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Westgold increases Bluebird-South Junction ore reserve by 233%

ASX News, Materials
ASX:WGX      MCAP $2.801B
14 August 2024 09:33 (AEDT)
Photo of a bluebird on a tree stump.

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Westgold Resources Ltd (ASX:WGX) has boosted the overall ore reserve of its Bluebird – South Junction mine complex in Western Australia by 233%, partly due to a maiden reserve reported for the South Junction mine.

South Junction’s ore reserve came in at 2.6 million tonnes at 2.7 grams per tonne of gold, yielding 225,000 ounces.

This increased the overall reserve at Bluebird-South Junction to 3.0 million tonnes at 2.8 grams per tonne of gold for 277,000 ounces: a number which went beyond the Interim Mineral Resource announced by Westgold in March 2024 by a further 130,000 ounces post- depletion of 14,0000 ounces.

Westgold has also registered a 61% increase in the higher-confidence category of ‘Indicated’ for its mineral resource estimate (MRE), while the latter has been updated overall to 11million tonnes at 2.8 grams per tonne for 960,000 ounces.

Of this, 4.7 million tonnes at 3.1 grams per tonne for 465,000 ounces have a Measured and Indicated component.

Managing Director and CEO Wayne Bramwell said this data reflected the importance of drilling to expand and better delineate the resource at the Blue Bird-South Junction complex.

“Westgold is rapidly building a mine of significant scale and life at Meekatharra,” he said.

“The maiden Ore Reserve for South Junction and the rapid expansion of the Bluebird-South Junction mining complex to a 1.2Mtpa run rate by Q3, FY25 has been a remarkable success story and underpins the value in drilling.

“A larger, more productive Bluebird-South Junction underground mine is a game changer for our Murchison business.

“It will reduce the requirement and cost of road haulage of ore from Cue (circa 140km) as the Bluebird-South Junction complex is within 2km of the nearby Bluebird mill.

“Westgold will continue to invest in drilling across our portfolio in FY25.”

Westgold has been trading at $2.88.

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