King River Resources Targets High-Grade Gold Growth with Mindoolah Acquisition

Strategic Acquisition in a Proven Gold Province

King River Resources Ltd (ASX – KRR) has taken a decisive step to bolster its portfolio by securing an exclusive option to acquire the Mindoolah Gold Project, located approximately 70 kilometres northwest of Cue in Western Australia's highly prospective Murchison Province. This region is renowned for its rich gold endowment, hosting over 35 million ounces historically, and offers excellent infrastructure access, including proximity to the Great Northern Highway and established mining operations.

The Mindoolah Project stands out for its exceptional historic gold grades, with past production averaging 19.02 grams per tonne (g/t) gold. Notably, significant high-grade mineralisation remains unmined at shallow depths, including drill intercepts such as 4 metres at 9.30 g/t gold from just 33 metres downhole. These figures underscore the project's potential to deliver rapid value through targeted exploration and development.

Exploration Potential and Forward Strategy

King River Resources plans to leverage modern exploration techniques to unlock the extensive potential of the 100 square kilometres of tenure, much of which remains under shallow cover and under-explored. The company’s 2026 work program is comprehensive, beginning with a detailed aeromagnetic survey designed to clarify structural geology obscured by regional iron formations. This will be complemented by bulk sampling of historic stockpiles to verify grade and metallurgical characteristics, structural mapping of historic pits, and a maiden air-core drilling campaign aimed at testing key geological targets.

Managing Director Graham Gadsby emphasised the strategic nature of the acquisition, highlighting the opportunity to expand on historic results rather than merely replicate them. The presence of unmined high-grade zones at shallow depths presents a compelling case for near-term exploration success, while the broader tenure offers significant scope for discovering new mineralised zones.

Transaction Details and Economic Considerations

The acquisition is structured through an exclusive option agreement, exercisable until 30 June 2026, with an initial non-refundable option fee of A$225,000. Upon exercise, King River will pay A$600,000 in cash and grant royalties to the vendor – a 1% net smelter royalty on deep ore production capped at A$1 million, and a 10% gross revenue royalty on shallow ore production, which is uncapped. This royalty structure balances upfront capital outlay with ongoing vendor participation in project success.

The project’s geology is characterised by high-grade quartz reefs and stockworks hosted within felsic intrusives and greenstone sequences, typical of the Youanmi Terrane. Historical exploration and mining data, including rock chip sampling and reverse circulation drilling, provide a robust foundation for King River’s planned systematic exploration approach.

Outlook and Market Implications

King River Resources’ entry into the Mindoolah Gold Project marks a significant growth milestone, positioning the company to capitalise on a high-grade asset in a Tier-1 jurisdiction. The combination of historic high grades, unmined mineralisation, and a large under-explored tenure creates a compelling exploration and development opportunity. Investors will be watching closely as the company advances its 2026 exploration program, which could rapidly redefine the project’s value and King River’s market standing.