Wiluna WMC Q3 results
• $41.9M net investment during the quarter
• Stage 1 on track to be commissioned in December 2021; targeting full production run rate of 120kozpa by end of FY2022
• Construction of concentrator continues; work is 90% complete and on budget. A further $4.1M in capital to beincurred from 1 October to completion
• Underground sulphide development ahead of schedule; +95,000 tonnes stockpiled and ready to process
• Stage 2 Feasibility Study continues; completion expected Q3 FY 2022
• Drilling returned multiple high-grade intercepts supporting the potential for higher grades in Stage 1
FINANCIAL, CORPORATE & ESG
• Mercuria Tranche 1 debt paid off in full on 29 July 2021
• Gold hedging contracts at 30 September 2021 were for 159,000oz @ US$1,820/oz (or ~A$2,526/oz), with a positivemark-to-market position of A$10.5M
• London Stock Exchange main board listing targeted for FY 2022
• Continued development and implementation of ESG platform
• Net cash inflow from operations (before corporate and treasury) for the September quarter was $11.0M, exceeding expectations
• Operations cash flow for the quarter derived from WMC gold production of 8,332oz (with 9,435oz of gold sold at an average price of A$2,514/oz) & additional toll treating of 38,106 tonnes third party ore
• The current free milling stockpiles are approx. 400k tonnes
WMC (WA Gold producer) are cash flow positive per recent Q3 '21 results
Triple bounce off $1 strong support levels this past week :)
Plenty of anticipated "positive news flow catalysts" in the pipeline over the coming months leading into early 2022 as they ramp up doubling of their Gold production output to 120,000oz+
Please DYOR as always..
WMC HIGH-GRADE DRILL RESULTS SUPPORT WILUNA SULPHIDE DEVELOPMENT
• More high grades from Happy Jack & East Lode confirm Wiluna as a high-grade gold mine:
HJRD00067: 3.72m @ 5.31g/t HJRD00075: 3.60m @ 7.22g/t HJRD00078: 3.53m @ 13.37g/t HJRD00080: 2.56m @ 5.56g/t incl. 0.30m @ 35.50g/t WUDD0074: 3.34m @ 10.16g/t WUDD0075: 5.70m @ 5.98g/t & 3.00m @ 5.12g/t & 13.20m @ 7.41g/t
WURD0169: 8.20m @ 6.28g/t & 23.16m @ 5.55g/t
WURD0172: 3.48m @ 7.36g/t WURD0177: 4.47m @ 9.99g/t WURD0179: 11.60m @ 5.90g/t WURD0207: 7.75m @ 13.27g/t
• Results from ongoing drilling received after the cut-off date for the in-progress Mineral Resource update; demonstrate potential to upgrade the Resource on an ongoing basis.
• Mineral Resource update on track for release in November, Feasibility Study and Ore Reserves anticipated March quarter 2022.
Goldie WMC now @ $1.055 +2.93% (market depth looks very healthy imo) so perhaps today is the day we trigger some bullish sentiment/momentum !?
dyor as always.. cheers tela :)
The ASX Metals & Minerals sector has been strong since the end of September.
As for the gold part of it, it's not just conspiracy theory that the US "Federal" Reserve manipulates the gold price down. It does because gold is in completion the the USD and the DOW.
So if other sections within it are strong, maybe silver stocks via their commodity part instead of their precious metals part are the way to go.
That creates a problem as silver in Australia is mined as a by-product of copper, lead, zinc and gold. Maybe Canadian stocks that have their projects in Mexico?
I don't know of any here. If anyone does, please let me know.
WMC *Mineral Resource Update
• Mineral Resource 4.51 Million ounces at 3.90 g/t at the Wiluna Mining Centre.
• Measured and Indicated (M&I) Resource increase of +28% to 2.73 Million ounces at 4.46 g/t at the Wiluna Mining Centre.
• High-grade 3.11 Million ounces at 5.81 g/t using 3.5 g/t cut off at the Wiluna Mining Centre.
• New Ore Reserve statement expected March 2022 ahead of commercial production from new sulphide underground mine with initial production December 2021.
• Wiluna Mining Centre gold endowment now 15,000 ounces per vertical metre in upper 600m.
The Wiluna Mining Centre is located in the Goldfields region WA & consists of a large, long-life open pit & underground mining operation.
Ahead of production beginning in December '21, Wiluna has updated the Mineral Resource for the project via roughly 175,000 metres of drilling.
Wiluna’s Mineral Resource now sits at 4.51 million ounces at 3.9 grams per tonne (g/t) gold, including a High-Grade Resource of 3.11 million ounces at 5.81 g/t gold.
The company explained the Mineral Resource for Wiluna now includes the Wiluna deposits, the Matilda, Lake Way and Galaxy deposits, stockpiles, and tailings.
Additionally, the mine’s Measured and Indicated Resources increased by 28% to 2.73 million ounces at 4.46 g/t gold.
Wiluna added the project has a growing high-grade gold endowment of 15,000 ounces per vertical metre over three main gold structures with a combined strike length of over 10 kilometres.
Wiluna is targeting production of 52,000 ounces in FY21, before expanding to roughly 120,000 ounces per year by June 2022 and then 250,000 ounces by FY24.
Stockpiles of 100,000 tonnes of development ore are already ready for processing
through the concentrator, with first gold concentrate expected from January '22.
P.S. I reckon it's very plausible for WMC market cap to easily triple from here as Wiluna meets these production target's outlined meaning share price could easily reach $3-4 over the coming year's (or perhaps much much higher if Gold price skyrockets as well during this time)
Can you believe it !? WMC announced a trading halt last night for a capital raise :(
Remains to be seen how much $$ and who is eligible to participate in cap raising !?
Unfortunate timing given spike in share price these last couple of day's and AUD Gold shot up overnight +1.21%
P.S. Supposedly told they were fully funded to progress till stage 2 by mid next year sometime so this is a bummer/surprise :(
WMC private placement:
• Placement of A$53 million at A$1 per share
• Delphi Group maintains support with $17.85 million investment
• Mr Vladislav Sviblov joins the register as second largest shareholder with $15 million investment
• Polymetal International Plc, our alliance partner and a top-10 gold miner globally, becomes shareholder with A$7 million initial investment
• Five major shareholders maintain support, including our lead broker Arlington Group Asset Management Limited and their principal, Simon Catt
• Participation of Executive Chair Milan Jerkovic and Delphi Group subject to Shareholder Approval
• Capital raising will allow WMC to maintain momentum for its aggressive Ore Reserve development and exploration drilling.
P.S. Unfortunately it seems us retail holder's miss out altogether.. bummer :(