Westgold Resources Ltd · ASX:WGX

Westgold Resources — Australian Gold Conference (August 2023)

30 slides from Westgold Resources's conference presentation, Aug 28, 2023

  1. Slide 1: Australian Gold Conference – Westgold Resources Limited

    ASX : WGX westgold.com.au AUSTRALIAN GOLD CONFERENCE WESTGOLD RESOURCES LIMITED Wayne Bramwell | Managing Director

  2. Slide 2: Disclaimer – Compliance Statement

    Disclaimer COMPLIANCE STATEMENT The information in this report that relates to Exploration Results is compiled by Westgold technical employees and contractors under the supervision of Mr. Simon Rigby B.Sc. (Hons), who is a member of the Australian Institute of Geoscientists. Mr Rigby is a full-time

  3. Slide 3: ASX: WGX – 100% Western Australian gold producer

    ASX : WGX – 100% Western Australian gold producer FY23 - delivered 257,116 profitable ounces @ AISC of $1,999/oz Strong balance sheet - $192M in cash and liquids @ 30/6/231 Debt free and now generating free cash flow1 Structured for enhanced profitability and growth into FY24 Fully leveraged to the

  4. Slide 4: Westgold's FY23 turnaround

    Westgold’s FY23 turnaround Westgold 2.0 – safe and profitable ounces Cash and bullion position improving from Q2 FY23 Cash, bullion and liquids position ($M)  Refreshed Board and management team in 189 190 192 end of FY22 168 157 159 159 6  Streamlined the business & reduced operating 139 96 96 87

  5. Slide 5: 4 Mines + 3 processing hubs across the Bryah and Murchison

    4 Mines + 3 processing hubs across the Bryah and Murchison MURCHISON OPERATIONS BRYAH OPERATIONS 5

  6. Slide 6: Westgold Today

    Westgold Today Corporate Structure Major Shareholders Shares on Issue1 473.6M 70% Performance Rights on Issue1 4.4M 50% Australia 12 Month Trading Range2 $1.75 – $0.70 Others 30% 70% Institutions Avg Liquidity / day2,3 ≈2.0M shares 23% North America Cash, Bullion and Investments1 $192M 24% Europe De

  7. Slide 7: FY24 – production up, costs down

    FY24 – production up, costs down GUIDANCE FY23 FY24 Production (oz) 240,000 – 260,000 245,000 – 265,000 AISC ($/oz) 1,900 – 2,100 1,800 – 2,000 Growth Capital ($M) 60 130 1 Exploration ($M) 20 25 2 1. Growth Capital includes underground development, camp and other growth-related project, property an

  8. Slide 8: Westgold's FY24 plan is simple

    Westgold’s FY24 plan is simple Drivers of cash flow Capital growth and shareholder returns Turnaround builds a Investing in growth cash generative opportunities business in FY23 Fixed forward contracts now Focus on margin complete Cash generation Production up and Updated dividend costs down in poli

  9. Slide 9: A disciplined approach to growth and capital returns

    Westgold – a disciplined approach to growth and capital returns $ $ Investing in growth Returning capital to opportunities & shareholders exploration 9

  10. Slide 10: FY24 – enhancing profitability

    FY24 – enhancing profitability Investing $60M in the development of 3 new mines Increasing exploration and resource development spend Growth capital guidance on new mines in FY24 ($M) Exploration expenditure ($M) 25 60 6 Almost 150km of drilling achieved in FY23 24 19 30 18 16 14 14 Great Fingall Bi

  11. Slide 11: Great Fingall – another high grade mine

    Great Fingall – another high grade mine  49% uplift to Great Fingall Mineral Resource announced in May  2.5Mt of ore production at ≈5g/t for 383koz of gold  Initial eight-year mine life with development commencing in early Q2, FY24  first ore production in H1, FY25  +45koz pa Au production @ Al

  12. Slide 12: Big Bell Deeps – 2 mines in 1

    Big Bell Deeps – 2 mines in 1 Big Bell Deeps Expansion Long Hole Open Stoping (LHOS) operation under the SLC  Operates in parallel with sub-level cave  Increases mined grade as LHOS + SLC = grade lift  Lifts output to 1.2-1.3Mtpa  Potential additional 10 years of LHOS operations  Cost efficienc

  13. Slide 13: Drilling enhances sustainability

    Drilling enhances sustainability FY24 Exploration and resource development focus shifts to next suite of organic growth opportunities:  Bluebird – South Junction (at Meekatharra)  Gibraltar (proximal to the Bluebird processing hub at Meekatharra)  Peak Hill tenements (within the Bryah region) and

  14. Slide 14: Balancing growth and capital returns

    Westgold – balancing growth and capital returns $ $ Investing in growth Returning capital to opportunities & shareholders exploration 14

  15. Slide 15: Dividend Policy for FY24 – based on FCF

    Dividend Policy for FY24 – based on FCF Confidence in the turnaround of Westgold supports revision of the Dividend Policy FY24 Dividend Policy1: $ $ • pay a minimum dividend of 1cps (i.e.. $0.01/share) each financial year • up to a maximum of 30% of free cash flow Following criteria apply:  Westgol

  16. Slide 16: Westgold's FY24 strategic priorities

    Westgold’s FY24 strategic priorities Continue to safely Invest in resource and efficiently development and exploration optimise our assets drilling Continue free cash Sensibly invest in technology flow generation that drives cost reduction Assess inorganic growth Increase mine life of opportunities

  17. Slide 17: Hybrid power online – our new Tuckabianna facility

    Hybrid power online – our new Tuckabianna facility  The Tuckabianna hybrid facility replaces the diesel fired power station and includes:  6 MW solar farm fitted with 11,088 photovoltaic panels  battery energy storage system with 2.4 MW installed capacity  9.5 MW gas-fuelled power station  ~10M

  18. Slide 18: ~$4.4M in additional monthly revenue from August 2023

    ~$4.4M in additional monthly revenue from August 2023 1 Westgold is now fully leveraged to the gold spot price2 Forward contracts remaining (koz) 148 135 122 109 96 83 70 60 50 40 30 20 10 Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul 22 22 22 22 22 22 22 23 23 23 23 23 23 23 1. Indicative

  19. Slide 19: A progressive and profitable Australian Gold Miner

    WESTGOLD – A progressive and profitable Australian Gold Miner Westgold now a cash generative business – safe and profitable ounces H2, FY23 - $33M in cash generated closed FY23 with $192M cash, bullion and liquids FY24 - production increasing and costs decreasing in FY24 Fully funded to advance orga

  20. Slide 20: Talk to us!

    Talk to us! Investor Relations kasun.liyanaarachchi@westgold.com.au Media peter.knight@westgold.com.au www.westgold.com.au ASX : WGX 20

  21. Slide 21: Appendix A – Westgold overview

    APPENDIX A Westgold overview 21

  22. Slide 22: Experienced leadership team

    Experienced leadership team Hon. Cheryl Edwardes AM Wayne Bramwell Julius Matthys Fiona Van Maanen Gary Davison David Kelly Independent Managing Independent Independent Independent Independent Non-Executive Chair Director Non-Executive Non-Executive Non-Executive Non-Executive Director Director Dire

  23. Slide 23: Owner Operator – class leading capability and fleet

    Owner Operator – class leading capability and fleet Modern Mining fleet1 - ~$200M replacement value Agi Active Plant Cable Bolter Idle Plant Charge up Diamond Drill Grader IT loader Long Hole Boxhole Borer Spray Mec Underground Truck Underground Jumbo Underground Loader Water Cart 0 5 10 15 20 25 Id

  24. Slide 24: ESG - Committed to the journey

    ESG - Committed to the journey  63% reduction in Total Recordable Injury Frequency Rates in Safety, Health FY23 and Wellbeing  Active investment in the health and wellbeing of our people  33% female directors Diversity and  13% female employees Inclusion  Increasing focus on indigenous employme

  25. Slide 25: Westgold TRIFR reduced by 63% in FY23

    Westgold TRIFR reduced by 63% in FY23 Westgold has reduced TRIFR by 63% in FY23 EH&S Performance Highlights for the Quarter: 15 25 22.91  7% decrease in Total Recordable Injury Frequency Rate (TRIFR): 12 Month rolling Injury Frequency Rate 12 18.44 20 Total Recordable Injury (TRI) count  Q4 – 8.37

  26. Slide 26: Appendix B – Financials

    APPENDIX B Financials 26

  27. Slide 27: FY23 – closing cash, bullion and liquids up A$2M to A$192M

    FY23 – closing cash, bullion and liquids up A$2M to A$192M FY23 Closing Cash, Bullion and Liquid Assets grows to $192M ($M) +$2M  Revenue improved on prior year (FY22: $648M) (470) due to increased spot exposure with fewer hedged ounces, offset by reduced production (44) 654 (56)  Operating cash c

  28. Slide 28: Appendix C – Reserves/Resources

    APPENDIX C Reserves/Resources 28

  29. Slide 29: Mineral Resource Statement – At 30 June 2022

    Mineral Resource Statement - At 30 June 2022 1 MURCHISON OPERATIONS (ROUNDED FOR REPORTING) Measured Indicated Inferred Total Tonnes Ounces Au Tonnes Ounces Au Tonnes Ounces Au Tonnes Ounces Au Project Grade Grade Grade Grade ('000s) ('000s) ('000s) ('000s) ('000s) ('000s) ('000s) ('000s) Big Bell 5

  30. Slide 30: Ore Reserve Statement – At 30 June 2022

    Ore Reserve Statement - At 30 June 2022 1 MURCHISON OPERATIONS (ROUNDING FOR REPORTING) Proven Probable Total Ounces Au Ounces Au Ounces Au Project Tonnes ('000s) Grade Tonnes ('000s) Grade Tonnes ('000s) Grade ('000s) ('000s) ('000s) Big Bell 4,170 2.94 394 4,641 3.08 460 8,811 3.01 854 Cuddingwarr

Westgold Resources — Australian Gold Conference (August 2023) on 6ix