Gold developer and explorer Westgold Resources (ASX:WGX) has bolstered the mineral resource estimate (MRE) of its Great Fingall deposit near Cue in Western Australia by 49%.
The company says this helps pave the way towards a potential Final Investment Decision (FID) as it gets ready to launch its final drilling program in the area.
Westgold reports the updated MRE for Great Fingall now stands at 4.3 million tonnes @ 4.3 grams per tonne (g/t) gold for 588,000 ounces of contained gold.
This MRE update was informed by drilling that started in October 2022, which demonstrated the Fingall Reef splits into 2 reefs, resulting in an ‘enhanced’ ounce-per-vertical-metre profile and more flexibility in mine design and scheduling due to increasing heading available.
Westgold reports the 2023 MRE update has provided momentum to accelerate mine planning evaluations to support a potential FID, noting a shallow, dry, and intact modern decline exists at Great Fingall to a depth of about 160m below surface.
The company says it has a surplus underground fleet ready to rapidly deploy, with development at Great Fingall predicted to start in Q1 FY24 pending a positive FID.
To ensure the proposed mine plan and execution pathway can proceed as planned, Westgold says several ‘key’ geological aspects require confirmation.
Westgold reports 2 rigs will be engaged to undertake a drilling program set to start in early June to reach a decision point in the shortest possible time frame.
Commenting on the updated MRE, Westgold Resources Managing Director Wayne Bramwell says: “A 49% uplift from the last reported Mineral Resource Estimate at Great Fingall is stunning.
It shows the value that can be created when first principles of geology are coupled with a corporate willingness to back geologists with drilling investment.
“Westgold is confident there is more upside at Great Fingall”
Westgold is confident there is more upside at Great Fingall, as to date we have only focused on the better-defined and therefore lower-execution-risk extensions to the known Great Fingall Reef.
Importantly, the flat structures exploited in the historic Great Fingall open pit and the parallel and tantalisingly close high-grade Golden Crown system remains largely untested.
Drilling success across all our asset suite is beginning to change external perceptions about our Murchison land holdings as being a mature, well-understood gold belt with limited potential to surprise. From Westgold’s internal lens, we see a highly endowed gold province that is underexplored and has been unloved for more than 20 years.
Great Fingall is just 1 of 3 multi-million-ounce historic producing mines within our portfolio. To bring this iconic, high-grade mine back to life post a positive financial investment decision in Q1, FY24 will be a proud day for our team, shareholders, and stakeholders alike.”
Westgold Resources is an ASX-listed gold miner focused on its underground and open pit mines in Western Australia. These assets include the Cue and Meekatharra Gold Operations, which comprise the Murchison Operations, along with the Fortnum and Bryah Gold Operations.
Additionally, the Golden Crown and Great Fingall lie about 700m apart along the Great Fingall Dolerite, which has produced more than 1.55 million ounces of gold since the late 1800s.
Between 1891 and 1929, Great Fingall yielded 1.2 million ounces of gold from 1.9 million tonnes of ore at a recovered grade of 19.5g/t Au from 20 levels developed underground to a depth of 786m.
Write to Harry Mulholland at Mining.com.au
Images: Westgold Resources Ltd
