ASX Announcement Westgold Resources Limited
ASX Announcement
Westgold Resources Limited
ABN 60 009 260 306
ASX:WGX | TSX:WGX | OTC:WGXRF
westgold.com.au
T: +61 8 9462 3400
Level 6, 200 St Georges Terrace
Perth WA 6000
PO Box 7068, Cloisters Square WA 6850
16 September 2024
Fletcher Exploration Target Defined at 1.6 - 2.1Moz Au
First Westgold Rig Arrives to Accelerate Fletcher Drilling
Perth, Western Australia, 16 September 2024: Westgold Resources Limited ( ASX: WGX,
TSX:WGX, OTCQX:WGXRF) (Westgold or the Company) is pleased to provide an upd ate in
relation to the Fletcher Zone at the Beta Hunt Mine within the Southern Goldfields operation.
Highlights
Declaration of the Fletcher Global Exploration Target of 23-27Mt @ 2.1-2.5g/t Au
for 1.6-2.1Moz.
▪ Includes an initial Stage 1 (Southern Zone) Exploration Target of 12–16Mt
@ 2.1-2.5g/t Au for 0.8-1.2Moz Au.
Resource definition drilling at Fletcher to be accelerated.
▪ Fletcher is a circa 2km long mineralised zone within 300m of the existing
Western Flanks development
▪ The first of two Westgold underground drilling rig s has arrived at Beta
Hunt.
▪ A minimum of three drill rigs will be committed to the Fletcher program for
the foreseeable future.
Regular updates on drilling results will be provided during Q2/Q3 FY25.
The potential quantity and grade of the Exploration Targets are conceptual in nature and, as
such, there has been insufficient exploration drilling conducted to estimate a Mineral
Resource. At this stage it is uncertain if further exploration drilling will result in the
estimation of a Mineral Resource. The Exploration Target has been prepared in accordance
with the JORC Code (2012).
Westgold Managing Director and CEO Wayne Bramwell commented:
“Westgold has moved quickly post-merger to advance opportunities to increas e production at
Beta Hunt.
Through the release of the Fletcher Zone Exploration Target, Westgold can now articulate what
we believe to be the size of the prize, demonstrating both the potential scale and the importance
of the Fletcher discovery to the Beta Hunt operation.
Fletcher Exploration Target Defined at 1.6 -2.1Moz Au
16 September 2024
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Resource definition will be accelerated Fletcher . The first of two Westgold owned underground
drill rigs has arrived on site to complement the existing contract rig with a three-rig program key
to enhancing the potential to deliver a Maiden Resource from the Southern Zone.”
Background To the Fletcher Zone
The Beta Hunt operation, located at Kambalda 600km east of Perth, was acquired by Westgold
as part of the August 2024 merger with TSX listed Karora Resources Inc.
Fletcher is a substantial new discovery made by Karora Resources at Beta Hunt and is interpreted
to represent a new gold mineralised structure paralleling the ~1.6Moz Western Flanks deposit,
approximately 300m to the west 1 (Figure 1 ). Like Western Flanks, mineralisation comprises
sheared albite-biotite-pyrite altered and irregularly quartz veined basalt.
While discovered in 2016, Resource Definition drilling only commenced in earnest in 2023 with
32 holes having been drilled into the +2km long mineralised system to the end of August 2024 .
Drill results to date have been impressive and were recently reported in the Westgold ASX/TSX
announcement of 21 August 20242.
Figure 1 – Fletcher Zone hole plan showing Fletcher Stage 1 & 2 exploration drill results & location of
the Stage 1 Southern Zone Exploration Target (refer to Figure 3 for additional details including the
positions of the Stage 3 exploration drill results not shown on this image).
1 Refer Westgold ASX/TSX release of 21 August 2024 – “Outstanding Drill Results from Fletcher Zone at Beta Hunt”
2 Refer Westgold ASX/TSX release of 21 August 2024 – “Outstanding Drill Results from Fletcher Zone at Beta Hunt”
Fletcher Exploration Target Defined at 1.6 -2.1Moz Au
16 September 2024
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Declaration of an Exploration Target at Fletcher
Westgold has calculated JORC and NI43-101 compliant Exploration Targets for the Fletcher Zone
at Beta Hunt dated 14 September 2024 as follows:
Fletcher Zone Global Exploration Target
Tonnes (Mt)
Low
Tonnes (Mt)
High
Grade (g/t Au)
Low
Grade (g/t Au)
High
Contained Gold
(Moz)
Low
Contained
Gold (Moz)
High
23.0 27.0 2.1 2.5 1.6 2.1
Given that the accelerated drilling program (see below) is initially focussing on the southern half
of the currently defined ~2km of strike (refer Figure 1), the Company has defined a Stage 1
Exploration Target (being a subset of the Global Exploration Target) as follows:
Fletcher Zone Stage 1 Exploration Target (A subset of the Global Exploration Target)
Tonnes (Mt)
Low
Tonnes (Mt)
High
Grade (g/t Au)
Low
Grade (g/t Au)
High
Contained Gold
(Moz)
Low
Contained
Gold (Moz)
High
12.0 16.0 2.1 2.5 0.8 1.2
The potential quantity and grade of the Exploration Targets are conceptual in nature and,
as such, there has been insufficient exploration drilling conducted to estimate a Mineral
Resource. At this stage it is uncertain if further exploration drilling will result in the
estimation of a Mineral Resource. The Exploration Target has been prepared in
accordance with the JORC Code (2012).
Exploration Target Basis
The Exploration Targets presented above are based on the following information and
assumptions:
■ The geological information collected from a total of 32 diamond drill holes for 18,918m
drilled over two kilometres of strike by Westgold (Karora) since 2016.
■ Highly encouraging gold assay results returned from these drill holes over 2km of strike and
to a depth of ~250m below the base of the Kambalda Ultramafic contact with
mineralisation remaining open at depth3. By comparison, the Western Flanks deposit has
been drilled to a depth of greater than 500m below the contact.
■ Fletcher mineralisation is of the same style as the parallel 1.6Moz Western Flanks deposit3
located only 300m to the east.
■ The gold grade range of the Exploration Target has been calculated from the significant
number of drill intercepts returned from the 32 holes completed to date and comparisons
with the gold grades of the nearby and parallel Western Flanks deposit currently being
mined by Westgold.
3 Refer Westgold ASX/TSX release of 21 August 2024 – “Outstanding Drill Results from Fletcher Zone at Beta Hunt”
Fletcher Exploration Target Defined at 1.6 -2.1Moz Au
16 September 2024
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■ The volume range (tonnages) of the Exploration Target is defined by implicit modelling of
the mineralised zone defined by the drilling completed via a geological modelling software
package.
■ The assumed strike length of the Global Exploration Target is 2km while the assumed strike
length of the Stage 1 Exploration Target is 1km.
■ The Exploration Target ounces output ranges was rounded to the nearest 100koz to reflect
the conceptual nature of the calculations.
Additional Drill Rigs Added to Accelerate Resource Definition
In order to test the obvious potential of the Fletcher Zone with the aim of potentially defining a
Mineral Resource in the shortest possible timeframe, Westgold has determined that an
accelerated drill out of Fletcher is warranted.
To this end, the Company is augmenting the current single contract underground drill rig at
Fletcher with two rigs from its recently expanded inhouse fleet. The first of these rigs has been
mobilised to site, with the second to follow prior to the end of September.
These additional drill rigs will allow the Company to dedicate a minimum of three to the Fletcher
Resource Definition program without impacting the ongoing grade control requirements of the
mine, or detracting from other resource development priorities.
Figure 2 – First of two planned Westgold drill rigs entering the Beta Hunt Portal to accelerate the
Fletcher Resource Definition program.
Fletcher Exploration Target Defined at 1.6 -2.1Moz Au
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Figure 3 – Southern Stage 1 Exploration Target Area showing existing drilling (refer Figure 1 for
location). This area will be subjected to detailed drilling during Q2/Q3 FY25 (Refer to Westgold ASX/TSX
Release of 21 August 2024 for full assay results of these drill holes).
Fletcher Exploration Target Defined at 1.6 -2.1Moz Au
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Figure 4 – Fletcher example schematic drill Cross Section A-A’ (refer Figure 3 for position)
Figure 5 – Fletcher example schematic drill Cross Section B-B’ (refer Figure 3 for position)
Fletcher Exploration Target Defined at 1.6 -2.1Moz Au
16 September 2024
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Looking Forward
With the acceleration of the Fletcher Resource Definition drilling program the Company looks
forward to providing regular updates on drill results during the coming months.
This announcement is authorised for release to the ASX and TSX by the Board.
Investor and media relations enquiries
Investor Relations
Kasun Liyanaarachchi | Investor Relations Manager
+61 458 564 483
Investor Relations – North America
Rob Buchanan | CPIR
+1 416-309-0600
Media
Peter Knight | Communications Manager
+61 459 980 481
Fletcher Exploration Target Defined at 1.6 -2.1Moz Au
16 September 2024
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Competent/Qualified Person Statements
Exploration Results
The information in this release that relates to Exploration results was compiled by Westgold technical
employees and contractors under the supervision of Mr. Simon Rigby B.Sc. (Hons), who is a member of the
Australian Institute of Geoscientists and who has verified, reviewed and approved such informatio n. Mr
Rigby is a full-time employee of the Company and has sufficient experience which is relevant to the styles
of mineralisation and types of deposit under consideration and to the activities which he is undertaking to
qualify as a Competent Person as de fined in the 2012 Edition of the Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves (the “JORC Code”) and as a Qualified Person as
defined in the CIM Guidelines and National Instrument 43 -101 – Standards of Disclosure for Mineral
Projects (“NI 43-101”). Mr. Rigby is an employee of the Company and, accordingly, is not independent for
purposes of NI 43 -101. Mr R igby consents to and approves the inclusion in this release of the matters
based on his information in the form and context in which it appears. Mr R igby is eligible to participate in
short- and long-term incentive plans of the company.
General
Mineral Resources, Ore Reserve Estimates and Exploration Targets and Results are calculated in
accordance with the JORC Code. Investors outside Australia should note that while Ore Reserve and
Mineral Resource estimates of the Company in this announcement comply with the JORC Code (such
JORC Code -compliant Ore Reserves and Mineral Resources being "Ore Reserves" and "Mineral
Resources" respectively), they may not comply with the relevant guidelines in other countries and, in
particular, do not comply with (i) NI 43-101; or (ii) Item 1300 of Regulation S-K, which governs disclosures
of Mineral Reserves in registration statements filed with the SEC. Information contained in this
announcement describing mineral deposits may not be comparable to similar informati on made public
by companies subject to the reporting and disclosure requirements of Canadian or US securities laws.
The other technical and scientific information in this release has been prepared in accordance with the
Canadian regulatory requirements set out in NI 43-101 and has been reviewed on behalf of the company
by Qualified Persons, as set forth above.
The Company confirms that it is not aware of any new information or data that materially affects the
information included in the original market announcements and that all material assumptions and
technical parameters underpinning the estimates in the rele vant market announcements continue to
apply and have not been materially changed. The Company confirms that the form and context in which
the Competent Persons findings are presented have not been materially modified from the original
market announcements.