Laverton Project’s Underground Potential Grows Amid Deep Drilling and Cost Optimization Risks

• Discovery of a new fourth high-grade core zone or extension at LJN4
• Current LJN4 resource stands at 31.2Mt at 1.93g/t for 1.94Moz gold
• Aggressive drilling program underway with multiple deep diamond holes
• Recent $35 million capital raising to fund drilling and feasibility study
• Feasibility study optimization targeting capital cost reductions and mine design refinements

Expanding the Laverton Gold Footprint

Magnetic Resources NL has announced a significant development in its Laverton Project with the identification of a fourth high-grade core zone at the Lady Julie North 4 (LJN4) gold deposit. This discovery, or alternatively a northern extension of the existing High-Grade Core 3 zone, was revealed through recent diamond drilling that intersected thick mineralised zones well below the current open pit limits.

The LJN4 deposit already boasts a substantial resource of 31.2 million tonnes grading 1.93 grams per tonne gold, equating to approximately 1.94 million ounces. The new drilling results, including a notable 35.8-meter intersection of altered ultramafic rock from 584.3 meters depth, suggest the deposit's size and grade could increase further, enhancing its underground mining potential.

Aggressive Drilling and Capital Support

Magnetic Resources is pursuing an aggressive drilling campaign with multiple diamond holes planned or underway, aiming to delineate the extent of this new core zone and deepen the understanding of the mineralisation at LJN4. This program is supported by a recent successful $35 million capital raising, which will also fund infill drilling and feasibility study optimization efforts.

The company is focusing on refining mine designs and schedules, including the innovative idea of integrating the underground mine portal within the proposed open pit, to reduce capital expenditure and improve project economics. Engagement with process engineering and mining service providers is also underway to streamline execution strategies.

Geological Context and Regional Significance

The LJN4 deposit is part of a cluster of shallow gold deposits within the Laverton Project, including Lady Julie Central and HN9, all located within a few kilometers of each other. These deposits are hosted within a complex geological setting dominated by ultramafic, carbonate, and chert sequences, intersected by the gold-rich Chatterbox Shear Zone, a major structural corridor extending over 22 kilometers and associated with significant gold mineralisation in the region.

Magnetic Resources’ ongoing exploration and drilling activities are building on a rich history of discoveries in the Laverton area, with nearby world-class deposits such as Sunrise Dam and Wallaby providing a benchmark for the potential scale and grade of mineralisation.

Outlook and Next Steps

With assay results pending for several recent drill holes and a comprehensive drilling schedule planned, Magnetic Resources is poised to further expand the LJN4 resource base. The company’s focus on feasibility study optimization and capital efficiency reflects a mature approach to advancing the project towards development. Investors will be watching closely as new data emerges, potentially reshaping the economic profile of this promising gold project.

Bottom Line?

Magnetic Resources’ discovery of a fourth high-grade core zone at LJN4 marks a pivotal step in unlocking the Laverton Project’s underground potential, with upcoming assay results and feasibility updates set to define the next phase of growth.

Questions in the middle?

• Will the pending assay results confirm the extent and grade of the new fourth core zone?
• How will feasibility study optimizations impact the overall capital expenditure and project timeline?
• What are the implications of integrating the underground portal within the open pit design for mining efficiency?