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Highlights

  • Westgold shares rose 7% to AUD 2.95 following the release of its FY26 production and cost guidance.

  • FY26 gold production is forecast between 345,000 and 385,000 ounces, up as much as 18% from FY25.

  • Westgold plans to invest AUD 270 million in growth projects, including major developments at Bluebird-South Junction and Great Fingall.

 

Westgold Resources Ltd (ASX:WGX) shares are in rally mode on Thursday, climbing 7% to AUD 2.95 in morning trade, despite the ASX 200 index slipping 0.15%. The surge follows the release of the company’s FY26 production and cost guidance, which has been positively received by investors.

Production Outlook for FY26

In its latest update, Westgold announced FY26 production guidance of 345,000 to 385,000 ounces of gold, representing a 5.7% to 18% increase on the company’s FY25 production. The bulk of this output—between 330,000 and 355,000 ounces—is expected to come from its core Westgold assets, while 15,000 to 30,000 ounces are anticipated from processing third-party ore.

However, the company cautioned that production will be back-end weighted, with the majority expected in H2 FY26. This timing reflects the planned ramp-up of key operations at Bluebird-South Junction, Great Fingall, and third-party ore sourcing arrangements.

Cost Guidance and Capital Investments

Westgold also released its FY26 all-in sustaining cost (AISC) guidance, estimating a range of AUD 2,600 to AUD 2,900 per ounce. This compares to an AISC of AUD 2,666 per ounce in FY25, reflecting ongoing operational efficiency efforts.

The company plans to invest AUD 270 million in non-sustaining capital in FY26—a 35.5% year-on-year increase—with a focus on long-life growth projects in the Murchison region. Specifically, major allocations include:

  • AUD 81 million for development at Bluebird-South Junction

  • AUD 97 million for expansion at Great Fingall

An additional AUD 50 million has been earmarked for exploration and resource definition.

CEO Commentary: Operational Scale Driving Returns

Westgold Managing Director and CEO, Wayne Bramwell, highlighted the company’s shift towards scale-driven efficiency and consistent delivery. 

He emphasised Westgold’s clear path to organic growth, a robust balance sheet, and full exposure to gold prices as key pillars in the company’s strategy to enhance shareholder returns and solidify its position as a leading Australian gold producer.