Aurelia Metals’ recently completed pre-feasibility study (PFS) has confirmed that a low-capital, high-return opportunity to re-treat historical gold tailings is present at its Peak operation in New South Wales, with a maiden ore reserve also declared.
The New Occidental Tailings Retreatment project involves reprocessing two historic dry-stacked tailings stockpiles located around 3km north-west of the Peak processing plant.
The material, originally processed in the late 1980s, is now being targeted for recovery using existing infrastructure at the operation, a fitting bookend to decades of activity at one of Australia’s most enduring polymetallic mining centres.
The PFS defines a straightforward development pathway that leverages the Peak processing plant, including its tertiary ball mill, currently being installed and carbon-in-leach circuit.
Tailings will be reclaimed, hauled via an existing road network and processed alongside conventional ore feed.
“The Project capitalises on recent optimisation initiatives at Peak, particularly the installation of the tertiary ball mill from Dargues, which creates the opportunity to process the tailings material concurrently with lead/zinc ore processing campaigns, at low incremental capital and operating costs,” managing director and chief executive officer (CEO) Bryan Quinn said.
A maiden mineral resource estimate of 2.6 million tonnes at 0.65 grams per tonne (g/t) gold has been declared, alongside an ore reserve of 2.3 million tonnes at 0.64 g/t gold.
Together, the project is expected to produce approximately 32,000 ounces of gold over a 10-year mine life. Capital requirements are minimal at about $3.3 million, covering a feed trommel, minor plant additions and road upgrades.
The project is designed to operate in parallel with 1.1–1.2 million tonnes per annum of fresh ore feed, a throughput target that itself stems from Aurelia’s October 2024 Cobar Basin Optimisation Study, which identified significant latent capacity at Peak and recommended the installation of the same tertiary ball mill now enabling the tailings opportunity.
The April 2025 approval of the Great Cobar copper project, targeting first stope ore in the 2027-28 financial year (FY28), means the Peak processing plant will be receiving feed from multiple sources simultaneously from that financial year onward.
At a conservative gold price assumption, the project delivers a post-tax net present value of $42 million and an internal rate of return of 258 per cent.
Quinn also highlighted that the ore reserve declaration adds operational flexibility within Aurelia’s broader Cobar region strategy, strengthening the long-term production profile at Peak.
First production is targeted for the 2028 financial year (FY28), following feasibility work and approvals during FY27.
The project now advances to feasibility studies and permitting ahead of a final investment decision.
