Theta Gold Mines projects $1.2bn free cash flow from optimized study

Theta Gold Mines Limited (ASX:TGM) has released an optimized Feasibility Study (FS) for its TGME Gold Mine Project, projecting $1.2 billion in free cash flow from a 6Moz gold resource. The FS, dated September 30, 2025, shows a post-tax NPV10% of $504m and an IRR of 71%, with a Life of Mine (LOM) extending to 14.5 years. Production is targeted to start in Q1 2027, delivering 1.14 Moz of recovered gold from 1.31 Moz mined at an average recovered grade of 4.81 g/t.

The project is moving forward with construction, with bulk earthworks, civils, roads, and water management contracts signed in September 2025. The company also announced the conversion of 3,800,000 unlisted employee options into fully paid ordinary shares, raising A$456,000 for further construction. Earlier in June 2025, TGM secured an agreed credit-approved loan facility for up to $35 million from the Industrial Development Corporation of South Africa, with commercial debt syndication progressing.

Additionally, the company completed a $4 million private placement in June 2025, with funds allocated to mine design and plant engineering development. These financial activities, alongside the optimized FS, underpin the company’s strategic plan to become a significant gold producer, leveraging existing infrastructure and approved permitting for shallow, high-grade orebodies.