Scorpion Minerals Advances Old Prospect with Mining Lease and Drilling Plans

Mining Lease Application Marks Major Step for Old Prospect

Scorpion Minerals Limited (ASX:SCN) has taken a decisive stride forward in its Pharos Gold Project with the submission of a mining lease application (ML20/568) over the Old Prospect tenements in Western Australia. The tenements, acquired through a binding option agreement with Ozz Resources, contain a JORC 2012 compliant Mineral Resource Estimate of 312,400 tonnes grading 2.15 g/t gold for 21,600 ounces, with a strong 72% classified as indicated resources. This application signals Scorpion’s intent to transition from exploration to development at Old Prospect, a strategic addition to its portfolio.

CEO Michael Fotios highlighted the significance of the move, noting that the mining lease application coincides with a ramp-up of activity across the Pharos Project. The Old Prospect tenements offer an established resource with compelling high-grade growth potential, which Scorpion plans to aggressively pursue in upcoming drilling campaigns. The company’s expanded landholding along the Dalgaranga–Big Bell shear corridor now represents the largest in the region, a corridor historically underexplored despite its prospectivity.

Drilling Campaigns to Define Resource and Expand Mineralisation

Scorpion has mapped out an ambitious drilling program comprising 56 holes, including 5,000 metres of reverse circulation (RC) and 2,000 metres of diamond tails, targeting mineralisation up to 170 metres below surface. The campaign aims to infill and extend the existing resource along a 650-metre strike at Old Prospect North and South, with results expected to feed into an updated Mineral Resource Estimate and a scoping study slated for completion in the September quarter of 2026.

Historical drilling highlights at Old Prospect include impressive intercepts such as 8 metres at 8.78 g/t gold, including 2 metres at 30.8 g/t, and 7 metres at 9.10 g/t gold, including 1 metre at 56.1 g/t. Mineralisation remains open along strike and at depth, offering potential for significant resource expansion. Complementing this, Scorpion plans follow-up drilling of regional targets and detailed geological mapping to refine exploration targets.

Geophysical Survey and Strategic Partnerships Enhance Project Scope

To bolster exploration efforts, Scorpion has applied for a 37,200 line kilometre airborne geophysics survey under the Exploration Incentive Scheme. This survey will cover 1,850 square kilometres of the Pharos project area, infilling existing magnetic data and enabling comprehensive lithostructural analysis. The enhanced geophysical data, processed by Southern Geoscience Consultants, is expected to sharpen targeting across the project’s extensive tenure.

In parallel, Scorpion is advancing a strategic memorandum of understanding with Gylden Resources, owners of the Kirkalocka Project and its 2.1 Mtpa carbon-in-leach processing plant. This partnership could provide a critical processing pathway for Old Prospect’s gold, reducing capital intensity and accelerating development timelines. Discussions remain ongoing to formalise this agreement.

These developments build on Scorpion’s earlier progress securing the Old Prospect tenements, as detailed in its key gold tenements and lithium funding boost announcement in January 2026, where the company also highlighted strategic MOUs and high-grade gold intercepts within the Pharos Project.

Pharos Project’s Diverse Mineral Potential and Infrastructure

Beyond Old Prospect, the Pharos Project covers approximately 924 square kilometres in the Murchison region, with tenure prospective for gold, lithium, PGE-Ni-Cu, iron ore, and VMS-style copper-zinc-silver-gold mineralisation. The adjacent Mt Mulcahy deposit hosts a significant copper-zinc resource, underscoring the district’s polymetallic potential. Scorpion holds 100% interest in the project, which benefits from good access via the Great Northern Highway and sealed mine roads.

Scorpion’s multi-commodity approach and infrastructure partnerships position it well to leverage the Murchison’s resources, though the timing and outcome of the mining lease approval and formal processing agreements remain key uncertainties. The upcoming drilling results and resource updates will be critical in validating the project’s commercial prospects.