Spargoville Resource Restated at 139koz, Group Gold Resource Hits 1.76Moz

Strategic Resource Update Following Acquisition

Astral Resources (ASX: AAR) has released a comprehensive update to its JORC 2012 Mineral Resource Estimate (MRE) for the Spargoville Gold Project, recently acquired through the takeover of Maximus Resources. This restatement applies consistent economic parameters aligned with the upcoming Mandilla Gold Project Pre-Feasibility Study (PFS), reflecting a disciplined approach to resource reporting across the group’s portfolio.

The updated Spargoville MRE now stands at 3 million tonnes grading 1.4 grams per tonne gold, containing 139,000 ounces of gold. This is a notable reduction from previous Maximus estimates, which reported 6.9 million tonnes at 1.5 g/t for 335,000 ounces. The decrease is primarily attributed to the regularisation of the mineralisation block model to a selective mining unit size more representative of anticipated mining equipment, as well as the application of Astral’s economic constraints and updated revenue and cost assumptions.

Consolidated Group Resource Strengthened

When combined with the Feysville and Mandilla Gold Projects, the Astral Group’s consolidated Mineral Resource now totals 50 million tonnes at 1.1 g/t gold for 1.76 million ounces. Mandilla remains the cornerstone with 42 million tonnes at 1.1 g/t for 1.43 million ounces, while Feysville contributes 5 million tonnes at 1.2 g/t for 196,000 ounces. The Spargoville addition enhances the group’s resource base and tenure footprint, particularly around the Theia deposit and adjacent infrastructure corridors.

Managing Director Marc Ducler emphasised the strategic value of the acquisition and update, noting that while the contained ounces at Spargoville have been revised downward, this was anticipated and factored into the offer price. He highlighted the potential for operational efficiencies when Mandilla enters production and the opportunity to optimise site infrastructure layouts leveraging the expanded tenure.

Technical Rigor and Economic Realism

The restated Spargoville resource was prepared by independent consultants Widenbar and Associates, employing a 0.39 g/t gold lower cut-off and constrained within optimised pit shells based on a gold price of A$3,500 per ounce. Cost assumptions reflect mining and processing unit costs derived from contractor quotes for the Mandilla PFS, ensuring consistency across projects.

The update did not involve reinterpretation or re-estimation of the underlying mineralisation models but focused on regularising block model dimensions to 4mE x 5mN x 5mRL, approximating the selective mining unit size and accounting for dilution. This methodological refinement is expected to provide a more realistic basis for economic evaluation and mine planning.

Exploration and Development Outlook

Astral plans to commence drilling on the newly acquired Spargoville tenure in the current quarter, targeting extensions immediately south and north of the Hestia deposit at Mandilla. A more extensive reverse circulation drilling program is under consideration for the September quarter of 2025, aimed at testing both brownfields and greenfields targets within the expanded landholding.

The company’s confidence in the economic extraction prospects is supported by metallurgical testwork at Wattle Dam and other deposits, showing favourable gold recoveries and low reagent consumption. Metallurgical studies for Eagles Nest and 5B deposits are pending, representing an area for further technical advancement.

Geological Context and Resource Classification

The Spargoville Gold Project lies within the Kalgoorlie Terrane of the Yilgarn Craton, a prolific gold-producing region characterized by complex greenstone stratigraphy and multiple deformational events. The resource classification follows JORC 2012 guidelines, with Indicated and Inferred categories assigned based on drill spacing, data quality, and geological continuity.

The update underscores Astral’s commitment to rigorous resource estimation and transparent reporting, providing investors with a clear and consistent view of the company’s asset base as it advances towards development milestones.