CZR Nets $70.5M from Robe Mesa Sale, Plans 8,000m Drilling at Croydon
CZR Resources has completed a $75 million sale of its Robe Mesa iron ore interest, emerging debt free with $76.3 million in cash to fund aggressive exploration at its Croydon gold and Edamurta copper projects.
- Completed $75M sale of Robe Mesa iron ore project
- Debt fully repaid, cash balance at $76.3 million
- Extensive aircore drilling confirms Croydon gold potential
- Geophysical surveys at Edamurta reveal massive sulphide targets
- $388K spent on exploration with major RC drilling planned
Robust Balance Sheet Following Major Asset Sale
In a significant capital milestone, CZR Resources Ltd has finalized the sale of its interest in the Robe Mesa Iron Ore Project for approximately A$75 million. After settling outstanding loans and fees, the company reported a net receipt of about A$70.5 million, leaving it debt free with a strong cash position of $76.3 million as of 30 September 2025. This liquidity provides a solid foundation for CZR to aggressively pursue its exploration ambitions across Western Australia.
Advancing Croydon Gold Exploration
The Croydon Gold Project, strategically located within the Mallina Basin near the prolific Hemi gold deposit, has seen a flurry of activity. CZR completed 179 aircore drill holes totaling over 2,000 metres on the Eastern Block, confirming the presence of large diorite intrusions akin to the Sanukitoid intrusions hosting the nearby 11.2 million ounce Hemi deposit. Surface mapping revealed extensive quartz veining and weathered gossans, indicative of potential gold mineralisation. The company has also collected 107 rock chip samples to complement the drilling data, with assay results expected in November. An ambitious 8,000-metre reverse circulation (RC) drilling program is planned to test these targets further, pending heritage clearances.
Promising Copper-Zinc Targets at Edamurta
At the Buddadoo Project, CZR’s Edamurta copper-zinc deposit has benefited from a detailed moving loop electromagnetic (MLEM) survey, which identified multiple strong conductors suggestive of massive sulphide mineralisation. These findings hint at the potential for a repeat of the nearby world-class Golden Grove VMS deposits. Previous drilling intersected copper and zinc mineralisation, but the new geophysical data points to deeper, more substantial targets yet to be tested. CZR has planned an 11-hole, 3,000-metre RC drilling campaign to evaluate these conductors, with down-hole EM surveys to follow.
Yarraloola Iron Ore and Capital Management
Following the Robe Mesa sale, CZR retains several tenements at its Yarraloola iron ore project, focusing on the Peters Creek and Darnell prospects. While no fieldwork occurred this quarter, preparations for heritage surveys and drilling are underway. The company is also actively reviewing capital management strategies, including potential shareholder distributions, contingent on exploration outcomes and tax assessments. CZR’s FY26 tax liability is estimated at around $4 million, influenced by carried-forward losses and ongoing exploration expenditure.
Outlook and Strategic Focus
CZR’s board has greenlit an extensive exploration program emphasizing rapid advancement from discovery to resource definition at Croydon, Edamurta, and Yarraloola. The company’s prudent financial management, combined with promising geological indicators, positions it well to unlock value from its portfolio. Investors will be keenly awaiting assay results and drilling updates over the coming months, which will be pivotal in shaping CZR’s next strategic moves.
Bottom Line?
With a clean balance sheet and high-impact drilling programs underway, CZR is poised for a pivotal phase of exploration success and value creation.
Questions in the middle?
- Will the upcoming assay results at Croydon confirm a Hemi-style gold deposit?
- How will the Edamurta drilling redefine the scale and grade of the copper-zinc system?
- What capital management decisions will CZR make following exploration outcomes and tax assessments?
