Key Highlights

  • Two Special Prospecting Authorities with Acreage Options, SPA 048 AO and SPA 049 AO, were granted in the Edmund-Collier Basin during the quarter.
  • Gross proceeds of A$3.2 million were raised through a non-renounceable entitlement and shortfall offer.
  • Cash and cash equivalents ended the quarter at A$3,151,000, compared with A$520,000 at the start, after operating outflows of A$500,000.
  • Exploration and evaluation payments totalled A$218,000, and 160 petrographic samples plus 30 porosity samples were submitted for analysis.

Constellation Resources Limited (ASX:CR1) has filed its quarterly report for the period ended 30 September 2026, covering a quarter in which the company secured two exploration authorities in Western Australia's Edmund-Collier Basin and completed a capital raising. Its focus remains on projects in Western Australia and on evaluating new opportunities in the resources sector.

The company is targeting natural gas, hydrogen and helium in the basin, while keeping its Ularring copper-gold project as a second area of activity. The quarter's cash flow report shows the effect of the capital raising on the balance sheet, set against modest exploration spending.

Edmund-Collier Basin Activity

Constellation was granted SPA 048 AO and SPA 049 AO during the quarter, which it describes as securing a first-mover position for hydrogen, helium and natural gas in the basin. The two areas cover 9,357 and 9,047 square kilometres respectively, within an Edmund-Collier Project footprint of 43,781 square kilometres in the Gascoyne Province.

Soil gas surveys have started across both authorities, and the company aims to complete them by the end of the current quarter. A total of 160 samples have been sent to Core Laboratories in Houston for thin section preparation and microstructural analysis, and 30 conventional porosity samples have also been submitted. The data is intended to help form a play-type ranking for the basin.

The company describes the 500 km-long basin as sharing key characteristics with the Beetaloo Basin, with a 4 to 5 km thick folded Proterozoic sedimentary succession that includes organic-rich shales extending over hundreds of kilometres, carbonates, dolerite sills, deep fault systems and radiogenic basement. It also notes proximity to existing gas transmission pipelines.

Once the surveys finish, a final report will go to the Department of Mines, Petroleum and Exploration, after which the company could apply for Exploration Licences to carry out work such as seismic surveys and drilling. Petrographic results, due toward the end of the year, will be combined with existing research to potentially report a maiden prospective gas resource. An Environmental Plan for STP-SPA-0116 is nearing completion, and native title discussions for STP-SPA-0143 are under way.

Ularring Copper-Gold Project

At Ularring, Constellation controls 24 km of strike along the Meenar Shear through three granted tenements, E70/4686, E70/4901 and E70/6671, all held at 100%. A maiden 12-hole, 450m reverse circulation program completed in early 2026 with support from a Western Australian EIS grant tested two Cu-Au soil anomalies at the Chatham prospect.

Drilling returned regolith-hosted copper-gold mineralisation from surface, including 7m at 0.25% Cu and 0.04g/t Au in CHR001 and 15m at 0.22% Cu and 0.08g/t Au in CHR004. Follow-up reverse circulation drilling and infill geochemistry aimed at fresh rock extensions are planned for early 2027.

Capital Raising and Cash Flow

The company announced the results of its non-renounceable entitlement and shortfall offer, raising gross proceeds of A$3.2 million. The cash flow statement records A$3,216,000 of equity proceeds less A$78,000 of transaction costs, giving net financing inflows of A$3,138,000.

Operating activities used A$500,000, comprising A$218,000 for exploration and evaluation, A$121,000 for staff costs and A$210,000 for administration and corporate costs, partly offset by A$18,000 of interest received and A$31,000 of government grants and incentives. Investing outflows were A$7,000 for property, plant and equipment.

Cash and cash equivalents therefore rose from A$520,000 to A$3,151,000, of which A$3,136,000 sits in call deposits. The Appendix 5B estimates 6.3 quarters of funding available, and no financing facilities are in place. Exploration spending of A$218,000 consisted of A$93,000 for consultants, A$6,000 for sample analysis, A$42,000 for field costs and A$77,000 for tenement maintenance and fees.

Related parties received approximately A$240,000, made up of A$130,000 of salaries, director fees and superannuation and A$110,000 for administrative, secretarial and corporate services. The company has 107,192,598 fully paid ordinary shares and 9,550,000 unlisted options on issue.

Where the Numbers Leave the Company

Constellation ended the September 2026 quarter with two granted Edmund-Collier authorities, eight further applications at preferred candidate stage across the Edmund-Collier, Yerrida and Ashburton basins, and a cash balance of A$3,151,000. The company reported no mining or production activities during the period.

On business development, several other opportunities were reviewed, though no agreements have been reached or licences granted, and the directors have not assessed the likelihood or timing of any acquisition or grant.