Tungsten Mining Launches Major Drilling to Unlock Watershed’s High-Grade Potential

A Strategic Move Amid Robust Tungsten Prices

Tungsten Mining NL (ASX:TGN) has announced a significant drilling program at its Watershed tungsten deposit, located 130 kilometres north of Cairns. Scheduled to start in June 2026, the campaign will involve 175 reverse circulation drill holes totalling 15,000 metres. The objective is clear: to better define near-surface, high-grade tungsten mineralisation that could accelerate the project’s development timeline.

Chairman Gary Lyons emphasised the importance of the timing, noting that sustained record-high tungsten prices reinforce the value of securing supply from a tier-one mining jurisdiction. This drilling program is a direct response to favourable market conditions, aiming to unlock value from Watershed’s substantial resource base.

Building on a Solid Resource Foundation

The Watershed deposit boasts a JORC 2012 Mineral Resource Estimate of 49.3 million tonnes grading 0.14% tungsten trioxide (WO3). This includes measured, indicated, and inferred resources, with the highest confidence category measured at 9.5 million tonnes at 0.16% WO3. The deposit sits within granted mining leases and holds environmental approvals for open-pit mining, positioning it well for potential development.

The planned drilling will focus on infilling five key near-surface zones to a 20-metre spacing, aiming to delineate discrete high-grade plunging zones. These results will feed into an ongoing Project Economic Evaluation, which is assessing whether accelerated development pathways are viable. The evaluation is expected to conclude by the third quarter of 2026, with the possibility of moving into early development pending board approval and positive outcomes.

Geological Context and Technical Approach

Geologically, Watershed lies within the Mossman Orogen, characterised by deformed metasedimentary rocks intruded by granites. Tungsten mineralisation is primarily hosted in shear-related quartz feldspar veins within calc-silicate altered conglomerates. The drilling program will refine the understanding of these high-grade zones, which are critical for future resource modelling and engineering design.

Assay results from the drilling are expected to be released periodically starting approximately six weeks after drilling commences, providing the market with ongoing updates on progress and findings.

Market and Strategic Implications

The tungsten market remains buoyant, driven by demand across aerospace, defence, electronics, and industrial sectors. Tungsten’s unique properties, including its high melting point and strength, make it a critical mineral in modern manufacturing. Tungsten Mining’s strategy to advance Watershed aligns with global efforts to secure reliable sources of critical minerals amid geopolitical uncertainties and supply chain challenges.

With a robust resource base, environmental approvals in place, and a clear plan to define high-grade zones, Tungsten Mining is positioning Watershed as a potentially significant contributor to the global tungsten supply chain. Investors and industry watchers will be keenly observing assay results and the outcomes of the economic evaluation in the coming months.