Larvotto Advances Hillgrove DFS with Dry Tailings and Strong Drilling Results

Hillgrove Project Advances Amid Market Tailwinds

Larvotto Resources Limited (ASX: LRV) has reported significant progress on its flagship Hillgrove Antimony-Gold Project in New South Wales during the March 2025 quarter. The company has completed the technical work underpinning its Definitive Feasibility Study (DFS), incorporating critical engineering modifications to transition from a conventional wet tailings storage facility to a dry stack system. This change not only aligns with best environmental practices but also streamlines permitting and reduces operational risks.

The DFS optimisation process has been extended to leverage record-high gold and antimony prices, with Larvotto authorising a $2.5 million deposit for long-lead time process plant equipment. These upgrades aim to enhance metal recovery and operational efficiency, positioning the project to capitalise on the surging commodity market.

Exploration Drilling Delivers High-Grade Intercepts

Exploration drilling remains robust, with four diamond rigs active at Bakers Creek and Eleanora-Garibaldi. Recent results include impressive gold equivalent intercepts such as 8.3m at 10.39 g/t AuEq at Bakers Creek and 5m at 8.38 g/t AuEq at Eleanora-Garibaldi, confirming the potential to expand known mineralisation near existing resources. Notably, Bakers Creek continues to reveal stacked mineralised zones, although a formal Mineral Resource estimate is yet to be established there.

These drilling campaigns are integral to refining the mine plan and supporting metallurgical testwork, which has informed the plant design enhancements. Larvotto’s exploration strategy is further supported by a Gradient Array Induced Polarisation (IP) trial survey over the Clarks Gully deposit, aiming to validate geophysical techniques for discovering additional gold-antimony mineralisation.

Strategic Workforce and Community Initiatives

To support the growing workforce required for development and production, Larvotto acquired the Echidna Gully accommodation and function centre near Hillgrove. This facility will provide convenient lodging for onsite workers and exploration crews, complementing the majority of staff based in Armidale. Additionally, the company officially opened the Hillgrove Hub in Armidale, a dedicated community engagement centre designed to strengthen local ties, facilitate recruitment, and provide project information.

Financial Strength and Market Recognition

Larvotto closed the quarter with a strong cash balance of $34.4 million, bolstered by financing activities including the exercise of options. The company’s inclusion in the ASX All Ordinaries Index reflects its growing market capitalisation and investor interest. This financial position supports ongoing project development, including finalising the DFS, securing long lead-time equipment, and expanding operational readiness.

Senior management and exploration teams have been strengthened with key appointments bringing extensive global and Australian experience, underpinning Larvotto’s aggressive growth and exploration agenda.

Outlook and Next Steps

The final DFS report is in the last stages of compilation and expected shortly, promising to provide detailed economic and operational metrics. The shift to dry stack tailings storage is a notable environmental and permitting milestone, potentially accelerating project timelines. Meanwhile, ongoing exploration and geophysical surveys continue to delineate new targets, with the potential to further enhance the project’s resource base.

Larvotto’s strategic moves position it as a key near-term antimony and gold producer in the Western world, particularly timely given recent geopolitical shifts restricting Chinese antimony exports to the US and the metal’s critical industrial role.