Westgold Resources and Alkane Resources have both recorded strong production guidance for the June 2023 quarter.
Westgold has achieved the top end of full financial year (FY23) production guidance of 257,116 ounces of gold and continues to generate free cash flow from its operations in its fourth quarter (Q4).
Westgold’s operational highlights include the full year group all in sustaining cost (AISC) expecting to be mid-range of guidance at $1900–$2100 per ounce (oz) and its Q4 production adding to 68,377oz, with record ounce output from the Bluebird gold mine.
Financial highlights include Westgold’s Q4 seeing an increase in cash, bullion, and liquid assets of $24 million, a notable $15 million increase from its Q3. Its FY23 closing cash, bullion and liquid assets increased to $192 million.
Westgold managing director Wayne Bramwell said the company has delivered safe and profitable ounces for its shareholders in FY23.
“Over the last 12 months we have improved our operational discipline, built balance sheet strength, and invested in our future through exploration and resource development. This turnaround is evidenced by two consecutive quarters of cash flow generation,” Bramwell said.
Bramwell said that Westgold will commence FY24 debt free and can internally fund organic growth opportunities such as the expansion of Big Bell and commencement of the iconic Great Fingall underground mine.
Alkane Resources’ Tomingley gold operations exceeded its FY2023 production guidance, which in April was upgraded to 65,000–73,000oz.
Tomingley has seen continuous success by meeting or exceeding guidance in every year of operation, and the FY23 (ending June 30) is no different with a production of 70,253oz of gold.
Its preliminary AISC is expected to fall in the mid-range of guidance, $1550–$1750/oz, for the same period.
In February, Tomingley received government approval for its extension and the underground exploration drive reach the Roswell deposit.
Alkane’s unaudited cash, bullion and listed investments position as of June 30 totalled $107.2 million, comprising of $80.3 million in cash, $8.3 million of bullion in hand and $18.6 million of listed investments.
Alkane Resources managing director Nic Earner said that Tomingley is continuing its outstanding performance, consistently meeting or exceeding expectations.
“With approval granted to extend the life of Tomingley past 2030, at increased production rates, and our growing Boda and Kaiser resources, we’re looking forward to the year ahead,” Earner said.
The company is expected to include Tomingley’s FY2024 production guidance in its June quarterly report to be released in July.
