FID at McPhillamys planned for 2024

8th August 2023

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia


Font size: - +

KALGOORLIE ( – Gold miner Regis Resources is working towards becoming a 500 000 oz/y producer by the 2027 financial year, with the miner poised to take a final investment decision on its McPhillamys project, in New South Wales, by the June quarter of 2024.

A 2017 prefeasibility study into the project estimated a capital cost of A$215-million to develop the seven-million-tonne-a-year operation. Based on a mineral resource estimate of 2.3-million ounces and an ore reserve of two-million ounces, the project is expected to produce up to 200 000 oz/y of gold over a mine life of between 10 and 15 years.

Regis MD and CEO Jim Beyer told Mining Weekly Online that the capital cost for McPhillamys would be significantly higher than estimated in 2017.

“I have said on a number of occasions that the capital now is much more than that, we are anticipating it to be in the region of A$500-million to A$600-million,” Beyer said on the sidelines of Diggers & Dealers.

“There is a 90-km water pipeline that will need building and that alone will cost A$100-million. It is a big project, and in New South Wales, and the location we are in, it requires a lot of extra water management systems,” Beyer said.

“But it is a good project and we are looking forward to getting it to that point.”

Construction is expected to take two years to complete, and Regis is looking at funding the project from cashflows from existing operations, as well as some debt.

“Our cash generating capacity has been severely hampered by the hedge book that we have been working our way through, and once we are clear of it, it puts an additional A$165-million year-on-year in our cashflow straight away.”

The New South Wales Independent Planning Commission (IPC) recently gave final approval for the development of McPhillamys, marking an important milestone in mining approvals.

Edited by Creamer Media Reporter




Your one-stop global energy-solution partner

Weir Minerals Africa and Middle East
Weir Minerals Africa and Middle East

Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...


Latest Multimedia

sponsored by

Photo of Martin Creamer
On-The-Air (24/11/2023)
24th November 2023 By: Martin Creamer
A video round up of this week’s magazine, highlighting our cover story, features and Business Leader.
Magazine round up | 24 November 2023
24th November 2023
Photo of Martin Creamer
Renewables, green hydrogen, platinum make headlines
23rd November 2023

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?







sq:0.197 0.234s - 108pq - 2rq
Subscribe Now