Alkane Resources’ revenue and profits soar

The gold production company Alkane Resources founded in 1969 is based in the central western region of New South Wales (Australia). The company boasts of a strong exploration and investment portfolio.


Alkane Resources currently has over 6,400 shareholders – many of whom are local investors. There are two major projects under the company – the Tomingley Gold Project and the Northern Molong Porphyry Project.

The Tomingley Gold Project, together with Tomingley Gold Operations (TGO) and the Tomingley Gold Extension Project, stretches 60 kilometres north-south along the Newell Highway in South Wales. TGO has been operating since 2014, and it aims to further extend the life of the mine and its processing plant by conducting an exploration. The open-cut mine could potentially produce 60,000 to 80,000 ounces of gold annually.

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There are four open-cut pits at Tomingley: Wyoming One (completed in 2019), Wyoming Three (completed in 2015), Caloma One (completed in 2017), and Caloma Two (completed in 2019). TGO aims to rehabilitate the site and create a productive ecosystem to promote sustainability.

“When we commenced mining at Tomingley in 2013, the plan was to produce 380,000 ounces from open cut and underground over seven years. We were also quietly confident that further discoveries would be made during that time to allow extension. Here we are, nine years later, entering our second decade of production and passing 500,000 ounces, proving that our confidence was well founded.

We have met or exceeded our production guidance every year of operation and surpassed our original production targets. We have expanded our resources around the existing mine and added discoveries to the south of Tomingley. Our geological teams are seeking to expand these resources even further. As a result, our current Life of Mine plan shows about a further 700,000 ounces of planned production over the decade ahead,” said Alkane managing director Nic Earner.

The company made a profit of 55.7 million USD in 2021. These earnings are driven by the performance of TGO as well as the demerger of Australian Strategic Materials (ASM). The gold produced at TGO costs around 1,320 USD per ounce.

The Northern Molong Porphyry Project is located 20 kilometres north of Wellington and 35 kilometres east of Dubbo in central western New South Wales. This project is well-known for producing a good amount of gold and copper. The company’s exploration of the project area shows that it has similar stratigraphic and intrusive rock sequences to Cadia Valley’s framework. They currently have three exploration targets – Kaiser-Boda, Comobella, and Finns crossing. All of these are still in the early stages of defining their drill programs.

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Alkane Resources’ exploration: an environmentally-friendly take on mining

Alkane has vowed to make all their exploration, mining, processing and rehabilitation activities wildlife safe. They also aim to create a low environmental impact by practising progressive rehabilitation and safe environmental practices. Alkane Resources cares for biodiversity in offset areas and has created new native habitats for animal species affected by their mining and exploration.

By designing and redesigning operational and exploration activities to have a minimum environmental impact, Alkane Resources aims to reduce its footprint. They utilize low volumes of consumables and are committed to water recycling apart from proper waste residue treatment and storage.

The Peak Hill Gold Mine operated from 1996 to 2005. When Alkane Resources’ researchers were designing their mining operations, they ensured the incorporation of progressive rehabilitation in the project. They managed to create the final landform by using waste rock which was shaped regularly and even contoured to ensure stability.

The Peak Hill Gold Mine hosts the Open Cut Experience, which is a free tourist attraction about the history and practice of gold mining, specifically from 1889 to 1917 and 1996 to 2005. This is one of the very few modern gold mines that are active and open to the public.

The Open Cut Experience was even a finalist in the 2003 NSW Tourism Awards Parkes Shire Council. They were awarded 120,00 USD under the NSW Government’s Regional Visitor Economy Fund, which was eventually used for the Peak Hill Gold Mine Visitor Experience Improvement Program.

70.3 million USD in profit, 165 million USD in revenue

Alkane Resources Ltd has delivered a record A$70.3 million profit after tax and reported A$165 million in revenue in spite of a turbulent year for gold stocks. The company is on its way to becoming Australia’s next multi-mine gold producer with Tomingley gold operations in Central West NSW’s performance, which produced nearly 67 million ounces. Their production rate increased by 17% over the last financial year.

“Delivering solid production alongside exploration success is our goal, and we are proud of our achievements in FY22. In particular, the upgrade in the resource at Roswell and the initial Boda resource of over 10 million equivalent gold ounces are standout milestones.” Earner commented.

Tomingley has been operating since 2014, and they aim to extend the life of the project beyond 2030. Alkane is committed to consolidating Central West New South Wales’ reputation as the main gold producer in the region.

Alkane Resources unveils copper enriched zone near Boda resource

Alkane Resources uncovered a copper-enriched zone at the Kaiser prospect. The drilling will continue at Kaiser with Boda Two and Three to follow. The Korridor prospect, about 500 metres southeast of Kaiser, also has shown encouraging results. “The initial shallow resource drilling program at Kaiser is revealing a copper enriched near-surface zone that appears to be increasing in grade to the northwest,” Earner stated.

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