Resources & Energy Group Confirms Gold Extensions at Goodenough Prospect

REZ Drills Strike Extensions at Goodenough, Setting Stage for Upgraded Gold Resource

Resources & Energy Group Limited (ASX: REZ) has reported assay results from its January to February 2026 reverse circulation drilling program at the East Menzies Gold Project (EMGP) in Western Australia, with the update centred on the Goodenough Prospect. According to the ASX announcement, the 18-hole, 1,968-metre program has identified gold mineralisation beyond the limits of the current resource area and added further shallow gold intersections that may support an updated JORC 2012 Mineral Resource Estimate (MRE).

The current Goodenough resource stands at 1.36 million tonnes at 1.4 g/t gold for 61,200 ounces, as announced by REZ on 23 March 2026. In the latest drilling update, the company said the new February 2026 results, together with previously unreported August 2023 drilling and a March 2026 LIDAR survey, are now being used in a revised resource model.

"This discreet program at Goodenough has confirmed extensions of gold mineralisation outside our current resource estimate and verified significant gold near surface. This combination of gold intercepts outside the current mineral resource, together with more near-surface gold mineralisation, is a highly encouraging sign for the Goodenough deposit's potential," said J. Daniel Moore, Managing Director and CEO.

What Did the February 2026 Drilling Program Cover?

In the report, REZ said the drilling program covered three prospect areas within EMGP, each with a different purpose.

At Goodenough, drilling tested areas to the south, south-west and east of the existing resource. The company also targeted the Four O'clock zone on the south-western ridge and the east limb of the Goodenough Syncline, while using one hole near the historic Vujcich shaft as a resource validation hole.

All holes were completed to planned depth, according to the quarterly-style operational update in the ASX release.

Goodenough Delivered the Strongest Results

The strongest assays from the program came from two Goodenough holes, 26GERC027 and 26GERC028, which were drilled near and south of the current Mineral Resource boundary.

Southern Extension and Resource Verification

Hole 26GERC028, drilled vertically to 96 metres adjacent to the Vujcich headframe, returned a cluster of mineralised zones from shallow levels down to the main host horizon.

In the report, REZ said the main mineralised zone at 84 metres aligns with the pyritic-rich cherty horizon, which the company describes as the consistent gold-bearing unit across Goodenough. That matters because it supports the current geological interpretation used in the March 2026 resource model.

The overlying gold intervals may also be important. The announcement states these are consistent with structurally controlled hanging wall zones that have already been recognised in the existing deposit model.

Hole 26GERC027, drilled to 126 metres on the Coronation Hill area south of the current resource, also returned mineralisation in ground that had not been included in the existing estimate.

According to the company, a geological review suggests the main lode may sit deeper than the finished depth of this hole. Furthermore, REZ said it will consider re-entering the hole with further RC drilling or extending it with a diamond-core tail, which is a follow-up method used to drill deeper and collect intact rock core for more detailed geology.

For investors, that makes 26GERC027 more than a single intercept. It may indicate that the February program only tested the upper part of a broader southern extension.

Four O'clock Drilling Confirms Continuity

The Four O'clock area, located along a ridge south-west of the main Goodenough workings, also returned useful results. In the presentation-style detail of the release, REZ said this part of the program was designed to improve confidence in the geological interpretation and test the strike extent of mineralisation.

REZ said these holes confirm continuity of gold mineralisation along the Four O'clock ridgeline. In addition, the company noted that hole 26GERC021 supports a stacked lode system, which means multiple mineralised layers may sit one above another rather than being limited to a single zone.

That interpretation could become relevant in future resource modelling, particularly where broader mineralised corridors can improve mine design flexibility.

Previously Unreported August 2023 Drilling Adds Shallow High-Grade Data

One of the more important aspects of the update is not only what was drilled in 2026, but what is now being formally added from August 2023.

During a review for the recent Goodenough resource estimate, REZ identified five vertical RC holes, GERC04 to GERC08, whose assay results had not previously been reported to market. The company said these holes were drilled during a period when focus was shifting from nickel exploration to gold trial mining at Maranoa.

Those 2023 holes intersected the pyritic cherty band at shallow depths of 11 to 26 metres below surface.

The standout was GERC07, with 2 metres at 6.50 g/t gold from 11 metres, including 1 metre at 8.07 g/t gold. Because this mineralisation sits very close to surface, it may be relevant to future pit optimisation and early-stage mining scenarios, although the ASX announcement does not make any production claim from these results alone.

The inclusion of these holes should also improve data density in the northern part of the Goodenough system. In resource work, extra shallow drilling can help confirm continuity and reduce uncertainty in grade distribution.

Understanding Mineral Resource Estimates and Why They Matter

A central part of this update is the commencement of an updated JORC 2012 Mineral Resource Estimate for Goodenough. For non-specialist investors, this is one of the key concepts worth understanding.

A Mineral Resource Estimate is an industry-standard calculation of how much mineralised material is present in a deposit, and at what average grade. In a gold project, it is usually reported as tonnes and grams of gold per tonne, along with the total contained ounces.

Under the JORC 2012 Code, resources are grouped into three broad confidence categories:

• Inferred: early-stage confidence, based on limited but supportive drilling
• Indicated: stronger confidence, with enough drilling to reasonably support continuity
• Measured: the highest confidence category, based on close-spaced and detailed data

Why Does This Matter to Investors?

A resource update can affect project value in several ways:

• It may increase total ounces
• It may improve average grade
• It may move material into higher-confidence categories
• It may help with mine planning and development studies

At Goodenough, the current resource is 1.36Mt at 1.4 g/t gold for 61,200 ounces. The latest drilling suggests mineralisation extends beyond parts of the current model, while the newly reported 2023 drilling adds more near-surface data.

If those results are reflected in the updated resource, the revised estimate may show changes in both scale and confidence. However, the final outcome will depend on modelling, geological interpretation and reporting under JORC standards.

A Mineral Resource Estimate is not a mine plan or a production guarantee. It is a technical estimate of mineralised material based on available evidence. As more drilling is completed, that estimate can increase, decrease, or shift between confidence categories.

Broader Context at East Menzies Gold Project

The East Menzies Gold Project is REZ's flagship Western Australian asset, located about 130 kilometres north of Kalgoorlie within the Wiluna-Norseman Greenstone Belt. According to the company, the project covers more than 100 square kilometres of mining, exploration and prospecting licences.

The project contains several prospect areas at different stages.

The same February 2026 program also included a single hole at Maranoa, which returned 1m @ 0.53 g/t Au from 52m and 2m @ 0.79 g/t Au from 55m, according to the release. REZ said these grades were modest but still supported its geological interpretation.

The company also drilled six holes at Gigante Grande, although this particular announcement focused more heavily on Goodenough. For investors, the multi-prospect nature of EMGP means value is not linked to a single drill section.

What Comes Next for REZ?

The ASX announcement outlines a defined near-term work program, with several milestones that may drive further news flow.

One technical item to watch is the multi-element re-assay of the east limb holes. In simple terms, this means testing for a wider range of chemical elements to better identify the signature of the gold-bearing cherty unit. If successful, that work may assist with project-wide targeting rather than only local resource definition.

Why Investors Are Watching Goodenough

According to the report, the February 2026 drilling has done three useful things at once. It has validated parts of the existing Goodenough geological model, confirmed gold outside the current resource boundary, and added more shallow intersections to the growing dataset.

Several investor points stand out:

• Resource growth potential: drilling south of the existing resource, especially in 26GERC027, suggests mineralisation may continue beyond current limits
• Shallow gold support: the August 2023 holes added relatively high-grade, near-surface assays such as 2m @ 6.50 g/t Au from 11m
• Multiple catalysts: pending assays from the April 2026 program and the upcoming MRE update provide a visible pipeline of news flow
• Project scale: EMGP includes more than one prospect, giving REZ several gold targets within the same broader land package
• Established location: the project sits in a well-known gold district of Western Australia

The most immediate focus is likely to remain on the updated Goodenough resource. If the revised estimate incorporates these new extensions and shallow data in a meaningful way, it may influence how the market assesses the potential scale and development pathway of the East Menzies project.

At this stage, the announcement presents a stronger geological case for Goodenough. However, the next phase will be defined by how those drill results convert into resource tonnes, grade and confidence classification under JORC 2012.

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