Torque Metals Reports $1M Placement and High-Grade Gold Intercepts

• 15m at 12.57 g/t gold intercept expands Paris Gold Project resource
• Metallurgical tests show gold recoveries exceeding 90% across deposits
• Acquisition of new gold and lithium tenements near major WA projects
• Board reduces non-executive director fees and cancels performance rights
• Successful $1M share placement strengthens cash position to $1.3M

Strong Drilling Results Extend Paris Gold Resource

Torque Metals Limited (ASX: TOR) has reported significant progress in its flagship Paris Gold Project in Western Australia, with extensional drilling revealing high-grade gold mineralisation beyond the previously defined 250,000-ounce Mineral Resource Estimate (MRE). The highlight was a remarkable 15-metre intercept grading 12.57 grams per tonne (g/t) gold at a vertical depth of 176 metres, including exceptional sub-intervals reaching up to 79 g/t.

This discovery not only confirms the presence of a new mineralised lode outside the September 2024 resource boundary but also underscores the potential for resource growth. The drilling campaign, comprising over 7,400 metres of reverse circulation (RC) and diamond drilling, was guided by structural insights that targeted shallower extensions of known mineralisation.

Metallurgical Testing Validates Processing Potential

Complementing the exploration success, independent metallurgical testing conducted on core samples from Paris and adjacent deposits (HHH and Observation) demonstrated outstanding gold recoveries. Total gold recovery rates ranged from 90.9% to 96.5%, with gravity concentration accounting for a significant portion of recoverable gold, up to 68.8% at HHH.

Importantly, the tests showed resilience against potentially deleterious elements, indicating that standard cyanide leaching and gravity processes remain effective. These results reinforce the economic viability of processing ore from these deposits and provide confidence for future development scenarios.

Strategic Tenement Acquisitions and Corporate Actions

During the quarter, Torque completed the acquisition of several highly prospective gold and lithium tenements in the Goldfields region, expanding its landholding to approximately 1,200 square kilometres. These new tenements are strategically located near major lithium operations such as Mount Marion (Mineral Resources) and gold projects like St Ives (Gold Fields), positioning Torque as a significant regional player.

On the corporate front, the board implemented cost-saving measures by cancelling director performance rights and reducing non-executive director fees by 16.7%, while maintaining the managing director’s remuneration. These steps aim to better align management incentives with shareholder interests amid ongoing exploration activities.

Financial Position and Capital Raising

Torque reported a cash and investment balance of approximately $1.309 million at the end of December 2024. Subsequently, the company successfully completed a $1 million share placement in late January 2025, involving key investors associated with Tolga Kumova and Evan Cranston, without incurring broker fees. This capital injection strengthens Torque’s financial flexibility to advance exploration and development programs.

Despite a net cash outflow from operating and investing activities during the quarter, management expects reduced cash burn in upcoming periods as drilling intensity moderates. The company remains confident in its ability to fund operations and pursue growth opportunities.

Looking Ahead

Torque Metals’ recent drilling success and metallurgical validation mark a pivotal step in unlocking the Paris Gold Project’s potential. The expanded resource footprint and robust processing characteristics set the stage for further resource upgrades and feasibility studies. Meanwhile, the strategic tenement acquisitions broaden the company’s exposure to both gold and lithium markets, aligning with evolving commodity demand dynamics.

Investors will be watching closely as Torque advances its exploration pipeline and capital management strategy, with the next phases of drilling and resource modelling likely to shape the company’s trajectory in 2025.

Bottom Line?

Torque Metals is poised to build on its high-grade discoveries and strategic land acquisitions, but sustaining momentum will require disciplined capital management and continued exploration success.

Questions in the middle?

• How will further drilling refine the size and grade of the Paris Gold Project resource?
• What are the timelines and costs anticipated for advancing metallurgical testwork to feasibility studies?
• Could the new lithium tenements lead to diversification beyond gold, and how will Torque prioritise these assets?