Challenger Gold Plant Commissioning Starts, First Gold Production Targeted

Operational Readiness Achieved

Adelong Gold Limited’s joint venture partner, Great Divide Mining (GDM), has officially confirmed that the Challenger Gold Mine site in New South Wales is ready for the recommencement of operations. Following extensive site preparation, inspections, and upgrades, the processing plant is set to begin commissioning activities this month. This development is a significant milestone in the Adelong Venture Agreement, advancing the project closer to first gold production.

Strategic Milestones and Equity Triggers

The commissioning phase marks the transition from restart to production, with first gold output as the critical next milestone. Achieving this will trigger GDM’s second equity tranche of 36% under the joint venture terms, effectively increasing their stake in the project. Adelong Gold’s Managing Director Ian Holland expressed optimism about the progress, highlighting GDM’s commitment to a safe and efficient restart.

Resource Base and Project Potential

The announcement also provided an updated JORC resource statement for the Adelong Gold Project, which now boasts a total resource of approximately 188,000 ounces of gold at a cutoff grade of 1 gram per tonne. This includes measured, indicated, and inferred resources across several deposits such as Challenger, Currajong, and Perkins West. The resource base has grown by 45% since acquisition, underscoring the project’s expanding potential.

Broader Exploration Ambitions

Beyond gold, Adelong Gold is actively advancing lithium exploration in Brazil, with tenement packages in the prolific ‘Lithium Valley’ of Minas Gerais and the Borborema Region in Paraiba Province. These regions are emerging as significant sources of hard-rock lithium spodumene, a critical mineral for battery technologies. Early reconnaissance has identified promising geological formations, setting the stage for more detailed exploration work.

Looking Ahead

As commissioning progresses, investors will be watching closely for the transition to production and the associated equity milestone. Meanwhile, the company’s dual focus on gold production and lithium exploration positions it well within evolving commodity markets. The coming months will be pivotal in validating operational plans and unlocking value from both metals.