Resource Upgrade Hinges on Phase 2 Drilling Success at Verity’s Monument Gold

Strong Phase 1 Results Validate Resource Model

Verity Resources Limited (ASX, VRL) has delivered a promising update from its Monument Gold Project in Western Australia's Laverton Goldfields, reporting the second batch of Phase 1 infill drilling results. The program, focused on the 139,000-ounce Korong deposit, has confirmed consistent gold mineralisation with multiple intercepts exceeding 1 gram per tonne (g/t) gold, reinforcing the geological model underpinning the existing 154,000-ounce inferred resource.

Notably, several high-grade intercepts stand out, including 7.7 metres at 6.37 g/t gold, which contains a remarkable 1 metre at 38.0 g/t. Other significant results include 3.9 metres at 6.35 g/t and 4.8 metres at 2.79 g/t, demonstrating both thickness and grade continuity across the main Banded Iron Formation (BIF) lode. These results provide strong validation for Verity’s strategy to upgrade portions of the resource from inferred to indicated status, a critical step towards advancing the project’s development.

Phase 2 Drilling Targets Resource Expansion

With Phase 1 now complete, Verity has commenced Phase 2 reverse circulation (RC) and diamond drilling, comprising 77 holes totaling approximately 6,400 metres. This next phase aims to extend high-grade shoots both along strike and at depth at Korong and the smaller Waihi deposit, which hosts around 15,000 ounces of gold. The drilling will also test untested structural and syenite-associated targets along the broader 20-kilometre BIF trend, of which only about 10% has been systematically drilled to date.

Verity’s Managing Director, Patrick Volpe, expressed confidence in the ongoing program, highlighting that the Phase 1 results exceeded expectations and that Phase 2 drilling is designed to build on this momentum. The company anticipates that the upgraded resource classification will underpin forthcoming scoping studies, moving the project closer to potential development.

Significant Exploration Upside in a Proven Gold District

The Monument Gold Project benefits from its location in the prolific Laverton Gold District, adjacent to Genesis Minerals’ 3.3 million-ounce Mt Morgan Project. The geological setting features a thick sequence of BIF, interpreted to be analogous to the host rocks of the nearby Westralia gold deposit. Verity’s drilling has confirmed that the mineralisation is structurally controlled and exhibits strong grade continuity, characteristics favourable for resource expansion.

Despite the encouraging results, the project remains underexplored, with multiple priority targets identified along the extensive BIF horizon. The potential for syenite-intrusion style mineralisation adds another dimension to the exploration upside, with approximately 60 targets yet to be adequately tested. This positions Verity well for further discoveries that could materially increase the project’s resource base.

Looking Ahead

As Verity progresses through its Phase 2 drilling and prepares for an updated mineral resource estimate, the market will be watching closely for confirmation of resource upgrades and expansion. The company’s methodical approach to validating historical data and systematically upgrading confidence levels in the resource is a prudent strategy that enhances the project’s value proposition. Pending metallurgical and geotechnical studies will also be key to assessing the feasibility of future mining operations.