Zopkhito Project Boasts 225Kt Antimony and 815,000 Oz Gold Foreign Estimate

Project Overview and Strategic Importance

Krakatoa Resources Ltd (ASX: KTA) has released an extensive investor presentation outlining the promising developments at its Zopkhito Antimony-Gold Project, situated in the Racha region of Georgia. The project, covering 1,779 hectares under an active exploration-mining license valid until 2042, is positioned within the prolific Tethyan Metallogenic Belt, a globally significant mineral province stretching from the Carpathians to northern Iran.

With antimony and gold prices near historic highs, Krakatoa is capitalizing on the 'right commodities at the right time' dynamic. The project benefits from decades of Soviet-era exploration, including 27 kilometers of underground adits and over 20,000 geochemical samples, providing a robust foundation for further advancement.

Resource Estimates and Geological Context

Krakatoa’s update highlights a foreign resource estimate (non-JORC compliant) indicating 225,000 tonnes at 11.6% antimony (Sb) and 7.26 million tonnes at 3.7 grams per tonne gold (Au), equating to approximately 26,000 tonnes of contained antimony and over 815,000 ounces of gold. These figures underscore the project's high-grade potential, particularly with antimony veins exhibiting remarkable grades up to 82.8% Sb in channel samples.

The deposit is characterized as an orogenic Sb-Au system hosted within Jurassic sedimentary rocks, with mineralization occurring in narrow quartz-stibnite veins surrounded by a gold-rich alteration halo extending into the footwall and hanging wall. This geological setting offers significant upside, with only 17 of an estimated 60 veins currently modeled and no drilling undertaken to date.

Advancement Plans and Metallurgical Insights

Krakatoa is aggressively advancing the project with a clear development pathway. Planned activities include maiden diamond drilling to upgrade the resource to JORC standards, expanded surface mapping, and metallurgical test work aimed at optimizing antimony and gold recovery. Initial flotation test work has demonstrated over 90% recovery of antimony concentrate with potential for separate gold extraction circuits, indicating a relatively simple processing route.

The company aims to complete a JORC Mineral Resource Estimate (MRE) and Preliminary Economic Assessment (PEA) by 2025, setting the stage for a scalable mining operation. The presence of a well-established infrastructure network, including proximity to the Georgian Poti port and railheads, further supports the project's economic viability.

Jurisdictional and Corporate Strengths

Georgia offers a mining-friendly environment with a skilled workforce, low corporate tax rate (15%), and strong government support for foreign investment. The country’s strategic location as a gateway between Europe and Asia enhances export potential. Krakatoa’s leadership team, including Executive Chairman Colin Locke and CEO Mark Major, brings decades of mining and exploration expertise, positioning the company well to unlock the project’s value.

While the foreign resource estimate is not yet JORC compliant, Krakatoa’s systematic approach to exploration, including rigorous sampling and data verification, aims to bridge this gap. The company’s commitment to advancing the project through technical milestones reflects a disciplined strategy to de-risk and enhance shareholder value.