Westgold lays foundations for FY24

Listed mid-tier goldminer Westgold Resources has affirmed it is on track to meet full-year guidance following a solid start to the new financial year.

An interim update posted to the ASX by the miner revealed cash, bullion and liquid assets were up by $25 million by the end of the first quarter of FY24.

The addition grows the total sitting in Westgold coffers to $217 million, with the growth marking what managing director Wayne Bramwell said was a continuation of building strength in its balance sheet.

“Corporately, the completion of our fixed forward sales program in July saw us realise the full value of the Australian dollar gold price in August and September for the first time,” he said.

“Our operational performance was pleasing and with positive cash build for a third consecutive quarter, Westgold has set the foundation to deliver its FY24 guidance.”

Production from the company’s Murchison and Bryah operations is expected to land at 63,104 ounces and fetched an average sale price of $2,888/oz.

Westgold said the strong start meant it was on track to reach its full year guidance of between 245,000oz and 265,000oz.

“Looking forward, Q2 will mark the first full quarter with cash flows unimpeded by fixed forward contracts,” Mr Bramwell said.

“We can fund our exciting suite of internal growth options from operating cash flows and see opportunities such as Great Fingall as heralding a new stage of Westgold’s transformation into a progressive and more profitable Australian goldminer.”

It comes ahead of the miner’s official quarterly update due out later this month.

The update lifted Westgold shares by 2.5 per cent, or 4 cents, to trade at $1.62.