Strata Minerals Uncovers New Gold Zones at Penny South, Secures $200k Drilling Grant
Strata Minerals reports promising maiden drilling results at its Penny South Gold Project and high-grade sampling at Biranup, backed by a government co-funded drilling grant and fresh capital raise.
- Maiden drilling at Penny South intersects extensions of Penny West Shear with encouraging gold grades
- High-grade rock chip samples up to 218g/t Au and 302g/t Ag at Biranup’s Black Dragon Prospect
- Secured $200,000 government Exploration Incentive Scheme grant for deep drilling at Penny South
- Completed $300,000 placement, ending quarter with $2.03 million cash and no debt
- Follow-up drilling planned at Penny South with heritage and access agreements progressing
Exploration Momentum Builds at Penny South
Strata Minerals Limited (ASX, SMX) has delivered a solid update for the June 2025 quarter, highlighting encouraging progress at its flagship Penny South Gold Project in Western Australia. The company’s maiden reverse circulation drilling program, comprising 12 holes over 2,583 metres, successfully intersected extensions of the Penny West Shear; a key structural control for gold mineralisation in the region. Notably, drilling at Target 1 returned a best intersection of 1 metre grading 1.65 grams per tonne gold from 189 metres depth, while Target 3 yielded 4 metres at 2.0 grams per tonne from 88 metres.
These results confirm the presence of gold mineralisation along strike and down-plunge from the high-grade Penny West and Penny North deposits, which collectively host 395,000 ounces at 17 grams per tonne gold. Importantly, the drilling revealed a steeper dip of the shear zone than anticipated, suggesting that the main mineralised zone remains untested at depth. This finding sets the stage for deeper follow-up drilling planned for the third quarter of 2025, as Strata advances its exploration strategy.
High-Grade Sampling Reinforces Biranup’s Potential
Meanwhile, at the Biranup Gold Project, rock chip sampling at the Black Dragon Prospect has returned spectacular grades, with assays up to 218 grams per tonne gold and 302 grams per tonne silver. These results complement historical data showing significant gold occurrences, including samples exceeding 626 grams per tonne. Structural mapping has identified three east-dipping mineralised trends within a largely untested 4.5-kilometre structural gold corridor, concealed beneath shallow transported cover. This underscores the prospectivity of the Biranup project and highlights the potential for future discoveries.
Funding and Forward Plans
Strata’s exploration momentum is supported by a successful application for a government co-funded Exploration Incentive Scheme grant of up to $200,000. This grant will subsidise a deep drilling program at Penny South, targeting 1-2 holes each exceeding 600 metres, to be completed by May 2026. The company also completed the second tranche of a placement, raising approximately $300,000 net of costs, bolstering its cash position to $2.03 million with no debt.
Looking ahead, Strata is progressing heritage and access agreements to enable exploration at additional high-priority targets within Penny South, while continuing to refine its geological models at Biranup. The company’s disciplined approach to tenement consolidation and targeted exploration aims to unlock value across its portfolio.
Strategic Implications
Strata Minerals’ latest results reinforce the strategic significance of its Penny South tenure, located just 500 metres south of Ramelius Resources’ high-grade Penny Mine. The proximity to a producing mine and the discovery of mineralised shear extensions suggest that Strata’s ground could host economically viable gold mineralisation. The high-grade surface sampling at Biranup further diversifies the company’s exploration pipeline, offering multiple avenues for growth.
While the drilling results are promising, the true test will come with deeper drilling to confirm the extent and grade of mineralisation at depth. The company’s ability to secure government funding and maintain a healthy cash balance positions it well to advance these next steps.
Bottom Line?
Strata Minerals’ maiden drilling success and government-backed funding set the stage for a pivotal exploration phase at Penny South and Biranup.
Questions in the middle?
- Will deeper drilling at Penny South confirm a significant new gold resource?
- How will heritage and access negotiations impact the timing of follow-up drilling?
- What is the potential scale of mineralisation beneath the transported cover at Biranup?