The good news. Silver Lakes AISC should be lowered quite a bit...

The good news. Silver Lakes AISC should be lowered quite a bit this quarter.!

Unfortunately Silver Lake reporting is average to say the least, but if you look at the extracts from Westgold (Westgold are behind the 8 ball, come on line in June) you can see Silver Lake have done it and have installed gas generation.! This should lower costs from here on in.
( We can only assume that Silver Lake diesel costs rose by 80% as well.)

Deflector ▪ Quarterly gold production of 27,495 ounces and 228 tonnes of copper (28,397 ounces gold equivalent) for year to date production of 55,294 ounces gold and 501 tonnes copper (57,276 ounces gold equivalent)▪ Quarterly gold sales of 26,846 ounces and 211 tonnes copper at an AISC of A$1,859/ozfor year to date sales of 53,936 ounces gold and 457 tonnes copper (55,747 ounces gold equivalent) at an AISC of A$1,695/oz▪ New gas fired power generation units commissioned, with Deflector site power generation now capable of 100% natural gas



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Westgold Resources Limited (ASX: WGX – Westgold or the Company) is pleased to report its financial results for the half-year ended 31 December 2022. Westgold Managing Director Wayne Bramwell said:“During financial year 2022 (FY22) industry cost pressures reached an all-time high. In comparing costs in H1 FY23 to costs in H1 FY22, Westgold saw the price of diesel rise by 82% and material price increases in ground support, explosives, flights, accommodation, and food. These factors drove a 17% cost increase across these two periods.In H1, FY23 Westgold made significant changes to the business to address cost inflation. As such the comparison of the business between 31 December 2022 (H1 FY23) and 31 December 2021 (H1 FY22) is difficult, as our operations have been greatly streamlined for FY23


Westgold - Clean Energy Transition (CET) Project Under Westgold’s Clean Energy Transition (CET) Project, electricity supply at the Tuckabianna processing hub, Big Bell underground mine, Fortnum Gold Operation (plant, camp and Starlight underground mine) and Bluebird processing facility (including the camp and Bluebird underground mine) will be provided by four new gas-fuelled power facilities supplemented with solar and battery storage.The new power facilities are being constructed under a build-own-operate Electricity Purchase Agreement with independent power provider Pacific Energy Limited (PEL). Gas fuel is being provided under an LNG Supply Agreement with Clean Energy Fuels Australia (CEFA). The new facilities will sequentially replace the existing diesel-fuelled power plants from June to October 2023 with substantial savings in power costs (approximately $75/oz at prevailing diesel price) and a significant reduction in greenhouse gas emissions.Tuckabianna, the first of the four new facilities, remains on-track for commissioning in June 2023. Westgold has completed its civil works scope to prepare compacted pads for the power station, LNG facility and solar array. PEL has completed concrete works and construction of the solar farm has commence