Lefroy Exploration has revised its Mt Martin gold resource estimate to 460,000 ounces at 1.6 g/t, marking a 5% increase driven by economic reclassification and deeper inferred resources. The company is advancing a 4,000m drilling program targeting high-grade extensions, with a scoping study set for the June quarter.
- 5% increase in Mt Martin gold resource to 460,000 ounces
- Resource now includes deeper inferred ounces below 200m
- Initial 4,000m RC drilling underway targeting high-grade zones
- Scoping study to commence in June quarter
- Mt Martin part of Lefroy’s +1 million ounce gold base
Mt Martin Resource Grows Without New Drilling
Lefroy Exploration Limited (ASX:LEX) has updated the Mineral Resource Estimate (MRE) for its wholly owned Mt Martin Gold Deposit in Western Australia, reporting a 5% increase to 460,000 ounces of gold at an average grade of 1.6 g/t. Notably, this uplift came without incorporating new drilling data, but rather from revised economic assumptions and the inclusion of inferred resources below 200 metres depth, now constrained within a A$7,000/oz optimised pit shell.
The revised MRE surpasses the previous 439,000-ounce estimate from 2024, solidifying Mt Martin’s role in Lefroy’s broader Lefroy Gold Project, which boasts over one million ounces across multiple deposits. This resource update underscores the project’s strategic position adjacent to established haulage and processing infrastructure in the prolific Kalgoorlie-Kambalda district.
Drilling Targets High-Grade Extensions Along Multiple Shear Zones
Drilling is well advanced at Mt Martin, with an initial 4,000-metre Reverse Circulation (RC) program focusing on shallow, high-grade resource growth corridors across the Main, East, and Adelaide Shear Zones. Early assays have highlighted promising intercepts such as 8m at 3.98 g/t Au including 4m at 7.16 g/t Au and 10m at 3.80 g/t Au including 1m at 12.7 g/t Au along the East Shear, alongside other significant hits down plunge and along strike.
The program is expected to conclude by mid-May with assay results anticipated in June, which could further enhance the resource base. Following this phase, Lefroy plans an expanded drilling campaign to widen the scope of targets at Mt Martin, reflecting the company’s ambition to grow the deposit’s footprint within the highly prospective Location 45 freehold land.
This drilling initiative builds on the company’s recent momentum, which includes first gold production and resource growth at Lucky Strike, Lefroy’s flagship deposit, where successful mining and milling operations have commenced. The company’s strategic focus on advancing multiple deposits simultaneously highlights a concerted effort to unlock value across its portfolio through resource expansion and development studies. first gold produced
Scoping Study to Assess Economic Potential in June Quarter
Complementing the drilling, Lefroy has announced plans to commence a scoping study at Mt Martin in the June quarter. This study will integrate geological, engineering, and metallurgical data to refine the deposit’s technical and economic profile. The updated MRE, which applies a 0.5 g/t gold cut-off and is optimised for a $7,000/oz gold price, supports the potential for a large open pit mining operation with reasonable prospects for eventual economic extraction.
Historical mining and processing data indicate that Mt Martin mineralisation is amenable to conventional carbon-in-leach gold processing with recoveries around 88%. However, the company notes that recent metallurgical test work is pending, with samples from ongoing drilling and historic core earmarked for targeted test programs to confirm ore characteristics and recovery rates.
Geological Complexity and Robust Resource Classification
The Mt Martin deposit is hosted within a structurally complex Archean greenstone belt featuring multiple shear zones with stacked, shallow-dipping sulphide and quartz-carbonate lodes. Lefroy’s geological interpretation, supported by over 1,200 RC and diamond drill holes, has modelled 120 distinct lodes grouped into five main structural domains. This detailed modelling underpins the resource classification, which now comprises 200,500 ounces Indicated and 259,500 ounces Inferred.
The resource classification criteria reflect confidence in data quality, drill spacing, and geological continuity, with Indicated resources defined by tighter sample spacing and estimation parameters. The company’s approach includes depletion for past mining and constrains resources within an optimised pit shell, ensuring reported figures represent material with reasonable economic extraction potential.
These technical steps position Mt Martin as a robust and well-understood asset within Lefroy’s portfolio, with ongoing drilling and study work designed to further de-risk and expand the resource.
Broader Growth Strategy Extends Beyond Mt Martin
Mt Martin’s resource update is a key pillar in Lefroy’s broader growth strategy, which includes advancing other deposits such as Burns Central and Lucky Strike. The company plans to update the Burns Central high-grade zone resource in the coming months, with extensional drilling slated for the September quarter.
With over one million ounces across the Lefroy Gold Project and multiple drilling campaigns underway, Lefroy is positioning itself for a potentially transformative period. The company’s focus on low-cost, near-surface, high-grade deposits with streamlined commercialisation pathways reflects a pragmatic approach to advancing gold resources in a competitive market. 4,000m drilling campaign
Bottom Line?
Lefroy’s Mt Martin resource update, driven by economic reclassification and ongoing drilling, sets the stage for a critical scoping study that could unlock value in one of the Kalgoorlie district’s promising gold deposits.
Questions in the middle?
- Will assay results from the current drilling confirm significant resource growth at Mt Martin?
- How will the upcoming scoping study influence Lefroy’s development timeline and capital allocation?
- What impact will metallurgical test outcomes have on the economic assumptions underpinning the resource?