Vault Minerals Gears Up for Major Throughput Boost at King of the Hills Gold Project
Vault Minerals (ASX:VAU) is on the cusp of a significant expansion at its flagship King of the Hills (KoTH) gold project in Western Australia. The company has officially entered the final commissioning phases for the Stage One plant upgrade, a crucial step designed to dramatically increase the operation’s throughput capacity. This initial upgrade targets a substantial uplift to 6.0 million tonnes per annum (mtpa), laying the groundwork for even greater production in subsequent stages.
The project, which has remained on track and within budget, has seen the successful installation of a new primary crusher and the extension of a vital conveyor belt system. These enhancements will seamlessly integrate the new crushing facility with the existing processing plant. Vault’s Managing Director, Luke Tonkin, confirmed that the first ore is anticipated to be fed into the new crusher on March 31, 2026.
To ensure a smooth transition and maintain continuous operations, the existing crusher was taken offline on March 24. Vault has strategically built up a stockpile of approximately 90,000 tonnes of crushed ore. This buffer is expected to provide uninterrupted mill feed while the new crushing circuit undergoes commissioning.
Further bolstering the project’s readiness, upgrades to the wet plant are also complete and performing commendably. This includes the installation of four additional CIL (Carbon-In-Leach) tanks, a larger regeneration kiln, and a new tailings booster pump. The power station has also received a significant boost with the recent commissioning of two additional gas-fired gensets. The KoTH power station operates on gas, supported by a three-year gas supply agreement with a CPI-linked fixed price, which commenced in January 2026.
Stage Two Expansion on the Horizon
The progress at King of the Hills doesn’t stop with Stage One. Vault Minerals is also advancing its Stage Two upgrade, which is progressing according to schedule and budget. This next phase is slated for completion and tie-in during the second quarter of the 2027 financial year. Upon its full integration, Stage Two is projected to elevate the plant’s capacity to an impressive 7.5 to 8.0 Mtpa throughout the second half of the 2027 financial year.
Mr. Tonkin highlighted the economic efficiency of these upgrades, noting that the overall plant expansion will boost throughput capacity by approximately 50%. This expansion is being achieved at a highly competitive capital intensity of just $57 per tonne of increased annual throughput capacity. As of February 28, Vault Minerals held substantial stockpiles at KoTH, totalling around 15 million tonnes, which contain an estimated 180,000 ounces of gold.
Strategic Stockpiles Offer Operational Flexibility
The strategic placement of these significant ore stockpiles, located adjacent to the processing facility, provides considerable operational flexibility. Mr. Tonkin elaborated that these reserves are crucial for maintaining a consistent base load mill feed, even under varying operating scenarios. This flexibility is particularly valuable in mitigating potential supply disruptions for key operational inputs, especially in light of current geopolitical tensions in the Middle East.
Transition to Owner-Operator Model
In a significant strategic move, Vault Minerals announced in November 2025 its intention to transition the load and haul operations at the King of the Hills open pit to an owner-operator model. This shift is scheduled to commence on January 1, 2027, following the scheduled expiry of the current mining services contract on December 31, 2026. This decision was the result of a comprehensive tender process and a detailed internal assessment of the owner-operator model for the KoTH project.
The ongoing development and expansion at King of the Hills underscore Vault Minerals’ commitment to optimising its operations and unlocking the full potential of this significant gold asset. The company’s strategic approach to capacity expansion, coupled with its focus on operational efficiency and risk mitigation, positions it well for future growth.
The information provided in this article is for general informational purposes only and does not constitute investment advice. Investors are strongly advised to conduct their own thorough research and consult with a qualified financial advisor before making any investment decisions.
