flow enhancement and cost management. Investors will be watching closely to see how these initiatives translate into sustained performance gains.