PRECIOUS METALS

Westgold bounces back in August

WESTGOLD Resources has reported a strong start to the September quarter.

Staff reporter
 The Starlight decline at the Fortnum operation

The Starlight decline at the Fortnum operation

Quarterly gold production fell below 60,000 ounces in the June quarter due to border restrictions, labour availability and weather impacts.

Full-year production was 245,411oz, in line with revised guidance but below the original plan of 270,000-300,000oz.

The company said today its Murchison operations in Western Australia had produced more than 24,000oz of gold in the month of August, despite ongoing operational constraints.

It keeps the gold miner on track to achieve FY22 guidance of more than 270,000oz at all-in sustaining costs of A$1500-1700 an ounce.

"Westgold's operational output continued to improve in August as the Big Bell and Starlight underground operations began delivering greater ounces to our process plants despite COVID-19 travel restrictions impacting staff movements," Westgold executive director Wayne Bramwell said.

"These results reflect the operational flexibility Westgold has across the business as owner-operators to react quickly to short term disruptions and as such the company remains on track with production guidance."

Westgold shares closed 4.9% lower at $1.65 amid a broader sell-off of gold stocks.

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