Exploration Costs Rise as Far East Gold Eyes Accelerated Development
Far East Gold’s December quarter report highlights significant high-grade gold discoveries at its Idenburg Project and a key regulatory approval that paves the way for accelerated development.
- High-grade gold intercepts at Sua and North Bermol prospects
- PIPPIB reclassification granted over 9,000 hectares at Idenburg
- Drilling commenced at Mount Clark West copper-gold project in Queensland
- Exploration expenditure of approximately A$2 million during the quarter
- Strong interest from potential partners for project advancement
Exploration Momentum at Idenburg
Far East Gold Ltd (ASX – FEG) has reported a highly active December 2025 quarter, marked by robust exploration activity across its Indonesian and Australian mineral portfolio. The company’s flagship Idenburg Gold Project in West Papua, Indonesia, delivered compelling results, with drilling confirming the continuity and expansion potential of high-grade gold mineralisation at the Sua and North Bermol prospects.
At the Sua prospect, 10 drill holes totalling 1,836 metres tested extensions of previously identified gold zones. Results revealed impressive intercepts including 24.08 grams per tonne (g/t) gold over 5.3 metres and exceptional high-grade pockets such as 131 g/t and 180 g/t gold over narrow intervals. These findings confirm the presence of stacked milky-quartz veins hosting coarse visible gold, with mineralisation remaining open both down-dip and along strike, suggesting substantial upside for resource growth.
North Bermol Discovery Expands District Potential
Drilling at the newly identified North Bermol prospect further bolstered the district-scale potential of the Idenburg project. Eighteen holes totalling approximately 960 metres intersected a broad, shallow-dipping shear zone with gold mineralisation closely associated with quartz veins and pyrite. Significant intercepts included 5 metres at 4.9 g/t gold and narrower high-grade intervals up to 15 g/t gold. The shear zone extends at least 300 metres along strike and 350 metres down dip, remaining open for further expansion.
Regulatory Milestone Unlocks Development Pathway
Crucially, Far East Gold secured the PIPPIB reclassification over approximately 9,000 hectares of its Idenburg tenure. This regulatory approval reclassifies the area to Production Forestry, a vital step that clears the way for environmental permitting, operational licensing, and eventual mine development. The milestone provides the company with increased certainty and flexibility to advance its exploration and development programs.
Australian Projects Progress
In Australia, Far East Gold commenced drilling at the Mount Clark West copper-gold project in Queensland. The initial hole reached a depth of 571 metres, intersecting a well-developed hydrothermal system with alteration signatures typical of mineralised porphyry systems. Preparations continue for further drilling at this and other projects, including Blue Hill Creek, signalling a broadening of the company’s exploration footprint.
Financial and Strategic Outlook
The company capitalised approximately A$471,000 in exploration expenditure during the quarter, with an additional A$1.5 million expensed on drilling activities at Idenburg. Total exploration and evaluation costs reflect a strong commitment to advancing multiple projects simultaneously. Managing Director Shane Menere emphasised the strategic importance of the quarter, highlighting ongoing discussions with potential partners and a pipeline of assay results expected to sustain news flow and shareholder value creation.
Bottom Line?
With high-grade discoveries and regulatory hurdles cleared, Far East Gold is poised for a transformative phase of growth.
Questions in the middle?
- How will pending assay results from additional drill holes at Sua impact the resource estimate?
- What are the timelines and prospects for commercial partnerships or joint ventures?
- Can Far East Gold sustain its exploration funding beyond the next two quarters?
