Bellevue on-track for comeback
Bellevue is bouncing back with plans to deliver stronger June quarter production of 40,000–45,000 ounces (oz).
The company is confident it can overcome operational challenges, undertaking a $156.5 million fully underwritten placement to enable the closure of near-term hedged contracts.
“The March quarter was all about establishing mine development in January and February, which we have done successfully with the support of our mining contractor,” Bellevue managing director Darren Stralow said.
“The Bellevue orebody is high grade and long life and we now have adequate infrastructure in place. Following the review, we are now in a position to deliver a more robust, less-capital-intensive and lower-risk mining and operating plan that focuses on maximising operating cashflow.”
An operational review has been undertaken in an effort to boost cashflow and capital cost reduction.
“Alongside the updated mine plan, the strengthened balance sheet and close out of near-term hedge contracts provides Bellevue with increased exposure to record spot gold prices through to the end of 2025,” Stralow said.
“Coupled with the support of our funding partner, we are well funded to deliver significantly improved production and generate strong free cashflow for the remainder of the June quarter and through FY26 (2025–26 financial year).”
Bellevue expected to reap the benefits of its infrastructure expenditure and record gold production in the March quarter; however, some localised geological complexity and some sub-optimal mining practices led to production and revenue generation falling short.
Gold production for the March quarter was 25,146oz. As a result of the weaker quarter, Bellevue has revised down its FY25 production guidance to 129,000–134,000oz.