Sky Metals Accelerates Drilling to Unlock High-Grade Tin Zones at Tallebung

Sky Metals has launched a major drilling campaign at its Tallebung Tin Project in NSW, aiming to expand newly discovered high-grade tin, silver, and tungsten zones and update its resource estimate by early 2026.

  • Over 100 new drill holes commenced targeting high-grade tin-silver-tungsten zones
  • Focus on extensions of exceptional intercept TBRC171 with 686g/t silver and 0.96% tin
  • Second drill rig to begin diamond drilling for mine design data
  • Updated Mineral Resource Estimate expected early 2026 incorporating 250+ new holes
  • Metallurgical and environmental studies progressing alongside drilling
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Major Drilling Campaign Underway

Sky Metals Limited (ASX, SKY) has kicked off a significant new drilling program at its wholly owned Tallebung Tin Project in central western New South Wales. Building on the momentum from a recent 143-hole campaign that uncovered multiple high-grade zones, the company is now deploying over 100 additional drill holes to expand and infill these promising mineralised areas.

The program prioritises extensions of a standout intercept from the previous drilling, TBRC171, which returned an exceptional 3 metres grading 686.3 grams per tonne silver and 0.96% tin starting at just 24 metres depth. This intercept is among the highest silver grades recorded at Tallebung and confirms the presence of shallow, high-grade polymetallic mineralisation on the deposit’s south-eastern margin.

Targeting Resource Growth and Mine Design

In addition to expanding TBRC171, the drilling will focus on other high-grade tin, silver, and tungsten zones identified on the deposit’s margins. The program combines rapid Reverse Circulation (RC) drilling to test shallow extensions and in-fill areas with diamond drilling planned to provide critical structural and geotechnical data. This data will underpin open-pit mine design and feasibility studies, advancing the project towards development.

Sky Metals expects first assay results from this new campaign in December 2025, with ongoing updates through early 2026. These results will feed into an updated Mineral Resource Estimate (MRE), scheduled for release in the first quarter of 2026. This updated MRE will incorporate data from over 250 drill holes, significantly expanding on the 115 holes used in the current resource model.

Parallel Progress on Processing and Approvals

Alongside drilling, metallurgical testwork is underway to optimise ore sorting and gravity processing flowsheets. Early results have demonstrated exceptional ore sorting performance, upgrading tin content by up to 44 times before gravity separation, which bodes well for producing a saleable concentrate. Environmental studies covering biodiversity, groundwater, and geochemical assessments are also advancing to support future mining approvals.

Sky Metals’ Managing Director Oliver Davies expressed confidence in the project’s trajectory, highlighting the company’s strong funding position and the growing scale and shallow nature of the mineralisation. The Tallebung Project’s location on a historic tin mining site and its technology-enabled approach position it well to meet rising global demand for tin, a critical metal in electronics and renewable energy technologies.

Bottom Line?

As Sky Metals drills deeper into Tallebung’s high-grade zones, the coming months will be pivotal in defining the project’s scale and economic potential.

Questions in the middle?

  • How significantly will the updated Mineral Resource Estimate expand the known tin resource?
  • What impact will metallurgical optimisations have on production costs and concentrate quality?
  • How quickly can Sky Metals transition from exploration to development and production?