Vault Minerals has approved an A$80m ($49.72m) expansion of its King of the Hills (KoTH) gold processing facility in Leonora, Australia, aiming to increase throughput capacity and extend the mine’s operational life.
The expansion, announced alongside the company’s half-year financial results, is part of Vault’s broader strategy to optimise its asset portfolio and enhance production efficiency.
The upgrade will increase KoTH’s processing capacity to six million tonnes per year, marking a 20% rise from the 2024 financial year’s levels.
The project includes the installation of a new crushing circuit to improve efficiency and reduce operating costs.
Enhancements to the wet plant and classification circuit are also planned, which could enable potential throughput beyond seven million tonnes annually.
Vault’s Leonora operations currently hold ore reserves of 2.24 million ounces and mineral resources of 6.02 million ounces.
The company is exploring further growth opportunities through ongoing exploration and re-evaluation of satellite deposits, particularly in the context of prevailing gold prices.
A second stage of expansion is also under consideration, which could increase throughput capacity to between seven and eight million tonnes per year.
This additional upgrade would require a capital investment of A$65m to A$80m and include enhancements such as a regrind ball mill, increased gravity circuit capacity, and expanded tailings discharge capabilities.
The company has also resumed in-mine exploration at both KoTH and Darlot, with drilling activity expected to accelerate in the second half of the financial year.
Vault is evaluating multiple satellite deposits within its 2024 ore reserves and mineral resources as part of a broader regional assessment.
Despite the initial Stage 1 expansion, KoTH’s processing plant will remain mill-constrained, with three established feed sources and a 7.3 million-tonne stockpile containing approximately 108,000 ounces of gold located adjacent to the mill.
The combination of exploration efforts and additional processing capacity from Stage 1 could provide the basis for further expansion in the future.
