Westgold Resources Ltd · ASX:WGX
Westgold Resources — Q4 FY2024 Earnings Presentation
26 slides from Westgold Resources's earnings presentation, Jul 31, 2024
Slide 1: Westgold Resources Limited June Quarter FY24
Westgold Resources Limited ASX:WGX | OTCQX:WGXRF June Quarter FY24 westgold.com.au
Slide 2: Important Notices and Disclaimer
Important Notices and Disclaimer Investor Presentation This investor presentation is dated 31 July 2024, and has been prepared by Westgold Resources Limited (ASX: Summary Information WGX, OTCQX: WGXRF) (Westgold) based on information available to it at the time of preparing this presentation. This p
Slide 3: Important Notices and Disclaimer
Important Notices and Disclaimer Forward-looking Statements Ore Reserves and Mineral Resources This document contains “forward-looking information” and “forward-looking statements” which are based on the This presentation refers to Westgold and Karora having a combined Ore Reserve and Mineral Resour
Slide 4: Important Notices and Disclaimer
Important Notices and Disclaimer JORC CODE Investment Risk It is a requirement of the ASX Listing Rules that the reporting of Ore Reserves and Mineral Resources in Australia As noted above, an investment in shares in Westgold is subject to investment and other known and unknown comply with the JORC
Slide 5: Q4 FY24 Overview – continuing to build cash
Q4 FY24 Overview – continuing to build cash Business is focused on free cash generation and shareholder returns Six consecutive quarters of Cash, Bullion & Liquids build ($M) Clear strategy focused on safe and +$71M profitable ounces continues to improve build in FY24 safety performance +$16M +$9M
Slide 6: Q4 FY24 Group Production & Cost
Q4 FY24 Group Production & Cost Production impact of Paddy’s flat offset by improvement in other assets 68,377 63,104 59,238 52,100 52,795 Gold production (oz) Production increased marginally 3,493 Achieved gold price ($/oz) 2,888 3,041 3,137 Starlight grade lifts 2,721 2,492 2,245 Fender ramp
Slide 7: Top end of adjusted FY24 production guidance and bottom end of FY24 cost guidance
Top end of adjusted FY24 production guidance … 1 and bottom end of FY24 cost guidance FY24 Group FY24 Actual Guidance Production (oz) 220,000-230,000 227,237 Top end of guidance AISC ($/oz) 2,100-2,300 2,164 Bottom end of cost guidance Delayed commercial production Growth Capital ($M)1 130 157 at Fe
Slide 8: Safety and Sustainability
Safety and Sustainability Cornerstones of Westgold’s strategy 8
Slide 9: Safety metrics continue to improve
Safety metrics continue to improve Westgold has improved its TRIFR by 18% in FY24 12 18.44 20 -18% 12 Month rolling Injury Frequency Rate Total Recordable Injury (TRI) count (injuries/million hours worked) 9 14.36 15 6 9.03 8.82 10 8.37 7.75 7.30 6.85 3 5 0.86 0.60 0.64 0.98 0.97 0.63 0.62 0.00 0 0
Slide 10: Operations
Operations Bryah and Murchison 10
Slide 11: Absence of Paddy’s Flat offset by Starlight production
Absence of Paddy’s Flat offset by Starlight production Change in contribution to group gold production by ore source (oz) Mined ore stockpiles built Paused and 1,168 Dilution controls not in feed impact mining rates 184 2,167 blend 52,795 22 52,100 5,323 Nightfall lode 3,835 outperformance Ramp-up t
Slide 12: Bryah Operations
Bryah Operations High grade Nightfall lode delivers substantial production uplift 2,500 2,271 30,000 2,256 2,254 28,000 Increased production at Fortnum Processing 2,000 26,000 Plant due to higher grade from the Nightfall lode 1,804 24,000 1,500 1,348 22,000 Costs in-line with level of production
Slide 13: 41% increase to Starlight Resource Estimate
41% increase to Starlight Resource Estimate Starlight Resource increases to 5.4Mt @ 3.4 g/t Au for 590koz 3 underground drills on site 21% increase in Measured and Indicated Resource available for Ore Reserve Studies ~800koz has been mined from Starlight since the mining commenced in the 1980’s 13
Slide 14: Murchison Operations
Murchison Operations Lack of Paddy’s Flat in mill feed and haulage constraints due to rain interruptions 3,000 100,000 2,569 2,427 2,500 90,000 2,000 1,867 2,407 80,000 Lower production compared to prior quarter 1,662 70,000 1,500 Paddy’s Flat no longer in the feed blend 55,165 60,000 1,000 52,080
Slide 15: Mine planning for the first Junction stopes completed
Mine planning for the first Junction stopes completed Multiple diamond drill rigs active, extending the footprint of the +2Moz system Opening additional work areas in Bluebird mine Accelerating access to South Junction lodes from existing Bluebird infrastructure Backfill studies advancing to e
Slide 16: Increasing confidence - Upper Great Fingall
Increasing confidence - Upper Great Fingall Upper Great Fingall initial resource definition drilling completed Drill results providing confidence that early, profitable production will be possible. Substantial capital development and infrastructure already in place Additional lodes in Sovereig
Slide 17: Exploration
Exploration Unlocking value with the drill bit 17
Slide 18: Extensional Exploration at South Junction
Extensional Exploration at South Junction Major Resource Definition drill program targeting the down- plunge extensions of the +1Moz Bluebird-South Junction open pits. 22 holes for 11,931m drilled during the quarter. Outstanding results being returned from both the Polar Star and South Junctio
Slide 19: Greenfields Exploration
Greenfields Exploration Encouraging results at Day Dawn and Reedy West 10 early-stage targets tested in Q4. 25 RC holes for 3,268m drilled, testing 7 Great Fingall analogous targets at Day Dawn. Encouraging results: South Trenton - 11.0m @ 2.76g/t Au Lakeside - 5.0m @ 5.88g/t Au 143 AC hol
Slide 20: Financials
Financials \\\ WESTGOLD
Slide 21: Lower total AISC quarter on quarter
Lower total AISC quarter on quarter Lower mining costs and stockpile build AISC reduced to $108M quarter on quarter 130 Mining suspended at Paddy’s Flat (13) Increased capital mine development at Starlight 1 1 (Nightfall expansion) and Bluebird (South Junction (13) expansion) 108 (1) 4 Net gro
Slide 22: Increased investment in growth projects & infrastructure
Increased investment in growth projects 64 5 6 Acceleration of the Great Fingall 10 development and Big Bell expansion 5 34 4 Commercial production delayed to 1 July 2024 at the Fender underground Ongoing expansion of the existing Other mines underground mines at Bluebird and Starlight Process
Slide 23: $16M cash & bullion build in Q4 after ~$5M dividend
$16M cash & bullion build in Q4 after ~$5M dividend Westgold’s operations continue to generate FCF +$16M Operating Cash Cost decrease in Q4 due to: (83) • Cessation of mining at Paddy’s Flat and increased capital mine development activities at Starlight (Nightfall expansion), (22) 205 Bluebird (Sout
Slide 24: Westgold + Karora merge
Westgold + Karora merge Creating a +400,000 oz Australian mid-tier gold producer¹ 1. Refer to the ‘Important Notices and Disclaimer’ section for further information. 24
Slide 25: Westgold 3.0 – the road ahead
Westgold 3.0 – the road ahead A unique value proposition in the Australian gold sector WESTGOLD 3.0 WESTGOLD Organic growth Large Well funded + = options 100% West Australian Enviable exploration Unhedged owner/operator upside 25
Slide 26: Thank you.
Contact Information: Investor Relations Kasun Liyanaarachchi | Investor Relations Manager kasun.liyanaarachchi@westgold.com.au Thank you. +61 458 564 483 Media Peter Knight | Communications Manager peter.knight@westgold.com.au +61 459 980 481 ASX: WGX | OTCQX: WGXRF westgold.com.au