Why Gorilla Gold Mines (ASX:GG8) Shares Are Trading in Green Today?

Sonal Goyal

11 May 2026 11:54 AM AEST

Why Gorilla Gold Mines (ASX:GG8) Shares Are Trading in Green Today?

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Gorilla Gold Mines Limited (ASX:GG8) has reported a new shallow gold discovery, named Diddy Kong, at its 100%-owned Comet Vale Gold Project, located 100 km north of Kalgoorlie in Western Australia. Diddy Kong is the fourth discovery in three weeks at Comet Vale, following the Magilla and Donkey Kong discoveries announced on 27 April 2026 and a high-grade footwall lode discovery at the Sovereign Deposit announced on 4 May 2026.

First-pass RC drilling at Diddy Kong returned multiple shallow gold intercepts. Notable assays in this release include LSEX021: 8.0 m at 3.5 g/t Au from 14.0 m and 4.0 m at 2.6 g/t Au from 64.0 m; LSEX018: 4.0 m at 0.7 g/t Au from 41.0 m; and LSEX019: 3.0 m at 0.7 g/t Au from 120.0 m. The drilling successfully followed up historical intercepts in hole ETC005, which previously returned 4.0 m at 2.1 g/t Au from 91.0 m and 4.0 m at 5.2 g/t Au from 111.0 m. The mineralisation is described as open in multiple directions and is associated with a 1 km gold-in-soil geochemistry anomaly. Diddy Kong sits within the broader North Kalgoorlie Hub, which currently hosts a Mineral Resource of 1.2 Moz @ 3.7 g/t Au (Comet Vale: 860 koz @ 3.7 g/t Au; Mulwarrie: 350 koz @ 3.6 g/t Au). An additional RC rig is mobilising to Comet Vale in May to follow up the shallow Diddy Kong, Magilla and Donkey Kong discoveries.

GG8 shares were trading over 3% higher at AUD 0.44 per share on 11 May 2026.

What was announced

The release reports first-pass RC drilling at the newly-named Diddy Kong Prospect, located 1 km south of the recent Magilla and Donkey Kong discoveries at the Comet Vale Gold Project. The drilling followed up a historical intercept in hole ETC005 that returned 4.0 m at 2.1 g/t Au from 91.0 m and 4.0 m at 5.2 g/t Au from 111.0 m. The new GG8 drilling has returned multiple shallow gold intercepts: LSEX021 with 8.0 m at 3.5 g/t Au from 14.0 m and 4.0 m at 2.6 g/t Au from 64.0 m; LSEX018 with 4.0 m at 0.7 g/t Au from 41.0 m; and LSEX019 with 3.0 m at 0.7 g/t Au from 120.0 m. Mineralisation is described as open in all directions, with associated soil anomalism extending for more than 1 km. The mineralisation at Diddy Kong is comparable to that seen at the nearby Donkey Kong and Magilla discoveries and the 350,000 oz Lakeview deposit (370 koz @ 3.5 g/t Au, per Figure 3 of the release).

The release also notes that an RC drill rig is mobilising to Comet Vale in May to aggressively follow up the shallow Diddy Kong, Magilla and Donkey Kong discoveries, with six drill rigs operating during May 2026 targeting high-grade resource growth and new discoveries. Drilling continues at the Lady Margaret target (an original historical gold mine), with the Happy Jack discovery's second round of drilling recently completed and assays expected. Two diamond rigs are conducting resource growth drilling at Sovereign, plus one diamond rig at Mulwarrie and one at Vivien. Engineering, geotechnical, metallurgical and hydrological studies are ongoing as well as permitting workstreams.

Key facts and figures

The North Kalgoorlie Gold Hub has a Mineral Resource of 1,200,000 oz at 3.7 g/t Au, comprising Comet Vale (860,000 oz at 3.7 g/t Au) and Mulwarrie (350,000 oz at 3.6 g/t Au). The Comet Vale resource breakdown (per the Company's release) is: Open Pit Indicated 1,300 kt @ 4.3 g/t Au (180 koz); Open Pit Inferred 2,400 kt @ 2.3 g/t Au (180 koz); Underground Indicated 400 kt @ 3.7 g/t Au (47 koz); Underground Inferred 3,200 kt @ 4.5 g/t Au (460 koz); Total 7,300 kt @ 3.7 g/t Au (860 koz), at cut-offs of 0.5 g/t Au (open pit) and 1.1 g/t Au (underground).

Mulwarrie MRE: Inferred 1.3 Mt @ 2.8 g/t Au (110,000 oz); Indicated 1.8 Mt @ 4.2 g/t Au (240,000 oz); Total 3.0 Mt @ 3.6 g/t Au (350,000 oz). Vivien MRE: Indicated 0.15 Mt @ 4.9 g/t Au (24,000 oz); Inferred 1.95 Mt @ 4.1 g/t Au (254,000 oz); Total 2.10 Mt @ 4.1 g/t Au (278,000 oz). The release indicates that >1,000,000 oz was added to the North Kalgoorlie Hub resource base in CY2025 through drilling targets the Company had identified. Historical gold production at Comet Vale exceeded 200,000 oz at >20 g/t Au, with underground operations as recently as 2020. New collar information for this release includes LSEX021 (100 m, RC, -60° dip, 45° azimuth), LSEX018 (140 m, -80°, 45°) and LSEX019 (160 m, -80°, 50°). The Sovereign / Sovereign North area hosts 410 koz @ 4.3 g/t Au.

Why the announcement matters

For a junior gold explorer, four discoveries in three weeks in close proximity is materially supportive of the broader exploration thesis at Comet Vale. The Diddy Kong result is notable for three reasons. First, the headline intercept of 8.0 m at 3.5 g/t Au from 14.0 m is shallow, broad and high grade — characteristics that, if confirmed in follow-up drilling, can underpin open-pit-style Economics. Second, the intercepts validate the geological reinterpretation that the CEO has described in his commentary: previous operators had drilled in the wrong orientation, and by turning the rig around 180 degrees, the company has unlocked the mineralised system. Third, the result is supported by a 1 km gold-in-soil geochemistry anomaly with historical mine workings over parts of its length, providing context for potential strike continuity.

The strategic context of the discovery — within a 1.2 Moz, 3.7 g/t Au resource base that is described as historically under-explored with more than 60 km of high-priority drill targets — provides headroom for additional discovery growth. The company's stated CY2025 resource addition of more than 1,000,000 oz indicates that its drill-led approach has previously delivered material results.

For shareholders, the announcement reinforces a pattern of consistent drilling-related newsflow and increases the probability that follow-up drilling will further define the scale of the Diddy Kong, Magilla and Donkey Kong systems. With six rigs operating during May 2026, the cadence of further results is likely to be high.

Strategic context

Gorilla's strategy is described as 'Discover', 'Define' and 'Develop'. The Discover stage is the current focus at Comet Vale, with multiple drill rigs targeting shallow gold systems along the 10 km by 3 km zone of interrelated structural deformation. The Define stage is in motion at Sovereign with resource growth drilling and assessment of the new 200 gram-metre footwall lode. The Develop stage is supported by engineering, geotechnical, metallurgical and hydrological studies as well as permitting work.

The Comet Vale project lies within granted Mining Leases adjacent to the Goldfields Highway, with multiple operational gold mills within a 100 km radius — meaningful for the eventual development of the resource without the need for construction of a stand-alone processing Facility. Historical gold production at Comet Vale exceeded 200,000 oz at >20 g/t Au, with underground operations as recently as 2020. This provides operational legacy and infrastructure context but also implies that the easiest near-surface mineralisation may have been historically mined; the current exploration thesis depends on the identification of previously under-explored extensions and parallel structures.

The CEO's reference to Spartan Resources at Dalgaranga as an analogue is a Marketing point: it implies a similar geological re-interpretation could deliver similar results. Investors should be cautious about translating analogues into expectations; the analogy is offered to illustrate the value of revising historical drilling orientations rather than to forecast outcomes.

Investor takeaway

The 11 May 2026 announcement is an exploration-focused, drilling-driven update that reinforces a coherent pattern of discovery activity at Comet Vale. The headline intercept of 8.0 m at 3.5 g/t Au from 14.0 m at Diddy Kong, supported by a 1 km soil anomaly and validation of historical intercepts in hole ETC005, is materially supportive of further drilling effort. The broader North Kalgoorlie Hub resource base of 1.2 Moz at 3.7 g/t Au provides a credible foundation for incremental discoveries to translate into resource growth.

Investors should monitor the cadence of follow-up RC drilling at Diddy Kong, Magilla and Donkey Kong, the upcoming assay results from the Lady Margaret and Happy Jack targets, the continued resource growth drilling at Sovereign (particularly assessment of the newly-discovered footwall lode), and the company's quarterly Cash Flow report for an updated picture of cash balances and exploration spend. Successful execution against the stated workplan could materially expand the resource base; the discovery cadence supports, but does not guarantee, that outcome.

FAQs

Q: Why are Gorilla Gold Mines (ASX:GG8) shares trading higher today?

A: GG8 shares moved higher after the company announced a new shallow gold discovery called Diddy Kong at its Comet Vale Gold Project in Western Australia.

Q: What were the key drilling results from the Diddy Kong discovery?

A: The standout drill result was 8.0 metres at 3.5 g/t gold from 14 metres depth in hole LSEX021, alongside additional shallow gold intercepts.

Q: Why is the Diddy Kong discovery significant?

A: The discovery is shallow, potentially open in multiple directions, and sits within a 1km gold-in-soil anomaly, increasing the potential for further resource growth.

Q: How many discoveries has GG8 announced recently?

A: Diddy Kong is the company’s fourth gold discovery in three weeks at the Comet Vale project, following the Magilla, Donkey Kong and Sovereign footwall lode discoveries.

Q: What are the next catalysts for Gorilla Gold Mines?

A: Investors will be watching for follow-up drilling results at Diddy Kong, Magilla and Donkey Kong, assay results from Happy Jack and Lady Margaret, and ongoing resource growth drilling across the North Kalgoorlie Hub.

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