Black Cat Syndicate has revealed multiple new high-grade gold zones within the Fingals open pit at its Kal East operation, accelerating mining and processing plans for 2026. These discoveries reinforce the long-term potential of the project and support an expansion of processing capacity.
- Multiple high-grade gold intercepts identified outside current resource at Fingals open pit
- Mining at Fingals to supply ore to Lakewood processing facility starting March 2026
- Majestic underground development progressing with production ramp-up expected by June 2026
- Study underway to expand Lakewood processing capacity from 1.2mtpa to 1.5mtpa
- All expansions funded from operating cash flow, highlighting strong balance sheet
New Discoveries at Fingals Open Pit
Black Cat Syndicate Limited (ASX – BC8) has announced encouraging results from a recent grade control drilling program at the Fingals open pit, part of its Kal East Gold Operation in Western Australia. The program, comprising 167 holes and nearly 9,000 metres of drilling, identified several high-grade gold zones beyond the existing resource boundaries but still within the open pit design. Notable intercepts include 5 metres at 10.20 grams per tonne gold from 23 metres depth and 3 metres at 12.50 grams per tonne from 39 metres.
These findings suggest that Fingals remains open in all directions and at depth, with the mine life currently limited only by the extent of drilling. The company has already outlined an initial underground operation to follow the completion of open pit mining, indicating a strategic approach to maximise resource extraction.
Operational Progress and Production Outlook
Mining activities at Fingals are accelerating, with the first ore expected to be processed at Black Cat's Lakewood facility from March 2026. This milestone marks a significant step in the company’s production ramp-up plans. Concurrently, underground development at the nearby Majestic deposit is advancing well, with ore drives accessed and development underway. Production at Majestic is forecast to ramp up to approximately 30,000 tonnes per month by June 2026, supported by upcoming grade control and extensional drilling scheduled for the March quarter.
Processing Capacity Expansion and Financial Strength
In line with its 'more gold sooner' strategy, Black Cat is progressing a study to expand the Lakewood processing facility's capacity from 1.2 million tonnes per annum to 1.5 million tonnes. Importantly, the company emphasises that these developments and expansions will be funded entirely from operating cash flow, underscoring the robustness of its operations and balance sheet.
Managing Director Gareth Solly highlighted the significance of the drilling results, stating they not only add bonus ounces within the planned open pit but also open the door for further mineralisation through follow-up drilling. This positions Kal East as a cornerstone asset with a long mine life and growth potential.
Strategic Implications and Future Exploration
The new high-grade zones at Fingals, combined with ongoing underground development at Majestic, reinforce Black Cat’s strategy of organic growth through resource expansion and operational optimisation. The company’s extensive landholding in the Kal East region, along with its other assets such as Paulsens and Coyote, provides a strong platform for continued exploration and production growth.
Looking ahead, further grade control and resource development drilling are planned to refine the production model and guide future mining activities. The integration of these new results into updated resource estimates will be closely watched by investors and analysts alike.
Bottom Line?
Black Cat’s latest drilling success at Fingals signals a promising extension of Kal East’s mine life and production profile, setting the stage for a pivotal year ahead.
Questions in the middle?
- How will the updated resource model impact Black Cat’s production forecasts and valuation?
- What are the timelines and risks associated with the Lakewood processing expansion?
- Could further drilling reveal additional high-grade zones beyond current open pit limits?