Arika Plans 10,000m Drilling Program Following $5M Raise

Capital Raise Fuels Exploration Ambitions

Arika Resources Limited (ASX: ARI) has announced a significant expansion of its upcoming drilling campaign at its Yundamindra and Kookynie gold projects in Western Australia. Following a successful $5 million capital raise, the company has increased its planned drilling from an initial 6,000 metres to a robust 10,000 metres, combining air-core, reverse circulation, and diamond drilling techniques.

This upsized program is supported by the recent acquisition of a multi-purpose air-core/reverse circulation drill rig, which offers the flexibility to adapt drilling methods as results come in. The program is set to commence in early June, with a strategic focus on high-potential targets such as Pennyweight Point, Landed at Last, and the F1-Fault prospects within the Yundamindra project.

Unlocking Historic Gold Potential at Kookynie

Alongside the expanded drilling, Arika has initiated an independent review of the historic Cosmopolitan Gold Mine at Kookynie, a site that produced approximately 331,000 ounces of gold at an impressive average grade of 15 grams per tonne between 1895 and 1922. This review, conducted by ERM Mining Consultants, represents the first comprehensive modern appraisal of the deposit in over four decades and aims to refine geological models and identify new resource development targets.

The Cosmopolitan mine’s historical significance and high-grade production make it a compelling exploration target, especially given that modern drilling has yet to test the potentially rich plunge extensions of the mineralised shoots. The review will integrate spatial data cleanup, wireframe modelling, geostatistical analysis, and structural controls on mineralisation to guide future drilling efforts.

Soil Surveys and New Exploration Frontiers

Complementing the drilling and review activities, Arika has completed detailed soil geochemical surveys across several tenements including Ithaca, Wandin, and Mulga Plum. These surveys aim to detect gold-bearing structures concealed beneath surface cover, with results expected by the end of May. The company has also secured multiple Program of Work approvals, enabling exploration in new areas and expanding the scope of its drilling program.

Managing Director Justin Barton emphasised the strategic value of the expanded program and the multi-purpose rig, noting that the flexibility to switch drilling methods will allow the team to respond swiftly to emerging results and optimise exploration outcomes. The slight delay in drilling commencement to early June reflects a deliberate approach to ensure the right personnel and equipment are in place for an efficient campaign.

Balancing Historical Data with Modern Standards

While the historical production data from the Cosmopolitan Gold Mine is promising, Arika cautions that these figures are not compliant with the JORC Code 2012 standards and may be subject to revision following further evaluation. Nonetheless, the company remains confident in the accuracy of the historical records and views the ongoing review as a critical step toward unlocking the deposit’s full potential.

Overall, Arika’s strengthened balance sheet and methodical approach position it well to advance its exploration pipeline in the Northeastern Goldfields, a region known for hosting multi-million-ounce gold deposits. The coming months will be pivotal as drilling results and geochemical data start to flow, potentially reshaping the company’s resource profile and market prospects.