West Wits Mining achieves key milestones at Witwatersrand Basin Gold Project
Last updated: 10:39 21 Feb 2024 AEDT, First published: 08:23 03 Oct 2023 AEDT
Snapshot
- West Wits Mining notes funding progress at Witwatersrand Basin Project’s Qala Shallows
- West Wits Mining's scoping study production model highlights Witwatersrand Basin Project long-life potential
- West Wits Mining raises $1.2 million to advance Qala Shallows
About the company
West Wits Mining Ltd (ASX:WWI) is an exploration and development company targeting gold in two prolific regions, Witwatersrand in South Africa and the Pilbara in Australia.
The company aims to transition to a mid-tier gold producer from its flagship project in South Africa’s Central Rand Goldfield, the Witwatersrand Basin Project (WBP), which contains a JORC-compliant mineral resource of 4.28 million ounces of gold at 4.58 g/t.
West Wits is also targeting gold, volcanogenic massive sulphides (VMS) and manganese at its Mt Cecelia Project in the Paterson Province region of Western Australia’s East Pilbara, having entered into a joint venture term sheet with Rio Tinto subsidiary.
How it is doing
West Wits Mining Ltd (ASX:WWI, OTCQB:WMWWF) advises that the Industrial Development Corporation of South Africa (IDC) has commenced its due diligence process for the Qala Shallows Project near Johannesburg — essential for finalising funding terms, mobilising resources and initiating operations.
The Qala Shallows project, within the 4.28-million-ounce gold Witwatersrand Basin Project, is supported by a comprehensive definitive feasibility study (DFS).
It is expected to produce nearly 1 million ounces of gold over a 17-year lifespan, with a steady state annual output of more than 70,000 ounces at a cost below $900 per ounce.
The IDC has started work to complete its due diligence investigation as part of its proposed ZAR300 million (A$24.2 million) debt facility to fund development capital for Qala Shallows.
West Wits Mining Ltd (ASX:WWI, OTCQB:WMWWF) has received formal acceptance of its new prospecting right application, PR10839, adjoining the company's existing mining right at the Witwatersrand Basin Project, south of the Qala Shallows operation in South Africa
In addition, the company is also pursuing another PR application, PR10730, which is under consideration by the DMRE.
The term 'head grade' is pivotal in the lexicon of mining operations, signifying the average concentration of valuable metals or minerals within ore that is delivered to a mill for processing.
It is the gateway figure that heralds the potential profitability of a mining project and stands as a sentinel at the crossroads of exploration and economic viability.
Insight: West Wits Mining's scoping study production model highlights Witwatersrand...
West Wits Mining Limited (ASX:WWI)’s scoping study production model has indicated the potential for a long-life at the Witwatersrand Basin Project (WBP) on the northern edge of the Witwatersrand Basin southwest of Johannesburg, South Africa.
Results have indicted the potential to turn the project into a long-term gold producer with average steady state annual production of 80,000 ounces for 18 years over a 20-year mine-life.
What management says
West Wits Mining Ltd (ASX:WWI, OTCQB:WMWWF) chairman Michael Quinert speaks with Proactive after the company raised $1.2 million to support the installation of utility and infrastructure, site management and production planning at Qala Shallows, part of Witwatersrand Basin Project in South Africa. West Wits expects the project to transform the company into a long-term gold producer and it has ambitious plans for the project with the development of three mining reefs: the Main, Kimberley, and Bird Reefs.
Proactive Research
West Wits Mining Ltd (ASX:WWI) has received a buy recommendation, a share price target of A$0.054 base case price target and $0.076 optimistic case share price target in Pitt Street Research's initial coverage of the mining company.