High-Grade Andy Well Ore Boosts Meeka Metals’ Production Outlook but Risks Remain

Strong Start to Underground Mining

Meeka Metals Limited has delivered a promising update from its Andy Well underground mine, part of the broader Murchison Gold Project in Western Australia. Since underground development began in July 2025, the company has reported ore grades exceeding 100 grams per tonne (g/t) gold on multiple faces of the Wilber lode at the 1350 level. This level marks the first ore development stage and is already outperforming expectations.

The high-grade nature of the mineralisation is typical for Andy Well, with several intercepts showing exceptional concentrations, including narrow zones grading above 200 g/t Au. These results reinforce the project's reputation for delivering rich ore and suggest potential for further grade upside as mining progresses.

Expanding Development and Production

Currently, three ore levels are under development, with plans to expand to seven levels by the end of December 2025. The addition of a third development jumbo in the December quarter is expected to accelerate ore access and increase mining throughput. Meeka Metals anticipates gold production to ramp up accordingly, with approximately 3,800 ounces forecast for October 2025 alone.

Managing Director Tim Davidson highlighted the positive reconciliation history at Andy Well, where past mining operations recovered 23% more gold than predicted by resource models. This initial outperformance in grade control sampling bodes well for the mine’s economic potential and cash flow generation, particularly given the focus on shallow lodes accessible via existing infrastructure.

Strategic Focus on Low-Cost, High-Grade Zones

The company’s FY26 strategy prioritises development of multiple shallow ore levels within approximately 200 metres of surface, targeting the Wilber, Judy, and Suzie lodes. Accessing these zones through the existing decline reduces capital intensity and supports rapid mine establishment. This approach aligns with Meeka Metals’ owner-operator model, which offers cost advantages and operational control.

Alongside underground development, surface resource growth drilling is planned at Andy Well and the nearby Turnberry deposit in the December quarter. These efforts aim to expand the resource base and underpin longer-term production growth. Additionally, a pathway for processing plant expansion at Murchison is expected to be defined by mid-2026, potentially increasing throughput capacity and extending mine life.

Outlook and Market Implications

Meeka Metals’ strong underground grades and accelerating development at Andy Well reinforce the high-quality nature of the Murchison Gold Project. With a 1.2 million ounce resource at an average grade of 3 g/t Au and a Definitive Feasibility Study outlining robust economics, the project is positioned for sustained value creation. Investors will be watching closely for upcoming quarterly reports and drilling results to confirm the consistency of these early high-grade intercepts and production ramp-up.