WPG Resources (ASX: WPG) producing gold

WPG Resources, with a track record of delivering value to shareholders, is ramping up gold production to a planned ~70,000ozpa from two recent South Australian acquisitions – the Challenger Gold Mine, for which operations restarted in May after the acquisition from Kingsgate and which is a prime turnaround opportunity, and Tarcoola, from which it is planned to truck ore for treatment at Challenger and is expected to commence production very soon upon receipt of the final approval. There is upside potential in exploration properties, both 100% held and in JV, with discoveries on these potentially providing future ore for Challenger, in addition to any near mine discoveries and expansions of current mine resources. The regional exploration potential has been demonstrated by the announcement yesterday by Tyranna Resources of an exploration target of 157,000 to 771,000oz of gold for their Jumbuck Project, which is partly held in JV with WPG. Timing is ideal to take advantage of the healthy AUD gold price, and to read IIR’s report on WPG, which ascribes a mid-point valuation of $0.114/share please click the link below.