Brightstar Resources could be poised for a significant re-rating, with East Coast Research projecting a 227.94% upside over the next 12 months as the Australian gold developer accelerates toward commercial production.
In a new analyst note, East Coast Research raised its 12-month price target for Brightstar to AU$1.787 per share, up from the current trading level of AU$0.545. The valuation is underpinned by rising gold prices, strong project fundamentals, and a streamlined capital structure following a recent 1-for-25 share consolidation.
Momentum Builds Ahead of First Gold at Fish Mine
The company’s near-term catalyst is the Fish underground mine, where development is progressing ahead of schedule and under budget. First ore is now expected in June 2025. Once operational, Fish is projected to double Brightstar’s current gold output to 40,000 ounces per annum.
Importantly, ore from Fish will be processed through an ore purchase agreement with Genesis Minerals, enabling early cash flow generation without the need for capital-intensive infrastructure. To further support this phase, Brightstar recently secured an US$11.5 million (AU$18 million) stockpile financing facility from Ocean Partners. The non-dilutive funding boosts liquidity while preserving shareholder value.
Key Study to Advance Laverton-Menzies Project
A major near-term milestone is the delivery of a definitive feasibility study (DFS) for Brightstar’s Laverton-Menzies gold project, expected in the first half of fiscal 2025. The DFS will assess the viability of several key deposits, including Cork Tree Well, Lord Byron, and Alpha, and is anticipated to substantially de-risk the company’s path to sustained production.
Analysts see the DFS as a pivotal step toward Brightstar becoming a mid-tier Australian gold producer, with the project potentially forming the cornerstone of its future output profile.
Sandstone Project Emerging as Third Growth Hub
Looking further ahead, Brightstar’s Sandstone gold project is shaping up to be a transformational third production hub. The asset currently boasts a JORC-compliant resource of 1.05 million ounces at an average grade of 1.5 g/t gold.
To unlock its full potential, Brightstar has launched a fully funded 80,000-metre drilling campaign — part of a broader 134,000-metre exploration program across its portfolio. A pre-feasibility study for Sandstone is due in fiscal 2026, with first production targeted for the second half of fiscal 2028.
Outlook
With multiple high-impact catalysts on the horizon — including near-term production at Fish, a de-risking DFS at Laverton-Menzies, and long-term growth at Sandstone — analysts see Brightstar Resources as well-positioned for a re-rating. If the company executes on its roadmap, the projected upside could mark a major turning point for investors.
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