Northern Star Resources Ltd (ASX: NST) shares are charging higher today.
Shares in the S&P/ASX 200 Index (ASX: XJO) gold stock closed yesterday trading for $23.56. In morning trade on Thursday, shares are changing hands for $24.28 apiece, up 3.1%.
For some context, the ASX 200 is down 0.4% at this same time.
Today's outperformance follows the release of Northern Star's September quarterly update.
Here's what's happening.
Image source: Getty Images
Northern Star shares lift on sales update
For the three months to 30 September, the miner reported group underlying free cash flow of $14 million and net mine cash flow of $183 million.
Over the quarter, the ASX 200 miner sold 381,000 ounces of gold, with the company reporting all-in sustaining cost (AISC) of $2,522 per ounce.
Northern Star shares are rising today despite the miner reporting a year-on-year increase in its all-in costs (AIC) to $3,989 per ounce. The higher AIC was driven by capital growth projects across the group, led by the KCGM Mill Expansion Project.
Breaking the quarterly sales and costs down by the Northern Star's production centres, the miner reported:
- Kalgoorlie: 202,812 ounces of gold sold at an AISC of $2,474 per ounce
- Yandal: 113,422 ounces of gold sold at an AISC of $2,778 per ounce
- Pogo: 64,821 ounces of gold sold at an AISC of US$1,453 per ounce
Looking ahead, the ASX 200 gold stock provided FY 2026 guidance of 1.70 million to 1.85 million ounces of gold sold at an AISC of $2,300 to $2,700 per ounce.
Northern Star shares will also be more fully exposed to spot gold prices moving forward, with management noting that the miner's hedge commitments continue to unwind.
Turning to the balance sheet, the company had net cash of $616 million, and cash and bullion of $1.511 billion at the end of the September quarter.
What did management say?
Commenting on the results helping push Northern Star shares higher today, managing director Stuart Tonkin admitted, "The September quarter delivered a mixed performance across the portfolio."
He added:
Our Kalgoorlie Production Centre performed well, led by KCGM, where we maintained elevated production and development rates. Overall, costs for the quarter were better than forecast reflecting our continued focus on capital discipline.
As for the KCGM expansion works, Tonkin said:
The KCGM Mill Expansion remains on track for early FY27 commissioning. This week, we received Ministerial approval for the Fimiston South Project and associated infrastructure, which supports higher future throughput and long-term cost efficiency at KCGM to deliver sustainable high-margin ounces.
Tonkin concluded, "We remain well positioned to deliver our full-year guidance, with stronger grades expected at KCGM in the second half along with improved volume and grade performance across the broader portfolio."
With today's intraday boost factored in, Northern Star shares are up 57.2% in 2025.
