Obviously a fairly logical move, if they can even prove up just 50k of U/G ounces, that would be a nice boost to production (say 25k extra for 2 years) for what I can only assume will be minimal capex considering there is already U/G access. Could of course be more than 50k ounces...
I must say, this section is quite cryptic.... why would they truck ore which is 1km from the plant, 100km up the road???
Make more sense if it went to GCYs plant!Unless they plant to sell/close the plant?
Perhaps... something left of field. Would WGX potentially sell Tuckabianna (its not an old plant) to a developer, who is likely able to pay a very good price, compared to the $10m WGX paid, due to the insane cost increases for capital projects? It would reduce WGX production profile by almost 100k p.a, but... also reduce their AISC due to it being the highest cost plant they have (that... is a guess, perhaps you can sleuth it out @Joelstar?)
I sort of feel it gives credence to my very... to date wrong, view that WGX wanted Dalgaranga as a full replacement for Tuckabianna. Not simply to siphon off their excess ore. We will see....
In the end, it just looks like a good move.... keep it coming WGX.
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westgold resources limited.
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Price($) | Vol. | No. |
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2.960 | 10000 | 1 |
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