Kaiser Reef (ASX: KAU) September Quarter Production Update - A Growing Gold Mining Story.
- Noel Ong
- 6 hours ago
- 6 min read
Announcement
Kaiser Reef Limited (ASX: KAU) has marked its first full quarter since acquiring the Henty Gold Mine, with reconciled production reported for 1 July – 30 September 2025. Alongside the steadying of Henty as the core asset, the quarter featured renewed activity at Maldon and a strategic transition at A1, setting a clearer operational footing across the portfolio (Figure 1).
Figure 1: KAU - Multi-asset Tasmanian and Victorian gold producer (source: KAU)
Highlights - A Gold Mining Story.
Henty Gold Mine (processed & reconciled):
68,675 t processed (dry), 4.12 g/t head grade,
89.1% processing recovery,
8,115 oz Au produced.
Portfolio activities in train:
Maldon drilling commenced (results expected in October).
Henty plant modifications largely completed; detox capacity upgraded; throughput trials to start with added crushing capacity.
Henty Resources & Reserves update progressing; release targeted for October.
A1 Gold Mine transitioning to care & maintenance.
Bulk sampling of historical material underway at the Maldon Processing Plant.
Kaiser Reef Managing Director, Jonathan Downes, commented:
“This has been a great quarter for Kaiser, marked by a successful first full quarter of ownership at the Henty Gold Mine, which produced well over 8,000 ounces of gold. Henty has solidified its position as our flagship production asset, and we are progressing on several fronts to realise continued upside from Henty. “Our portfolio-wide activities have progressed significantly. Exploration drilling at Maldon has recommenced, targeting zones under the Union Hill Open Pit, and we are working through multiple pathways to ensure that the Maldon Processing Plant remains operational and ready for future mining production. Whilst we have committed to transitioning the A1 Gold Mine to care and maintenance, overall, we think this will place the company in a much stronger position going forward and ensure we realise the inherent value of the historic Maldon Gold Project. With robust gold production, a strong pipeline of exploration and development opportunities and a solid balance sheet, Kaiser is well positioned to capitalise on a surging gold price. I’m very pleased with where Kaiser is now positioned, and we are well set for organic production growth. “
Operations & Activity — What’s Moving
Henty (Tasmania): Production metrics above establish Henty as the current flagship producer within the portfolio (Figure 2). Processing upgrades (including detox capacity) and imminent throughput trials indicate a practical focus on plant performance and potential rate uplift. Henty has excellent infrastructure (Figure 2), with a grid-powered 300 ktpa SAG–CIL plant (≈A$100m replacement) staffed by 150+ locals, reliable water and power, sealed-road access and workshops, plus TSF capacity approved for ~2.5 years and permitting underway for ~6 more years.
Figure 2: Henty – excellent infrastructure (source: KAU)
Maldon (Victoria): Drilling has recommenced, initially targeting zones beneath the Union Hill Open Pit (Figure 3); historical material bulk sampling is also in progress through the Maldon plant to keep the facility operationally active ahead of future mine schedules. Results are expected in October.
Figure 3: Maldon Victoria – prolific high-grade tenure (source: KAU)
A1 (Victoria): The operation is moving to care and maintenance, a decision positioned by management as strengthening the Company’s forward footing and sharpening focus on value realisation at Maldon/Henty.
What To Watch Next
Maldon drilling results (October).
Henty Resources & Reserves update (October).
Henty plant throughput trials with additional crushing capacity.
Operational readiness at Maldon via bulk sampling and plant utilisation.
About Kaiser Reef
Kaiser Reef is an ASX-listed gold producer-explorer with Henty (Tasmania), Maldon (Victoria), including the Union Hill mine and operating a 200,000 tpa plant, and the A1 Gold Mine (Victoria) is now moving to care & maintenance. Henty includes an underground operation and ~300,000 tpa processing plant.
Samso Concluding Comments
From a production lens, the headline is simple: Henty delivered a clean, reconciled quarter and now anchors Kaiser’s story. When a newly acquired asset settles quickly, it tells you two things: operational control is improving, and plant tweaks are starting to matter. The focus on practical upgrades and throughput trials points to incremental, low-risk lift rather than blue-sky promises, which is exactly what you want to see at this stage.
Maldon adds the growth option that is both geologically sensible and infrastructure-aware. Drilling beneath established workings and keeping the plant “warm” via bulk sampling is a pragmatic way to shorten the path between discovery and milling—if the drill bit cooperates. The near-term cadence matters: results flagged for October will do the heavy lifting in converting potential into a pipeline, and they’ll tell us whether Maldon can step up from optionality to plan.
Placing A1 into care and maintenance is a portfolio choice that is a very smart thing to do. Concentrate on what is making the money, and Henty is by far the best option. In my opinion, it is the only option at this time.
What should investors track from here? First, the Henty reserves/resources update and how it squares with the production profile; Second, the outcome of plant throughput trials versus realised head grade and recovery; Third, the Maldon drill results and any follow-through targeting; and finally, balance-sheet flexibility to fund what works.
My thoughts are that the reserves/resource update is going to happen, and it is going to add value to the current market capitalisation. People like Brad Valiukas are all about finding ounces, and he probably already knew where the ounces were before he took the reins of the project.
Figure 4: Kaiser Reef share price chart as of 13th October 2025. (source: CommSec).
The value of the company was always going to head north and figure 4 is a great example of the uplift in valuation for shareholders. My gut feeling is that this is going to happen again once the new numbers come out. With the Australian gold price at over AUD6,000/oz, someone like Brad would make a killing on the production ounces, and you will have very happy shareholders soon. With a current market capitalisation of just over AUD $181M and projecting 25,000 ounces annually, it is not that hard to see an uplift coming soon.
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