West Wits Mining Limited
West Wits Mining Limited
Full text is available to Level 2 subscribers only
Subscribe to Mining Business Media
Full access to Mining Business Media's unique blend of global mining sector news and commentary is available by subscription only.
$A275.00 per year*
(*up to 10 users)
GST included in Australia
Direct debit/cheque/credit card:
Click here
Subscription inquiries, email subscribe@miningbusiness.net or call 61+413 772 044.
Related Content
An independent scoping study has confirmed the pathway for rapid development of West Wits Mining’s 3.65Moz gold JORC resource Witwatersrand Basin project in South Africa.
MD Jac van Heerden says it has provided the motivation for the Australian-based explorer to move directly to a BFS commencing in Sept on the initial underground target area on the Kimberley Reef East package.
The Bara Consulting study confirmed a development strategy to produce 50,000-60,000ozpa at steady state production.
Australian-based WWI is confident of reaching production and processing targets at its Witwatersrand Basin gold operations in South Africa in May after a difficult two months in which above-average rainfall and a processing plant bottleneck impacted production.
Although the shortfall meant the mine's cash-flow failed to cover costs, WWI said it was left with about 4,450t of stockpiled ore that would generate additional revenue in the current period.
(REGULATION) West Wits Mining takes the next steps towards its growth as a junior miner in South Africa with the acceptance by the mining regulator of its application for mining rights over its Witwatersrand Basin project.
WWI forecasts a substantial increase in gold production by the Dec 2018 qtr from its Witwatersrand Basin project in South Africa through its plans to apply for two small-scale mining permits.
South African law allows up to 2 mining permits under 5ha in the project area.
Provisional figures show WBP high-grade ore production of 12,000-15,000t in Jan, with net cash flow at the upper end of its $A200,000-250,000 target.
Achieving the second successive month of positive cash-flow at its Witwatersrand Basin project in South Africa has impelled WWI to commence permitting processes for a second openpit project.
WWI's W1 project is producing around 1,000oz/month for gross cash-flow of $A0.4-0.5M.
WWI will carry a unique advantage as it joins the exploration rush for "Witwatersrand-style" conglomerate-hosted gold mineralisation in Western Australia's Pilbara region.
The Australian-based explorer, which currently produces gold at its Sol Plaatje project in South Africa's Witwatersrand Basin, will finalise the acquisition of privateer Northern Reserves and its Mt Cecilia project within days.
WWI will become the first ASX-listed gold explorer holding conglomerate-hosted projects in both regions.
WWI is aiming to rapidly scale up production from its Sol Plaatje project in South Africa's Witwatersrand Basin project, with 33,000t of high-grade ore processed at the Ezulwini gold plant since production recommenced in late June.
Average high-grade ore processing reached 3,500tpw in Oct, near its targeted maximum, from 1,588tpw in Aug.
Forecast SPP cash-flow is $A200,000-260,000/month (WWI share 60%).
While cash-flow will fund Sol Plaatje, WWI aims to fund its Mt Cecilia conglomerate gold project in Western Australia via a $1.75M placement and share purchase plan.
Australian-based WWI is nearing first cash-flow after reaching 10,000tpm monthly production rate at its 65%-owned Sol Plaatje gold project in Johannesburg, South Africa.
WWI says likely monthly payments of $A155,000-175,000 under its toll treatment agreement at Sibanye's Ezulwini process plant will enable it to focus on further opencut opportunities and exploration to expand its 1.374Moz JORC resource.
The company has also received the first half of a $145,000 in-principle settlement with former SPP contractor Mintails Mining
WWI has reached agreement with South African gold leader Sibanye to process reef material from its Sol Plaatje project, with first ore already trucked 40km to the Ezulwini gold process plant for treatment starting Aug 1.
The companies have agreed on a 5,000-10,000t logistics and processes trial before signing a minimum 12-month contract.
Chairman Michael Quinert says the Sibanye deal is an excellent outcome for WWI, with reduced crushing costs and the cost recovery-profit share terms substantially lower than the project's previous contracts.
WWI has resumed full production at its 65%-owned Sol Plaatje gold project within the Soweto Cluster in Johannesburg, South Africa and expects to finalise its assessment of contract processing alternatives within days.
Exec chairman Michael Quinert says the change to head contractor Elandinwave gives WWI more control of the project and great confidence in its ability to build up to 15,000tpm. First ore processing and sale is expected within two weeks.