Thanks very much. All right. Just two seconds. Here we go. Yeah, thanks, everyone, for listening. I know this is the last presentation before morning tea. I'll skip through as quickly as I can. I'm sure there's a few hungry people out there. I'd just like to thank the Diggers team again. This is, I think, our 17th Diggers consecutively. It's 20 years really since I started WAF. Overnight success, 20 years in the making, literally. In the last decade, we've gone from a junior explorer into a mid-tier producer, which is pretty unusual for explorers. Here's a really good summary, actually. There's the M5 open pit in the background. Our guidance for this year is between 430,000 oz and 490,000 oz. Look, I reckon that's pretty conservative.
If we had full access to explosives and we could bring the underground on at M5 a bit earlier, I'm pretty sure we could do more than 500,000 oz this year. We'll do our best. We're tracking to the middle of guidance at the moment. We've got nearly 14 million ounces in resources, 7 million ounces in reserves. We've got a 10-year production target of over 5 million ounces now. As of last quarter, we're on a 500,000 oz per annum run rate, which is exceptional effort from our team. We do have over 1,000 sq km of permits in Burkina. We're only in Burkina. A market cap of AUD 3.3 billion, with about AUD 1.1 billion in cash and gold at the moment. If you have an appetite for exciting destinations, I suggest you hop into WAF and grab a few shares. All right.
There's the team. The team's obviously grown a lot over the last few years. We've got a very balanced board, an exceptional sort of range of managers beneath the board as well. The board's very well supported by an exceptional management team. The projects are in Burkina, in the southeast of the capital. Touch wood, we've had no security incidents around our projects since we've been in operations. I'll talk about our sort of philosophy for protecting our workforce and also our local partnerships around our projects, which is an integral part of our multilayered security sort of strategy. Look, I think we're setting the pace for mid-tier producers now. I think we were the highest producer out of the mid-tier group on the ASX last quarter. Like I said, I think we're tracking really nicely to guidance.
I think we can be towards the upper end of guidance if a few things free up in Burkina. We've been struggling to get enough explosives. Fortunately, Kiaka is a very new project, and we can move the mine plan around a bit and access free dig material still. We reported that in the last quarterly. Also, we're still waiting on our permit for the second underground mine that we're starting, which is at M5 South. I'll talk about that in a minute as well. Production year to date, just over 230,000 oz at less than AUD 1,900 gold. We're tracking quite well on cost as well. We're doing a heap of drilling.
One of the things we have done in the last few years is we've actually gone out and we've bought our own drill rigs again, and we've manned up a full drill team. That sees us drilling over 100,000 m of RC and core drilling across our projects annually, and that'll just continue on. Given our cash balance, we are reviewing our capital management options, and that might look like a special dividend to shareholders. The first one. We might look at buying back shares if we see weakness in the share price. That will be decided later this quarter. Thank you. Yep. Okay. 10-year production target. Peaking at 596,000 oz in 2030. Again, I think this is conservative, given what we've seen of the production out of Kiaka so far. We have had days where Kiaka has done over 40,000 tonnes.
I'm no mathematician, you times that by about 350 days, and that gets you to close to 14,000 tonnes per annum. Currently, our budgets are at 10 million tonnes per annum. I think with some tweaking, we can get Kiaka up to 12 million tonnes- 14 million tonnes per annum consistently. We know the resource is enormous, and it's low strip ratio. We've got a full brand-new fleet of diggers, trucks, all the gear from Caterpillar. Did I say Caterpillar? See the boys later on. I've got to talk to them about a boat engine. I mentioned the drilling that we're doing, and that's across all of our projects. I think what we've managed to do in the last few years is really targeted drilling.
This 10-year plan, which I think we're setting the standard for other mining companies in producing plans like this, it's backed by an enormous amount of drilling. Here's a shot of Kiaka in the daytime. It's an exceptional mine. We actually had our insurance underwriters, engineers come through the project recently. On that report, they told us that it was the best mine they have seen, period. We're very impressed by that, and we agree with them. Currently, Kiaka's still 85% owned by WAF. However, if you've been following the news, last year, the government realized we did such a magnificent job building Kiaka, they'd like to have another 25% of it. We've been in a negotiation with them for the last year. That's sort of finalized now.
The government's determined that they'll pay us AUD 175 million for 25% of Kiaka, which is a very good deal for the government of Burkina Faso. We should have that wrapped up and documented by the end of Q4 this year. It is a detailed process, but It is what it is, right? We're working our best with the government to get a good outcome. 16-year project. It's a very low strip ratio. It's 1.4:1 strip ratio. We're getting 93% recovery at the moment. The life of mine recovery when we started the project was 89%, so it's actually performing a lot better than what we expected. I've already mentioned that I think the potential to increase production here, a 10-year production target of over 277,000 oz, and I think that's conservative. What does it look like in long section?
I wanted to drop a long section in here because it's a very impressive ore body. It's about 2 km long, and the pit will go down to about 400 m at a very low strip ratio. I won't read off all the results there because I've not got my glasses with me, but I can see one at the bottom, which is 55 m at 4 g, open at depth. To make a one-gram ore body or a 0.9-g ore body, you actually do need to have some grade in there as well. Clearly this is only constrained by depth of drilling. The dark-shaded pit is ore reserves, which I think is about at AUD 2,000 an ounce, and then we've got the resource pit beneath that at AUD 3,000 an ounce. I can see this mine going for decades.
At some point, it will go underground, I'm sure. Sanbrado, which is our flagship operation, this is our discovery from 2016. We brought that into production in 2020. It's an exceptional project and we were probably, well, I thought we were a bit behind guidance coming into the end of Q2 in June. We had lots of companies come through and tell us, "Oh, you'll never get the tons out of it. The grade won't reconcile." I can tell you right now, it is an exceptional ore body. That ore body ran at 1,000 oz a day for about three weeks, we ended up sort of over guidance, so within three weeks of operations on that project.
Again, it's got a very long mine life, a function of the amount of drilling that we've done, and also some smart acquisitions in bringing in Toega. The haul road to Toega is now complete. We're stripping Toega at the moment, we expect to process first ore from Toega in Q1 next year. It's open in all directions at Sanbrado. The deposits that we get in West Africa are just exceptional. Very, very strong ore shoot plunge control, you can see that at M1 South and also at M5 South. We've got our own drill rigs on this at the moment. We've actually just recently extended mineralization by 400 m depth at M5 South. We're basically waiting on the final tick from the government to start underground mining there.
We've driven the exploration drive all the way from M1 South across to M5, so over 1 km. We've punched through the ore body. It's there. It looks magnificent. Again, just to talk to the scale of these deposits, this is over 2.5 km in strike. At that sort of southern end, you can see we've been pretty busy doing some drilling. We've done a lot of infill drilling to bolster the first few years of production, with results like 29 m at 16 g. That's not from M1 South, that's from M5, and M5 is one of our lower-grade deposits. Again, at depth, you can actually see there was some butt-clenching moments when we'd started drilling at depth because all of our deposits have had such strong ore shoot plunge control.
I said, "Boys, let's just knock some holes in it a kilometer. We'll be fine." The first five holes didn't hit anything. The sixth hole actually hit mineralization, we were kind of a bit relieved after that. At depth, we've hit 900 m at 4.9 g, 27 m at 6.0 g. Again, it kind of talks to the consistency of these ore bodies. Again, just to the north, we've been drilling at the northern part of M5. We've added more reserves there, and we'll end up cutting that pit back as well. It's a very long life, consistent operation. All we need is one of these structures at depth to roll over, and it could blow out, and you could end up with a Loulo-style ore body.
Loulo's a world-class ore body in Mali, for those who are familiar with it. Our people are key to our organization. When I started WAF, I think we had three people. When we made our discovery a few, well, 10 years ago, I think we had about 25 people. Now we're kind of 3,600 in the group. We've also taken on owner mining recently, so for surface. Nearly 2,500 employees are directly employed by WAF. We're putting a lot of effort into our training. We've had our first cohort of graduates from our university scholarship program, so that's been running for four years. Employed our first geologist from that program, which is magnificent. We've currently got about 20 people who are either in the program or have finished the program. We've expanded that to eight students per annum from Sanbrado, Toega, and also Kiaka.
Lots and lots of training being done on-site to Australian standards. At vocational, it's really focused on practical training, so we can bring some of our local people into, well, people who live in the surrounding areas from our mine sites, bring them in and give them proper jobs. We're a super safe mine as well. Comparing our safety record to Western Australia, which is, we benchmark ourselves against Western Australia. We've got a TRIFR of 1.26 versus the West Australian gold industry of 5.7. We're doing all these external audits to ISO 45001 standards. We've got dedicated OHS teams on sites. We've got ERT teams on sites, and we brought our ERT team here a few years ago, and they came fourth in the MERC Awards or MERC Competition.
We've got a multi-layered strategy for keeping our people safe, that involves local partnerships, working with the government and their organizations. Thankfully, we haven't had any issues in the areas around our projects since we started operations. Again, we're a huge contributor to the Burkina economy, we've paid the government of Burkina directly $771 million since we started operations in 2020, which is meaningful. You can see in the photos there, we've got some livelihood restoration projects going on. We've donated a lot of medical supplies to local hospitals, we do school lunch programs and other sort of programs which are really focused on, from my perspective, on education, which is really important. Again, education and training, we've built and refurbished schools. We partnered recently with Oryx is our fuel supplier.
We've done these batteries and solar panels for schools as well. Again, lots of livelihood work as well. One of the wonderful programs we've done is help the communities surrounding our projects with agricultural programs, and in particular with moringa, which is a superfood. It's high in vitamins, minerals, and antioxidants. It's probably something you need after a big night at the York last night. Our agricultural programs where we're growing tree seedlings. That's the word I was looking for. The seedling projects as well. We've done over 80,000 trees that have been either donated to communities around our projects, or we've used them in rehab as well on our mine sites. Just to summarize, we're a quality team. We've been at this for a long time now in West Africa. We've got deep rural partnerships in Burkina.
We've also had five years of meeting or beating guidance, which has been an exceptional effort from our team, given the challenges that we have faced. We've built the company into, I think, a world-class, mid-tier gold producer with 7 million ounces of unhedged reserves, nearly 14 million ounces of unhedged resources. Like I said, with ESG, we've been working on our partnerships, creating jobs, supporting businesses. We're investing in communities around our projects, which is really, really important, and it really forms part of that, the security program that we have to keep our people safe as well. If you engage with your local community, you find out when things aren't right a lot earlier than you would if you don't. Look, we've had very, very strong cash flow, over AUD 1 billion in cash and gold at the end of the June quarter.
We will look at either returning some of that back to shareholders or buying back shares. We haven't finalized our capital management program yet, we'll work on that later this quarter. We've already hit 500,000 oz run rate per annum. I think we've demonstrated that we'll have a long life, half a million ounce production future in front of us. Thank you.
Thank you, Richard.