Perth, April 26, 2026, 22:03 AWST
Northern Star Resources Ltd repurchased 455,738 ordinary shares for A$10.3 million on April 23, marking its first reported on-market buyback, according to a daily notice filed Friday. The Australian gold producer has authorization to buy back as much as A$500 million in stock through the program.
The buyback comes as investors are still sizing up Northern Star’s efforts to turn things around at Kalgoorlie Consolidated Gold Mines, or KCGM—its main production hub in Western Australia. Northern Star maintains that its full-year production forecast depends on mill throughput at KCGM, essentially how fast they can turn ore into sellable gold.
Northern Star ended April 24 at A$21.86, slipping 3.49% for the session, market data show. Shares have been under pressure since the March-quarter update hit on April 22, despite the buyback advancing from green light to action.
According to the buyback notice, not a single share was repurchased prior to April 23. Northern Star’s plan kicks off on April 23, wrapping up on April 22, 2027. Royal Bank of Canada will act as the broker, with the company setting a cap at 22.6 million shares for potential buyback.
Earlier this month, Managing Director and Chief Executive Stuart Tonkin pointed to the buyback as a sign of confidence in the business, calling out the “compelling value” he sees in the share price. Tonkin added that current pricing falls short of capturing the “quality and future potential” in Northern Star’s assets.
Northern Star moved 380,807 ounces of gold in the March quarter, booking an all-in sustaining cost (AISC) of A$2,709 per ounce. That measure, which covers both ongoing operating expenses and capital outlays to maintain output, is widely used across the gold sector. Underlying free cash flow for the group came in at A$301 million, with net cash standing at A$320 million.
During the results call, Tonkin noted the quarter saw more ounces from higher-margin areas, and said the company was focusing on cash flow at KCGM, speeding up mining at the high-grade Golden Pike zone due to current mill limits. Chief Financial Officer Ryan Gurner pointed to a strong balance sheet, citing A$1.2 billion in cash and bullion as of March 31.
Capital and execution remain the sticking points. Northern Star lifted its FY26 capex estimate for the KCGM mill expansion to A$680 million–A$700 million, citing weaker construction productivity and inflationary costs—up from the previous A$640 million–A$660 million range. Still, the company says commissioning is set for early FY27.
Northern Star shares slid Friday, part of a broader retreat among ASX-listed gold stocks. Evolution Mining dropped 1.11%, Emerald Resources lost 2.42%, and Ramelius Resources fell 2.72%, according to MarketIndex data. The numbers point to a sector-driven dip, not just company-specific selling.
Morgans sounded a more upbeat note after the quarterly update. The broker pointed to gold sales at an AISC of A$2,709 an ounce, which topped its own revised forecasts, and noted gains in production at each of the three centres. Morgans maintained its buy call and stuck with the A$30.00 per share price target.
If KCGM output falls short again, diesel expenses climb, or Hemi approvals slip past expectations, the buyback may end up having limited impact. Northern Star is sticking with its FY26 target—gold sales of at least 1.5 million ounces and all-in sustaining costs running between A$2,600 and A$2,800 per ounce. Even so, the company has called out possible swings either way for KCGM.
Investors will be watching those daily buyback notices for a sense of how aggressively Northern Star is pursuing the program. Following the April 23 buy, 22,168,696 shares were still left that the company could repurchase under its cap.
