Western Gold Resources (ASX:WGR) has delivered an expanded Scoping Study for its 100%-owned Gold Duke Project in Western Australia, driving a 62% increase in its production target to 1.11 million tonnes (Mt) @ 1.70 grams per tonne gold (Au) for 59,700 ounces of contained gold.
The updated study incorporates the December 2025 mineral resource estimate and results from 33,980 metres of close-spaced reverse circulation grade control and infill drilling. Approximately 82% of the production target derives from measured and indicated mineral resources, offering increased confidence over the September 2025 study.
At an assumed 93% metallurgical recovery, approximately 55,500 ounces of gold is forecast to be recovered, representing a 30% increase from the previous study. Mine designs also now incorporate 18 individual open pits.
At an assumed gold price of $6,100 per ounce, the project generates an estimated $72.9 million operating surplus before project-level capital, financing, and tax.
Managing Director Cullum Winn says the study demonstrates the value created through technical work over the past 12 months.
“Importantly, this is not simply the result of applying a higher gold price to the previous study. The expanded Scoping Study incorporates our December 2025 mineral resource update, the results of almost 34,000m of close-spaced grade control and infill drilling, updated geological models, revised pit optimisation, and designs, and a substantially expanded mining inventory across the Gold Duke Project,” Winn says.
“The resulting production target … provides a considerably larger operating base from which to advance the project.”
The study is underpinned by the December 2025 MRE of 4.84MT @ 1.80g/t Au for 277,000 ounces, which includes 2.05Mt @ 1.60g/t Au for 104,000 ounces in measured and indicated categories.
Gold Duke relies on conventional shallow open-pit mining and toll treatment at the nearby Wiluna Processing Plant, 46km away. While the binding toll milling agreement remains in place, toll treatment is currently deferred following operational issues at Wiluna.
Pre-production capital and start-up costs are estimated at $5.35 million, with working capital requirements of $6.80 million across a projected 21-month mine life. The study notes the highest cash drawdown is expected between months one and three.
“Our focus now moves from expanding and optimising the project to completing the remaining work required to transition Gold Duke into production,” Winn says.
Immediate priorities include ongoing engagement regarding plant availability, life of mine extension drilling, finalising infrastructure and water supply, and completing detailed mine designs.
Located 35km southwest of Wiluna in the Joyners Find Greenstone Belt, the project holds existing approvals across the Eagle, Emu, Golden Monarch, Gold King, and Joyners Find deposits.
Western Gold Resources is an Australian mineral explorer transitioning into a near-term gold producer.
Write to Paula Fabe at Mining.com.au
Images: Western Gold Resources
