Westgold Resources Ltd · ASX:WGX
Westgold Resources — Q3 FY24 Earnings Presentation
24 slides from Westgold Resources's earnings presentation, Apr 8, 2024
Slide 1: Westgold Resources Limited – March Quarter FY24
Westgold Resources Limited ASX:WGX | OTCQX:WGXRF March Quarter FY24 westgold.com.au
Slide 2: Important Notices and Disclaimer
Important Notices and Disclaimer Investor Presentation Summary Information This investor presentation is dated 8 April 2024, and has been prepared jointly by Westgold Resources Limited By reviewing or retaining these materials, or attending or participating in this presentation, you acknowledge and
Slide 3: Important Notices and Disclaimer
Important Notices and Disclaimer Forward-looking Statements Effect of Rounding These materials prepared by Westgold and Karora include forward-looking statements. Often, but not always, A number of figures, amounts, percentages, estimates and calculations of value in this presentation are subject fo
Slide 4: Important Notices and Disclaimer
Important Notices and Disclaimer JORC CODE this information in the form and context in which they appear. It is a requirement of the ASX Listing Rules that the reporting of Ore Reserves and Mineral Resources in Australia Investment Risk comply with the JORC Code. Investors outside Australia should n
Slide 5: Q3 FY24 Overview – continuing to build cash
Q3 FY24 Overview – continuing to build cash Business is focused on free cash generation and shareholder returns § Merger with Karora builds a +400kozpa Five consecutive quarters of Cash, Bullion & Liquids Australian, unhedged gold producer build ($M) § Clear strategy focused on safe and profitable +
Slide 6: Q3 FY24 Group Production & Cost
Q3 FY24 Group Production & Cost Production and costs impacted by inclement weather 68,377 63,104 -12% 60,512 59,238 Lower Group gold production as 52,100 a result of: Gold production (oz) § Rainfall events 3,041 3,137 2,888 Achieved gold price ($/oz) § Cessation of Paddy’s Flat 2,635 2,721 2,492 2,2
Slide 7: Conservative adjustment to Guidance
Conservative adjustment to Guidance1 Rushing Fingall Flats in Q4 vs systematically advancing it in Q1, FY25 FY24 Group Q3 Q2 Q1 YTD Guidance FY24 FY24 FY24 FY24 Production (oz) 220,000-230,000 52,100 59,238 63,104 174,443 AISC ($/oz) 2,100-2,300 2,492 2,245 1,935 2,201 Growth Capital 130 34 35 23 93
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 19% since this time last year 12 18.44 20 -19% 12 Month rolling Injury Frequency Rate Total Recordable Injury (TRI) count (injuries/million hours worked) 14.36 9 15 6 9.03 8.82 10 8.37 7.75 7.30 3 5 0.86 0.60 0.64 0.98 0.97 0.63 0
Slide 10: All operations now powered by hybrid power plants
All operations now powered by hybrid power plants 82MW of hybrid power (gas, solar and battery) facilities now in operation These hybrid facilities will: Reduce diesel consumption by 38 million litres per annum Reduce carbon emissions by 56% Deliver ≈$60/oz in AISC savings1 Bluebird solar farm commi
Slide 11: Operations
Operations Bryah and Murchsion 11
Slide 12: Bryah Operations
Bryah Operations Next Nightfall stope appears significantly larger than first estimated 2,500 2,414 30,000 2,271 2,256 2,254 25,000 Lower production compared to prior quarter 2,000 § Crusher downtime 1,804 20,000 1,500 15,866 § Supplementary feed from low grade stockpiles 15,000 using emergency feed
Slide 13: Murchison Operations
Murchison Operations Production impacted by downtime, rain events and pause of Paddy’s Flat 3,000 100,000 2,569 2,500 90,000 2,016 Lower production compared to prior quarter 1,867 2,407 80,000 2,000 1,662 70,000 § Early pause of Paddy’s Flat 1,500 55,165 60,000 § Crusher downtime at Tuckabianna 1,00
Slide 14: ~500koz increase in Bluebird - SJ Resource
~500koz increase in Bluebird - SJ Resource Bluebird-South Junction Resource increases to 6.4Mt @ 3.1 g/t Au for 827koz Five drills on site Infill drilling being completed to allow Ore Reserve Update Production from South Junction possible in H2 FY25 14
Slide 15: Encouraging grades and widths at Fingall Flats
Encouraging grades and widths at Fingall Flats Early ore targeted for Q1 FY25 Comprehensive drill out of Fingal Flats commenced in Q3, FY24. § Results returned to date suggest significant volumes of high-grade Westgold to develop a mine plan that safely and profitably extracts this near-term opportu
Slide 16: Exploration
Exploration Unlocking value with the drill bit 16
Slide 17: Regional exploration
Regional exploration $6M invested in exploration in Q3 FY24 Key activities conducted in the quarter: § Commenced major Resource Definition drilling programme at South Junction (Meekatharra); § Commenced planning and permitting for Boomerang – Kurara Resource Definition drilling programme and the dri
Slide 18: Financials
Financials \\\WESTGOLD
Slide 19: Lower total AISC quarter on quarter
Lower total AISC quarter on quarter Lower mining costs partially offset by increased draw on stockpiles 133 AISC reduced to $130M quarter on quarter 130 2 (10) 0 0 § Mining activity reduced due to closure of Paddy’s Flat 6 § Proportion of stockpile use in mill feed (1) 0 increased to offset lower mi
Slide 20: $9M cash & bullion build in Q3
$9M cash & bullion build in Q3 Westgold’s operations continue to generate FCF +$9M Operating Cash Cost increase in Q3 due to timing of H1 FY24 bonus payments and salaries back (122) payment as part of the Remuneration and Benefits 148 strategy that was discussed in Q2. 238 (18) 247 Increase in closi
Slide 21: Westgold + Karora to merge
Westgold + Karora to merge Creating a +400,000 oz Australian mid-tier gold producer¹ 1. Refer to the ‘Important Notices and Disclaimer’ section for further information. 21
Slide 22: A new +400kozpa Australian gold producer
A new +400kozpa Australian gold producer [1] Merger has scale, funding, capability and fully leveraged to the gold price [1] § +400kozpa from established Western Australian gold portfolio § Fully leveraged to the gold price - nil fixed forward sales[2] § Combined 13Moz Mineral Resource and 3.2Moz Or
Slide 23: Westgold's priorities for FY24
Westgold’s priorities for FY24 5 Sensibly invest in 3 technology that drives cost Continue to reduction 6 1 increase mine life of our existing Assess growth Continue to safely mines 4 opportunities aligned to our core and efficiently capabilities optimise our Continue to invest assets 2 in resource
Slide 24: 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