Name of the Project
Witwatersrand Basin Project (WBP) – Qala Shallows.

Location
At the northern edge of the Witwatersrand basin, in the Central Rand goldfield, south-west of the City of Johannesburg, in Gauteng, South Africa.

Project Owner/s
West Wits Mining.

Project Description
Qala Shallows forms part of the WBP. The project is the first stage of West Wits’ plans to develop the company’s extensive 4.28-million-ounce gold mineral resource estimate at the WBP. A definitive feasibility study (DFS) completed in 2023 determined that conventional breast mining in an underhand configuration is the optimal method for the deposit.

The updated results of the DFS have further enhanced the project’s promising outlook. 

The project is forecast to produce an estimated 924 000 oz of gold over its 17.7-year life span, maintaining steady-state output of more than 70 000 oz/y at an operational cost below $900/oz.

The two Kimberley reefs – K9A and K9B – will be processed during the life of the project. The Kimberley reef ore produced will be treated at an existing nearby plant on a toll treatment basis. A toll treatment agreement has been signed with the Ezulwini process plant facility and all ore produced will be truck-hauled to this plant, which uses the carbon-in-pulp process for gold recovery.

Potential Job Creation
The project is expected to generate about 1 000 jobs over its mine life.

Net Present Value/Internal Rate of Return
Based a gold price of $1 850/oz, the updated DFS estimates a pretax net present value, at a 7.5% discount rate, of $367-million and a pretax internal rate of return of 53%, with a payback of 4.1 years from the start of construction.

Capital Expenditure
The peak funding requirement is $54-million, which is substantially reduced at the prevailing gold price and rand:dollar foreign exchange rate, owing to higher revenue from production during the three-year mine development phase.

Planned Start/End Date
The mine is expected to take three years to develop.

Latest Developments
The project is fully permitted.
 
Critical infrastructure has been completed, as has the decline and boxcut rehabilitation.

Key Contracts, Suppliers and Consultants
Contracts adjudicated with key suppliers, including engineering, procurement and construction management, toll processing, mining contractor, underground equipment and explosives.

Contact Details for Project Information
West Wits Mining, tel +61 3 8692 9049 or email info@westwitsmining.com.