Koonenberry Gold (ASX:KNB) bolstered its NSW portfolio by acquiring the Gundagai Gold-Copper Project and delivering strong drill results at Enmore and Junee JV, positioning for an active exploration phase.
- Binding agreement to acquire Gundagai Gold-Copper Project
- Sunnyside and Postman’s Gully drilling confirm extensive gold mineralisation
- Newmont-funded drilling underway at Junee Joint Venture
- Multiple Lachlan Fold Belt projects advanced to drill-ready status
- Leadership reshuffle with new Executive Chairman and Technical Director
Strategic Gundagai Acquisition Expands Lachlan Fold Belt Footprint
Koonenberry Gold has inked a binding deal to acquire 100% of the Gundagai Gold-Copper Project in NSW, adding a 485km2 contiguous tenement package to its Lachlan Fold Belt assets. This move significantly strengthens its position in a region known for high-grade epithermal-porphyry and orogenic gold-copper systems. Historic rock chip assays boast exceptional grades up to 386g/t gold and 27.05% copper, while limited drilling has returned promising intercepts such as 20m at 1.78g/t gold from 27m depth and 7.6m at 1.08% copper. The acquisition complements Koonenberry’s existing Prince of Wales and Brungle projects and the Newmont JV at Junee, consolidating a commanding ground position in the underexplored southern Junee Narromine Belt. A rapid, low-cost exploration program focusing on surface geochemistry and targeted geophysics is planned to identify near-term drill targets.
Sunnyside and Postman’s Gully Drilling Confirm Robust Gold Systems
At the Enmore Project, drilling at Sunnyside has extended mineralisation to over 415m vertical depth and confirmed continuity across more than 200m strike, with visible gold in 17 of 22 holes. Highlights include 24m at 1.03g/t gold from 172m and a high-grade 0.6m interval at 29.25g/t gold. These results underscore the prospect’s open-ended potential both along strike and down-dip, with ongoing work targeting structural controls on higher-grade zones.
First-pass diamond drilling at Postman’s Gully, testing the Borah Fault for the first time, returned encouraging intersections such as 12m at 1.02g/t gold including 4m at 2.54g/t gold from 227m depth, and 7m at 1.18g/t gold from 81m. The mineralisation remains open in multiple directions, demonstrating district-scale potential and expanding the exploration search space into sediment-hosted settings, which may have positive implications for other regional targets.
Newmont-Funded Junee JV Drilling Commences on Large Gold Anomaly
Drilling has commenced under the Newmont-managed Junee Joint Venture, targeting the Allawah Prospect’s extensive gold-in-soil anomaly spanning more than 1.5km by 1km. Previous drilling at Allawah includes 20m at 1.15g/t gold with higher-grade zones up to 4m at 2.84g/t gold. The current nine-hole, 1,800m diamond campaign aims to test the strike extent of mineralisation coinciding with significant geophysical anomalies. Results are expected in the coming quarters, marking a critical step in advancing this fertile Macquarie Arc segment.
Dunedoo Project Advances to Drill-Ready Status with Porphyry Target
Koonenberry has defined multiple priority drill targets at its Dunedoo Gold-Copper-Silver Project, including a potential porphyry copper-gold system at Bolinda Vale. This target is supported by a large-scale magnetic high, coincident induced polarisation chargeability anomalies, and zoned hydrothermal alteration typical of Macquarie Arc porphyry systems. Additional epithermal gold-silver targets at Tucklan and Hillside also show robust geochemical signatures and are permitted for drilling in Q3 2026, setting the stage for an active exploration campaign across the Lachlan portfolio.
Leadership Restructure and Financial Position
In a significant governance move, Paul Harris has been appointed Executive Chairman and Darren Glover Executive Technical Director, jointly assuming managing director responsibilities following Dan Power’s departure. This joint leadership model aims to combine strategic oversight with technical expertise to drive the company’s next growth phase.
Financially, Koonenberry ended the quarter with $2.38 million in cash and no debt, having spent $1.62 million on exploration activities. Operating costs were $418,000 for the quarter. The company has since announced a $4 million placement to bolster its exploration funding, reflecting confidence in its expanding project pipeline.
Bottom Line?
Koonenberry Gold’s Gundagai acquisition and solid drill results set a busy exploration agenda, but the company’s near-term progress will hinge on upcoming assay results and successful capital deployment.
Questions in the middle?
- How will the integration of Gundagai’s high-grade targets influence Koonenberry’s resource base and exploration priorities?
- Will the Newmont-funded Junee JV drilling confirm extensions to the known gold mineralisation and justify further investment?
- Can the dual leadership model effectively balance strategic growth with technical execution during this expanded exploration phase?