Evolution Mining Achieves Major Milestone with Mungari Mill Expansion

 Evolution Mining

Mungari Mill Expansion Ahead of Schedule and Under Budget

Evolution Mining has reached a significant milestone in the expansion of its Mungari mill, located in Western Australia’s Goldfields region. The company has commenced commissioning of the mill expansion nine months ahead of schedule, with full completion expected in the June quarter of 2025.

The total cost of the expansion is projected at $228 million, which is nine percent lower than the original $250 million budget. Evolution hailed this as an “outstanding achievement” by its project team.

Increasing Capacity and Extending Mine Life

The expansion will boost the mill’s processing capacity from 2 million tonnes per annum (Mtpa) to 4.2Mtpa, effectively extending Mungari’s mine life to at least 2038. The company expects the increased capacity to raise Mungari’s average annual gold production to 200,000 ounces, a substantial 50% increase from the current 135,000 ounces.

Evolution’s managing director and chief executive officer, Lawrie Conway, credited the success to collaboration with key contracting partners, including GR Engineering Services, NRW Holdings, and MLG Oz.

“Today we celebrate the operational handover of a construction project that has been executed safely, efficiently, ahead of the original schedule, and under the original budget,” Conway stated. “This incredible achievement would not have been possible without the collective efforts of our employees, contracting partners, and local stakeholders. It’s a proud moment for all of us and an important milestone for the Mungari operation, which will now transition back to a major cash contributor for Evolution.”

Financial Strength and Increased Cash Flow

In January, Evolution Mining reported record cash levels, fueled by strong production growth and favorable gold prices during the December 2024 quarter. The company generated $561 million in operating mine cash flow and $263 million in net mine cash flow for the period.

“Our cash flow materially increased by 54 percent in the December quarter, reflecting the safe delivery of low-cost production and the benefits derived from the high metal price environment,” Conway noted.

As Evolution Mining continues to expand operations and optimize efficiency, Mungari’s enhanced capacity is set to solidify its position as a key asset in the company’s portfolio.