Goodenough Gold Resource Grows to 1.36Mt at 1.40 g/t Au, Adding 15,000 Ounces

Significant Resource Upgrade at Goodenough

Resources & Energy Group Limited (ASX:REZ) has delivered a notable boost to its Goodenough Gold Deposit resource within the East Menzies Gold Project in Western Australia. The updated JORC (2012) Mineral Resource Estimate now stands at 1.36 million tonnes grading 1.40 grams per tonne gold, containing 61,200 ounces of gold. This represents a 54% increase in tonnage and an additional 15,090 ounces compared to the previous 2020 estimate.

The majority of this resource, approximately 56,400 ounces, is classified as Indicated, reflecting a high level of confidence in the geological continuity and grade. The resource is constrained within optimised open pit shells, which demonstrate reasonable prospects for eventual economic extraction under conservative assumptions including a gold price of AUD 5,000 per ounce and processing recovery of 90%.

Geological and Modelling Advances

The upgrade follows an extensive review of historical and recent drilling data, incorporating 251 drill holes spanning over five decades. The geological model was refined using advanced software and structural interpretation, revealing multiple plunging shoots of gold mineralisation near surface. These shoots plunge between 23 and 45 degrees to the south and remain open along strike and at depth, offering clear targets for resource growth.

World-class consultants from ERM Sustainable Mining Services contributed to the updated interpretation and resource estimation, applying Ordinary Kriging techniques with top-cutting of high-grade samples to reduce variability. The resource model now better aligns with the structural geology, removing artefacts from the previous model and improving the reliability of the estimate.

Economic and Operational Context

The Goodenough deposit is situated on Mining Lease M29/141 and Prospecting Licence P29/2409, within a prolific greenstone belt that hosts several other gold prospects including Maranoa and Gigante Grande. The resource upgrade complements these deposits, enhancing the overall value proposition of the East Menzies Gold Project.

REZ’s Managing Director, J. Daniel Moore, highlighted the significance of the upgrade as a reflection of the company’s improved data management and exploration systems. He noted that the mineralisation’s near-surface nature and the clear geometry of the gold shoots provide a strong foundation for future development. The company has recently completed further drilling at Goodenough, with assay results pending, which could further expand the resource.

Looking Ahead

While the current resource estimate is based on assumed mining and economic parameters, it lays the groundwork for more detailed feasibility studies. The open pit optimisation used conservative inputs, and there remains potential for underground mining if higher-grade shoots meet economic thresholds. Environmental and metallurgical factors have yet to be fully assessed, and these will be critical in advancing the project.

REZ plans to continue drilling, mapping, and density testing at Goodenough to refine the resource and support future mining studies. The company’s broader strategy focuses on growing its gold Mineral Resources to enable development beyond small-scale mining operations.