St Barbara (ASX: $SBM) Q2 December FY24 quarterly report highlights

St Barbara Limited (ASX: $SBM) has released its unaudited Q2 December FY24 quarterly report, showcasing significant progress in project development, financial strength, and operating performance. The company reported a cash balance of A$214 million, with gold sales for the quarter reaching 14,958oz at an average price of A$3,016/oz. Simberi gold production increased by 25% from Q1, reaching 12,969oz, while the oxide stockpile at Simberi stood at 70Kt at 1.2 g/t by the end of December 2023. St Barbara also provided updates on its exploration and development projects in Simberi Island, Papua New Guinea, and Nova Scotia, Canada.

Executive commentary on project development and corporate strategy

The Managing Director and CEO, Andrew Strelein, emphasized the company's focus on advancing the development of projects in Nova Scotia and the Simberi Expansion to realize maximum value for shareholders. Strelein highlighted the significant mineral and resource position at 5.9 Moz, expressing confidence in the company's ability to provide mineral ore reserve updates and extend oxide mine life. He also mentioned the company's efforts to avoid rapidly switching to care and maintenance at Simberi, aiming to make operational improvements after years of under-investment in operations reliability.

Summary of Q2 December FY24 quarterly report and outlook

St Barbara's Q2 December FY24 quarterly report reflects the company's strong financial position, with a cash balance of A$214 million and rising listed investments value to A$22 million. The company's Simberi and Nova Scotia projects are progressing well, with significant developments in resource drilling, metallurgical testing, and pre-feasibility studies. St Barbara remains confident in meeting its production guidance and breakeven operating cashflow for FY24, with a positive outlook for the extension of oxide life and the finalization of optimal development designs. The company's exploration activities in Papua New Guinea and Canada are also showing promising results, with ongoing drill programs and positive assay expectations. St Barbara's commitment to sustainability and ESG initiatives remains a priority, with a focus on including appropriate commitments in project-specific development proposals for both locations.