Barton Gold Launches Drilling to Unlock 313koz Resource Upgrade by Mid-2026

Barton Gold Accelerates Resource Upgrade at Challenger

Barton Gold Holdings Limited (ASX, BGD) has commenced a significant drilling program at its Challenger Gold Project in South Australia, aiming to convert existing mineral resources into JORC-compliant Ore Reserves. The company has engaged Kennedy Drilling to undertake up to 8,000 metres of reverse circulation drilling focused on the Challenger ‘Main’ and ‘Challenger West’ open pits, as well as additional nearby targets.

This drilling campaign follows recent resource upgrades that increased the Challenger Mineral Resource Estimate to 313,000 ounces of gold. The objective is to underpin a Definitive Feasibility Study (DFS) scheduled for completion by 30 June 2026, which will establish a simplified, low-risk Stage 1 operation. This initial phase plans to utilise historical higher-grade tailings and easily accessible near-surface mineralisation, deliberately avoiding disturbance of the underground mine and existing infrastructure.

Strategic Focus on Central Gawler Mill Restart

Central to Barton’s development strategy is the reinstatement of the Central Gawler Mill (CGM), the region’s only existing gold processing facility. Restarting the CGM is expected to bring Barton to producer status and unlock optionality across its portfolio, including the Tarcoola, Wudinna, and Tolmer projects. By focusing initially on open-pit and tailings feed, the company aims to defer the higher technical risks and costs associated with underground mining to a later stage.

Managing Director Alexander Scanlon emphasised the strategic rationale, "Our goal is to commence a baseline operation that minimises cost and risk while maximising development optionality across our regional assets. The DFS and resource upgrade drilling are critical steps toward this goal, especially given the current favourable gold and silver price environment."

Financing and Regional Growth Prospects

Barton is actively engaging with credit providers, mineral traders, and investment groups to secure financing for the Stage 1 operation. The company targets completing the DFS and establishing JORC Ore Reserves by the end of June 2026, with project financing expected to follow shortly thereafter.

In parallel, Barton is advancing its large-scale Tunkillia Gold Project, aiming to lodge a Mining Lease application by the end of 2026. This project, boasting 1.6 million ounces of gold and 3.1 million ounces of silver in resources, represents a significant growth opportunity complementing the Challenger development.

Outlook and Market Positioning

Barton Gold’s approach reflects a pragmatic balance between risk management and growth ambition. By leveraging existing infrastructure and focusing on near-surface resources initially, the company positions itself to respond flexibly to market conditions and optimise value extraction over the coming decade. The successful completion of the DFS and securing of financing will be critical milestones to watch.