Black Cat finds high-grade continuity at Coyote before shifting capital

High-Grade Coyote Intercept Strengthens Infill Case

Black Cat Syndicate Limited (ASX:BC8) has produced a sharp result from the Coyote Central gold operation, with one infill hole returning 1.46 metres at 47.05g/t gold from 313.54 metres. The same hole also delivered 0.91 metres at 4.88g/t from 219 metres, while other holes returned intervals including 1 metre at 11.07g/t and 1 metre at 10.30g/t.

The results came from five holes aimed at Inferred portions of Coyote Central’s existing 430,000-ounce resource, which is reported at 8.5g/t gold and is approximately 54% Indicated. Black Cat said all five infill holes intersected gold mineralisation within or adjacent to the targeted Inferred Resource, increasing geological confidence in those areas. The reported lengths are downhole measurements, not confirmed true widths.

Dolerite Target Opens a Deeper Exploration Question

Two deeper step-out holes tested the down-plunge extension of the Axial Core Zone. One intersected altered dolerite containing narrow vein-hosted mineralisation, including 0.30 metres at 1.07g/t gold from 593.81 metres and 0.30 metres at 1.36g/t from 653.20 metres.

Those grades are modest beside the headline infill result, but the geological observation is more important than the ounces represented by these individual intersections. Black Cat said the dolerite intrusion is gold-bearing and may have been a source of mineralisation at depth. Future drilling is intended to test the ground above the intrusion farther south, which the company describes as a potentially favourable zone for associated mineralisation.

Coyote Program Paused as Capital Moves to Producing Assets

The immediate investment tension is that the encouraging results will not lead to an uninterrupted drilling campaign. Managing Director Chris Stone said the current Coyote program has been placed on hold for the remainder of FY27 while capital is redeployed to Paulsens and Kal East, with Coyote work to resume after life-of-mine activities at the producing assets are completed. The decision arrives after Black Cat outlined its FY27 exploration budget, which included up to $35 million for exploration and resource conversion.

Coyote remains in care and maintenance, while the company’s June 2026 resource table records 645,000 ounces across the broader Coyote operation and 2.31 million ounces across Black Cat’s portfolio. No new resource estimate has been reported with these assays, so the next material test is whether the infill drilling can support a classification upgrade or a revised mine plan when the company next updates its modelling.