Carnaby Resources Unveils Strong Drilling Results and Solid Cash Position at Greater Duchess

Advancing the Greater Duchess Project

Carnaby Resources Limited has delivered a solid update for the June 2025 quarter, highlighting significant progress at its flagship Greater Duchess Copper Gold Project in Queensland's Mount Isa Inlier. The company’s management team, known for its credentials and operational discipline, is steering the project through a critical phase with a Pre-Feasibility Study (PFS) targeted for completion in the third quarter of 2025.

The PFS work encompasses a comprehensive suite of studies including resource updates, mine design optimisation, metallurgy, infrastructure logistics, and environmental assessments. Notably, Carnaby is evaluating processing options, balancing a low capital expenditure start-up utilising Glencore’s Mount Isa mill under binding tolling and offtake agreements, against the potential for a standalone processing facility. This strategic flexibility could influence the project's development pathway and capital requirements.

Encouraging Drilling Results at Trekelano and Mount Hope

Drilling commenced at the Trekelano Prospect during the quarter, marking the first program there since 2012. Early assay results have been promising, with significant copper equivalent grades over substantial widths. For example, one hole intersected 154 metres at 1.0% CuEq, including higher-grade zones up to 4.8% CuEq. These results reinforce the potential for Trekelano to evolve into a substantial baseload deposit, complementing the existing Greater Duchess resource base.

At Mount Hope, resource definition drilling has confirmed the presence of shallow, high-grade mineralisation amenable to open-pit mining. Assays include intervals such as 24 metres at 2.3% CuEq and 21 metres at 2.6% CuEq, underscoring the prospect’s development potential. The company is conducting further metallurgical testing to understand the processing characteristics of transitional and oxide ores, which represent a minor portion of the resource but could impact early project economics.

New Exploration Targets and Government Support

Beyond drilling, Carnaby completed an extensive aerial VTEM survey over the Magna Lynn Southern Corridor, funded by a $170,000 Queensland government Collaborative Exploration Incentive grant. Preliminary results have identified several new conductors, including the Speckle Park Prospect, located on a major geological boundary favourable for iron oxide copper gold (IOCG) mineralisation. These targets will undergo ground reconnaissance and sampling ahead of potential drilling campaigns, expanding the company’s exploration footprint.

Additionally, Carnaby’s Devoncourt Project earned a $216,000 CEI grant from the Queensland government to fund a diamond drill hole and downhole electromagnetic survey, with assay results expected soon. These government grants not only reduce exploration costs but also validate the prospective nature of Carnaby’s tenements.

Financial Position and Corporate Governance

Financially, Carnaby remains well-positioned with $15.8 million in cash at quarter-end, supporting ongoing exploration and development activities. The company reported exploration expenditure of approximately $1.54 million for the quarter and disclosed payments to related parties consistent with directors’ remuneration and technical services. No mining production or development activities were conducted during the period, reflecting the company’s focus on advancing its resource base and project studies.

With a tight capital structure and strong cash reserves, Carnaby is poised to continue its methodical progression towards project development, leveraging its strategic partnerships and government support.