Westgold Resources generated an underlying cash build of $365 million in Q2, more than double the $180 million reported in Q1. This strong free cash flow was driven by higher realised gold prices and operational efficiencies across its Australian operations. Net of operational spend and corporate costs, the company’s treasury position—which includes cash, bullion and liquid investments—increased by $182 million during the quarter. This inflow funded the full repayment of the $50 million drawn balance on its corporate debt facility, leaving Westgold completely debt-free for the first time since 2019.

During the quarter, Westgold paid a one-off $76 million in stamp duty related to its acquisition of Karora Resources assets. The company also returned $29 million to shareholders through dividends and share buybacks, underlining its commitment to capital discipline. Despite these outflows, robust cash generation allowed continued investment in key growth initiatives without recourse to new debt, preserving financial flexibility for further expansion.

Operationally, Westgold achieved record quarterly gold production, driven by strong output at its Fortnum and Central Murchison operations, where mill throughput rose by 12% year-on-year. Coupled with disciplined cost management, the company realised a record average gold price, benefiting from favorable customer contracts and hedging strategies. These factors combined to improve operating margins by approximately 350 basis points compared to the prior quarter.

Westgold invested $60 million in its flagship Matilda operations expansion and $6 million on exploration and resource definition drilling across its West Pilbara tenements. These investments are expected to add 150,000 ounces per annum of production capacity by 2028. Management highlighted that current drill results at the Tuckabianna prospect have returned intercepts up to 8 grams per tonne over 5 metres, reinforcing the potential to extend mine life and underpin long-term cash flow generation.