Regis Resources Limited (ASX: RRL) has issued its production and cost outlook for the 2027 fiscal year, projecting group gold output between 360,000 and 400,000 ounces. This guidance incorporates operations at the Duketon project and the company’s 30% stake in the Tropicana mine. Group All-In Sustaining Costs (AISC) are anticipated to fall within the range of $2,990 to $3,390 per ounce, a figure that accounts for approximately $88 per ounce in non-cash stockpile movements and current diesel price assumptions of $1.35 per litre.

At Duketon, the company plans to leverage excess mill capacity at Moolart Well to process additional ore. Management indicated this strategy allows for the inclusion of lower-margin ounces without disrupting higher-margin output from the Garden Well and Rosemont mills. Production at the site is expected to be weighted towards the second half of the year as new open pits ramp up. Conversely, Tropicana output is forecast to decrease slightly compared to the prior period, as a reduced volume of open-pit ore from the Havana pit necessitates a higher reliance on lower-grade stockpile feed.

Development activity remains a significant component of the company’s capital allocation for the year. Growth capital for FY27 is pegged between $250 million and $270 million, with a substantial portion dedicated to the advancement of underground operations. The Rosemont Stage 3 underground project is a key focus and is currently scheduled to reach commercial production by late FY27. Parallel development work continues at the Havana underground project to support future production.

Beyond its active mining operations, the company is allocating between $30 million and $35 million in capital to the McPhillamys project. This expenditure is aligned with the company’s internal roadmap to reach a Final Investment Decision for the project during the first half of calendar year 2028. Additionally, the company is maintaining a firm commitment to exploration, with a total spend of $80 million to $90 million earmarked for the year to pursue identified prospects across its portfolio.

Read the full announcement: Stronger Production Outlook Lifts FY27 Guidance