Westgold Resources Limited (Westgold Resources, the Company, ASX: WGX) is a prominent gold producer and explorer headquartered in West Perth, Australia. Founded on July 27, 1987, the Company operates across the Bryah Basin, Murchison, and Southern Goldfields regions of Western Australia. With six underground mines and five processing plants boasting a combined capacity of 6.6 million tonnes per annum, Westgold Resources employs a ‘hub and spoke’ model to optimise ore processing. The Company’s fully owned operations and modern underground mining fleet enable superior cost control and operational flexibility.
Expanding Ore Reserves: A Strategic Milestone
The significant reserve increase, a 296,000-ounce boost since August 2024, marks a transformative year for WGX. This expansion was underpinned by an updated Mineral Resource Estimate of 15Mt at 2.9g/t gold for 1.4 million ounces. Notably, the Measured and Indicated resource components stand at 8.7Mt at 2.9g/t gold for 814,000 ounces, reaffirming the scale and quality of the Bluebird-South Junction system.
To maximise the benefits of this expanded reserve, the Company is implementing high-tonnage transverse stoping, a mining method designed to optimise ore extraction in the 20+ metre-wide South Junction orebodies. This approach will triple monthly production rates to 100,000 tonnes by Q3 FY25, positioning the mine as a cornerstone of Westgold Resource’s operational strategy.
A Systematic Approach to Resource Growth
Westgold Resource’s commitment to extending the life and scale of the Bluebird-South Junction complex is evident in its robust exploration programs. Surface and underground drilling continue to focus on infill and extension targets, with the system remaining open at depth, along strike, and down plunge. The identification of new drill targets within 2km of the Bluebird processing plant, including Great Northern Highway (0.4 km), Romsey (1.5 km), and Ironbark (2.0 km), further supports the mine’s long-term potential.
Additionally, mining studies have shown that transitioning to transverse stoping will not only lower costs but also enhance project economics by delivering higher ounces per vertical metre. Infrastructure development, including ventilation and backfill systems, is well underway to support this operational shift.
Integrated Operations for Enhanced Efficiency
The Bluebird processing hub, located just 0.5 km from the mine, is central to Westgold Resource’s ability to optimise production. With a capacity of 1.4-1.8Mtpa, the hub ensures seamless ore processing, reducing transportation costs and improving project margins. This integration between mining and processing underscores the Company’s focus on operational excellence and cost efficiency.
Speaking on the achievement, Managing Director Wayne Bramwell stated, “This circa 400% reserve increase at Bluebird – South Junction over the past year highlights the transformative impact of our drilling and mining initiatives. We remain confident in our ability to further extend the resource base and enhance outputs to >1.2Mtpa by H2 FY25.”
Unlocking Future Growth Potential
Westgold Resource’s expanded reserves at Bluebird – South Junction represent a significant milestone in its broader growth strategy. The Company is leveraging its technical expertise, robust infrastructure, and innovative mining practices to ensure long-term sustainability and value creation for shareholders.
As the system’s limits remain undefined, ongoing exploration and optimisation efforts promise further enhancements to the mine’s productivity and economic viability. This positions WGX as a leader in Australia’s gold mining sector, setting the stage for continued success in the years ahead.