Barton Gold Uncovers New High-Grade Zones at Tunkillia Ahead of PFS

High-Grade Mineralisation Strengthens Early Project Economics

Barton Gold Holdings Limited (ASX:BGD) has delivered another tranche of compelling assay results from its Phase 2 reverse circulation drilling at the Tunkillia Gold Project in South Australia. The latest assays reveal significant high-grade gold mineralisation within shallow zones of the existing high-value ‘Starter Pit’ outlines, notably the ‘S1’ and ‘S2’ pits that drive the project’s initial economics.

Among the standout results are intervals such as 6 metres at 6.61 g/t gold from 70 metres depth, including a blistering 1 metre at 32.4 g/t, and 24 metres at 4.51 g/t from 47 metres, featuring 2 metres at 16.7 g/t. These grades are well above the average 1.05 g/t gold underpinning the pits, suggesting a material uplift in the grade profile that could enhance the project's profitability.

Resource Upgrade and PFS Milestones in Sight

Barton is awaiting a final batch of Phase 2 assay results before updating its JORC Mineral Resources for gold and silver. Managing Director Alexander Scanlon emphasised the potential impact: "Such mineralisation could materially boost Tunkillia’s already remarkable early operating economics." The company plans to release these resource upgrades in the coming months ahead of completing its Pre-feasibility Study (PFS) and submitting a Mining Lease application.

The PFS is on schedule for publication in the first quarter of 2027, supported by an array of ongoing technical and environmental programs. These include flora and fauna surveys, cultural heritage clearances, tailings storage facility design, infrastructure planning, and renewable energy evaluations aimed at reducing diesel reliance.

Robust Project Economics Anchored by Starter Pits

Tunkillia’s May 2025 Optimised Scoping Study outlined a robust project economics framework, forecasting annual production of approximately 120,000 ounces of gold and 250,000 ounces of silver. The ‘S1’ and ‘S2’ pits alone are modelled to generate around A$1.3 billion in operating free cash flow over the first 27 months at an average cash cost of A$1,429 per ounce.

These pits are pivotal, expected to deliver an operating profit of A$1.8 billion in the first 2.5 years at current metal prices, driving an unlevered pre-tax IRR of 73% and a payback period under one year. The new high-grade assays reported today reinforce the potential to further enhance these already attractive financial metrics.

Extensive Drilling and Geological Confidence

The Phase 2 drilling program, comprising approximately 39,000 metres of reverse circulation drilling, has focused on infilling and upgrading resource classifications within the Starter Pit zones. The drilling strategy was adjusted mid-program to target a newly identified domain of high-grade mineralisation, which the latest assays now confirm.

Drilling utilized industry-standard sampling and assay protocols, with Bureau Veritas in Adelaide conducting fire assay analyses. Quality control measures included field duplicates, certified reference materials, and blanks to ensure data integrity. Geological logging and downhole surveys support the robustness of the resource model.

Next Steps and Development Pathway

With the final assay batch imminent, Barton Gold is poised to update its Mineral Resources, a key milestone before finalising the PFS. The company’s integrated approach, combining resource growth with environmental and infrastructure planning, aims to de-risk the project ahead of financing and construction decisions.

As Tunkillia advances, the market will be watching how these high-grade discoveries translate into improved project economics and whether the PFS confirms the promising scoping study metrics. The timing of resource upgrades and the PFS release in early 2027 will be critical catalysts for Barton’s development narrative.