OzAurum Confirms High-Grade Shallow Gold Continuity at Mulgabbie North Paleochannel

Strong Early Drilling Highlights Shallow Gold Potential

OzAurum Resources Ltd (ASX:OZM) has unveiled compelling high-grade gold results from the first 3,010 metres of its ongoing 18,000-metre grade control drilling program at the Mulgabbie North Paleochannel Project in Western Australia's Eastern Goldfields. The initial batch of 84 reverse circulation (RC) holes confirms the continuity of near-surface mineralisation along a paleochannel system extending over 4 kilometres, with standout intercepts including 6 metres at 4.46 g/t gold, featuring a 1-metre segment at 17.34 g/t Au.

These findings reinforce the high-grade tenor previously reported within the system, which includes bonanza-grade hits such as 1 metre at 162 g/t Au, underscoring the potential to add significant ounces to the existing Mineral Resource base of approximately 260,000 ounces.

Resource Growth and Development Implications

CEO Andrew Pumphrey emphasised the significance of the shallow depth and favourable geometry of the mineralisation, noting that the ongoing drilling along the 4km trend presents clear upside to define additional high-grade ounces. This could materially influence future development scenarios, particularly the heap leach pathway that OzAurum is advancing at Mulgabbie North.

The paleochannel gold mineralisation, hosted within an ancient river system, lies west of the Relief Shear and is interpreted to have a northwest paleo flow with a 30-metre height drop over the 4-kilometre strike. This coherent mineralised system is consistent with analogous paleochannel deposits in the Eastern Goldfields, such as Kanowna, which historically produced approximately 70,000 ounces via open pit and heap leach with recoveries exceeding 85%.

OzAurum’s recent heap leach test work, which demonstrated up to 90% gold recovery and rapid leach kinetics, complements these drilling results and supports a cost-effective, scalable processing route for the Paleochannel mineralisation heap leach test results. The integration of grade control drilling with metallurgical advances is central to accelerating the project’s pathway to production.

Drilling Program and Future Exploration Plans

The reported holes were drilled on 10-metre spaced lines with 5 to 10-metre hole spacing along lines, designed to test the continuity and widths of the high-grade zones within the paleochannel. The mineralisation remains open along strike and at depth, with further diamond and RC drilling planned to expand the resource and refine mine design parameters.

This drilling campaign follows OzAurum’s announcement of the 18,000-metre program initiated earlier in the year, aimed at underpinning the Stage 2 heap leach feasibility study and optimising mine plans major drilling campaign. The company also continues to progress heap leach plant refurbishment and environmental approvals, advancing the project towards near-term production.

Geological Insights and District-Scale Upside

The paleochannel mineralisation is interpreted as primary gold that has undergone erosion and remobilisation, with multiple potential source zones inferred, including at least one southwest of the current resource. This geological understanding enhances targeting confidence and suggests the potential for further resource growth beyond the current footprint.

Historically, paleochannel systems in the region have been a precursor to major primary gold discoveries, exemplified by the ~8-million-ounce Kanowna Belle deposit. OzAurum’s ongoing exploration at Mulgabbie North could therefore carry district-scale implications if further high-grade mineralisation is delineated.