Westgold Resources (ASX:WGX) has increased its production rate in Q2 FY25 to 80,866 ounces of gold, compared to 77,369 ounces in Q1 FY25, across its Western Australian operations.
The total production for the first half was 158,255 ounces of gold, with production expected to further increase in the second half of FY25.
Westgold, which has a market capitalisation of $2.76 billion, says the ramp up at the Bluebird and Beta-Hunt underground mines continues.
During Q2 at Bluebird-South Junction, efforts focused on increasing grade and consistency of mine production, while a modified ground support regime was implemented.
Meanwhile at Beta-Hunt, mine infrastructure upgrades critical to increasing mine outputs are being implemented. This is due for completion by the end of Q3 FY25.
CEO Wayne Bramwell says during Q2, Westgold continued to optimise its expanded, post-merger business.
“Production increased whilst we continued to heavily invest in the long-term capacity of our mines in the Murchison and Southern Goldfields,” Bramwell says.
“Investment to support increased and sustainable production from our principle mines was the key focus of our activities over H1, with multiple growth projects advancing in parallel across the expanded group.
“Bluebird-South Junction and Beta-Hunt are our key drivers of growth in H2 FY25, with operational changes being implemented to see outputs lift and become more consistent into H2 FY25.”
Bramwell notes that production is scheduled to begin at the Great Fingall Mine in late Q4 FY25.
“To drive our long-term cost base down, plant expansion studies at Higginsville, Bluebird, and Fortnum are advancing with initial capital estimates to be reported shortly,” Bramwell says.
“To extend mine lives, our underground drilling fleet is fully deployed across the group and surface drill contractors are active at Peak Hill and Higginsville.
“All these elements are beginning to coalesce with the stage now set for Westgold to demonstrate the enhanced capability of our expanded asset base during H2 FY25.”
As of 31 December 2024, the company had $152 million in cash, bullion, and liquid investments, together with $250 million undrawn from a $300 million corporate facility.
During 2024, gold demonstrated itself as a store of value due to surpassing all records. As of 12.15pm AEDT today, gold’s price sat at $4,299.11 per ounce.
Westgold Resources is a Western Australian gold producer with assets in the Murchison and Southern Goldfields regions. The company’s tenure covers more than 3,200km2 via its six operating underground mines.
Write to Aaliyah Rogan at Mining.com.au
Images: Westgold Resources
