Visible Sulphides Extend Mulga Tank Nickel Resource Beyond Current Boundaries

• First four Phase 4 RC holes drilled with visible sulphides extending known mineralisation
• Diamond drilling commenced with tail on previous hole and new EIS-funded hole underway
• Multi-hole Down Hole ElectroMagnetic (DHEM) survey identifies off-hole conductive anomaly
• Exploration supported by recent capital raise and $440,000 in government Exploration Incentive Scheme grants
• Results to inform potential resource expansion and deeper target testing

Phase 4 Drilling Advances at Mulga Tank

Western Mines Group Ltd (ASX – WMG) has reported encouraging progress in its ongoing exploration at the Mulga Tank Ni-Cu-Co-PGE Project, located within Western Australia's Eastern Goldfields. The company has completed the first four reverse circulation (RC) holes of its Phase 4 drilling program, targeting the southern extension of the Mulga Tank Ultramafic Complex. All four holes encountered visible sulphide mineralisation, suggesting an expansion of known mineralised zones beyond the current Mineral Resource Estimate.

These initial holes, spaced approximately 400 metres apart and stepping out about 300 metres south of previous drilling, provide a wider fence of reconnaissance data. Visible sulphides observed include disseminated and coarser textures, which are promising indicators of nickel sulphide mineralisation. However, Western Mines cautions that visible sulphides are not a substitute for laboratory assays, which are pending and will ultimately determine the grade and economic potential.

Transition to Diamond Drilling and EIS Support

Following the RC drilling, the rig has transitioned to diamond drilling at the Panhandle area within tenement E39/2134. A diamond tail extension was completed on a previous Phase 3 hole (MTRC063), validating the geological model of a roughly 1.3-kilometre-long olivine cumulate body. The company has also commenced drilling a new diamond hole (MTD030), funded under an Exploration Incentive Scheme (EIS) grant totaling $440,000, aimed at testing the basal contact and stratigraphy of this fertile komatiite system.

Electromagnetic Survey Highlights New Targets

In July, Western Mines completed a multi-hole Down Hole ElectroMagnetic (DHEM) survey on four Phase 3 RC holes that previously returned shallow high-grade intersections. The survey detected anomalies associated with sulphide mineralisation, including a notable off-hole conductive plate below hole MTRC055. This anomaly is being modelled for follow-up drilling, potentially involving a diamond tail extension or a twin hole to better define the target.

Strategic Exploration and Future Outlook

The Mulga Tank Project remains Western Mines’ flagship asset, hosting Australia's largest nickel sulphide deposit by contained nickel, with a recent Mineral Resource Estimate of over 5.3 million tonnes of contained nickel. The current exploration strategy combines RC drilling to delineate shallow disseminated mineralisation suitable for potential starter pits, alongside diamond drilling to test deeper massive sulphide targets.

Supported by recent capital raising and government grants, Western Mines is well-positioned to continue expanding and refining the Mulga Tank resource base. The company anticipates further assay results and drilling outcomes in the coming months, which will be critical to updating resource models and advancing the project towards development.

Bottom Line?

As assays and deeper drilling results emerge, Mulga Tank’s potential to grow Australia’s premier nickel sulphide resource will come into sharper focus.

Questions in the middle?

• What grades and widths will laboratory assays confirm from the Phase 4 RC holes?
• Will the off-hole DHEM anomaly below MTRC055 lead to discovery of higher-grade massive sulphides?
• How will the new diamond drilling data influence the next Mineral Resource update and project economics?