Highlights: 

  • Alkane Resources delivered Q1 FY26 consolidated gold equivalent production of 30,511 ounces, marking a 66% increase YoY. 
  • The company generated AUD 147.2 million in revenue for Q1 FY26 at an average gold price of AUD 4,896 per ounce. 
  • Alkane exited FY25 with no net debt and a cash balance of AUD 191 million. 

Alkane Resources Ltd (ASX:ALK), an Australian gold and antimony producer with operations in Australia and Sweden, highlighted the completion of its merger with Mandalay Resources in the first quarter of the financial year 2026 (Q1 FY26). This strategic move expanded Alkane’s portfolio by adding the Costerfield and Björkdal mines alongside its existing Tomingley Gold Project. 

During the quarter, the company achieved a consolidated gold equivalent production of 30,511 ounces, representing a 66% increase compared to the previous year. Revenue for the period reached AUD 147.2 million, driven by an average gold price of AUD 4,896 per ounce. 

In the September 2025 quarter, cash operating costs increased to AUD 2,215 per gold equivalent ounce and all-in sustaining costs (AISC) of AUD 2,988 per ounce, impacted by integration and processing expenses. Adjusted EBITDA for the quarter stood at AUD 36.9 million. The company also improved its balance sheet, with AUD 191 million in cash, bullion, and investments after repaying AUD 45 million in debt and covering AUD 25 million in one-off merger-related costs. 

Financial Performance  

In FY25, ALK’s gross profit increased by 64% YoY to AUD 56.6 million, and profit after tax rose 87% YoY to AUD 33 million compared to FY24. Gold production for the year reached 70,120 ounces, up 23% YoY. Financial results were supported by improved operations at the Tomingley mine and the strategic preparation for the Mandalay merger. 

FY26 Outlook Focused on Production Growth and Exploration 

Looking ahead, the company has set its FY26 group production guidance between 160,000 and 175,000 gold equivalent ounces from its three operating mines: Tomingley, Costerfield, and Björkdal. On a statutory attributable basis, reflecting the Mandalay merger finalised in August 2025, production guidance is 155,000 to 168,000 ounces. 

The company plans to leverage higher antimony grades at Costerfield’s Youle zone while maintaining gold-dominant production from Tomingley’s Roswell deposit and Björkdal’s Main, Lake, and lower Auroa zones. Alkane has allocated a growth and exploration capital expenditure budget of approximately AUD 81-91 million for FY26, focusing on reserve and resource expansion across all sites. 

Share Performance of ALK 

ALK shares closed at AUD 1.075 per share on 10 December 2025, gaining 6.97% intraday. Over the past year, the stock has increased by 104.76%, with gains of 80.67% over nine months and 44.30% over six months. The share price has risen 0.94% over the last month and 5.91% month-to-date. However, the stock experienced a decline of 0.92% over the past week.  

ALK's 52-week high is AUD 1.225, reached on 14 October 2025, and its 52-week low is AUD 0.460, recorded on 14 January 2025. 

Support and Resistance Summary  

Note 1: Past performance is neither an Indicator nor a guarantee of future performance. 

Note 2: The reference date for all price data, and currency, is 10 December 2025. The reference data in this report has been partly sourced from EODHD/Others. 

  

Technical Indicators Defined:  

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock. 

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock.