Reedy Lagoon Corporation is advancing preparations for drilling at its Burracoppin Gold and Iron projects in Western Australia, while actively seeking joint venture partners to fund next phases.
- Drilling preparations underway at multiple Burracoppin gold prospects
- Heritage and landowner approvals progressing smoothly
- Joint venture partners sought for both gold and iron projects
- Exploration expenditure modest at $7,346 for the quarter
- Directors defer remuneration; related parties provide interest-free loans
Exploration Momentum Builds at Burracoppin
Reedy Lagoon Corporation Limited (ASX, RLC) has reported steady progress in its exploration activities for the quarter ended 31 December 2025, focusing on its Burracoppin Gold and Iron projects in Western Australia. The company is preparing for its first drilling campaign targeting multiple gold prospects including Lady Janet, Windmills, Shear Luck, and Zebra. These sites lie along the underexplored Yandina Shear Zone, a regional structure with promising geological indications.
Preparations have involved securing landowner access agreements, conducting heritage surveys under the Ballardong – Noongar Standard Heritage Agreement, and engaging drill contractors. Notably, heritage authorities have confirmed that no additional surveys are required for most planned drilling areas, reflecting the minimal risk to Aboriginal cultural heritage due to prior surveys and agricultural land use.
Gold and Iron Projects Seeking Partners
While the company holds 100% interest in both the Burracoppin Gold and Iron projects, it is actively seeking joint venture partners to share the financial burden of upcoming drilling and resource definition. The strong gold price environment bolsters the appeal of the gold project, while renewed interest in magnetite iron ore concentrates supports the iron project’s attractiveness.
The Burracoppin Iron project, centred on a magnetite deposit near the town of Burracoppin, benefits from excellent infrastructure including proximity to the Great Eastern Highway and the Trans-Australian Railway, facilitating transport logistics. Metallurgical testwork confirms the deposit’s amenability to beneficiation into high-grade iron concentrates, a key factor for marketability.
Financial Discipline and Funding Outlook
Exploration expenditure for the quarter was tightly controlled at $7,346, with no mining production activities reported. The company’s cash position stood at $76,000 at quarter-end. Directors have agreed to defer their remuneration payments until the company’s financial position improves, underscoring a commitment to prudent cash management.
Related parties have provided interest-free subordinated loans totaling $100,000, repayable only if the company remains solvent, offering additional financial flexibility. Reedy Lagoon continues to explore capital raising and farm-out opportunities to secure funding for its forthcoming drilling programs, which remain subject to permitting and landowner agreements.
Looking Ahead
Planned activities for the coming months include commencement of drilling at the Lady Janet prospect, further fine fraction soil sampling across the gold prospects, and resource drilling at the magnetite deposit. These steps aim to convert promising exploration targets into defined mineral resources, setting the stage for potential development decisions.
Reedy Lagoon’s strategy of leveraging joint ventures to advance its projects while maintaining financial discipline positions it to capitalize on favourable market conditions for gold and iron ore. However, the timing and success of funding arrangements will be critical to sustaining momentum.
Bottom Line?
Reedy Lagoon’s upcoming drilling campaigns and joint venture pursuits will be pivotal in shaping its Burracoppin projects’ future trajectory.
Questions in the middle?
- When will drilling commence and what initial results can be expected?
- Which potential joint venture partners are being targeted and on what terms?
- How will director remuneration deferral impact future financial flexibility?