11:41 AM EST, 12/17/2024 (MT Newswires) -- Westgold Resources ( WGXRF ) late Monday provided a summary of a scoping study evaluating the potential expansion of the Fortnum gold operation in Western Australia.
The scoping study identified a potential 10-year mine plan that includes the Starlight, Nathan's and Yarlarweelor open pits and an expansion of the existing Starlight underground operation.
According to the study, Fortnum has a life of mine gold production of 713,000 ounces to 871,000 ounces at an all-in sustaining cost (AISC) range of $1,404 to $2,916 per ounce. This is a significant increase in output compared to the current operation, which produced 58,752 ounces of gold at an AISC of $1,883 during fiscal year 2024.
The mid-point net present value is $306 million at $3,500 per ounce. Mid-point total life of mine capital investment is $249 million.
The scoping study is underpinned by an expanded Starlight mineral resource estimate, which shows 12.9-million tonnes at 2.7 grams per tonne of gold for 1.13-million ounces of gold. This represents a 91% increase from the previous mineral resource estimate.
The scoping study evaluates a potential mill expansion from the current 0.9-million tonnes per annum (Mtpa) to 1.5-Mtpa, significantly reducing mill operating cost per tonne.
Westgold shares were last seen up $0.11 to $2.81 on the Toronto Stock Exchange.
Price: 2.81, Change: +0.11, Percent Change: +4.07