Westgold Resources Limited (ASX: WGX) has outstanding assay results returned from positions supporting the new geological model with its drilling programme at the high-grade Great Fingall gold deposit near Cue in Western Australia.
Westgold’s latest results at Great Fingall herald a new future for this historic high grade mine,” Managing Director, Wayne Bramwell, said.
“Deep drilling has successfully returned high grade intercepts and defined twin parallel reefs, rather than the previously interpreted single reef. This new interpretation significantly derisks development plans and has the potential to materially increase Mineral Resources and improve potential mine economics above prior estimates.
“Our confidence continues to grow in this near-term development target and pending a new Mineral Resource Estimate and a Final Investment Decision, we will be ready to recommence decline development in Q1, FY24.
“Great Fingall is an icon in Western Australia that has historically produced more than 1.2Moz of gold. To see it restart under Westgold ownership and become a long term sustainable and profitable operation is the objective. Most importantly, it would also show the quality of the organic growth opportunities within our portfolio that drilling can unlock.”
Revised Geological Model
With a view to FY24/25 mine development, the Fingall Deeps drilling programme commenced in October 2022 to test the next 200m x 200m panel of mineralisation beneath the existing Mineral Resource.
Geological logging and interpretation of the early holes suggested the then current geological model, which had the Fingall Reef flattening at depth with a series of footwall reefs, required revision. This historic model was largely informed by 1980s era drilling that had limited structural data (i.e. recording of the strike and dip of intersected reefs) and hole 19GCDD028, drilled by Westgold in 2019, suggested the Fingall Reef was flattening with depth.
The revised geological model for Great Fingall positively predicts that the Fingall Reef bifurcates (i.e. splits into two parallel reefs). This interpretation is based on the first round of Fingall Deeps holes including 22GFDD006 and 22GFDD007 and a detailed review of the geology intersected in the 1980’s era drilling.
Looking Forward
The Fingall Deeps drilling programme has now been paused to allow completion of a new MRE based on the revised geological model. Westgold expects to release this resource update in June and make a Final Investment Decision to recommence decline development at Great Fingall in July.
A shallow, dry and intact modern decline exists at Great Fingall to a depth of approximately 160m below surface. Westgold has surplus underground fleet ready to rapidly deploy and pending a positive FID, development at Great Fingall could commence rapidly in Q1, FY24.
