West Wits Mining Secures New Funding in Preparation for Ore Production at Qala Shallows

West Wits Mining Ltd (ASX: WWI) has received firm commitments to raise A$1.4 million, before costs, at A$0.013 per share.

Funds raised will be used for Qala Shallows site maintenance, engineering and production planning, project finance activities and due diligence.

Qala Shallows is a cornerstone of the Witwatersrand Basin Project, and is positioned to be a transformative force within South Africa’s Central Rand Goldfield.

Witwatersrand has the potential to transition West Wits into a long-term gold producer, through the development of three mining reefs.

These are known as the Main, Kimberley and Bird, with Qala Shallows situated on the Kimberley Reef.

The project hosts 4.28 million ounces at 4.58g/t gold.

Qala Shallows confidence

Michael Quinert, chairman, commented:

“The strong support for this placement underscores our confidence in the Qala Shallows gold project as we push to secure project funding to facilitate commencement of mining.

“With ore production scheduled only 6-8 weeks from commencement investors recognised the opportunity to gain exposure to near term production in a surging gold price environment.”

A Definitive Feasibility Study on Qala Shallows delivered an all-in-sustaining-cost of US$977 per gold ounce for the life-of-mine, which is 18 years.

Gold produced would be 924,000 ounces, with a steady state of production of 70,000 ounces annually over nine years.

The importance of Witwatersrand

The Witwatersrand Basin is a largely underground geological formation which surfaces in the Witwatersrand.

It holds the world’s largest known gold reserves and has produced over 1.5 billion ounces, equivalent to 40,000 metric tons, which represents about 22% of all the gold accounted for above the surface.

 

Disclaimer

JustStocks provides data and commentary that constitutes general information only. This does not constitute personal, financial or professional advice or assistance. The data and information compiled do not consider your investment objectives or your financial circumstances. JustStocks cannot guarantee this website’s accuracy, completeness, or timeliness. JustStocks accepts no responsibility regarding any inaccuracy, omission, or change in information or articles or the data provided. The information published on this site/page should not be relied upon as a substitute for personal financial or professional advice. The information provided may not be appropriate for your circumstances or needs. JustStocks recommends that you seek professional advice from a qualified advisor before you make any decisions.

Articles of Interest