Ramelius Resources (ASX:RMS): How Are September Production and Mt Magnet Expansion Shaping FY27?

Aditi Sarkar

29 October 2026 03:15 PM AEDT

Ramelius Resources (ASX:RMS): How Are September Production and Mt Magnet Expansion Shaping FY27?

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Highlights

Ramelius Resources (ASX:RMS) produced 48,839 ounces of gold in the September 2026 quarter.
Quarterly all-in sustaining cost was A$2,656 per ounce following weather-related haulage interruptions.
Cash and gold rose to A$768 million; September-quarter operating cash flow was A$186 million.
FY27 guidance remains 205,000–225,000 ounces at A$2,150–2,350 per ounce AISC.

Ramelius Resources Limited is a Western Australian gold producer developing its Mt Magnet processing hub and the Dalgaranga and Rebecca-Roe projects. Its September 2026 quarterly activities report outlined production affected by wet-weather haulage delays, continuing mine development and progress on processing capacity. On 29 October 2026, Ramelius Resources (ASX:RMS) shares traded at AUD 3.555, down 0.98% during the session. The company maintained its FY27 gold production and cost guidance while reporting a higher cash and gold balance. Attention now turns to ore deliveries from Penny and Never Never, commissioning work at Mt Magnet and approvals associated with Rebecca-Roe.

Company Business

Ramelius Resources (ASX:RMS) operates a gold mining and processing business focused on Western Australia. The Mt Magnet hub combines an established treatment plant with ore from nearby and satellite sources, including Cue, Penny and Dalgaranga. Mining incorporates both open-pit and underground operations, with ore moved to Mt Magnet for processing. The company is upgrading the plant to accommodate additional feed and different ore characteristics.

Dalgaranga includes the Never Never underground mine, where ore production is being progressively increased. At Cue, mining and development span several deposits, while the Galaxy underground operation forms part of the Mt Magnet mining complex. Separately, Rebecca-Roe in the Goldfields is a development project requiring infrastructure, permitting and construction activity. The portfolio exposes Ramelius to gold prices, mining costs, ore grades, transport availability and project execution.

Recent Development

In its 26 October quarterly report, Ramelius Resources (ASX:RMS) recorded 48,839 ounces of gold production for the September 2026 quarter. Wet weather interrupted transport from Penny to the Mt Magnet plant, leaving approximately 29,000 tonnes of ore containing an estimated 4,202 ounces of gold at the mine at quarter-end. The company indicated this material was expected to be processed in the following quarter. Mt Magnet treated 526,000 tonnes of ore at a recovery rate of 93.2%.

The Never Never underground mine produced 130,000 tonnes of ore at an average grade of 4.20 grams per tonne, while 135,000 tonnes of underground ore grading 4.15 grams per tonne was processed at Mt Magnet. Ramelius also awarded the engineering, procurement and construction contract for the new three-million-tonne-per-annum Circuit 2 to Primero. Stage 1 infrastructure was connected during a scheduled October maintenance shutdown.

At Rebecca-Roe, the Roe site received an environmental works approval, with further associated mining approvals still being pursued. The sale of Edna May was completed for A$300 million, comprising A$210 million in cash and approximately A$90 million in shares of Forrestania Resources. The company also reported 39,559 metres of drilling during the September quarter.

Financial Performance and Sector Context

Ramelius Resources (ASX:RMS) reported September-quarter gold sales revenue of A$308.6 million on sales of 51,278 ounces, at an achieved price of A$6,019 per ounce. All-in sustaining cost was A$2,656 per ounce, above the FY27 guidance range of A$2,150–2,350 per ounce. Mine operating cash flow was A$186.4 million, while underlying free cash flow was approximately A$62 million. Cash and gold totalled A$768 million at 30 September 2026, compared with approximately A$650 million at 30 June 2026.

For FY26, Ramelius reported group revenue of A$1,032.8 million and underlying EBITDA of A$765.4 million, down 7% from A$825.9 million in FY25. Underlying net profit after tax declined 33% to A$319.9 million; statutory profit after tax was A$118.8 million. FY26 operating cash flow totalled A$702.1 million. Gold prices and realised sales prices affect revenue, while grades, haulage, processing performance, labour and capital expenditure influence margins and cash generation.

Risks to Consider

Ramelius Resources (ASX:RMS) faces risks from rainfall and transport interruptions, changes in mined grades, ore sequencing and plant availability. September-quarter costs exceeded the full-year AISC guidance range, highlighting the importance of planned production increases. Mt Magnet expansion requires construction, integration and commissioning, while Rebecca-Roe depends on further approvals and development execution. Gold-price fluctuations, capital expenditure and changes in mining assumptions may affect financial outcomes.

What to Watch Next

Key FY27 measures are gold production against 205,000–225,000 ounces and AISC against A$2,150–2,350 per ounce. Ramelius expects sequential quarterly production increases supported by higher-grade sequencing at Dalgaranga and Cue. Never Never is targeting a one-million-tonne annual mining rate by July 2027. Other milestones include commissioning of Mt Magnet Circuit 2, scheduled for the December 2027 quarter, and progressing Roe mining approvals and site preparation. Further quarterly reports will clarify haulage recovery, stockpile processing and the cash demands of expansion.

Key Insights

Ramelius Resources (ASX:RMS) began FY27 with 48,839 ounces of quarterly output and higher-than-guided unit costs, while maintaining full-year production and cost targets. Its September cash position benefited from operating cash generation and proceeds associated with the Edna May sale. The Mt Magnet plant expansion, Dalgaranga production ramp-up and Rebecca-Roe permitting process provide defined operational milestones. Subsequent disclosures will show how mine sequencing, ore transport and project spending affect production and cash flow.

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