Highlights

  • Valiant Gold (ASX:VAL) has awarded an underground diamond drilling contract to K-Drill Pty Ltd for an initial 25,000m program at the Comet Gold Mine in WA's Murchison region.
  • The program will focus on grade control, resource conversion, and resource extension drilling across the Comet and Pinnacles trends.
  • First production at the Comet Mine remains targeted for the second half of FY27, with the Restart Study and preliminary Mining schedule expected to be completed in Q2 FY27.
  • The Comet Gold Mine is supported by an Ore Purchase Agreement with Westgold Resources, providing processing access at the Tuckabianna and Bluebird mills without the need for a standalone plant.

Valiant Gold Limited (ASX:VAL), a Western Australian gold company focused on the restart of brownfields underground mining in the Murchison region, has announced the awarding of an underground diamond drilling contract to K-Drill Pty Ltd. The initial scope of the program is approximately 25,000 metres, with mobilisation of the drill rig to the Comet Mine targeted by the end of Q2 FY27.

Latest Development

The appointment of K-Drill marks a critical step in Valiant's development timeline at the Comet Gold Mine. The drilling program has been designed to address three priorities: near-term grade control at the Pinnacles trend to support detailed mine planning, resource conversion to improve confidence in the existing mineral resource estimate, and direct down-dip extension drilling to test for mineralisation below the current resource envelope.

According to the company's Managing Director and CEO, Brendan Tritton, securing a proven Western Australian underground drilling contractor enables the company to pursue a substantial program designed to support the mine restart and to identify opportunities for organic growth across the Comet mineral system.

Drilling Strategy

The initial drilling focus will be on Pinnacles, where grade control drilling is planned to generate additional geological and grade information for near-term mine planning. This will be followed by resource conversion and down-dip extension drilling at Pinnacles, before the program advances to the Comet area for analogous resource definition and extension work. Additional near-mine targets — including the untested saddle position between Comet and Comet North, and the interpreted convergence of the Comet and Pinnacles mineralised trends — will also be assessed.

Longer-term, the company plans to test strike extensions along the southern continuation of both the Pinnacles and Comet mineralised trends, where prospective geological continuity has been indicated by surface mapping and shallow historical drilling.

Comet Gold Mine Overview

The Comet Gold Mine is located within Valiant's Comet Gold Project in the Murchison region of Western Australia, 14km by road from the Tuckabianna Mill and 110km from the Bluebird Mill. Both mills are immediately accessible to the company under an Ore Purchase Agreement with Westgold Resources, which removes the need for Valiant to construct a standalone processing plant, reducing Capital requirements for the mine restart.

The Comet mine trend hosts an established mineral resource of approximately 3.77 million tonnes grading at a consistent gold grade, for a total gold inventory of approximately 304,000 ounces. This provides the foundation for the restart of underground mining operations, which the company is targeting for the second half of FY27.

Development Pipeline

Valiant's development pipeline beyond Comet includes South Emu-Triton, a future underground restart opportunity where dewatering preparations are underway, and Boomerang, a potential open-pit and underground development project with ongoing resource definition drilling. The company notes that no development decision has been made for Boomerang or South Emu-Triton.

Sector Context

The Murchison region of Western Australia is an established gold mining province with a history of underground operations stretching back to the early twentieth century. The region's existing mine infrastructure, including processing mills operated by regional producers, provides a supportive environment for companies like Valiant seeking to restart brownfields operations using tolling arrangements.

Growth Drivers

For Valiant, the commencement of the underground drilling program is the operational precursor to developing a detailed mine plan and production schedule. A successful drilling campaign that improves resource confidence and potentially extends the mineralised footprint could support a more attractive Economics case for the restart.

Risks and Challenges

Brownfields mine restarts involve complex dewatering, rehabilitation, and logistical challenges. The company is targeting production commencement in H2 FY27, but this timeline remains subject to the completion of the Restart Study, appointment of a mining services contractor, and successful mobilisation of camp infrastructure.

Investor Considerations

For Valiant Gold investors, the awarding of the K-Drill underground drilling contract is a tangible indicator that the company's operational development timeline is advancing toward the planned H2 FY27 production commencement. The 25,000m program is substantial in scope and will generate data that is essential for both mine planning and potential resource expansion ahead of the restart. The existence of an Ore Purchase Agreement with Westgold Resources removes the single largest capital requirement typically associated with mine restarts — the construction of a processing plant — meaningfully lowering the financial threshold for Valiant to commence production. Investors should monitor the Q2 FY27 timeline for the completion of the Restart Study, appointment of a mining services contractor, and mobilisation of camp infrastructure as the key gating factors for the H2 FY27 production target. The Boomerang and South Emu-Triton Assets within Valiant's pipeline represent medium-term optionality but are not on the immediate development calendar.

Key Insights

Valiant Gold has taken a concrete step toward its planned Comet Mine restart by awarding the underground drilling contract to K-Drill Pty Ltd. The 25,000m program, targeting grade control, resource conversion, and near-mine extensions, is designed to generate the data needed to support a detailed mine plan and to explore opportunities to grow the resource base ahead of production. The company remains on track for its H2 FY27 first production target.