Deep Drilling at San Antonio Yields Gold Intercepts up to 5.03 g/t Au

• Significant gold intercepts from deep diamond drilling below San Antonio open pit
• Potential for steeply plunging underground mineralised shoots in monzodiorite host rock
• Ongoing 17,000m aircore and 3,200m RC/DD drilling targeting regional extensions
• San Antonio resource remains largely undrilled at depth, with further drilling planned
• Tomingley Gold Operations mine life extends beyond 2030 with underground expansion focus

Exploration Breakthrough at San Antonio

Alkane Resources Ltd (ASX: ALK) has announced encouraging results from recent diamond core drilling targeting the San Antonio gold deposit, part of its Tomingley Gold Project in Central New South Wales. The drilling has intersected multiple significant gold zones beneath the existing open pit resource, suggesting a steeply plunging mineralised system that could be amenable to underground mining.

Notably, drill hole SAR003D returned intercepts including 3 metres at 1.79 g/t Au from 273 metres, with a high-grade 2-metre interval grading 5.03 g/t Au from 416 metres. Similarly, SAR004D intersected 6 metres at 1.37 g/t Au from 711 metres, highlighting the potential for deeper mineralisation within the monzodiorite host rock. These results confirm the presence of subvertical shear zones and quartz shoots that warrant further delineation.

Geological Context and Resource Potential

The San Antonio deposit extends over a strike length exceeding 1 kilometre and remains largely untested at depth beneath the planned open pit. The mineralisation is hosted primarily within andesite volcanic units and an adjacent monzodiorite sill, with the latter showing promising inferred mineralisation domains. Alkane’s geological interpretation suggests that the mineralised quartz veins plunge steeply north, forming shoots that could be targeted for underground extraction.

With an existing Indicated and Inferred Resource of approximately 7.32 million tonnes grading 1.73 g/t Au (406,000 ounces), and a Probable Ore Reserve of 4.1 million tonnes at 1.6 g/t Au (214,000 ounces), the San Antonio deposit is a key component of the Tomingley operations. The recent drilling results add a new dimension to the resource potential by opening up the possibility of extending mine life through underground development.

Expanding Exploration Horizons

Beyond San Antonio, Alkane has recommenced regional exploration activities for 2025, including a substantial 17,000-metre aircore drilling program focused on buried volcanic rocks identified via drone magnetic surveys. Complementary reverse circulation and diamond drilling totaling around 3,200 metres will test targets such as El Paso and Tomingley Two, located within 7 kilometres of the processing facility.

Managing Director Nic Earner emphasised the broader potential of the Tomingley region, noting the multiple occurrences of gold mineralisation and the company’s commitment to identifying new mining areas alongside extending existing underground resources. The integrated exploration approach aims to sustain and potentially grow production beyond the current mine plan horizon.

Operational and Strategic Implications

The Tomingley Gold Operations currently process around 1 million tonnes per annum with a mine life extending beyond 2030. The addition of underground resources from San Antonio and Roswell deposits, supported by ongoing drilling and resource definition, could enhance production profiles and operational flexibility. Alkane’s methodical approach to grade control and resource modelling at San Antonio is expected to refine ore outlines and support future underground mining studies.

While these drilling results are promising, Alkane acknowledges that further work is required to fully assess the underground potential and to delineate high-grade shoots. The company’s exploration success at Tomingley continues to underpin its strategy to become a multi-mine gold producer in Australia’s Central West region.

Bottom Line?

Alkane’s deep drilling success at San Antonio sets the stage for a potential underground mining chapter that could extend Tomingley’s gold production well into the next decade.

Questions in the middle?

• How will upcoming drilling results at El Paso and Tomingley Two impact Alkane’s resource base?
• What are the timelines and capital requirements for developing underground operations at San Antonio?
• Could the newly identified steeply plunging quartz shoots significantly alter the current mine plan?