PERTH (miningweekly.com) - ASX-listed Westgold Resources has reported a 29% increase in its mineral resource, and a 39% increase in its mining reserve at the Central Murchison gold project, in Western Australia.

The mineral resource has now increased to some 2.7-million ounces of gold, while the mining reserve has increased to 855 000 oz of gold.

Westgold was currently completing a definitive feasibility study on the Central Murchison project, aimed at the redevelopment of the area.

The development strategy was based on a base ore load sourced from two large underground mines which would be restarted. The ores would be supplemented with feedstock from historic tailings dumps and openpit ores.

The definitive feasibility study was contemplating a new 1.2-million-ton-a-year conventional gold processing plant, which would be constructed at the Big Bell underground site, where significant infrastructure already exists.

The benchmark production profile was considered to average around 100 000 oz/y with an initial eight-year life-of-mine.

The study was due for completion by June this year.

To subscribe to Mining Weekly's print magazine email subscriptions@creamermedia.co.za or buy now.