Western Gold Resources Set for Late 2025 Mining at Gold Duke Project
Western Gold Resources has made significant strides at its Gold Duke Project, with promising gold deposits and strong financial backing. The company aims to commence mining late next year.
The Gold Duke project boasts similar iron formation-hosted gold deposits to those found in Banded Iron Formations (BIF), with mineralisation primarily hosted within vertical to steeply dipping BIF units. Recent drilling results have confirmed high-grade gold, including intercepts of 9m @ 4.98 g/t Au and 5m @ 5.16 g/t Au. These results demonstrate the continuity of gold mineralisation along strike and at depth, supporting the planned Stage 1 mining areas.
Western Gold Resources is fully funded through to production, thanks to a successful capital raising of $6.75 million and a deferred payment facility from SSH Mining. The project has modest start-up costs of approximately A$2.6-2.8 million and a short 14-month life of mine with a rapid 3-month payback. At current gold prices, the project has an undiscounted cash surplus of A$56.1 million (pre-tax), potentially rising to A$97.3 million at A$5,500/oz.
Western Gold Resources anticipates first ore mining at the Gold Duke Project in late Q4 2025, with a production decision expected soon. The company awaits results from approximately 30,600 metres of drilling, which should be reported in the coming weeks. The current Mineral Resource Estimate stands at 3.25 million tonnes at 2.1 g/t gold for 213,000 ounces.
