BMG’s Near-Term Gold Ambitions Face Test with Upcoming Abercromby Scoping Study

Abercromby Project Poised for Growth

BMG Resources Limited (ASX, BMG) is setting the stage for an active 2026 with preparations underway for a significant drilling campaign at its Abercromby Gold Project in Western Australia. The project currently boasts a JORC-compliant mineral resource estimate of 11.12 million tonnes at 1.45 grams per tonne gold, equating to 518,000 ounces. This resource is split between indicated and inferred categories, with both open-pit and underground components.

The upcoming drill program, scheduled for the first quarter of 2026, aims to expand this resource by testing the continuation of high-grade lodes at the Capital Deposit and exploring the underexplored Capital South Prospect. Abercromby is interpreted as a ductile gold deposit, drawing parallels to the nearby Never Never deposit owned by Ramelius Resources, which hosts a significantly larger resource with higher grades.

Advancing Towards Production

Alongside exploration, BMG is advancing a scoping study for a potential low-capital expenditure mining operation at Abercromby. The study benefits from the project’s location on a granted mining lease within an established gold mining region, proximity to processing facilities, and favourable metallurgical characteristics. Test work confirms that Abercromby ore is amenable to conventional Carbon-in-Leach processing with high gold recoveries between 93% and 95%. BMG has secured a memorandum of understanding with Wiluna Mining for potential toll treatment at the nearby Matilda CIL processing plant, located just 20 kilometres from the project.

Geotechnical studies have been completed to support the scoping study, which is expected to be released in the first quarter of 2026. The strong gold price environment further underpins the potential economics of the project, with BMG already receiving expressions of interest from mining contractors for contract mining services.

Bullabulling Exploration Accelerates

Meanwhile, BMG’s Bullabulling Gold Project is also gaining momentum. The company’s tenure covers three areas; Bullabulling West, North, and East; with Bullabulling West contiguous to Minerals 260 Limited’s Bullabulling Gold Mine. Recent drilling by Minerals 260 has upgraded their resource to 130 million tonnes at 1.0 grams per tonne gold for 4.5 million ounces, with indications that high-grade mineralisation may extend into BMG’s tenure.

BMG’s 2025 drilling at Bullabulling North intersected gold mineralisation consistent with the geology of the adjacent mine, and a new geophysical program is underway to map prospective ultramafic horizons and refine drill targets. A major drill campaign is planned for late Q1 or early Q2 2026 to test these priority targets.

Financial Position and Corporate Developments

Supporting these exploration and development activities, BMG completed a $2.5 million capital raise in December 2025 through a placement of over 147 million new shares at 1.7 cents each. The funds are earmarked to advance drilling programs and the Abercromby scoping study. The company ended the quarter with $2.37 million in cash, providing a runway of nearly seven quarters at current expenditure levels.

The company also held its Annual General Meeting in November 2025, where all resolutions were passed unanimously. Payments to related parties during the quarter amounted to approximately $44,000, covering director fees and office space.

With drilling contracts engaged and exploration targets defined, BMG is positioning itself to transition from explorer to near-term gold producer, leveraging its strategic project locations and processing partnerships.