MinRex Resources reports encouraging rock chip sampling results from its Sunny Corner Au-Ag project, alongside strategic plans for expanded exploration activities. The company maintains a strong cash position of $9.46 million, underpinning its ongoing development efforts.
- High-grade rock chip samples up to 6.73 g/t Au and 298 g/t Ag at Sunny Corner
- Fifteen discrete targets identified with five prioritized for immediate follow-up
- Comprehensive exploration plans finalized for multiple prospects including Lagoon Creek and Mitchells Creek
- Sofala Project set for geological mapping and drill testing over historic gold workings
- Strong cash balance of $9.46 million supports continued exploration
Exploration Momentum Builds at Sunny Corner
MinRex Resources Limited (ASX: MRR) has delivered a robust quarterly update for the period ending 31 December 2024, highlighting significant progress at its flagship Sunny Corner Au-Ag project in central west New South Wales. The company reported high-grade assay results from rock chip sampling, with standout values including 6.73 grams per tonne (g/t) gold at Mitchells Creek and 298 grams per tonne (g/t) silver at Lagoon Creek. These results underscore the prospectivity of the region and validate the recent geophysical targeting work conducted by Merlin Geophysics.
The Sunny Corner project, spanning 189 square kilometres, remains largely underexplored by modern techniques. MinRex’s recent efforts have focused on integrating geological and geophysical data to identify 15 discrete mineral targets, with five prioritized for immediate ground reconnaissance. The fieldwork completed during the quarter involved 31 rock chip samples, confirming mineralization at key prospects such as Sure Gift, Lagoon Creek, Mitchells Creek, East Napolean, and Bushrangers.
Strategic Exploration Plans and Next Steps
Following the encouraging assay results, MinRex has finalized plans for an expanded exploration program. This includes grid-spaced soil sampling, detailed geological mapping, and further rock chip sampling across the highest priority targets. The company also intends to conduct additional reconnaissance over secondary targets like Verdun and Kirkconnell Creek, aiming to refine the understanding of mineralization controls and expand the footprint of known gold-silver occurrences.
At the Sofala Gold Project, MinRex is preparing for a geological mapping and modelling campaign targeting a previously untested 1.2-kilometre trend of historic gold workings. This initiative is designed to generate drill targets for the March 2025 quarter, potentially unlocking new zones of mineralization adjacent to the historic Queenslander and Sofala mines, which historically yielded high-grade gold.
Financial Position and Corporate Outlook
MinRex remains well-capitalized with $9.46 million in cash reserves, providing a solid financial foundation to advance its exploration agenda. The company reported a modest cash outflow related to exploration and evaluation activities, consistent with its strategic focus on systematic target generation and ground-truthing. No substantive mining production or development activities were recorded during the quarter, reflecting the company’s current stage as an explorer.
Engagement with landowners and native title parties continues to be a priority, ensuring access and compliance across MinRex’s tenements. The company’s portfolio now covers approximately 438 square kilometres in the Lachlan Fold Belt, a prolific mineral province known for orogenic gold and base metal deposits.
Outlook: Unlocking Value Through Targeted Exploration
MinRex’s methodical approach to exploration, combining geophysical targeting with systematic sampling and mapping, positions it well to delineate new mineral resources. The high-grade rock chip results provide an early but compelling indication of the potential scale and quality of mineralization at Sunny Corner. The upcoming drilling programs at Sofala and expanded fieldwork at Sunny Corner will be critical in translating these early-stage findings into defined resources.
Investors should watch closely as MinRex advances its exploration programs in the March quarter, with assay results and drilling outcomes likely to be key catalysts for the company’s valuation trajectory.
Bottom Line?
MinRex’s strong cash position and promising assay results set the stage for a pivotal exploration phase in 2025.
Questions in the middle?
- Will follow-up drilling at Sunny Corner confirm the extent of high-grade gold-silver mineralization?
- How will the geological mapping at Sofala influence the identification of new drill targets?
- What impact will land access negotiations have on the timing and scope of exploration activities?