By: Mining.com

Theta Gold Mines (ASX:TGM) has uplifted its free cash flow to $1.4 billion in a Feasibility Study at the TGME Gold Mine Project in the Mpumalanga province of South Africa. 

The study identified TGME to have a mine life of 13.1 years, which the company describes as a “high-margin, long-life gold operation in one of the world’s premier gold regions”.

Based on this study, Theta intends to begin production at the asset in Q1 2027, with the gold plant currently under construction.

The Feasibility Study reports a head grade of 4.96 grams per tonne gold, with a base case of 871,000 ounces of gold at a recovered grade of 4.28g/t with an 86.2% recovery, and a base case of 1.06 million ounces of gold at a mined grade of 4.4g/t.

According to the study, The TGME Project will hit peak production of more than 115,000 ounces and an ore reserve plan of 514,000 ounces at a recovered grade of 4.11g/t gold with an 85.2% recovery. 

The study utilised an average gold price of US$2,884 ($4,135) per ounce, which was addressed in October 2025.

Theta will have a post-tax net present value of US$455 million using a 10% discount rate, creating US$2.5 billion in revenue. TGME will have a post-tax internal rate of return of 77% and an all in sustaining cost of US$1,181 per ounce.

The TGME Project will be paid back within 29 months from the beginning of mining with peak funding of US$77 million. 

Independent mining engineering company Minxcon completed the Feasibility Study to restart mining operations at the TGME Project.

As reported by Mining.com.au, Theta procured the long-lead metallurgical circuit equipment needed to advance the project in December 2025.

Theta Gold Mines is developing projects in South Africa’s Eastern Transvaal goldfields, with a focus on the flagship TGME Gold Project.