Highlights

  • The study assumes toll treatment at a nearby plant and a substantial open-pit cutback at the Cable deposit.
  • Operating costs are about $3,400 an ounce before tax, with pre-production capital of about $7 million.
  • It involves 16.1 million tonnes of waste at a strip ratio of 11.9 to 1.
  • At Cable, results include 5 m at 15.6 g/t from 136 m, about 50 m below the conceptual pit.

Odyssey Gold (ASX:ODY) has released its September 2026 quarterly report, covering a Stage 1 scoping study at its Tuckanarra gold project in Western Australia, fresh drilling results, a dispute with its joint venture partner over a toll milling agreement, and a cash balance the company says funds about 1.1 quarters.

Stage 1 Scoping Study

The study assumes toll treatment at a nearby plant and a substantial open-pit cutback at the Cable deposit. It contemplates 1.35 million tonnes of mill feed at 1.9 g/t gold over about 29 months, at 95% metallurgical recovery, for about 87,000 ounces mined and 79,000 recovered. Operating costs are about $3,400 an ounce before tax, with pre-production capital of about $7 million. At an assumed gold price of $6,000 an ounce, the study indicates about $180 million of net pre-tax cash flow after royalties. It involves 16.1 million tonnes of waste at a strip ratio of 11.9 to 1.

These are scoping-level outputs that depend on the assumptions stated, and Stage 1 covers only 19% of the total Tuckanarra resource. A new mining plan will be lodged, and a Stage 2 study has started to assess the full resource, including an on-site treatment option.

Resource

The July 2026 Mineral Resource for Tuckanarra totals 6.3 million tonnes at 2.2 g/t for 451,000 ounces, of which 377,000 ounces is open pit and 74,000 ounces is underground, all inferred. Cable holds 158,000 ounces (2.75 million tonnes at 1.8 g/t). About 354,000 ounces sits on granted mining leases.

Drilling

The business reports a new discovery at Shackle, including 3 m at 16.1 g/t from 55 m, which it says is open in all directions. At Cable, results include 5 m at 15.6 g/t from 136 m, about 50 m below the conceptual pit. At Cable-West, 5 m at 16.1 g/t from 30 m, and at Cable-Bollard, 4 m at 22.9 g/t from 45 m in a new lode north of Cable outside the resource. A 2,000 m RC resource definition and extension program began in early October 2026. Drilling will be substantially reduced this quarter, and future programs depend on pending assays.

Milling Agreement And Dispute

Odyssey's toll milling agreement with Gylden Resources, announced on 20 May 2026, was terminated after quarter end. Monument Murchison, the 20% joint venture partner, claims the agreement was signed without required consent and that Tuckanarra has ceased to be joint venture manager; Odyssey disputes both claims. Odyssey and Gylden are discussing a replacement agreement for Tuckanarra's 80% share of ore on similar terms, but none has been signed. Tuckanarra has started dispute resolution and sued Monument in the Supreme Court of Western Australia. Monument has undertaken not to appoint a replacement manager pending the outcome, and a trial is possible later this year.

Cash And Funding

Opening cash of $5.771 million fell to $3.027 million at 30 September 2026, with the report elsewhere citing $3.0 million. Operating outflows of $2.744 million included exploration and evaluation of $2.113 million, of which drilling was $913,000. The company estimates a runway of 1.1 quarters and states its operations depend on raising further funds through equity, asset sales or other financing.

Next Steps

The company's listed priorities are securing a replacement toll milling agreement, resolving the Monument dispute through the joint venture process or the court, updating the Cable-Bollard-Highway resource and mining studies, assessing whether Argos inferred resources can be upgraded in the next resource estimate, and raising additional funding. The report gives no dates for the resource update or a replacement milling agreement.