Astral Resources Advances Mandilla DFS with Robust Drilling and $1.76M Placement

Mandilla Drilling Confirms High-Grade Potential and DFS Progress

Astral Resources (ASX:AAR) has pushed ahead with an intensive drilling campaign at its flagship Mandilla Gold Project, delivering over 14,000 metres of combined reverse circulation (RC) and diamond drilling during the March quarter. Notably, assays from seven diamond drill holes confirmed multiple high-grade intersections, including standout results such as 4.15 metres at 33.2 g/t gold and visible gold logged below the current open pit design, underscoring the potential for deeper extensions.

The drilling focused on Theia Stage 2 grade control, extensional targets at the Eos deposit, and sterilisation work to prepare for infrastructure development. A six-hole diamond drilling program targeting depth extensions beneath the current Stage Five open pit is underway, signalling Astral’s commitment to expanding orebody knowledge ahead of the Definitive Feasibility Study (DFS) completion.

While the Mandilla DFS remains on track for delivery in the second half of 2026, the company flagged that escalating geopolitical tensions in the Middle East have introduced volatility in oil and gas prices, potentially impacting supply chains and cost inputs. Astral is monitoring these developments closely but acknowledges the uncertainty this adds to financial modelling and project assumptions.

This steady progress aligns with the company’s earlier significant progress in its Mandilla Gold Project update, reinforcing the narrative that Mandilla is shaping up as a major new gold operation in Western Australia.

Feysville’s Think Big JV Targets Early Production

At the Feysville Gold Project, assay results from 17 RC holes at the Kamperman deposit revealed strong grades, including 14 metres at 6.79 g/t gold and 13 metres at 6.60 g/t, supporting resource growth and improved geological understanding of high-grade zones. Feysville’s Mineral Resource Estimate stands at 5 million tonnes at 1.2 g/t gold for 196,000 ounces, contributing materially to the overall Mandilla project production target.

Astral is advancing a proposed joint venture with Mineral Mining Services Pty Ltd (MMS) for the Think Big deposit, aiming to leverage MMS’s funding and operational expertise to accelerate development. The JV structure envisages MMS funding 100% of development costs, recouped from initial cash flows, with profit sharing thereafter. Subject to finalisation and approvals, mining could commence in the second half of 2026, dovetailing with the Mandilla DFS timeline.

Spargoville Exploration Identifies New Targets and Expands Known Deposits

Exploration at Spargoville remains active, with 114 RC holes drilled during the quarter, focusing on resource definition at the Wattle Dam Complex and 5B deposit, alongside sterilisation drilling for infrastructure planning. Recent assay results from the Wattle Dam Complex confirmed multiple high-grade intersections, including 13 metres at 7.10 g/t and 5 metres at 9.35 g/t gold, with mineralisation remaining open at depth and lateral extensions identified.

Astral’s target generation work over Spargoville has identified a significant pipeline of high-priority drill targets along more than 20 kilometres of prospective strike, representing a new frontier for satellite ore feed potential. This exploration push follows the company’s high-grade gold hits at Spargoville’s Wattle Dam Complex earlier this year and suggests a growing resource base beyond Mandilla and Feysville.

Corporate and Financial Position Remain Strong

On the corporate front, Astral completed Tranche 2 of its placement, issuing 8.4 million shares at $0.20 each and raising $1.76 million. This follows a larger $65 million two-tranche raise announced in December 2025. The company ended the quarter with approximately $73 million in cash, down slightly from $76 million the previous quarter, reflecting ongoing exploration and development expenditure.

Quarterly cash outflows totalled about $4.9 million, predominantly directed towards exploration and evaluation activities (81%), with staff and corporate costs making up the remainder. The company also reported the exercise of 1 million options during the quarter, contributing additional inflows.

Astral continues to progress permitting, heritage clearance surveys, and water exploration as part of its DFS preparation, with a Final Investment Decision expected shortly after DFS completion. The company’s consolidated Mineral Resource Estimate now totals 50 million tonnes at 1.1 g/t gold for 1.76 million ounces, with Ore Reserves of 36.6 million tonnes at 0.9 g/t for 1.08 million ounces.