Ausgold Accelerates Katanning Drilling After High-Grade Gold Hits

Strong Assay Results Drive Expansion

Ausgold Limited (ASX: AUC) has announced a significant expansion of its drilling campaign at the Katanning Gold Project (KGP) in Western Australia, increasing the program to 54,000 metres. This decision follows the receipt of robust assay results from 79 reverse circulation drill holes totalling over 11,300 metres, primarily targeting the Central and Southern Zones of the project.

The results include broad and high-grade gold intercepts, such as 14 metres at 3.91 grams per tonne (g/t) from 41 metres depth in the Jinkas deposit and 20 metres at 1.20 g/t from 180 metres in the Southern Zone’s Dingo deposit. These findings not only confirm resource extensions beyond the current 2.44 million ounce Mineral Resource but also reinforce the continuity and scale of the mineralised system.

Accelerated Drilling and Metallurgical Insights

To expedite exploration, Ausgold is mobilising a fifth drill rig, including an additional diamond rig, to accelerate deep drilling programs at key targets such as Datatine and Jinkas Deeps. The company currently operates four rigs and is awaiting assay results from approximately 12,000 metres of drilling, which could further enhance resource confidence.

Metallurgical diamond drilling has yielded encouraging results, with hole BSDD050 returning 8 metres at 9.54 g/t gold, including 5.8 metres at 13.15 g/t. These higher-than-expected grades early in the mine schedule suggest potential for improved feed grade and project economics in the initial years of production.

Resource Growth Across Multiple Zones

The KGP encompasses three main mineralised zones: Northern (Datatine), Central (Jinkas-White Dam, Jackson, Olympia), and Southern (Dingo, Lukin). The recent drilling has extended mineralisation down-plunge and beyond existing resource envelopes, particularly in the Central and Southern Zones. In-fill drilling has also confirmed or exceeded modelled grades, supporting future reserve conversion and mine planning.

Ausgold’s Executive Chairman, John Dorward, emphasised the company’s confidence in the project’s growth potential, noting the deliberate acceleration of drilling activities to unlock further resource expansion. The company plans to integrate these results into an updated Mineral Resource Estimate scheduled for release in the third quarter of 2026.

Looking Beyond Current Footprints

Beyond the immediate resource areas, Ausgold intends to commence reverse circulation drilling at regional targets such as Nanicup Bridge and Kulin, broadening the exploration scope across its extensive 3,000 square kilometre tenure in southwestern Western Australia. This strategic move aims to identify new discoveries that could complement the existing resource base.

Overall, the expanded drilling program and positive assay results position Ausgold to aggressively pursue resource growth and enhance the project’s value proposition as it advances towards development.