Sandfire Resources (ASX:SFR) has released a preliminary operational update ahead of its December 2025 quarterly report, scheduled for Jan. 22.
The company reaffirmed its FY26 copper equivalent production guidance mid-point of 157 kt, with a revised first-half to second-half production split of 46:54, compared with the previous 48:52 weighting.
MATSA delivered a strong start to FY26, producing 46.4 kt of CuEq in H1 FY26 (H1 FY25: 46.3 kt), representing 48% of the annual guidance mid-point.
Performance was underpinned by a higher proportion of polymetallic ore and improved flotation recoveries.
Motheo faced operational challenges in H1 FY26, with Q2 CuEq output down 11% to 12.1 kt, contributing 25.7 kt for the half-year, or 42% of the guidance mid-point.
Production was affected by a premature SAG mill grate failure, lower mobile fleet availability delaying access to higher-grade ore, and strategic adjustments at the A4 pit following FY25’s extreme rainfall.
Motheo is expected to meet its FY26 guidance mid-point of 61 kt as processing rates recover and higher-grade ore contributions increase.
Sandfire expects an unaudited net cash position of $13 million at Dec. 31, 2025, a sharp improvement from $62 million net debt at Sept. 30, 2025 and $288 million at Dec. 31, 2024.
This strong position supports development of the Kalkaroo Copper-Gold Project and regional exploration in South Australia’s Curnamona Province with partner Havilah Resources (ASX:HAV), pending the proposed transaction becoming unconditional.
At the time of reporting, Sandfire Resources' share price was $18.76.