Patronus Resources Confirms Deep Gold Extensions at Pine Creek’s Tally Ho Deposit

Drilling Confirms Gold Goes Deeper: Patronus Resources Extends High-Grade Mineralisation Beyond the Tally Ho Pit

Patronus Resources (ASX: PTN) has reported final assay results from a four-hole, 1,432.53-metre diamond drilling programme at the Tally Ho deposit within its Pine Creek Project in the Northern Territory. The update indicates that high-grade gold mineralisation continues below the historical open pit and outside the current Mineral Resource boundary.

According to the ASX announcement, all four holes intersected high-grade gold mineralisation, including 3.17m at 3.32 g/t Au from 324.83m in TH26DD003 and the previously reported 2.61m at 6.38 g/t Au from 454m in TH26DD001. For investors, the significance lies in where these intercepts sit: below historical mining and beyond the current resource envelope, where additional ounces are not yet captured in the formal estimate.

Patronus enters this next phase with a stated market capitalisation of about $68 million and $75 million in cash and liquid investments as at 30 June 2026. The company also reports a total gold Mineral Resource exceeding 1.2 million ounces across its portfolio, giving it financial capacity to continue drilling while testing multiple targets across Pine Creek.

What Did the Latest Drilling Results Show at Tally Ho?

In the report, Patronus said the Tally Ho programme was designed to test for a previously unrecognised mineralised zone in the footwall of the known Tally Ho lodes. In simple terms, the footwall is the rock mass beneath a mineralised structure. If a new zone exists there, it may point to additional gold outside the areas previously modelled.

The company's geological model, based on historical drilling and 3D interpretation, had suggested a potential target referred to as the "Tally Ho Extension". The final assay results appear to support that interpretation, with deep gold intercepts in TH26DD001, TH26DD002 and TH26DD003 all reported below the historical pit and outside the current Mineral Resource.

The most material intercepts reported across the programme are summarised below.

Patronus stated that the final three holes delivered 21 significant gold intersections, calculated using a 0.4 g/t Au cut-off grade and reporting intercepts greater than one gram-metre. While some intervals are narrow, several higher-grade hits at depth are relevant because they help define continuity rather than isolated mineralisation.

Managing Director Commentary

"With all four drill holes now assayed, we have confirmed the presence of gold mineralisation well below the historical Tally Ho pit and outside the current Mineral Resource, further increasing our confidence that the system remains open at depth," said John Ingram, Managing Director of Patronus Resources.

Why Does Drilling Below the Historical Pit Matter?

The report says Tally Ho was mined in 2007 to 2008 to around 50 metres below surface, producing approximately 1.13 million tonnes at 1.65 g/t Au for 60,200 ounces. The new holes reach much deeper, with TH26DD001 drilled to 461.32 metres, testing areas well below the old mining limit.

This matters because a historical open pit only captures material that was economic and defined at that time. If drilling now identifies mineralisation at depth, the deposit may have a larger vertical extent than previously modelled. That does not automatically mean those ounces become part of a resource, but it does provide a basis for follow-up drilling and updated geological interpretation.

The deeper intercept in TH26DD003, reported at 324.83 metres, is especially relevant because Patronus says it sits about 150 metres below the historical pit and outside the current resource boundary. Furthermore, combined with the deeper hit in TH26DD001 at 454 metres, the results indicate a broad vertical search space remains open.

Historical drilling at Tally Ho had already indicated high-grade potential, with Patronus citing prior intercepts including:

• 15.2m at 59.88 g/t Au from 139m
• 3m at 25.94 g/t Au from 117m
• 14m at 9.22 g/t Au from 17m

Those historical results do not guarantee similar future outcomes, but they provide context for why extension drilling at depth is being closely watched.

A New Structural Target Between Fountain Head and Tally Ho

A second outcome from the programme is the identification of linking mineralised structures between Fountain Head and Tally Ho, which Patronus said dip obliquely to the south-west. In practical terms, this suggests mineralised pathways may connect known deposits through a structural corridor that had not been recognised before this drilling campaign.

According to the announcement, TH26DD002 helped confirm this interpretation. The company intends to test these structures with Reverse Circulation (RC) drilling later in 2026.

For investors, this is relevant for two reasons. First, linking structures can help explain how mineralisation is distributed across a wider system. Second, if follow-up drilling confirms continuity, it may support additional target generation between existing deposits rather than only at their margins or at depth.

Management Commentary on New Targets

"Importantly, the programme has also identified an additional mineralised structural target that was not recognised prior to drilling, providing another opportunity to expand the Tally Ho and Fountain Head mineralised systems," said John Ingram.

Understanding Diamond Drilling, Mineral Resources and Cut-Off Grades

This drilling update uses several technical terms that are worth unpacking for those less familiar with exploration reporting conventions.

What Is Diamond Drilling?

Diamond drilling uses a specialised drill bit fitted with industrial diamonds to cut through rock and recover a solid cylinder of core. That core allows geologists to examine the rock in detail, including its structure, veining, alteration and sulphide content.

Compared with RC drilling, diamond drilling is slower and usually more expensive. However, it gives far more geological detail, making it particularly useful when a company is trying to understand the orientation of mineralisation or test a new structural model.

What Does "Outside the Current Mineral Resource" Mean?

A Mineral Resource is a formal estimate of the amount and grade of mineralisation that has reasonable prospects for eventual economic extraction. In Australia, these estimates are reported under the JORC Code, which sets standards for data quality, geological confidence and reporting.

If drilling intersects mineralisation outside the current Mineral Resource, it means that material is not yet included in the published estimate. More drilling is generally required before those intersections can be converted into resource ounces.

What Is a Cut-Off Grade?

A cut-off grade is the minimum grade used to decide whether mineralised rock should be included in a reported intercept or resource. Patronus said the new Tally Ho intercepts were reported using a 0.4 g/t Au cut-off with a maximum of 2 metres of internal waste.

This helps investors compare results on a like-for-like basis. Without a cut-off, narrow low-grade material could distort the interpretation of an intercept.

What Is the Footwall?

The footwall is the rock beneath a mineralised lode or vein. Drilling into the footwall can be important because mineralisation does not always stay confined to the main known lode. In some systems, parallel or linking zones can develop nearby and remain undetected until deeper or better-oriented drilling is completed.

Patronus' 2026 Pine Creek Field Programme Is Already Underway

In the report, Patronus said the 2026 Northern Territory field programme is well advanced following the wet season. Subject to the receipt of remaining regulatory approvals, the company plans to complete around 30,000 metres of drilling, made up of approximately 6,000 metres of diamond drilling and 24,000 metres of RC drilling.

The company also plans to collect 3,000 surface geochemical samples across Pine Creek. Surface geochemistry involves testing soil or shallow surface material for trace elements that may indicate nearby mineralisation.

The current programme is summarised below.

According to the announcement, the next steps include:

• Integrating final assays into geological and structural modelling
• Refining the company's exploration model
• Completing RC drilling on the newly identified linking structures
• Considering deeper diamond drilling to further test the Tally Ho Extension target

This provides a defined pipeline of exploration activity rather than a single isolated drill result.

The Broader Asset Base and Investor Context

Patronus is not solely a single-project explorer. The company reports a combined gold Mineral Resource exceeding 1.2 million ounces, with assets in both Western Australia and the Northern Territory.

The ASX announcement highlights the following portfolio metrics:

The balance sheet is a clear point of investor interest. With $75 million in cash and liquid investments against a market capitalisation of around $68 million, Patronus has financial flexibility to continue exploration without immediate reliance on additional equity funding, based on the figures disclosed in the announcement.

That said, the near-term value driver remains drilling success and the company's ability to convert geological evidence into expanded or upgraded resources over time.

Why This ASX Drilling Update Matters

The latest Tally Ho drilling results achieve two things simultaneously. They provide further support for depth continuity below a historical pit, and they identify new linking structures between known deposits that can now be tested by RC drilling.

For the market, the immediate question is whether these intersections can lead to a revised resource shape at Tally Ho and a broader mineralised footprint across the Fountain Head area. That will depend on follow-up drilling density, structural interpretation and eventual resource modelling.

What is clear from the report is that Patronus has entered an active 2026 field season with funding in place, multiple drill targets and fresh geological data from Tally Ho. Investors tracking ASX gold exploration, Northern Territory gold drilling and resource growth catalysts are likely to keep watching upcoming assay results from the Pine Creek Project.

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