Pantoro Limited (ASX: $PNR) has approved a growth budget of $25 million for FY2025, with plans to undertake an initial 85,000 meters of combined diamond and RC drilling over four key targets. The company aims to focus on near term high-grade underground mine targets and re-enter the Norseman Mainfield through the existing Bullen decline, with rehabilitation works set to commence in the first half of FY 2025. Pantoro also plans to conduct detailed magnetic surveys over identified target areas on Lake Cowan to finalize drilling targets for FY 2026 and beyond. The company expects ongoing operations to fund growth projects and build cash reserves during the period, with Q4 FY2024 on track for another increase in quarterly production and strong cashflow generation. Pantoro has provided FY2025 guidance of 100,000 OZ + 10% at AISC of 1,900/oz + 10%.
Pantoro's Managing Director, Paul Cmrlec, expressed excitement about the development of the Norseman goldfield, highlighting the company's strong cashflow and outstanding balance sheet position. Cmrlec emphasized the disciplined approach to growth activities, ensuring that every dollar spent contributes positively to the goal of filling the processing plant with 5 - 6 g/t ore in the shortest possible time. He expressed confidence in Norseman's potential to become a +200,000 ounce per annum producer, utilizing the extensive infrastructure already in place. Cmrlec also mentioned the low-cost opportunities within the plant to increase throughput by another 20% once sufficient additional high-grade feed is available.
Pantoro's approval of the growth program for FY2025, with an initial 85,000 meter drilling program, reflects the company's commitment to advancing high-grade underground mine targets and re-entering the Norseman Mainfield. The company's focus on disciplined growth activities and strong cashflow generation positions it to achieve its goal of filling the processing plant with 5 - 6 g/t ore in the shortest possible time. With a clear emphasis on near term production opportunities and the potential to become a +200,000 ounce per annum producer, Pantoro's outlook for FY2025 and beyond appears optimistic. The company's ongoing operational performance and cashflow optimization remain top priorities, with production expected to reach 100,000 ounces +10% at AISC of approximately $1,900 per ounce + 10% for FY2025.