How Astral Resources (ASX:AAR) Is De-Risking the Mandilla Gold DFS With High-Grade Infill Drilling

Sonal Goyal

03 November 2026 11:57 PM AEDT

How Astral Resources (ASX:AAR) Is De-Risking the Mandilla Gold DFS With High-Grade Infill Drilling

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Key Highlights

Latest 65 infill RC holes (6,876m) returned a weighted average grade of 1.51g/t Au, exceeding the Stage 1 production target grade of 1.1g/t Au
Standout intercepts include 15m at 7.54g/t Au, 4m at 18.4g/t Au, 4m at 11.3g/t Au, and 13m at 3.22g/t Au
The Stage 1 RC infill program has now completed 303 holes for 30,973 metres, with 129 further holes (approximately 12,616m) planned
The Theia deposit hosts a JORC 2012 Mineral Resource of 41.0Mt at 1.1g/t Au for 1.4Moz of contained gold

Astral Resources NL (ASX: AAR) has released the latest batch of assay results from its ongoing 12.5m x 12.5m infill Reverse Circulation Drilling campaign at the Theia deposit within the 100%-owned Mandilla Gold Project, situated 70 kilometres south of Kalgoorlie in Western Australia. The results continue to validate the geological and Mineral Resource models underpinning the project's Definitive Feasibility Study (DFS), with the latest 65 holes returning a weighted average grade of 1.51 grams per tonne gold — materially above the 1.1g/t Au production target grade established in the Pre-Feasibility Study.

The assay results were announced on 27 October 2026, and represent the most recent Tranche of results from a program that has now completed 303 holes for 30,973 metres. A further 129 holes covering approximately 12,616 metres are planned to complete the program.

High-Grade Zones Confirm Stage 1 Mining Potential

The latest intercepts demonstrate the presence of material high-grade zones within the Stage 1 open pit footprint, including some standout results that reflect both the grade and width characteristics needed to support economic mining at an early stage of production. Highlights from the latest 65 holes include 15m at 7.54g/t Au from 95m depth, 4m at 18.4g/t Au from 110m, 4m at 11.3g/t Au from 112m, and 13m at 3.22g/t Au from 100m. A number of other significant intercepts were also reported, including 33m at 1.19g/t Au from 33m, 17m at 2.59g/t Au, and 11m at 3.35g/t Au.

Managing Director Marc Ducler said the program has been a highly successful exercise, noting the weighted average grade is well above the production target and that the drilling continues to reveal both substantial widths of mineralisation and discrete high-grade zones. The Stage 1 open pit at Theia has a production target of 4.2 million tonnes at 1.1g/t Au over the first 21 months of operation, meaning the confidence level of the resource in those early mining years is directly relevant to project financing and lender due diligence.

From PFS to DFS: Why Measured Resource Conversion Matters

The Theia Deposit hosts a JORC 2012 Mineral Resource of 41.0Mt at 1.1g/t Au for 1.4 million ounces of contained gold. Within the Pre-Feasibility Study production case, Theia contributes approximately 1.1Moz, or roughly 75% of the total 1.48Moz production target across the Mandilla project. The PFS contemplated five stages of Theia open pit development.

The infill drilling program is specifically designed to upgrade the confidence classification of the Stage 1 pit from Indicated to Measured category under the JORC 2012 framework. Measured Resource classification requires closer-spaced drilling to demonstrate the degree of geological continuity needed to support mine planning at the level of precision expected for a DFS and project financing package. Completing this conversion is a key pre-condition before lenders and Equity underwriters will typically commit to a development-stage project of this scale.

The fact that the weighted average infill grade of 1.51g/t Au exceeds the production target grade of 1.1g/t Au is a meaningful outcome, as it suggests the resource model is likely to be validated or potentially enhanced through the resource re-estimation process that will follow the program's completion.

Mandilla's Position in Western Australia's Gold Landscape

The Mandilla Gold Project sits within the Kalgoorlie-Goldfields region of Western Australia, one of the most historically productive and well-serviced gold mining provinces in the world. The project's proximity to Kalgoorlie — just 70km to the south — provides access to a deep pool of experienced mining contractors, processing expertise, and established mining services infrastructure. Western Australia's permitting regime for gold projects, while rigorous, is broadly considered one of the more predictable regulatory environments for resource development globally.

Risks and What to Watch Next

The program still has 129 holes planned, meaning the full dataset for Stage 1 resource re-estimation is not yet available. Any material variance between the infill drilling grades and the existing resource model could require adjustments to the mine plan and DFS assumptions. Development of a gold project of this scale also carries financing risk, particularly if gold prices soften or Capital market conditions for resource developers deteriorate.

Key items to watch include the completion of the remaining 129 infill holes, the updated Measured Resource estimate that will follow, and any formal DFS timeline guidance from management.

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