Westgold profits surge

24th February 2020 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – A 17% increase in gold production during the first half of 2020 has seen gold miner Westgold Resource report a 187% increase in net profits after tax.

Westgold on Monday announced that gold production during the six months ending December had increased to 120 127 oz, with revenues up by 18%, to A$228.5-million.

Net profits after tax for the period reached A$9.7-million, compared with a net loss of A$11.2-million in the previous corresponding period.

The company told shareholders that the half-year results showed a substantial improvement on the previous corresponding period, with mining segments of the Meekatharra gold operation and the Fortnum gold operation remaining strongly profitable during the interim period, while the Cue gold operations’ performance reflected its development phase, prior to the transition to steady-state operations.

Gold production from the Meekatharra operation reached 51 391 oz during the period, up from the 48 714 oz in the previous corresponding period, while production at Fortnum increased from 27 067 oz to 33 229 oz in the same period.

The Cue operation produced 35 507 oz during the six months under review, compared with the 27 232 oz produced in the first half of 2019.

Westgold is currently working to ramp up its yearly production from the current 250 000 oz/y to 300 000 oz/y, with increased production expected from its underground operations.