West Wits Mining Ltd (ASX:WWI, OTCQB:WMWWF) earlier this week confirmed it has raised 12.50 million US dollars to support the development of the Qala Shallows project in South Africa. Chairman Michael Quinert joined Proactive to explain.
Highlights
- West Wits Mining raised 12.5 million USD, part of a wider 35 million USD facility, to complete development at Qala Shallows.
- Michael Quinert said this represents the “icing on the cake” and allows the company to move full steam ahead with development.
- Gold price strength supports margins, with all-in sustaining costs around 1,280 USD per ounce.
- Production is on track, with first gold pour expected in Q1 2026 and peak production forecast at 70,000 ounces per year.
Annual report highlights
- Increased ownership of Qala Shallows to 74%.
- Secured a 50 million USD bank facility.
- Raised 32–33 million AUD in capital over the past year.
- Market capitalisation has doubled or tripled year-on-year.
- Exploring restart of Central Rand uranium-gold project and feasibility work on Project 200.
The company said the capital is part of a broader 35.00 million US dollar facility and represents the final funding required to complete the development phase. Chairman Michael Quinert described the raise as “the icing on the cake that enables us to go full steam ahead.”
The company told investors that site activity is already advancing at pace. Quinert said West Wits Mining remains on schedule and may even be ahead of internal timelines. Ore extraction is expected to commence within weeks, with initial gold processing deferred until sufficient stockpiles are built. The company highlighted that it remains on track for a first gold pour in the first quarter of 2026, with output ramping up towards peak production of 70,000 ounces annually.
Gold price environment supports margins
The recent strength in gold prices has been favourable. The company noted that its all-in sustaining costs are around 1,280 US dollars per ounce, providing resilience against potential corrections in the gold market. Quinert said that any sustained price increases will flow directly to the bottom line in the form of additional free cash flow.
Annual report achievements
The company’s latest annual report set out key milestones achieved over the past year. West Wits Mining increased its ownership of Qala Shallows to 74% following a buyback, completed documentation for the new facility, and retained optionality through a 50.00 million US dollar bank arrangement. In addition, the company raised approximately 32.00 to 33.00 million Australian dollars in new equity, while its market capitalisation has expanded to two to three times the level of the prior year.
Growth opportunities beyond Qala
Management also highlighted the potential to advance other opportunities. These include the restart of the uranium-gold project in the Central Rand and feasibility work on Project 200, which is aimed at expanding the Qala operation into a larger-scale development.
Outlook
West Wits Mining said it will continue to deliver on upcoming milestones, with a steady build-up of ore production and a transition into gold production in early 2026.