Beacon Minerals Unveils 29,400 oz Ore Reserve at Iguana with A$96M Pre-Tax Cash Flow

Beacon’s Iguana Deposit, A Snapshot

Beacon Minerals Limited has released a comprehensive Laterite Ore Reserve Statement for the Iguana Deposit, part of its Lady Ida Project in Western Australia. The Pre-Feasibility Study (PFS), conducted with a confidence level of ±15%, estimates an Ore Reserve of 972,000 tonnes grading 0.94 grams per tonne gold, equating to 29,400 ounces. This reserve forms 100% of the production target outlined in the study.

Mining and processing are planned over a concise 12-month period, with ore transported 43 kilometres by road to the Jaurdi CIP processing plant. The project’s all-in sustaining cost (AISC) is forecast at A$2,341 per ounce, supported by a modest capital expenditure of A$2 million for site infrastructure and haul roads.

Financial Outlook and Market Sensitivity

At a conservative gold price assumption of A$4,500 per ounce, the project’s pre-tax free cash flow is estimated at A$52.4 million. However, leveraging the spot gold price of A$6,350 per ounce as of 22 October 2025, the cash flow nearly doubles to A$96.2 million. This sensitivity analysis highlights the project’s strong leverage to gold price fluctuations, with operating costs remaining stable across scenarios.

The financial model incorporates a metallurgical recovery rate of 82.5%, based on historical and recent testwork, and assumes owner-operated conventional open pit mining equipment. Mining dilution and recovery factors have been prudently applied, reflecting realistic operational conditions.

Resource Conversion and Project Development

The Mineral Resource to Ore Reserve conversion ratio stands at an impressive 82%, underscoring the quality and confidence in the resource base. The Mineral Resource totals approximately 1.2 million tonnes at 0.92 g/t gold for 36,000 ounces, with the Ore Reserve derived exclusively from Measured and Indicated Resources, excluding Inferred material.

Beacon’s Executive Chairman and Managing Director, Graham McGarry, expressed optimism about the PFS outcomes and outlined plans for an updated Mineral Resource Estimate in late November 2025, followed by an updated Ore Reserve and Life of Mine schedule in January 2026. The company currently operates three drill rigs on site, signaling an aggressive approach to resource expansion and delineation.

Operational and Regulatory Framework

The Lady Ida Project benefits from granted mining leases and key approvals from Western Australian regulatory bodies, including environmental permits. Infrastructure requirements have been carefully planned, with site offices, workshops, water supply, and haul road upgrades accounted for. The Jaurdi processing facility, located 43 km from the mine site, is fully operational and employs conventional CIP technology, a proven method for gold extraction.

Beacon’s strategy leverages historical mining data and existing infrastructure to mitigate risks and accelerate project development. The company’s financial modelling and mine planning reflect contemporary cost inputs and operational assumptions, positioning the Iguana Deposit as a near-term production opportunity.