Bryah Secures Option for 66,300 Oz High-Grade Gold Resource in New Brunswick

Strategic Acquisition in a Strong Gold Market

In a significant development for Bryah Resources Limited, the company has entered into a binding option term sheet to acquire the Golden Pike gold project located in New Brunswick, Canada. This high-grade project, owned by Globex Mining Enterprises Inc., offers Bryah a foothold in a mining-friendly jurisdiction with a historical inferred resource estimate that could materially enhance its portfolio.

The Golden Pike project boasts a historical inferred mineral resource of approximately 214,800 tonnes grading 9.6 grams per tonne gold, equating to around 66,300 ounces of gold. These figures stem from a 2011 NI 43-101 technical report, which, while not yet compliant with the JORC Code 2012 standards, provide a solid foundation for Bryah’s planned exploration and resource upgrade efforts.

Terms and Financial Commitments

Under the terms of the option agreement, Bryah will pay staged cash and share considerations totaling CAD$680,000, alongside a commitment to spend a minimum of CAD$3 million on exploration over the next four years. The payments are structured over a three-year period, with shareholder approval required for some share issuances. Bryah currently holds sufficient funds to meet the initial consideration payments and commence exploration activities.

The agreement also includes a royalty arrangement, with Bryah obligated to pay a 2% gross metal royalty on the first 20,000 ounces of gold produced, increasing to 3% thereafter. There is an option to buy back 1% of the royalty for CAD$1 million before production reaches 20,000 ounces, providing some flexibility in managing future costs.

Exploration Potential and Infrastructure Advantages

The Golden Pike deposit remains open in multiple directions, with additional high-grade targets identified through rock chip sampling, including some assays as high as 244 grams per tonne gold. Bryah plans to undertake comprehensive due diligence, including drilling to confirm and potentially expand the resource, metallurgical testing, and economic studies to assess mining viability.

Importantly, the project benefits from proximity to established infrastructure such as ports, roads, and renewable power sources, which could facilitate cost-effective development and ore processing. The region’s mining history and ongoing exploration for various metals add to the project's strategic appeal.

Positioning Amid Global Gold Price Strength

With gold prices hovering around A$5,000 per ounce, significantly higher than when the last drilling was conducted at Golden Pike, Bryah’s acquisition aligns with a broader strategy to capitalize on robust market conditions. Chairman Ian Stuart highlighted the opportunity to add value for shareholders through this acquisition, emphasizing the potential to upgrade and expand the resource base.

As Bryah embarks on due diligence and prepares for further exploration, the market will be watching closely to see how this Canadian asset integrates with its existing Australian-focused portfolio, which includes battery metals and base metals projects.