High Recovery Rates at Hopes Hill Reduce Project Risk but Questions Remain

Exceptional Metallurgical Results

Golden Horse Minerals Limited (ASX: GHM) has unveiled highly encouraging initial metallurgical test results from its flagship Hopes Hill gold project located near Southern Cross, Western Australia. Eleven composite samples derived from recent reverse circulation drilling returned an impressive average gold recovery rate of 96.7%, with individual recoveries ranging from 93.8% to 99.3%. These results suggest that the mineralisation is amenable to conventional processing techniques, notably the widely used carbon-in-leach (CIL) or carbon-in-pulp (CIP) methods.

Context and Significance

The samples tested were carefully selected from across the full 1.3-kilometre strike length of the historic Hopes Hill open pit, focusing on fresh mineralisation below the oxidised zone. This comprehensive sampling approach provides a robust indication of the potential gold recoveries achievable from the deposit. The high recovery rates substantially reduce metallurgical risk, a critical factor in advancing the project towards feasibility and eventual production.

Next Steps in Exploration and Development

Building on these promising results, Golden Horse plans to commence diamond core drilling in the coming months. This phase will provide core samples essential for comminution or grindability testing, which will further refine processing parameters and recovery estimates. The company has already completed over 8,100 metres of reverse circulation drilling since January 2025, aiming to establish a JORC-compliant mineral resource estimate. The recent grant from the Western Australian Government’s Exploration Incentive Scheme will support deeper drilling activities, enhancing geological understanding and resource confidence.

Management Commentary

Managing Director Nicholas Anderson expressed optimism about the results, highlighting that the near-97% recovery rate is a significant milestone. He emphasized that these outcomes pave the way for using standard processing infrastructure available in the district, thereby potentially reducing capital expenditure and operational complexity. Anderson noted that while further test work is required to confirm plant recoveries, the current data marks a critical step forward in the project’s development trajectory.

Strategic Positioning

Golden Horse’s consolidation of over 1,800 square kilometres of tenure within the prolific Southern Cross Greenstone Belt positions it well to capitalize on the region’s rich gold endowment. The Hopes Hill project, with its historical mining legacy and now validated metallurgical profile, stands out as a key asset in the company’s portfolio. The combination of strong recoveries, ongoing drilling, and government support underscores the project’s potential to transition from exploration to production in the medium term.