West Wits builds momentum towards Qala Shallows stoping
West Wits Mining has nearly tripled monthly underground development at Qala Shallows and says the project remains funded through to steady-state production. Stoping is scheduled to begin in February 2027, while surface infrastructure has reached 61% completion.
- September underground advance reached a record 200 metres
- Qala Shallows surface infrastructure is 61% complete
- Second R236 million senior debt drawdown received after quarter end
- Stoping scheduled to commence in February 2027
- 17-hole, 5,750 metre uranium-gold drilling program planned at Bird Reef Central
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Qala Shallows underground advance gathers pace
West Wits Mining Limited (ASX:WWI; OTCQB: WMWWF) has moved closer to the production phase at Qala Shallows, with monthly underground development rising from 73 metres in July to a record 200 metres in September. The mine advanced 456 metres during the quarter, taking total underground development to 1,150 metres at 30 September.
The improvement came as the Main Decline moved through more competent ground, reducing shotcrete requirements, while increased face availability and a larger underground fleet supported faster work. Of the total development, 513 metres was on reef and 637 metres was waste development. West Wits says the rate is expected to accelerate through 2027 as it builds capacity for its planned steady-state operation.
The earlier 1 West Decline breakthrough has opened access to historic 2 Level stoping areas containing unmined stopes and established underground infrastructure. During the quarter, those areas were adapted for modern trackless equipment, with primary production from stoping scheduled to begin in February 2027.
Surface works and debt funding move together
Surface infrastructure reached 61% completion at quarter end, up from 45% three months earlier. The haulage road is complete and handed over, while the pollution control dam and permanent ore handling facility are at advanced stages. Critical surface infrastructure remains scheduled for completion in the third quarter of 2027, ahead of commercial production targeted for the fourth quarter.
Funding has also advanced, although the key debt event occurred after the reporting period. The company received a second R236 million, approximately A$21 million, drawdown under its R875 million senior loan facility with Absa and Nedbank CIB, taking total drawdowns to R575 million and leaving R300 million available. That follows the second R236M debt drawdown reported earlier in October.
Cash stood at A$17.1 million on 30 September, down from about A$32 million at the end of June, after A$11.8 million of investing cash outflows during the quarter, including A$10.5 million for mine development. Following the debt receipt, cash rose to approximately A$36 million on 7 October. The company says the senior facility funds Qala Shallows through to its planned steady-state production rate, but the project remains in a capital-intensive construction and development phase.
Gold output remains a development by-product
Gold recovered during the quarter fell to 112 ounces from 227 ounces in the June quarter. The output came from on-reef development ore toll-treated at Sibanye-Stillwater’s Ezulwini plant, rather than from the planned primary stoping operation. West Wits expects annual recovered production to rise from 10,000 to 15,000 ounces in 2027 to 42,500 ounces in 2028 and 70,000 ounces in 2029, when it is targeting a 70,000-ounce-per-year steady-state rate.
The company’s workforce grew to 507 people from 431 at the previous quarter end, with the eventual steady-state labour requirement expected to be about 1,100 personnel. Safety remains a material operational consideration after a fatal mud rush incident in June. West Wits said the South African Department of Mineral and Petroleum Resources completed its investigation, lifted operational restrictions and made no adverse findings against the company.
Bird Reef Central drilling adds a second growth thread
Alongside the Qala Shallows build-out, West Wits is preparing a 17-hole, 5,750-metre diamond drilling program at Bird Reef Central, about four kilometres from the mine. The first rig is scheduled to mobilise by the end of November, with the staged program targeting uranium resource definition, higher-confidence gold resources and possible extensions along strike.
Bird Reef Central currently carries a JORC Mineral Resource of 117,600 ounces of gold at 2.66 grams per tonne, with about 65% classified as Measured or Indicated. The company also holds a broader Witwatersrand Basin resource of 7.24 million ounces at 4.0 grams per tonne. However, West Wits did not release its Project 200 Scoping Study after consulting the ASX because the production target relied heavily on Inferred Resources, leaving the larger growth case subject to further resource definition.
Bottom Line?
The immediate test is whether faster underground development converts into sustained stoping output from February 2027 without eroding the funding cushion before commercial production.
Questions in the middle?
- Can Qala Shallows sustain the September development rate as work shifts towards stoping and production access?
- Will the remaining senior debt and contingency facilities cover construction and ramp-up costs without additional equity funding?
- Can Bird Reef Central drilling establish a uranium resource while also lifting confidence in its gold inventory?
Sources
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Quarterly Activity & Cashflow Reports (opens in a new tab)Verified company source. West Wits Mining Limited · 27 Oct 2026 · westwitsmining.com
