PRECIOUS METALS

West African meets gold guidance as growth gets going

GOLD growth company West African Resources produced about 50,000 ounces at all-in sustaining costs of US$1286/oz in the December quarter, taking full-year production to 229,224oz at AISC of $1086/oz.

WAF is getting bigger with plenty of upside in the wings

WAF is getting bigger with plenty of upside in the wings

Guidance had been 220,000-240,000oz, with production and cost forecasts for 2023 due later this quarter.

Cash at the end of the quarter was A$173 million versus 171 million at the end of September.

Operating cashflow totaled $64 million before a $25 million tax payment.

Meanwhile, WAF has started building the US$430 million Kiaka project down the road from Sanbrado in Burkina Faso, with $300 million in debt financing currently being targeted.

Kiaka will add around 220,000oz per annum to WAF's profile.

WAF is also scoping a second underground mine at Sanbrado's M5 deposit.

Shares in WAF were trading this week at A$1.27, capitalising the company at $1.3 billion.

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