Sparse Drilling Leaves Gold Continuity at MCE Uncertain, Sligo Water Potential Emerges

Exploration Update at Morgan’s Castle East and Sligo

Redcastle Resources Ltd (ASX, RC1) has released assay results from its recent reverse circulation (RC) drilling campaigns at Morgan’s Castle East (MCE) and Sligo, two key prospects within its Western Australian gold portfolio. The drilling program, although curtailed to approximately 85% of the planned 2,700 metres due to challenging ground conditions and groundwater ingress, has provided valuable insights into the mineralisation potential of these areas.

Broad, Low-Grade Gold System at MCE

The MCE drilling confirmed the presence of a broad, low-grade gold mineralised system. While the overall grade tenor is modest, the results suggest the existence of narrower, higher-grade veins within this broader envelope. This pattern aligns with Redcastle’s previous drilling and historical data, indicating that gold mineralisation may be structurally controlled and concentrated in discrete shoots. However, the current drill spacing is too sparse to confidently interpret the continuity, orientation, or true thickness of these higher-grade zones.

Redcastle plans to undertake further assessment by assaying 1-metre split samples from the existing 4-metre composites to better understand grade distribution. This step will inform whether closer-spaced drilling is warranted to delineate higher-grade shoots, potentially enhancing the resource base and supporting future mine planning.

Sligo Drilling Highlights Potential Water Resource

In contrast, the limited RC drilling at Sligo did not return significant gold intercepts consistent with historical indications. Nevertheless, the discovery of groundwater in one drill hole points to a potential aquifer. This finding could be strategically important, offering a possible water supply source for mining operations at nearby Queen Alexandra and Redcastle Reef deposits. Redcastle intends to conduct further hydrogeological assessments and detailed geological mapping to refine future exploration targets and evaluate the aquifer’s viability.

Context and Next Steps

The MCE and Sligo prospects lie within the broader Redcastle Project Area, situated in the prolific Leonora-Laverton greenstone belt, a region known for significant gold production. Redcastle’s exploration approach combines modern drilling techniques with a careful review of historical data, including non-JORC compliant RAB drilling from previous operators, to build a comprehensive geological model.

Looking ahead, Redcastle Resources will prioritise further sampling and structural interpretation at MCE to clarify the extent and grade of mineralisation. At Sligo, exploration will focus on integrating geophysical and geochemical data with hydrogeological studies to assess both mineral and water resource potential. The company’s strategic joint venture and portfolio expansion efforts underscore its commitment to advancing these targets toward development.