Drilling Approval at Cognac West Raises Stakes for Dynamic Metals’ Gold Ambitions

Dynamic Metals Advances Cognac West Exploration

Dynamic Metals Limited (ASX: DYM) has taken a decisive step forward in its gold exploration strategy with the Department of Energy, Mines, Industry Regulation and Safety granting approval for a Reverse Circulation (RC) drilling Programme of Work at the Cognac West prospect. This approval paves the way for a substantial drilling campaign targeting two priority gold anomalies, Anomaly A and Anomaly B, within the Widgiemooltha Project in Western Australia.

The Cognac West area is geologically complex, featuring second order structural zones adjacent to a late felsic intrusion, approximately 500 metres east of the major Republican Thrust structure. Historic exploration dating back to the 1970s has been sporadic and incomplete, but notable past drill results include a remarkable 1 metre intercept grading 91.3 grams per tonne (g/t) gold from 41 metres depth.

High-Grade Surface Sampling Fuels Optimism

Dynamic Metals’ recent fieldwork in 2024 involved an extensive soil sampling program with samples spaced every 50 metres along 200-metre spaced east-west lines. This systematic approach identified three zones exhibiting gold anomalism above 25 parts per billion (ppb), which were subsequently infilled to tighter 25-metre spacing to delineate higher-grade zones exceeding 100 ppb. Complementary geological mapping and rock chip sampling yielded exceptional assay results, including a staggering 2,040 g/t gold sample, alongside other significant values of 53.1 g/t and 8.95 g/t.

These surface results have been integrated into a refined geological model, enabling the identification of several compelling drill targets within the two anomalies. The upcoming RC drilling program is designed to test these targets rigorously, with up to 75 holes planned across multiple campaigns, reflecting Dynamic Metals’ methodical and data-driven exploration philosophy.

Strategic Implications for Widgiemooltha and Beyond

The Cognac West prospect forms part of Dynamic Metals’ flagship Widgiemooltha Project, a vast 800 square kilometre tenure area renowned for its potential in gold, nickel, lithium, and other critical minerals. The company’s recent joint venture with Mineral Resources Limited, which includes a $5 million transaction for lithium rights and potential earn-in to 80%, underscores the strategic value of this region.

With cash reserves of $4.67 million as of December 2024 and a market capitalisation of approximately $13.2 million, Dynamic Metals is well-positioned to advance its exploration agenda. The forthcoming drilling results at Cognac West will be pivotal in assessing the scale and grade continuity of the gold mineralisation, potentially enhancing the company’s resource base and market appeal.

Dynamic’s Managing Director, Karen Wellman, who is also the Competent Person for the exploration data, has emphasised the company’s commitment to a systematic exploration approach, balancing thorough groundwork with timely advancement to drilling. The heritage survey is underway, and drilling is anticipated to commence once all clearances are secured in the first quarter of 2025.