Metal Bank is pushing its Western Australian gold projects closer to production while expanding critical minerals exploration in Queensland, supported by a $1.2 million placement.
- Mining lease applications lodged for Seven Leaders and Livingstone gold projects
- Value engineering study underway to optimise gold recovery at Seven Leaders
- Millennium project advances with graphite metallurgical studies and government grant support
- Placement raised $1.2 million at 30% premium to fund development
- Native title and environmental approvals progressing
Seven Leaders Gold Project Nears Production Milestone
Metal Bank Limited (ASX:MBK) is steadily advancing its Seven Leaders deposit at the Whiteheads Gold Project in Western Australia, targeting near-term production. The company lodged a mining lease application during the June quarter, underpinning its strategy to kickstart mining operations with a conventional open-cut method. The Seven Leaders maiden JORC 2012 Mineral Resource Estimate stands at 138,000 tonnes grading 1.4g/t gold for 6,300 ounces, predominantly indicated, providing a solid foundation for a starter pit.
Recent operational moves include a value engineering study focused on gravity gold recovery, led by newly appointed Head of Processing Philip Engelbrecht. This follows encouraging initial gravity recovery results, aiming to optimise processing efficiency. Meanwhile, MBK has signed a memorandum of understanding with Terra Mining for mining and crushing services, positioning the project for a potential Q4 2026 production start, subject to approvals. Environmental and native title processes are also progressing, with flora and fauna surveys completed and agreements underway with the Kakarra Traditional Owners and local landholders.
Livingstone Gold Project Advances Mining Plans
At the Livingstone Gold Project, MBK is advancing mining lease applications for the Homestead and Winja deposits, alongside mining studies for the Kingsley deposit. The project holds a combined JORC 2012 Mineral Resource Estimate of 2.81 million tonnes at 1.36g/t gold for 122,600 ounces, with a mix of inferred and indicated resources. The Homestead deposit alone offers 1 million tonnes at 1.35g/t gold for 43,400 ounces, mostly indicated, all near surface and within trucking distance of existing processing facilities.
During the quarter, the company completed flora and fauna surveys and continues mine plan optimisation with consultants. Native title negotiations and community engagement remain active, reflecting the company’s efforts to secure social licence and regulatory approvals. These steps aim to pave the way for staged production from Livingstone’s deposits following Seven Leaders.
Millennium Critical Minerals Project Gains Momentum
In Queensland, MBK’s Millennium project is progressing as a critical minerals opportunity with cobalt, copper, gold, and graphite resources. The project holds a JORC 2012 Inferred Resource of 8.4 million tonnes grading 0.29% copper, 0.09% cobalt, and 0.12g/t gold, with graphite mineralisation identified over a 2km strike length. Supported by a $250,000 Queensland Government Collaborative Exploration Initiative grant, MBK completed diamond drilling and initial metallurgical studies on graphite, revealing fine-grained mineralisation amenable to flotation with promising recovery rates.
Further exploration is planned around a ‘gap zone’ within the mining lease application area, aiming to expand the resource base. MBK also signed a memorandum of understanding with Austral Resources to assess toll treatment of Millennium ore at the nearby Rocklands processing facility, which is targeting a restart within two years to serve multiple regional projects.
Capital Raise Supports Project Development
To fund its accelerating development plans, MBK completed a placement raising $1.2 million at $0.017 per share, representing a 30% premium to the prior market price. The capital injection is earmarked for advancing gold projects in Western Australia towards production, as well as general working capital. Director fees and salaries accounted for $118,000 of quarterly expenditure, while exploration and administration costs totalled $387,000 and $116,000 respectively.
MBK’s portfolio also includes the Ark and Darcys gold projects in Western Australia and gold projects in South East Queensland, where no exploration occurred this quarter as the company seeks joint venture or divestment opportunities to unlock value.
Bottom Line?
Metal Bank’s methodical push towards production at Seven Leaders and Livingstone, combined with critical minerals progress at Millennium, positions it for pivotal milestones in the coming year.
Questions in the middle?
- Will MBK secure final mining approvals and native title agreements in time for planned production starts?
- How will the value engineering study impact gold recovery rates and project economics at Seven Leaders?
- Can the graphite metallurgical work at Millennium unlock new revenue streams alongside cobalt and copper?