New Murchison Gold Strikes Production Gold at Crown Prince Mine
New Murchison Gold Limited has officially transitioned to a gold producer with first ore crushed and shipped from its Crown Prince Gold Mine, backed by strong exploration results and a successful $15 million capital raise.
- First gold production commenced at Crown Prince Gold Mine
- Ore crushed, assayed, stockpiled, and trucked to Westgold’s Bluebird plant
- High-grade drilling confirms underground mining potential
- $15 million pre-mine capital raising completed
- Included in S&P/ASX All Ordinaries Index
Transition to Producer Status
New Murchison Gold Limited (ASX, NMG) marked a significant milestone in the September 2025 quarter by commencing gold production at its Crown Prince Gold Mine near Meekatharra, Western Australia. This transition from explorer and developer to producer is a pivotal moment for the company, with the first gold-bearing ore crushed, assayed, and stockpiled on site. An initial 10,000 tonnes of ore was trucked to Westgold Resources Limited’s Bluebird Gold Processing Facility, triggering the commencement of their Ore Purchase Agreement.
Operational Ramp-Up and Performance
Operations ramped up efficiently to a target mining rate of 40,000 tonnes per month through September and October, aligning with the production profile outlined in the company’s February 2025 feasibility study. By quarter’s end, New Murchison had stockpiled nearly 30,000 tonnes of ore ready for crushing and over 14,700 tonnes of crushed high-grade ore prepared for transport. The company reported 31,047 tonnes of ore sold at an average grade of 3.34 grams per tonne, with metallurgical recoveries near 97%, translating to approximately 3,231 ounces of recoverable gold for the quarter.
Exploration Success Bolsters Future Potential
Exploration efforts continued to deliver promising results, with high-grade drilling confirming extensions of mineralisation below the current open pit, suggesting strong underground mining potential. Regional drilling across the extensive 677 square kilometre Abbotts Greenstone Belt returned multiple high-grade gold intercepts at prospects including Airstrip, Lydia, Battery, Crescent, and Abbotts. These results underscore the district-scale potential of New Murchison’s tenure and provide a foundation for future growth.
Strong Financial Position and Market Recognition
On the corporate front, New Murchison successfully completed a $15 million pre-mine capital raising through a $12 million placement and a $3 million share purchase plan, providing robust funding for ongoing operations and exploration. The company ended the quarter with a healthy cash balance of $19.7 million and received a further $15.8 million in proceeds from gold-in-ore sales post-quarter. Reflecting its transition to producer status and increased market capitalisation, NMG was included in the S&P/ASX All Ordinaries Index in September 2025, enhancing its visibility among investors.
Looking Ahead
With mining, crushing, and haulage operations progressing smoothly and exploration drilling confirming substantial upside, New Murchison Gold is well positioned to sustain and potentially grow its production profile. The company’s focus will likely remain on optimising operations at Crown Prince while advancing regional exploration to unlock further value across its extensive landholdings.
Bottom Line?
New Murchison Gold’s successful production start and exploration results set the stage for a promising growth trajectory in Western Australia’s gold sector.
Questions in the middle?
- How will metallurgical recovery rates evolve over the life of the Crown Prince mine?
- What are the timelines and capital requirements for developing the underground potential at Crown Prince?
- How will ongoing regional exploration results impact New Murchison’s resource base and production plans?
