Westgold Resources (ASX:WGX) has commenced mining at the South Junction Lode, within the Bluebird-South Junction Mining Complex at Meekatharra, Western Australia.
The company’s ramp up targets are 100,000 tonnes of ore per month by the third quarter of financial year 2025.
Westgold, which has a market capitalisation of $2.59 billion, says drilling across South Junction has continued to extend the system, with further intersections recording 14.93m @ 15.95 grams per tonne (g/t) gold; and 6.83m @ 15.31g/t gold.
CEO Wayne Bramwell says drilling continues to unlock the value and potential scale of the mining complex.
“The commencement of mining on the South Junction Lode is a company milestone, achieved in short order by a focussed team,” Bramwell says.
“This lode is one of many mineralised lodes being tested across the Bluebird-South Junction mining complex, with the Polar Star Lode the next target to being evaluated.”
The company is planning to release an updated resource estimate for Polar Star in the third quarter of financial year 2025, in conjunction with mining studies.
Bramwell says Westgold can now contemplate a larger, multi-decline mining complex emerging next to its 1.6 to 1.8 million tonnes per year processing plant.
“Each new mining front we define can increase mine output, with the continued expansion of Bluebird-South Junction providing new opportunities to reduce haulage and optimise processing infrastructure across our Murchison business,” he says.
Capital mine development to exploit the South Junction Lode is being established. Once completed, Bluebird-South Junction will become the primary ore source for the nearby Bluebird processing plant.
Infrastructure upgrades are also underway to support the increase in production from Bluebird-South Junction.
The resource definition drilling program at South Junction will continue in the next financial year, with two surface rigs in operation.
During this period, the program will focus on the ‘deeps’ potential with holes targeting the Polar Star and South Junction lodes at depths of up to 800m below surface.
Westgold Resources is a Western Australian gold producer focused on its 3,200km2 landholding which comprises six underground mines and five processing plants.
Write to Aaliyah Rogan at Mining.com.au
Images: Westgold Resources
