Lady Jenny Drilling Yields 32m at 1.05% Cu; Bullrush JV Drilling Nears Completion

Exploration Momentum Builds Across Mount Isa and Yandal

Hammer Metals Limited (ASX: HMX) has delivered a robust March 2025 quarterly report, underscoring its active copper-gold exploration programs across Queensland’s Mount Isa district and Western Australia’s Yandal Gold Project. The company’s strategic focus on Ernest Henry-style deposits is supported by multiple drilling campaigns, joint ventures with major partners, and promising assay results that reinforce its growth trajectory.

At the heart of the update are the significant drilling results from the Lady Jenny prospect, where Hammer holds an option to acquire an 80% interest. The recent Reverse Circulation (RC) program intersected consistent copper-gold mineralisation beneath the historical pit, confirming a strike length of approximately 180 metres. Highlights include 32 metres at 1.05% copper and 0.22 grams per tonne gold from 14 metres, and a high-grade 1 metre intercept grading 9.08% copper and 4.4 g/t gold. These results suggest multiple shallowly north-plunging mineralised bodies rather than a single tabular ore zone, opening avenues for targeted follow-up drilling to test depth extensions of high-grade shoots.

Expanding Drilling Programs Target High-Priority EM Conductors

Hammer’s wholly-owned Mount Isa projects continue to advance with a ~1,500-metre RC drilling program underway at Lex, Tourist Zone South, and Mascotte. The Lex target is particularly compelling, with drilling testing a standout 2,000 Siemens EM conductor identified by recent FLEM surveys, coincident with discrete magnetic features. Rock chip sampling above this conductor has returned assays up to 3.1% copper, indicating potential for significant mineralisation beneath thin cover.

At Mascotte, the company is extending previous high-grade copper and gold intersections, including a notable 53 metres at 1.55% copper and 4 metres at 4.82% copper with 3.84 g/t gold. Tourist Zone South drilling aims to test a robust >1 km copper-gold soil anomaly located about 1.5 km south of earlier mineralised zones, with assays from initial drilling expected by late May to early June.

Joint Ventures Fuel Exploration with Major Partners

Hammer’s joint ventures remain a critical component of its exploration strategy. The Bullrush JV with Sumitomo Metal Mining Oceania (SMMO) is nearing completion of a fully-funded four-hole diamond drilling program targeting IOCG-style mineralisation. Despite a weather-related pause, drilling resumed in mid-April and is expected to finish by month-end, with assay results anticipated through May and June.

Meanwhile, the Isa Valley JV with South32 is preparing for a 900-metre RC drilling campaign scheduled for the June quarter. This program will test a Mount Isa-style lead-zinc target defined by soil and VTEM anomalies, representing a diversification of Hammer’s exploration portfolio into base metals.

Yandal Gold Project Nears New Drilling Phase

In Western Australia, Hammer’s Yandal Gold Project is progressing through a strategic review, with new drilling targets at Bronzewing South and Ken’s Bore expected to be finalised imminently. Drilling at these 100%-owned gold targets is slated to commence towards the end of the June quarter, potentially unlocking value in one of Australia’s prolific gold belts.

Financial Position Supports Ongoing Exploration

Hammer Metals ended the quarter with a cash balance of $3.2 million, bolstered by a $1 million Research and Development Tax Incentive refund and $300,000 from the Queensland Department of Resources’ Collaborative Exploration Incentive. The company also holds investments in four junior exploration companies valued at approximately $2.6 million. Exploration expenditure for the quarter was $859,000, reflecting active field programs across multiple projects.

With drilling activities at Bullrush and Isa Valley fully funded by joint venture partners, Hammer is well-positioned to maintain its exploration momentum without immediate capital calls. Upcoming assay results and drilling updates over the next quarter will be critical in shaping the company’s near-term outlook.