Alliance Nickel Unveils Promising Gold Intercepts at Australia United, Eyes Earn-In Deal

First Modern Drilling at Historically Rich Australia United

Alliance Nickel Limited (ASX:AXN) has reported assay results from its inaugural reverse circulation (RC) drilling program at the Australia United tenement in Western Australia’s Eastern Goldfields. This tenement, part of the broader Wanbanna package, had never seen systematic modern drilling despite historical gold production exceeding 4,000 ounces at exceptional grades between 28 g/t and 78 g/t from 1899 to 1907.

The 10-hole program, completed in February 2026, drilled approximately 720 metres targeting mineralisation around old underground workings. The results revealed significant gold intercepts including 3 metres at 3.2 g/t Au from 34 metres depth (with a standout 1 metre at 8.1 g/t) and 3 metres at 3.2 g/t Au from 68 metres, confirming the presence of potentially exploitable mineralisation.

Open Mineralisation and Positive Surface Sampling

The mineralisation remains open both along strike and at depth, suggesting the initial drilling has only scratched the surface. Further supporting the prospectivity, grab samples from tailings and spoil heaps around the workings returned positive gold values between 1.7 g/t and 2.4 g/t Au. This reinforces the potential for a larger mineralised system beyond the immediate drill intercepts.

Alliance’s Managing Director Paul Kopejtka highlighted the encouraging nature of these results, noting the lack of prior drilling and the clear rationale for further exploration. The company is moving quickly to capitalise on this, recommending follow-up RC drilling to test extensions and refine the structural understanding of the deposit.

Strategic Earn-In Talks Could Accelerate Development

In a move that could fast-track exploration and eventual mining, Alliance is in discussions with third parties about a potential earn-in arrangement over the Australia United tenement. Under this model, an incoming partner would fund further drilling and, if successful, mine development, while Alliance would retain an ongoing interest and royalty rights. Such arrangements can significantly de-risk the capital requirements for Alliance and bring in expertise and funding.

This development dovetails with Alliance’s broader strategy to optimise its flagship NiWest nickel cobalt project, where the company recently raised A$4.15 million to support capital cost optimisation efforts entitlement offer to raise A$4.15 million. The Australia United results add a complementary dimension to Alliance’s portfolio, potentially enhancing its footprint in critical minerals and precious metals.

Next Steps and Investor Considerations

Alliance plans further infill and extensional drilling to better define the mineralised zones and gather data necessary for a JORC 2012-compliant resource estimate. The initial program’s spacing and scale are insufficient for resource classification but provide a solid foundation for targeted follow-up.

While the assay results are promising, the earn-in agreement remains in negotiation and the ultimate terms, including funding commitments and Alliance’s retained interests, are yet to be disclosed. Investors should watch for updates on these discussions as well as results from the next drilling phase, which will be critical in assessing the tenement’s commercial viability.