Croydon Drilling Hinges on Robe Mesa Sale as CZR Pursues Big Gold Discovery

Croydon Project Positioned for Breakthrough

CZR Resources Ltd (ASX, CZR) is gearing up for a significant exploration push at its Croydon Gold Project, located in Western Australia's Pilbara region. The project sits within the highly prospective Mallina Basin, a geological setting that hosts Northern Star Resources’ Hemi gold deposit, one of Australia’s most substantial recent discoveries with an 11.2 million ounce resource.

The Croydon tenements cover approximately 316 square kilometres, split into Western and Eastern blocks, and lie about 50 kilometres along strike from Hemi. This proximity, combined with similar structural and geochemical signatures; particularly elevated gold and arsenic in surface soils; has positioned Croydon as a compelling target for a large-scale gold system.

From Early Success to Ambitious Drilling

Limited drilling conducted between 2019 and 2020 at the Top Camp and Bottom Camp prospects within the Western Block confirmed the presence of shallow, high-grade gold mineralisation. Notable intercepts include 27 metres at 3.2 grams per tonne gold (g/t Au) from 135 metres depth, including 8 metres at 10 g/t Au, and a remarkable 2 metres at 22 g/t Au from just 7 metres depth. These results, while encouraging, represent only a fraction of the tenement area and remain open in all directions.

Building on these findings, CZR has designed an extensive drilling campaign comprising approximately 180 aircore holes aimed at testing a newly identified 6-kilometre-long gravity anomaly on the Eastern Block, which has not been previously drilled. Additionally, around 20 reverse circulation (RC) drill holes will target potential Hemi-style intrusive systems at depth and extend known shallow mineralisation zones.

Funding and Strategic Timing

The timing of this campaign is closely linked to the imminent completion of CZR’s sale of its Robe Mesa iron ore project, expected to generate $75 million in proceeds. This capital injection will fully fund the Croydon exploration program and support ongoing development efforts across CZR’s portfolio.

Managing Director Stefan Murphy highlighted the strategic importance of this phase, "With the Robe Mesa sale nearly complete, we are perfectly placed to unlock the value of Croydon. The project’s geological similarities to Hemi and the presence of shallow high-grade gold mineralisation provide a strong foundation for discovery."

Looking Ahead, Exploration and Potential

The initial drilling will focus on testing the gravity high beneath Top Camp, believed to be associated with an intrusion-related gold system similar to Hemi. Following this, drilling will extend to Bottom Camp and other geophysical and geochemical targets. The program also includes plans for diamond drilling to provide detailed structural data, which will be critical for understanding the geometry and continuity of mineralisation.

While the presence of a large intrusive-related system remains speculative, the combination of encouraging early drill results, strong geophysical anomalies, and regional geological context makes Croydon a project to watch closely in the coming months.