GBM Resources has reported compelling high-grade gold intersections outside the current Mineral Resource Estimate at its Twin Hills project, reinforcing the potential for resource expansion as its aggressive 50,000m Stage 2 drilling campaign advances.
- High-grade gold intercepts outside existing resource at Lone Sister
- 115m @ 1.69g/t Au including 16m @ 5.50g/t Au confirms continuity of richer zones
- Three drill rigs active targeting resource growth and grade uplift
- Stage 2 program aims to expand ~1Moz resource and support prefeasibility
- Updated Mineral Resource Estimate planned for later in 2026
High-Grade Gold Beyond Current Resource Boundaries
GBM Resources Limited (ASX:GBM) has unveiled assay results from the initial three drill holes of its Stage 2 program at Lone Sister within the Twin Hills Gold Project in Queensland, revealing significant high-grade gold mineralisation outside the existing Mineral Resource Estimate (MRE). The standout intercepts include 22 metres at 3.65 grams per tonne (g/t) gold from 149 metres and a striking 115 metres at 1.69 g/t gold from 73 metres, featuring higher-grade zones such as 16 metres at 5.50 g/t gold. These results reinforce the continuity of richer gold zones previously hinted at in Stage 1 drilling and suggest meaningful upside to both resource size and grade.
Notably, drill hole LSDH005 ended in mineralised rhyolite, the primary host rock, indicating potential for extensions beyond current drilling depths. GBM has commenced diamond tails on these RC pre-collars to test these down-dip and deeper targets, aiming to unlock further ounces and improve resource confidence ahead of an updated MRE later this year.
Aggressive Multi-Rig Campaign Targets Resource Growth
The Stage 2 program is a substantial 50,000-metre multi-phased drilling campaign designed to build on the promising Stage 1 results, which included intercepts such as 52 metres at 2.77 g/t gold from 299 metres at Lone Sister and 37 metres at 5.00 g/t gold from 225 metres at the 309 deposit. Currently, three drill rigs are operating across Lone Sister and 309, focusing on infill drilling to close gaps in the resource model and step-out drilling to test extensions along strike and at depth.
This campaign prioritises near-surface mineralisation amenable to open-pit mining, supporting future prefeasibility study work. It also targets deeper feeder structures and high-grade ore shoots that could enhance project economics. The company’s geological team has refined models to better understand mineralisation controls, guiding drilling strategies that aim to increase both scale and grade.
GBM’s Chief Executive Officer, Daniel Hastings, highlighted the significance of the LSDH005 intercept, stating it supports the continuity of higher-grade zones within the deposit and the potential to uplift the overall resource grade. This aligns with earlier Stage 1 drilling confirming structural controls on mineralisation, a theme also observed in high-grade gold extensions at Twin Hills 309 deposit.
Supporting Studies and Operational Readiness
Beyond drilling, GBM is advancing metallurgical, geotechnical, and waste rock characterisation studies using samples from the Stage 2 program. These efforts aim to validate processing flowsheets and inform development planning. Geotechnical logging and structural studies are ongoing to support mine design and optimise extraction methods.
Earlier in the year, flooding and Cyclone Koji caused delays in drill rig mobilisation and sample dispatch, but since April, drilling activity has accelerated with three rigs now active. The company has also prepared drill pads and RC pre-collars to enable diamond drilling, which uses less fuel and can continue if diesel supplies become constrained.
What Lies Ahead for Twin Hills
With approximately 32% of the Stage 2 program completed at Lone Sister, and assays from further holes pending, GBM is positioning Twin Hills for a material resource upgrade. The project currently hosts around 1 million ounces in the MRE, part of a broader Drummond Basin portfolio totalling 1.84 million ounces across Twin Hills, Yandan, and Mt Coolon.
Investors will be watching how subsequent assay results and diamond tail drilling shape the resource update expected later this year. The ability to demonstrate both scale and improved grade continuity will be critical to advancing Twin Hills through prefeasibility and eventually into production.
Bottom Line?
GBM’s expanding high-grade intersections at Twin Hills suggest the resource could grow both in size and quality, but the full impact hinges on upcoming assay results and the planned resource update.
Questions in the middle?
- Will diamond tail drilling confirm deeper high-grade extensions at Lone Sister?
- How will metallurgical test work influence processing strategies for Twin Hills?
- What impact will ongoing assay results have on the timing and scale of the updated MRE?