Cosmo Metals Faces Challenge Replicating High-Grade Kanowna Gold Results Amid Expansion
Cosmo Metals has completed the acquisition of the Bingara and Nundle gold-antimony-copper projects in NSW and progressed exploration at its Kanowna Gold Project in WA, supported by a $1.1 million capital raise.
- Acquisition of Bingara and Nundle projects in New England Orogen, NSW completed
- Exploration activities including SAM and LiDAR surveys initiated on new NSW assets
- Kanowna Gold Project drilling confirms widespread gold anomalism but no high-grade replication
- Appointment of experienced mining executive Ian Prentice as Managing Director
- Fully underwritten entitlement offer raised $1.1 million with additional $0.47 million shortfall placement
Strategic Acquisition Bolsters NSW Portfolio
Cosmo Metals Ltd (ASX: CMO) has significantly expanded its exploration footprint with the acquisition of the Bingara and Nundle projects, two highly prospective gold-antimony-copper exploration assets located in the New England Orogen of northern New South Wales. Covering approximately 743 square kilometres, these projects offer camp-scale opportunities with evidence of high-grade, multi-commodity mineralisation that has seen limited modern exploration for over three decades.
The acquisition was formalised post-quarter following a Binding Heads of Agreement and overwhelming shareholder approval at a General Meeting in late March 2025. Early exploration during the option period included a Sub Audio Magnetotelluric (SAM) geophysical survey over the Mt Everest – Mona VMS trend at Bingara, complemented by a high-density LiDAR and high-resolution imagery survey flown after quarter end. These advanced techniques aim to refine geological models, map historic workings obscured by vegetation, and identify priority drill targets.
Exploration Momentum at Kanowna Gold Project
Meanwhile, in Western Australia, Cosmo’s Kanowna Gold Project (KGP) near Kalgoorlie continues to be a focal point. Despite recent drilling failing to replicate some historical high-grade gold intersections, the technical team is leveraging extensive datasets, including pathfinder element anomalism and alteration patterns, to hone in on structural and sediment-hosted gold targets. The project’s proximity to Northern Star Resources’ Kanowna Belle mine, which has produced over 5.4 million ounces of gold, underscores its potential.
Phase 1 drilling completed in September 2024 confirmed broad zones of anomalous gold mineralisation, though at lower grades than historic results. This has prompted a strategic pivot to more data-driven targeting, with the team focusing on structural corridors and geochemical signatures that may host economically viable deposits.
Leadership and Capital Strengthen Growth Prospects
Cosmo Metals appointed Ian Prentice as Managing Director in February 2025. Prentice brings over 30 years of experience across exploration and operational roles in gold and base metals, positioning the company to execute its high-impact exploration strategy effectively. His technical and corporate expertise is expected to accelerate project advancement and capital management.
Supporting these ambitions, Cosmo completed a fully underwritten entitlement offer raising $1.1 million before costs during the quarter, with a subsequent shortfall placement raising an additional $470,000. The company ended the quarter with $1.23 million in cash, providing a solid financial platform to fund ongoing exploration and business development activities.
Yamarna Base Metals Project and Future Outlook
Cosmo’s Yamarna Project in the Eastern Goldfields of WA remains a key asset, featuring significant base metal mineralisation including copper, nickel, cobalt, zinc, lead, and silver. Recent drilling at the Minjina prospect intersected broad zones of zinc-lead-silver mineralisation, reinforcing the project’s potential. The company is evaluating strategic options, including potential partnerships, to advance Yamarna’s development.
Looking ahead, Cosmo plans an active exploration campaign through 2025 and into 2026, leveraging new data from LiDAR and geophysical surveys to refine drill targets across its NSW and WA portfolios. The company’s methodical approach to exploration, combined with strengthened leadership and capital, positions it well to unlock value from its diverse asset base.
Bottom Line?
Cosmo Metals’ strategic acquisitions and focused exploration mark a pivotal step, but upcoming drill results will be critical to validating its growth trajectory.
Questions in the middle?
- Will Cosmo’s new exploration data at Bingara and Nundle translate into significant resource upgrades?
- How will Managing Director Ian Prentice’s leadership influence the company’s exploration and capital strategy?
- What are the timelines and targets for follow-up drilling at Kanowna to confirm or extend gold mineralisation?