Uncertain Ore Reserve Looms as Beacon Expands Iguana Gold Resource

Resource Upgrade Highlights

Beacon Minerals Limited (ASX, BCN) has announced a significant update to the Laterite Mineral Resource at its Iguana Deposit, part of the Lady Ida Project in Western Australia’s Eastern Goldfields. The updated estimate reports 1.2 million tonnes at an average grade of 0.92 grams per tonne gold, equating to 36,000 ounces of contained gold. This represents a meaningful increase in confidence and classification compared to previous estimates, with 61% of the resource now classified as Measured, 31% as Indicated, and 8% as Inferred.

The Measured and Indicated categories alone account for approximately 1.1 million tonnes at 0.95 g/t Au, or 33,000 ounces, underscoring the deposit’s potential for near-term development. The resource update is based on a comprehensive drilling campaign completed in 2025, including 234 air core and 195 reverse circulation holes specifically targeting the Laterite mineralisation.

Geological and Operational Context

The Iguana Deposit sits within the Lady Ida Project, located along the inferred extension of the Ida Fault within the Mount Ida Greenstone Belt. The deposit’s Laterite gold mineralisation is hosted primarily within iron pisolite beds near surface, typically within 0 to 5 metres of the topographic surface, making it well suited to low-cost open pit mining methods. Historical mining between 2000 and 2001 extracted approximately 39,100 ounces from the Laterite and Jamaican Rock test pits, providing a valuable precedent for economic extraction.

Beacon’s updated resource model incorporates improved geological interpretation, including a single Laterite mineralisation domain defined at a 0.2 g/t gold cut-off, and refined bulk density assignments. The company’s technical consultants, Entech Pty Ltd, have validated the resource estimate as appropriate for open pit assessment and consistent with JORC Code 2012 standards.

Next Steps and Market Implications

Beacon Minerals is currently progressing an ore reserve estimate for the Iguana Laterite Deposit, expected to be released in the second quarter of fiscal year 2026. This will provide further clarity on the economic viability and mining parameters of the deposit. Meanwhile, ongoing drilling is targeting fresh rock mineralisation beneath the Laterite zone, with plans for a comprehensive resource update to follow.

The Lady Ida Project is under an earn-in agreement whereby Beacon can increase its ownership interest up to 100%, subject to gold production milestones. This resource upgrade strengthens the project’s development outlook and could enhance investor confidence as the company advances towards production.

Overall, the updated Iguana Laterite Mineral Resource positions Beacon Minerals well to capitalise on near-surface gold opportunities in a prolific gold province, with the potential for low-cost mining and processing.