Two S&P/ASX 200 Index (ASX: XJO) gold stocks are racing ahead of the benchmark today following the release of attention-grabbing news.
Gold Road Resources Ltd (ASX: GOR) shares are up 2.0% at $3.00 apiece after the miner reported that it has completed the underground exploration target review at its Gruyere Gold Mine in Western Australia.
And investors just sent the West African Resources Ltd (ASX: WAF) share price up 4.3% to $2.17 today on the heels of the company's production update from its Sanbrado Gold Operations.
Here's what's happening.
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Gold Road shares lift on study completion
Starting with Gold Road, the ASX 200 stock said its underground exploration target estimate was derived from the results of a scoping study completed by SRK Consulting.
Gruyere is a 50:50 joint venture (JV) together with Gold Fields, which manages and operates the Gruyere Gold Mine.
Gold Road said the study had outlined a sub-level cave underground mining option, determined at an AU$2,240 per ounce gold price, and capable of sustaining Gruyere production at scale.
The initial infrastructure capital cost was estimated to be $470 million, while total infrastructure capital was estimated at $588 million (on a 100% basis).
Gold Road said it now has sufficient information to calculate an exploration target.
The ASX 200 gold stock noted that the Gruyere underground exploration target estimate ranges from approximately 25 to 31 million tonnes at 1.20 to 1.47 g/t Au for 1.0 to 1.5 million ounces (on a 50% basis).
Management stressed that there is no certainty that further exploration work will result in the determination of a Mineral Resource.
The Gruyere JV has committed $26.4 million for a 60,000 metre drill campaign, scheduled to be completed by mid-2026.
Commenting on the study results helping to boost the ASX 200 gold stock today, Gold Road CEO Duncan Gibbs said:
As Gold Road has long maintained, the underground mining potential has the ability to transform Gruyere into a multi-decade life mine and is expected to add material value to the Gruyere JV and Gold Road shareholders.
The results of this underground study, coupled with the commitment of $26 million from the Joint Venture to confirm the orebody at depth, take us another step closer to realising the long-term value of mining operation at Gruyere.
Which brings us to…
ASX 200 gold stock lifts on full-year guidance
West African Resources is also grabbing investor attention this morning after the ASX 200 gold stock reported first-quarter gold production of 50,033 ounces.
Gold sales for the three months came to 48,338 ounces at an average price of US$2,832 per ounce.
West African said its open pit mined ounces in Q1 were consistent with the December quarter, while underground mined ounces increased by 7%.
The miner's contained gold in ore stockpiles increased by 34% or 20,600 ounces over the quarter.
Looking ahead, management said its Sanbrado production centre looks on track to achieve 2025 guidance of 190,000 to 210,000 ounces of gold at a site sustaining cost of less than US$1,350 per ounce.
Commenting on the quarterly results helping lift the ASX 200 gold stock today, West African CEO Richard Hyde said:
Sanbrado has had a solid start to 2025 with gold production of 50,033 ounces in Q1. WAF remains on track to achieve our annual production guidance of 190,000 to 210,000 ounces in 2025.
