1.1Moz Maiden Fletcher Ore Reserve
Westgold’s Fletcher reserve confirms upside while its four million tonnes per annum definitive feasibility study remains a pre-construction assessment.
Westgold Resources Limited (WGX) announced a maiden Ore Reserve for the Fletcher deposit at Beta Hunt, totaling 13.5Mt at 2.6g/t Au for 1.1moz Au. The reserve is classified as 100% Probable with no Measured classification. Approximately 74% of the updated Indicated Mineral Resource ounces were converted to the maiden Ore Reserve.
The total Fletcher Mineral Resource increased by 30% to 40.1Mt at 2.3g/t Au for 3.0moz. Consequently, the Beta Hunt complex totals now stand at 21.7Mt at 2.34g/t Au for 1.6moz Ore Reserve and 74.6Mt at 2.25g/t Au for 5.4moz Mineral Resource. Economic assumptions utilized a gold price of A$5,500/oz with a full costed cut-off grade of 2.1g/t Au. The mining method is longhole open stoping with 12% dilution and 90% recovery.
The company is accelerating a Definitive Feasibility Study (DFS) for a 4Mtpa processing expansion at Higginsville, bypassing the previously approved 2.6Mtpa stage. DFS completion is targeted toward the end of FY27. Exploration continues on the northern extension (open 500–700m) and the southern Mason target. An underground mass-haulage study is planned for H2 FY27.
Westgold Resources Limited (WGX) has identified the Fletcher reserve as a material resource conversion that validates its exploration thesis and extends mine life. The deposit is classified as 100% Probable, with no Measured classification, introducing standard technical risk regarding tonnage and grade continuity.
The company has also announced a strategic shift to a 4Mtpa DFS. This initiative remains in the study phase and does not commit capital, change near-term production profiles, or alter the FY27 guidance timeline.
The stock has rallied approximately 33% from its July low of $4.30 to the current level of $5.71, indicating the market has priced in this upside. The news serves as a confirmation of prior telegraphed upside rather than a surprise catalyst.
Westgold Resources Limited (WGX) is a Tier 1 jurisdiction gold producer operating in Western Australia. The company’s portfolio is divided into the Murchison and Southern Goldfields regions, utilizing four processing hubs: Fortnum, Meekatharra, Cue, and Higginsville. Key operating assets include Big Bell, Bluebird-South Junction, Great Fingall, and Beta Hunt.
The business model centers on an unhedged gold production strategy focused on organic growth, processing hub optimization, and portfolio simplification. Corporate actions to streamline operations have included the demerger of Valiant Gold and the divestment of non-core assets, specifically Mt Henry-Selene, Peak Hill, and Chalice.