Evolution Mining’s board has approved an A$430m ($273.15m) investment to expand its Cowal Gold Operations in New South Wales (NSW), Australia.
The Cowal Open Pit Continuation (OPC) project will add an estimated two million ounces (moz) of gold production and extend the mine’s life by ten years to 2042.
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The decision follows approval last year from the NSW Department of Planning, Housing and Infrastructure and the Federal Government earlier this year.
The OPC project includes continued mining at the existing E42 pit and the development of three new satellite pits – E46, GR and E41 – to the north and south of E42.
Evolution Mining managing director and CEO Lawrie Conway said: “Today, the Board has approved the project, which has compelling returns of 71% at current spot gold price and a short payback period. It will contribute to the goal of sustaining Cowal’s current production rate, while at the same time delivering significant economic benefits for all stakeholders.
“The project represents a major milestone for Cowal, unlocking the potential for further sustained growth, enhanced shareholder returns, and the opportunity to leave a lasting positive impact for our stakeholders and the communities in which we operate.”
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By GlobalDataEvolution Mining said that exploration efforts are ongoing, targeting further mineralisation that could support underground mining.
The expansion of open-pit operations will enable access to high-grade ore underground, supporting plans to increase underground output to 2.4 million tonnes by fiscal year 2026 (FY26).
At that point, underground production is expected to account for around 30% of total mine feed and 50% of gold output.
Since its acquisition by Evolution Mining in 2015, the Cowal operation has generated more than A$1.62bn in net mine cash flow, including A$479m in the first nine months of FY25.
Evolution Mining operates six mines across Australia and Canada, with Cowal being one of its wholly owned sites.
