Highlights

  • The interim Kada Mineral Resource rose 125% to 92.9Mt at 0.70g/t Au for 2.08Moz of contained gold.
  • Indicated resources increased by more than 600% to 51.4Mt at 0.77g/t Au for 1.27Moz.
  • 241 holes for 33,223m were completed at Massan during the quarter.
  • Cash stood at A$53.689 million at 30 September 2026, with DFS completion targeted for end of Q2 CY2027.

Asara Resources Limited (ASX:AS1), a West African gold explorer, has released its quarterly activities report for the period ended 30 September 2026. The quarter was led by a major upgrade to the Kada Gold Project resource, continued drilling at Massan and an expansion of the company's regional landholding.

Kada Resource Upgrade

The interim Mineral Resource for the Kada Gold Project rose 125% to 92.9Mt at 0.70g/t Au, containing 2.08Moz of gold. This is an increase of 1.16Moz from the October 2023 estimate. Free-dig oxide material grew from 12.4Mt to 35.8Mt.

Resource confidence also improved. Indicated resources rose by more than 600% to 51.4Mt at 0.77g/t Au for 1.27Moz, representing about 61% of total contained gold. The Massan deposit accounts for 91.2Mt at 0.70g/t Au for 2.04Moz, with Bereko adding 1.65Mt at 0.81g/t Au as Inferred.

Drilling, Expansion and Feasibility Work

A total of 241 holes for 33,223m were completed at Massan, including RC, aircore and diamond holes. Of these, 96 holes fed into the updated estimate, while 145 holes were completed after the cut-off date.

Asara agreed to acquire Arafura Ouest Pte Ltd, which holds the Damissa Koura and Kankan West permits, taking its regional landholding to about 301km². Consideration was a nominal SGD100 cash payment plus 5,000,000 shares, subject to a 12-month escrow. At Sogosogoba on the Damissa Koura permit, 82 auger holes for 1,193m were drilled. Fieldwork for the Definitive Feasibility Study is underway, with completion targeted for the end of Q2 CY2027.

Corporate, Portfolio and Cash Position

Asara joined the S&P/ASX All Ordinaries Index effective 21 September 2026. In South America, it signed a binding agreement to sell its 74.79% stake in the Paguanta project to Ajax Resources PLC for up to US$1.4 million, subject to conditions. The Loreto project in Chile continues under an option and joint venture with Teck Chile.

Cash at quarter end was A$53.689 million, compared with A$59.753 million previously, after receipt of $3,843,307 in Tranche 2 placement proceeds on 2 July 2026. Exploration and evaluation spending was $8.48 million for the quarter. The company also held its inaugural community football tournament with local communities in July.

Key Takeaways

  • Kada's resource more than doubled to 2.08Moz, with a much larger Indicated component.
  • Oxide material growth supports potential lower-cost early mining.
  • The Arafura Ouest acquisition expands the regional exploration footprint.
  • A strong cash position supports the DFS, targeted for completion by end of Q2 CY2027.