Exploration Risks Loom as Lunnon Metals Eyes Expansion Beyond Lady Herial

Surface Sampling Highlights New Gold Potential

Lunnon Metals Limited (ASX – LM8) has revealed encouraging results from its recent surface sampling program at the Hustler and Koombana prospects, key targets within its Kambalda Gold & Nickel Project (KGNP) in Western Australia. The company reported standout gold assays including 20.47 grams per tonne (g/t) at Koombana and multiple high-grade hits exceeding 13 g/t, underscoring the prospects’ potential to mirror the characteristics of the Lady Herial gold deposit.

These surface samples, collected through rock chip and grab methods, have not only confirmed the presence of near-surface gold mineralisation but also uncovered a previously unrecognised linking structure at Hustler. This structural insight is critical for guiding efficient drill targeting and enhancing the understanding of the mineralised system.

Context Within the Foster Gold Belt

Both Hustler and Koombana lie along strike from Lady Herial, which currently hosts a Mineral Resource Estimate (MRE) of approximately 29,000 ounces of gold at an average grade of 1.6 g/t. The prospects share key geological features such as outcropping gold mineralisation and stacked structures within the Defiance Dolerite, a known favourable host rock in the region. The Foster Gold Belt itself remains underexplored despite its proximity to prolific gold camps like St Ives and Kambalda, making these findings particularly significant.

Strategic Implications and Next Steps

Managing Director Edmund Ainscough emphasised the importance of these results, noting that the discovery of high-grade gold at surface and the identification of new structural controls bode well for expanding the company’s gold resources. Lunnon Metals is preparing to undertake follow-up drilling campaigns at both Hustler and Koombana to further delineate these targets. Concurrently, the company is advancing permitting efforts for Lady Herial to expedite potential production and cash flow generation.

The KGNP benefits from existing infrastructure and proximity to processing plants, including the nearby Lefroy plant operated by major shareholder Gold Fields Ltd. This logistical advantage enhances the prospects for near-term development should exploration continue to yield positive results.

Historical and Technical Foundations

The company’s exploration approach builds on decades of historical data and modern drilling techniques, incorporating rigorous quality control and verification processes. Surface sampling complements extensive reverse circulation and diamond drilling programs, providing a multi-faceted understanding of the mineralisation. The integration of new structural interpretations, such as the linking structure at Hustler, reflects a sophisticated exploration strategy aimed at maximising resource definition efficiency.

Overall, these developments reinforce Lunnon Metals’ position within a globally significant gold and nickel district, with the potential to unlock further discoveries and enhance shareholder value.