Critical mass established

1.54Moz @ 1.25g/t

Supports a stand-alone gold operation >100kozpa

Upgraded Resource

Large Exploration Program

Project Infrastructure

Gold ounces increased 28% to 1.54moz (from 1.20moz)

Gold grade increased 14% to 1.25g/t (from 1.1g/t)

Importantly, IVI+| resource grew by 73% to over 1moz @ 1.26g/t

Low discovery cost $15 per resource oz

Further resource upgrade planned by end CY2021

Recent high-impact drilling program focused on the Central Zone, returned high-grade results, including:

  • 28m @ 11.3 g/t from 90m
  • 20m @ 10.5 g/t from 10m
  • 26m @ 6.6 g/ t from 117m
  • 20m @ 7.6 g/ t from 96m
  • 13m @ 11.3 g/t from 7m
  • 28m @ 4.8 g/ t from 49m
  • 20m @ 6.5 g/ t from 93m
  • 20m @ 15.6 g/t from 97m

Over 40,000m of drilling – 8,000m results pending

+4,000km2 landholding covering 130km strike length

Excellent infrastructure with:

  • Access to grid power
  • Sealed roads
  • Nearby towns
  • Resource on granted mining licences

Tenements on freehold land, not subject to Native Title

Potential for Larger Scale

Ausgold has identified a number of opportunities to grow the resource.

New Untested Zones

Resource Extensions
and New High-Grade Targets

Underground Potential
below 150m

Introduction

The 100% owned Katanning Gold Project (KGP) is located 275km south-east of Perth and approximately 40km north-east of the town of Katanning in southwest Western Australia. The tenements cover over 4,000km2 of the Katanning Greenstone Belt in the south-west corner of the Yilgarn Craton, which hosts some of Australia’s largest gold deposits.

Gold mineralisation has been identified over 20 kilometres of strike at the KGP and the project contains a JORC 2012-compliant Mineral Resource Estimate of 38.18 million tonnes at 1.25g/t gold for 1,539,700 ounces, of which 1,021,300 ounces (73%) are in the Measured and Indicated categories.

A 40,000m high-impact drilling program was recently completed which focused on the Central Zone, and returned high-grade results, including:

  • 28m @ 11.3 g/t from 90m
  • 20m @ 10.5 g/t from 10m
  • 26m @ 6.6 g/ t from 117m
  • 20m @ 7.6 g/ t from 96m
  • 13m @ 11.3 g/t from 7m
  • 28m @ 4.8 g/ t from 49m
  • 20m @ 6.5 g/ t from 93m
  • 20m @ 15.6 g/t from 97m

An improved geological model has identified numerous high-grade targets in untested exploration areas along 17km strike. The Company is now targeting multiple areas for growth in Resource, which is supported by a number of outstanding exploration opportunities within and outside existing resources areas.

The Katanning greenstone belt is similar in length to other Archaen greenstone belts within WA’s Yilgarn Province, stretching over 200km. The geology along the belt bears the hallmarks of giant Archaen gold camps such as Kalgoorlie and Timmins in Canada, but it has not been subject to anywhere near the same amount of rigorous exploration.

Large Scale High-Grade Exploration

Improved geological model has identified numerous high-grade targets in untested exploration areas along 17km strike.

The Company is focused on large scale Resource growth, currently targeting multiple areas, which is supported by a number of outstanding exploration opportunities within and outside existing Resources areas.

  • Rifle Range – 2.5km untested zone

Ausgold completed a 35-hole 5,250m RC drill program within Rifle Range (assays pending), across >2.5km of untested strike, with new targets supported by
coincident EM anomalies and gold-in soil anomalies.

Southern Plunge direction indicates repeats of previously untested mineralised geology of Central Zone.

Gold-in-soil anomalies at Rifle Range higher than the gold-in-soils within the Central Zone.

The Company believes the opportunity at Rifle Range has the potential to materially change the scale of the Katanning Resource.

  • Jinkas North – Olympia – Resource extensions

850 metre gap in drilling along strike high-grade Jinkas lode with coincident geophysical and geochemical anomalies and includes underground potential results pending, further drilling planned.

  • Jinkas South – high-grade lode remains open

High-grade parallel lode intersected over 1,300 metres, remains open both north and south along strike. DHEM targets identified – results pending from recent drilling

  • Underground potential

Current underground Resource is 0.54 Mt @ 3.1 g/t for 54Koz. Limited drilling > 3oom depth. Down plunge extensions of high grade Jinkas and Jinkas South lodes identified to further add Resource ounces.

JORC Mineral Resource

On 15 April 2021, Ausgold released a resource upgrade for its 100% owned Katanning Gold Project (KGP) in WA, increasing the resource to 1.54moz @
1.25g/t, representing a 28% increase in ounces and a 14% increase in grade. More importantly, the higher confidence M+I resource grew by 73% to over 1moz @ 1.26g/t. The Company believes that it has critical mass for a stand-alone 100kozpa gold project.

The Mineral Resource comprises 38.18Mt @ 1.25 g/t Au for 1.54 million ounces of gold using a cut-off grade of 0.6 g/t. Details of the Mineral Resource estimate are provided in Table 1.

  • 1Moz in Measured and Indicated Resource categories
  • 0.54Mt at 3.01 g/t Au for 52,240 ounces in Jinkas Underground Resource
  • Open below 150 m depth
Mineral Resources Tonnes
(Mt)
Gold
(g/t)
Moz
Measured 6.40 1.48 303,300
Indicated 18.74 1.19 718,000
Inferred 13.04 1.24 518,400
TOTAL 38.18 1.25 1,539,700

Table 1