Kaiser Reef has closed out its gold loan with Auramet International after 18 monthly instalments totalling 1,872 ounces, with a final 104-ounce delivery this month. The ASX-listed company said the repayment immediately frees $600,000 per month in operating cash flow for development and mine-life extension work.
Managing director Brad Valiukas said the loan had helped fund the Henty acquisition and that retiring it was an important milestone for Kaiser.
"The gold loan helped us acquire Henty, and repaying it is an important milestone for Kaiser. Importantly, retiring the gold loan immediately increases our retained production each month," he said. "With A$40 million in cash and bullion at the end of September, we are in a strong position to fund our ongoing development and mine-life extension programs at Henty and our growth at Maldon."
The company's only remaining gold delivery obligation is a deferred consideration payment to Henty's former owner, Catalyst Metals, requiring 50 ounces per month through to October 2030. About 2,400 ounces remain outstanding on that facility.
Kaiser said the repayment capped a financial turnaround. The company swung from a $20.24 million loss in FY2025 to a $16.8 million statutory after-tax profit in FY26, backed by $44.7 million in cash flow from operations, with A$40 million in cash and bullion on the balance sheet at the end of September.
Its global resource stands at 5.53 million tonnes grading 3.46 grams per tonne (g/t) gold for 615,000 ounces. Henty, in Tasmania's Mount Read Volcanics belt, hosts 429,000 ounces grading 3.16 g/t, with an ore reserve of 1.91 million tonnes at 3.22 g/t for 198,000 ounces, supporting a targeted production profile of 32,000 ounces a year through its 300,000-tonne-per-annum processing plant.
The company has also struck a deal with fellow ASX-listed Flynn Gold to process third-party ore through the Henty plant, adding a new revenue stream.
In Victoria's Golden Triangle, Kaiser is advancing its Maldon project, a field that has historically produced 1.75 million ounces of gold at an average grade of 28 g/t. An underground drilling program is under way to test fresh upside at the deposit. Maldon includes the fully permitted 200,000-tonne-per-annum Porcupine Flats processing facility and the Union Hill deposit, which carries an indicated resource of 1.31 million tonnes at 4.44 g/t for 187,000 ounces. Stockpiles at Union Hill and the A1 site add a further 11,700 ounces.