Northern Star Resources operational update

Northern Star Resources Limited (ASX: $NST) has announced its preliminary production results for the three-month period ended 31 March 2024. The company reported gold sold for the March quarter totaling 401koz, impacted by significant weather events across the Northern Goldfields. Despite these disruptions, the June quarter has commenced with strong operational momentum, including increased access to high-grade material at the Kalgoorlie Production Centre, early access to first ore at Wonder underground in the Yandal Production Centre, and grade improvements at Pogo Production Centre. As of 31 March, the company remains in a strong financial position with net cash of A$174 million and cash and bullion totaling A$1,076 million after the payment of the FY24 interim dividend of A$169 million. Northern Star is on track to deliver its FY24 Group gold sold guidance of 1.60-1.75Moz based on positive momentum leading into an expected strong June quarter, driven predominantly by increased grade and mill utilization rates. However, the company has revised its FY24 AISC guidance to A$1,810-1,860/oz, up from A$1,730-1,790/oz, due to cost pressures prevalent across the sector and costs linked to the buoyant gold price. Northern Star also maintains its FY24 growth capital guidance of A$1,150-1,250 million and exploration budget of A$150 million.

Executive Commentary on March Quarter Performance

The Managing Director of Northern Star Resources, Stuart Tonkin, commented, 'The resilience of our team and assets was demonstrated during the quarter with operations further challenged due to adverse weather. Our profitable growth strategy coupled with elevated gold prices is expected to deliver significant cashflow generation, and in turn, superior shareholder returns.'

Summary of Operational Update and Outlook

Northern Star Resources Limited has reported a strong operational momentum in the June quarter despite the impact of adverse weather events on gold sold for the March quarter. The company remains on track to deliver its FY24 Group gold sold guidance and has revised its FY24 AISC guidance due to cost pressures prevalent across the sector and costs linked to the buoyant gold price. Major organic growth projects, including the KCGM Mill Expansion, continue to advance. The Managing Director, Stuart Tonkin, expressed confidence in the company's profitable growth strategy and the expected significant cashflow generation, leading to superior shareholder returns. Northern Star will release its March quarterly results on Tuesday, 23 April 2024.