SYDNEY, March 23, 2026, 04:21 AEDT
Northern Star Resources finished Friday’s session at A$18.50, slipping 2.43%. Another production warning from the Australian gold miner fueled the selling, while a further slide in gold prices added to the drag. Spot gold tumbled 1.8% to $4,563.64 an ounce Friday. 1
Northern Star is pushing to keep the old mill at Kalgoorlie Consolidated Gold Mines, or KCGM, running through fiscal 2026, with a larger facility set to come online in early fiscal 2027. That stretch leaves the shares vulnerable—operational hiccups or a fresh gold swing could easily rattle the stock. 2
Northern Star slashed its fiscal 2026 outlook on Jan. 2, now targeting 1.60 million to 1.70 million ounces, down from the earlier 1.70 million to 1.85 million ounce range. Fast forward to March 13: the company flagged softer-than-expected milling at KCGM and mining setbacks at Jundee, trimming its latest full-year forecast to just above 1.50 million ounces. 3
Chief executive Stuart Tonkin told investors the next four months would be about positioning the Company for FY27, not chasing near-term production. Tonkin reiterated that the KCGM mill expansion is still slated to begin operations in early fiscal 2027. 2
Jitters among investors are surfacing. On the March 13 call, Jefferies analyst Mitch Ryan questioned what steps Northern Star is taking to “prevent the company being taken over at a discount,” according to the Australian Financial Review. 4
Not the friendliest setup. Gold slid as both the dollar and Treasury yields climbed—never great for a non-yielding asset. “Metals were especially wobbly,” said independent trader Tai Wong, following the week’s rate-driven pullback. 5
Yet that gap with the competition is widening. Evolution Mining ticked up 1.64% to A$12.41 by Friday’s close. Northern Star went the other way. The pressure on Northern Star doesn’t look like a pure gold story. 6
KCGM is the main focus here. Northern Star noted that until the expanded plant is up and running, they’ll keep relying on the current mill, where throughput has swung quite a bit. Gold sales for January and February hit 220,000 ounces. 2
Still, there’s an upside scenario. Northern Star reported that mining volumes at KCGM are on track, and by the end of February, stockpiles held around 100,000 ounces of high-grade ore—slated for processing in fiscal 2027. Tonkin acknowledged receiving “clear feedback” from investors, adding that the company will publish medium-term production, cost, and capital forecasts later this year. 2
The risk? Simple enough: if the old mill falls short of throughput goals before the new mill is running, output and costs might slip again, and guidance could take another hit. Northern Star flagged both downside and upside swings for fiscal 2026, with the next firm update coming April 22. 2
