Westgold Resources Ltd · ASX:WGX
Westgold Resources — Q3 FY2023 Earnings Presentation
18 slides from Westgold Resources's earnings presentation, Apr 26, 2023
Slide 1: March Quarter FY23 Update
WESTGOLD RESOURCES LIMITED ASX : WGX MARCH QUARTER FY23 UPDATE 26 April 2023 Wayne Bramwell | Managing Director Tommy Heng | CFO Matthew Pilbeam | GM EH & S Simon Rigby | GM Exploration & Growth 1
Slide 2: Disclaimer
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
Slide 3: FY23 – Tracking to Guidance
FY23 – Tracking to Guidance OPERATION GROUP Q1 Q2 Q3 YTD “Building our cash and liquid assets on top of Production (koz) 240,000 -260,000 66,048 62,180 60,512 188,740 improving our TRIFR in Q3 shows Westgold is AISC (A$/oz) 1,900-2,100 2,106 2,071 2,094 2,077 delivering on the strategy of producing
Slide 4: Q3 FY23 Results – Turnaround advancing
Q3 FY23 Results – Turnaround advancing ▪ EH&S performance continue to improve – first time WGX has returned a TRIFR result below 10.0 ▪ Key mines continue to perform with Q3 production of 60,512oz – at an All-In-Sustaining Cost (AISC) of $2,094/oz ▪ Tracking to top end of FY23 production guidance an
Slide 5: Q3 Environment, Health & Safety Performance
Q3 Environment, Health & Safety Performance EH&S Performance Highlights for the Quarter: Quarter on quarter - LAG Injury Performance ▪ 37.15% decrease in Total Recordable Injury Frequency Rate (TRIFR) – the first time WGX has returned a TRIFR result below 10.0: o Q3 – 9.03 from Q2 – 14.36 ▪ Lost Tim
Slide 6: Westgold – 100% Western Australian
WESTGOLD – 100% Western Australian 1,400 strong workforce 1,300km2 tenure 4 underground mines 3 processing plants Owner / operator with extensive UG fleet MURCHISON OPERATIONS BRYAH OPERATIONS 6
Slide 7: Q3, FY23 – In Review
Q3, FY23 – In Review Production (oz), Achieved Gold Price & AISC ($/oz) Quarters Rolling Gold Production (oz) & AISC ($/oz) 7
Slide 8: Q3 Key Metrics – Net Mine Cashflow Up
Q3 KEY METRICS – Net Mine Cashflow Up MURCHISON BRYAH GROUP GROUP MAR QTR MAR QTR MAR QTR YTD FY23 FY23 FY23 FY23 Physical Summary Units Westgold tracking to top end of FY23 production and mid- ROM - UG Ore Mined t 543,438 135,889 679,328 2,252,836 UG Grade Mined g/t 2.8 2.2 2.7 2.7 point of FY23 co
Slide 9: Q3 Key Metrics – Profitability
Q3 KEY METRICS – Profitability Westgold Monthly AISC ($’m) & ($/oz) ▪ Simplicity + Efficiency = Profitability ▪ Operating discipline improving ▪ Cost management improving ▪ Big Bell and Bluebird expanding ▪ Starlight and Paddy’s Flat being right sized ▪ Benefits seen in March Quarter Reset plan acti
Slide 10: Murchison – Operational Summary
MURCHISON- Operational Summary ▪ Processed ore tonnage decreased by 7% - to 671.9kt compared HG HG Ounces Ounces to the previous quarter (Q2: 724.3kt). Impacted by weather Murchison Operation tonnes grade mined Recovery produced events that interrupted high-grade ore haulage from the mines. Big Bell
Slide 11: Murchison – Operational Summary
MURCHISON- Operational Summary Drilling to extend mine life - better results include: ▪ Paddy’s Flat ▪ 2.63m at 35.36g/t Au from 135m in 23CNDD001 ▪ 5m at 16.00g/t Au from 134m in 23CNDD009 ▪ 2.93m at 95.79g/t Au from 31m in 23CNDD065 ▪ 9.29m at 9.15g/t Au from 11m in 23CNDD086A ▪ Bluebird Bluebird
Slide 12: Bryah – Operational Summary
BRYAH - Operational Summary HG HG Ounces Ounces ▪ New mine plan implemented for the Starlight mine Bryah Operation tonnes grade mined Recovery produced ▪ producing 136kt at 2.2g/t Au for 9.8koz mined Starlight Mine 135,889 2.2 9,803 ▪ Grade increased 10% - new management team resetting Fortnum Proce
Slide 13: Extending Mine Lives – 7 rigs on extensional + 2 on exploration
EXTENDING MINE LIVES – 7 rigs on extensional + 2 on exploration 1 2 3 1 13
Slide 14: Q3 – Closing Cash, Bullion and Liquids up $9M
Q3 – Closing Cash, Bullion and Liquids up $9M ▪ Westgold remains debt free – Q3 closing cash, bullion and Q3 Waterfall Chart liquid assets of $168M up $9M on Q2 ▪ Q3 gold sales of 60,043oz - revenue of $159M at an achieved gold price of $2,635/oz ▪ Operating cash costs including sustaining capital m
Slide 15: Q3 Hedge Book – 40,000oz and diminishing fast..
Q3 Hedge Book – 40,000oz and diminishing fast.. Hedge book reduced during Q3 to 40,000oz ▪ @ an average A$2,459/oz ▪ Last spot sale on 12/04/23 was @A$3,030/oz Zero Cost Collars in place for 30,000oz ▪ During March 2023 as the A$ gold pushed through $2,900/oz, Put options at $2,700/oz and Call optio
Slide 16: Q3 Exploration & Growth – Multiple Targets
Q3 Exploration & Growth – Multiple Targets ▪ 3,256m of Diamond Drilling (DD) at Great Fingall Deeps: o Testing down plunge mineralisation beneath the currently defined ~300Koz Au Mineral Resource o Two parent and daughter holes now completed (22GFD006 & 22GFD007) resulting in a significant change to
Slide 17: Q4, FY23 Outlook
Q4, FY23 Outlook Focus on safe and profitable ounces ▪ Drive operational efficiencies ▪ Expand Bluebird and Big Bell ▪ Right size Paddy’s Flat and Starlight ▪ Review paused assets for restart Drill – extend mine lives and test the next organic growth targets ▪ 7 rigs on res dev – Bluebird, Paddy’s,
Slide 18: Want to know more?
Want to know more ? Investor Relations investor.relations@westgold.com.au Media peter.knight@westgold.com.au www.westgold.com.au ASX : WGX 18