Terrain Begins 3,350m RC Drilling to Expand High-Grade Gold at Lightning and Monza
Terrain Minerals has kicked off a 3,350-meter drilling campaign at its Lightning and Monza prospects, aiming to expand on recent high-grade gold and silver discoveries. Concurrently, the company has opened a $1.8 million rights issue to fund ongoing exploration and development.
- Commencement of ~17-hole, 3,350m RC drilling program at Lightning and Monza prospects
- Recent assays include 11m @ 6.03 g/t gold and 43.5 g/t silver at Lightning
- Pro-rata non-renounceable rights issue to raise up to $1.8 million underway
- Mining lease application submitted for Monza Gold Prospect
- Initial Mineral Resource estimate targeted for early to mid-2026
Drilling Campaign Underway at Smokebush
Terrain Minerals Limited has mobilized its drill crew to commence a significant reverse circulation (RC) drilling program at its 100%-owned Lightning and Monza Gold Prospects, part of the broader Smokebush Project located roughly 350 kilometers north of Perth, Western Australia. The campaign involves approximately 17 holes totaling 3,350 meters, designed to test a 600-meter long induced polarization (IP) anomaly at Lightning and a 700-meter mineralized strike at Monza.
This drilling initiative builds on promising results from earlier campaigns, including intercepts such as 11 meters at 6.03 grams per tonne (g/t) gold and 43.5 g/t silver at Lightning, and 5 meters at 3.77 g/t gold at Monza. These high-grade intersections have heightened expectations for expanding the known mineralization footprint.
Capital Raising to Support Exploration
To fund this exploration push, Terrain Minerals has launched a pro-rata non-renounceable rights issue, offering one new share for every 3.7 shares held at an issue price of $0.003 per share. The company aims to raise up to approximately $1.8 million, with each new share accompanied by a free-attaching option exercisable at $0.005 until June 2027. Notably, the board has demonstrated strong support, with members committing to take up their entitlements and underwriting a portion of any shortfall, providing a degree of certainty to the capital raise.
Advancing Towards Resource Definition
Alongside drilling, Terrain has submitted a mining lease application for the Monza Gold Prospect, signaling intent to progress towards development. Metallurgical test work on the Lightning gold and silver mineralization is scheduled to commence in the second quarter of 2025, focusing on gravity concentration and cyanide leach optimization. The company targets releasing an initial Mineral Resource estimate for the Lightning and Monza prospects by early to mid-2026, a critical milestone that could significantly enhance project valuation.
Geological Insights and Regional Context
Preliminary geological analysis suggests that the Lightning and Monza structures may have formed from distinct mineralizing events, with gold mineralization closely associated with sulphide minerals. The project benefits from proximity to established mining operations such as Golden Grove and Mt Gibson, both volcanogenic massive sulfide (VMS) style mines located about 50 kilometers from Smokebush. This regional context adds credibility to the potential scale and economic viability of Terrain’s discoveries.
Terrain is also advancing other projects including the Wildflower Gold Prospect, Larin’s Lane Gallium and Rare Earth Elements prospect, Biloela Copper & Gold Project, and Lort River Project, reflecting a diversified exploration portfolio.
Looking Ahead
The current drilling campaign is expected to last around 20 days, with assay results and analysis anticipated over the following eight weeks. These results will be pivotal in refining the geological model and guiding further exploration. Terrain’s methodical approach, combining geophysical targeting, drilling, metallurgical testing, and capital raising, positions the company well to unlock value from its Western Australian assets.
Bottom Line?
As Terrain Minerals drills deeper into its promising Smokebush prospects, the coming months will be critical in defining the project's potential and shaping its path to development.
Questions in the middle?
- Will the current drilling confirm extensions of high-grade gold mineralization at depth and along strike?
- How will metallurgical test results influence the economic viability of the Lightning and Monza prospects?
- What level of shareholder uptake will the rights issue achieve, and how might this impact Terrain’s exploration funding?
