The Westgold Resources board has approved the development of the Great Fingall gold mine.
The Great Fingall mine has previously hosted a significant mine production of approximately 1.2 million ounces. It is now part of Westgold’s Cue gold operation located in Western Australia.
Westgold has now completed a base case for the Great Fingall mine. It envisions the Great Fingall mine producing 2.5 megatons (Mt) of ore production at approximately five grams per tonne (g/t) for 383,000 ounces of gold, and more than 45,000 ounces of gold production at an all-in cost (AIC) of approximately $1801 per ounce.
It is expected for Great Fingall to have an initial eight-year mine life, with development commencing in the early part of the second quarter of the 2024 financial year (Q2 FY24). The first ore production is expected to occur in the first half of the 2025 financial year (H1 FY25).
“Great Fingall is one of four +1Moz historic producing mines in Westgold’s portfolio and the commitment to its development underpins Westgold’s confidence in the Murchison region,” Westgold managing director Wayne Bramwell said.
In June, the Great Fingall resource grew to half a million ounces which represented a 49 per cent uplift in mineral resource estimation.
“Our base case is conservative and focuses on virgin reef extensions only. Even on this basis, the returns are compelling. Significant upside exists from high-grade flat structures and remnant ore that we will develop past as we push the decline to the virgin parts of this high-grade orebody,” Bramwell said.
“These opportunities and the additional 250 vertical metres of reef depth extensions intersected by Westgold drilling has not yet been included in the current evaluation or design. Critically, Westgold is fully funded to undertake this development from operational cashflows.
“The first cut in the Great Fingall decline is scheduled for Q2, FY24 and will herald a new beginning for this iconic mine.”