Chairman’s LetterTo our valued shareholders and other...

Chairman’s Letter

To our valued shareholders and other stakeholders
Welcome to the Annual Report for 2023.
It has been a successful year for Kingston marked by the first full year of gold production and cash flow. The Mineral Hill operation sold over 16koz of gold at an All in Sustaining Cost of under $1700/oz producing strong operating cash flows of over $15m, underpinning a full year after tax profit for the Company of just under $10m. This is an outstanding result which exceeded our expectations. As evidenced by these results, the strength and quality of the people within the business continues to grow and full credit goes to Andrew Corbet and his team at Mineral Hill.
In addition to the successful delivery of operating targets, the Company completed a feasibility study for the reopening of open pit and underground mine at Mineral Hill, including the refurbishment of the crusher, grinding mill and flotation circuits. The study has produced a 5-year mine plan with strong economics, and the Board approved the project in June this year.
Work has already progressed significantly, with much of it being done in house, building on our philosophy to self-perform activities as far as is practical to minimise risk and maintain control of the cost outcomes. The projects and maintenance teams at Mineral Hill have moved quickly to finalise contracts for refurbishment of the plant, place orders for long leads items, and complete site preparations.
Open pit mining plans for the Pearse deposits have progressed with a short-term mining contract tendered. Plans for reopening the underground at the Southern Ore Zone (SOZ) have also progressed with commencement of dewatering, recruitment of mining personnel and purchase of underground mining equipment.
At Misima having completed a high quality DFS and environmental and social assessments, which highlighted its economic viability, we are exploring our strategic options to progress the project to development. Discussions are continuing with interested parties and we will continue to seek value creation for our shareholders from this fantastic gold project.
I wish to thank all of you for your support and look forward to continuing to grow the Company for all our stakeholders.