19 Westgold Resources Limited Annual Report 2024 FULL EXPOSURE TO THE GOLD PRICE At the end of the financial year, Westgold had no derivative contracts outstanding and so entered FY25 as a significant and 100% unhedged Australian gold producer, fully leveraged to the resurgent gold price. At the time of this report the record price of gold was ~A$3,800/ oz, as investors turned to the relative safety of gold against the backdrop of continuing global instability. At the start of FY24, the Group had in place 30,000oz of zero cost collars comprising put options at $A2,700/ oz and call options at $A3,340/oz for deliveries of 2,500oz per month from July 2023 to June 2024, subject to the put and call being struck. This strategy protected the downside of gold price volatility with the put option only being triggered if the gold price were to fall to A$2,700/ oz. The upside on this small volume of production was also capped and again, only triggered if the gold price hit A$3,340/oz. During the year, a total of 10,000oz of call options were struck at A$3,340/ oz. The Zero Cost Collars concluded at the end of 30 June 2024.
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