Western Gold Resources Upgrades Gold Duke Mineral Resource to 277,000 Ounces

Western Gold Resources Delivers Major Confidence Upgrade at Gold Duke with 277,000-Ounce Resource

Western Gold Resources Limited (ASX: WGR) has released its annual Mineral Resource Statement for the 100%-owned Gold Duke Project, reporting a total Mineral Resource of 4.84 million tonnes at 1.8 g/t gold for 277,000 ounces as at 30 June 2026. For investors, the most important part of the update is not only the increase in total contained gold, but the marked improvement in confidence, with Measured Resources rising from 3,000 ounces to 81,000 ounces over the past year.

According to the ASX announcement, the updated resource incorporates the Mineral Resource Estimate announced in December 2025 and reflects the impact of 33,980 metres of close-spaced grade control and infill drilling across the Stage 1 deposits. That work has materially improved confidence in the geology and grade distribution at mine scale, giving the company a firmer base for planning and scheduling.

The Numbers That Matter: Year-on-Year Resource Comparison

The annual statement shows growth in both tonnage and contained ounces, while also highlighting a major shift from lower-confidence material into higher-confidence categories.

The lower headline grade in the 2026 statement should be read in context. In the report, WGR said the reduced overall grade reflects updated geological interpretation, revised classification and the inclusion of additional mineralised material within updated economic constraints, rather than a deterioration in the gold system itself.

What Did the Managing Director Say?

"The annual Mineral Resource review highlights the significant advancement of the Gold Duke Project over the past 12 months, both in overall scale and, importantly, resource confidence," said Cullum Winn, Managing Director.

"Importantly, 81koz is now classified as Measured, compared with just 3koz previously, reflecting the success of our 2025 drilling program and providing greater confidence for detailed mine planning and scheduling across the Stage 1 deposits."

What Drove the Upgrade: Close-Spaced Drilling Across Stage 1 Deposits

The company identified the main technical driver of the update as the 33,980m RC grade control and infill drilling program completed during 2025 across Eagle, Emu, Golden Monarch and Gold King. This drilling was carried out mainly on 5 metre east by 10 metre north spacing in the planned mining areas — much tighter than typical early-stage exploration drilling.

Why Does Drilling Spacing Matter?

Wide-spaced drilling can show that gold is present and outline a deposit. Close-spaced drilling, however, is what helps determine where ore begins and ends, how grades vary over short distances, and whether the resource can support practical mine planning.

In this case, the denser data appears to have allowed WGR to convert a meaningful portion of previous Indicated and Inferred material into the highest-confidence Measured category. Furthermore, the company noted that gold mineralisation at Gold Duke is nuggety, meaning grade can vary sharply over short distances, making dense drilling especially important.

Understanding Mineral Resource Categories

For non-specialist investors, one of the most useful parts of any resource update is the classification split between Measured, Indicated and Inferred resources. These categories describe confidence, not just size.

A Measured Resource does not mean a mine is guaranteed, and it is not the same as an Ore Reserve. WGR stated clearly that no Ore Reserves have been reported. However, the rise from 3,000 ounces to 81,000 ounces Measured is significant because it points to a much more advanced understanding of the Stage 1 mining areas.

In practical terms, higher-confidence resources can improve the quality of production schedules, pit designs and technical studies. That is why the Measured increase may carry more weight than the total ounce increase alone.

Deposit-by-Deposit Changes Across Gold Duke

The largest year-on-year changes were reported at the four Stage 1 deposits. Each contributed differently to the resource update.

Golden Monarch recorded the largest absolute increase, rising from 32,000 ounces to 67,000 ounces. According to the report, this reflected both the close-spaced drilling and a revised interpretation that added mineralised volumes within the updated $7,000/oz pit shell.

Gold King increased from 26,000 ounces to 44,000 ounces, with WGR attributing the change to infill drilling, revised modelling of the combined Gold King and Gold Hawk domains, and updated economic constraints.

At Eagle and Emu, the gains were less dramatic in absolute ounce terms but still important from a confidence perspective, as both deposits now include Measured material following the 2025 drilling.

Outside the Stage 1 deposits, resources at Joyners Find, Bottom Camp, Bowerbird, Bronzewing, Brilliant, Comedy King and Wren remain unchanged. Together, these deposits contribute 125,000 ounces and may provide additional optionality for future mine life extension if further work supports development.

Gold Duke Project Context: Location, Geology and Development Setting

The Gold Duke Project is located about 35km south-west of Wiluna in Western Australia's northern Goldfields, within the Joyners Find Greenstone Belt. The project covers around 25km of strike, with multiple deposits and prospects identified along that corridor.

In geological terms, gold mineralisation is described as being structurally controlled and associated with banded iron formation (BIF), quartz veins and major shear zones, including the Brilliant Shear Zone. BIF is a layered iron-rich rock type that often hosts gold deposits in ancient greenstone belts across Western Australia.

What Are the Key Project Attributes?

Key project attributes outlined in the ASX release include:

• 100% ownership by WGR through Wiluna West Gold Pty Ltd
• Existing mining approvals for Eagle, Emu, Golden Monarch and Gold King
• Access to Wiluna Mining Corporation's milling facilities via an established haulage route
• Mineralisation considered suitable for conventional carbon-in-leach (CIL) processing
• Previously reported metallurgical recoveries of 95% in oxide material
• Resource constrained within an optimised $7,000/oz RPEEE pit shell and reported at a 0.5 g/t gold cut-off

Educational Section: What Are RPEEE Pit Shells, Cut-Off Grades and CIL Processing?

Mining announcements often contain technical shorthand that can obscure what is actually being said. Three terms in this update are especially important.

What Is a RPEEE Pit Shell?

RPEEE stands for Reasonable Prospects for Eventual Economic Extraction. Under the JORC Code, a company cannot simply report all mineralisation it finds. It must apply reasonable assumptions to show the material has a realistic chance of being mined economically. At Gold Duke, WGR used a $7,000/oz gold price for this purpose.

What Is a Cut-Off Grade?

A cut-off grade is the minimum grade included in the resource. At Gold Duke, the resource is reported above 0.5 g/t gold. Material below that threshold is excluded from the formal resource estimate because it may not be economic to process under the assumptions used.

What Is CIL Processing?

CIL, or carbon-in-leach, is a common gold recovery process. Ore is treated in tanks where gold is dissolved into solution and then captured on activated carbon. The company referenced previously reported 95% recoveries in oxide material, which suggests the ore may respond well to conventional processing methods, subject to future study work and operating conditions.

For investors, these terms help frame whether a resource is simply geological inventory or something closer to potential mine feed. They do not guarantee development, but they do indicate how far the technical work has progressed.

What Comes Next: Expanded Scoping Study Now Underway

The Mineral Resource Statement links directly to WGR's next development milestone — the Expanded Scoping Study, which the company announced in July 2026. According to the company's earlier announcement, the study is intended to:

1. Update the 2025 Scoping Study using the latest resource models
2. Assess opportunities to expand the Production Target
3. Evaluate potential to extend Gold Duke mine life
4. Use the improved Measured and Indicated inventory in mine scheduling and financial modelling

That sequence is logical. A scoping study relies on assumptions about what can be mined, when it can be mined and how consistently grade can be delivered. A larger and better-defined Measured and Indicated base can improve that work, even at this early level of study.

Why Investors May Be Paying Attention

This annual resource statement matters for several reasons. First, the improvement is not limited to total ounces. The standout change is the increase in Measured Resources to 81,000 ounces, which points to stronger geological confidence in the initial mining areas.

Second, the project already has some practical development features in place, including existing mining approvals on four deposits and access to a nearby processing route. While that does not remove all development hurdles, it can simplify the pathway relative to projects starting from a less advanced position.

Third, the broader 25km strike position and additional deposits provide scope for future resource growth. The unchanged deposits currently sit outside the infill drilling focus, which means the present update may not capture the full project pipeline.

Furthermore, the company's technical reporting remains aligned with JORC Code 2012 and ASX Listing Rules, with the resource estimate prepared from an expanded drilling dataset and supported by internal and external review processes described in the statement.

Western Gold Resources' annual Mineral Resource Statement positions Gold Duke as a more advanced gold development project than it was 12 months ago. Total contained gold has risen to 277,000 ounces, but the more material shift is the increase in confidence across the Stage 1 deposits. With an Expanded Scoping Study now in progress, the next set of study outcomes is likely to be the key item investors watch from here.

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