Westgold Resources (ASX/ TSX: WGX)

Advised it has executed a gold ore purchase agreement between its subsidiary, Big Bell Gold Operations Pty Ltd, and Zeus Mining Pty Ltd, an entity owned by New Murchison Gold Limited (ASX: NMG).

Under the terms of the OPA, Westgold has agreed to purchase between 30,000 and 50,000 tonnes of gold ore per month from NMG’s planned open pit operation at Crown Prince.

 

 

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Westgold	ASX / TSX: WGX
Stage	Production + development
Metals	Gold
Market cap	A$2.9 Billion @ A$3.07
Location	Western Australia
Website	www.westgold.com.au

 

Westgold Announce Crown Prince Ore to Increase Production at Meekatharra

 

Perth, Western Australia, 12 December 2024: Westgold Resources Limited (ASX/ TSX: WGX, OTCQX: WGXRF – Westgold or the Company) is pleased to advise it has executed a gold ore purchase agreement (OPA or Agreement) between its subsidiary, Big Bell Gold Operations Pty Ltd, and Zeus Mining Pty Ltd, an entity owned by New Murchison Gold Limited (ASX: NMG).

The OPA remains subject to NMG shareholder approval as Westgold owns 18.7% of NMG and is therefore deemed a related party under the ASX Listing Rules. NMG will seek the requisite approval from its shareholders at a general meeting which will be called in January/February 2025.

Crown Prince, which is located 33kms by road from Westgold’s 1.6-1.8Mtpa Bluebird processing plant, has a current JORC (2012) Indicated and Inferred Mineral Resource of 2.21Mt @ 3.9g/t Au for 279Koz Au (refer NMG ASX Release of 28 November 2024 for details).

Under the terms of the OPA, Westgold has agreed to purchase between 30,000 and 50,000 tonnes of gold ore per month from NMG’s planned open pit operation at Crown Prince.

Subject to final regulatory permitting, NMG are targeting the commencement of open pit mining, and hence the OPA, in mid-2025. It is envisaged that most of the Crown Prince ore will be processed in the first two years of the Agreement (being FY26 and FY27), with potential ongoing terms to be agreed on a rolling, quarter-by-quarter basis following the two-year initial term.

 

 

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Westgold Managing Director and CEO Wayne Bramwell commented:

“Westgold is delighted to have achieved a mutually beneficial outcome for both the New Murchison Gold and Westgold shareholders.

 

“This type of commercial arrangement is capital efficient for both companies as it leverages the existing processing infrastructure Westgold has at Meekatharra.

“The introduction of softer oxide ore from Crown Prince in FY26 effectively increases throughput at the Westgold’s Bluebird plant – growing production and reducing our cost per ounce.

 

“At the same time, NMG realise value for its shareholders by unlocking a pathway to production for its Crown Prince deposit without the capital impost and execution risk of building a processing plant.

 

“As such this is a win-win for all shareholders and Westgold looks forward to working with New Murchison Gold in the development of the Crown Prince deposit.”

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To read the full news release please click HERE

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.To View Westgold’s historical news, please click here

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The live gold price can be found HERE

We present interesting and exciting junior mining companies listed on the ASX and TSX stock exchanges to a group of city professionals, and private investors, all of whom are active investors with a mandate to invest in junior mining companies.

Our audience is selected and invited individually to ensure interest and relevance for the presenting company.

Meetings are non deal, small group, highly focused and engaged, with a lively Q and A to follow the main presentation.

We create awareness, and maintain interest in presenting companies by disseminating their future news to our entire investor group via email, social media, and our Monthly Review newsletter.

If you wish to present to our select group of active mining investors, please email andrew@city-investors-circle.com

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This website is not sponsored, we are truly independent, and will always remain so

Companies featured here have either presented to the Circle in London, or have been selected because they are considered to have interesting projects, in good jurisdictions, run by an experienced management team.

All information used in the preparation of this communication has been compiled from publicly available sources that we believe to be accurate and reliable, however, we cannot, and do not, guarantee the accuracy or completeness of this.

These articles are for awareness and informational purposes only, and are not recommendations in any form.  Always consult an investment professional.

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Disclosure

At the time of writing the author holds shares in Westgold.

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Westgold Resources (ASX / TSX: WGX)

Announce the commencement of mining of the South Junction Lode within the Bluebird-South Junction mining complex at Meekatharra.

Ramp up targets a 100kt per month run rate for the Bluebird-South Junction mine by Q3 FY25.

 

 

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Westgold	ASX / TSX: WGX
Stage	Production + development
Metals	Gold
Market cap	A$2.735 Billion @ A$2.90
Location	Western Australia
Website	www.westgold.com.au

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Westgold Commences Mining at South Junction

14.93m @ 15.95g/t Au in drill hole 24SJDD029

Perth, Western Australia, 5 September 2024: Westgold Resources Limited (ASX: WGX, TSX: WGX, OTCQX: WGXRF) (Westgold or the Company) is pleased to announce the
commencement of mining of the South Junction Lode within the Bluebird-South Junction mining complex at Meekatharra.

 

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Highlights

Mining of the South Junction Lode has commenced – ramp up targets a 100kt
per month run rate for the Bluebird-South Junction mine by Q3 FY25.

Drilling across South Junction continues to extend the system – with further
recent significant intersections including:
 14.93m @ 15.95g/t Au in hole 24SJDD029
 6.83m @ 15.31g/t Au in hole 24SJDD027
 13.00m @ 3.65g/t Au in hole 24SJDD032
 11.42m @ 4.92g/t Au in hole 24SJDD029
 8.95m @ 4.01g/t Au in hole 24SJDD026

 

South Junction Resource Definition drilling program continues – with 2 surface
rigs targeting deeper extensions of the South Junction and Polar Star Lodes around
800m below surface.

 

 

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Westgold Managing Director and CEO Wayne Bramwell commented:

“Drilling continues to unlock value and point to the potential scale of the Bluebird-South Junction mining complex at Meekatharra.

 

“The commencement of mining on the South Junction Lode is a company milestone, achieved in short order by a focussed team.

 

“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.

 

“Westgold can now contemplate a significantly larger, multi-decline mining complex emerging on the doorstep of our 1.6-1.8M tpa 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”.

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To read the full news release please click HERE

.

.

To View Westgold’s historical news, please click here

.

The live gold price can be found HERE

We present interesting and exciting junior mining companies listed on the ASX and TSX stock exchanges to a group of city professionals, and private investors, all of whom are active investors with a mandate to invest in junior mining companies.

Our audience is selected and invited individually to ensure interest and relevance for the presenting company.

Meetings are non deal, small group, highly focused and engaged, with a lively Q and A to follow the main presentation.

We create awareness, and maintain interest in presenting companies by disseminating their future news to our entire investor group via email, social media, and our Monthly Review newsletter.

If you wish to present to our select group of active mining investors, please email andrew@city-investors-circle.com

.

=======

,

This website is not sponsored, we are truly independent, and will always remain so.

Companies featured here have either presented to the Circle in London, or have been selected because they are considered to have interesting projects, in good jurisdictions, run by an experienced management team.

All information used in the preparation of this communication has been compiled from publicly available sources that we believe to be accurate and reliable, however, we cannot, and do not, guarantee the accuracy or completeness of this.

These articles are for awareness and informational purposes only, and are not recommendations in any form.  Always consult an investment professional.

.

Disclosure

At the time of writing the author holds shares in Westgold.

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