Westgold eyes growth

Forecasts 10% higher production in FY22

 Westgold Resources’ Peter Cook handballed presenting duties to CEO Debbie Fullarton. Image: Gold Industry Group.

Westgold Resources’ Peter Cook handballed presenting duties to CEO Debbie Fullarton. Image: Gold Industry Group.

Westgold forecast 10% higher gold production for FY22 of 270,000 ounces, with all-in sustaining costs between A$1500-1600/oz.

The company, which demerged from Metals X and listed in December 2016, now has three operating plants, seven underground mines and "so far 10 open pits with many more still to come," Fullarton said.

Westgold said it was starting to reap the benefits of several years of heavy investment and said production was set to increase this year as Big Bell, Bluebird - where operations resumed in July - and the South Emu-Triton mines achieved higher output.

It was Fullarton's first presentation to the annual mining forum, taking over the gig from company founder Peter Cook who stepped back to the role of non-executive chairman this month.

Fullarton said the debt-free company's growth had been mainly self-funded and its internal mining services differentiated it from other gold miners using contractors.

She said Westgold was planning future growth through greenfields exploration, expanding its footprint and leveraging its infrastructure, at its Fortnum, Meekatharra and Cue gold operations.

The company's massive land package had been "somewhat neglected" for greenfields exploration given its other priorities and Westgold was now upping the ante to find more ore and hopefully another mine, Fullarton said.

"However, we are playing the long game here as our plants are currently full for the next 10 years," she said.

"We're embarking on a new phase of growth and are determined to add more shareholder wealth."

The company started the quarter with A$157 million in cash and liquid assets.

Its shares have spanned $1.74-2.98 over the past year and closed up 0.5% yesterday to $1.865 to value it about $789 million.

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