Medallion Metals (ASX:MM8) is moving towards a Feasibility Study for its flagship Ravensthorpe Gold Project in Western Australia, following a 17,000m drilling program at Kundip Mining Centre.
Beginning in October 2024, Medallion hoped the drilling program would increase confidence for its Scoping Study mine plan.
The infill and extensional drilling at Gem within Kundip was completed at the southwestern end of the deposit, with results returning 7.8m @ 17.4 grams per tonne gold, 1.5% copper, and 6.6g/t silver from 218.2m including 2.3m @ 57.5g/t gold, 5% copper, and 20.4g/t silver from 218.2m.
Medallion, which has a market capitalisation of $129.26 million, also conducted metallurgical sampling from two drillholes at its Flag and Harbour View deposits. Results include 2.3m @ 9.5g/t gold, 0.3% copper, and 4.6g/t silver from 226.6m and 2.5m @ 6g/t gold, 1.1% copper, and 2.5g/t silver from 102.1m.
Assay results covering approximately 1,800m of drilling is expected to return in June. An updated mineral resource estimate (MRE) for Gem is also expected to be completed in June 2025.
Numerous assay results for Harbour View are pending and upon receipt of those results, an updated MRE for Harbour View is expected to be complete in July.
Together, the updated MREs will form the basis of a Feasibility Study assessing the technical and commercial merits of the mining KMC mineralisation with processing at FNO, which in turn will be a key document informing the board’s decision to progress with a development, subject to closing the proposed transaction with IGO (ASX:IGO).
Medallion is in an ongoing exclusivity deal with IGO to negotiate the acquisition of the Forrestania Nickel Operation, including its Cosmic Bay process plant and associated infrastructure, as reported by Mining.com.au.
The period of exclusivity has been extended to August 2025 to accommodate negotiation and drafting of binding documents. The revised transaction structure includes Medallion acquiring a 100% legal and beneficial interest in the assets, subject to third party obligations.
Managing Director Paul Bennett says the aforementioned results will be implemented in the resources update to aid the company’s Feasibility Study mine plan.
“Deposit continuity, grades and thickness observed consistently throughout this drill program build a great deal of confidence in the early stages of the mine plan which is so critical to project success,” Bennett says.
“In addition, confirmation that both new footwall lode intercept at gem and Harbour View are strongly mineralised add to the growth story and will now be the target of follow up drilling.”
The Feasibility Study is expected to be completed in December 2025.
The company continues to progress discussions with potential offtake and financing parties.
Write to Maddison Elliott at Mining.com.au
Images: Medallion Metals
