Kalamazoo Resources (ASX:KZR) has increased its underground resource of the Mt Olympus prospect within the Ashburton Gold Project, located in the Pilbara region of Western Australia.
Using an AUD gold price of $4,500 per ounce, the deposit is now estimated to host a resource of 1.44 million tonnes @ 3.76 grams per tonne gold for 174,500 ounces.
The Mt Olympus-West Olympus open pit shell has also been identified to host a combined resource of between 2-6 million tonnes @ 2g/t gold for between 129,000-387,000 ounces.
Executive Chairman Luke Reinehr says the company has streamlined a Scoping Study at Mt Olympus to identify prospectivity to add further ounces to the prospect.
The Scoping Study is expected to be finalised in Q4 2025 on the 772,000 ounces @ 2.53g/t gold contained resource.
Kalamazoo is currently working to convert the inferred material to an indicated category through an upcoming infill resource drilling program in the optimised pit shell, underground resource, and exploration target.
The proposed campaign is anticipated to return less gold ounces at a higher grade, scheduled to commence in Q1 2026.
“The identification of potentially ~300,000 – 560,000oz of additional mineable underground material below the proposed Mt Olympus open pit, provides a tremendous opportunity to enhance the future open pit production profile,” Reinehr says.
“Kalamazoo’s growth vision for the Ashburton Gold Project is focused on an extended multi-year gold production plan.”
The company intends to expand the mine-life of the project after investigating existing underground and open pit resources at Peake and Zeus, with results to be released shortly.
“This will be complemented over the longer term, with plans for the discovery of additional resources through greenfields exploration at Waugh and other prospects across the wider ~380km2 Ashburton-Xanadu Gold Project region,” Reinehr adds.
As reported by Mining.com.au, the price of gold is continuing to rise, already surpassing JP Morgan’s predictions for the commodity to reach US$4,000 ($6,149) per ounce by Q2 2026.
The ABC Bullion marks the precious metal at US$4,265.37 as of 20 October 2025.
Write to Maddison Elliott at Mining.com.au
Images: Kalamazoo Resources
