Macmahon engages with Manuka Resources for restart of mining at Wonawinta
Macmahon Holdings Limited says it has entered into a Letter of Intent (LoI) with Manuka Resources Limited related to the restart of mining operations at the Wonawinta silver project, in the Cobar Basin of central west New South Wales.
The recommencement of mining activities at the Wonawinta mine is expected to occur in May 2026, with the scope of the LoI covering open-pit mining services, including drill & blast, load & haul
operations. Existing gold-and silver-bearing stockpiles are expected to be mined in this first restart phase.
A Mining Services Agreement is expected to be finalised in April 2026 with a value of approximately A$190 million ($132 million) over an initial five-year contract period. No additional capital is
required from Macmahon’s FY26 capital expenditure budget.
Michael Finnegan, Managing Director and CEO, said: “Macmahon is proud to be working in partnership with Manuka Resources to get this exciting large-scale silver project into production again and we look forward to working closely with them to deliver the operational flexibility and scalability that supports Manuka’s development timetables and production targets.”
The execution of the LoI represents a key step in advancing Manuka’s Cobar Basin project toward production, Manuka said, de-risking mining operations through the use of an experienced contract mining capability, plus providing operational flexibility and scalability.
The project has a fully constructed 850,000 t/y leach plant on site with ample capacity to modify the flowsheet to include flotation circuits for sulphide processing, Manuka states on its website.
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