Page 45 - gmj142-Jan-Mar2-mag-web
P. 45

Confidence



               growing at




                West Wits




                      by Michael Washbourne



              resurgent West Wits Mining Ltd is confident the appeals
          A  against  its  recently  granted  environmental  approval  for
          the  company’s  Witwatersrand  Basin  gold  project  in  South
          Africa will be dismissed and a long-awaited mining right is just
          around the corner.
          West Wits was granted environmental authorisation by SA’s
          Department of Mineral Resources in June, but three parties
          have since appealed that decision. While those appeals were
          not unexpected and even foreshadowed by the Johannesburg-
                                                                                                  Jac van Heerden
          based company, the mining right application has been placed
          on hold until the Department of Environmental Affairs makes a
          ruling on the matter.                                and we know that there’s operations in the rest of the world
          Nevertheless,  West  Wits  has  kicked  off  a  new  drilling   operating on grades much lower than that.”
          campaign as it looks to continue the momentum the company   A  scoping  study  which  preceded  the  resource  upgrade
          has been building at the project through the second half of   supports the company’s ambition to produce 50,000-60,000
          2020,  headlined  by  the  addition  of  702,000oz  to  the  total   ozpa  from  Witwatersrand  Basin.  The  West  Wits  board  has
          resource base.                                       since pushed the button on a full feasibility study which is on
                                                               track for completion in Q2 2021.
          Speaking to GMJ last month ahead of an expected busy finish
          to the year, Jac van Heerden expressed his confidence in the   “We embarked on the scoping study to really give us a bit of a
          company’s ability to overcome the legal challenges.  road map for the project and we now know what the capability
          “Typically, the DMRE don’t normally issue an environmental   is of the whole area,” van Heerden said.
          approval if they don’t think there’s a high degree of success,”   “We’ve always said we’ve got four potential areas to mine and
          he said.                                             the scoping study gave us a list of priorities to focus on. We
          “As  our  legal  team  would  state,  it’s  almost  normal  practice   know that our first focus will be on the Qala shaft and our next
          here in South Africa that once an environmental approval gets   focus would be what we call the Main Reef and then we’ll move
          granted, then someone appeals against it. We’ve responded   back into the Bird Reef area.
          to the three appeals and we are expecting a positive outcome   “We’ve got a nice pipeline of projects coming up and we can now
          that will see our environmental approval get reinstated.   divide that into future exploration targets and future feasibility
                                                               studies.”
          “Once that opens, we suspect it’s a couple of weeks for the
          department to approve our mining right because we’ve ticked   Van Heerden, who was appointed managing director of West
          all the boxes to be issued one.”                     Wits in April after 14 months as chief executive of the company’s
          West Wits is currently drilling some key areas of the inferred   South African-based subsidiary, welcomed the support shown
          resource (14mt @ 3.7 g/t gold for 1.67 moz) which fall within   by investors in recent months which culminated in a $3.4 million
          the  first  five  years  of  the  mining  plan.  A  key  focus  for  the   placement that has boosted the group’s cash balance to the
          company is intersecting the K9A and K9B horizons that form   healthiest position it has been in several years.
          part of the Qala Shallows area which will underpin the early   “We’ve had good support from a big investor base, especially
          stages of production.                                loyal investors that have supported us through the years and
          Total resources at Witwatersrand Basin now stand at 35.1mt   hopefully now we’re in a position where their loyal support is
          @ 3.88 g/t gold for 4.7 moz, with the 0.48 g/t uptick in grade   paying off,” he said.
          proving to be a nice surprise for van Heerden and his team.  “I  think  our  investors  understand  the  hurdles  that  we’ve  got
          “We didn’t expect that, we thought the grade would remain the   to jump over, but this is a journey for West Wits and we look
                                                               forward to having those investors join us for the journey ahead.”
          same, so it was a nice little windfall for us,” he said. “It’s always
          nice to move into a feasibility study with a positive resource



                                                         Page 45
   40   41   42   43   44   45   46   47   48   49   50