Stelar Metals (ASX:SLB): Hill of Leaders Tungsten Drilling Readiness

Aditi Sarkar

29 October 2026 05:58 PM AEDT

Stelar Metals (ASX:SLB): Hill of Leaders Tungsten Drilling Readiness

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Highlights

An RC rig reached Hill of Leaders for a planned maiden campaign.
Rock samples returned tungsten trioxide results requiring drill testing.
Airborne and soil survey results were still being finalised.
The September quarter included a A$2.6 million placement.

Stelar Metals Limited (ASX:SLB) said in its quarterly report for the period ended 30 September 2026 that a reverse circulation rig arrived on site in early October for a 3,500 metre maiden drilling programme at its Hill of Leaders tungsten project in the Northern Territory.

The Hill of Leaders project

The project covers tenement EL33232, about 450 square kilometres in the Tennant Creek region. The tenement is held by F&H Brothers Metals under an earn-in agreement with Stelar, so the company does not hold it outright. Stelar Metals (ASX:SLB) describes these matters as part of its September 2026 activities.

Surface sampling reported in the quarter was in two phases. Phase 1 covered 18 samples, two of which graded above 1 per cent tungsten trioxide, with molybdenum averaging 0.026 per cent and a maximum of 0.058 per cent. Phase 2 covered 29 samples, with about 24 per cent above 1 per cent tungsten trioxide. The top assays were 15.69 per cent (HOLA039), 7.76 per cent (HOLA036), 4.96 per cent (HOLA006), 4.45 per cent (HOLA031) and 2.95 per cent (HOLA012).

The company described scheelite and wolframite mineralisation in multiple quartz vein corridors up to about 200 metres wide and more than two kilometres long, open in several directions. These are surface sample results, not drilling or a resource, and mineralisation at depth and within the granite host remains untested. Stelar Metals (ASX:SLB) describes these matters as part of its September 2026 activities.

Geophysics and soil survey

An ultra-high-definition airborne survey was flown at 25 metre line spacing and 30 metre height. The company said it identified structures and alteration zones that control mineralisation, though final magnetic and radiometric data are pending. A regional soil survey of 1,350 samples on a 200 by 200 metre grid over about 50 square kilometres is also awaiting results.

The report contains a timing inconsistency on those soil results. The highlights say they are expected in the December quarter, while the body says they are expected after drilling begins.

Placement, cash and people

Stelar raised about A$2.6 million before costs through a placement of 13,141,421 shares at A$0.20, which it said will fund field work and drilling at Hill of Leaders. Andrew Bennett joined as Exploration Manager, and Dr Qingtao Zeng was appointed as a non-executive director.

Cash at 30 September 2026 was A$3.363 million. Operating cash outflow was A$359,000, investing outflow was A$307,000 and financing inflow was A$2.43 million. Exploration expenditure was A$226,345, mostly field costs at Hill of Leaders. Related-party payments of A$139,520 included catch-up director fees and superannuation.

The Appendix 5B estimates 5.25 quarters of funding based on current-quarter outgoings. That figure may not reflect the full cost of the 3,500 metre drilling programme, so the runway could be shorter once drilling gets under way.

Next milestones and risks

Stelar listed the start of reverse circulation drilling and first results, soil geochemical results, final airborne magnetic and radiometric data, further mapping, extensional surface sampling and ultra-detailed geophysics, and a subsequent diamond drilling programme.

The company noted that historical aircore and other results were reported by previous owners and have not been verified by Stelar. Visual scheelite estimates below 1 per cent are not a substitute for laboratory assays, and forward-looking statements carry the usual risk that actual outcomes differ materially.

The company has not given a specific drilling start date or a timetable for first assays, so the pace of news flow will depend on how quickly drilling starts and how long laboratory work takes. The tungsten grades reported so far come from surface rock samples, which can be selective, and only drilling will show whether the mineralisation extends with depth.

Key Insights

Stelar Metals (ASX:SLB) reported 2026 activity alongside unresolved project milestones. Reported cash, technical work and approvals are different measures of progress; none alone establishes future production, sales or funding completion.

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