Leeuwin Metals has delivered a maiden Mineral Resource Estimate of over 340,000 ounces at its Marda Gold Project, marking a significant milestone less than a year after acquisition. Strong drilling results at Evanston underpin promising resource growth prospects.
- Maiden Mineral Resource Estimate of 342,300 oz gold at Marda
- Indicated resources – 73,800 oz at 1.10 g/t Au; Inferred – 268,500 oz at 1.03 g/t Au
- High-grade drilling intercepts at Evanston support resource expansion
- $5.8 million placement completed to fund accelerated exploration
- Cash position strong at $6.1 million to support ongoing programs
Transformational Maiden Resource
Leeuwin Metals Ltd (ASX, LM1) has reported a landmark quarter, delivering a maiden Mineral Resource Estimate (MRE) at the Marda Gold Project in Western Australia. The estimate totals 10.2 million tonnes at 1.05 grams per tonne gold, equating to 342,300 ounces. This achievement, reached within nine months of acquiring the project, positions Leeuwin as an emerging player in one of Australia’s most prolific gold regions.
The MRE comprises 2.1 million tonnes of Indicated Resources at 1.10 g/t gold for 73,800 ounces, and 8.1 million tonnes of Inferred Resources at 1.03 g/t gold for 268,500 ounces. Notably, the discovery cost is impressively low, under A$10 per ounce, inclusive of all exploration and corporate expenses, underscoring the efficiency of Leeuwin’s exploration strategy.
Evanston Deposit, A Key Growth Driver
The Evanston deposit within the Marda North area has emerged as a significant focus for resource growth. Leeuwin’s recent drilling campaign, the first substantial work at Evanston in over 20 years, has returned strong, shallow high-grade gold intercepts, including 9 metres at 5.23 g/t gold and 8 metres at 6.05 g/t gold. These results confirm the continuity of mineralisation and suggest the deposit remains open along strike and at depth.
Down-hole electromagnetic (DHEM) surveys have identified multiple untested targets down-dip, prompting the commencement of a 10,000-metre resource growth drilling program post-quarter. This targeted approach aims to expand the resource base further, potentially transforming Evanston into a much larger mineralised system than previously recognised.
Broader Project Potential and Exploration Strategy
Beyond Evanston, Leeuwin is advancing exploration across the Marda Central and Marda South areas. The Marda Central deposits, including Python, Taipan, Dolly Pot, and Gold Stream, currently hold a combined resource of 87,800 ounces at 1.26 g/t gold, with drilling confirming broad zones of higher-grade mineralisation and open extensions. Similarly, the Golden Orb deposit in Marda South hosts an inferred resource of 25,700 ounces at 1.56 g/t gold and remains underexplored.
Leeuwin’s disciplined, target-driven exploration is supported by geological modelling and geophysical techniques, with a clear focus on resource growth and upgrading. The company’s strategy includes systematic testing of structural trends and new prospective corridors to build a robust pipeline of follow-up targets.
Financial Position and Capital Raising
To underpin its aggressive exploration agenda, Leeuwin completed a strongly supported $5.8 million placement during the quarter, attracting existing shareholders alongside new sophisticated and institutional investors. The funds are earmarked to accelerate drilling and resource growth activities at Marda, as well as support business development and corporate functions.
At quarter-end, Leeuwin held a healthy cash balance of $6.1 million, providing a solid runway for the next phase of exploration. The company reported no mining production or development activities during the period, maintaining its focus squarely on resource definition and expansion.
Looking Ahead
Leeuwin Metals is poised to build on its maiden resource success with ongoing drilling programs, particularly at Evanston, where new DHEM targets and down-dip extensions are being actively pursued. The company’s methodical approach to exploration and resource growth, combined with a strong financial position, sets the stage for potential significant value creation in the coming quarters.
Bottom Line?
With a maiden resource in hand and fresh drilling underway, Leeuwin Metals is entering a critical growth phase that could reshape its standing in the gold exploration sector.
Questions in the middle?
- How will upcoming drilling results at Evanston influence the overall resource estimate?
- What timeline does Leeuwin envisage for advancing from resource definition to feasibility studies?
- Could further capital raisings be necessary to sustain aggressive exploration beyond current funding?