Castile Raises $4.1M as New Seismic Tech Targets 100+ Ironstone Orebodies at Rover

Innovative Exploration Technology Breakthrough

Castile Resources Limited has reported a significant leap forward in its exploration capabilities with the successful proof-of-concept application of Ambient Noise Tomography (ANT) over its flagship Rover 1 iron oxide copper gold (IOCG) deposit. This seismic technology has demonstrated remarkable accuracy in determining the depth and extent of ironstone orebodies, a critical factor that has historically challenged geophysical surveys in the Tennant Creek region.

Unlike traditional gravity and magnetic methods, which struggle with the 'infinite depth' problem and often result in missed targets, ANT provides precise depth and dimensional data. This advancement promises to reduce costly drilling misses and improve targeting efficiency across Castile's extensive Rover Mineral Field.

Expanding the Exploration Pipeline

With over 100 previously untested ironstone targets identified, Castile has commenced ANT surveys on its top-ranked prospects, Pathfinder 35 and Pathfinder 38. Results from the initial Pathfinder 35 survey are expected in January 2025, with a follow-up drilling campaign scheduled for April 2025. This systematic approach, leveraging ANT's cost-effectiveness and precision, positions Castile to unlock substantial new resources within its wholly owned tenements.

Advancing the Rover 1 Bankable Feasibility Study

Parallel to exploration, Castile is progressing its Bankable Feasibility Study (BFS) for the Rover 1 project. The company has engaged external consultants to update capital expenditure estimates, focusing on processing and paste plant infrastructure. Environmental studies, including advanced groundwater testing, are nearing completion to support the Environmental Impact Statement submission.

Notably, the gold price has surged to over A$4,300 per ounce, a substantial increase from the A$2,640 per ounce used in the December 2022 Pre-Feasibility Study. This price uplift enhances the project's economics and is expected to be incorporated into the BFS financial modelling, potentially improving project viability and investor appeal.

Strong Financial Position and Market Validation

Castile successfully raised approximately $4.1 million through a placement at $0.065 per share, attracting strong support from both existing and new institutional investors. Directors are also set to contribute an additional $375,000, subject to shareholder approval. These funds will underpin the upcoming drilling program, further ANT surveys, and BFS advancement activities.

Market interest in the Tennant Creek region is underscored by Pan African Resources’ recent A$150 million acquisition of a local gold development company, with Castile’s Rover 1 project highlighted as a potential third-party ore source. This external validation underscores the strategic value of Castile’s assets and its position as the only ASX-listed company in the area with significant gold and copper reserves.

Outlook and Strategic Implications

Castile’s integration of innovative seismic technology with a disciplined exploration and development strategy marks a pivotal moment for the company. The upcoming drilling results will be critical in confirming the potential of newly identified targets and validating ANT’s effectiveness in real-world conditions. Meanwhile, the BFS progress and strong cash position provide a solid foundation for advancing the Rover 1 project towards production.

As the company navigates these developments, the interplay between rising commodity prices, technological innovation, and strategic capital deployment will be key to unlocking value for shareholders and positioning Castile as a significant player in the Northern Territory’s polymetallic mining landscape.