Western Gold Resources has taken a decisive step towards production at its Gold Duke Project by awarding pre-mining contracts and appointing SSH Mining as the mine operator, setting the stage for Q1 2026 mobilisation.
- Pre-mining contracts awarded to SSH Mining and Pennington Scott for site works and water infrastructure
- SSH Mining appointed as mine operator alongside LGIRS under a turnkey solution
- Early works include clearing, haul road construction, and water bore drilling
- Activities materially de-risk planned Q1 2026 mobilisation and production schedule
- Company assessing potential Life of Mine extension at Gold Duke
Pre-Mining Contracts Signal Operational Momentum
Western Gold Resources Limited (ASX, WGR) has announced a significant advance in its Gold Duke Project development with the execution of key pre-mining contracts. The company has awarded Letters of Award to SSH Mining Australia Pty Ltd, a subsidiary of SSH Group Ltd, to commence essential site establishment activities including clearing, grubbing, and haul road construction. Concurrently, contracts for water infrastructure development have been awarded to Pennington Scott Pty Ltd and Delta Consultancy & Drilling Services Pty Ltd to drill and commission the Bower Bird Water Bore, a critical resource for mining operations and dust suppression.
Turnkey Mine Operator Appointment
In a strategic move to streamline project execution, WGR has appointed SSH Mining, in partnership with LGIRS, as the Mine Operator for Gold Duke. This appointment forms part of a turnkey solution designed to facilitate a smooth transition from development to production. SSH Mining brings extensive experience in Western Australian gold mining, having been involved in pre-mobilisation planning and grade control at Gold Duke. While the final Master Services Agreement is still pending, the early engagement of SSH Mining materially de-risks the planned mobilisation and production schedule targeted for the first quarter of 2026.
Infrastructure and Operational Readiness
The awarded contracts cover a broad scope of early works, including the delineation and construction of haul roads to support ore haulage to Wiluna Mining Corporation’s processing facility, establishment of site access and laydown areas, and initial operational work fronts. The Bower Bird Water Bore will provide a dedicated and reliable water supply essential for dust management and operational support, underpinning environmental compliance and operational efficiency. These early works align with WGR’s capital-efficient development strategy and follow the Board’s Decision to Mine announced in December 2025.
Looking Ahead, Life of Mine and Production Targets
Beyond the immediate mobilisation activities, Western Gold Resources is actively assessing opportunities to extend the Life of Mine at Gold Duke, potentially adding significant ounces to the project’s resource base. The company’s development roadmap includes finalising the mining services agreement, completing water bore commissioning, and advancing towards first gold production in Q1 2026. The integration of these operational milestones with existing approvals and a binding toll milling agreement with Wiluna Mining Corporation positions Gold Duke for a well-supported entry into production.
Overall, these developments mark a pivotal transition from planning to execution, reflecting WGR’s commitment to delivering on its capital-efficient growth strategy while managing execution risks effectively.
Bottom Line?
With pre-mining contracts in place and operator appointed, WGR is poised to unlock Gold Duke’s potential, but the final agreements and Life of Mine extension remain key watchpoints.
Questions in the middle?
- When will the final Master Services Agreement with SSH Mining be executed?
- What are the prospects and timeline for extending the Life of Mine at Gold Duke?
- How will the integration with Wiluna Mining Corporation’s processing facility impact operational efficiency and costs?