Strickland Metals Achieves Major Milestone with 56% Gold Resource Upgrade at Yandal Project
Strickland Metals (ASX: STK) has delivered a significant upgrade to its Yandal Gold Project in Western Australia, with a 56% increase to its resource base, now totalling 400,400 ounces of gold. The updated Mineral Resource Estimate announced on March 31, 2025, showcases the company's successful exploration strategy and positions it for continued growth.
Horse Well Gold Camp Emerges as a Substantial Gold System
The Horse Well Gold Camp has seen its resource nearly double to 291,500 ounces (up 97% from 148,100 ounces), driving the overall project-wide increase. The resource grade has also improved, increasing from 1.4g/t Au to 1.52g/t Au, enhancing the economic potential of the project.
This substantial increase comes from Strickland's focused drilling throughout 2024, which successfully expanded existing deposits and identified new zones of high-grade gold. The resource now includes four key deposits – Palomino, Warmblood, Filly and Bronco – all showing excellent potential for further expansion.
"Delivery of the updated Mineral Resource Estimate of the Yandal Project for a combined 400.4koz Au is a key milestone for the Company and reinforces the potential of the Yandal Project as a significant growth opportunity," said Paul L'Herpiniere, Strickland's Managing Director.
Understanding Mineral Resource Classification
The Mineral Resource has been classified as Inferred according to the JORC Code 2012 guidelines. This classification reflects the quality of data and geological understanding, with the potential to upgrade portions to higher confidence levels with additional infill drilling.
An Inferred Resource is the first step in resource classification and indicates reasonable geological and grade continuity, though with lower confidence than higher categories. It's significant that Strickland has been able to establish such a substantial resource at this stage, pointing to the quality of the mineralisation system.
Key Resource Attributes Creating Value
Several factors make the updated resource particularly promising for investors:
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High-Grade Oxide Material: Approximately 100,000 ounces at 1.4g/t Au is classified as oxide material, representing valuable near-surface mineralisation that could potentially be extracted at lower cost.
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Open Mineralisation: All deposits remain open along strike and at depth, with numerous high-grade gold intercepts sitting outside the current resource boundary.
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Excellent Metallurgical Results: Recent testwork returned high gold recoveries between 78.5% and 88.6%, de-risking future development scenarios.
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Constrained Resource Model: The resource has been constrained by optimised pit shells at a gold price of AUD$4,000/oz, providing a realistic view of potentially economic material.
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Strong Financial Position: Strickland remains well-funded with $33.8 million in cash and Northern Star shares as of December 2024.
Why This Resource Size Matters
The 400,400-ounce resource now exceeds the approximately 346,000-ounce Millrose deposit that Strickland sold to Northern Star in 2023 for $61 million. This provides a valuable benchmark for investors assessing the potential value of Strickland's current asset base, especially considering the gold price has nearly doubled since that transaction.
| Deposit | Tonnes (t) | Grade (g/t Au) | Gold (oz) | Cut-off |
|---|---|---|---|---|
| Palomino Pit | 1,963,000 | 1.84 | 116,000 | 0.5 |
| Palomino UG | 155,000 | 2.69 | 13,500 | 2.0 |
| Palomino Total | 2,118,000 | 1.90 | 129,500 | |
| Warmblood | 1,656,000 | 2.37 | 126,000 | 0.5 |
| Filly | 581,000 | 1.15 | 21,500 | 0.5 |
| Bronco | 324,000 | 1.38 | 14,500 | 0.5 |
| HWGC Subtotal | 4,679,000 | 1.94 | 291,500 | |
| Dusk 'til Dawn | 3,495,600 | 1.00 | 108,900 | |
| Yandal Project Total | 8,174,600 | 1.52 | 400,400 |
Future Growth Pathways
Strickland has identified multiple high-priority targets for continued expansion of the resource:
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Depth Extensions: High-grade plunging shoots at Palomino and Warmblood remain open, with the current pit optimization limited by drilling extent rather than mineralisation boundaries.
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Bronco Trend: A 3km mineralised corridor with substantial potential for resource growth.
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Marwari Trend: A 1.6km trend with high-grade unclassified mineralisation that needs only limited drilling to bring into resource classification.
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Undercover Exploration: Northward exploration from Palomino, where mineralisation trends under cover, represents a significant growth opportunity.
Investment Thesis: Why Strickland Deserves Attention
Strickland Metals presents a compelling investment case for resource sector investors:
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Rapid Resource Growth: The 56% increase in resource size demonstrates the effectiveness of the exploration team and strategy.
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Multiple Growth Catalysts: With only 26% of drilling reaching below 100m depth across the 70km of prospective greenstone terrain, substantial exploration upside remains.
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Strategic Location: The project is located adjacent to Northern Star's Yandal Operations Centre and within 50km of the Jundee Gold Mine, in a tier-1 mining jurisdiction.
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Strong Financial Position: With $33.8 million in cash and shares, Strickland is fully funded for continued aggressive exploration and potential development activities.
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Proven Value Creation: Management has demonstrated its ability to create shareholder value through the $61 million sale of Millrose to Northern Star.
With a substantial resource already defined, excellent metallurgical results, high-grade mineralisation from surface, and mineralisation open in multiple directions, Strickland Metals has positioned itself with a clear pathway to continue building high-value ounces at its Yandal Project.
As gold prices remain strong, this emerging Western Australian gold developer represents a company focused on systematic exploration success and strategic growth opportunities.
Looking for the Next Big Gold Opportunity?
Discover why Strickland Metals' impressive 56% resource upgrade to 400,400 ounces at the Yandal Gold Project makes it a compelling investment opportunity in the Western Australian gold sector. With multiple growth pathways, strong metallurgical results, and a solid financial position of $33.8 million, Strickland is well-positioned for continued success. To learn more about this emerging gold developer and its growth strategy, visit Strickland Metals' website today.
