Westgold Posts $132M Treasury Build on 326,000oz Gold Production in FY25
Westgold Resources capped FY25 with record quarterly gold production and a $132 million treasury boost, while announcing a maiden 2.3 million ounce resource at its Fletcher Zone.
- Record Q4 gold production of 88,022 ounces at AISC of A$2,688/oz
- Full year production of 326,384 ounces, slightly below guidance
- Maiden 2.3 million ounce Mineral Resource at Fletcher Zone, Beta Hunt
- Treasury build of $132 million to $364 million driven by strong gold prices
- Barminco awarded 3-year contract for Great Fingall mine development
FY25 Performance Highlights
Westgold Resources Limited closed the 2025 financial year on a high note, setting new records for quarterly and annual gold production. The company produced 88,022 ounces in Q4 FY25 at an all-in sustaining cost (AISC) of A$2,688 per ounce, pushing full year production to 326,384 ounces. While this was marginally below the company’s guidance range of 330,000 to 350,000 ounces, it nonetheless reflects a robust operational performance amid some logistical challenges.
Strong gold prices averaging A$5,174 per ounce during the quarter contributed to a significant treasury build, with cash, bullion, and liquid investments rising by $132 million to a record $364 million. This financial strength underpins Westgold’s growing free cash flow capability and positions the company well for future growth.
Operational Advances and Mine Development
Operationally, Westgold saw productivity gains across its portfolio, with mining and milling outputs increasing quarter-on-quarter. Notably, mining commenced at the Great Fingall Flats, marking a new chapter for this underground asset. The company also transitioned its Bluebird-South Junction mine design to longitudinal open stoping, a move expected to enhance long-term sustainability despite short-term production constraints.
Infrastructure investments continued apace, including ventilation upgrades and the near completion of a paste plant at Bluebird-South Junction, which is anticipated to enable near 100% ore body extraction by late Q1 FY26. The awarding of a three-year mining contract to Barminco for Great Fingall is expected to accelerate development and production ramp-up at this site.
Exploration Breakthrough, Fletcher Zone Maiden Resource
A standout achievement during the quarter was the announcement of a maiden Mineral Resource Estimate of 2.3 million ounces at the Fletcher Zone within the Beta Hunt mine. This resource, derived from just half of the known strike length, effectively doubles Beta Hunt’s mineral resource and signals a multi-decade growth opportunity. The Fletcher Zone is now recognized as a third major mineralized shear zone within the Hunt Block, complementing existing deposits and reinforcing Westgold’s exploration success.
Corporate and Strategic Developments
Westgold’s board welcomed Ivan Mullany as a Non-Executive Director, bringing extensive international mining experience to support operational efficiency and strategic growth. The company remains fully unhedged, maintaining full exposure to the gold price, which has benefited its financial results.
In line with its strategy to simplify the portfolio and focus on higher-grade assets, Westgold announced plans to divest several smaller mines and assets, including Comet, Paddy’s Flat, and Peak Hill. This divestment program aims to sharpen operational focus and unlock value.
Looking Ahead
Westgold plans to release its FY26 production guidance in August, followed by a detailed three-year outlook in September after updating its resource and reserve estimates. With capital investments driving productivity improvements and a strong treasury position, the company is well positioned to leverage its portfolio for enhanced cash flows and sustained growth.
Bottom Line?
Westgold’s record-breaking FY25 and maiden Fletcher resource set the stage for a pivotal growth phase, but operational execution and divestment outcomes will be key to watch.
Questions in the middle?
- How will the transition to longitudinal open stoping at Bluebird-South Junction impact short-term production and costs?
- What are the expected timelines and capital requirements for converting the Fletcher Zone resource into reserves and production?
- How will the planned divestments affect Westgold’s operational focus and financial flexibility in FY26?
