Bonanza Grade Coarse Gold Zones At Western Flanks
PERTH, Sept. 10, 2024 - Westgold Resources Limited (ASX: WGX) (TSX: WGX) (OTCQX: WGXRF) (Westgold or the Company) is pleased to provide an update in relation to recent mining activities at the Western Flanks orebody at Beta Hunt. Highlights
- Sediment hosted coarse gold mineralisation confirmed within Western Flanks - providing significant production upside potential.
- Mineralisation style is consistent with the bonanza grade "Father's Day Vein" - previously mined in the parallel A Zone deposit.
- Potential for similar style high grade positions within Beta Hunt - including in the rapidly evolving Fletcher Zone.
Westgold Managing Director and CEO Wayne Bramwell commented:
"Coarse gold occurrences at Beta Hunt, such as the famous "Father's Day Vein" discovered in 2018, have to date been limited to the A Zone deposit.
The confirmation of this style of mineralisation within the Western Flanks deposit not only provides increased production upside, it also indicates the potential for additional bonanza grade zones within other mineralised structures such as the Fletcher Zone.
Westgold sees a much larger opportunity at Beta Hunt and across our Southern Goldfields assets, with drilling the catalyst to defining their real scale."
Sediment Hosted Coarse Gold at Beta Hunt - The A Zone Discovery
Within Westgold's Beta Hunt mine at Kambalda, Western Australia, the majority of gold mineralisation is hosted within the Lunnon Basalt and associated with northwest trending sub-vertical structures (Figure 2). Within the Lunnon Basalt is a narrow pyritic laminated shale horizon known as the Lunnon Sediment. When intersected by mineralising structures, such as that in A Zone, the Lunnon Sediment has developed a bonanza grading southerly plunging coarse gold zone along the length of the A Zone.
This gold zone includes the Father's Day Vein (FDV) occurrence which was discovered in 20181 and produced in excess of 30,000oz of gold2. Importantly, the FDV had not been captured in the A Zone geological or Mineral Resource Estimation model at that time.
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| 1 Refer to Karora Resources (then RNC Minerals) TSX Announcements of 9 September 2018 & 16 September 2018. |
Western Flanks - An Additional Coarse Gold Opportunity
Drilling conducted by Karora Resources in 2019 as part of the Western Flanks exploration program intersected sediment associated, coarse gold in two holes with assay results comprising (Appendix A):
- 2.00m @ 1,017.3 g/t Au - including 0.27m @ 7,621 g/t Au, in drill hole WFN-29; and
- 4.75m @ 395.9g/t Au - including 0.85m @ 2,210g/t Au, in drill hole WFN-0633.
These results highlighted the potential for Western Flanks to also host the same style of coarse gold mineralisation as mined from the Father's Day Vein within A Zone.
In Q1 FY25, the mining schedule allowed for stoping of the area hosting the coarse gold intersections identified in the 2019 drilling (Figures 3 & 4). Observations from mining Stope WFC-380-N1 have since revealed the presence of sediment associated coarse gold (Figure 1) which confirms the same coarse gold style of mineralisation mined at A Zone is also present at Western Flanks.
In a similar fashion to A Zone, the coarse gold mineralisation at Western Flanks is interpreted to have a shallow southerly plunge along the length of the Western Flanks Mineral Resource. The coarse gold mineralisation at Western Flanks is not yet modelled in the Western Flanks Mineral Resource and is therefore expected to deliver additional ounces to the mine reconciliation.
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| 3 Refer to Karora Resources TSX announcements of 22 January 2019, and 25 February 2019 (accessible via SEDAR+ (www.sedarplus.ca)). |
Looking Forward
The Lunnon Sediment is a regional stratigraphic unit which is located around 150m below the Lunnon Basalt - Kambalda Ultramafic contact. This unit is likely present over the full Beta Hunt sub-lease and the confirmation, through mining, that coarse gold is now associated with the Western Flanks shear zone supports the interpretation for coarse gold mineralisation occurring wherever the Lunnon Sediment intersects a mineralised shear zone.
By analogy to A Zone and Western Flanks, this opens the opportunity for Lunnon Sediment coarse gold mineralisation to occur within the Fletcher Zone (within the Hunt Block) as well as extensions to shear zones in the Beta and Gamma Blocks.
This represents significant upside production potential that will be tested by accelerated drilling programmes in FY25.
This announcement is authorised for release to the ASX and TSX by the Board.
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 information. 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 defined 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 Rigby 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 Rigby 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. The JORC Code is an acceptable foreign code under NI 43-101. Information contained in this announcement describing mineral deposits may not be comparable to similar information made public by companies subject to the reporting and disclosure requirements of US securities laws, including Item 1300 of Regulation S-K. All 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 relevant 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.
Forward Looking Statements
These materials prepared by Westgold Resources Limited include forward looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as "may", "will", "expect", "intend", "believe", "forecast", "predict", "plan", "estimate", "anticipate", "continue", and "guidance", or other similar words and may include, without limitation, statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs.
Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results, performance and achievements to differ materially from any future results, performance or achievements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licenses and permits and diminishing quantities or grades of reserves, political and social risks, changes to the regulatory framework within which the Company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation.
Forward looking statements are based on the Company and its management's good faith assumptions relating to the financial, market, regulatory and other relevant environments that will exist and affect the Company's business and operations in the future. The Company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the Company's business or operations will not be affected in any material manner by these or other factors not foreseen or foreseeable by the Company or management or beyond the Company's control.
Although the Company attempts and has attempted to identify factors that would cause actual actions, events or results to differ materially from those disclosed in forward looking statements, there may be other factors that could cause actual results, performance, achievements or events not to be as anticipated, estimated or intended, and many events are beyond the reasonable control of the Company. In addition, the Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of the factors outlined in the "Risk Factors" section of the Company's continuous disclosure filings available on SEDAR+ or the ASX, including, in the Company's current annual report, half year report or most recent management discussion and analysis.
Accordingly, readers are cautioned not to place undue reliance on forward looking statements. Forward looking statements in these materials speak only at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, in providing this information the Company does not undertake any obligation to publicly update or revise any of the forward-looking statements or to advise of any change in events, conditions or circumstances.
APPENDIX A - WESTERN FLANKS - WFC N1 P3 STOPE DRILLING - SIGNIFICANT INTERSECTIONS WITHIN LUNNON SEDIMENT UNIT
| Hole | Collar N | Collar E | Collar RL | Intercept | From (m) | Dip | Azi | Total Length (m) |
| WFN-29 | 544087 | 374806 | -348.7 | 2.00m @ 1,017.3g/t Au | 43.00 | -8.6 | 234 | 119.8 |
| Inc. 0.27m @ 7,621g/t Au | 44.82 | |||||||
| WFN-63 | 544087 | 374805 | -348.2 | 4.75m @ 365.9g/t Au | 47.00 | -9.0 | 230 | 117.2 |
| Inc. 0.85m @ 2,210g/t Au | 51.00 |
APPENDIX B - JORC 2012 TABLE 1 - GOLD DIVISION
SECTION 1: SAMPLING TECHNIQUES AND DATA
(Criteria in this section apply to all succeeding sections.)
| Criteria | JORC Code Explanation | Commentary |
| Sampling techniques |
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| Drilling techniques |
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| Drill sample recovery |
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| Logging |
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| Sub-sampling techniques and sample preparation |
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| Quality of assay data and laboratory tests |
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| Verification of sampling and assaying |
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| Location of data points |
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| Data spacing and distribution |
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| Orientation of data in relation to geological structure |
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| Sample security |
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| Audits or reviews |
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SECTION 2: REPORTING OF EXPLORATION RESULTS
(Criteria listed in the preceding section also apply to this section.)
| Criteria | JORC Code Explanation | Commentary |
| Mineral tenement and land tenure status |
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| Exploration done by other parties |
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| Geology |
| BHO
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| CGO
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| FGO
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| HGO
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| MGO
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| Drill hole Information |
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| Data aggregation methods |
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| Relationship between mineralisation widths and intercept lengths |
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| Diagrams |
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| Balanced reporting |
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| Other substantive exploration data |
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| Further work |
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SOURCE Westgold Resources Limited
Contact
Investor and media relations enquiries: Investor Relations, Kasun Liyanaarachchi | Investor Relations Manager, investor.relations@westgold.com.au, +61 458 564 483; Investor Relations - North America, Rob Buchanan | CPIR, Rob.Buchanan@westgold.com.au, +1 416-309-0600; Media, Peter Knight | Communications Manager, peter.knight@westgold.com.au, +61 459 980 481




