Spectacular Gold Results Strengthen Australian Gold and Copper Ltd’s Achilles Discovery

Spectacular Gold Results Strengthen AGC's Achilles Discovery

Australian Gold and Copper Ltd (ASX: AGC) has announced exceptional near-surface gold results from its Achilles discovery in the South Cobar Project, NSW, with one hole returning 5m at 19.1g/t gold and 52g/t silver from just 30m depth.

Standout High-Grade Gold Results Near Surface

The company's recent 12-hole oxide aircore drilling program has yielded impressive results that significantly strengthen the fundamentals of the Achilles discovery. The headline result came from hole A3OX010, which returned:

• 5m at 19.1g/t Au, 52g/t Ag, 1.3% Pb+Zn (1,851g/t AgEq) from 30m
• Within a broader zone of 42m at 2.6g/t Au, 12g/t Ag, 0.7% Pb+Zn (266g/t AgEq) from 26m

AGC Managing Director Glen Diemar described this as the company's "best gold intercept to date," highlighting the significance of finding such high-grade mineralisation close to surface during a period of record precious metal prices.

"This is our best gold intercept to date and is very close to surface. Delivering these results alongside record precious metal prices makes this a very exciting time for AGC. The near surface gold story at Achilles is really coming to life and that will be a key value driver for Achilles going forward."

This exceptional hole was drilled 70m up-dip from previously reported hole A3RC038, which had returned significant base metal and silver results:

• 4m at 2.0g/t Au, 257g/t Ag, 0.9% Cu & 1.6% Pb+Zn from 87m
• 16m at 18.5% Pb+Zn, 31g/t Ag, 0.4g/t Au & 0.8% Cu from 91m

Additional Encouraging Oxide Results

Other noteworthy results from the program include:

• A3OX009: 16m at 68g/t AgEq (0.3g/t Au, 16g/t Ag & 1.0% Pb+Zn) from 54m
• A3OX011: 18m at 91g/t AgEq (0.4g/t Au, 5g/t Ag & 2.0% Pb+Zn) from 25m
• A3OX015: 12m at 101g/t AgEq (0.5g/t Au, 31g/t Ag & 1.0% Pb+Zn) from 60m
• A3OX018: 5m at 136g/t AgEq (0.6g/t Au, 80g/t Ag & 0.06% Pb+Zn) from 67m

The technical team is particularly encouraged by these results as they demonstrate a thickening of the known mineralisation in the near-surface environment at Achilles, which could significantly enhance the scale and value drivers for potential future mineral resources.

Understanding Silver Equivalent (AgEq) Calculations

Silver equivalent values reported by AGC are based on in-situ metal grades and assume recoverable sales of all constituent metals. The calculations use the following parameters:

• Metal recoveries: 83% for Ag, 90% for Au, 95% for Zn, and 92% for Pb
• Metal prices: US$31.6/oz for Ag, US$2,700/oz for Au, US$2,850/t for Zn, US$2,000/t for Pb
• Formula: AgEq(%) = Ag(g/t) + 92.6Au(g/t) + 32.1Zn(%) + 21.8*Pb(%)

These assumptions are based on recent metallurgical test work conducted by the company, which demonstrated robust recoveries across all metals at Achilles.

Understanding Near-Surface Gold Deposits

Near-surface gold deposits represent a particularly valuable subset of mineral resources due to their accessibility and generally lower extraction costs. These deposits typically occur within 100 metres of the surface and can be mined using open-pit methods, which are generally less expensive than underground mining operations.

Key characteristics of near-surface gold deposits include:

1. Lower stripping ratios: The ratio of waste material to ore is often favourable, reducing mining costs.

2. Oxidised mineralisation: Surface weathering processes often lead to oxidation of the primary mineralisation, which can enhance gold recovery rates through conventional processing methods.

3. Faster development timeline: Open-pit operations can typically be brought into production more quickly than underground mines, accelerating return on investment.

4. Lower capital intensity: The initial capital outlay for developing near-surface deposits is typically lower than for deeper deposits requiring underground mining infrastructure.

In the case of AGC's Achilles discovery, the near-surface gold results by Australian Gold and Copper Ltd could potentially form the early stages of any future mining operation, providing early cash flow while deeper parts of the deposit are developed. This staged approach to resource development is a common strategy employed by mining companies to optimise project economics.

Ongoing Exploration Program

AGC's exploration efforts at Achilles are continuing at full pace with:

• Assays pending for a further eight RC holes and three diamond core holes
• Ongoing diamond drilling in the south and east, including significant step-outs in the southern silver-gold zone
• A second rig now on site to begin RC drill testing the southern Achilles Shear Zone

The diamond drilling is targeting down-dip extensions of recently reported RC holes that returned thick zones of silver-gold mineralisation, including hole A3RC066 which yielded 7m at 291g/t AgEq from 239m within a broader 38m zone.

"Diamond drilling testing the deeper gold-silver potential is also well underway with the first three holes already sent to the laboratory. With the second rig now drilling along the southern Achilles Shear Zone targets makes our geology team one of the busiest exploration departments on the East Coast. We are all highly focused on building gold-silver mineral inventory in a world class mining jurisdiction."

Why Investors Should Take Notice

The Achilles discovery is rapidly emerging as a substantial precious and base metal system with several compelling investment attributes:

1. High-grade near-surface gold potential – The new shallow gold results could significantly enhance project economics through lower mining costs and faster payback periods

2. Multiple metal credit opportunities – With gold, silver, lead, zinc, and copper present in meaningful quantities, the project offers natural hedging against price fluctuations in any single commodity

3. Location in a world-class mining jurisdiction – The South Cobar Basin in NSW is a proven metallogenic province with established infrastructure and mining expertise

4. Expanding footprint – The company continues to increase its land position in the South Cobar region, building a belt-scale opportunity

5. Active exploration program – With two rigs currently drilling and multiple assays pending, investors can expect a steady flow of news in the coming months

With precious metal prices near all-time highs and the continued success of the exploration program at Achilles, Australian Gold and Copper appears well-positioned to build significant shareholder value as it advances this promising discovery.

Looking to Capitalise on AGC's High-Grade Gold Discovery?

Don't miss this opportunity to be part of Australian Gold and Copper's exciting journey as they continue to uncover exceptional gold and silver results at their Achilles discovery. With near-surface grades of 19.1g/t gold, expanding mineralisation footprints, and ongoing drilling across multiple targets, AGC is perfectly positioned in this strong precious metals market. Follow AGC on X for the latest updates on their South Cobar Project and to track their progress as they build significant shareholder value through their active exploration program.