Rox Resources Reveals High-Grade Gold Discoveries at Youanmi Project

ROX Resources Ltd

• ASX Code: RXL
• Market Cap: $170,207,337
• Shares on Issue (SOI): 607,883,348
• Cash: $12,491,000 (as of 31 December 2024)

Rox Resources Ltd has announced significant progress and renewed momentum at its Youanmi Gold Project in Western Australia. The company is advancing its exploration efforts with a focus on high-grade gold discoveries, which provide new insights into the project’s potential for resource expansion and future mine development.

Introduction

Rox Resources Ltd continues to distinguish itself as a premier exploration and development company within the Australian gold mining sector. With a robust market capitalisation and healthy cash position, Rox has embarked on an extensive Step-up drilling programme at its Youanmi Gold Project. This initiative is designed to target near-mine extensions and unearth high-grade intersections that could ultimately transform the project's resource outlook.

Recent assay results have underscored the company’s potential, with notable intercepts such as an interval of 6m at 19.08g/t (including 3m at 36.87g/t) and other high-grade expressions across Prospect, Interceptor, and Youanmi North areas. In addition to the successful drilling outcomes, infrastructure improvements, such as dewatering and pipe installation, are well underway ensuring that upcoming phases are on schedule.

What Are the Key Developments at the Youanmi Gold Project?

The Youanmi Gold Project has experienced several important milestones that underscore its exploration and development progress. Key highlights include:

1. High-grade assay results from Step-up drilling revealing potential near-mine extensions.
2. A disciplined exploration approach involving approximately 35,000 metres of Reverse Circulation (RC) and Diamond Drilling (DD) with 64% completed to date.
3. Exceptional drilling intersections from multiple areas:

   • Prospect Area:

     • 6.00m at 19.08g/t from 220m (including 3.00m at 36.87g/t)
     • 7.00m at 9.14g/t from 195m (including 3.00m at 18.30g/t)

   • Interceptor:

     • 1.00m at 40.93g/t from 145.1m
     • 8.00m at 4.32g/t from 52.0m

   • Youanmi North:

     • 5.82m at 4.51g/t from 379.0m
     • 2.09m at 6.80g/t from 436.9m

4. Preparation for dewatering infrastructure to expedite future operational activities.
5. Ongoing metallurgical advancements, including bulk concentrate test work under the Albion Process™, which aims to refine the company’s gold recovery processes.

The consistent yield of high-grade intercepts continues to provide confidence in further resource expansion, potentially leading to the reclassification of mineral resources with the incorporation of these new discoveries into Indicated Resource estimates.

How Is Step-Up Drilling Contributing to the Project’s Success?

Step-up drilling is a cornerstone of Rox Resources’ exploration strategy at Youanmi. This method involves systematically extending the drilling area beyond known mineralisation, incrementally mapping out the deposit in greater detail. The benefits of this technique include:

• Detailed mapping of broader mineralised zones adjacent to established deposits.
• Confirmation of resource continuity across multiple lodes, which is essential for robust resource estimation.
• Enhanced confidence in Indicated Resource classifications by linking isolated high-grade zones with the primary mineralised bodies.

Drilling Techniques Employed

• Reverse Circulation (RC) drilling:
  This technique accelerates data acquisition by extracting rock chips using a hammer bit, offering high-volume, quick results essential for initial exploration phases.
• Diamond Drilling (DD):
  Provides intact core samples that are critical for detailed geological analysis and characterisation of the deposit's structure.

These combined techniques allow Rox Resources to build a comprehensive geological model, facilitating the identification of new gold-bearing areas and the expansion of the overall Mineral Resource Estimate (MRE).

What Does the Future Hold for Rox Resources and the Youanmi Project?

The near-term roadmap is particularly promising, with several key operational milestones scheduled to be achieved over the next few months. Upcoming priorities include:

1. Finalising the remaining 36% of the drilling programme, expected to conclude by April 2025.
2. Completion of dewatering infrastructure works, including pipe installation, anticipated by late March to April 2025.
3. An updated Mineral Resource Estimate (MRE) on the horizon, targeted around mid-2025 after the final assay results are integrated.
4. Continued progress on metallurgical test work under the Albion Process™, aimed at optimising gold recovery and refining processing techniques.

Additionally, the project will experience further investments in environmental reviews, tailings storage facility design, and definitive feasibility studies, all of which will contribute to a more robust and economically viable project profile.

These efforts demonstrate Rox Resources' commitment to realising the full potential of the Youanmi Gold Project, positioning it favourably within a landscape that is both gold-rich and consistent with Australia’s strong mining heritage.

Rox’s Competitive Position in a Historic Gold Mining Region

The Youanmi Gold Project is situated in an area renowned for its substantial historical gold production, making it a region with significant exploration appeal. Several elements support Rox Resources’ strong competitive position:

• Consistent high-grade drill results that exceed those commonly seen in other comparable projects.
• Strategic infrastructure improvements that enhance both near-term and long-term extraction feasibility.
• A clear focus on developing resources to Indicated levels, which increases investment confidence by reducing geological risk.
• An operational plan that includes a phased approach – from early exploration to more advanced DFS stages – that systematically de-risks the project and maximises return on investment.

Key Metrics Comparison

The company’s strengths can be contrasted with its peers using these metrics:

This comparative analysis highlights how Rox Resources is well-placed not only to capitalise on the current exploration phase but also to create a sustainable, high-quality asset that can attract further investment and drive long-term value enhancement.

Closing Thoughts

Rox Resources Ltd has positioned itself as a dynamic and promising player in the Australian gold exploration sector. The Youanmi Gold Project is advancing impressively, with significant high-grade intervals and systematic drill programmes reaffirming its exploration potential. By undertaking robust drilling, incorporating cutting-edge metallurgical techniques, and swiftly implementing crucial infrastructure projects, the company is setting the stage for a major expansion of its resource base.

For investors keen to engage with a project that blends high-grade discoveries with proven operational planning, Rox Resources presents a compelling investment narrative. The strategic approach to exploration, coupled with a focus on incremental project development and risk mitigation, ensures that the company’s progress will be closely watched by market participants. As the project moves towards its final stages of the current drilling campaign and typically transitions into full feasibility studies, Rox Resources is likely to continue generating meaningful interest and unlocking significant shareholder value.

In summary, the combination of high-grade assay success, modern dewatering and metallurgical advancements, and a clear timeline for resource upgrade demonstrate the strong outlook for Rox Resources and its Youanmi Gold Project, making it one to watch in the evolving landscape of Australian gold exploration.

Ready to Explore Rox Resources' Golden Opportunity?

Dive deeper into Rox Resources' exciting Youanmi Gold Project and discover why this ASX-listed explorer is capturing investor attention. Visit the company's official website at roxresources.com.au to access the latest investor presentations, detailed project information, and insights into their promising high-grade gold exploration strategy that could represent a compelling investment opportunity.